Company number 12131131 Charity number 1190501 REPORT OFTHE TRUSTEES ANO FINANCIAL STATEMEPTr3 FOR THE YEAR ENDED 31 JULY 2024 FOR YESHIVAS MEKOR CHAYIM UMITED Yeshivas Mekor Chayim Umited Report of the trustees For the year onded 31 July 2024 Page Report of the Trustees Repcyt of the Independent Examiner Statement of Financial Activities Balanc8 Sheet statement of Cash Flows Notes to the Financial Statements 10-16 Yeshivas Mekor Chaylm Umltsd Report of the trustees For the year ended 31 July 2024 The trustees. who are also dire(*ors of the tharity forthe purposes of Ihe Companies Act 2006. wesent their report with the financial statements of the charity for the year ended 31st Juty 2024. Th8 trustees have adopted th8 provisions of Accwnting arKI Rekth'ng by Charities: Statement of Recommended Practice applicable to tharities Fyeparing their acC￿nIS in acwdance ￿th the Financial Reporting Sl8ndard applicaL4e in the UK arNJ Rewblic of Ir8land (FRS 102) (effective 1 January 2015). OBJECTIVES AND AIMS The obiecls of the tharity are: The advancement of the Jewish r81igion. induding by the establishment and Op8rati￿ of a y8shiva known as Yeshivas Mekor Chayim Limited army by the provisb)n of religious education. rel￿tOU8 services and facilities for reli9K￿8 education and st￿￿ at such yeshiva. Publlc ￿nOffl Th8 Trustees ￿￿flrrn their Complian￿ with Ihe duty to have regard lo the public benefft guidance published by the Charity Commission when reviewirKJ the Charitys aims arKI objectives and in planning future aciivits'es. Grant and donatlon maklng pollcy The charitsls w)licy is to act according to the Artides ofAss0￿￿ whith enables grants and donations to be made from both income and capilal. The trustees find that this is tre most effedive way of aKling applicants as it allows them flexibilty in terms of deciding vthether th8y will provid8 a grant and also ensures that each application is ￿)nsidered fairly. Inveslment pollcy and objocllves The thanty holds a current accounL Tr policy of the ¢*arity is to continue holding this a¢￿Unt fcy ts ongoing expandiiure. The charitys reserrfes wficy is to maintsin suffKient reserves to enable the charity to continue its activities and serlices at a meaningful level, shwld there be a drop in income. As au income is derived from voluntary donations. the trustees revw thts w)sition on a regular basls. Having regard to the alx)ve the trustees ¥e of the opinion that the cash reserves held as at perlod end would be sufficient to med onewmonth basic operating costs and, they Intend lo incr8as8 the reserves held in the fortto)nwng period. STRUCTURE, GOVERNANCE AND MANAGEMEKr Governlng document The charity is controlled by ils goveming arlKles of ass(KiatKJn. and ￿)ns1•tUteS a limited (x)mpany. limited by guarantee, as defined by the Companies ArA 21x16. The memorandum and artidos in￿rpOrated the company on 31 July 2019 and it became a charity on 21 Juty 2020. Yeshivas Mekor Chaylm Llmited Report of the trustees For the year ended 31 Juty 2024 Recruilment and appolntment of new trustees The slatutory of appointing new In￿ hereof shatt be ex8r(asable ty the persoN8 who are for the time being the trustees hereof. Induction and tralnlng of new truste88 There are policies adopted by the trustees f(ff the induction and training of tharty trust&s. There are no plans at present to 4)point new trustees. The trustees will liarse t￿ether as thè tharity grows. At that FK)inl there wll be a n￿Ssty to appornt mLYe trustees irKluctKinltraining wocedures will be considered then. Rlsk managom•nt The trustees aclNely revlew the maJ(ff risks Ivhlch the charlty faces on a regular basis and befieve that maintaining reserv6s at current levels. combined ￿ an annual review of the controls over key financial systems, will provide sufficient resources in the event of lurther adverse ￿nditions. The trustees have also examined other operalional and business risks faced by Ihe d￿rity arKI o)nfinn that they have established systems to mitigate any si9nifKant rtsks. ACHIEVEMEKf & PERFORMACE The Trustee5 are d81ighted to rewrt another swcAssful year. We currenty have almost 100 students, an Increase of 40 and have inueased (Jjr Jedur8rs to aCcomn￿￿te the increase wlthout compromisingon personal attention. The main obiectives of the d￿rity. as govemed by the Mernorandum and Articl8s of AssociatK)n. is to operate a Y8shiva. Our students are 8ngaged in detaled anatysis of Talmudr(xl arNJ Biblic21 texts. They also are guided by ts Dean and Principal (Rosh Hayeshiva) to improve and refine theirchara¢ter5. Our main funding comes from many k>cal individuals. corporate donors and charitable trusts. We also ran a very successful fundraising campargn and the totsl donations we received for this financial year was £674,386 (2023." £800,672). We are also very grateful to the Trustees of North London Wellare and Educational Foundation, a local charity. who have again stepped up and supported the yeshiva so thal we remain on safe financial footing. The Trustees are immensely grateful to all our supporters arKI take solace in all of tsm for showing such support over Ihe kt year. PLANS FOR FUTURE We have now signed a lease for a m(Ke pern￿￿nt and larger build1￿ to accomm(*Jate ￿ extra students and we expeca the Yeshiva to onty gr￿* each year. We are also k)oking for (¥eative and inmvative ways to ir￿￿eaSe OLr donor base. We have to be wary of the financial impact of the Covid - 19 pandemK and therefcxe we activety make sure that we a￿ frugal with our expenditure and at the sarne time. we do not want lo compromise abilty to deltver the objectiV8s of the charity and continue building our students into fine y￿r￿j men. Yeshlvas Mekor Chaylm Llmited Report of the trustees For the year ended 31 July 2024 REFERENCE AND ADMINISTRATIVE DETAILS Company number 12131131 (EnglarKI and Wales) Registered Charity numbor 1190501 Registered offic• 29 Broadfields Avenue Edgware HA8 8PF Trustees Ilan Halberstadt Elisha Koppel B C Joseph Independent Examlnar Anthony Epton Goldwins Limited 75 Maygrove Road West Hampstead London NW6 2EG Bankerd Barclays Bank Pl¢ Swiss Cottage Branth 131 Finchley Road London NW3 Yeshivas Mdtor Chayim Limiled Report of the trustees For the year ended 31 July 2024 SLitement of Irustses. responsibilities The Iruste8s {who are also the direct￿5 of Yeshiwds Mekn Chayim Limited for the purposes of company law) are responsible for prepariThJ the Report of the Tntstees and the financial statements in a(xordance with applrcable law arKI United lfjrudom Ac(x)unts'rKJ Starmlards (United Kingdom Generally Accepted Accounting Practi￿) induding Financial RetK)rting Standard 102 The FThncial Reporting Standard applicable in the UK and Rewblic of Ireland.. Company law requires the trustee5 to prepare financial slatements for eaGh finandal peri(MJ Ythich give a true and fair view of the state of affairs of the d￿ritable C￿MpanY and of the incoming resources and application of resources. including the irKX)me and eX￿ndIture. of the tharitable (xynpany for that perlcAd. In preparfng those finandal stslefflents. the trustees are req￿red to: seled suitsble ac(x)unting wlici8s and then appty them (xmslstenty, observe the Meth[￿ prindples in the Charity SORP; rnake judgements and estimates that are reasonable and prudent: state whether applicable a(xx)unt¥y standards have been f￿1￿￿ed. SW to any materlal departures dlsclosed and explained in the financial ststements: epare the flnandal statements (M) golNJ concern basls Un￿ It Is Inapproprfate to esume that the charitatAe u)mpany *ill continue in business. The trustees are responsible for keeping proper accountirKJ re￿rdS Ythlch discksse b¥lth reasonable accuracy at any time the financial postlion of the chartiable company and to enable them to ensure that the financial statements compty with the Companles Act 20Q￿. They are also responsible for safeguarding the assets of the tharitable uxnpany and hence for takiNJ reasonable steps for the preventi￿ and detection of fraud and other irre9￿arIt1oS. AprKoved by the Board of Twstees and swjned on its behalf ty. Ellsha Koppol Trustee Independent examln*s report to the trustees of Yeshlvas Mekor Chaylm Llmlted for the year erKled 31 July 2024 I rep￿ to the charity trU￿e0S on my examination of the 8￿nts ofthe dwritable company for the year ended 31 July 2024. Responsibilities and basis of rewt As the charity's trustees of the chartiable rx¥npany {and also its dirths for the purposes of company law) you are responsible for the pr8paratN)n of accounts in aCC(*dan￿ with the requirements of the Companies Ad 2006 ('the 2006 A(X'). Having satsfied my5elfthat the ofthe charitable (￿1panY are not required to b8 audited under Part 16 of th8 2006 Act and are eligible ts irKJependent examination. I report in respect of my examination of your charivs accounts as CWTied out under section 145 of the Charities Ad 2011 (Ihe 2011 Act,). In carrying out my etsmination I have folknwed the directKJns given by Ihe Charty C(xnmission under sectKJn 145(5) (b} of the 2011 Independent examlnerfs statement Since the tharitable c￿npanrfS gross llKX)me exceeded £250.0(Kl. l ￿)nfim7 that 18m qualified to undertake the examination because l am a member of the ICAEW. whk* is one of the listed bodies. I have completed my examination. I confirm that no matters have (xxne to my attention in conne(**Jn with the examination giving me cause to believe: accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act. or 2. th8 accounts th) not accord with t￿K￿ le￿)rds. 3. the accounts do rnt compty the a¢o￿nI1￿j requirements of sedion 396 of ￿ 2006 Ad other than any requrement that the accounts give a 'true and falr view which is not matter considered as part of an independent examination; or 4. the accounts have rK)t been prepar￿ in accordance with th8 m8th(xls and principles of the Stslement of Re￿mmended Pra￿1￿ accounting and reportin9 by Charities applicable to charities Fwaring their acrounts In accof(Jance with the Flnancial Reportlng Standard applicable in the UK arwj Republic of Ireland (FRS 102). I h8ve no concems and have come 8(Toss no other matters In connection wlih the examination to which attention should be drawn in this report in crder lo enable 8 pfoFer underslanding of the accounts to be r8ached. Lik Anthony Epton Goldwins Chartered accountants 75 Maygrove Road West Hampstead London NW6 2EG FCA CTA FCIE Yeshivas Mekor Chayim Limited Statement of financial activities (incorpornting an income and expenditure account) For the ear ended 31 Ju 2024 2024 Unrestricted 2024 Restricted Funds Totsl Funds JJ24 2023 Total Funds Income from: Donations Chariiable activities Investment income Total income 674,386 58,766 674.386 58,766 800.672 63.081 272 864.025 733,215 733.215 Expendlture on: Ralslng furKIs Charitable activitses: Totsl expendlture 25.540 724,053 749,593 25,540 724,053 749,593 911 699.018 699,929 Net Sncomel (oxpondlture) for thè yaar (16.378) (16.378) 164.096 N•t movomant In funds 16,378 16.378 164.096 Reconciliation of funds: Total funds kxwght fotward 311,231 311,231 147,135 Total funds carrled foThvard 12 311,231 All of the atme results are dwived from Con1￿u1ng ac11vi￿. There were no other recognlsed gains or k￿SeS other than those stated al>)ve. The attached notes form part of these financial statements. Yeshivas Mekor Chayirn Limited Balance sheet Asat31Ju 2024 Noto 2024 2024 2023 2023 Fixed assets: Tangible assets 310,876 367,268 Current assets: Cash at bank and in hand 6.296 Liabllltles: Credilors: amounts falling due withln on8 10 24.082 62,333 Net current assetsl (Ilabllltles) 16,022 56,03 Total assetsloss current liabilitlos 294.853 311231 Total net assetsl (Ilabllltlos) 11 294,853 311.231 Funds General funds Totsl unrestricted furKIs 311,231 311.231 Total funds 12 294.853 311,231 For the year eThYed 31 July 2024 th8 oxnpany was entitled to exemption from audit uTrJer section 477 of the c￿panIeS Act 2006 relating to small companies. The members have not r8quired the company to obtain an audit in accordance with seclion 476 of the Companies Act 2006.The directors ackno*￿90 their re5ponsibilty for.complying with the requirements of tho Act with respect to acrmaty noltllcthn of th8 interest paid or payabl8 by the bank. o) Fund accounting Unrestrided funds are available to spend on activities that further any of the wrposes of charity. Designated funds are unrestri1*8d funds ot the charity whith tfustees have deaded at thelr discretlon to sel aside to use for a speafic purpose. Restrided funds are donations whlch the donor has speufied are to be solely used for partiwlar areas of the tharity's woth or for specific projects being undertaken by the charity. Ex￿nthture and IrroGoverable VAT Expendliure Is rerA)gnised once there Is a legal or ￿)nsIrU(Aiv8 obligation to make a payment to a third party, it is probable that setuement will be required arNJ th8 amount of the obligation G9n be measured reliably. Expenditure is classified under the follo*ryng activty headings: Casts of raising funds I￿npriSe of (x)sts WCUTred by the charitable company in inducing third parties to make vduntary ￿ntriE￿￿1￿)S to IL as wdl as the (x)st of any adivities with a fijndraising purpose. Expenditure on charitable activities indudes the costs of delivering servi￿ undertaken to further the purposes of the tharity and their ass(J(iated suptxxi (x)5ts. Irrecoverable VAT is charged as a cost against the acbvity for which the expenditure was incurred. 10 Yeshivas Mekor Chayim Llmited Notes to the financial ststements For the ear ended 31 Juty 2024 1 Accounting pollclos Icontlnued) g) Allocation of support costs Support costs are those functions that assist the work of the charity but do not diredly undertake charitable activitses. Support L)Jsts indude back Offi￿ costs. fina[￿, p8rsonn81. payr￿1 and govemance costs whidi suppxt the charity and its activities. These costs have been allocated between cost of rdiSiThJ funds a￿1 expenditure on charitable activitses. The bases on which supwfft costs have been akxxted are set out in nole 5. h) Operatlngloases Rental d￿rJr es are charged on a stralght line basis over the terni of the lease. l) Tanglble fixed assets Ilems of equipment are capitalised where thè purchase pric¥ exc£eds £500. Depreciation is tKovided at rates ￿lculated lo wiite dovm the o)st of eath asset to its estimated resldual value OV8r Its exp8Ct8d useful1rf8. The d8precialion ratas in use are as folk>ws: Leasehold improvements Motor vehldès Flxiures and ffttings 25% reduang b8lanc8 25% reducing balance 25% reducing balance J) Cash at bank and In hand Cash 8t bank and cash in h8nd indudes cash and shcKI term highly liqukj inv8Stments with a short maturity of three months less from the date of a(4uisit#)n or openlng of the deposit or similar accounL k) Credltors and provlslons Creditors arKI provlsions are re(x)gnised where the d)arity has a present obligation resulling from a past event that will wobabty resutt in Ihe transfer of funds to a third party and the amount due to settle the obligatlon can be measured or estimated reliabty. Creditors and provisions a r￿M￿llY recognised at thelr settlen*nt amount after alk￿YIng for any trade discounts due. l) Financlal instruments The charity only has financial assets and financial liabililies of a klnd that qualify as basic finan(ial instnjments. Basic financial instruments are initrally re(wnis8d al transaction value d subsequently measured at their settlement value with Ihe exception of bank loans which are subsequently measured at aMOrti￿ cost using the effective interest metts)d. 11 Yeshivas Mekor Chaylm Limited Notes to the financial statements For the earended 31 Jul 2024 2 Donatlons Unrestrlcted Rèstrlcted Funds Fund6 2024 Total 2023 Total 674.386 674.386 674.386 800.672 674,386 800.672 3 Charitable aclivitlos 2024 Total 2023 Totsl Funds Funds contribu110￿ received 58.766 58,766 58.766 58.766 63.081 63.081 4 Investment ￿cOMe 2024 Total 2023 Total Fund8 Funds Bank interest received 63 272 272 63 12 ry24ItYJ=OOr(Q T*￿0￿￿[00¢01o0ajTh1 ) a) o) *t tr- ¢D Wi ¢C> (Y (Y (v) ¢ cJcJo£JocJ£2ocJou)u)v)o 10 15 TJ IJ a￿(￿(￿ Yeshlvas Mekor Chaylm Lirnited Notes to the financial statements For the year ended 31 July 2024 6 Net Income l (expendlture) for th¢ year This is stated after charging l ((xediting): 2024 2023 OperdtirvJ lease renlal Depreciation Independent examinerfs fees 26.350 122.422 2,500 103,623 3,000 7 Anatysls of staff costs, trustee remuneratlon and •xp8nse& and thg Cost of key management personnel Staff costs wer8 as follows". 2024 2023 Salaries and wages 47,330 24,550 24,550 The total employee b8neffts ind￿1￿9 pensi￿ of the key management personnel were £9,000 (2023. £8.180). No employee re(xived employee beneffts (eX￿￿JIng empwr pension) exc88ding £60.000 during the year. The charity trustees were rK)t paid or received any benefits from emplosrynent vrith the ¢h8rity neither were they reimbursed expenses durfng the year. No thwity trustee received payment for professional or other ser4ices supplF8d to the charity. The average number of er￿lOYeeS during the year was 5 (2023.3). 8 Taxatlon The charity is exempt from ￿r￿)ralk￿ lax as all its income Is charilable and is applied for the charitable wrposes. 14 Yeshivas Mekor Chayim Lirnited Notes to the financial statements For the ear ended 31 July 2024 9 Tangible fixed assets LeaselK)Id imp￿veMents Motor Fixtures vehicaes and fittings 2024 Totsl Co At the stsrt of the year Additions in year At the end of the year 507.565 40,156 547.721 18.687 7.075 25.762 529.252 47,231 576A83 Deproclation At the stsrt of the year Charge for the year At the end of the year 153.495 98.555 252.050 1.735 316 2.051 6.754 4.752 11,506 161.984 103.623 265.607 Net book value At the gnd olthe y￿r 295.671 14,256 310,876 At th8 Start of th8 year 354.070 1.265 367.268 l of the above assets are used for dwritaNe purFK)ses. 10 Credltors: amounts falllng the wfthln one year 2024 2023 Bank loan Other k>ans Accrnals 21,082 30,833 24,082 62.333 11 Analysis of net assets between lundB General Unrestricted Desiwated Resthcted Funds Funds Furmjs Total funds Fixed assets Net current liatmlities Total net assets 310.876 (16.022) 310.876 (16.022) 294,853 15 Yeshlvas Mekor Chaylm Umited Notes to the financial statements For the year ended 31 July 2024 Analysis of net assets betweon furxts ￿or year General Unrestr#Xed Designated Reslithd Funds Funds Funds Totsl funds Fixed assets Net cjjrrent assets Total net assets 367268 56.037 311,231 367,268 56,03 311.231 12 Movements In funds Atth8 stsrt of the￿r At the end Incom8 Expend￿Ure Transfers of the year General funds Total unrostrlcted fund8 311.231 311,231 733,215 733.215 49.593 49.593 294.853 294.853 Movements In funds prlor year Al the stsrt of Ihe year At the ènd Inco￿ ExPend￿re Trar6fer5 of thg year General fvnds Total unrostrlctsd fvnds 147.135 147,135 864.025 864,025 699,929 (699.929) 311,231 311.231 13 Legal status of tho ¢harfty The charity is a company limited by guarantee arKI has no share capltsl. Each member is liable to contribute a sum not ex(%ediNJ £1 in the event of the tharity beiThJ wjund up. 14 Related party transactlons DurirKJ the year the charity received donations for th8 sum of £80,IJX) arKJ £37.800 frcxn North London Welfare atml Educational Foundation and Comet Charities Ltd respectively. One of the trustees. Mr B C Joseph. is also a I￿￿ee in Norlh London Welfare arKI Education Foundation and Comel Charilies Ltd. 16