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2022-09-30-accounts

COUNTIES

(Formerly Counties Evangelistic Work)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2022

Charity registration number: 264278 Company registration number: 01041761

COUNTIES (Formerly Counties Evangelistic Work)

YEAR ENDED 30 SEPTEMBER 2022

YEAR ENDED 30 SEPTEMBER 2022
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 2022

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 2022. 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 2021/22. The trustees met for a retreat to review the organizational strategy in March 2022. 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. A new mission statement strapline was introduced following the strategy review. “Making Jesus known: inspiring and equipping local churches”. This better reflects both the mission of Counties and a key way in which it pursues that mission.

Evangelists

The total number of self‐employed evangelists financially supported with a standard‐gift or part‐gift at the year‐end was 47, including many seniors and widows, which equates to an average for the year of nearly 34 full 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.

----- Start of picture text -----
40
equivalent number of full gifts to evangelists
35
30
25
20
15
10
----- End of picture text -----

In addition, Counties has five Associate Evangelists who are able to benefit from fellowship, training and conferences, however they do not receive financial gifts.

We give thanks for the many years of commitment and service for the Counties seniors and widows who have passed away during the financial year. In addition, during the year, two evangelists left Counties.

The evangelists, in seeking to fulfill the charity’s objects, are involved in a host of initiatives. 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;

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

small groups; school visits; visiting prisons and helping ex‐offenders; Christian education and preaching. Some evangelists work with all ages and backgrounds, whilst others have a specific focus such as 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 meet at least twice each year in six regional Cluster groups : South‐West England, South Central England, East of England, Wales, 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. In October 2021 Counties helped to arrange the joint Living the Passion conference. This was followed by our own very successful conference for evangelists, staff and trustees and their families, which was held in Worcestershire in 2022.

----- Start of picture text -----
An estimate of 12‐months 24,000
to November 2022
298,000
(based on 6 months data) people reached online 1,240
opportunities to share the indications of
Christian faith
salvation
tracts taken
84,300
people were
preached to in
person at local
Evangelists trained
churches
1,490
people in
evangelism
826 172,000
people attended pupils reached online
discovery groups or in person
----- End of picture text -----*

Training

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

M4UK launched in September 2019 and by September 2022 the scheme had been able to equip attendees from various church plants. During the financial year the M4UK ‘Learning Communities’ event in March took place in Ross‐on‐Wye, with the second also happening there during September. Jordan & Lacy Armstrong joined Counties as church planters in September 2022.

Our goal is to see a total of 30 new teams trained and involved in church planting or replanting by 2024. This is a significant development in our work, but in many ways is a return to the historical roots of Counties, where the ministry of the evangelists often led to the establishment of new churches.

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

c) Results and Financial Review

This has been both an exciting and challenging year from a financial perspective as the charity has experienced an overall net deficit of £183,633 compared to a surplus of £134,216 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 decreased to £713,025 (2021: £919,808), with the largest change arising from legacy income which has decreased to £16k from £188k in 2021. Expenditure decreased marginally to £837,732 (2021: £856,012). Movements on individual funds are summarized in note 17.

----- Start of picture text -----
£1,000,000
Income & Expenditure
£800,000
2022 2021
£600,000
£400,000
net movement
£200,000 total expenditure of funds
£0
total income losses/gains on
‐£200,000
investments
‐£400,000
‐£600,000
‐£800,000
‐£1,000,000
----- End of picture text -----

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

Unrestricted Funds shows an operational net deficit of £159,961, and income for the year decreased to £507,135. The two main factors that gave rise to the decreased income and deficit are: significant losses on investments of £58,926 (in the previous year this was a gain of £70,420) due to market conditions, and legacy income is greatly reduced.

Legacies cannot be regarded as regular income, needless to say the trustees are grateful to all those who have made provision in their will. The following graph shows how legacies have fluctuated since 2009, but on average the charity has received £132k 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 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 -----

Since the end of the financial year, Counties has received a significant one‐off gift from a grant making trust of £120,000 for schools’ resources, with an additional gift is anticipated towards training of around £60,000.

The following analysis of total expenditure represents £837,732 (2021: £856,012). Within this Unrestricted Fund expenditure is £608,170, a decrease from 2021 which was £623,385. 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.

----- Start of picture text -----
£600,000
2022 2021 4%
£500,000 2022 expenditure
£400,000
27% Raising funds
£300,000
£200,000 Charitable activities:
£100,000 Unrestricted
69%
£0 Charitable activities:
Raising funds Charitable Charitable Restricted
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.

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

The areas we have been looking at are:

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 a Covid Risk assessment, with additional control measures implemented at the office and for remote staff. From the Westbury office staff often began working from home when suitable, with a rota to staff the office. Much of the training moved online, including ETP, TEAM and M4 church planting training.

Financial implications of Covid‐19 : the impact to Counties was significant in some areas and appropriate action was taken. However, Counties continues to give thanks for continued support from personal donors, churches

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

and trusts, despite the impacts of the pandemic. In addition, some of the Counties evangelists were able, where appropriate, to claim the governments Self‐Employment Income Support Scheme grants.

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 anticipate there could be significant impact on the charity’s operations and reserves in the coming years, the charity currently 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

‐ advancement of the objects of the charity, as outlined in the Memorandum & Articles of Association to advance the Christian Faith, in particular bringing people to a personal faith in Jesus Christ and eternal security;

‐ individuals of all ages finding friendship, hope and healing;

‐ families being reordered and brought into stability;

‐ bringing new Christian believers into local worshipping and supportive communities.

Christian belief offers people a set of values by which to live, to make moral decisions and to interact with others. The majority of Counties arranged events and services are open to the public and these benefits have helped to meet religious, spiritual and educational needs, as well as supporting and helping individuals irrespective of background and status.

f) Risks Policy

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

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 of 4‐5 months expenditure + £400,000 Free reserves to match 3 years of legacy income = £700,000 total Liquid reserves

The trustees anticipate increasing Base reserves to £350,000 during the next three years. The trustees aim to hold these unrestricted reserves to meet the objectives of:

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REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

COUNTIES (Formerly Counties Evangelistic Work)

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 £466,189. This is calculated via total Unrestricted funds £577,719 (see Balance sheet), less amount invested in tangible fixed assets £111,530 (see Balance sheet). The trustees are reviewing the fact that the liquid reserves are considerably less than the reserves policy in the light of the significant fluctuations in investment values and legacy income in recent years.

When setting the annual budget, the trustees plan to consume existing free reserves over a three‐year period in the anticipation that they will be replenished by further legacies, and other income, 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 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 Chief Operations Officer 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 Chief Operations Officer, 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.

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.

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

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

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. 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.

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. The trustees wish to express thanks to P Sparkes who retired from the trustees during the year.

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 COO.

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).

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

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 (Trustees Chair)

Date:

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COUNTIES (Formerly Counties Evangelistic Work)

REPORT OF THE TRUSTEES YEAR ENDED 30 SEPTEMBER 2022

LEGAL AND ADMINISTRATIVE DETAILS

TRUSTEES: S R Bennett
R E Canham (chair)
J Davies
S McQuoid
P Sparkes (resigned June 2022)
C Taylor
P Singleton (joined January 2022)
A Taylor‐Roberts
J Wilkes
CHIEF EXECUTIVE OFFICER J G M Erwin
CHIEF OPERATIONS OFFICER
& COMPANY SECRETARY J Brooks‐Martin
EVANELISTS in attendance P Curley
at trustees at year end M Rich
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 Limited
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 2022.

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 2022

Notes
Income from:
Donations and gifts
2
Legacies
Investments
3
Charitable activities
Resources
Other income
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
2022
2021
£
£
£
£
460,497
205,890
666,387
716,339
15,824
-
15,824
188,484
9,645
-
9,645
9,519
(881)
-
(881)
5,466
22,050
-
22,050
-
507,135
205,890
713,025
919,808
27,972
3,388
31,360
29,298
580,198
226,174
806,372
826,714
608,170
229,562
837,732
856,012
(58,926)
-
(58,926)
70,420
(159,961)
(23,672)
(183,633)
134,216
(35,915)
35,915
-
-
(195,876)
12,243
(183,633)
134,216
773,595
28,420
802,015
667,799
577,719
40,663
618,382
802,015

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 2022 Company number 1041761
2022 2021
Note £ £ £ £
Fixed assets
Tangible assets 10 111,530 96,347
Investments 11 335,445 388,421
Total fixed assets 446,975 484,768
Current assets
Debtors 12 25,951 57,187
Cash and bank balances 150,620 264,425
Total current assets 176,571 321,612
Creditors : Amounts falling due within
one year 13 (5,164) (4,365)
Net current assets 171,407 317,247
Net assets 618,382 802,015
Funds
Unrestricted funds 18 577,719 773,595
Restricted funds 18 40,663 28,420
Total funds 618,382 802,015
----- End of picture text -----

For the year ending 30 September 2022 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 2022

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
Proceeds from the sale of fixed assets
Investment income
Investment management charges
Net cash inflow/(outflow) for the year
16		 2022
£
(108,728)
(27,223)
(26,570)
16,163
22,050
9,645
(3,599)
(9,534)
(118,262)		 2021
£
82,345
(14,000)
(93,142)
99,826
-
9,519
(3,405)
(1,202)
81,143

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 2022

1 Accounting policies

a) Basis of accounting

The financial statements have been prepared in accordance with the historical cost convention (except for investments which have been included at fair value) and in accordance with the Statement of Recommended Practice: 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) issued in October 2019 and the Companies Act 2006 and UK Generally Accepted Practice as it applies from 1 January 2019.

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 2022

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.

2 Income from donations and gifts

Trust grants:
Trust grants (anonymous)
Church planting grants
Donations and gifts from individuals
Gift aid received
Prior year comparative
Trust grants:
Trust grants (anonymous)
Church planting grants
Donations and gifts from individuals
Coronavirus Job Retention Scheme
Gift aid received		 Unrestricted
Restricted
Total
funds
funds
2022
£
£
£
318,100
102,091
420,191
-
15,400
15,400
133,564
79,219
212,783
8,833
9,180
18,013
460,497
205,890
666,387
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

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 2022

3 Investment income

Quoted investments
Bank interest
Prior year comparatives
Quoted investments		 Unrestricted
Restricted
Total
funds
funds
2022
£
£
£
9,641
-
9,641
4
-
4
9,645
-
9,645
Unrestricted
Restricted
Total
funds
funds
2021
£
£
£
9,519
-
9,519
9,519
-
9,519

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
2022
£
£
£
15,900
3,120
19,020
2,879
58
2,937
4,429
210
4,639
1,165
-
1,165
3,599
-
3,599
27,972
3,388
31,360
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

18

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2022

5 Analysis of charitable expenditure

Evangelists and training
Schools Resources
Prior year comparatives
Evangelists and training
Schools Resources		 Total
2022
£
£
£
£
382,642
101,799
100,584
585,025
-
139,053
82,294
221,347
382,642
240,852
182,878
806,372
Total
2021
£
£
£
£
404,522
78,825
103,648
586,995
-
154,917
84,802
239,719
404,522
233,742
188,450
826,714
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 49 (2021: 52). All grants made in the year were to individuals.

Support costs

Premises costs
Office expenses
Depreciation costs
Governance costs
Personnel costs including wages		 Total
2022
£
£
£
63,173
51,682
114,855
2,897
2,367
5,264
23,108
18,912
42,020
6,621
5,418
12,039
4,785
3,915
8,700
100,584
82,294
182,878
Evangelists
and training
Schools
Resources

Prior year comparative

Premises costs
Office expenses
Depreciation costs
Governance costs
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
Evangelists
and training
Schools
Resources

19

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2022

6 Net (expenditure)/income 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 6 Trustees (2021: 4 Trustees)		 2022
2021
£
£
12,040
26,869
4,254
3,280
560
722
2,589
296

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		 2022
2021
£
£
183,281
192,878
14,141
12,031
7,928
7,508
7,106
9,696
212,456
222,113

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

The average weekly number of employees during the year, calculated on the basis of average headcount, was 7 (2021: 9).

Key management personnel received employment benefits in the year of £82,136 (2021: £78,215).

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 2022

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
2021
£
£
£
458,422
257,917
716,339
188,484
-
188,484
9,519
-
9,519
5,466
-
5,466
661,891
257,917
919,808
24,505
4,793
29,298
598,880
227,834
826,714
623,385
232,627
856,012
70,420
-
70,420
108,926
25,290
134,216
14,000
(14,000)
-
122,926
11,290
134,216
650,669
17,130
667,799
773,595
28,420
802,015

21

COUNTIES (Formerly Counties Evangelistic Work)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2022

10 Tangible fixed assets

Tangible fixed assets
Freehold
GSUS Live
Key to Life
Property
exhibition
exhibition
£
£
£
Cost
At 1 Oct 2021
113,250
524,774
183,468
Additions
-
23,290
-
Disposals
-
(437,308)
-		 Office &
LIFE
computer
exhibition
equipment
Total
£
£
£
332,562
33,058
1,187,112
3,334
599
27,223
-
-
(437,308)
At 30 Sept 2022
113,250
110,756
183,468		 335,896
33,657
777,027
Depreciation
At 1 Oct 2021
34,973
510,774
183,468
Charge for year
1,394
6,060
-
Disposals
-
(437,308)
-		 328,492
33,058
1,090,765
4,460
126
12,040
-
-
(437,308)
At 30 Sept 2022
36,367
79,526
183,468		 332,952
33,184
665,497
Net book value
At 30 Sept 2022
76,883
31,230
-		 2,944
473
111,530
At 30 Sept 2021
78,277
14,000
-		 4,070
-
96,347
Investments
Market Value at 1 October 2021
Additions
Disposal proceeds
Realised (losses)/gains on investments
Management fees
Dividends & interest
Unrealised gains/(losses) on investments		 Total
Cash
Funds
2022
£
£
£
19,245
369,176
388,421
(26,570)
26,570
-
16,163
(16,163)
-
-
(1,107)
(1,107)
(3,599)
-
(3,599)
9,549
-
9,549
-
(57,819)
(57,819)
Market Value at 30 September 2022 14,788
320,657
335,445
Historical cost at 30 September 2022 14,788
352,747
367,535

11 Investments

All investments are held in the UK.

22

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2022

12 Debtors

Accrued income
Other debtors and prepayments		 2022
2021
£
£
20,654
48,785
5,297
8,402
25,951
57,187

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		 2022
2021
£
£
482
1,085
4,682
3,280
5,164
4,365

14 Operating leases

At 30 September 2022 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
2022
2021
£
£
2,007
5,450
-
1,148

23

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2022

15 Reconciliation of net movement in funds to net cash inflow/(outflow) from operating activities

Statement of Financial Activities: Net movement in funds
Investment income
Investment management costs
Depreciation
Sale of fixed assets
Realised net (gain)/losses on sales of investments
Unrealised net (gain)/losses on investments
Increase / (decrease) in creditors: current liabilities
(Increase) /decrease in debtors
Net cash inflow/(outflow) from operating activities		 2022
2021
£
£
(183,633)
134,216
(9,645)
(9,519)
3,599
3,405
12,040
26,869
(22,050)
-
1,107
(14,161)
57,819
(56,259)
799
(229)
31,236
(1,977)
(108,728)
82,345

16 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		 2022
2021
Change
£
£
£
150,620
264,425
(113,805)
14,788
19,245
(4,457)
165,408
283,670
(118,262)
2021
2020
Change
£
£
£
264,425
195,339
69,086
19,245
7,188
12,057
283,670
202,527
81,143

24

COUNTIES (Formerly Counties Evangelistic Work) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2022

17 Movement in funds
Current Year
Restricted funds
Evangelists
GSUS Live fund
Church Planting
Network fund
The Evangelization
Society		 At
At
1 Oct
Gains
30 Sep
2021
Income
Expenditure
& losses
Transfers
2022
£
£
£
£
£
£
-
88,968
(88,968)
-
-
-
-
95,765
(71,207)
-
(2,262)
22,296
8,309
20,363
(67,271)
-
38,599
-
20,111
794
(2,116)
-
(422)
18,367
28,420
205,890
(229,562)
-
35,915
40,663
Unrestricted funds
General funds		 773,595
507,135
(608,170)
(58,926)
(35,915)
577,719
773,595
507,135
(608,170)
(58,926)
(35,915)
577,719
Total funds 802,015
713,025
(837,732)
(58,926)
-
618,382
Prior Year
Restricted funds
Evangelists
GSUS Live fund
Church Planting
Network fund
The Evangelization
Society		 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
Unrestricted funds
General funds		 650,669
661,891
(623,385)
70,420
14,000
773,595
650,669
661,891
(623,385)
70,420
14,000
773,595
Total funds 667,799
919,808
(856,012)
70,420
-
802,015

A transfer was made in the prior year 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.

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 2022

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.

During the year there was a transfer of £38,599 from the general fund reserves to support this fund and to clear the balance. Counties continues to seek specific additional funding for the planting and replanting of new churches.

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

Restricted funds
Unrestricted funds
General funds
Prior year comparatives
Restricted funds
Unrestricted funds
General funds		 Tangible
Other
Total
Fixed assets
Investments
Net assets
2022
£
£
£
£
-
-
40,663
40,663
111,530
335,445
130,744
577,719
111,530
335,445
171,407
618,382
Tangible
Other
Total
Fixed assets
Investments
Net assets
2021
£
£
£
£
-
-
28,420
28,420
96,347
388,421
288,827
773,595
96,347
388,421
317,247
802,015

19 Related party transactions

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 (2021 - 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: (2021 £4,250).

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