2022-10-31-accounts - Sephardi Kashrut Authority

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REGISTERED CHARITY NUMBER: 259337

SEPHARDI KASHRUT AUTHORITY

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2022

SEPHARDI KASHRUT AUTHORITY

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2022

Report of the Trustees Independent Examiner's Report Statement of Financial Activities Balance Sheet Notes to the Financial Statements

Page 1 to 2 3 4 5 6 to 10

SEPHARDI KASHRUT AUTHORITY

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 OCTOBER 2022

The trustees present their report with the financial statements of the charity for the year ended 31 October 2022. 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 30 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 Hakham 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.

Page 1

SEPHARDI KASHRUT AUTHORITY

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 OCTOBER 2022

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 into 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 W91JY

Trustees

Dr Afshin Kahen (Honorary Chairman) (appointed 07.09.22) R J Kandel A Tricot (resigned 07.09.22) J Cohen (resigned 26.10.22) J Bekhor (appointed 01.08.22) J M Silberstein (Honorary Treasurer) SC Simon (resigned 02.08.23) AJ Aaron

Independent Examiner

Anthony Epton BA FCA CTA FCIE Goldwins Chartered accountants 75 Maygrove Road West Hampstead London NW6 2EG

Director of licencing

Aaron Isaac (resigned 13.6.22) David Neifeld (appointed 15.7.22)

Approved by order of the board of trustees on 28 August 2023 and signed on its behalf by:

Dr Afshin Kahen (Honorary Chairman) - Trustee

Page 2

SEPHARDI KASHRUT AUTHORITY

Independent examiner's report to the trustees of Sephardi 'Kashrut Authority

I report to the trustees on my examination of the accounts of Sephardi 'Kashrut Authority for the year ended 31 October 2022.

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 2011 Act and in carrying out my examination I have followed all the 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:

accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
the accounts do not accord with those records; or
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.

Anthony Epton BA FCA CTA FCIE Goldwins Chartered accountants 75 Maygrove Road West Hampstead London NW6 2EG

28 August 2023

Page 3

SEPHARDI KASHRUT AUTHORITY Statement of financial activities

(incorporating an income and expenditure account)

For the year ended 31 October 2022

Note Income from: Donations Charitable activities: Supervision 3 Investment income 4 Other income Total income Expenditure on: Charitable activities: Education 5 Total expenditure Transfers between funds Net movement in funds 6 Reconciliation of funds: Total funds brought forward Total funds carried forward Net (expenditure)/income / for the year	Unrestricted funds £ 1,228 198,478 42 - 199,748 196,612 196,612 - 3,136 (506) 2,630 3,136	2022 Total funds £ 1,228 198,478 42 - 199,748 196,612 196,612 - 3,136 (506) 2,630 3,136	2021 Total funds £ 10 163,300 5 14,753
			178,068
			182,058
			182,058
			- (3,990)
			(3,990) 3,484
			(506)

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. The attached notes form part of these financial statements.

SEPHARDI KASHRUT AUTHORITY Balance sheet As at 31 October 2022

2022 £ 277	2021 £ 85,306 48,885	2021 £ 927
277 2,353		927 (1,433)
	134,191 135,624
	(506)
2,630		(506)
2,630		(506)

2,630		(506)

The financial statements were approved by the Board of Trustees and authorised for issue on 28 August 2023 and were signed on its behalf by:

Dr Afshin Kahen ( Honorary Chairman) Trustee

J M Siberstein ( Honorary Treasurer) Trustee

The attached notes form part of the financial statements.

SEPHARDI KASHRUT AUTHORITY Notes to the financial statements For the year ended 31 October 2022

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 (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.

b) Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

c) 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.

d) 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

e) 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

f) 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.

g) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

h) Creditors and provisions

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.

i) 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.

j) Pension costs and other post-retirement benefits

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. 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.

SEPHARDI KASHRUT AUTHORITY

Notes to the financial statements For the year ended 31 October 2022

2 Detailed comparatives for the statement of financial activities

Income from: Charitable activities: Supervision Investment income Other income Total income Expenditure on: Charitable activities: Supervision Total expenditure Transfers between funds Total funds brought forward Total funds carried forward 3 Income from charitable activities Supervision 4 Investment income Interest Total investment income Net expenditure/ income Net movement in funds	£ 198,478 198,478 Unrestricted £ 42 42 Unrestricted	£ - - £ - - Restricted Restricted	2021 funds £ 163,300 5 14,763 178,068 182,058 182,058 (3,990) - (3,990) 3,484 (506) 2022 Total £ 198,478 198,478 2022 Total £ 42 42 Unrestricted	2021 Total funds £ 163,300 5 14,763
				178,068
				182,058
				182,058
				(3,990) -
				(3,990) 3,484
				(506)
				2021 Total £ 163,300
				163,300
				2021 Total £ 5
				5

SEPHARDI KASHRUT AUTHORITY Notes to the financial statements For the year ended 31 October 2022

5 Analysis of expenditure

Charitable activities Wages Employer's national insurance Pensions Freelance staff Training Bad debts Advertising Travel and office expenses Sundries Support costs Wages Employer's national insurance Pensions Travelling Depreciation of computer equipment Bank charges Telephone and internet Printing, postage & stationery Computer expenses & software Payroll administration Legal and professional fees Independent examiner's fee Total expenditure 2022 Total expenditure 2021		Charitable activities	Charitable activities	2022 Total £ 89,118 6,507 1,297 28,648 - 4,218 216 6,738 1,787 37,760 3,886 595 - 650 296 1,394 3,561 560 7,200 - 2,180 196,612 -	2021 Total £ 86,509 4,186 807 22,757 115 (8,570) 164 4,649 2,613 53,850 4,512 893 - 650 114 2,446 2,045 443 955 - 2,920

			£ 89,118 6,507 1,297 28,648 - 4,218 216 6,738 1,787 37,760 3,886 595 - 650 296 1,394 3,561 560 7,200 - 2,180 196,612 -
					-
					182,058

SEPHARDI KASHRUT AUTHORITY Notes to the financial statements For the year ended 31 October 2022

6 Net income / (expenditure) for the year

This is stated after charging / (crediting):

This is stated after charging / (crediting): Depreciation Independent examination	2022 £ 650 2,180	2021 £ 650 2,920

7 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

There were no trustees' remuneration or other benefits for the year ended 31 October 2022 nor for the year ended 31 October 2021.

There were no trustees' expenses paid for the year ended 31 October 2022 nor for the year ended 31 October 2021.

Staff costs were as follows: Salaries and wages Social security costs Employer’s contribution to defined contribution pension schemes	2022 £ 126,878 10,393 1,891	2021 £ 140,359 8,698 1,700
	139,162	150,757

The trustees did not receive any remuneration during the year (2021: Nil).

The total employee benefits including pension contributions of the key management personnel were £26,249 (2021: £38,247)

No employees received emoluments in excess of £60,000.

Staff numbers

The average number of employees (head count based on number of staff employed) during the year was as follows:

Supervision	2022 No. 15	2021 No. 13
	15	13

8 Taxation

The charity is exempt from income tax as all its income is charitable and is applied for charitable purposes.

9

£ 728 - - Fixtures and fittings	£ 7,126 - - Computer equipment	Total £ 7,854 - -
728	7,126	7,854
728 - -	6,199 650 -	6,927 650 -
728	6,849	7,577
-	277	277
-	927	927

All of the above assets are used for charitable purposes.

SEPHARDI KASHRUT AUTHORITY Notes to the financial statements For the year ended 31 October 2022

10 Debtors

Trade debtors Other debtors Creditors: amounts falling due within one year Trade creditors Taxation and social security Other creditors	2022 £ 76,124 5	2021 £ 50,337 34,969
	76,129	85,306
	2022 £ 32,006 10,842 58,683	2021 £ 33,234 5,701 96,689
	101,531	135,624

11 Creditors: amounts falling due within one year

12 Analysis of net assets between funds

General unrestricted £ 277 2,353	Designated £ - -	Restricted £ - -	Total funds £ 277 2,353
2,630	-	-	2,630
General unrestricted £ 927 (1,433)	Designated £ - -	Restricted £ - -	Total funds £ 927 (1,433)
(506)	-	-	(506)
£ 48,885 At 1 Nov 2021	Cash flows £ (21,130)	£ - Other changes	£ 27,755 At 31 Oct 2022
48,885	(21,130)	-	27,755

12a Analysis of net assets between funds (prior year)

13 Analysis of cash and cash equivalents

14 Legal status of the charity

The charity is an unincorporated charitable trust.

15 Related party transactions

At the year end the charity owed the Spanish and Portuguese Jews' Congregation £60,314 (2021: £70,237 ).