Charity Registration No. 262540
SIRI GURU SINGH SABHA NORTHAMPTON ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
SIRI GURU SINGH SABHA NORTHAMPTON
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees A S Atwal H S Kooner Charity number 262540 Principal address 35-37 St James Mill Road St James Northampton NN5 5JW Independent examiner Jervis & Partners 30 Harborough Road Kingsthorpe Northampton NN2 7AZ Bankers Lloyds Bank TSB George Row Northampton National Westminster Bank The Drapery Branch 41 The Drapery Northampton Executive Committee Harbhajan Singh President Devinder Singh Minhas Secretary Surjeet Singh Thind Treasurer Nirmal Singh Chandi Harbans Singh Kooner Jagtar Singh Chima Varinder Kaur Kooner Gurmail Singh Jamanda Makhan Singh Hair Bahadur Singh Mahil
SIRI GURU SINGH SABHA NORTHAMPTON
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 3 |
| Independent examiner's report | 4 |
| Statement of financial activities | 5 |
| Balance sheet | 6 |
| Notes to the financial statements | 7 - 13 |
SIRI GURU SINGH SABHA NORTHAMPTON
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 MARCH 2021
The trustees present their annual report and financial statements for the year ended 31 March 2021.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's [governing document], the Charities Act 2011 and "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
The main object of the charity is the advancement of the Sikh Religion for the benefit of the public of Northamptonshire. In furtherance of the said object the Charity has the following powers:
To practice and promote the Sikh Religion by holding services and meeting by celebrating Gurpurbs and by organising Sunday School to teach Gurmukhi to enable both the children and adults to read the Holy Granth Sahib.
To purchase, lease, hire or otherwise acquire suitable premises for holding services and meetings and an accommodation for the minister or visiting delegates from other Sikh institutions and if necessary to sell the same subject to any of consent of the Charity Commissioners.
To borrow money as necessary for the purposes of the Charity and to mortgage or change property of the charity as security therefore subject to any consent of the Charity Commissioners.
To purchase furniture and equipment for such premises acquires as aforesaid and to improve, repair and maintain the said premises.
To employ a Minister or preacher and to pay him such remuneration as shall be agreed.
To purchase Sikh Religious literature, CD/DVD and tape recordings and the equipment to play such CD/DVD and tape recordings.
To accept donations and subscriptions and to raise funds by lawful means.
To make donations for charitable purposes and to apply funds of the Charity in furtherance of the main object.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
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SIRI GURU SINGH SABHA NORTHAMPTON
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
Achievements and performance
The main activities and achievements are provided in the annual President's report.
The past 12 months have continued to be an extremely busy period for the Trustees and management committee.
Pandemic Impact
The pandemic caused the Gurdwara to close at the end of March 2020. This closure impacted the charity financially and isolated members of the community who could no longer come together on a weekly basis for prayers.
During the pandemic construction work continued at the new building, fortunately a large delivery of materials was on site before the lockdown. This enabled the contractor to continue work.
When the initial lockdown was eased it was not practical to re-open at St Georges St, due to the layout of the building along with the small capacity. It was therefore decided to push ahead and make every effort to open at the new site once the restrictions had eased. This was achieved allowing for the weekly congregation to meet again under the tight restrictions and guidelines.
The Trustees, Committee members and other volunteers have continued to fundraise for the new project and spent hours themselves at the new site.
New Building
During the year many visitors have come to the new building and applauded the Sikh community for their efforts during the pandemic in supporting the wider community and for the completion of the amazing building.
Awards
In June 2020 Siri Guru Singh Sabha Northampton was awarded the Queens Award for Voluntary Service.
In January 2021 the charity received the Rose of Northamptonshire award for the efforts during the pandemic.
In March 2021 the charity was given the auspicious award of “Freedom of the Borough” an award to recognise the contribution Siri Guru Singh Sabha Northampton has made to the town.
Financial review
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity ’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Future developments
Investigate other ways of increasing donations, such as through gift aid.
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SIRI GURU SINGH SABHA NORTHAMPTON
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
Structure, governance and management
The charity is controlled by its governing document, a deed of trust, and constitutes an unincorporated charity.
The trustees who served during the year and up to the date of signature of the financial statements were: S Singh (Resigned 29 August 2020) A S Atwal J S Pawar (Resigned 29 August 2020) A Singh (Resigned 29 August 2020) H S Kooner
Since May 2011 the charity is administered by an Executive committee as shown on the previous page.
The trustees' r eport was approved by the Board of Trustees.
A S Atwal
Trustee Dated: 23 July 2021
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SIRI GURU SINGH SABHA NORTHAMPTON
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF SIRI GURU SINGH SABHA NORTHAMPTON
I report to the trustees on my examination of the financial statements of Siri Guru Singh Sabha Northampton (the charity) for the year ended 31 March 2021.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of , which is one of the listed bodies.
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no 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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1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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2 the financial statements do not accord with those records; or
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3 the financial statements 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 financial statements to be reached.
Jervis & Partners
30 Harborough Road Kingsthorpe Northampton NN2 7AZ
Dated: 23 July 2021
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SIRI GURU SINGH SABHA NORTHAMPTON
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021
| Unrestricted | Unrestricted | ||
|---|---|---|---|
| funds | funds |
||
| 2021 | 2020 |
||
| Notes | £ |
£ |
|
| Income from: | |||
| Donations and legacies | 3 | 234,102 | 148,406 |
| Charitable activities | 4 | 26,333 | 15,011 |
| Total income | 260,435 | 163,417 |
|
| Expenditure on: | |||
| Raising funds | 5 | 107,413 | 86,232 |
| Total resources expended | 107,413 | 86,232 |
|
| Net income for the year/ | |||
| Net movement in funds | 153,022 | 77,185 |
|
| Fund balances at 1 April 2020 | 1,677,763 | 1,600,578 |
|
| Fund balances at 31 March 2021 | 1,830,785 | 1,677,763 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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SIRI GURU SINGH SABHA NORTHAMPTON
BALANCE SHEET
AS AT 31 MARCH 2021
| Notes Fixed assets Tangible assets 9 Current assets Debtors 10 Cash at bank and in hand Creditors: amounts falling due within one year 12 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 13 Net assets Income funds Unrestricted funds Designated funds 14 General unrestricted funds |
2021 £ £ 2,684,931 - 36,956 36,956 (6,902) 30,054 2,714,985 (884,200) 1,830,785 1,800,731 30,054 1,830,785 1,830,785 |
2020 £ £ 2,396,752 6,000 169,468 175,468 (55,532) 119,936 2,516,688 (838,925) 1,677,763 1,557,827 119,936 1,677,763 1,677,763 |
|---|---|---|
The financial statements were approved by the Trustees on 23 July 2021
A S Atwal Trustee
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
Charity information
Siri Guru Singh Sabha Northampton is a Charity.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's [governing document], the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
1.5 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
nil
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities .
1.6 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
1.7 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity 's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity ’s contractual obligations expire or are discharged or cancelled.
1.9 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.10 Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2 Critical accounting estimates and judgements
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
3 Donations and legacies
| Unrestricted | Unrestricted | ||
|---|---|---|---|
| funds | funds | ||
| 2021 | 2020 | ||
| £ | £ | ||
| Building fund | 189,154 | 97,445 | |
| Golak collection | 13,370 | 16,485 | |
| Nevitec construction | 4,283 | 6,000 | |
| Membership fees | - | 300 | |
| Gift aid income | 21,299 | 20,668 | |
| Degh | 960 | 2,087 | |
| Sundry donations | 5,036 | 5,421 | |
| 234,102 | 148,406 | ||
| 4 | Charitable activities | ||
| Charitable | Charitable |
||
| Income | Income |
||
| 2021 | 2020 |
||
| £ | £ |
||
| Rent received | 25,162 | 14,976 |
|
| Santhaya class | 1,171 | 35 |
|
| 26,333 | 15,011 |
| 5 | Raising funds UnrestrictedUnrestricted funds funds 2021 2020 £ £ Trading costs Support costs 107,413 86,232 107,413 86,232 |
|---|---|
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
6 Support costs
| Support costs Governance costs £ £ Staff costs 25,662 - Rates and water 577 - Insurance 789 - Light and heat 8,130 - Repairs & maintenance 36,575 - Sundries 800 - Rent - - Accountancy - 240 Legal and professional - 600 Legal fees - 1,038 Donations - 2,790 Office expenses - 302 Bank charges - 1,286 Bank loan interest - 28,624 72,533 34,880 Analysed between Trading 72,533 34,880 |
2021 £ 25,662 577 789 8,130 36,575 800 - 240 600 1,038 2,790 302 1,286 28,624 107,413 107,413 |
Support costs Governance costs £ £ 19,164 - 533 - 2,771 - 6,485 - 1,854 - 535 - 10,000 - - 240 - 13,350 - 1,117 - 9,332 - 1,183 - 1,215 - 18,453 41,342 44,890 41,342 44,890 |
2020 £ 19,164 533 2,771 6,485 1,854 535 10,000 240 13,350 1,117 9,332 1,183 1,215 18,453 86,232 86,232 |
|---|---|---|---|
7 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
8 Employees
The average monthly number of employees during the year was:
| Employment costs Wages and salaries Social security costs Other pension costs |
2021 Number 1 2021 £ 24,668 64 930 25,662 |
2020 Number 1 2020 £ 18,103 660 401 19,164 |
|---|---|---|
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
8 Employees
(Continued)
There were no employees whose annual remuneration was more than £60,000.
| 9 Tangible fixed assets Cost At 1 April 2020 Additions At 31 March 2021 Carrying amount At 31 March 2021 At 31 March 2020 10 Debtors Amounts falling due within one year: Trade debtors 11 Loans and overdrafts Bank loans Payable after one year 12 Creditors: amounts falling due within one year Other taxation and social security Trade creditors Other creditors |
Freehold land and buildings £ 2,396,752 288,179 2,684,931 2,684,931 2,396,752 2021 2020 £ £ - 6,000 2021 2020 £ £ 832,200 795,925 832,200 795,925 2021 2020 £ £ 1,237 115 240 52,780 5,425 2,637 6,902 55,532 |
|---|---|
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SIRI GURU SINGH SABHA NORTHAMPTON
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
13 Creditors: amounts falling due after more than one year
| Notes Bank loans 11 Other creditors |
2021 £ 832,200 52,000 884,200 |
2020 £ 795,925 43,000 838,925 |
|---|---|---|
14 Designated funds
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
| Building Fund |
Balance at 1 April 2019 £ 1,525,725 1,525,725 |
Movement in funds Incoming resources Resources expended £ £ 513,111 (481,009) 513,111 (481,009) |
Balance at 1 April 2020 £ 1,557,827 1,557,827 |
Movement in funds Incoming resources Resources expended 31 £ £ 288,179 (45,275) 288,179 (45,275) |
Balance at March 2021 £ 1,800,731 1,800,731 |
|---|---|---|---|---|---|
15 Related party transactions
There were no disclosable related party transactions during the year (2020 - none) .
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