Charity Registration No. 280062
THE BS CHARITABLE FOUNDATION
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
THE BS CHARITABLE FOUNDATION
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees Mr D B Black Mr B Seitler Mrs S Seitler Mr L Seitler Charity number 280062 Principal address The Cottages Deva Centre Trinity Way Manchester M3 7BE Independent examiner Simon Kaye ACA CTA 1st Floor, Cloister House Riverside New Bailey Street Manchester M3 5FS
THE BS CHARITABLE FOUNDATION
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Notes to the financial statements | 6 - 12 |
THE BS CHARITABLE FOUNDATION
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 MARCH 2021
The trustees present their annual report and financial statements for the year ended 31 March 2021.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's trust deed , the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016)
Objectives and activities
The charity exists to receive and distribute charitable donations to worthy causes within the Jewish community. The trustees confirm that they have referred to guidance contained in the charity commissions general guidance on public benefit when reviewing the Trusts aims and objectives and in planning future activities and setting the grant making policy for the year.
The charity's main income is generated from investment income and donations under the gift aid scheme and most of this income is distributed to religious, educational and similar charities.
The objectives of the trust for the year are to maintain a stable flow of donations going to worthy causes in the Jewish community. The trustees also aim to expand the charity's investment portfolio whenever the opportunity arises.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
The trustees have identified a number of Orthodox Jewish charities which profess and teach the principles of traditional Judiasm or which carry out activities which advance religion in accordance with the Orthodox Jewish faith. Grants are given on application to the trustees by these or similar charities.
Achievements and performance
During the year the trust made donations to a wide variety of charities within the Jewish community. The charity believes it has achieved its aims in delivering public benefit by successfully distributing all of its incoming resources plus cash reserves to the its identified worthy causes. Remaining reserves in bank and deposit accounts are available towards future investment purposes. The trustees are pleased with its investment performance and with the level of donations given to worthy causes.
The trust holds three UK freehold properties as investments plus shares of another two investment properties. Trustee requirements are to expand the charity's portfolio and are constantly looking for further investments.
At the year end the trusts investments were valued at £ 866,090 . The investments returned a net income in the year of £ 24,515 .
Financial review
During the year the charity received donation income of £ 91,721 and investment income of £ 24,515 . This gave the charity a total income of £ 116,236 and distributed £ 138,728 to other charity and good causes. After other charitable expenditure in the year and an increase in the market value of investments, there was a decrease in the charity's reserves of £ 11,053 .
There is no formal policy to maintain a set level of reserves and the charity aims to distribute all available income to religious, educational and similar charities.
At the balance sheet date the charity had unrestricted reserves available to it of £1, 410,229 . This includes cash reserves of £ 543,611 . The trustees consider that this is an acceptable level of cash reserves in order to immediately be able to donate a large sum if required or have funding for obtaining further investments.
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THE BS CHARITABLE FOUNDATION
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
The trustees are experienced property investors and have invested the charity's funds into properties. Investments are chosen on the basis of achieving a yield in excess of that available from cash deposits while maintaining a high degree of security of income.
The charity's investments generated an excellent return on capital invested that the trustees are very pleased with.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Plans for future periods
The trust plans to continue to seek donations to enable them to distribute the monies throughout the Jewish community. The trustees will continue to purchase further investments when they believe it is in the best interests of the charity.
Structure, governance and management
The charity was established by a charitable trust deed on 25 March 1980.
The trustees who served during the year and up to the date of signature of the financial statements were: Mr D B Black
Mr B Seitler Mrs S Seitler Mr L Seitler
Appointment of other trustees is at the discretion of Mr B Seitler, Mr L Seitler and Mrs S Seitler. Training would be offered to new trustees by the existing trustees.
All descisions made on behalf of the trust are made by the trustees.
The trustees are responsible for the provision of means to distribute charitable donations to worthy causes.
The trustees' r eport was approved by the Board of Trustees.
.............................. Mr L Seitler
Trustee
Date: .............................................
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THE BS CHARITABLE FOUNDATION
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF THE BS CHARITABLE FOUNDATION
I report to the trustees on my examination of the financial statements of The BS Charitable Foundation (the charity) for the year ended 31 March 2021.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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2 the financial statements do not accord with those records; or
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3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Simon Kaye ACA CTA
1st Floor, Cloister House Riverside New Bailey Street Manchester M3 5FS
Dated: .........................
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THE BS CHARITABLE FOUNDATION
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021
| Notes Income from: Donations and legacies 3 Investments 4 Total income Expenditure on: Charitable activities 5 Net gains/(losses) on investments 10 Net movement in funds Fund balances at 1 April 2020 Fund balances at 31 March 2021 |
Total 2021 £ 91,721 24,515 116,236 140,972 13,683 (11,053) 1,421,282 1,410,229 |
Total 2020 £ 99,080 88,729 187,809 140,677 (37,941) 9,191 1,412,091 1,421,282 |
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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THE BS CHARITABLE FOUNDATION
BALANCE SHEET
AS AT 31 MARCH 2021
| Notes Fixed assets Tangible assets 12 Investments 13 Current assets Debtors 15 Cash at bank and in hand Creditors: amounts falling due within one year 16 Net current assets Total assets less current liabilities Income funds Unrestricted funds General unrestricted funds Share capital Revaluation reserve |
2021 £ £ 723,500 142,590 866,090 9,181 543,611 552,792 (8,653) 544,139 1,410,229 1,410,129 100 - 1,410,229 1,410,229 |
2020 £ £ 1,220,674 114,733 1,335,407 41,437 83,287 124,724 (38,849) 85,875 1,421,282 1,416,557 100 4,625 1,421,282 1,421,282 |
|---|---|---|
The financial statements were approved by the Trustees on .........................
.............................. Mr L Seitler Trustee
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
Charity information
The BS Charitable Foundation is a charity established by Trust Deed on 25 March 1980. The charity invests in properties and distributes monies throughout the Jewish community.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's [governing document], the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Funds held by the charity are all Unrestricted. These being funds which can be used in accordance with the charitable objects at the discretion of the trustees.
1.4 Incoming resources
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
1.5 Resources expended
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Expenses are included in the financial statements as they become receivable or due.
Expenses include VAT where applicable as the charity cannot reclaim it.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities .
1.7 Fixed asset investments
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year . Transaction costs are expensed as incurred.
1.8 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.9 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity 's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity ’s contractual obligations expire or are discharged or cancelled.
2 Critical accounting estimates and judgements
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3 Donations and legacies
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2021 | 2020 | |
| £ | £ | |
| Donations and gifts | 91,721 | 99,080 |
| Investments | ||
| Unrestricted | Unrestricted | |
| funds | funds | |
| 2021 | 2020 | |
| £ | £ | |
| Rental income | 14,669 | 80,237 |
| Income from listed investments | 9,846 | 8,492 |
| 24,515 | 88,729 |
4 Investments
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
5 Charitable activities
| Bank charges Grant funding of activities (see note 6) Share of governance costs |
2021 £ 1 138,728 2,243 140,972 |
2020 £ 212 137,644 2,821 140,677 |
|---|---|---|
Governance costs includes payments to the accountants of £132 (2020 £120) for accountancy fees.
6 Grants payable
| Grants to institutions: Broom Foundation Yad Yisroel Teshuvoh Tefilloh Tzedokoh Manchester Purim Collection Shaarei Torah Trust Kollel Nethivoth Hatalmud Heichal Hatorah Kol Yom Trust Ohel Torah Tomchei Shabbos Yeshivas Shaanei Torah The FED TTT Manchester Needy Religious, educational and similar grants - |
2021 £ 34,000 800 1,000 11,500 - 290 5,750 3,368 3,500 3,000 12,000 3,550 7,000 52,970 138,728 |
2020 £ 49,900 12,000 12,000 11,500 8,550 8,000 6,000 2,000 - - - - - 27,694 137,644 |
|---|---|---|
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
7 Support costs
| Support costs Governance costs £ £ Legal and professional - 2,111 Accountancy - 132 - 2,243 Analysed between Charitable activities - 2,243 |
2021 £ 2,111 132 2,243 2,243 |
Support costs Governance costs £ £ - 2,701 - 120 - 2,821 - 2,821 |
2020 £ 2,701 120 2,821 2,821 |
|---|---|---|---|
Governance costs includes payments to the accountants of £1 32 (2020- £120) for accountancy fees.
8 Trustees
None of the trustees (or any persons connected with them) received any remuneration during the year.
9 Employees
The average monthly number of employees during the year was:
| 2021 | 2020 | |
|---|---|---|
| Number | Number | |
| Total | - | - |
| There were no employees whose annual remuneration was more than £60,000. |
10 Net gains/(losses) on investments
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2021 | 2020 | |
| £ | £ | |
| Revaluation of investments | (98,762) | (37,941) |
| Gain/(loss) on sale of investment properties | 112,445 | - |
| 13,683 | (37,941) |
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
11 Taxation
The activities of The BS Charitable Foundation are exempt from direct taxation under the provisions of Part 10 of the Income Tax Act 2007
12 Tangible fixed assets
| 12 | Tangible fixed assets | |||
|---|---|---|---|---|
| Land | and buildings | |||
| £ | ||||
| Cost | ||||
| At 1 April 2020 | 1,220,674 | |||
| Disposals | (370,555) | |||
| Revaluation | (126,619) | |||
| At 31 March 2021 | 723,500 | |||
| Carrying amount | ||||
| At 31 March 2021 | 723,500 | |||
| At 31 March 2020 | 1,220,674 | |||
| All properties held are UK freehold property. | ||||
| 13 | Fixed asset investments | |||
| Listed | Unlisted | Total | ||
| investments | investments | |||
| £ | £ | £ | ||
| Cost or valuation | ||||
| At 1 April 2020 | 114,732 | 1 | 114,733 | |
| Valuation changes | 27,857 | - | 27,857 | |
| At 31 March 2021 | 142,589 | 1 | 142,590 | |
| Carrying amount | ||||
| At 31 March 2021 | 142,589 | 1 | 142,590 | |
| At 31 March 2020 | 114,732 | 1 | 114,733 | |
| 14 | Financial instruments | 2021 | 2020 | |
| £ | £ | |||
| Carrying amount of financial assets | ||||
| Instruments measured at fair value through profit or loss | 142,589 | 114,732 |
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THE BS CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
15 Debtors
| Amounts falling due within one year: Trade debtors Other debtors |
2021 £ 9,181 - 9,181 |
2020 £ 39,974 1,463 41,437 |
|---|---|---|
16 Creditors: amounts falling due within one year
| Trade creditors Other creditors Accruals and deferred income |
2021 £ - - 8,653 8,653 |
2020 £ 1,933 17,500 19,416 38,849 |
|---|---|---|
17 Related party transactions
During the year the charity received donations of £91,721 from a related company, registered in England & Wales, in which the trustees are directors.
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