The Gloucester Muslim Welfare Association Limited
Charity No. 256774
Company No. 00892661
Trustees' Report and Unaudited Accounts
31 October 2022
The Gloucester Muslim Welfare Association Limited Contents
| Pages | ||
|---|---|---|
| Trustees' Annual Report | 2 to 3 | |
| Independent Examiner's Report | 4 | |
| Statement of Financial Activities | 5 | |
| Summary Income and Expenditure Account | 6 | |
| Balance Sheet | 7 | |
| Notes to the Accounts | 8 to | 15 |
| Detailed Statement of Financial Activities | 16 to | 17 |
Page 1
The Gloucester Muslim Welfare Association Limited Trustees Annual Report
The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the unaudited financial statements of the charity for the year ended 31 October 2022.
REFERENCE AND ADMINISTRATIVE DETAILS
Company No. 00892661
Charity No. 256774
Principal Office
44/46 Ryecroft Road Gloucester GL1 4LY
Registered Office
44/46 Ryecroft Road Gloucester GL1 4LY
Directors and Trustees
The Directors of the charitable company are its Trustees for the purposes of charity law. The following Directors and Trustees served during the year:
Y. Patel
Y. Topia
Company Secretary
A. Ginwalla
Key Management Personnel
Chairman Mr Y Patel
Accountants
Robert Powell Chartered Accountant C2 Spinnaker House Hempsted Lane Gloucester GL2 5FD
Bankers
Barclays Bank Gloucester GL18 1DH
Solicitors
None
Investment Advisors
Page 2
The Gloucester Muslim Welfare Association Limited Trustees Annual Report
None
ACHIEVEMENTS AND PERFORMANCE
The association has continued to look after the interests of the Muslim community in Gloucester.
The charity's fundraising comes from the members.
There are no material investments
PLANS FOR FUTURE PERIODS
The charity's future plans are to carry on the work that has been done in the past.
The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006. The Trustees are also responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention and detection of fraud and other irregularities.
The above report has been prepared in accordance with the provisions applicable to companies subject to the small companies regime as set out in Part 15 of the Companies Act 2006 and in accordance with the Charities SORP (FRS 102).
Signed on behalf of the board
Y. Patel Trustee 19 April 2023
Page 3
The Gloucester Muslim Welfare Association Limited Independent Examiners Report
Independent Examiner's Report to the trustees of The Gloucester Muslim Welfare Association Limited
I report to the charity trustees on my examination of the financial statements of The Gloucester Muslim Welfare Association Limited for the year ended 31 October 2022 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet and the related notes.
Responsibilities and basis of report
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's financial statements as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that:
-
accounting records were not kept in accordance with section 386 of the 2006 Act ; or
-
the financial statements do not accord with those records; or
-
the financial statements do not comply with the accounting requirements under section 396 of the 2006 Act other than any requirement that the financial statements give a 'true and fair' view which is not a matter considered as part of an independent examination; or
-
the financial statements have not been prepared in accordance with the Charities SORP (FRS 102).
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 financial statements to be reached.
Robert Powell ICAEW Robert Powell Chartered Accountant C2 Spinnaker House Hempsted Lane Gloucester
GL2 5FD 19 April 2023
Page 4
The Gloucester Muslim Welfare Association Limited Statement of Financial Activities
for the year ended 31 October 2022
| Notes Income and endowments from: Donations and legacies 4 Charitable activities 5 Other trading activities 6 Investments 7 Other 8 Total Expenditure on: Raising funds 9 Charitable activities 10 Other 11 Total Net gains on investments Net income Transfers between funds Net income before other gains/(losses) Other gains and losses Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward |
Unrestricted funds 2022 £ 61,738 6,117 25,805 31,075 2,948 |
Restricted funds 2022 £ 24,562 - - - - |
Total funds 2022 £ 86,300 6,117 25,805 31,075 2,948 |
Total funds 2021 £ 57,221 2,377 25,875 20,535 2,824 |
|---|---|---|---|---|
| 127,683 4,493 - 62,118 |
24,562 10,438 9,363 - |
152,245 14,931 9,363 62,118 |
108,832 8,596 15,150 59,687 |
|
| 66,611 - |
19,801 - |
86,412 - |
83,433 - |
|
| 61,072 - |
4,761 - |
65,833 - |
25,399 - |
|
| 61,072 | 4,761 | 65,833 | 25,399 | |
| 61,072 1,190,404 |
4,761 (291,080) |
65,833 899,324 |
25,399 873,925 |
|
| 1,251,476 | (286,319) | 965,157 | 899,324 |
Page 5
The Gloucester Muslim Welfare Association Limited Summary Income and Expenditure Account
for the year ended 31 October 2022
| Income Interest and investment income Gross income for the year Expenditure Total expenditure for the year Net income before tax for the year Net income for the year |
2022 £ 121,170 31,075 152,245 86,412 86,412 65,833 65,833 |
2021 £ 88,297 20,535 |
|---|---|---|
| 108,832 | ||
| 83,433 | ||
| 83,433 | ||
| 25,399 | ||
| 25,399 |
Page 6
The Gloucester Muslim Welfare Association Limited Balance Sheet
at 31 October 2022
| Company No. 00892661 Notes 2022 £ Fixed assets Tangible assets 13 700,167 700,167 Current assets Debtors 14 4,649 Cash at bank and in hand 279,353 284,002 Creditors:Amount falling due within one year 15 (19,012) Net current assets 264,990 Total assets less current liabilities 965,157 Net assets excluding pension asset or liability 965,157 Total net assets 965,157 The funds of the charity Restricted funds 17 Restricted income funds (286,319) (286,319) Unrestricted funds 17 General funds 1,029,414 1,029,414 Reserves 17 Revaluation reserve 222,062 222,062 Total funds 965,157 |
2021 £ 700,167 |
|---|---|
| 700,167 7,916 374,531 |
|
| 382,447 (183,290) |
|
| 199,157 899,324 |
|
| 899,324 | |
| 899,324 | |
| (291,080) | |
| (291,080) 968,342 |
|
| 968,342 222,062 |
|
| 222,062 | |
| 899,324 |
These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
For the year ended 31 October 2022 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.
Approved by the board on 19 April 2023
And signed on its behalf by:
Y. Patel
Trustee 19 April 2023
Page 7
The Gloucester Muslim Welfare Association Limited Notes to the Accounts
for the year ended 31 October 2022
- 1 Accounting policies
Basis of preparation
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 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Change in basis of accounting or to previous accounts
There has been no change to the accounting policies (valuation rules and method of accounting) since last year and no changes have been made to accounts for previous years.
Fund accounting
-
Unrestricted funds These are available for use at the discretion of the trustees in furtherance of the general objects of the charity.
-
Designated funds These are unrestricted funds earmarked by the trustees for particular purposes. Revaluation funds These are unrestricted funds which include a revaluation reserve representing the restatement of investment assets at their market values.
-
Restricted funds These are available for use subject to restrictions imposed by the donor or through terms of an appeal.
Income
-
Recognition of Income is included in the Statement of Financial Activities (SoFA) when the charity income becomes entitled to, and virtually certain to receive, the income and the amount of the income can be measured with sufficient reliability.
-
Income with related Where income has related expenditure the income and related expenditure is expenditure reported gross in the SoFA. Donations and Voluntary income received by way of grants, donations and gifts is included in the legacies the SoFA when receivable and only when the Charity has unconditional entitlement to the income.
-
Tax reclaims on Income from tax reclaims is included in the SoFA at the same time as the donations and gifts gift/donation to which it relates. Donated services These are only included in income (with an equivalent amount in expenditure) and facilities where the benefit to the Charity is reasonably quantifiable, measurable and material.
Volunteer help The value of any volunteer help received is not included in the accounts. Investment income This is included in the accounts when receivable. Gains/(losses) on This includes any gain or loss resulting from revaluing investments to market value revaluation of fixed at the end of the year. assets Gains/(losses) on This includes any gain or loss on the sale of investments. investment assets
Page 8
The Gloucester Muslim Welfare Association Limited Notes to the Accounts
Expenditure
-
Recognition of Expenditure is recognised on an accruals basis. Expenditure includes any VAT which expenditure cannot be fully recovered, and is reported as part of the expenditure to which it relates.
-
Expenditure on These comprise the costs associated with attracting voluntary income, fundraising raising funds trading costs and investment management costs. Expenditure on These comprise the costs incurred by the Charity in the delivery of its activities and charitable activities services in the furtherance of its objects, including the making of grants and governance costs.
-
Grants payable All grant expenditure is accounted for on an actual paid basis plus an accrual for grants that have been approved by the trustees at the end of the year but not yet paid.
-
Governance costs These include those costs associated with meeting the constitutional and statutory requirements of the Charity, including any audit/independent examination fees, costs linked to the strategic management of the Charity, together with a share of other administration costs.
-
Other expenditure These are support costs not allocated to a particular activity.
Taxation
The charity is exempt from corporation tax on its charitable activities.
Freehold investment property
Investment properties are measured initially at cost and subsequently at fair value at each balance sheet date and are not depreciated. All gains or losses are taken to the Statement of Financial Activities as they arise.
Stocks
Stock is included at the lower of cost or net realisable value. Donated items of stock are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market.
Trade and other debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management.
Trade and other creditors
Short term creditors are measured at the transaction price. Other creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
Page 9
The Gloucester Muslim Welfare Association Limited Notes to the Accounts
Research and development
Expenditure on research and development is written off in the year in which it is incurred.
Foreign currencies
Monetary assets and liabilities denominated in currencies other than the functional currency of the charity are translated at the rates of exchange prevailing at the end of the reporting period.
Transactions in currencies other than the functional currency of the charity are recorded at the rate of exchange on the date that the transaction occurred.
All exchange differences are are taken into account in arriving at net income/expenditure.
Leased assets
Where the charity enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a finance lease.
Leases which do not transfer substantially all the risks and rewards of ownership to charity are classified as operating leases.
Assets held under finance leases are initially recognised as assets of the charity at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet date as a finance lease obligation. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the charity's policy on borrowing costs.
Assets held under finance leases are depreciated in the same way as owned assets.
Operating lease payments are recognised as an expense on a straight-line basis over the lease term. In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis.
Pension costs
The charity operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payments obligations. The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.
Receipt of donated goods, facilities and services
All donated goods, facilities and services received are recognised within incoming resources and expenditure at an estimate of the value to the charity.
2 Company status
The company is a private company limited by guarantee and consequently does not have share capital.
Page 10
The Gloucester Muslim Welfare Association Limited Notes to the Accounts
3 Statement of Financial Activities - prior year
| 3 Statement of Financial Activities - prior year |
||||
|---|---|---|---|---|
| Income and endowments from: Donations and legacies Charitable activities Other trading activities Investments Other Total Expenditure on: Raising funds Charitable activities Other Total Net income Net income before other gains/(losses) Other gains and losses: Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward 4 Income from donations and legacies Donations Income tax refunds on covenants Sundry income and donations for special appeals Donations, income tax refunds and rents |
Unrestricted £ 55,771 5,967 - - 61,738 |
Unrestricted funds 2021 £ 53,396 2,377 25,875 20,535 2,824 105,007 6,096 - 59,687 65,783 39,224 39,224 39,224 1,151,180 1,190,404 Restricted £ - - 14,299 10,263 24,562 |
Restricted funds 2021 £ 3,825 - - - - 3,825 2,500 15,150 - 17,650 (13,825) (13,825) (13,825) (277,255) (291,080) Total 2022 £ 55,771 5,967 14,299 10,263 86,300 |
Total funds 2021 £ 57,221 2,377 25,875 20,535 2,824 |
| 108,832 8,596 15,150 59,687 |
||||
| 83,433 | ||||
| 25,399 | ||||
| 25,399 | ||||
| 25,399 873,925 |
||||
| 899,324 | ||||
| Total 2021 £ 48,277 5,119 2,761 1,064 |
||||
| 57,221 |
Page 11
The Gloucester Muslim Welfare Association Limited
Notes to the Accounts
5 Income from charitable activities
| Marriage fees Funeral income 6 Income from other trading activities Membership fees 7 Income from investments Rents received 8 Other income Sundry income Mortuary room refurbishment donations 9 Expenditure on raising funds Costs of generating voluntary income Donations Investment management costs Rents received |
Unrestricted £ - 4,493 4,493 |
Unrestricted £ - 6,117 6,117 Unrestricted £ 25,805 25,805 Unrestricted £ 31,075 31,075 Unrestricted £ 2,948 - 2,948 |
Total 2022 £ - 6,117 6,117 Total 2022 £ 25,805 25,805 Total 2022 £ 31,075 31,075 Total 2022 £ 2,948 - 2,948 |
Total 2021 £ 290 2,087 |
|---|---|---|---|---|
| 2,377 | ||||
| Total 2021 £ 25,875 |
||||
| 25,875 | ||||
| Total 2021 £ 20,535 |
||||
| 20,535 | ||||
| Total 2021 £ 524 2,300 |
||||
| 2,824 | ||||
| Restricted £ 10,438 - 10,438 |
Total 2022 £ 10,438 4,493 14,931 |
Total 2021 £ 2,500 6,096 |
||
| 8,596 |
Page 12
The Gloucester Muslim Welfare Association Limited
Notes to the Accounts
10 Expenditure on charitable activities
| Governance costs Rent reimbursement Transfer to Mosque account 11 Other expenditure Employee costs Premises costs General administrative costs Legal and professional costs 12 Staff costs Salaries and wages No employee received emoluments in excess of £60,000. 13 Tangible fixed assets Cost or revaluation At 1 November 2021 At 31 October 2022 Net book values At 31 October 2022 At 31 October 2021 14 Debtors Prepayments and accrued income 15 Creditors: amounts falling due within one year Other creditors Deferred income |
Restricted £ 9,363 - 9,363 Unrestricted £ 36,052 22,341 3,221 504 62,118 2022 36,052 36,052 2022 £ 4,649 4,649 2022 £ 19,012 - 19,012 |
Total 2022 £ 9,363 - 9,363 Total 2022 £ 36,052 22,341 3,221 504 62,118 £ 700,167 700,167 700,167 700,167 |
Total 2021 £ - 15,150 |
|---|---|---|---|
| 15,150 | |||
| Total 2021 £ 31,876 22,182 5,131 498 |
|||
| 59,687 | |||
| 2021 31,876 |
|||
| 31,876 | |||
| £ 700,167 |
|||
| 700,167 | |||
| 700,167 | |||
| 700,167 | |||
| 2021 £ 7,916 |
|||
| 7,916 | |||
| 2021 £ 23,290 160,000 |
|||
| 183,290 |
Page 13
The Gloucester Muslim Welfare Association Limited Notes to the Accounts
16 Deferred Income
Movement of the deferred income shown in Creditors: amounts falling due more than one year
| At 1 November Released in current year Deferred in current year At 31 October 17 Movement in funds Restricted funds: Restricted income funds: Special purposes Mosque extension fund Islamic School property investment fund Total Unrestricted funds: General funds Revaluation Reserves: Revaluation fund Total revaluation reserves Total funds |
At 1 November 2021 12,293 (321,468) 18,095 (291,080) 968,342 222,062 222,062 899,324 |
2022 £ 160,000 (160,000) - - Incoming resources (including other gains/losses ) £ 14,299 10,263 - 24,562 127,683 - - 152,245 |
Resources expended £ (10,438) (9,363) - (19,801) (66,611) (86,412) |
2021 £ |
|---|---|---|---|---|
| - | ||||
| - 160,000 |
||||
| 160,000 | ||||
| At 31 October 2022 £ 16,154 (320,568) 18,095 |
||||
| (286,319) | ||||
| 1,029,414 222,062 |
||||
| 222,062 | ||||
| 965,157 |
Purposes and restrictions in relation to the funds: Revaluation reserves Represent the amount by which investments exceed their historical cost.
Restricted funds: Special purposes Mosque extension fund Islamic School property investment fund
Page 14
The Gloucester Muslim Welfare Association Limited
Notes to the Accounts
18 Analysis of net assets between funds
| 18 Analysis of net assets between funds | |||
|---|---|---|---|
| Fixed assets Net current assets 19 Reconciliation of net debt Cash and cash equivalents Net debt |
Unrestricted funds £ 700,167 248,837 949,004 At 1 November 2021 £ |
Restricted funds £ - 16,153 16,153 Cash flows £ |
Total £ 700,167 264,990 |
| 965,157 | |||
| At 31 October 2022 £ |
|||
| 374,531 | (95,178) | 279,353 | |
| 374,531 374,531 |
(95,178) (95,178) |
279,353 | |
| 279,353 |
20 Related party disclosures
Controlling party
The company is limited by guarantee and has no share capital; thus no single party controls the company.
Page 15
The Gloucester Muslim Welfare Association Limited Detailed Statement of Financial Activities
for the year ended 31 October 2022
| Income and endowments from: Donations and legacies Donations Income tax refunds on covenants Sundry income and donations for special appeals Donations, income tax refunds and rents Charitable activities Marriage fees Funeral income Other trading activities Membership fees Investments Rents received Other Sundry income Mortuary room refurbishment donations Total income and endowments Expenditure on: Costs of generating donations and legacies Donations Investment management costs Rents received Total of expenditure on raising funds Governance costs Rent reimbursement Transfer to Mosque account |
Unrestricte d funds 2022 £ 55,771 5,967 - - 61,738 - 6,117 6,117 25,805 25,805 31,075 31,075 2,948 - 2,948 127,683 - - 4,493 4,493 4,493 - - - |
Restricted funds 2022 £ - - 14,299 10,263 24,562 - - - - - - - - - - 24,562 10,438 10,438 - - 10,438 9,363 - 9,363 |
Total funds 2022 £ 55,771 5,967 14,299 10,263 86,300 - 6,117 6,117 25,805 25,805 31,075 31,075 2,948 - 2,948 152,245 10,438 10,438 4,493 4,493 14,931 9,363 - 9,363 |
Total funds 2021 £ 48,277 5,119 2,761 1,064 |
|---|---|---|---|---|
| 57,221 | ||||
| 290 2,087 |
||||
| 2,377 | ||||
| 25,875 | ||||
| 25,875 | ||||
| 20,535 | ||||
| 20,535 | ||||
| 524 2,300 |
||||
| 2,824 | ||||
| 108,832 2,500 |
||||
| 2,500 | ||||
| 6,096 | ||||
| 6,096 | ||||
| 8,596 - 15,150 |
||||
| 15,150 |
Page 16
The Gloucester Muslim Welfare Association Limited Detailed Statement of Financial Activities
| Total of expenditure on charitable activities Employee costs Salaries/wages Premises costs Water rates Light, heat and power Caretakers Mosque maintenance Other premises costs General administrative costs, including depreciation and amortisation General insurances Stationery and printing Broadcasting licence fee Sundry expenses Telephone rental charge Legal and professional costs Independent examination fees Total of expenditure of other costs Total expenditure Net gains on investments Net income Net income before other gains/(losses) Other Gains Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward |
- 36,052 36,052 2,153 11,679 4,504 4,005 - 22,341 2,450 408 150 48 165 3,221 504 504 62,118 66,611 - 61,072 61,072 - 61,072 1,190,404 1,251,476 |
9,363 - - - - - - - - - - - - - - - - - 19,801 - 4,761 4,761 - 4,761 (291,080) (286,319) |
9,363 36,052 36,052 2,153 11,679 4,504 4,005 - 22,341 2,450 408 150 48 165 3,221 504 504 62,118 86,412 - 65,833 65,833 - 65,833 899,324 965,157 |
15,150 31,876 |
|---|---|---|---|---|
| 31,876 | ||||
| 484 9,255 - 6,593 5,850 |
||||
| 22,182 | ||||
| 2,683 624 150 1,508 166 |
||||
| 5,131 | ||||
| 498 | ||||
| 498 | ||||
| 59,687 | ||||
| 83,433 - |
||||
| 25,399 | ||||
| 25,399 - |
||||
| 25,399 | ||||
| 873,925 | ||||
| 899,324 |
Page 17