Docusign Envelope ID: BE313D3B-390E-41F5-8323-F486C6DDA16C
Charity number: 283832
ISLAMIC TEXTS SOCIETY
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
Docusign Envelope ID: BE313D3B-390E-41F5-8323-F486C6DDA16C
ISLAMIC TEXTS SOCIETY
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Society, its Trustees and advisers | 1 |
| Trustees' report | 2 - 5 |
| Independent examiner's report | 6 |
| Statement of financial activities | 7 |
| Balance sheet | 8 |
| Notes to the financial statements | 9 - 21 |
Docusign Envelope ID: BE313D3B-390E-41F5-8323-F486C6DDA16C
ISLAMIC TEXTS SOCIETY
REFERENCE AND ADMINISTRATIVE DETAILS OF THE SOCIETY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2024
| Trustees | HRH Prince Amr al-Faisal |
|---|---|
| Dr Khaled Azzam | |
| Mrs Laila Azzam | |
| Dr Abdul Rahman Azzam | |
| Mrs Nagla Azzam | |
| Charity registered number 283832 Principal office Millers House Kings Mill Lane Great Shelford Cambridge CB22 5EN Secretary Miss Fatima Azzam Accountants Peters Elworthy & Moore Chartered Accountants Salisbury House Station Road Cambridge CB1 2LA Bankers Barclays Bank 9-11 St Andrew's Street Cambridge CB2 3AA |
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Docusign Envelope ID: BE313D3B-390E-41F5-8323-F486C6DDA16C
ISLAMIC TEXTS SOCIETY
TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2024
The Trustees submit their annual report and the unaudited financial statements of Islamic Texts Society (ITS) for the year ended 31 March 2024. The Trustees confirm that the Annual Report and financial statements of the Charity comply with the current statutory requirements, the requirements of the Charity’s governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition effective 1 January 2019).
OBJECTIVES AND ACTIVITIES
Policies and objectives
ITS aims to further knowledge about the heritage of Islam. It aims to build a library in the English language of translations of classic works from the Islamic culture and thus to make available, sometimes for the first time ever, works on theology, law, philosophy, mysticism, the sciences, etc. By so doing, it aims to contribute to the knowledge of academics, students, and all those interested in Islam. ITS also aims at publishing works of general interest about Islam and its relation to other religions. The objective here is to contribute to the ongoing inter-faith debate.
Public benefit
The Trustees confirm that they have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to the Charity Commission's general guidance on public benefit. The Society is a registered charity whose primary charitable purpose defined by the Charities Act 2011 is to advance the education of the public in Islamic and the Muslim religion and culture by means of the publication and sale of books from the Islamic heritage or by such other means as the trustees shall determine from time to time. The charity provides public benefit by making such texts available to a wide audience.
ACHIEVEMENTS AND PERFORMANCE
The aim of the Charity is to bring out new titles each year, as well as maintaining its backlist in stock.
We continue to liaise with authors and translators regarding commissioned manuscripts in the process of completion and to accept completed manuscripts that fit in with our aims and objectives. Our main focus continues to be the translations of titles from the Islamic heritage; monographs in English will be accepted only if exceptional and highly recommended.
The objective of the Charity for the year 2024-25 is to publish five new titles:
-
Al-Ghazali Responses Proper to Listening to Music HB
-
Al-Ghazali Responses Proper to Listening to Music PB
-
Al-Ghazali on Proper Conduct for the Recitation of the Qur’an HB
-
Al-Ghazali on Proper Conduct for the Recitation of the Qur’an PB
-
Sulami: Treatises on the Sufi Path
The manuscripts of the above five new titles are in the process of being translated, edited, typeset, etc.
Page 2
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ISLAMIC TEXTS SOCIETY
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024
Regarding the backlist, a number of out-of-stock titles will be reprinted. The ITS reviews the average annual sales of every title and divides the list into best-sellers (to be printed litho in quantities of 500 and above) and titles that sell less than 500 copies per year (to be printed Print on Demand (PoD) in quantities dependent on average annual sales). This ensures that all titles remain permanently in stock which is essential for sales as most customers now cancel orders if the books are not in stock. We will continue to monitor sales of individual titles and adjust averages and print quantities accordingly.
Sales representation is still being managed in-house. We continue to expand the means of targeting our trade and individual clients.
In the year 2024-25, the ITS will be focusing more proactively on its production programmes after the major disruptions caused by the termination of our distribution contracts both in the UK and in North America, the move in the UK to a new distributor BookSource and the impact of Covid on our authors/translators which had resulted in numerous delays in the submission of commissioned manuscripts.
During the year 2023-24, sales of the ITS titles at our new UK distributor Booksource have risen considerably on the previous year and we are reassured that the situation in the UK has stabilised after all the disruption with our former distributor Orca Book Services. The ITS has yet to find a new distributor in North America.
No new titles were published in the year (see Review of Activities below).
Review of Activities
The year 2023-24 was mostly taken up with consolidating our position at our new distributor in the UK, BookSource and rebuilding our relations with our existing customers after all the disruption with our former distributor Orca Book Services in the UK and the termination of our agreement with our North American distributor IPG.
Our production programmes were reviewed, as were all titles in progress. A number of contracts for titles that have not been submitted were cancelled and the authors/translators of all remaining titles on our books chased and submission dates revised.
At present, the funds of the ITS are sufficient to cover its running costs and production costs and there is no need for the trustees and the management committee to raise funds for the charity. If in the year 2024-25 major new projects are taken on, then the trustees and the management committee will resume the fundraising to cover the costs of the new projects. No material expenditure for future income generation is expected.
PLANS FOR FUTURE PERIODS
The trust plans to continue to pursue its activities through the publication of new titles and through maintaining its backlist in stock.
Page 3
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ISLAMIC TEXTS SOCIETY
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024
FINANCIAL REVIEW
Reserves Policy
The Trust is funded from the sale proceeds of its publications and from its fundraising activities. It is therefore the policy of the Trust to maintain unrestricted funds (excluding fixed assets), which are the free reserves of the Society, at a level which equates to approximately three months unrestricted expenditure (£62,500) in order to provide sufficient funds to cover the management and administration and support costs should there be a fall in income. Current unrestricted free reserves amounted to £194,335 (2023: £204,366), which is in excess of the policy.
Financial Review
The results for the year are set out in the attached financial statements. Sales of publications increased during the year to £226,763 (2023: £208,334) and total expenditure amounted to £254,991 (2023: £263,011). At the end of the year the Society had net assets of £221,972 (2023: £236,951) although it is noted that the resale value of publications in stock significantly exceeds their book value.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Constitution
The principal object of the Society is to further knowledge about the vast heritage of Islam by building a library in the English language of classic works from the Islamic culture. The Society is governed by a Trust Deed dated 4 November 1981 as amended on 16 November 2018.
Method of appointment or election of Trustees
The management of the Society is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust Deed by resolution at a meeting of the Trustees.
Organisational structure and decision making
The Trustees are responsible for establishing the overall policy of the Society and meet periodically to review progress in meeting the Society's objectives. The day-to-day execution of that policy is delegated to the Management Committee.
General risk management
The Trustees have examined the major strategic, business and operational risks which the ITS faces, in particular those related to the operations and finances of the ITS. Systems and procedures have been established to mitigate exposure to the major risks.
It has been recognised that the major strategic, business and operational risks are related to:
-
the ability of the trust to raise sufficient funds to cover its production programmes especially given the challenges to fundraising and the imperative to ensure that all donations are accepted exclusively from recognised donors such as established ITS readers or donors known personally to the Trustees or managing director.
-
the changing markets worldwide. In particular, the territorial rights where buyers or distributors are restricted to operate within a particular region are being disregarded more and more and this has affected the sales in North America. The Trustees are working to minimise this effect on the ITS through the enforcement of territorial rights and investigating the potential in future of having only one territory from which all sales are made.
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Docusign Envelope ID." BE313D3&390E41F&832&F486C6DDA16C LAMIC TEKfs SOCIETY TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2024 STATEMENT OF TRUSTEES, RESPONSIBIUTIES The Trustees aro rosponsiblg lor pr•paring tho Trustees, roport ar¥J the finan stalgmgnts in a¢cordance with appli¢abl& law and Unired Kingdom Acwunting Staards (United Kingdom GenerlY Axeptgd Accounting Practicol. Th8 law ap l¢able to charilies in EnglaDJ & Walos r1r#S th• Trustees lo prepare linancid slalom&nt$ lor each linancid year whlch give a true arJ lair wow ol th& state ol aflwrs ol th• So¢igty and ol ils incoming r&8our¢&s and applicalion ol r8sourc8s. including its income and expendiiufg. lor that riod. In prgparing Ihe8e Ilnancial statem•nts, th• Tte•S are rwulrod to: 8elecl suitabl• ac¢ounling WI1•$ and then apply thom consistently., obseN• th• m•lhod$ arKI pri1p1&S ol th• Charities SORP IFRS 1021; make judgmtrnts and accountin9 e8tirnat8$ that ar• reasonabl• and prudent.. 8tate ¥thother applicable UK A¢¢ounling Standards IFRS 1021 have be•n lollow+J, 8uble¢t lo any mat8rial d•partur•$ dl$¢l¢8ed arKf •xplained in the financi stat•m•nt$'. prepwe the linancial statements on tho going con¢gm basls unlotss it 1$ inapproprlato tts pr•8um& that th& Soo49ty will Continuo In bu81ne88. The Trusl¥es ar• r&sponsibl& lor keeping ad•quat• a¢¢ounting records that ar& sufficient lo show and txplain the Societys transactions and di8dos• with r•a$onabl¢ ac¢uracy at any Imo th6 financial ptssilitsn ol the Trust and enabl• them lo •n$ure that th• financial Statements comply with th• Charttles Act 2011, th• Charity (Accounts and R•port$l Regulations 2008 and the prowslons ol the Trust d••d. They are also r&Spon$iO lor Saleguarding tho assets ol th• sO¢ty and h•ACO for taking roasonabl• $lop$ lor th• Pf9v&ntion and dgtodon of Iraud other irr•gularitl•8. Approvgd by ordgr ol th• m•mb•rs of th• board of Tru$tg9s and 81gned on Ih•lr behalf by.. Mr8 Lalla Ilzam Truslge Dale.. 07loq I loi Pagè 5
Docusign Envelope ID: BE313D3B-390E-41F5-8323-F486C6DDA16C
ISLAMIC TEXTS SOCIETY
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2024
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF ISLAMIC TEXTS SOCIETY ('the Society')
I report to the charity Trustees on my examination of the accounts of the Society for the year ended 31 March 2024.
RESPONSIBILITIES AND BASIS OF REPORT
As the Trustees of the Society you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Society's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed 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 Society has prepared the accounts in accordance with 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) 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 been withdrawn.
I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the 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:
-
accounting records were not kept in respect of the Society as required by section 130 of the 2011 Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
This report is made solely to the Society's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Society's Trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Society and the Society's Trustees as a body, for my work or for this report.
Signed: Mr M Hewett
Dated: 14 October 2024 FCA DChA
PETERS ELWORTHY & MOORE
Chartered Accountants Cambridge
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ISLAMIC TEXTS SOCIETY
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2024
| Note INCOME FROM: Donations 2 Charitable activities 3 Investments 4 Other income 5 TOTAL INCOME EXPENDITURE ON: Charitable activities 6 TOTAL EXPENDITURE NET MOVEMENT IN FUNDS RECONCILIATION OF FUNDS: Total funds brought forward Net movement in funds TOTAL FUNDS CARRIED FORWARD |
Unrestricted funds 2024 £ 2,173 226,763 1,026 - 229,962 238,520 238,520 (8,558) 204,366 (8,558) 195,808 |
Restricted funds 2024 £ 10,050 - - - 10,050 16,471 16,471 (6,421) 32,585 (6,421) 26,164 |
Total funds 2024 £ 12,223 226,763 1,026 - 240,012 254,991 254,991 (14,979) 236,951 (14,979) 221,972 |
Total funds 2023 £ 2,956 208,334 186 93,750 |
|---|---|---|---|---|
| 305,226 | ||||
| 263,011 | ||||
| 263,011 | ||||
| 42,215 | ||||
| 194,736 42,215 |
||||
| 236,951 |
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 9 to 21 form part of these financial statements.
Page 7
Docusign EnvelopÈ ID." BE313D3U90E41F5-8323-F486C6DDA16C ISLAMIC TEXTS SOCIETY BALANCE SHEET AS AT 31 MARCH 2024 2024 2023 Note FIXED ASSETS Tangible as5els 1.473 2,142 1,473 2,142 CURRENT ASSErs Stocks Debtors Cash at bank and hand 82,839 58,069 281,719 79,114 160,148 185,945 422,627 425,207 CREDITORS.- amoL%nts falling dug within on yaar 1202,128} 1190,3981 NET CURRENT ASSETS 220,499 234,809 NET ASSETS 221,972 236,951 CHARITY FUNDS Reslri¢tad funds Unrestricled funds 12 12 26,164 195.808 32,585 204,366 TOTAL FUNDS 221,972 236,951 The financial slalomenls wgre approvod and authorisod lor issug by the Trusteès and signed on Iheir behalf by.. Mr$ Lo118 Azzam Tru$t88 Datg.. oTrl¢q I IOlLk The notes on pag¥s 910 21 form part ol thes? financial statements. Page 8
Docusign Envelope ID: BE313D3B-390E-41F5-8323-F486C6DDA16C
ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
1. ACCOUNTING POLICIES
1.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition of the Charities SORP October 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The financial statements have been prepared to give a ‘true and fair’ view and 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 Charities SORP (FRS 102) published on 16 July 2014 (and subsequently updated) rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The Islamic Texts Society meets the definition of a public benefit entity as defined by FRS 102.
No significant estimates or judgements have been made by management in preparing these financial statements.
1.2 GOING CONCERN
The Trustees have reviewed the financial position of the Society and have reasonable expectation that the Society has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the financial statements continue to be prepared on a going concern basis.
1.3 FUND ACCOUNTING
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Society and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Society for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
1. ACCOUNTING POLICIES (CONTINUED)
1.4 INCOME
All income is recognised once the Society has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Publication income is recognised at the later of the publication date or receipt of a sales order.
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Society; this is normally upon notification of the interest paid or payable by the Bank.
Donations, are recognised when the Society has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfillment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.
Other incoming resources represent amounts receivable under the Coronavirus Job Retention Scheme (CJRS) to cover salaries of furloughed staff. This income is recognised on the accruals basis, over the same period as the related expenditure.
1.5 EXPENDITURE
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated to the applicable expenditure headings.
Support costs have been allocated between governance costs and other support costs. Support costs are those costs incurred directly in support of expenditure on the objects of the Society. Governance costs are those incurred in connection with administration of the Society and compliance with constitutional and statutory requirements.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Society's objectives, as well as any associated support costs.
1.6 TANGIBLE FIXED ASSETS AND DEPRECIATION
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
| Office equipment | - | 10% straight line |
|---|---|---|
| Computer equipment | - | 20% straight line |
| Other fixed assets | - | 20% straight line |
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
1. ACCOUNTING POLICIES (CONTINUED)
1.7 OPERATING LEASES
Rentals under operating leases are charged to the Statement of Financial Activities on a straight line basis over the lease term.
1.8 STOCKS AND WORK IN PROGRESS
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
1.9 DEBTORS
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
1.10 CASH AT BANK AND IN HAND
Cash at bank and 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.
1.11 CREDITORS AND PROVISIONS
Creditors and provisions are recognised where the Society has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
1.12 FINANCIAL INSTRUMENTS
The Society only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
1.13 FOREIGN CURRENCIES
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the reporting date.
Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.
Exchange gains and losses are recognised in the statement of financial activities.
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
2. INCOME FROM DONATIONS
| Donations TOTAL 2024 TOTAL 2023 |
Unrestricted funds 2024 £ 2,173 2,173 2,866 |
Restricted funds 2024 £ 10,050 10,050 90 |
Total funds 2024 £ 12,223 12,223 2,956 |
Total funds 2023 £ 2,956 |
|---|---|---|---|---|
| 2,956 | ||||
3. INCOME FROM CHARITABLE ACTIVITIES
| Publishing Copyright income TOTAL 2024 TOTAL 2023 |
Unrestricted funds 2024 £ 225,476 1,287 226,763 208,334 |
Total funds 2024 £ 225,476 1,287 226,763 208,334 |
Total funds 2023 £ 207,315 1,019 |
|---|---|---|---|
| 208,334 | |||
In 2023, all income from charitable activities was unrestricted.
4. INVESTMENT INCOME
| Interest receivable TOTAL 2024 TOTAL 2023 |
Unrestricted funds 2024 £ 1,026 1,026 186 |
Total funds 2024 £ 1,026 1,026 186 |
Total funds 2023 £ 186 |
|---|---|---|---|
| 186 | |||
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
5. OTHER INCOMING RESOURCES
| Orca settlement agreement TOTAL 2024 TOTAL 2023 |
Unrestricted funds 2024 £ - - 93,750 |
Total funds 2024 £ - - 93,750 |
Total funds 2023 £ 93,750 |
|---|---|---|---|
| 93,750 | |||
In 2023, Other incoming resources represented the amount owed to ITS under the settlement agreement reached with Orca Book Services in May 2023.
6. ANALYSIS OF EXPENDITURE BY ACTIVITIES
| Publishing TOTAL 2024 TOTAL 2023 |
Activities undertaken directly 2024 £ 134,813 134,813 128,784 |
Support and governance costs 2024 £ 120,178 120,178 134,227 |
Total funds 2024 £ 254,991 254,991 263,011 |
Total funds 2023 £ 263,011 |
|---|---|---|---|---|
| 263,011 | ||||
In 2023, of the total expenditure, £5,104 was attributable to expenditure from restricted funds and £257,907 was expenditure attributable to unrestricted funds.
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
6. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)
ANALYSIS OF DIRECT COSTS
| Staff commissions Costs of producing publications Packing, distribution and commission Royalties payable TOTAL 2023 ANALYSIS OF SUPPORT COSTS Staff costs Depreciation Consultancy Printing and stationery Telephone and internet Rent and rates Insurance Repairs and renewals Computer expenses Bank interest and charges Subscriptions Bad debt Marketing and fundraising expenses Legal and professional fees Bookkeeping fees Independent examination and accountancy fees (governance) TOTAL 2023 |
Publishing 2024 £ 26,965 62,726 30,171 14,951 134,813 128,784 Publishing 2024 £ 78,330 669 250 545 490 17,217 411 60 885 514 1,331 39 890 4,630 9,657 4,260 120,178 134,227 |
Total funds 2024 £ 26,965 62,726 30,171 14,951 134,813 128,784 Total funds 2024 £ 78,330 669 250 545 490 17,217 411 60 885 514 1,331 39 890 4,630 9,657 4,260 120,178 134,227 |
Total funds 2023 £ 18,581 51,196 48,501 10,506 |
|---|---|---|---|
| 128,784 | |||
| Total funds 2023 £ 71,297 602 - 768 884 17,452 285 - 1,100 873 1,183 49 5,488 22,276 8,020 3,950 |
|||
| 134,227 | |||
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
STAFF COSTS, KEY MANAGEMENT PERSONNEL AND TRUSTEES' REMUNERATION AND 7. EXPENSES
| Wages and salaries Social security costs |
2024 £ 99,127 6,168 105,295 |
2023 £ 85,189 4,689 |
|---|---|---|
| 89,878 |
The average number of persons employed by the Society during the year was as follows:
| 2024 | 2023 | |
|---|---|---|
| No. | No. | |
| Publishing | 2 | 2 |
No employee received remuneration amounting to more than £60,000 in either year.
The key management personnel of the charity comprises the Trustees and the Secretary. The Trustees all give their time and expertise without any kind of remuneration or other benefit in kind (2023: £Nil). The total employment benefits, including employer's national insurance, of key management personnel were £49,562 (2023: £41,229).
No trustees received reimbursed travel expenses during the year (2023: £Nil).
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
8. TANGIBLE FIXED ASSETS
| COST At 1 April 2023 At 31 March 2024 DEPRECIATION At 1 April 2023 Charge for the year At 31 March 2024 NET BOOK VALUE At 31 March 2024 At 31 March 2023 |
Office equipment £ 1,107 1,107 1,096 11 1,107 - 11 |
Computer equipment £ 8,986 8,986 6,855 658 7,513 1,473 2,131 |
Other fixed assets £ 1,863 1,863 1,863 - 1,863 - - |
Total £ 11,956 |
|---|---|---|---|---|
| 11,956 | ||||
| 9,814 669 |
||||
| 10,483 | ||||
| 1,473 | ||||
| 2,142 |
9. STOCKS
| Work in progress Stocks of published books |
2024 £ 4,982 77,857 82,839 |
2023 £ 1,482 77,632 |
|---|---|---|
| 79,114 |
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ISLAMIC TEXTS SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
10. DEBTORS
| DUE WITHIN ONE YEAR Trade debtors Other debtors Prepayments |
2024 £ 55,405 1,555 1,109 58,069 |
2023 £ 62,968 2,731 94,449 |
|---|---|---|
| 160,148 |
11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Trade creditors Other taxation and social security Other creditors Accruals |
2024 £ 9,575 2,564 184,104 5,885 202,128 |
2023 £ 15,522 2,319 167,915 4,642 |
|---|---|---|
| 190,398 |
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
12. STATEMENT OF FUNDS
STATEMENT OF FUNDS - CURRENT YEAR
| UNRESTRICTED FUNDS General Funds - all funds RESTRICTED FUNDS Royalties Razi Volume 2 Kazaruni Volume 1 & 2 Al Ghazali TOTAL OF FUNDS |
Balance at 1 April 2023 £ 204,366 5,905 10,000 15,000 1,680 32,585 236,951 |
Income £ 229,962 - 10,050 - - 10,050 240,012 |
Expenditure £ (238,520) (1,471) - (15,000) - (16,471) (254,991) |
Balance at 31 March 2024 £ 195,808 |
|---|---|---|---|---|
| 4,434 20,050 - 1,680 |
||||
| 26,164 | ||||
| 221,972 |
Purpose of Funds
The General Fund represents unrestricted funds available to support the Society's charitable objectives.
The Royalties restricted fund represents funding towards helping the charity pay off its liabilities for royalties and foreign language rights. These liabilities are included within ‘Other Creditors’ in the accounts.
Donations were received in the year towards publishing AL Ghazali titles. As these titles are yet to be published, the funds have been carried forward at the year end.
Kazaruni vol 1 & 2’ was published in the year.
As the remaining titles are yet to be published, the funds have been carried forward at the year end.
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
12. STATEMENT OF FUNDS (CONTINUED)
STATEMENT OF FUNDS - PRIOR YEAR
| UNRESTRICTED FUNDS General Funds - all funds RESTRICTED FUNDS Royalties Razi Volume 2 Kashani Volume 1 Kashani Volume 2 Kazaruni Volume 1 & 2 Al Ghazali TOTAL OF FUNDS |
Balance at 1 April 2022 £ 162,241 5,905 10,000 - - 15,000 1,590 32,495 194,736 |
Income £ 305,136 - - - - - 90 90 305,226 |
Expenditure £ (257,907) - - (2,459) (2,645) - - (5,104) (263,011) |
Transfers in/out £ (5,104) - - 2,459 2,645 - - 5,104 - |
Balance at 31 March 2023 £ 204,366 |
|---|---|---|---|---|---|
| 5,905 10,000 - - 15,000 1,680 |
|||||
| 32,585 | |||||
| 236,951 |
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
13. ANALYSIS OF NET ASSETS BETWEEN FUNDS
ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT PERIOD
| Unrestricted | Restricted | Total | |
|---|---|---|---|
| funds | funds | funds | |
| 2024 | 2024 | 2024 | |
| £ | £ | £ | |
| Tangible fixed assets | 1,473 | - | 1,473 |
| Current assets | 396,463 | 26,164 | 422,627 |
| Creditors due within one year | (202,128) | - | (202,128) |
| TOTAL | 195,808 | 26,164 | 221,972 |
| ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR PERIOD | |||
| Unrestricted | Restricted | Total | |
| funds | funds | funds | |
| 2023 | 2023 | 2023 | |
| £ | £ | £ | |
| Tangible fixed assets | 2,142 | - | 2,142 |
| Current assets | 392,622 | 32,585 | 425,207 |
| Creditors due within one year | (190,398) | - | (190,398) |
| TOTAL | 204,366 | 32,585 | 236,951 |
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
14. OPERATING LEASE COMMITMENTS
At 31 March 2024 the Society had commitments to make future minimum lease payments under noncancellable operating leases as follows:
| Not later than 1 year Later than 1 year and not later than 5 years |
2024 £ 15,000 2,500 17,500 |
2023 £ 15,000 17,500 |
|---|---|---|
| 32,500 |
15. RELATED PARTY TRANSACTIONS
During the year, the Society continued to rent the Miller's House, which is part of The King's Mill in Great Shelford, a property in which the Society's Trustees have an interest.
The Society has rented its offices at this property from the King's Mill Trust since 1 June 2010 at an annual rent of £15,000 per annum. The annual rent payable was calculated on the square footage prices of office spaces in the Great Shelford area. The rent paid in the year to 31 March 2024 amounted to £15,000 (2023: £15,000).
Mrs N Azzam (Trustee) and Miss F Azzam (Secretary) are trustees of the King's Mill Trust and Dr K Azzam, Mrs L Azzam, Dr A R Azzam, Mrs N Azzam and Miss F Azzam are beneficiaries of the King's Mill Trust.
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