Annual Report and Financial Statements for the Year Ended 31 January 2023
## Grace Publications Trust
Charity registration number: 285237
Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham Chichester West Sussex PO18 8NF
## **GRACE PUBLICATIONS TRUST**
## **CONTENTS**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 4|
|Independent Examiner's Report|5|
|Statement of Financial Activities|6|
|Balance Sheet|7|
|Notes to the Financial Statements|8 to 14|
## **GRACE PUBLICATIONS TRUST**
## **REFERENCE AND ADMINISTRATIVE DETAILS**
**Trustees** M D Smith (resigned 14 October 2022) J T McDonald (resigned 22 June 2022) A Shrimpton (resigned 14 October 2022) M Adams (resigned 14 October 2022) R Tibbs J Sayers (resigned 14 October 2022) A M King A Prelock N Graham B Jones (appointed 14 October 2022) A Gardner (appointed 14 October 2022)
**Charity Registration** 285237 **Number Principal Office** c/o Grace Baptist Charities Ltd 62 Bride Street London N7 8AZ **Independent Examiner** G W Schulz ACMA Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham Chichester West Sussex PO18 8NF
Page 1
## **GRACE PUBLICATIONS TRUST**
## **TRUSTEES' REPORT**
The Trustees present the annual report together with the financial statements of the charity for the year ended 31 January 2023.
## **Structure, governance and management**
## _**Nature of governing document**_
Grace Publications Trust is a registered charity, number 285237, and is constituted under a Trust deed.
## _**Recruitment and appointment of Trustees**_
The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.
## _**Organisational structure**_
The charity has a management committee who are elected/re-elected annually at the AGM and an executive to direct the work of the charity.
The charity has formulated, agreed and implemented policies in relation to privacy (GDPR), reserves, investments and risk assessment.
## _**Risk management**_
The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
## **Objectives and activities**
## _**Objects and aims**_
The principal object of the charity is to promote the better knowledge and understanding of the doctrines of the the Christian faith as expressed in the London Confession of Faith 1689 and the Strict Baptist Affirmation of Faith 1966 and to do all such lawful things as are incidental or conducive to the attainment of these objects.
The charity aims to fulfill its main object by producing, acquiring, publishing and disseminating literature of all kinds and the making and distributing of mechanical, electrical and other recordings, films and visual aids.
## _**Public benefit**_
The Trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Page 2
## **GRACE PUBLICATIONS TRUST**
## **TRUSTEES' REPORT (CONTINUED)**
## **Achievements and performance**
Through another year, we thank God for enabling the Trust to continue its work of publishing Christian literature.
During the year (February 2022 - January 2023) the new Production Manager continued to become more established in the use of Adobe Indesign and completed the new branding of five main tracks of books: Local Church, Christian Life, study, Gospel & Church History. In addition, she established a new publishing “on demand” facility with our printer and new streamlined eBook production facility for new titles. All old and new titles were registered with Nielsons Title Editor and a new administrator was employed 1 day/week to assist with marketing and general administration.
New publishing contracts were signed with four new authors (Lois Newcombe, Brad Franklin, Mez McConnell/20schemes and John Benton/Pastors Academy and work began on these four titles.
DayOne has continued to be our “fulfilment partner” by providing a warehousing and “pick and post” facility for all GPT website sales. DayOne also continued to handle all our trade accounts with UK bookshops and the distribution of Geneva Bible Notes (GBN).
During the year, the work to anglicise the Christian Standard Bible for LifeWay was completed and all files were sent to them for onward processing.
Four Trustees retired during the year to 31 January 2023. Martyn Smith, Mike Adams and Andrew Shrimpton Keble retired on 13 October 2022. Two new Trustees were appointed: Ben Jones (as chairman) and Abigail Gardner (as treasurer). In light of the new chairman, Jim Sayers stepped down in his role as a trustee and temporary chairman but continued to serve on the Executive.
We give thanks to the Lord for the faithful service of all committee and executive members, and for those who assist the Trust in editing and proof-reading manuscripts.
## **Going concern**
After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.
Page 3
## **GRACE PUBLICATIONS TRUST**
## **TRUSTEES' REPORT (CONTINUED)**
## **Statement of Responsibilities**
The Trustees are responsible for preparing the Trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
The law applicable to charities 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 charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008, and the provisions of the constitution. The Trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The annual report was approved by the Trustees of the charity on 12 October 2023 and signed on its behalf by:
......................................... ......................................... A M King A Gardner Trustee Trustee
Page 4
## **GRACE PUBLICATIONS TRUST**
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF GRACE PUBLICATIONS TRUST**
I report to the Trustees on my examination of the accounts of Grace Publications Trust for the year ended 31 January 2023.
## **Responsibilities and basis of report**
As the charity Trustees of Grace Publications Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Grace Publications Trust's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner’s statement**
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of Grace Publications Trust as required by section 130 of the Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting 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.
...................................... G W Schulz ACMA Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham Chichester West Sussex PO18 8NF
12 October 2023
Page 5
## **GRACE PUBLICATIONS TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JANUARY 2023**
|**Note**
**Unrestricted**
**funds**
**£**
**Income and Endowments from:**
Donations and legacies
2
250
Charitable activities
3
54,818
Investment income
4
1,093
Total income
56,161
**Expenditure on:**
Charitable activities
5
69,432
Net
(expenditure)/income
(13,271)
Net movement in funds
(13,271)
**Reconciliation of funds**
Total funds brought
forward
127,151
Total funds carried
forward
10
113,880|**Restricted**
**funds**
**£**
730
-
-
730
-
730
730
6,324
7,054|**Total**
**2023**
**£**
980
54,818
1,093
56,891
69,432
(12,541)
(12,541)
133,475
120,934|**Total**
**2022**
**£**
560
40,652
12|
|---|---|---|---|
||||41,224
40,053|
||||1,171|
||||1,171
132,304|
||||133,475|
The notes on pages 8 to 14 form an integral part of these financial statements. Page 6
## **GRACE PUBLICATIONS TRUST**
## **BALANCE SHEET AS AT 31 JANUARY 2023**
|**Note**
**Current assets**
Stocks
Debtors
8
Cash at bank and in hand
**Creditors: Amounts falling due within one year**
9
**Net assets**
**Funds of the charity:**
**Restricted income funds**
Restricted funds
**Unrestricted income funds**
Unrestricted funds
**Total funds**
10|**2023**
**£**
19,970
10,431
97,662
128,063
(7,129)
120,934
7,054
113,880
120,934|**2022**
**£**
17,012
15,993
104,997|
|---|---|---|
|||138,002
(4,527)|
|||133,475|
|||6,324
127,151|
|||133,475|
The financial statements on pages 6 to 14 were approved by the Trustees, and authorised for issue on 12 October 2023 and signed on their behalf by:
......................................... ......................................... A M King A Gardner Trustee Trustee
The notes on pages 8 to 14 form an integral part of these financial statements. Page 7
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023**
## **1 Accounting policies**
## **Statement of compliance**
The financial statements have been prepared 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) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
## **Basis of preparation**
Grace Publications Trust meets the definition of a public benefit entity under FRS 102. The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.
## **Going concern**
The Trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
## **Income and endowments**
Voluntary income including donations, gifts, legacies and grants that provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it is probable that the income will be received and the amount can be measured with sufficient reliability.
## _**Donations and legacies**_
Donations and legacies are recognised on a receivable basis when receipt is probable and the amount can be reliably measured.
## _**Gift aid**_
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
## _**Interest receivable**_
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## _**Interest receivable**_
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
Page 8
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023 (CONTINUED)**
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category.
## _**Charitable activities**_
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **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.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Trade creditors**
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
## **Liabilities**
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Page 9
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023 (CONTINUED)**
## **Financial instruments**
The charity 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.
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the Trustees' discretion in furtherance of the objectives of the charity.
Designated funds are unrestricted funds set aside for specific purposes at the discretion of the Trustees.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
## **2 Income from donations and legacies**
|Donations and legacies;
Donations
Gift aid reclaimed|**Unrestricted**
**funds**
**General**
**£**
250
-
250|**Restricted**
**funds**
**£**
705
25
730|**Total**
**2023**
**£**
955
25
980|**Total**
**2022**
**£**
510
50|
|---|---|---|---|---|
|||||560|
## **3 Income from charitable activities**
|Sales - General
Subscriptions - Geneva Bible Notes|**Unrestricted**
**funds**
**General**
**£**
43,555
11,263
54,818|**Total**
**2023**
**£**
43,555
11,263
54,818|**Total**
**2022**
**£**
26,531
14,121|
|---|---|---|---|
||||40,652|
Page 10
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023 (CONTINUED)**
## **4 Investment income**
|Interest receivable and similar income;
Interest receivable on bank deposits
**5 Expenditure on charitable activities**
**Note**
Authors, editors & readers payments
Postage & distribution (GBN)
Marketing & advertising
Production & bought-in costs
Royalties
Storage
Postage, carriage & packing (books)
Printing & stationery
Insurance
Travel and subsistence
Bank interest & charges
Committee members expenses
Consultancy
Secondment
Independent examination
Grant funding of activities
6|**Unrestricted**
**funds**
**General**
**£**
1,093
**Unrestricted**
**funds**
**General**
**£**
10,558
3,297
732
24,640
2,686
-
13,117
124
325
1,041
768
607
5,507
5,480
550
-
69,432|**Total**
**2023**
**£**
1,093
**Total**
**2023**
**£**
10,558
3,297
732
24,640
2,686
-
13,117
124
325
1,041
768
607
5,507
5,480
550
-
69,432|**Total**
**2022**
**£**
12|
|---|---|---|---|
||||**Total**
**2022**
**£**
1,844
5,380
3,982
20,346
380
230
2,082
-
-
-
347
1,722
2,400
-
525
815|
||||40,053|
Page 11
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023 (CONTINUED)**
## **6 Grant-making**
## **Analysis of grants**
Grants
**Grants to institutions 2023 2022 £ £** - 815
## **7 Trustees remuneration and expenses**
No Trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
During the year, travel and other expenses totalling £1,374 were reimbursed or paid directly to 7 Trustees (2022 - £192 to 2 Trustees).
During the year, ex gratia payments totalling £1,250 were paid to 4 retiring Trustees - (2022 £1,000).
## **8 Debtors**
|**8 Debtors**|||
|---|---|---|
|Trade debtors
Prepayments
Accrued income
VAT recoverable|**2023**
**£**
1,074
2,565
6,792
-
10,431|**2022**
**£**
8,624
1,240
5,829
300|
|||15,993|
## **9 Creditors: amounts falling due within one year**
|Trade creditors
Other taxation and social security
Other creditors
Accruals
Deferred income|**2023**
**£**
183
63
4,019
413
2,451
7,129|**2022**
**£**
2,578
-
-
-
1,949|
|---|---|---|
|||4,527|
Page 12
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023 (CONTINUED)**
## **10 Funds**
||**Balance**||||||||**Balance**|
|---|---|---|---|---|---|---|---|---|---|
||**at 1**||||||||**at 31**|
||**February**|**Incoming**|||**Resources**||||**January**|
||**2022**|**resources**|||**expended**||**Transfers**||**2023**|
||**£**|||**£**|**£**||**£**||**£**|
|**Unrestricted funds**||||||||||
|**_General_**||||||||||
|General Funds|125,760||56,161||(69,432)||1,391||113,880|
|**_Designated_**||||||||||
|Writer's fund|1,391|||-||-|(1,391)||-|
|**Total unrestricted**||||||||||
|**funds**|127,151||56,161||(69,432)||-||113,880|
|**Restricted funds**||||||||||
|Book fund|6,324|||730||-|-||7,054|
|**Total funds**|133,475||56,891||(69,432)||-||120,934|
||**Balance **||**at**|||||**Balance at**||
||**1 February**|||**Incoming**||**Resources**||**31 January**||
||**2021**|||**resources**||**expended**|||**2022**|
||**£**||||**£**||**£**||**£**|
|**Unrestricted funds**||||||||||
|**_General_**||||||||||
|General Funds|122,741||||40,664||(37,645)||125,760|
|**_Designated_**||||||||||
|Writer's fund|1,391||||-||-||1,391|
|**Total unrestricted funds**|124,132||||40,664||(37,645)||127,151|
|**Restricted funds**||||||||||
|Book fund|8,172||||560||(2,408)||6,324|
|**Total funds**|132,304||||41,224||(40,053)||133,475|
Page 13
## **GRACE PUBLICATIONS TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2023 (CONTINUED)**
## **11 Analysis of net assets between funds**
|Current assets
Current liabilities
Total net assets
Current assets
Current liabilities
Total net assets|**Unrestricted funds**
**General**
**£**
**Designated**
**£**
121,009
-
(7,129)
-
113,880
-
**Unrestricted funds**
**General**
**£**
**Designated**
**£**
130,296
1,391
(4,527)
-
125,769
1,391|**Restricted**
**funds**
**£**
7,054
-
7,054
**Restricted**
**funds**
**£**
6,324
-
6,324|**Total funds**
**at 31**
**January**
**2023**
**£**
128,063
(7,129)|
|---|---|---|---|
||||120,934|
||||**Total funds**
**at 31**
**January**
**2022**
**£**
138,011
(4,527)|
||||133,484|
Page 14