THE BAY CHURCH (NORTH EAST)
INDEX TO FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2021
THE BAY CHURCH (NORTH EAST)
FINANCIAL STATEMENTS
31 MARCH 2021
Charity Number 1065489
READ, MILBURN & CO Chartered Accountants 71 Howard Street, North Shields Tyne & Wear, NE30 1AF
email: info@readmilburn.co.uk - tel: 0191 2570355 - web: www.readmilburn.co.uk
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THE BAY CHURCH (NORTH EAST)
INDEX TO FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2021
| CONTENTS | PAGE |
|---|---|
| Trustees Annual Report | 2 – 5 |
| detailing:- | |
| Structure, Government & Management | 3 |
| Objective & Activities, Achievements & Performance | 4 |
| Responsibilities of the Trustees: | 5 |
| Independent Examiner’s Report to the Trustees | 6 |
| Statement of Financial Activities (incorporating the | 7 |
| Income and expenditure account) | |
| Balance Sheet | 8 |
| Notes to the Financial Statements | 9-12 |
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THE BAY CHURCH (NORTH EAST)
TRUSTEES ANNUAL REPORT
YEAR ENDED 31 MARCH 2021
TRUSTEES ANNUAL REPORT
The trustees , who are also directors for the purposes of company law, have pleasure in presenting their report and the unaudited financial statements of the charity for the year ended 31 March 2021.
REFERENCE AND ADMINISTRATIVE DETAILS
Registered charity name The Bay Church (North East) Charity registration number 1189749 (new number since 2 June 2020)
Main Church Address: The Bay Church 109-111 Whitley Road Whitley Bay Tyne and Wear NE26 2ET Web Address: www.thebaychurch.co.uk
THE TRUSTEES
The trustees who served the church during the period were as follows:
Alex Ross (Chairperson) Peter Wigglesworth Mark Simpson David Vickers Juliet Birch-Machin
INDEPENDENT EXAMINER
David Hodgson, MBE, FCA, ACIB Read, Milburn & Co Chartered Accountants 71 Howard Street North Shields Tyne and Wear NE30 1AF
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THE BAY CHURCH (NORTH EAST)
TRUSTEES ANNUAL REPORT
YEAR ENDED 31 MARCH 2021
STRUCTURE, GOVERNANCE AND MANAGEMENT
Organisation
A board of trustees of up to 5 members, who meet regularly to administer the charity.
During 2020/21 the board of trustees met every 6 weeks to manage the legal obligations and charitable objectives of The Bay Church NE. The Board of Trustees was chaired by Alex Ross during this period, and Juliet Birch-Machin was appointed as a trustee in May 2020.
The Core Leadership Team during the reporting period comprised
Alan Dickinson, Senior Apostolic Leader Full time employed Paul Asbury, Pastor Full time employed (left July 2020) Nicola Barnsley, Pastor Part time employed (left January 2021) Laura Lindsey, volunteer Core Leader Volunteer, non-stipendiary
During 2020/21 the Trustees made some changes to the leadership structure of the organisation and began a process of strategic review for future leadership. By mutual agreement, Paul Asbury left his position in July 2020, and Nicola Barnsley’s part-time employment was brought to an end in December 2020. The Trustees and core leaders are engaged in a process of determining a new leadership structure, which in turn will determine the number – if any – of new paid employment posts the organisation may require in the future.
A group of Wider Leaders (all volunteers) lead the ministries the church offers, with each wider leader overseen by a Core Leader. This approach has strengthened the accountability structure, and wider leadership reports now form part of the regular reporting to the trustees by the Core Leaders. A trustee attends the regular Wider Leadership meetings.
Impact of Covid-19 (Coronavirus)
For the entire reporting period, our church building has been closed to the public in line with government instructions during the Covid-19 pandemic. This has meant that, in addition to not holding regular Sunday services, we have not held any other type of event in the building, with the exception of live streaming Sunday services, which were done with a minimum of volunteers and in line with the social distancing requirements and government instructions for places of worship during the pandemic. The Trustees and core leaders took the difficult decision to keep the building closed throughout the period for the safety of staff, volunteers and the public.
Risk Management
The trustees have examined the major strategic, business and operational risks which the charity faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks. The Trustees confirm that there have been no serious incidents during this financial period.
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THE BAY CHURCH (NORTH EAST)
TRUSTEES ANNUAL REPORT
YEAR ENDED 31 MARCH 2021
We use Google’s G Suite for the secure, cloud-based storage of all charity documentation. We have reviewed and complied with all GDPR data requirements for handling personal information.
During 2020/21 we appointed new Safeguarding Leads for the organisation: Juliet BirchMachin (trustee) was appointed Safeguarding Lead, and Lyn Wallwork (retired social services professional) was appointed Deputy Safeguarding Lead.
Investment policy
Under the memorandum and articles of association, the charity has the power to make any investments that the trustees see fit. No major investments took place during the reporting period.
ACTIVITY
Vision Statement and Core Values
During the reporting period The Bay Church operated under a Vision Statement and set of Core Values.
Vision Statement
We believe The BAY Church is called to be a Kingdom-focused family with a heart to encounter God and see revival in our region and beyond by taking His love, presence and power wherever we go.
Core Values
Love
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Intimacy with God
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Belonging through loving and being loved
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Honouring children and young people
Presence
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Carriers of His presence
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Sent out
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Freedom
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Shaped by the Word of God
Power
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Equipped with power for purpose
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Raising up the next generation of leaders
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Believing for the impossible
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Being authentic believers
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A lifestyle of generosity
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THE BAY CHURCH (NORTH EAST)
TRUSTEES ANNUAL REPORT
YEAR ENDED 31 MARCH 2021
RESPONSIBILITIES OF THE TRUSTEES
Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 1985. The trustees are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
ACCOUNTANTS
David Hodgson, MBE of Read, Milburn & Co, Chartered Accountants of 71 Howard Street, North Shields, NE30 1AF continues to act as Accountant and Independent Examiner to the charity.
Church Registered office: 109-111 Whitley Road Whitley Bay Tyne and Wear NE26 2ET
Signed by order of the trustees
Dated: 28 July 2021
Alex Ross Chair of Trustees
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THE BAY CHURCH (NORTH EAST)
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF THE BAY CHURCH (NORTH EAST)
YEAR ENDED 31 MARCH 2021
I report to the charity trustees on my examination of the accounts of The Bay Church (North East) for the year ended 31[st] March 2021.
Responsibilities and basis of report.
As the charity trustees of the Charity, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (“the Act”).
I report in respect of my examination of the Charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I am qualified to undertake the examination by being a qualified member of the Institute of Chartered Accountants in England and Wales.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in any material respect:
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The accounting records were not kept in accordance with section 130 of the Charities Act; or
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The accounts did not accord with the accounting records; or
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The accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a “true and fair” view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable proper understanding of the accounts to be reached.
DAVID HODGSON, MBE, FCA, ACIB Chartered Accountant
71 Howard Street North Shields Tyne & Wear NE30 1AF
Dated ……………………
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THE BAY CHURCH (NORTH EAST)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT)
YEAR ENDED 31 MARCH 2021
| Total | Total | ||
|---|---|---|---|
| Funds | Funds |
||
| 2010 | 2020 | ||
| Note | £ | £ | |
| INCOMING RESOURCES | |||
| Incoming resources from generating funds: | |||
| Voluntary income | 2 | 130,209 | 159,875 |
| Investment income | 3 | 740 | 1,202 |
| ----------- | ---------- | ||
| TOTAL INCOMING RESOURCES | £130,949 | £161,077 | |
| ====== | ====== | ||
| RESOURCES EXPENDED | |||
| Charitable activities | 4 | (115,161) | (131,163) |
| Governance costs | 5 | (2,255) | ( 414) |
| ---------- | ---------- | ||
| TOTAL RESOURCES EXPENDED | £(117,416) | £(131,577) | |
| ====== | ====== | ||
| NET INCOMING RESOURCES FOR THE YEAR | 6 | 13,533 | 29,500 |
| TOTAL FUNDS BROUGHT FORWARD | 441,176 | 411,676 | |
| ----------- | ---------- | ||
| TOTAL FUNDS CARRIED FORWARD | £454,709 | £441,176 | |
| ====== | ====== |
The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared
All of the above amounts relate to continuing activities
The notes on pages 11 to 14 form part of these financial statements
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THE BAY CHURCH (NORTH EAST)
BALANCE SHEET AS AT
31 MARCH 2021
| Total | Total | |||
|---|---|---|---|---|
| Funds | Funds | |||
| 2021 | 2020 | |||
| Note | £ | £ | ||
| FIXED ASSETS | ||||
| Tangible assets | 7-7a | 191,551 | 192,898 | |
| CURRENT ASSETS | ||||
| Cash at Bank | 263,572 | 248,681 | ||
| Cash in Hand | 11 | 11 | ||
| Prepayments | - | - | ||
| ----------- | --------- | |||
| 263,583 | 248,692 | |||
| CREDITORS | ||||
| Amounts due within one year | 8 | ( 425) | ( 414) | |
| -------- | ||||
| NET CURRENT ASSETS | 263,158 | 248,278 | ||
| ---------- | ---------- | |||
| NET ASSETS | £454,709 | £441,176 | ||
| ====== | ====== | |||
| FUNDS | ||||
| Unrestricted income funds | 10 | 454,709 | 441,176 | |
| ---------- | --------- | |||
| TOTAL FUNDS | £454,709 | £441,176 | ||
| ====== | ====== |
The financial statements were approved by the trustees on ................................and signed by their behalf by:-
.................................................... (Alex Ross) .................................................... (Peter Wigglesworth)
For The Bay Church (North East)
The notes on pages 11 to 14 form part of these financial statements
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THE BAY CHURCH (NORTH EAST)
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2021
Note 1 – ACCOUNTING POLICIES
(a) Basis of preparation
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS102) “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 (FRS102) (effective 1 January 2015)”, Financial Reporting Standard 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
(b) Income recognition
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the income receivable can be measured reliably.
Donations are recognised when the charity has received the donation or the charity has been notified in writing of both the amount and settlement date.
The financial statements have been prepared in accordance with the Statements of Recommended Practice: Accounting and Reporting by Charities (SORP 2005) issued in March 2005 and applicable UK Accounting Standards and the Charities Act 2011.
The value of services provided by volunteers has not been included
Income from investments is included in the year in which it is received
(c) Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on a cash basis and has been classified under headings and aggregate all cost related to the category. Where costs cannot be directly attributable to particular headings they have been allocated to activities on a basis consistent with the use of the resources.
(d) Fixed Assets
All fixed assets are initially recorded at cost
(e) Depreciation
Depreciation is calculated so as to write off the costs of assets, less estimated residual value, over the useful economic life of the assets as follows:-
Equipment, Fixtures & Fittings - 15% reducing balance basis
Extensive building renovations and improvements to the freehold property have been carried out during the recent years. Accordingly, the Trustees consider the property to be well maintained and are satisfied that provision for depreciation of the property to be immaterial and accordingly no provision has been made. This is a departure from the requirements of Standard Accounting Practices, however, the trustees consider that this policy results in the accounts giving a true and fair view.
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THE BAY CHURCH (NORTH EAST)
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2021
(f) Taxation
The charity is exempt from tax on its charitable activities
(g) Realised gains and losses
There has been no realised gains or losses on investments during the year
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Note 2 - VOLUNTARY INCOME | ||
| General Offerings | 96,207 | 133,961 |
| Special Offerings | 8,888 | 2,105 |
| Food Bank | 180 | 200 |
| SOZO Donations | 40 | 255 |
| Mercy Fund | 600 | 670 |
| Parish Nursing | 20 | |
| Tax Refunds on Gift Aid | 24,294 | 22,664 |
| -------- | -------- | |
| £130,209 | £159,875 | |
| ===== | ===== | |
| Note 3 - INVESTMENT INCOME | ||
| Bank Interest Received | £ 730 | £ 1,202 |
| ===== | ===== | |
| Note 4 - CHARITABLE ACTIVITY COSTS | ||
| Rent | 3,880 | 3,880 |
| Light, Heat & Water | 2,905 | 4,496 |
| Repairs & Maintenance | 8,385 | 949 |
| Insurance | 1,179 | 1,106 |
| Office Administration Costs | 7,355 | 1,900 |
| Computer Supplies | 1,717 | 215 |
| Bank Charges | - | - |
| Telephone & Internet | 434 | 374 |
| TV Licence | 160 | 156 |
| Copyright & PPL Licences | 1,004 | 880 |
| Employment Costs | 68,615 | 83,669 |
| Parish Nursing | 5,297 | 1,404 |
| Cleaning | 296 | 3,624 |
| Bay Food Bank | 200 | - |
| Social Activities | 179 | - |
| Gifts & Donations | 5,000 | 16,158 |
| Children’s Work | 132 | 751 |
| Adult Ministries | 1,659 | 7,390 |
| Audio/Video Costs | 5,417 | 1,280 |
| Consumables | - | 1,346 |
| Membership Fees | - | - |
| Depreciation | 1,347 | 1,585 |
| -------- | -------- | |
| £115,161 | £131,163 | |
| ===== | ===== |
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THE BAY CHURCH (NORTH EAST)
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2021
| Note 5 - GOVERNANCE COSTS | 2021 | 2020 | |
|---|---|---|---|
| £ | £ | ||
| Accountancy Fees | 425 | 414 | |
| Legal Fees | 1,830 | - | |
| -------- | -------- | ||
| £2,255 | £ 414 | ||
| ===== | ===== | ||
| Note 6 - NET INCOMING RESOURCES FOR THE YEAR | |||
| This stated after charging:- | |||
| Depreciation | £1,347 | £1,575 | |
| Note 7 - TANGIBLE FIXED ASSETS | |||
| Equipment | |||
| Freehold | Fixtures & | ||
| Property | Fittings | Total | |
| £ | £ | £ | |
| Cost | |||
| Cost B/fwd | 183,918 | 52,244 | 236,162 |
| Additions during year | - | - | - |
| ---------- | -------- | -------- | |
| Cost C/fwd | 183,918 | 52,244 | 236,162 |
| ====== | ===== | ====== | |
| Depreciation | |||
| Depreciation B/fwd | - | 43,265 | 41,680 |
| Charge for the year | 1,347 | 1,585 | |
| --------- | -------- | ||
| Depreciation C/fwd | 44,612 | 43,265 | |
| ===== | ===== | ||
| Net Book Values | |||
| As at 31stMarch 2021 | £183,918 | £7,633 | £191,551 |
| As at 1stApril 2020 | £183,918 | £8,980 | £192,898 |
| Note 7a – CAPITAL COMMITMENTS | |||
| At the year end, the Charity has no capital commitments. | |||
| Note 8 - CREDITORS | |||
| 2021 | 2020 | ||
| £ | £ | ||
| Amounts falling due within one year | |||
| Accrued Accountancy Charges | 425 | 414 |
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THE BAY CHURCH (NORTH EAST)
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2021
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Note 10 - UNRESTRICTED INCOME FUNDS | ||
| Opening balance | 441,176 | 441,176 |
| Net Incoming resources for the year | 13,533 | 29,500 |
| ---------- | --------- | |
| Closing balance | 454,709 | 441,176 |
| ====== | ====== |
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