REGISTERED CHARITY NUMBER: 259337
SEPHARDI KASHRUT AUTHORITY
REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020
STERN ASSOCIATES Chartered Accountants
2 Helenslea Avenue London NW11 8ND
SEPHARDI KASHRUT AUTHORITY
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020
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Report of the Trustees 1 to 2
Independent Examiner's Report 3
Statement of Financial Activities 4
Balance Sheet 5
Notes to the Financial Statements 6 to 9
Detailed Statement of Financial Activities 10 to 11
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SEPHARDI KASHRUT AUTHORITY
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 OCTOBER 2020
The trustees present their report with the financial statements of the charity for the year ended 31 October 2020. The trustees have adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
Objectives and aims
The Sephardi Kashrut Authority aims to uphold Jewish religious requirements by ensuring the due supervision (where such supervision is sought) of Kashrut in connection with food dispensed or manufactured.
Significant activities
In relation to these objectives, the charity has continued to certify and supervise a range of restaurants, bakeries, hotels, caterers and food manufacturers in compliance with Kashrut.
Public benefit
The trustees have complied with their duty to have due regard to the public benefit guidance published by the Charity Commission in exercising their powers or duties.
Grantmaking
A grant made to an outside body must be matched by an equivalent grant to the Spanish & Portuguese Jews' Congregation. Grants to outside bodies must be for the educational promotion of Kashrut (Jewish dietary laws).
ACHIEVEMENT AND PERFORMANCE
Charitable activities
During the year, the charity has provided supervision to approximately 45 establishments and businesses. This supervision ensures the continued availability of certified Kashrut compliant food to the Jewish community.
Whilst providing this supervision, the charity has also successfully maintained adequate reserves to ensure the continued provision of its' charitable services for the foreseeable future.
FINANCIAL REVIEW
Reserves policy
It is the policy of the charity to maintain unrestricted funds, which are free reserves of the charity, at a level to cover administration costs for a period of at least eighteen months.
There are no restrictions on the charity's power to invest.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The Sephardi Kashrut Authority was established under and by the Authority of the Haham and his Ecclesiastical Authority. Its constitution was adopted on 15th July 1969 and constitutes an unincorporated charity.
Recruitment and appointment of new trustees
Officers and committee members are recruited based on their knowledge, skills and adherence to the charity's objectives.
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SEPHARDI KASHRUT AUTHORITY
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 OCTOBER 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT Officers and committee
The Chairman is appointed for a period of three years and he may put himself forward for re-appointment. The Board of Elders, the ruling body of the Spanish and Portuguese Jews' Congregation, must approve the Chairman's appointment. Members of the Authority who are not ex officio or co-opted are elected for a period of two years, by the Yehidim (members) of the Spanish and Portuguese Jews' Congregation. The Officers meet at least four times a year.
The officers and committee members give of their time voluntarily, and no remuneration or expenses were paid to them in the year.
Policy decisions are made by the executive committee who instruct the executive director to put these in to action.
The charity is administered on a day to day basis by its director of licencing.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number 259337
Principal address
2 Ashworth Road London W9 1JY
Trustees
Mrs S Kandel (resigned 26.3.21) R J Kandel A Tricot (Honorary Chairman) D Kessler (resigned 26.3.21) J Cohen J Bekhor (Honorary Treasurer) (resigned 26.3.21) J M Silberstein (Honorary Treasurer) (appointed 26.3.21) A J Aaron (appointed 26.3.21) S C Simon (appointed 26.3.21)
Independent Examiner
STERN ASSOCIATES Chartered Accountants 2 Helenslea Avenue London NW11 8ND
Director of licencing
Aaron Isaac
Approved by order of the board of trustees on 27 August 2021 and signed on its behalf by:
A Tricot (Honorary Chairman) - Trustee
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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF SEPHARDI KASHRUT AUTHORITY
Independent examiner's report to the trustees of Sephardi Kashrut Authority
I report to the charity trustees on my examination of the accounts of Sephardi Kashrut Authority (the Trust) for the year ended 31 October 2020.
Responsibilities and basis of report
As the charity trustees of the Trust 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 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 have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do 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.
S. D. Stern STERN ASSOCIATES Chartered Accountants 2 Helenslea Avenue London NW11 8ND
27 August 2021
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SEPHARDI KASHRUT AUTHORITY
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 OCTOBER 2020
| 31.10.20 Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Charitable activities Supervision 129,159 Investment income 2 81 Other income 19,944 Total 149,184 EXPENDITURE ON Charitable activities Supervision 241,598 NET INCOME/(EXPENDITURE) (92,414) RECONCILIATION OF FUNDS Total funds brought forward 95,898 TOTAL FUNDS CARRIED FORWARD 3,484 |
31.10.19 Total funds £ 180,843 172 - 181,015 194,011 (12,996) 108,894 95,898 |
|---|---|
The notes form part of these financial statements
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SEPHARDI KASHRUT AUTHORITY
BALANCE SHEET 31 OCTOBER 2020
| 31.10.20 Unrestricted fund Notes £ FIXED ASSETS Tangible assets 5 1,577 CURRENT ASSETS Debtors 6 42,293 Cash at bank 54,327 96,620 CREDITORS Amounts falling due within one year 7 (94,713) NET CURRENT ASSETS 1,907 TOTAL ASSETS LESS CURRENT LIABILITIES 3,484 NET ASSETS 3,484 FUNDS 9 Unrestricted funds 3,484 TOTAL FUNDS 3,484 |
31.10.19 Total funds £ 1 62,483 88,232 150,715 (54,818) 95,897 95,898 95,898 95,898 95,898 |
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The financial statements were approved by the Board of Trustees and authorised for issue on 27 August 2021 and were signed on its behalf by:
A Tricot (Honorary Chairman) - Trustee
J M Silberstein (Honorary Treasurer) - Trustee
The notes form part of these financial statements
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SEPHARDI KASHRUT AUTHORITY NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', 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.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
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 an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 25% on cost Computer equipment - 33.3% on cost
Taxation
The charity is exempt from tax on its charitable activities.
Hire purchase and leasing commitments
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
Pension costs and other post-retirement benefits
The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the year to which they relate.
2. INVESTMENT INCOME
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|31.10.20|31.10.19|
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|Deposit account interest|81|172|
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SEPHARDI KASHRUT AUTHORITY NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 OCTOBER 2020
3. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 October 2020 nor for the year ended 31 October 2019.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 October 2020 nor for the year ended 31 October 2019.
4. EMPLOYEES
Average number of employees for the current year - 9 (2019 - 8).
Number of employees receiving emoluments in excess of £60,000 - nil (2019 - 1).
5. TANGIBLE FIXED ASSETS
| COST At 1 November 2019 Additions |
Fixtures and fittings £ 728 - |
Computer equipment £ 5,174 1,952 |
Totals £ 5,902 1,952 |
|---|---|---|---|
| At 31 October 2020 | 728 | 7,126 | 7,854 |
| DEPRECIATION At 1 November 2019 Charge for year |
728 - |
5,173 376 |
5,901 376 |
| At 31 October 2020 | 728 | 5,549 | 6,277 |
| NET BOOK VALUE At 31 October 2020 |
- | 1,577 | 1,577 |
| At 31 October 2019 | - | 1 | 1 |
| 6. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Supervision fee debtors Furlough Grant due from S&P |
31.10.20 £ 22,349 19,944 |
31.10.19 £ 62,483 - |
|
| 42,293 | 62,483 |
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SEPHARDI KASHRUT AUTHORITY
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 OCTOBER 2020
7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Bank loans and overdrafts (see note 8) Trade creditors Taxation and social security Other creditors 8. LOANS An analysis of the maturity of loans is given below: Amounts falling due within one year on demand: Bank overdrafts 9. MOVEMENT IN FUNDS At 1.11.19 £ Unrestricted funds General fund 95,898 TOTAL FUNDS 95,898 Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 149,184 TOTAL FUNDS 149,184 Comparatives for movement in funds At 1.11.18 £ Unrestricted funds General fund 108,894 TOTAL FUNDS 108,894 |
31.10.20 31.10.19 £ £ - 3,931 30,350 29,192 2,107 4,074 62,256 17,621 94,713 54,818 31.10.20 31.10.19 £ £ - 3,931 Net movement At in funds 31.10.20 £ £ (92,414) 3,484 (92,414) 3,484 Resources Movement expended in funds £ £ (241,598) (92,414) (241,598) (92,414) Net movement At in funds 31.10.19 £ £ (12,996) 95,898 (12,996) 95,898 |
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SEPHARDI KASHRUT AUTHORITY NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 OCTOBER 2020
9. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 181,015 181,015 |
Resources Movement expended in funds £ £ (194,011) (12,996) (194,011) (12,996) |
|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund |
At 1.11.18 £ 108,894 |
Net movement At in funds 31.10.20 £ £ (105,410) 3,484 |
|---|---|---|
| TOTAL FUNDS | 108,894 | (105,410) 3,484 |
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 330,199 330,199 |
Resources Movement expended in funds £ £ (435,609) (105,410) (435,609) (105,410) |
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10. RELATED PARTY DISCLOSURES
At the year end the charity owed the Spanish and Portuguese Jews' Congregation £26,250 (2019 - £20,000) in respect of secretarial fees.
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SEPHARDI KASHRUT AUTHORITY
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 OCTOBER 2020
| INCOME AND ENDOWMENTS Investment income Deposit account interest Charitable activities Supervision fees receivable Other income Grant Income - Furlough |
31.10.20 31.10.19 £ £ 81 172 129,159 180,843 19,944 - |
|---|---|
| Total incoming resources EXPENDITURE Charitable activities Wages Employer's national insurance Pensions Freelance staff Training Bad debts Advertising Travel and office expenses Sundries |
149,184 181,015 50,496 48,954 2,245 2,160 257 393 42,157 19,831 320 - 5,388 11,682 990 410 1,184 2,974 1,170 297 |
| Support costs Management Wages Employer's national insurance Pensions Travelling Depreciation of computer equipment |
104,207 86,701 89,650 70,316 8,233 7,864 1,446 1,122 3,374 1,201 376 - |
| Finance Bank charges Other Telephone and internet Printing, postage & stationery Computer expenses & software Payroll administration Legal and professional fees |
103,079 80,503 349 591 2,138 1,590 1,523 1,816 692 2,510 26,250 18,500 1,380 - |
| 31,983 24,416 |
This page does not form part of the statutory financial statements
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SEPHARDI KASHRUT AUTHORITY
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 OCTOBER 2020
| Other Governance costs Independent examiner's fee |
31.10.20 31.10.19 £ £ 1,980 1,800 |
|---|---|
| Total resources expended | 241,598 194,011 |
| Net expenditure | (92,414) (12,996) |
This page does not form part of the statutory financial statements
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