REGISTERED CHARITY NUMBER: 326157
PRECIOUS SEED
REPORT OF THE TRUSTEES AND
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2020
PRECIOUS SEED
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
| Page | |
|---|---|
| Report of the Trustees | 1 to 3 |
| Independent Examiner's Report | 4 |
| Statement of Financial Activities | 5 |
| Statement of Financial Position | 6 |
| Notes to the Financial Statements | 7 to 12 |
| Detailed Statement of Financial Activities | 13 |
PRECIOUS SEED
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2020
The trustees present their report with the financial statements of the charity for the year ended 31 August 2020. The trustees have adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
Objectives and aims
Under its Trust Deed, the purposes of Precious Seed are the furtherance of Christianity by the publication of literature, books and electronic media of all kinds. Through the financial support it receives, Precious Seed seeks to further the Christian faith by the publication of literature, books and electronic media of various kinds.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
During the year to 31 August 2020, expenditure exceeded income by £26,461 (2019 - income exceeded expenditure by £43,582).
The full colour magazine continues to be published regularly each quarter and is distributed free throughout the world with spare copies being sent to Zambia. New devotional and doctrinal book titles continue to be published along with other literature as well as the development of an App and E-books and other digital resources.
The trustees are aware of the guidance of the Charity Commission on Public Benefit and have acted accordingly, including the donation of 500+ books in stock for Christian workers to use in their service both in the UK and abroad.
We have supported requests for the translation and use of our materials into Romanian including contributing towards the cost of this. We have also supported the translation of one of our publications for Indian/Sri Lankan Christians. Extra magazines are, as always, donated to Christians in Africa.
We worked with a member of the prison chaplaincy team in editing and printing his book for prisoners. Forty copies were provided free to every prison in England, with further copies provided free to SASRA for work with Her Majesty's forces. These have proved most helpful, particularly when many prisons have imposed movement restrictions because of the pandemic.
The many expressions of appreciation received are evident witness to the benefits, spiritual and otherwise, of the work and support of Precious Seed, especially in a year when usual church activities have been limited.
Investment performance
The Charity's only investments are in the form of cash held at bank which have earned the set rate of interest.
FINANCIAL REVIEW
Reserves policy
The trustees have formulated a reserves policy taking into account the need to cover fluctuations in income, current liabilities and unplanned expenditure. The minimum reserves follow the principle adopted by the founding trustees, which was to develop the objectives of the trust rather than seek financial security. At the year-end reserves shown in the balance sheet as represented by net current assets cover approximately 18-24 months running costs which the trustees believe to be necessary when planning for future publications.
The trustees are pleased again to place on record the faithfulness of the Lord in providing all funds received. All income was from the Lord's people, Christian trusts and Charities.
The trustees have reviewed the charity operations in view of the ongoing Covid-19 pandemic and have noted that whilst not significant, there has been some impact due to restrictions on how churches are able to operate.
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PRECIOUS SEED
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2020
FUTURE PLANS
The ongoing work of publishing the magazine and new book titles along with the development of the App, Website and other digital resources will continue in so far as finances allow.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
Precious Seed was established by Trust Deed in 1945 and is administered by a body of trustees whose names are set out below. The trustees meet quarterly to consider how the charity can fulfil its purpose. At other times the trustees are in regular communication with each other regarding needs, development etc.
Recruitment and appointment of new trustees
The trustees are aware of the need for new trustees and will arrange for others to join them as and when necessary. All new trustees are fully informed regarding the purpose of the charity, its finances and operations and all actively contribute to the work of the charity.
Organisational structure
All the trustees are volunteers and there are various roles assigned ranging from specific responsibilities for parts of the magazine or publications to the 'executive committee' of Chairman, Secretary and Treasurer who take a lead in the day to day running of the charity.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
326157
Principal address
PO Box 10544 Grantham NG31 0HW
Trustees
J W Bennett - Chairman M Buckeridge - Treasurer J Scarsbrook - Secretary A Jack R Collings – retired 30 June 2020 K Totton S Sherwin S G Baker B R Clatworthy J Black F A Proudlock A Dutton – appointed 18 January 2020 T Merriman – appointed 4 July 2020
Independent Examiner
C Newitt BA(Hons) FCCA Duncan & Toplis Limited 5 Resolution Close Endeavour Park Boston Lincolnshire PE21 7TT
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PRECIOUS SEED
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2020
Approved by order of the board of trustees on 12 May 2021 and signed on its behalf by:
M Buckeridge - Trustee and Treasurer
Page 3
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF PRECIOUS SEED
Independent examiner's report to the trustees of Precious Seed
I report to the charity trustees on my examination of the accounts of Precious Seed (the Trust) for the year ended 31 August 2020.
Responsibilities and basis of report
As the charity trustees of the 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 Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all 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:
-
accounting records were not kept in respect of the Trust as required by section 130 of the 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.
C Newitt BA(Hons) FCCA Duncan & Toplis Limited 5 Resolution Close Endeavour Park Boston Lincolnshire PE21 7TT
Date: 10 June 2021
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PRECIOUS SEED
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2020
| 2020 Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 39,998 Charitable activities Publication sales 8,884 Calendars - Decapolis Press 7,759 Investment income 3 32 Other income 556 Total 57,229 EXPENDITURE ON Charitable activities Publication sales 11,942 Magazine printing and distribution costs 61,828 Calendars - Decapolis Press 8,162 Other 1,758 Total 83,690 NET INCOME/(EXPENDITURE) (26,461) RECONCILIATION OF FUNDS Total funds brought forward 168,018 TOTAL FUNDS CARRIED FORWARD 141,557 |
2019 Total funds £ 112,422 7,662 7,659 - 48 90 |
|---|---|
| 127,881 11,255 56,445 14,339 477 1,783 |
|
| 84,299 | |
| 43,582 124,436 |
|
| 168,018 |
The notes form part of these financial statements
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PRECIOUS SEED
STATEMENT OF FINANCIAL POSITION 31 AUGUST 2020
| 2020 Unrestricted fund Notes £ FIXED ASSETS Tangible assets 6 912 CURRENT ASSETS Stocks 7 3,658 Debtors 8 1,662 Cash at bank 138,299 143,619 CREDITORS Amounts falling due within one year 9 (2,974) NET CURRENT ASSETS 140,645 TOTAL ASSETS LESS CURRENT LIABILITIES 141,557 NET ASSETS 141,557 FUNDS 10 Unrestricted funds 141,557 TOTAL FUNDS 141,557 |
2019 Total funds £ 1,459 3,625 1,379 164,901 169,905 (3,346) 166,559 168,018 168,018 168,018 168,018 |
|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 12 May 2021 and were signed on its behalf by:
J W Bennett - Trustee
M Buckeridge - Trustee
The notes form part of these financial statements
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PRECIOUS SEED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
1. STATUTORY INFORMATION
Precious Seed is an unincorporated charity, registered in England and Wales. The charity's registered number and principal office address can be found on the Charity Commission website.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
The financial statements are presented in pound sterling (£) which is the functional currency of the charity.
2. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, 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) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
The financial statements are prepared on a going concern basis.
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 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) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Donations in kind are included based on the cost of the service or product donated to the charity.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Computer equipment - at varying rates on cost
Assets are held at cost less depreciation.
Stocks
Stocks are valued at the lower of cost and estimated selling price, Provision is made for obsolete and slow moving stock.
continued...
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PRECIOUS SEED
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020
2. ACCOUNTING POLICIES - continued
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Debtors and creditors
Debtors and creditors are stated at the cost of the transaction.
3. INVESTMENT INCOME
| INVESTMENT INCOME | ||
|---|---|---|
| 2020 | 2019 | |
| £ | £ | |
| Deposit account interest | 32 | 48 |
4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 August 2020 nor for the year ended 31 August 2019.
5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES | |
|---|---|
| Unrestricted | |
| fund | |
| £ | |
| INCOME AND ENDOWMENTS FROM | |
| Donations and legacies | 112,422 |
| Charitable activities | |
| Publication sales | 7,662 |
| Calendars | 7,659 |
| Investment income | 48 |
| Other income | 90 |
| Total | 127,881 |
| EXPENDITURE ON | |
| Charitable activities | |
| Publication sales | 11,255 |
| Magazine printing and distribution costs | 56,445 |
| Calendars | 14,339 |
| Decapolis Press | 477 |
| Other | 1,783 |
| Total | 84,299 |
continued...
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PRECIOUS SEED
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020
| 5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD 6. TANGIBLE FIXED ASSETS COST At 1 September 2019 and 31 August 2020 DEPRECIATION At 1 September 2019 Charge for year At 31 August 2020 NET BOOK VALUE At 31 August 2020 At 31 August 2019 7. STOCKS Stocks |
Unrestricted fund £ 43,582 124,436 168,018 Computer equipment £ 1,792 333 547 880 912 1,459 2020 2019 £ £ 3,658 3,625 |
|---|---|
continued...
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PRECIOUS SEED
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020
| 8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other debtors Prepayments 9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors 10. MOVEMENT IN FUNDS Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are as follows: Unrestricted funds General fund TOTAL FUNDS Comparatives for movement in funds Unrestricted funds General fund TOTAL FUNDS |
At 1.9.19 £ 168,018 168,018 Incoming resources £ 57,229 57,229 At 1.9.18 £ 124,436 124,436 |
2020 2019 £ £ 444 285 1,218 1,094 1,662 1,379 2020 2019 £ £ 2,974 3,346 Net movement At in funds 31.8.20 £ £ (26,461) 141,557 (26,461) 141,557 Resources Movement expended in funds £ £ (83,690) (26,461) (83,690) (26,461) Net movement At in funds 31.8.19 £ £ 43,582 168,018 43,582 168,018 |
|---|---|---|
continued...
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PRECIOUS SEED
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020
10. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 127,881 127,881 |
Resources Movement expended in funds £ £ (84,299) 43,582 (84,299) 43,582 |
|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund TOTAL FUNDS |
At 1.9.18 £ 124,436 124,436 |
Net movement in funds £ 17,121 17,121 |
At 31.8.20 £ 141,557 141,557 |
|---|---|---|---|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 185,110 | (167,989) | 17,121 |
| TOTAL FUNDS | 185,110 | (167,989) | 17,121 |
11. RELATED PARTY DISCLOSURES
During the year Mr. S Sherwin, a Trustee of the charity, provided insurance through his own insurance brokering business at a cost £1,020 for which he made no charge to the charity. In addition, he also personally paid for the costs of the App at a cost of £540. These amounts are included within donations.
continued...
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PRECIOUS SEED
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020
12. INDEPENDENT EXAMINER
The independent examination fee included in the accounts inclusive of VAT is £1,836 (2019 - £1,860).
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PRECIOUS SEED
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2020
| INCOME AND ENDOWMENTS Donations and legacies Donations Investment income Deposit account interest Charitable activities Publications Calendars Publications - Decapolis Press Other income Other Total incoming resources EXPENDITURE Charitable activities Printing and design service - calendars Magazine expenditure Publications expenditure Publications expenditure - Decapolis Press Computer equipment Other Administration Support costs Finance Bank charges Information technology Bad debt Total resources expended Net (expenditure)/income |
2020 £ 39,998 32 8,884 - 7,759 16,643 556 57,229 - 61,169 11,246 8,162 547 81,124 1,758 751 57 83,690 (26,461) |
2019 £ 112,422 48 7,662 7,659 - 15,321 90 127,881 14,339 55,901 11,071 477 309 82,097 1,783 419 - 84,299 43,582 |
|---|---|---|
This page does not form part of the statutory financial statements
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