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2023-03-31-accounts

RAHAMKAR FOUNDATION CIO

(A CHARITABLE INCORPORATED ORGANISATION)

REPORT AND FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 MARCH 2023

Charity Registration No. 1188819

RAHAMKAR FOUNDATION CIO

CONTENTS

FOR THE YEAR ENDED 31 MARCH 2023

_______________

Pages
Legal and Administrative Information 2
Trustees’ Report 3 - 6
Statement of Financial Activities 7
Balance Sheet 8
Cash Flow Statement 9
Notes to the Financial Statements 10 - 14

1

RAHAMKAR FOUNDATION CIO

LEGAL AND ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31 MARCH 2023

_______________ Trustees Mohammed Hanif Mohammad Ansari Principal Address 65 Lakey Lane Birmingham B28 9DS Charity Number 1188819 Bankers Metro Bank 85 – 88 High Street Birmingham B4 7TE

2

RAHAMKAR FOUNDATION CIO

TRUSTEES’ REPORT

FOR THE YEAR ENDED 31 MARCH 2023

_______________

The Trustees present their report and financial statements for the year ended 31 March 2023. The Trustees confirm that the Annual report and financial statements of the charity comply with the current statutory requirements, the requirements of the charity's governing document and the provisions of the Statement of Recommended Practice (SORP) "Accounting and Reporting by Charities" applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 01 January 2019).

Structure, governance and management

Governing document/Constitution

The organisation is a Charitable Incorporated Organisation (CIO). The charity was established by Constitution signed on 05 March 2020 and registered with the Charity Commission on 31 March 2020, under number 1188819.

Tax status

The charity is registered as a CIO and is therefore exempt from corporation tax and income tax.

Recruitment and training of trustees

The Board of Trustees currently consists of two members who were recruited due to their commitment and expertise. Role descriptions, where applicable, are issued to each Trustee and a full induction is given setting out the obligations of a Trustee. The list of current Trustees can be found on page 2 of this document.

Organisational structure

The Charity is principally based in Birmingham but intends to work with organisations across the United Kingdom and abroad. The Trustees are responsible for the governance of the Charity, and the day-to-day management is performed by the Trustees and volunteers.

Key risks and uncertainties

The Trustees actively review the major risks which the Charity faces on a regular basis, in particular those relating to its operations and finances. They are satisfied that systems are in place to mitigate the charity’s exposure to the major risks. The risk management strategy comprises:

The strategy is reviewed regularly by the Trustees.

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RAHAMKAR FOUNDATION CIO

TRUSTEES’ REPORT

FOR THE YEAR ENDED 31 MARCH 2023

_______________

Aims, objectives and activities

Aims, objectives and intended impacts

Objects:

To advance the Islamic faith in the UK and abroad, for the benefit of the public, in particular but not exclusively, through the holding of prayer meetings, lectures, and producing and/or distributing literature (printed or online) on Islam to enlighten others about the faith. We will also look to help the poor and needy and promote religious and racial harmony as an expression of our faith.

Public benefit statement

The section of this report above entitled ‘Aims, objectives and activities’ sets out the aims and priorities of the Charity. The Trustees have considered this matter, in conjunction with the guidance contained in the Charity Commission’s general guidance on public benefit, and have concluded:

Review of achievements and performance for the period

In its third year running, the Charity has started some small collection of donations, mainly from the Trustees and has just started Friday prayers through the renting of a local community centre in Northfield, Birmingham.

The Friday prayers has started in February 2023 and we hope the numbers of attendees will grow through the forthcoming year.

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RAHAMKAR FOUNDATION CIO

TRUSTEES’ REPORT

FOR THE YEAR ENDED 31 MARCH 2023

_______________

Financial review

Principal sources of funding

The principal source of funding for the Charity is from individual donors. Voluntary donations received in the period amounted to £847 (2021-22: £1,139). Costs were kept under rigid control during the period and monitored regularly.

Reserves Policy

The Charity holds unrestricted funds which have been provided to the charity via donations and charitable activities. Under the terms of the donations, the charity must retain the assets in perpetuity and can only use the income to support its charitable activities.

The unrestricted funds represent income earned but not yet utilised in supporting charitable activities. At 31 March 2023, the charity held reserves of £1,017 (2022: £244) as unrestricted and undesignated free reserves. Restricted reserves at the end of the year amounted to £2,001 (2022: £2,001).

Going Concern

The Charity has made an inflow in both the prior and current year and intends to make an inflow in the next year also. Currently the Charity has no significant contractual expenditure or commitments. After making further appropriate enquiries and gaining assurances over income levels in the future, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

Future plans

The Trustees intend to grow its volunteer base and support and then begin prayer meetings and some Islamic educational classes in the local Birmingham area.

It is also looking to start funding some work for the needy abroad but is looking for an appropriate project to support.

5

RAHAMKAR FOUNDATION CIO

TRUSTEES’ REPORT

FOR THE YEAR ENDED 31 MARCH 2023

_______________

Statement of Trustees’ responsibilities

The Trustees are required to prepare financial statements for each financial year in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), which give a true and fair view of the state of affairs of the Charity and the incoming resources and application of resources, including the net income and expenditure for the year. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and which enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and all other applicable law. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Accounts preparation

The Trustees confirm that the accounts comply with current statutory requirements, and with those of the governing instrument.

This report was approved by the Trustees on 27 January 2024 and signed on their behalf, by:

Mohammad Ansari Trustee

6

RAHAMKAR FOUNDATION CIO

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

_______________

Unrestricted Restricted
Total		 Unrestricted Restricted Total
Funds Funds 2023 Funds Funds 2022
Note £ £ £ £ £ £
Income from:
Donations and legacies 2
847		 - 847 139 1,000 1,139
__ __ __ __ __ _
Total income 847 - 847 139 1,000 1,139
__ __ __ __ __ _
Expenditure on:
Charitable activities 3 74 - 74 202 - 202
__ __ __ __ __ _
Total expenditure 74 - 74 202 - 202
__ __ __ __ __ _
Net income/(expenditure)
before transfer 773 - 773 (63) 1,000 937
Transfers between funds
- - - - - -
__ __ __ __ __ _
Net movement in funds 773 - 773 (63) 1,000 937
Reconciliation of funds
Total funds brought forward 244 2,001 2,245 307 1,001 1,308
__ __ __ __ __ _
Total funds carried forward 1,017 2,001 3,018 244 2,001 2,245
__ __ __ __ __ _

The notes on pages 10 to 14 form part of these financial statements.

7

RAHAMKAR FOUNDATION CIO

BALANCE SHEET

AS AT 31 MARCH 2023

_______________

2023 2022
Note £ £ £ £
Current assets
Cash at bank and in-hand 10 3,018 2,245

__
__
Net current assets 3,018 2,245
__ __
Net assets 3,018 2,245
__ __
Funds
Unrestricted funds: General reserve 5 1,017 244
Restricted funds 5 2,001 2,001
__ __
3,018 2,245
__ __

The notes on pages 10 to 14 form part of these financial statements.

The financial statements were approved by the Trustees on 27 January 2024 & signed on their behalf, by:

Mohammad Ansari Trustee

8

RAHAMKAR FOUNDATION CIO

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2023

_______________ _______________ _______________ _______________
Note 2023
2022
£ £
Cash flows from operating activities:
Net cash provided by operating activities 9 773 937
__ __
Increase / (decrease) in cash & cash equivalents
in the reporting period 773 937
__ __
Cash & cash equivalents at the beginning of
the reporting period 2,245 1,308
__ __
Cash & cash equivalents at the end of the
reporting period 10 3,018 2,245
__ __

The notes on pages 10 to 14 form part of these financial statements.

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RAHAMKAR FOUNDATION CIO

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

_______________

1. Accounting policies

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The following principal accounting policies have been applied:

a) Incoming resources

Income includes the total funds received during the period and comprises donations collected directly or by volunteers and income from fundraising events. Income is recognised in the period in which the charity is entitled to receipt and the amount can be measured with reasonable certainty.

Income tax reclaimable under the Gift Aid Scheme is recognised on an accruals basis once income is considered probable.

Donors are given the option to restrict their donation when it is made. Any Gift Aid claimed on restricted donations is classed as unrestricted income.

b) Resources expended and basis of allocation

Expenditure is included when incurred and has been shown in the Statement of Financial Activities inclusive of non-recoverable Value Added Tax.

Expenditure on operational programmes is recognised in the period in which it is incurred.

Currently all costs are directly attributable to specific activities, but where required, certain shared costs will be apportioned to general funds and activities in furtherance of the objects of the Charity.

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RAHAMKAR FOUNDATION CIO

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

_______________

1. Accounting policies (cont.)

c ) Funds accounting

Funds held by the charity are:

Unrestricted funds - These are funds which can be used in accordance with the charitable objects at the discretion of the Trustees.

Designated funds – These are unrestricted funds earmarked by the trustees for particular purposes.

Restricted funds – These are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the company for particular purposes. The costs of raising and administering such funds are charged against the specific fund.

d) Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

e) Judgements in applying accounting policies and key sources of estimation uncertainty

In preparing the Financial Statements, management is required to make estimates and assumptions which affect reported income, expenses, assets, liabilities and disclosure of contingent assets and liabilities. Use of available information and application of judgement are inherent in the formation of estimates, together with expectations of future events that are believed to be reasonable under the circumstances. Actual results in the future could differ from such estimates.

The Trustees consider that there are no significant areas of key judgement or estimation uncertainty other than those identified in the accounting policies above.

2. Donations and legacies

Unrestricted Restricted Total Total
Funds Funds Funds Funds
2023 2023 2023 2022
£ £ £ £
Voluntary donations 847 - 847 139
Zakat distribution - - - 1,000
___ ___ ___ ___
847 - 847 1,139
___ ___ ___ ___

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RAHAMKAR FOUNDATION CIO

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

_______________

3. Charitable activities - costs

Unrestricted Restricted Total Total
Funds Funds Funds Funds
2023 2023 2023 2022
£ £ £ £
IT & website costs - - - 127
Bank charges 74 - 74 75
___ ___ ___ ___
74 - 74 202
___ ___ ___ ___

4. Staff & Trustees costs

There were no employees in the period.

During the period £NIL of expenses were incurred for the reimbursement of Trustees’ expenses. The Trustees received no other remuneration in the period.

5. Statement of funds

Restricted funds
Zakat distribution

Total restricted funds

Unrestricted funds
General reserve


Total funds

 Brought
forward
£
2,001
_
2,001
_
244
__
2,245
__		 Incoming
resources
£
-
_
-
_
847
__
847
__		 Resources
expended
£
-
_
-
_
(74)
___
(74)
___		 Fund
transfers
£
-
_
-
_
-
___
-
___		 Carried
forward
£
2,001
_
2,001
_
1,017
___
3,018
___

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RAHAMKAR FOUNDATION CIO

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

_______________

Restricted Project Descriptions

Zakat distribution

Zakat is a specific type of donation which is restricted to be distributed to the very poorest in society for their most urgent and vital needs. We intend to use these funds for food, shelter and water distribution in poor countries, as well as any other project that the Trustees deem fit when an appropriate project proposal is put forward.

6. Analysis of net assets between funds

(a)
 Unrestricted Restricted Total
funds funds funds
£ £ £
Fund balances at 31 March 2023 are represented by:
Net current assets
 1,017 2,001 3,018
__ __ ___
Total funds
 1,017 2,001 3,018
__ __ ___
(b)
 Unrestricted Restricted Total
funds funds funds
£ £ £
Fund balances at 31 March 2022 are represented by:
Net current assets
 244 2,001 2,245
__ __ ___
Total funds
 244 2,001 2,245
__ __ ___

7. Related parties

There were no related party transactions in the period.

8. Volunteers

The charity is working on building a volunteer base through whose help it plans on running many local prayer group and Islamic education activities in the West Birmingham area as well as starting to support projects for the needy abroad in the coming years. The Charity trustees recognise the vital place of grassroots work and volunteers in helping to fulfil its mission.

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RAHAMKAR FOUNDATION CIO

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

_______________

9. Reconciliation of cash flows from operating activities

2023 2022
£ £

Net income / (expenditure) for the reporting period
773 937
___ ___
Net cash provided by operating activities 773 937
___ ___
10. Analysis of cash and cash equivalents
2023 2022
£ £
Cash at bank and in hand 3,018 2,245
___ ___
Total of cash and cash equivalents 3,018 2,245
___ ___
10A. Analysis of changes in net debt
At start Cashflows At end
of year in year of year
£ £ £
Cash 2,245 773 3,018
___ ___ ___
2,245 773 3,018
___ ___ ___

11. Ultimate controlling party

The Trustees do not consider there to be an ultimate controlling party.

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