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2022-12-31-accounts

DHARMACHAKRA 4 Warminster Road Registered Charity 294143 St. Werburghs Bristol BS2 9UH UK info@freebuddhistaudio.com

DHARMACHAKRA ANNUAL REPORT 2022

FINANCIAL REVIEW

Income for the period amounted to £186,102 .

This represents a reduction of £16,766 against 2021 results, a decrease of around 8.2%.

Dharmachakra made a larger than budgeted loss in 2022. The trustees agreed to spend from reserves to meet the needs for a larger team and to help absorb the various financial shocks of the post-pandemic economy: lower donations, lower event income and the effects of UK sterling collapsing (post-Brexit and postpandemic) in relation to the US dollar.

The trustees anticipate the larger team, re-focussed on event income generation, will help offset some of these effects in future years.

The build-up of an unclaimed backlog in Gift Aid income also impacted the final cash flow for this year. As did the resumption of international travel and associated costs.

PRINCIPLE FUNDING SOURCES

Income includes £98,000 in the form of grants over 12 months.

This represents only a slight reduction on the previous year.

As well as grants the principle funding for the charity was in the form of donations totalling £76,076 .

The equivalent figure for 2021 was £90,529. This represents a significant reduction in donation income of around 16%.

We also derived income from client work, including web hosting. In 2022 this was worth £12,026 .

The equivalent figure for 2021 was £12,960.

In response to reduced team capacity in relevant areas, Dharmachakra continued to take on less client work, particularly web development.

INVESTMENT POLICY

Dharmachakra no longer operates an investment account.

RESERVES POLICY

The trustees continue with their intention, where possible, to hold the recommended level of reserve for a charitable organization (at least three months’ worth of expenditure). The amount held at the end of the year allows this intention to move towards implementation as policy going forward. Reserves, and the investment of portions of the reserve, will be regularly reviewed by the trustees, together with a general review of the financial position of the charity.

At the end of 2022, reserves stood at £64,727 (a reduction of £11,305 on the previous year). This represents 5.5 months of expenditure.

LOANS

There are no outstanding loans.

OBJECTIVES AND ACTIVITIES

The overall objective of Dharmachakra is the advancement of the Buddhist religion. In particular its aims are:

To achieve these aims the charity archives, and makes available for free download, both text and audio files of Buddhist teachings. It also runs a web publishing platform and social media spaces to further support connections within our community.

ACHIEVEMENTS AND PERFORMANCE 2022

Like many businesses and charities operating in the UK, 2022 saw Dharmachakra buffeted by the strong effects of post-pandemic and post-Brexit economics. The team responded well to all challenges, including those resulting from personnel changes.

Our live events platform - established as an entirely new source of income driving increases to the team in both 2020 and 2021 - saw some shrinkage in terns of revenue. One bright aspect was that attendee numbers rose - no mean feat given the range of human activities restored to everyone post-pandemic and the huge competitive market for online events that has grown up. We think this bodes well for the future and Dharmachakra has become known for its range of events and their general excellence. We hope to capitalize on this in the next few years.

The other major development at the charity was the complete mobile-friendly redesign and relaunch of one of our two flagship websites, Free Buddhist Audio: www.freebuddhistaudio.com. This third major iteration of the audio archive and community audio platform represented a milestone for both Dharmachakra and the wider Triratna community.

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As a charity that places a lot of emphasis on the ethical principles of Buddhist ‘Right Livelihood’ we remain immensely grateful for the opportunity to offer meaningful work to others who feel connected to these same values, and to support many Buddhist teachers who offer their inspiration and wisdom to others online so generously and so consistently.

PLANS FOR THE FUTURE (2023)

As well as continuing to develop our events platform and expand the range of what’s on offer, we also expect to complete the mobile-friendly redesign of our other major website, The Buddhist Centre Online (www.thebuddhistcentre.com). This ambitious project should give our community an integrated and modern platform that brings together all our sites and services with a shared design language and greatly improved ease of use. We will be absorbing into this new site many of the standalone spaces developed for use during the pandemic. Taken together this new version of The Buddhist Centre Online should represent the Triratna Buddhist Order and Community much more effectively online.

Our server project will continue to support more experienced webmasters in developing their own websites and social web spaces – and help less experienced situations maintain a secure, virus-free online environment when it comes to their presence online.

Financially, we will push on with our successful efforts to make Dharmachakra more financially independent in ways that would allows us to grow the team further and offer more value to our community and our funding partners. We look forward to another year of challenge and of dana ( Sanskrit: ‘generosity’) as the most effective response.

TRUSTEES IN 2022

David Creighton (Chair), Madeleine Cadwallender (Secretary), Bettye Pruitt, Tim Holden, Sean Boland, James Neidhart.

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Dharmachakra (UK) annual accounts to 31st December 20

Receipts and Payments Accounts January to December 2022


Donations
PayPal
Standing Orders (Recurring)
Events Hosted
Institutional donations during covid-19
Other Donations
Gift Aid Tax

2022
£
2022
12,185
38,684
24,906
300
£
FBA
20,814
3,729
157
1,757
0
26,457
503
503
0
0
26,960
2,025
1,050
391
36
3,502
Other Income
Web Hosting & Domain Names (Triratna Server)
Other(Publishing Services)
76,076
7,026
0
Grants Received
ECA
Future Dharma Fund
Order Office
Triratna Trust
7,026
0
80,000
15,000
3,000
Client Work
LBC Development
Order Office
Other(Festival Day)
98,000
0
5,000
0
5,000
Total Income 186,102
Administration
Accounting
Bank fees etc
Insurance
Telephone
Office & Postage
Other
1,762
2,334
782
248
142
49
5,317
General Costs
Computer & Software -9 50
Depreciation 1,039 292
Domain Names (centre sites) 2,597 0
Social Media Manager 4,223 0
Consultancy - contractors to help with events etc 12,169 0
Travel expenses 5,429
25,449 342
Website Costs
Order Office and Administrative support 15,230 0
Website Management & Content Promotion 38,451 4,350
Web Development(primary coding) 51,813 14,880
105,494 19,230
Total Expenditure 136,259 23,074
Cash Flow 49,842 3,886
Grant Transfer
Paid to US -61,146 -23,153
Adjusted Cash Flow -11,304 -19,267

Dharmachakra (UK) annual accounts to 31st December 2022

NOTES:

Note 1: Decrease in general donatons to Dharmachakra

Overall, donations to Dharmachakra fell. There was an expected continued drop-off o The fall in donation income also reflects the cost of living crisis in the UK as some don

Note 2: Gif Aid receipt

The Gift Aid receipts for 2020 and 2021 donations) are expected to be received in 202

Note 3: Client work

In response to reduced team capacity in relevant areas, Dharmachakra continued to t

Note 4: Financial administraton

Accounting costs were temporarily reduced following the death of our colleague Lee Bank fees etc are made up of International transfers (via Wise) / Paypal fees / Stripe f

Note 5: General costs

Computer costs are evaluated for a capitalization threshold of £1,000, below which, t

When comparing computer & software costs from year to year, depreciation expense Many domain names renew on a two-year cycle, so this year there was an increase in

Note 6: Travel expenses

In 2022 Candradasa resumed some travel for work for the first time since the pandem

Note 7: Team costs

Dharmachakra's team overall expanded, with several changes to job categorization an Correspondingly, the cost of aspects of the work (promotion/social media) rose; while

Note 8: increase in USA grant compared to 2021

Grants passed through to Dharmachakra U.S. increased and were used to cover incre primarily in switching payment for Google Cloud to the US from the UK and generally

Note 9: Overall loss

Dharmachakra made a larger than budgeted loss in 2022. The trustees agreed to spen and to help absorb the various financial shocks of the post-pandemic economy: lower The trustees anticipate the larger team, re-focussed on event income generation, will The build-up of an unclaimed backlog in Gift Aid income also impacted the final cash fl

022

2021 £
£
2021
change
NOTES
34,126
-21,941
1
14,041
24,643
1
38,969
-14,063
1
1,570
-1,570
1
1,822
-1,522
1
0
0
2
90,529
-14,453
1
6,780
246
503
-503
7,283
-257
3,127
-3,127
80,000
0
15,000
0
750
2,250
98,877
-877
1,650
-1,650
2,250
2,750
2,280
-2,280
6,180
-1,180
202,868
-16,766
3
4,050
-2,288
4
2,635
-301
4
782
0
0
248
133
9
0
49
7,600
-2,284
£
TBC
13,313
10,312
38,969
1,413
65
64,072
6,780
6,780
3,127
80,000
15,000
750
98,877
1,650
2,250
2,280
6,180
175,908
2,025
1,585
391
97
4,098
-84 -34 25 5
877 1,169 -130 5
1,570 1,570 1,028 5
21,981 21,981 -17,758 7
11,571 11,571 599
0 5,429 6
35,914 36,256 -10,808
8,512 8,512 6,718 7
14,764 19,114 19,337 7
41,638 56,517 -4,705 7
64,913 84,143 21,351
104,926 128,000 8,260 7
70,982 74,868 -25,026
-29,460 -52,613 -8,534 8
41,523 22,256 -33,560 9

of one-off institutional and event-based donations as a result of the COVID-19 pandemic restrictions ending. nor cancelled regular giving to cope with this.

23, along with the Gift Aid receipt for 2022 donations. So there is a nil Gift Aid receipt this year.

take on less client work, particularly web development.

Walford. Replacement services were, for much of the year, offered free of charge by volunteers or at reduced fees/Eventbrite fees.

the cost is expensed as Computers; above which, the cost is depreciated over the life of the asset.

e can be included. n charges in this area.

mic, when all travel expenses were suspended.

nd the unforeseen depature of one member of our web development team part-way through the year. e there was a drop in the cost of our coding division.

ased operating expenses,

paying for US based software and services from our US account.

nd from reserves to meet the needs for a larger team

r donations, lower event income and the effects of UK sterling collapsing (post-Brexit and post-pandemic) in re l help offset some of these effects in future years.

flow for this year. As did the resumption of international travel and associated costs.

I rates.

.lation to the US dollar.

Dharmachakra (UK) annual accounts to 31st December 2022

Statement of Assets and Liabilities

Fixed Assets
Fixtures, Fittings, Equipment
Accumulated Depreciation
31/12/2022
6,786
-2,208
31/12/2021
NOTES
6,786
-1,169
5,617
529
0
66,434
2,363
69,325
3,109_Deposited to C
_78,051

2,019
2,019
76,032
5,617
48,159
22,256
76,032
Current Assets
Cash at Bank & In Hand
Santander No1 & No2 Accounts
Stripe
Co-operative Bank Account
PayPal Accounts
4,578
4,010
169
53,404
3,015
Uncleared receipts 60,597
713
Total Assets 65,887
Liabilities
Payroll Liabilities
1,160
1,160
Net Assets 64,727
Represented by:
Book value of fxed assets
Unrestricted net assets (Retained Earnings)
Net Revenue
4,578
71,454
-11,304
64,727

.wperAtive8ankinJan 2023

CHARIIY (OMMISSION Independent examiner's report on the FOR ENGLAND AND WAIES accounts Section A Independent Examlnevs Report Report to the trusteesl members of Dharmachakra On accounts for thè year 1 3111212022 ended Charity no 1294143 (if any) I report lo the Iruslees on my examination of the accounts of the above charity I'the Trusl") for the year ended 3111212022. Responsibilities and basis of report As the charity's Iruslees. you are responsible for the preparation of the accounts in accordance with the requiremenls of the Charities Act 2011 I'the Act.). I report in respect of my examination of the Trust's accounts carried out under section 145 of the 2011 Act and in ￿rying oul my examination, I have followed all the applicable Directions given by the Charity Commission under section 14515llb) of the Act Independent I have completed my examination I confirm that no material matters have examlner's statement come lo my allenlion In connection with the examination which gives me cause lo believe that in. any material respect the accounting records were not kept in accordance with section 130 of the Charities Act. or the accounts did not accord with the accounting records., or the accounts did not Comply with the applicable requirements concerning the fomi and content of accounts sel out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'lrue 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 lo which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Signed: I Date: 0210612024 Name". Fay Pritchard Relevant professional MAAT qualification{s) or body {if any).. Address: 8 Da￿1n Street Shrewsbury SY3 8QE Oct 2018