## **ANNUAL REPORT AND FINANCIAL STATEMENTS**
## **FOR THE ENDED**
**31ST JULY 2023**
## **REACH SOUTH**
(Charitable Incorporated Organisation)
**CHARITY REGISTRATION No: 1196451**
REACH SOUTH (Charitable Incorporated Organisation)
## **CONTENTS**
|LEGAL AND ADMINISTRATIVE INFORMATION|3|
|---|---|
|INDEPENDENT EXAMINER’S REPORT ON THE ACCOUNTS|4|
|STATEMENT OF FINANCIAL ACTIVITIES|5|
|BALANCE SHEET|6|
|NOTES TO THE FINANCIAL STATEMENTS|7-9|
|TRUSTEES’ REPORT|10-12|
REACH SOUTH (Charitable Incorporated Organisation)
## **LEGAL AND ADMINISTRATIVE INFORMATION**
**CHARITY NUMBER** 1196451 **DATE OF REGISTRATION** 08 November 2021 **START OF FINANCIAL YEAR** 01 August 2022 **END OF FINANCIAL YEAR** 31 July 2023 **TRUSTEES AS AT 31st JULY 2023** J. A. Clifton F. E. O. Saer J. P. Shulver
## **LEGAL STATUS**
Charitable Incorporated Organisation
## **GOVERNING INSTRUMENT**
CIO Foundation Registered 8th November 2021
## **OBJECTS**
The advancement of the Christian faith in the United Kingdom and other parts of the world as the trustees determine, through the establishment of a partnership of evangelical churches cooperating to plant and resource new churches, recruit and support gospel workers, train members of the churches for ministry, and co-ordinate efforts and expenditure for the furtherance of the gospel by publications, assemblies, courses and otherwise.
## **CORRESPONDENCE ADDRESS**
## **PRIMARY BANKERS**
Burgess Road Library Burgess Road Southampton SO16 3HS CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4TA
## **INDEPENDENT EXAMINER**
Nathan Vogt ACA
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REACH SOUTH (Charitable Incorporated Organisation)
## **INDEPENDENT EXAMINER'S REPORT ON THE ACCOUNTS**
Report to the trustees/members of Reach South CIO on the accounts for the period ended 31st July 2023 set out on pages 7 to 12.
I report to the trustees on my examination of the accounts of the above charity ("the Trust") for the year ended 31 July 2023.
## **Responsibilities and basis of report**
As the charity trustees, 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 Trust's accounts carried out under section 145 of the 2011 Act and in carrying out my examination, I have followed all the applicable Directions given by the Charity Commission under section 14S(S)(b) of the Act.
## **Independent examiner's statement**
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: the accounting records were not kept in accordance with section 130 of the Charities
- Act; or
the accounts did not accord with the accounting records; or
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 a proper understanding of the accounts to be reached.
Signed: l,.l"-'[-\L_ ] **[v ]**[½ · ]
Name: Nathan Vogt ACA Date: ')...L\- / D S" / 1.02.Lt-
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(Charitable Incorporated Organisation)
## REACH SOUTH
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STATEMENT OF FINANCIAL ACTIVITIES
FOR THE ENDED 31 JULY 23
YEAR YEAR
Notes 2023 2022
£ £
INCOMING RESOURCES
Incoming Resources from Generated Funds 3.1 25,623 1,500
Incoming Resources from Charitable Activities 3.2 15,408 297
Other Incoming Resources 3.3 26 -
TOTAL INCOMING RESOURCES 41,057 1,797
RESOURCES EXPENDED
Charitable Activities 4.1 25,881 -
Governance Costs 4.2 452 24
TOTAL RESOURCES EXPENDED 26,333 24
NET MOVEMENT IN FUNDS 14,725 1,773
TOTAL FUNDS BROUGHT FORWARD 1,773 -
TOTAL FUNDS CARRIED FORWARD 16,498 1,773
All funds received and expended by Reach South in the period were unrestricted. Movements on all
reserves and all recognised gains and losses are shown above.
All of the organisation's operations are classed as continuing.
The notes on pages 7 to 9 form part of these financial statements.
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REACH SOUTH (Charitable Incorporated Organisation)
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BALANCE SHEET
AS AT 31 JULY 2023
TOTAL TOTAL
Notes 2023 2022
£ £
Current Assets
Cash at Bank and in Hand 10 16,498 1,773
Total Current Assets 16,498 1,773
NET CURRENT ASSETS 16,498 1,773
TOTAL ASSETS less current liabilities 16,498 1,773
NET ASSETS 16,498 1,773
Funds of the Charity
General Funds 16,498 1,773
Total Funds 16,498 1,773
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REACH SOUTH (Charitable Incorporated Organisation)
## **NOTES TO THE ACCOUNTS FOR THE ENDED 31 JULY 2023**
## **1. BASIS OF PREPARATION**
## **1.1 Basis of Accounting**
The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019) - (Charities SORP - FRS102) and the Charities Act 2011
The Charity meets the definition of a public benefit entity under FRS102 through the objectives as set out in the Trustees' Report.
Assets and liabilities are initially recognised at historical cost unless otherwise stated in the relevant accounting policy notes.
## **1.2 Assessment of Going Concern**
Preparation of the accounts is on a going concern basis. The trustees consider that there are no material uncertainties about the Charity's ability to continue as a going concern. The trustees have prepared projections for more than 12 months from the signing of the accounts and are confident that the charity will be able to meet its financial obligations as they fall due in the forseeable future
## **2. ACCOUNTING POLICIES**
## **2.1 Income**
Income is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part, income is generally recognised when it is received. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.
Recoverable Gift Aid is recognised when the related donation is received. Gift aid that has not been recovered by the Balance Sheet date is included as a debtor.
The Charity relies on volunteers to carry out many of its activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured.
## **2.2 Expenditure & Liabilities**
Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources.
Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured
Governance costs are those costs associated with the governance arrangements which primarily relate to constitutional and statutory requirements and include the strategic planning processes that contribute to the future development of the charity.
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REACH SOUTH (Charitable Incorporated Organisation)
## **NOTES TO THE ACCOUNTS FOR THE ENDED 31 JULY 2023**
Pension contributions are charged to the statement of Financial Activities as they become
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3. INCOMING RESOURCES
2023
£
3.1 Incoming Resources from Generated Funds
Voluntary Income:
Grants 25,623
25,623
3.2 Incoming Resources from Charitable Activities
Big Day Out 1,608
Equip Course Fees 13,800
15,408
3.3 Other Incoming Resources
Bank & Other Interest 26
26
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REACH SOUTH (Charitable Incorporated Organisation)
## **NOTES TO THE ACCOUNTS**
## **FOR THE ENDED 31 JULY 2023**
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4. RESOURCES EXPENDED
TOTAL
Notes 2023
£
4.1 Charitable Activities
Ministry Activities
Big Day Out Food and Refreshments 3,343
Big Day Out General Expenses 1,312
Big Day Out Venue 4,080
Equip Course general expenses 706
Equip Course Speaker expenses 1,102
Equip Course staff costs 15,277
Administrative Costs
Bank fees 60
25,881
4.2 Governance Costs
Advertising & Marketing 333
Subscriptions 18
Accountancy fees 101
452
5. DETAILS OF CERTAIN LINES OF EXPENDITURE
5.1 Trustee Expenses & Remuneration
2023
Number of trustees who were paid expenses 3
Nature of the expenses
Reimbursement of train fares and
fuel expense for travelling to
speak at the Equip Course and
reimbursement for website
domain ownership
Total amount paid £ 70
5.2 Related Party Transactions
The only other payments made to the trustees or any person connected with them
consisted of reimbursements for items purchased on behalf of the Church in furthering
the Charity's objects.
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## Reach South Trustees Report 2022-2023
## **OBJECTIVES AND ACTIVITIES**
The purposes of Reach South are:
The advancement of the Chris�an faith in the United Kingdom and other parts of the world as the trustees determine, through the establishment of a partnership of evangelical churches coopera�ng to plant and resource new churches, recruit and support gospel workers, train members of the churches for ministry, and co-ordinate efforts and expenditure for the furtherance of the gospel by publica�ons, assemblies, courses and otherwise.
When planning and reviewing the objec�ves of the ac�vi�es of the Church, due considera�on has been given to the Charity Commission’s general guidance on public benefit and, in par�cular, the specific guidance on chari�es for the advancement of religion.
The charity set out to encourage and equip those leading and a�ending the churches that make up Reach South. For this repor�ng period (August 2022 to July 2023) the member churches were Christ Church Southampton, Cornerstone Church Portsmouth, Redeemer Winchester and Trinity Church Salisbury. Encouragement and equipping happened through:
- Monthly meetings between the pastors of the member churches
- Training events for all those who attend the members churches
- An annual celebration event for all those attending the member churches
## **ACHIEVEMENTS AND PERFORMANCE**
## **Church Plan�ng:**
A�er a year of planning and fundraising, Reach South oversaw the se�ng up of a new church in Salisbury (Trinity Church Salisbury - TCS). The church formally started gathering in September 2022. Over the repor�ng period, TCS grew in number to become an established church.
During the repor�ng period, the trustees con�nued to explore other possible church plants for the future.
## **Monthly Mee�ngs For Church Leaders:**
Each month, the pastors of the four member churches met to provide updates on each church as well as offering support and advice to one another. At each mee�ng, �me is given over to discuss poten�al future Reach South ini�a�ves. These mee�ngs are a key part of the Reach South charity – they ensure the member churches work effec�vely together to meet the aims of the charity.
## **The Equip Course:**
In December 2021 the trustees planned to set up a training course (The Equip Course) that would equip men and women with Bible-handling and Bible-teaching skills. A course director was appointed (John Taylor was seconded from Christ Church Southampton for two days a week) and people from across the region were encouraged to join. The course commenced in September 2022. There were ini�ally over 20 par�cipants and the majority were from Reach South member churches, but some joined from other churches as well. The teaching was provided by a wide variety of lecturers – including John Taylor, individuals from Reach South churches, and some from other churches in the region.
The aim of the course is: **“to equip Chris�ans of all ages from different church backgrounds from across the south coast to be�er understand, live out and teach God’s Word in whatever se�ng they find themselves.”** The trustees are sa�sfied that the course is accomplishing its aim.
## **Annual Big Day Out:**
Each year, all those who a�end the member churches, gather for the Big Day Out (BDO). The BDO is a day of celebra�on and equipping. In 2023, the BDO took place on Sunday 11 June. Over 600 a�ended and
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enjoyed teaching sessions by Dr Peter Williams on the “Genius of Jesus’ Teaching.” There was a hog roast and games and ac�vi�es. One highlight from the day was hearing tes�monies from individuals who a�end Reach South churches.
## **Mutual Support** :
One of the ways member churches express their support of each other is through an annual ‘pulpit’ swap. A pastor from each member church preaches in a different member church. The pulpit swap happened in January 2023 and was well received by each church.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
Reach South as a legal en�ty is a Charitable Incorporated Organisa�on. It is governed by a cons�tu�on dated 16 September 2021. Registered Charity status was granted on 8 November 2021 under Registra�on Number 1196451. The Charity is governed by a board of Trustees who also cons�tute the members of the Charity. They meet regularly (normally monthly) to set policy and review the ac�vi�es of Reach South.
Trustees are nominated and appointed by exis�ng trustees when they have sa�sfied themselves of the need of further trustees and the qualifica�ons – spiritual and otherwise – of the person proposed for the role.
All trustees serve without remunera�on in their capacity as Trustees.
## **FINANCE**
Total receipts over the repor�ng period (1 August 2022 – 31 July 2023) amounted to £41,057 over the year. Total outgoings were £26,333. The balances carried forward into August 2023 totalled £16,498.
A full financial report is appended.
As the charity moved into its second year, some addi�onal funding was sought beyond the contribu�ons of member churches. Regular dona�ons (totalling £25,623) were made by a small group made up of those who were once part of a Reach South church. The other source of significant income was from Equip Course fees (totalling £13,800).
The majority of outgoings (totalling £17,085) over the year was spent on The Equip Course. Most of that money was spent on the salary of the course director who was seconded from Christ Church Southampton for 2 days a week. A small amount of money was spent on venue costs.
A reserves policy exists whereby – in normal circumstances – cash reserves should be retained amoun�ng to 3 months basic opera�ng costs (such costs being es�mated at a nominal 80% of the full current-year charity budget.) In the repor�ng period this target was met.
It is an�cipated that in the financial year (2023-2024) both incomings and outgoings will con�nue at a similar level.
## **RESPONSIBILITIES OF THE TRUSTEES**
The Trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accoun�ng Standards (United Kingdom Generally Accepted Accoun�ng Prac�ce).
The law applicable to chari�es in England and Wales 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 Charity and of the incoming resources and applica�on of resources of the Charity for that period. In preparing the financial statements the Trustees are required to:
- select suitable accounting policies and apply them consistently;
- observe the methods and principles in the Charities SORP;
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- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on a going concern basis unless it is inappropriate to assume that the Charity will continue in operation.
The Trustees are responsible for keeping proper accoun�ng records that disclose with reasonable accuracy at any �me the financial posi�on of the Charity and enable them to ensure that the financial statements comply with the Chari�es Act 2011, the Charity (Accounts and Reports) Regula�ons 2008 and the provisions of the governing document.
They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the preven�on and detec�on of fraud and other irregulari�es.
The Trustees are responsible for the maintenance and integrity of the charity and financial informa�on included on the charity’s websites. Legisla�on in the United Kingdom governing the prepara�on and dissemina�on of financial statements may differ from legisla�on in other jurisdic�ons.
This report was approved by the Trustees of Reach South on 01/05/2024 and signed on their behalf by:
J. A. Cli�on
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