CHARITY REGISTRATION NUMBER: 327059
J O Charitable Trust Unaudited Financial Statements
5 April 2022
HAFFNER HOFF LTD
Chartered accountants 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL
J O Charitable Trust
Financial Statements
Year ended 5 April 2022
| Pages | |
|---|---|
| Trustees' annual report | 1 to 3 |
| Independent examiner's report to the trustees | 4 |
| Statement of financial activities | 5 |
| Statement of financial position | 6 |
| Statement of cash flows | 7 |
| Notes to the financial statements | 8 to 14 |
J O Charitable Trust
Trustees' Annual Report
Year ended 5 April 2022
The trustees present their report and the unaudited financial statements of the charity for the year ended 5 April 2022.
Reference and administrative details
Registered charity name J O Charitable Trust Charity registration number 327059 Principal office 72 Windermere Street Gateshead NE8 1XT The trustees J Kaufman A Kaufman M Kaufman J C Kaufman (Appointed 22 April 2022) Independent examiner D Schwarz FCCA 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL
Structure, governance and management
The Charity is a charitable trust constituted under a Trust Deed dated 20 Nov 1985 and is a registered charity, number 327059.
The Charity is run by the trustees who all act in an honorary capacity. A new trustee would receive copies of the previous years' Annual Report and Accounts and a copy of the Charity Commission leaflet 'The Essential Trustee : What you need to know'.
Risk Management
The trustees have identified and reviewed the major risks to which the charity is exposed. Both manual and automated checks are regularly invoked, particularly those relating to the operations and finance of the charity. The trustees are satisfied that these systems and procedures mitigate any perceived risks.
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J O Charitable Trust
Trustees' Annual Report (continued)
Year ended 5 April 2022
Objectives and activities
The objectives of the charity are general charitable purposes.
Public Benefit Policy
We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.
Grant Making Policy
Grants are made to charitable institutions and organisations which accord with the objects of the charity.
Investment Policy
It is the policy of the Charity to maintain cash reserves so as to be able to take advantage of any investment opportunities that arise. This policy is regularly reviewed by the trustees and their investment advisors, who advise as to safe investments and when to sell properties and as to rent reviews.
During the year the charity's investments produced a return of over 7%, this is significantly higher than rates on bank deposits and the trustees consider property to be an appropriate investment for the charity's funds.
Achievements and performance
During the year the charity made grants totalling £194,160 in furtherance of it objectives.
Financial review
As at 5 April 2022 the charity held free unrestricted reserves of £23,267 (2021: £39,341).
Reserves Policy
The Unrestricted Fund represents the unrestricted funds arising from past operating results.
The trustees are satisfied that the balance of the Fund is an acceptable level of reserves. It is the policy of the charity to hold reserves sufficient to maintain regular grants at previous year’s levels. The trustees feel it would be prudent to maintain reserves at such a level that would enable the Charity to generate its own income to meet this aim. As the Charity has no other reliable income other than from its property investments, the trustees consider that it is prudent to retain reserves sufficient to take advantage of any investment opportunities arising.
Plans for future periods
It is anticipated that the charity will continue to support charitable purposes and institutions in accordance with its objects.
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J O Charitable Trust
Trustees' Annual Report (continued)
Year ended 5 April 2022
The trustees' annual report was approved on 2 May 2023 and signed on behalf of the board of trustees by:
J Kaufman Trustee
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J O Charitable Trust
Independent Examiner's Report to the Trustees of J O Charitable Trust
Year ended 5 April 2022
I report to the trustees on my examination of the financial statements of J O Charitable Trust ('the charity') for the year ended 5 April 2022.
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 Act’).
I report in respect of my examination of the charity's financial statements 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
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.
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 charity as required by section 130 of the Act; or
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the financial statements do not accord with those records; or
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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 accounts to be reached.
D Schwarz FCCA
Independent Examiner
2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL
2 May 2023
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J O Charitable Trust
Statement of Financial Activities
Year ended 5 April 2022
| 2022 | 2022 | 2021 | ||
|---|---|---|---|---|
| Unrestricted | ||||
| funds | Total funds | Total funds | ||
| Note | £ | £ | £ | |
| Income and endowments | ||||
| Donations and legacies | 4 | 729,700 | 729,700 | 158,225 |
| Investment income | 5 | 200,322 | 200,322 | 135,724 |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total income | 930,022 | 930,022 | 293,949 | |
| ================================ | ================================ | ================================ | ||
| Expenditure | ||||
| Expenditure on raising funds: | ||||
| Investment management costs | 6 | 40,600 | 40,600 | 22,504 |
| Expenditure on charitable activities | 7,8 | 199,188 | 199,188 | 194,827 |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total expenditure | 239,788 | 239,788 | 217,331 | |
| ================================ | ================================ | ================================ | ||
| Net gains/(losses) on investments | 11 | 274,561 | 274,561 | (85,229) |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Net income/(expenditure) and net movement in funds | 964,795 | 964,795 | (8,611) | |
| ================================ | ================================ | ================================ | ||
| Reconciliation of funds | ||||
| Total funds brought forward | 2,192,542 | 2,192,542 | 2,201,153 | |
| ----------------------------------------- | ----------------------------------------- | ----------------------------------------- | ||
| Total funds carried forward | 3,157,337 | 3,157,337 | 2,192,542 | |
| ========================================= | ========================================= | ========================================= |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 8 to 14 form part of these financial statements.
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J O Charitable Trust
Statement of Financial Position
5 April 2022
| 2022 | 2021 | |||
|---|---|---|---|---|
| Note | £ | £ | £ | |
| Fixed assets | ||||
| Investments | 15 | 3,134,070 | 2,153,201 | |
| Current assets | ||||
| Debtors | 16 | 16,922 | 19,396 | |
| Cash at bank and in hand | 30,458 | 32,078 | ||
| ---------------------------- | ---------------------------- | |||
| 47,380 | 51,474 | |||
| Creditors: amounts falling due within one year | 17 | 24,113 | 12,133 | |
| ---------------------------- | ---------------------------- | |||
| Net current assets | 23,267 | 39,341 | ||
| ----------------------------------------- | ----------------------------------------- | |||
| Total assets less current liabilities | 3,157,337 | 2,192,542 | ||
| ----------------------------------------- | ----------------------------------------- | |||
| Net assets | 3,157,337 | 2,192,542 | ||
| ========================================= | ========================================= | |||
| Funds of the charity | ||||
| Unrestricted funds | 3,157,337 | 2,192,542 | ||
| ----------------------------------------- | ----------------------------------------- | |||
| Total charity funds | 18 | 3,157,337 | 2,192,542 | |
| ========================================= | ========================================= |
These financial statements were approved by the board of trustees and authorised for issue on 2 May 2023, and are signed on behalf of the board by:
J Kaufman Trustee
The notes on pages 8 to 14 form part of these financial statements.
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J O Charitable Trust
Statement of Cash Flows
Year ended 5 April 2022
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net income/(expenditure) | 964,795 | (8,611) |
| Adjustments for: | ||
| Net gains/(losses) on investments | (274,561) | 85,229 |
| Dividends, interest and rents from investments | (200,141) | (134,346) |
| Other interest receivable and similar income | (181) | (1,378) |
| Accrued expenses | 1,980 | 3,000 |
| Changes in: | ||
| Trade and other debtors | 2,474 | 6,881 |
| Trade and other creditors | 10,000 | 7,813 |
| -------------------------------- | -------------------------------- | |
| Cash generated from operations | 504,366 | (41,412) |
| Interest received | 181 | 1,378 |
| -------------------------------- | ---------------------------- | |
| Net cash from/(used in) operating activities | 504,547 | (40,034) |
| ================================ | ============================ | |
| Cash flows from investing activities | ||
| Dividends, interest and rents from investments | 200,141 | 134,346 |
| Purchases of other investments | (706,308) | (402,451) |
| Proceeds from sale of other investments | (68,090) | |
| -------------------------------- | -------------------------------- | |
| Net cash used in investing activities | (506,167) | (336,195) |
| ================================ | ================================ | |
| Net increase/(decrease) in cash and cash equivalents | (1,620) | (376,229) |
| Cash and cash equivalents at beginning of year | 32,078 | 408,307 |
| -------------------------------- | -------------------------------- | |
| Cash and cash equivalents at end of year | 30,458 | 32,078 |
| ================================ | ================================ |
The notes on pages 8 to 14 form part of these financial statements.
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J O Charitable Trust
Notes to the Financial Statements
Year ended 5 April 2022
1. General information
The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 72 Windermere Street, Gateshead, NE8 1XT.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements did not require management to make judgements, estimates or assumptions that affect the amounts reported at the year end.
Fund accounting
General unrestricted funds comprise the accumulated surplus or deficit on income and expenditure account. They are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity.
Restricted funds are funds subject to specific restricted conditions imposed by donors. There are no restricted funds as at the Balance Sheet date.
Designated funds are funds which have been set aside at the discretion of the Trustees for specific purposes. There are no designated funds as at the Balance Sheet date.
Incoming resources
All income is included in the statement of financial activities when entitlement has passed to the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
- income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
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J O Charitable Trust
Notes to the Financial Statements (continued)
Year ended 5 April 2022
3. Accounting policies (continued)
Resources expended
All expenditure is included on an accruals basis and is recognised when there is a legal or constructive obligation to pay for expenditure.
Charitable activities are made up of grants to institutions.
Expenditure also includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates.
Governance costs are included on an accruals basis and are recognised when there is a legal or constructive obligation to pay for expenditure.
Investments
Unlisted equity investments are initially recorded at cost, and subsequently measured at fair value. If fair value cannot be reliably measured, assets are measured at cost less impairment.
Listed investments are measured at fair value with changes in fair value being recognised in income or expenditure.
Investment property
Investment property is initially recorded at cost, which includes purchase price and any directly attributable expenditure.
Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in income or expenditure.
If a reliable measure of fair value is no longer available without undue cost or effort for an item of investment property, it shall be transferred to tangible assets and treated as such until it is expected that fair value will be reliably measurable on an on-going basis.
Financial instruments
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
4. Donations and legacies
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2022 | Funds | 2021 | |
| £ | £ | £ | £ | |
| Donations | ||||
| Donations | 729,700 | 729,700 | 158,225 | 158,225 |
| ================================ | ================================ | ================================ | ================================ |
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J O Charitable Trust
Notes to the Financial Statements (continued)
Year ended 5 April 2022
5. Investment income
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2022 | Funds | 2021 | |
| £ | £ | £ | £ | |
| Income from investment properties | 200,141 | 200,141 | 134,346 | 134,346 |
| Bank interest receivable | 9 | 9 | 38 | 38 |
| Other interest receivable | 172 | 172 | 1,340 | 1,340 |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | |
| 200,322 | 200,322 | 135,724 | 135,724 | |
| ================================ | ================================ | ================================ | ================================ | |
| Investment management costs | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
| Funds | 2022 | Funds | 2021 | |
| £ | £ | £ | £ | |
| Insurance | 2,277 | 2,277 | 2,170 | 2,170 |
| Repairs | 17,995 | 17,995 | 9,256 | 9,256 |
| Agents Commission | 14,559 | 14,559 | 10,483 | 10,483 |
| Professional Fees | 5,769 | 5,769 | 557 | 557 |
| Rates | – | – | 38 | 38 |
| ---------------------------- | ---------------------------- | ---------------------------- | ---------------------------- | |
| 40,600 | 40,600 | 22,504 | 22,504 | |
| ============================ | ============================ | ============================ | ============================ |
6. Investment management costs
7. Expenditure on charitable activities by fund type
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2022 | Funds | 2021 | |
| £ | £ | £ | £ | |
| Charitable Activities | 194,160 | 194,160 | 192,045 | 192,045 |
| Support costs | 5,028 | 5,028 | 2,782 | 2,782 |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | |
| 199,188 | 199,188 | 194,827 | 194,827 | |
| ================================ | ================================ | ================================ | ================================ |
8. Expenditure on charitable activities by activity type
| Grant funding | Support | Total funds | Total fund | |
|---|---|---|---|---|
| of activities | costs | 2022 | 2021 | |
| £ | £ | £ | £ | |
| Charitable Activities | 194,160 | 1,727 | 195,887 | 191,827 |
| Governance costs | – | 3,301 | 3,301 | 3,000 |
| -------------------------------- | ----------------------- | -------------------------------- | -------------------------------- | |
| 194,160 | 5,028 | 199,188 | 194,827 | |
| ================================ | ======================= | ================================ | ================================ |
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J O Charitable Trust
Notes to the Financial Statements (continued)
Year ended 5 April 2022
9. Analysis of support costs
| Analysis of | ||||
|---|---|---|---|---|
| support costs | ||||
| activity 1 | Total 2022 | Total 2021 | ||
| £ | £ | £ | ||
| General office | 1,727 | 1,727 | 165 | |
| Governance costs | 3,300 | 3,300 | 3,000 | |
| ----------------------- | ----------------------- | ----------------------- | ||
| 5,027 | 5,027 | 3,165 | ||
| ======================= | ======================= | ======================= | ||
| 10. | Analysis of grants | |||
| 2022 | 2021 | |||
| £ | £ | |||
| Grants to institutions | ||||
| Amudei Olom | 35,000 | 20,000 | ||
| Chasdei Aharon | 10,000 | – | ||
| Chasdei Sholom | 5,000 | – | ||
| Edupoor | 10,000 | 12,500 | ||
| Friends of Ateres Moshe | 12,000 | 12,000 | ||
| Gateshead Kehilla | – | 10,000 | ||
| Gladstone Charitable Trust | 20,000 | – | ||
| Grants under £4000 | 18,360 | 30,695 | ||
| Kupat Hoir | 15,600 | 22,500 | ||
| Mogain Umoshia | – | 13,350 | ||
| Nitei Orah | – | 4,500 | ||
| Tchabe Kollel | 10,000 | – | ||
| Telz Academy Trust | – | 10,000 | ||
| The Rabbi Chaim Ozer Institute for Talmudic Studies | 25,000 | 10,000 | ||
| Torah Scholarship Fund | – | 26,000 | ||
| T Y A | 23,200 | – | ||
| Wlodowa Charity & Rehabilitation Trust | 10,000 | 4,500 | ||
| Yishaya Adler Memorial Fund | – | 16,000 | ||
| -------------------------------- | -------------------------------- | |||
| 194,160 | 192,045 | |||
| -------------------------------- | -------------------------------- | |||
| Total grants | 194,160 | 192,045 | ||
| ================================ | ================================ |
11. Net gains/(losses) on investments
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2022 | Funds | 2021 | |
| £ | £ | £ | £ | |
| Gains/(losses) on sale of investment | ||||
| property | – | – | 17,303 | 17,303 |
| Gains/(losses) on revaluation of other | ||||
| investment assets | 274,561 | 274,561 | (102,532) | (102,532) |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | |
| 274,561 | 274,561 | (85,229) | (85,229) | |
| ================================ | ================================ | ================================ | ================================ |
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J O Charitable Trust
Notes to the Financial Statements (continued)
Year ended 5 April 2022
12. Independent examination fees
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Fees payable to the independent examiner for: | ||
| Independent examination of the financial statements | 3,300 | 3,000 |
| ======================= | ======================= |
13. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
2022 2021 £ £ Nil Nil
The average head count of employees during the year was Nil (2021: Nil).
No employee received employee benefits of more than £60,000 during the year (2021: Nil).
14. Trustee remuneration and expenses
No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.
15. Investments
| Investment | |
|---|---|
| properties | |
| £ | |
| Cost or valuation | |
| At 6 April 2021 | 2,153,201 |
| Additions | 706,308 |
| Fair value movements | 274,561 |
| ----------------------------------------- | |
| At 5 April 2022 | 3,134,070 |
| ========================================= | |
| Impairment | |
| At 6 April 2021 and 5 April 2022 | |
| Carrying amount | |
| At 5 April 2022 | 3,134,070 |
| ========================================= | |
| At 5 April 2021 | 2,153,201 |
| ========================================= |
All investments shown above are held at valuation.
Investment properties
The investment properties are stated at market value as per the trustee’s valuation at the year end.
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J O Charitable Trust
Notes to the Financial Statements (continued)
Year ended 5 April 2022
16. Debtors
| 2022 | 2021 | ||
|---|---|---|---|
| £ | £ | ||
| Other debtors | 16,922 | 19,396 | |
| ============================ | ============================ | ||
| 17. | Creditors: amounts falling due within one year | ||
| 2022 | 2021 | ||
| £ | £ | ||
| Accruals and deferred income | 6,300 | 4,320 | |
| Other creditors | 17,813 | 7,813 | |
| ---------------------------- | ---------------------------- | ||
| 24,113 | 12,133 | ||
| ============================ | ============================ |
18. Analysis of charitable funds
Unrestricted funds
| At | Gains and | At | ||||
|---|---|---|---|---|---|---|
| 6 | April 2021 | Income | Expenditure | losses | 5 April 2022 | |
| £ | £ | £ | £ | £ | ||
| General funds | 2,192,542 | 930,022 | (239,788) | 274,561 | 3,157,337 | |
| ========================================= | ================================ | ================================ | ================================ | ========================================= | ||
| At | Gains and | At | ||||
| 6 | April 2020 | Income | Expenditure | losses | 5 April 2021 | |
| £ | £ | £ | £ | £ | ||
| General funds | 2,201,153 | 293,949 | (217,331) | (85,229) | 2,192,542 |
|
| ========================================= | ================================ | ================================ | ============================ | ========================================= |
19. Analysis of net assets between funds
| Unrestricted | Total Funds | |
|---|---|---|
| Funds | 2022 | |
| £ | £ | |
| Investments | 3,134,070 | 3,134,070 |
| Current assets | 47,380 | 47,380 |
| Creditors less than 1 year | (24,113) | (24,113) |
| ----------------------------------------- | ----------------------------------------- | |
| Net assets | 3,157,337 | 3,157,337 |
| ========================================= | ========================================= | |
| Unrestricted | Total Funds | |
| Funds | 2021 | |
| £ | £ | |
| Investments | 2,153,201 | 2,153,201 |
| Current assets | 51,474 | 51,474 |
| Creditors less than 1 year | (12,133) | (12,133) |
| ----------------------------------------- | ----------------------------------------- | |
| Net assets | 2,192,542 | 2,192,542 |
| ========================================= | ========================================= |
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J O Charitable Trust
Notes to the Financial Statements (continued)
Year ended 5 April 2022
20. Analysis of changes in net debt
| At | |||||
|---|---|---|---|---|---|
| At | 6 | Apr 2021 Cash flows | 5 Apr 2022 | ||
| £ | £ | £ | |||
| Cash at bank and in hand | 32,078 | (1,620) | 30,458 | ||
| ============================ | ======================= | ============================ |
21. Related parties
During the year aggregate donations totalling £729,700 were received by the charity from trustees and related parties.
Included in Other Debtors is £2,136 (2021: £2,136) due from the M O Charitable Trust a charity with common trustees with this charity. This loan is interest free and repayable on demand.
Also included in Other Debtors is £1,521 (2021: £1,521) due from Y & M Kaufman children of the Trustees. This loan attracts an interest charge at a rate of 8%.
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