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2021-09-30-accounts

COUNTIES (Formerly Counties Evangelistic Work)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Charity registration number: 264278 Company registration number: 01041761

COUNTIES (Formerly Counties Evangelistic Work)

YEAR ENDED 30 SEPTEMBER 2021

CONTENTS page
Report of the trustees 1 – 10
a) Constitution & Objects
b) Review of Developments during the year:
- Evangelists
- Training
- Church resources
- Schools’ Resources
c) Results and Financial Review
d) Covid-19 Impact & Response
e) General Public Benefit
f)
Risks Policy
g) Reserves and Investment Policy
h) Related Parties and Relationships with other Charities
i)
Relations with Financial Supporters
j)
Structure, Governance and Management
k) Statement of trustees’ responsibilities
Legal and administrative information 11
Report of the independent examiner 12
Statement of Financial Activities 13
Balance Sheet 14
Statement of Cashflows 15
Notes to the financial statements 16 – 26

COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES

YEAR ENDED 30 SEPTEMBER 2021

The trustees, who are also Directors for the purposes of the Companies Act, submit their Annual Report and the financial statements for the year ended 30 September 2021. The trustees have adopted the provisions of the Statement of Recommended Practice (FRS 102 2015) Accounting and Reporting by Charities in preparing the annual report. The financial statements have been prepared in accordance with the accounting policies set out on pages 16 and 17 and comply with the charity’s governing documentation and applicable law.

a) Constitution & Objects

The charity is a charitable company, Counties (formerly Counties Evangelistic Work), number 01041761, but is known publicly as Counties. The charity (registered number 264278) was founded in 1899 and was set up as a company on 9 February 1972, limited by guarantee. It is governed by the Memorandum and Articles of Association. The object of the charity, as outlined in the Memorandum and Articles of Association are “To advance the Christian Faith by such means being charitable as the Trust may determine”.

b) Review of Developments during the year

The following summarises the main developments during 2020/21. The trustees last met for a retreat to review the organizational strategy in April 2017, and had planned to meet initially in March 2020 and then again in March 2021, however due to Covid19 restrictions this has been delayed until March 2022. The trustees have picked up some of the more critical strategic matters in their regular meetings to avoid them being delayed any further. Counties continues to pursue its mission of making Jesus known, and equipping local churches in this task, through supporting Evangelists, developing and utilizing Resources, and through the development of Training.

• Evangelists

The total number of self-employed evangelists financially supported with a standard-gift or part-gift at the year-end was 48, including many seniors and widows, which equates to 36 standard gifts. This has increased in recent years (see chart below). These figures do not include spouses, many of whom are also very active in the work. In addition, Counties has seven Associate Evangelists who are able to benefit from fellowship, training and conferences, however they do not receive financial gifts.

----- Start of picture text -----
40
38
equivalent number of full standard-gifts to evangelists
36
34
32
30
28
26
24
22
----- End of picture text -----

During the year we lost Ruby Powell who sadly passed away in December 2020.

The evangelists, in seeking to fulfill the charity’s objects, are involved in a host of initiatives. The past year has been continued to be exceptional due to Covid19, however in normal circumstances these include holiday clubs for children and seniors; training; drop-in centers for support and advice regarding parenting, relationships and finance; youth camps; focus groups for men; door-to-door outreach; street evangelism; small groups; school visits; visiting prison and helping ex-offenders; Christian education and preaching.

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

Some evangelists work with all ages and backgrounds, whilst others have a specific focus such as on international students, teenagers, children, men, women, migrants, international merchant seafarers or other communities. Some of the more experienced evangelists are involved in mentoring other evangelists or working with churches to help them develop more effective teaching and evangelistic programmes.

Evangelists plan to meet at least twice each year in six regional Cluster groups : South West, South Central, East of England, Wales and Borders, Midlands and North of England. Each Cluster is led by a link evangelist who co-ordinates the gatherings. The purpose of the Clusters is to share personal and pastoral support, to enable training, and to consider the wider strategic opportunities in each region and across the UK. The regional gatherings are attended by the CEO, the Training Officer, and the Trustee(s) within each region.

In addition to these regional gatherings, Counties seeks to continue to have annual conferences for the evangelists, trustees and staff. Following the success of the Counties Day in 2019, the events planned for 2020 and 2021 had to be cancelled due to Covid restrictions. In June 2021 the ‘Connect Conference’ was held on-line and over 100 people enjoyed inspirational talks from keynote speakers Shodankeh Johnson, from Sierra Leone, and Nicky Gumbel (Alpha), as well as worship times, small discussion and breakout seminars. In October 2021 Counties helped to arrange the joint Living the Passion conference.

4,316,754 (data based on feedback people reached via online opportunities to share the Dec.20-Aug.21) Christian faith

1,077 indications of salvation

139,713 pupils 688,415 listened to stories of Jesus people reached via presented by Counties evangelists preaching engagements in-person or online by schools were visited Counties evangelists and 1,183 associates by Counties evangelists

• Training

2

COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

3

COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

programme, but on tablets and in a classroom environment. This has enabled us to fulfil bookings for the next two years, which is approximately 36,000 students hearing who Jesus is, what he said, what he did and why He is fundamental to the Christian faith. Counties continues to acknowledge the generosity of the sponsoring trust which continues to support this resource.

c) Results and Financial Review

This has been an exciting year from a financial perspective as the charity has given thanks for an overall net surplus of £134,216 compared to a deficit of £119,857 in the previous year. Income and expenditure for the year are shown in the Statement of Financial Activities on page 13. Income for the charity has increased to £919,808 (2020: £835,115), with the largest change arising from legacy income which has increased to £188k from £95k in 2020. Expenditure reduced for a second year to £856,012 (2020: £908,184). Movements on individual funds are summarized in note 17.

----- Start of picture text -----
£1,000,000
Income & Expenditure
£800,000
2021 2020
£600,000
£400,000
net movement
£200,000 total expenditure of funds
£-
total income gains on
£(200,000)
investments
£(400,000)
£(600,000)
£(800,000)
£(1,000,000)
£(1,200,000)
----- End of picture text -----

Unrestricted Funds show net surplus of £108,926, and income for the year increased to £661,891. The two main factors that gave rise to the increased income and surplus are significant gains on investments of £70,420 (in the previous year this was a loss of £46,788) and legacy income of £188,484. Legacies cannot be regarded as regular income, needless to say the trustees are grateful to all those who have made provision in their will.

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

The following graph shows how legacies have fluctuated over the last thirteen years (since 2009), but on average the charity has received £131k a year. Without the legacy income stream much of the work of Counties would not be possible. As we never know when legacies will be received, we have to be slightly more cautious than we would like with respect to the use of reserves. This does make it more difficult for the trustees when we set our annual budget. Our approach is to set a budget deficit for the year ahead in faith that legacies will be forthcoming to cover that deficit, but also knowing that there are adequate free reserves are available if the Lord’s timing of legacies is different.

----- Start of picture text -----
£250,000
Legacy income
£200,000
£150,000
£100,000
£50,000
£-
----- End of picture text -----

The following analysis of total expenditure represents £856,012 (2020: £908,184). Within this Unrestricted Fund expenditure is £623,385, this is a decrease from 2020 which was £664,791. Within Counties we take great care to ensure that we maximise the use of funds for charitable purposes and apply our limited resources to where the need is greatest. This is capably managed by the team at Westbury. There are always other needs that we could meet, and we trust in the Lord to provide.

----- Start of picture text -----
£700,000
3%
£600,000 2021 2020 2021 expenditure
£500,000 Raising funds
£400,000 27%
£300,000 Unrestricted
£200,000 Charitable activities
£100,000
£- 70% Restricted
Raising funds Charitable Charitable Charitable activities
activities: activities:
Unrestricted Restricted
----- End of picture text -----

The trustees are eager to see the work of Counties grow; we have an expectation to appoint more evangelists and hopefully some of those in new areas across the UK. We want to train and support them more effectively so that they are enabled to use their God given gifts to bring the Good News to the nation. We also want to see the range of exciting resources we have better utilised to engage with people and create opportunities for them to hear about the Christian faith. We continue to seek ways to increase and diversify our income base; we have been encouraged that some areas are already bearing fruit.

The areas we have been looking at are:

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

The Restricted Funds are the GSUS Live, the Evangelists Fund, the Counties Planting Network and TES.

- d) Covid 19 Impact & Response

During the international Covid19 outbreak and pandemic, although many of the charity’s activities were restricted, we have looked for new and creative ways to fulfil our charitable goals.

Charity activities

Counties put in place control measures for the charity’s operations to mitigate against transfer risks including:

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

Financial implications of Covid-19 : the impact to Counties has been significant in some areas and appropriate action was taken where it was considered wise to do so:

Long term implications : There are no material uncertainties about the charity’s ability to continue as a going concern, despite the significant uncertainty caused by the worldwide Covid-19 crisis. Whilst the Trustees expect there to be a significant impact on the charity’s operations and reserves in the coming years, the charity has sufficient reserves to be able to meet these challenges.

e) General Public Benefit

The trustees acknowledge the guidance of the Charity Commission in respect of Public Benefit and the Advancement of Religion and have paid due regard to it in the affairs of the charity. Through the varied ministries of the evangelists and our resources we see

f) Risks Policy

The trustees annually review the principal risks the charity faces including analysing the likelihood and impact of each risk. The Operations Manager carries responsibility as the Risk Assessment Manager. The principal risks currently identified, and strategies for managing these risks are as follows:

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

g) Reserves and Investment Policy

The Charity is reliant on voluntary income, legacy income and investment income which has fluctuated significantly in the past. At their annual reserves policy review Counties trustees agreed target level should be:

£300,000 base reserves £200,000-£300,000 + free reserves of six months’ expenditure £500,000-£600,000 = total liquid reserves

The trustees aim to hold these unrestricted reserves to meet the objectives of:

The Charity currently holds liquid reserves , being those Unrestricted Funds not held as fixed assets, designated for specific purposes or otherwise committed at the balance sheet date of £677,248. This is calculated via Total Unrestricted funds £773,595 (see Balance sheet), less amount invested in tangible fixed assets £96,347 (see Balance sheet). The trustees are reviewing the fact that the liquid reserves are higher than the reserves policy in the light of the significantly fluctuations in both investment values and legacy income in recent years, and the planned strategy retreat in March 2022.

When setting the annual budget, the trustees plan to consume existing free reserves (£377,248 at year end) over a three-year period in the hope that they will be replenished by further legacies during that period. The trustees believe that this policy enables the charity to invest in sustainable growth and new strategic developments so that the charity can deliver a consistent quality of work over the years.

The charity is advised on investments by Brewin Dolphin Securities Limited and regular contact is maintained with them by means of reports and an annual visit. They have complete discretion, within stated guidelines, over investment decisions and changes in investment holdings have taken place during the year. Their performances are measured against relevant benchmark portfolios. An Investment Policy is documented and reviewed annually by the trustees. Whilst all major investments are available to the charity, we aim for all investments to be in keeping with the nature of the charity and the views of the trustees.

Day to day financial management is the responsibility of the Operations Manager, Jonathan Brooks-Martin, who circulates to the Finance Sub Committee monthly management accounts and cashflows as well as quarterly valuations of the investment portfolio. The latter includes reports outlining performance against benchmarks, a summary of market performance and an investment strategy outlook. The Finance Committee, which comprises three trustees, the CEO and the Operations Manager, meets at least twice a year and keeps all trustees informed at their meetings. The full body of trustees has to approve any policy changes.

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

h) Related Parties and Relationships with other Charities

The trustees, who are all Directors, received no remuneration as a result of their office during the year. No Trustee or other person related to the charity, apart from as detailed in note 19, had any personal interest in any contract or transaction entered into by the charity during the year.

In the furtherance of its objects, the charity has entered into strategic alliances with other charities.

i) Relations with Financial Supporters

Counties greatly values the support it receives from individuals, churches and trusts. We could not fulfil our objectives without the financial and prayer support that we receive from these individuals and organisations.

Activities: Counties evangelists and staff spoke in hundreds of churches across the country during the year, and we hosted our first revised Counties Family Day. During the last year, 99 new supporters joined us in mission by making their first gift to Counties. We continue to build towards Counties’ future by encouraging regular support, including 13 people who began to give monthly to Counties. We give thanks that donations to some of our newer initiatives e.g. Key to Life, Neighbourhood Chaplains & Counties Planting Network, continued to grow. In the past year Counties did not use commercial fundraisers.

Protection: We seek to be respectful and relational in all our interactions with our supporters. We seek to build trust with our supporters by being honest and transparent in all our communications. We acknowledge all gifts (unless we are asked not to) and communicate the impact of donations to supporters through our annual report letter, annual calendar, magazines, e-newsletters and bespoke publications. Individuals are asked to opt-in to receive communications from Counties, unless they reasonably meet the criteria of legitimate interest, where there is clear evidence of their recent interest in our work. We provide opportunities for individuals to opt-out from any communications in clear and easy ways.

Complaints: Fundraising complaints are handled through our standard complaints’ procedure. No complaints relating to fundraising were received during the year.

j) Structure, Governance and Management

The charity does not have share capital and is limited by guarantee of the members. All trustees are members along with the chair, secretary and treasurer of each Counties Link Group, where such offices are filled. Members meet annually at the AGM when the affairs of the charity are considered and detailed reports are presented on various activities.

The trustees meet at least quarterly, and control the overall administration and policy decisions. During the past year, due to the pandemic, most of the meeting taking place via video conferencing. Every effort is made to ensure that the trustees, all of whom are committed Christians with an interest in the promotion of the Christian faith, includes trustees of varied professional skills, qualifications and experience who are drawn from various parts of the UK. Due regard is given to the recruitment of new trustees who will ensure continuity. The trustees, from time to time, appoint sub-committees to deal with specific areas of the work. These usually constitute one or more trustees where appropriate, administrative staff and other suitably qualified individuals who usually form part of the general charitable body.

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

Potential new trustees are nominated and if selected are interviewed by representative(s) of the trustees, with their appointment being confirmed at the AGM. All new trustees are provided with a portfolio of papers giving appropriate information including policies and procedures, together with Charity Commission publications. They are also provided with training as appropriate. All trustees serve for a three-year period but may stand for re-election.

There is a small salaried staff administering the day-to-day affairs of the charity and the office is located at 30 Haynes Road, Westbury, BA13 3HD. The trustees on the finance committee meet independently with the independent examiners to ensure an independent view is received on how the office team maintains the finances of the charity. General management of the charity is in the hands of the CEO and Operations Manager.

Arrangements for setting key management personnel pay: the trustees review all staff salaries annually, including advice from Counties’ H.R. group which includes four trustees.

k) Statement of trustees’ responsibilities

The trustees (who are also directors of Counties for the purposes of company law) are responsible for preparing the Trustees’ Report (incorporating the strategic report and directors’ report) and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Accepted Accounting Practice).

Company law 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 charitable company and of the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Trustees information

Trustees, who are Directors for the purpose of company law and trustees for the purpose of charity law, who served during the year and up to the date of this report are given on page 11.

This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (FRS 102 2015) and in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006. Approved by the Board of trustees and signed on its behalf by

R Canham (Chairman) Date:

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

LEGAL AND ADMINISTRATIVE DETAILS

TRUSTEES: S R Bennett
R E Canham (Chair)
J Davies
S McQuoid
P Sparkes
C Taylor
A Taylor-Roberts
J Wilkes
CHIEF EXECUTIVE OFFICER J G Martin Erwin
OPERATIONS MANAGER
& COMPANY SECRETARY J Brooks-Martin
REGISTERED OFFICE 30 Haynes Road
Westbury
BA13 3HD
BANKERS Barclays Bank plc
32 Market Place
Warminster
BA12 9AR
INDEPENDENT EXAMINER Ed Marsh FCA DChA
Burton Sweet Limited
The Clock Tower, 5 Farleigh Court
Old Weston Road, Flax Bourton
BRISTOL
BS48 1UR
INVESTMENT BROKERS Brewin Dolphin Securities Ltd
AND ADVISERS 12 Smithfield Street
London
EC1A 9BD

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COUNTIES (Formerly Counties Evangelistic Work)

INDEPENDENT EXAMINATION REPORT TO THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2021

I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 September 2021.

Responsibilities and basis of report

As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).

Having satisfied myself that the accounts of the Company 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 accounts 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

Since the Company’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 a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.

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:

  1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (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 accounts to be reached.

Signed: …………………………………………………………

Date: …………………………………………………………

Ed Marsh FCA, DChA

Burton Sweet Limited Chartered Accountants The Clock Tower, 5 Farleigh Court Old Weston Road, Flax Bourton BRISTOL BS48 1UR

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COUNTIES (Formerly Counties Evangelistic Work)

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 SEPTEMBER 2021

Notes
Income from:
Donations and gifts
2
Legacies
Investments
3
Charitable activities
Resources
Total income
Expenditure on:
Raising funds
4
Charitable activities
5
Total expenditure
Gains/(Losses) on investments
11
Net (expenditure)/income
Transfers between funds
17
Net movement in funds
6
Reconciliation of funds
Funds brought forward
17
Funds carried forward
17		 Unrestricted
Restricted
Total
Total
funds
funds
2021
2020
£
£
£
£
458,422
257,917
716,339
720,585
188,484
-
188,484
94,843
9,519
-
9,519
9,099
5,466
-
5,466
10,588
661,891
257,917
919,808
835,115
24,505
4,793
29,298
31,890
598,880
227,834
826,714
876,294
623,385
232,627
856,012
908,184
70,420
-
70,420
(46,788)
108,926
25,290
134,216
(119,857)
14,000
(14,000)
-
-
122,926
11,290
134,216
(119,857)
650,669
17,130
667,799
787,656
773,595
28,420
802,015
667,799

The Statement of Financial Activities includes all gains and losses in the year. All income and expenditure derives from continuing activities.

Prior year fund comparatives are shown in note 9.

The notes on pages 16 to 26 form part of these financial statements

13

COUNTIES (Formerly Counties Evangelistic Work)

BALANCE SHEET

----- Start of picture text -----
AS AT 30 SEPTEMBER 2021 Company number 1041761
2021 2020
Note £ £ £ £
Fixed assets
Tangible assets 10 96,347 109,216
Investments 11 388,421 312,628
Total fixed assets 484,768 421,844
Current assets
Debtors 12 57,187 55,210
Cash and bank balances 264,425 195,339
Total current assets 321,612 250,549
Creditors : Amounts falling due within
one year 13 (4,365) (4,594)
Net current assets 317,247 245,955
Net assets 802,015 667,799
Funds
Unrestricted funds 18 773,595 650,669
Restricted funds 18 28,420 17,130
Total funds 802,015 667,799
----- End of picture text -----

For the year ending 30 September 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors are responsible in ensuring:

These financial statements have been prepared in accordance with the provision applicable to companies subject to the small companies regime within part 15 of the Companies Act 2006.

Approved by the board of Trustees and Directors and signed on its behalf by

R E Canham

S R Bennett

Date: …......................

The notes on pages 16 to 26 form part of these financial statements

14

COUNTIES (Formerly Counties Evangelistic Work) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 SEPTEMBER 2021

Note
Net cash outflow from operating activities
15
Non-operational cash flows:
Investing activities
Fixed asset additions
Payments for investments
Proceeds from the sale of investments
Investment income
Investment management charges
Net cash inflow/(outflow) for the year
16		 2021
£
82,345
(14,000)
(93,142)
99,826
9,519
(3,405)
(1,202)
81,143		 2020
£
3,025
-
(60,403)
95,873
9,099
(3,314)
41,255
44,280

Cashflow Restrictions

Charity law prohibits the use of net cash inflows on any endowed or other restricted fund to offset net cash outflows on any fund outside its own objects, except on special authority. In practice, this restriction has not had any effect on cash flows for the year.

The notes on pages 16 to 26 form part of these financial statements

15

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

1 Accounting policies

a) Basis of accounting

The financial statements have been prepared under the historical cost convention, and in accordance with the Financial Reporting Standard 102, the Statement of Recommended Practice FRS102 based thereon, and the Companies Act 2006.

The charity is a public benefit entity as defined under FRS102.

b) Fund accounting

Funds held by the charitable company are either:-

c) Income

All income is included in the Statement of Financial Activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy.

The following specific policies are applied to particular categories of income:

d) Expenditure

Expenditure is included in the Statement of Financial Activities on an accrual basis, inclusive of any VAT which cannot be recovered.

Support costs have been allocated on the basis of staff time or the estimated use of facilities. Liabilities are recognised as soon as there is legal or constructive obligation committing the charity to pay out resources.

e) Tangible fixed assets

Expenditure on assets with an estimated economic life of more than twelve months and a cost of more than £1,000 is capitalised.

Depreciation is provided on tangible fixed assets at rates calculated to write off the cost less residual value of each asset over its expected useful life. No depreciation is charge on freehold land. Annual depreciation rates are as follows:

Freehold property Over 50 years Office & computer equipment 33% straight line GSUS Live exhibitions 20% straight line Key to Life exhibitions 20% straight line Life exhibitions 33% straight line

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 after taking account of any discounts due.

16

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

1 Accounting policies (continued)

g) Creditors

Creditors and provisions are recognised where the charity has a present obligation resulting from a past even 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 discounts due.

h) Fixed asset investments

Fixed asset investments are included at their market value. Realised and unrealised gains and losses on revaluation are included separately in the Statement of Financial Activities.

i) Going Concern

These financial statements have been prepared on the going concern basis. No material uncertainties that may cast significant doubt on the ability of the Charity to continue as a going concern have been identified by the Trustees.

j) 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.

k) Government Grants

Government grants for Coronavirus Job Retention Scheme were recognised in the period to which employment expenses were incurred and deemed to be receivable.

2 Income from donations and gifts

Trust grants:
Trust grants (anonymous)
Church Planting Initiative grants
Donations and gifts from individuals
Coronavirus Job Retention Scheme
Gift aid received
Prior year comparative
Trust grants:
Trust grants (anonymous)
Church Planting Initiative grants
Donations and gifts from individuals
Coronavirus Job Retention Scheme
Gift aid received		 Unrestricted
Restricted
Total
funds
funds
2021
£
£
£
298,003
119,465
417,468
-
34,900
34,900
144,484
86,826
231,310
5,488
7,507
12,995
10,447
9,219
19,666
458,422
257,917
716,339
Unrestricted
Restricted
Total
funds
funds
2020
£
£
£
372,975
101,248
474,223
-
22,300
22,300
119,451
81,652
201,103
3,172
4,822
7,994
7,057
7,908
14,965
502,655
217,930
720,585

Counties is exceedingly grateful for the ongoing support of individuals, churches and grant making trusts. Many of these trusts prefer to remain anonymous.

17

COUNTIES (Formerly Counties Evangelistic Work)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

3 Investment income

Quoted investments
Prior year comparatives
Quoted investments
Bank interest		 Unrestricted
Restricted
Total
funds
funds
2021
£
£
£
9,519
-
9,519
9,519
-
9,519
Unrestricted
Restricted
Total
funds
funds
2020
£
£
£
9,098
-
9,098
1
-
1
9,099
-
9,099

All investment income arises from assets held in the UK.

4 Expenditure on raising funds

Salaries and office assistance
News magazine (inc. postage)
Website and internet
Promotion and publicity
Investment management costs
Prior year comparative
Salaries and office assistance
News magazine (inc. postage)
Website and internet
Promotion and publicity
Investment management costs		 Unrestricted
Restricted
Total
funds
funds
2021
£
£
£
9,014
4,660
13,674
1,843
61
1,904
8,139
72
8,211
2,104
-
2,104
3,405
-
3,405
24,505
4,793
29,298
Unrestricted
Restricted
Total
funds
funds
2020
£
£
£
9,953
4,000
13,953
2,008
42
2,050
7,131
512
7,643
4,735
195
4,930
3,314
-
3,314
27,141
4,749
31,890

18

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

5 Analysis of charitable expenditure

Evangelists and training
Schools Resources
Prior year comparatives
Evangelists and training
Schools Resources		 Total
2021
£
£
£
£
404,522
78,825
103,648
586,995
-
154,917
84,802
239,719
404,522
233,742
188,450
826,714
Total
2020
£
£
£
£
382,438
146,313
115,479
644,230
-
138,865
93,199
232,064
382,438
285,178
208,678
876,294
Grants
payable
Direct
costs
Grants
payable
Direct
costs
Support
costs
Support
costs

Counties provides monthly gifts, as funds allow, to a number of evangelists the charity is in long-term association with. These amounts vary regularly. The average number of evangelists financially supported during the year was 52 (2020: 47). All grants made in the year were to individuals.

Support costs

Premises costs
Office expenses
Depreciation costs
Governance costs
Prior year comparative
Premises costs
Office expenses
Depreciation costs
Governance costs
Personnel costs including wages
Personnel costs including wages		 Total
2021
£
£
£
62,431
51,076
113,507
2,503
2,046
4,549
21,620
17,697
39,317
14,779
12,090
26,869
2,315
1,893
4,208
103,648
84,802
188,450
Schools
Total
2020
£
£
£
60,243
47,992
108,235
2,639
2,166
4,805
25,053
20,502
45,555
23,186
18,972
42,158
4,358
3,567
7,925
115,479
93,199
208,678
Evangelists
and training
Evangelists
and training
Schools
Resources

19

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

6 Net expenditure for the year

This is stated after charging:

Depreciation
Independent examiner's fees
- prior year (over)/under accrual
Reimbursement of Trustees' travel and subsistence expenses:
for trustees' meetings and duties to 4 Trustees (2020: 4 Trustees)		 2021
2020
£
£
26,869
42,158
3,280
3,100
722
-
296
1,942

No trustees received remuneration during this year or in the previous year.

7 Staff costs and numbers

The aggregate payroll costs were:

Wages and salaries
Social security costs
Pension contributions
Benefits in kind		 2021
2020
£
£
192,878
193,159
12,031
11,664
7,508
7,199
9,696
19,715
222,113
231,737

No employee received emoluments of more than £60,000.

The average weekly number of employees during the year, calculated on the basis of full time equivalents, was 7 (2020: 7). When calculated on the basis of average headcount, the average weekly number of employees during the year was 9 (2020: 9).

Key management personnel received employment benefits in the year of £78,215 (2020: £85,327).

8 Taxation

The company is registered as a charity and is therefore not liable to corporation tax on its charitable income as long as it is applied for charitable purposes. It is not considered there are any activities giving rise to a tax liability.

20

COUNTIES (Formerly Counties Evangelistic Work)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

9 Fund comparatives for the Statement of Financial Activities

Income from:
Donations and gifts
Legacies
Investments
Charitable activities
Resources
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Gains/(Losses) on investments
Net expenditure and net movement in funds
Transfers between funds
Reconciliation of funds
Funds brought forward
Funds carried forward		 Unrestricted
Restricted
Total
funds
funds
2020
£
£
£
502,655
217,930
720,585
94,843
-
94,843
9,099
-
9,099
10,588
-
10,588
617,185
217,930
835,115
27,141
4,749
31,890
637,650
238,644
876,294
664,791
243,393
908,184
(46,788)
-
(46,788)
(94,394)
(25,463)
(119,857)
2,800
(2,800)
-
(91,594)
(28,263)
(119,857)
742,263
45,393
787,656
650,669
17,130
667,799

21

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

10 Tangible fixed assets

Cost
At 1 Oct 2020
Additions
Disposals
At 30 Sept 2021
Depreciation
At 1 Oct 2020
Charge for year
Disposals
At 30 Sept 2021
Net book value
At 30 Sept 2021
At 30 Sept 2020		 Office &
Freehold
GSUS Live
Key to Life
LIFE
computer
Property
exhibition
exhibition
exhibition
equipment
Total
£
£
£
£
£
£
113,250
510,774
183,468
332,562
33,058
1,173,112
-
14,000
-
-
-
14,000
-
-
-
-
-
-
113,250
524,774
183,468
332,562
33,058
1,187,112
33,579
510,774
162,063
324,422
33,058
1,063,896
1,394
-
21,405
4,070
-
26,869
-
-
-
-
-
-
34,973
510,774
183,468
328,492
33,058
1,090,765
78,277
14,000
-
4,070
-
96,347
79,671
-
21,405
8,140
-
109,216

11 Investments

Market Value at 1 October 2020
Additions
Disposal proceeds
Realised (losses)/gains on investments
Management fees
Dividends & interest
Unrealised gains on investments
Market Value at 30 September 2021
Historical cost at 30 September 2021		 Total
Cash
Funds
2021
£
£
£
7,188
305,440
312,628
(93,142)
93,142
-
99,826
(99,826)
-
-
14,161
14,161
(3,405)
-
(3,405)
8,778
-
8,778
-
56,259
56,259
19,245
369,176
388,421
19,245
344,950
364,195

All investments are held in the UK.

22

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

11 Investments (continued…)

Prior year comparatives

Market Value at 1 October 2019
Additions
Disposal proceeds
Realised (losses)/gains on investments
Management fees
Dividends & interest
Deposits and withdrawals
Unrealised gains on investments
Market Value at 30 September 2020
Historical cost at 30 September 2020
All investments were held in the UK.
12 Debtors
Accrued income
Other debtors and prepayments		 Total
Cash
Funds
2020
£
£
£
5,934
387,698
393,632
(60,403)
60,403
-
95,873
(95,873)
-
-
3,506
3,506
(3,314)
-
(3,314)
9,098
-
9,098
(40,000)
-
(40,000)
-
(50,294)
(50,294)
7,188
305,440
312,628
7,188
320,257
327,445
2021
2020
£
£
48,785
45,638
8,402
9,572
57,187
55,210

Debtors includes grants due at the balance sheet date, received after the year end.

13 Creditors: amounts falling due within one year

Other creditors
Accruals		 2021
2020
£
£
1,085
1,494
3,280
3,100
4,365
4,594

14 Operating leases

At 30 September 2021 the organisation had total minimum commitments under non-cancellable operating leases as set out below:

Amounts payable:
Within 1 year
Between 2 to 5 years		 Vehicles
Vehicles
2021
2020
£
£
5,450
8,030
1,148
6,598

23

COUNTIES (Formerly Counties Evangelistic Work)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

15 Reconciliation of net movement in funds to net cash inflow from operating activities

Statement of Financial Activities: Net movement in funds
Investment income
Investment management costs
Depreciation
Realised net gain on sales of investments
Unrealised net gain on investments
Increase / (decrease) in creditors: current liabilities
(Increase) /decrease in debtors
Net cash inflow/(outflow) from operating activities
Analysis of changes in cash during the year
Cash at bank and in hand
Cash held within investments
Cash at bank and in hand
Cash held within investments		 2021
£
264,425
19,245
283,670
2020
£
195,339
7,188
202,527		 2021
2020
£
£
134,216
(119,857)
(9,519)
(9,099)
3,405
3,314
26,869
42,158
(14,161)
(3,506)
(56,259)
50,294
(229)
(28,143)
(1,977)
67,864
82,345
3,025
2020
Change
£
£
195,339
69,086
7,188
12,057
202,527
81,143
2019
Change
£
£
152,313
43,026
5,934
1,254
158,247
44,280

16 Analysis of changes in cash during the year

24

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

17 Movement in funds

Restricted funds
Evangelists
GSUS Live fund
Church Planting
Network fund
The Evangelization
Society
Unrestricted funds
General funds
Total funds		 At
At
1 Oct
Gains
30 Sep
2020
Income
Expenditure
& losses
Transfers
2021
£
£
£
£
£
£
-
87,266
(87,266)
-
-
-
-
126,372
(112,372)
-
(14,000)
-
(2,981)
44,279
(32,989)
-
-
8,309
20,111
-
-
-
-
20,111
17,130
257,917
(232,627)
-
(14,000)
28,420
650,669
661,891
(623,385)
70,420
14,000
773,595
650,669
661,891
(623,385)
70,420
14,000
773,595
667,799
919,808
(856,012)
70,420
-
802,015

A transfer was made from the GSUS Live Restricted Fund to the General Fund to fund further schools' work, in line with the donors' wishes and reflects the purchase of a van which was capitalised during the year.

Restricted funds
Evangelists
GSUS Live fund
Church Planting
Network fund
The Evangelization
Society
Unrestricted funds
General funds
Total funds		 At
At
1 Oct
Gains
30 Sep
2019
Income
Expenditure
& losses
Transfers
2020
£
£
£
£
£
£
-
63,311
(63,311)
-
-
-
-
84,548
(81,748)
-
(2,800)
-
45,393
46,378
(94,752)
-
-
(2,981)
-
23,693
(3,582)
-
-
20,111
45,393
217,930
(243,393)
-
(2,800)
17,130
742,263
617,185
(664,791)
(46,788)
2,800
650,669
742,263
617,185
(664,791)
(46,788)
2,800
650,669
787,656
835,115
(908,184)
(46,788)
-
667,799

General fund

This is the main fund of the charity, which receives donations, investment and other income not received specifically for one of the funds. The fund provides support for the evangelists and also finances publicity and development and the overall running of the charity.

In the circumstances, all amounts received within the general fund have been treated as unrestricted income.

25

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021

17 Movement in funds (continued…)

Evangelists fund

When the Trustees invite an individual to join Counties as an Evangelist, in effect a restricted fund is created for the Evangelist and their activities that further the purposes of the charity.

GSUS Live fund

The fund exists to finance the running costs of the GSUS Live units.

Church Planting Network fund

The fund exists to enable the planting and replanting of vibrant new churches that make Jesus known across England and Wales.

The Evangelization Society (TES)

In the previous financial year the residual funds of TES were transferred to Counties. These funds are restricted and are to be utilised to fund grants towards evangelistic projects that are a one-off, innovative and pioneering in nature. This is consistent with the previous aims and objectives of TES.

18 Analysis of net assets between funds

2021
Restricted funds
Unrestricted funds
General funds
2020
Restricted funds
Unrestricted funds
General funds		 Tangible
Other
Fixed assets Investments
Net assets
Total
£
£
£
£
-
-
28,420
28,420
96,347
388,421
288,827
773,595
96,347
388,421
317,247
802,015
Tangible
Other
Fixed assets Investments
Net assets
Total
£
£
£
£
-
-
17,130
17,130
109,216
312,628
228,825
650,669
109,216
312,628
245,955
667,799

19 Related party transactions

The aggregate donations received from trustees and related parties in the year was £1,180 (2020: £380).

Apart from the above persons, no trustee or other person related to the charity, had any personal interest in any contract or transaction entered into by the charity during the year (2020 - None).

Phil Davies is an evangelist supported by Counties and is the brother of a trustee James Davies. The total paid to Phil Davies in the year was £4,250: (2020 £9,100).

20 Share capital

The company is limited by guarantee and does not have a share capital. The members' liability is limited to £1 each.

26