**REGISTERED CHARITY NUMBER: 327233**
## **THE MUSLIM YOUTH FOUNDATION**
## **REPORT OF THE TRUSTEES AND**
## **UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020**
Riley Moss 2018 Limited Chartered Accountants Riley House 183-185 North Road Preston Lancashire PR1 1YQ
**THE MUSLIM YOUTH FOUNDATION**
**CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020**
||**Page**|
|---|---|
|**Reference and Administrative Details**|1|
|**Report of the Trustees**|2 to 3|
|**Independent Examiner's Report**|4|
|**Statement of Financial Activities**|5|
|**Statement of Financial Position**|6|
|**Notes to the Financial Statements**|7 to 11|
|**Detailed Statement of Financial Activities**|12|
**THE MUSLIM YOUTH FOUNDATION REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 AUGUST 2020**
|**Trustees**|Dr M Fayez Al-Hamad|
|---|---|
||Mr F Ahmed|
||Mr S Al-Aqel|
||Mr M A Malek|
||Mr G Al-Shamy|
|**Principal address**|Clydesdale House|
||27 Turner Street|
||Piccadilly|
||Manchester|
||M4 1DY|
|**Registered charity number**|327233|
|**Independent examiner**|Riley Moss 2018 Limited|
||Chartered Accountants|
||Riley House|
||183-185 North Road|
||Preston|
||Lancashire|
||PR1 1YQ|
Page 1
**THE MUSLIM YOUTH FOUNDATION 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**
The Muslim Youth Foundation was established in 1983 by a group of academics and business people to promote Islam to both Muslims and Non-Muslims. The objectives of the trust are to advance the religion of Islam and the teachings of Islamic education. In setting objectives and planning activities, the trustees have given careful consideration to Charity Commission's guidelines of public benefit. The trustees have reviewed the major risks to which the charity is exposed and the topic is regularly discussed at trustees' meetings.
The Muslim Youth Foundation is a place of worship, a mosque with approximately 600 people attending Jumah (Friday congregational prayer) and over 200 people daily for other prayers. The congregation is from many different ethnic backgrounds, Arab, Pakistani, Bengali, White, African, Malaysian etc. The people who attend the MYF include students, professionals and others working in the City Centre. The MYF was one of the pioneers in the UK in using the English language as its medium for all its programmes including the Friday Khutbah (sermon) as part of the Jumah Salah (Friday congregational prayer). Initially, the focus was the development of the Muslim youth through various educational, social and spiritual programmes, including national youth camps with many of these youth going on to becoming active in the wider Muslim community.
Now, the MYF has various projects and services related to the fields of education, social welfare, and culture. As well as the mosque, there are regular adult education programmes such as lectures and seminars and weekly study circle. The MYF also works with schools. There are visits to the mosque by trainee teachers plus schools. The MYF also works with children in Bosnia funding educational, cultural and sports programmes. Another programme of the MYF is providing a rota of Khateeds (Islamic preachers) to local universities prayer halls, 2 mosques and a hospital for the congregational Friday prayer.
The MYF is used as a resource by the community hosting various activities such as weekly talk on Islam, weekly fitness classes for women, occasional programmes for a Muslim Deaf Group. The MYF regularly has collections for various relief agencies.
When planning activities for the year, the trustess have considered the Commission's guidance on public benefit.
## **Achievement and performance**
Over the last year, the Muslim Youth Foundation has been cooperating with partnerships such as the local interfaith organisation and university and working its various projects which were developed to be more professional. These projects include developing magazines and holding regular educational activities such as lectures and seminars.
## **Financial review**
The trust received its income from a variety of sources which were mainly individual donations of £39,682 (2019: £50,046)
## **Future plans**
The MYF plans to further develop its project and services to higher quality. It also intends to develop partnerships with other organisations including the delivery of multi cultural awareness courses. Plans include more work within the schools through interfaith project and MYF is developing the second phase of an educational magazine for schools together with DVD for deaf people. There are plans to extend the counselling service and MYF also intends to explore different options of funding to enable further developments of its projects and services. The MYF will also embark on a further regeneration project to refurbish its premises.
Page 2
**THE MUSLIM YOUTH FOUNDATION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2020**
## **Structure, governance and management**
The Muslim Youth Foundation (MYF) is constituted under a trust deed dated 23 July 1983 and is a registered charity (Charity number 327233). The MYF is governed by a board of trustees. The trustees may be appointed and discharged by the board of trustees and may serve without time limit. The trustees are encouraged to attend relevant external briefings and training courses. Every decision of the trustees shall be determined by the majority of votes of the trustees present and voting on the question. There shall be a quorum when three trustees are present at any meeting. The MYF also has salaried staff and volunteers who implement the work of the charity.
## **Statement of trustees' responsibilities**
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed 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, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- 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 which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They 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.
Approved by order of the board of trustees on 12 June 2021 and signed on its behalf by:
Mr G Al-Shamy - Trustee
Page 3
**INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE MUSLIM YOUTH FOUNDATION**
## **Independent examiner's report to the trustees of The Muslim Youth Foundation**
I report to the charity trustees on my examination of the accounts of The Muslim Youth Foundation (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:
1. accounting records were not kept in respect of the 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 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.
Farook Patel FCA Riley Moss 2018 Limited Chartered Accountants Riley House 183-185 North Road Preston Lancashire PR1 1YQ
12 June 2021
Page 4
**THE MUSLIM YOUTH FOUNDATION**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2020**
**----- Start of picture text -----**
2020 2019
Unrestricted Total
fund funds
Notes £ £
Income and endowments from
Donations and legacies 29,482 39,846
Investment income 2 10,202 10,353
Other income 22,774 -
Total 62,458 50,199
Expenditure on
Charitable activities 3
Charitable expenditure 68,916 47,323
NET INCOME/(EXPENDITURE) (6,458) 2,876
Reconciliation of funds
Total funds brought forward 194,738 191,862
Total funds carried forward 188,280 194,738
**----- End of picture text -----**
The notes form part of these financial statements
Page 5
**THE MUSLIM YOUTH FOUNDATION**
**STATEMENT OF FINANCIAL POSITION 31 AUGUST 2020**
**----- Start of picture text -----**
2020 2019
Unrestricted Total
fund funds
Notes £ £
Fixed assets
Tangible assets 7 82,013 85,158
Current assets
Debtors 8 2,232 964
Cash at bank and in hand 106,548 110,829
108,780 111,793
Creditors
Amounts falling due within one year 9 (2,513) (2,213)
Net current assets 106,267 109,580
Total assets less current liabilities 188,280 194,738
NET ASSETS 188,280 194,738
Funds 10
Unrestricted funds 188,280 194,738
Total funds 188,280 194,738
**----- End of picture text -----**
The financial statements were approved by the Board of Trustees and authorised for issue on 12 June 2021 and were signed on its behalf by:
Mr G Al-Shamy - Trustee
The notes form part of these financial statements
Page 6
**THE MUSLIM YOUTH FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020**
## **1. 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.
## **Income**
All incoming resources are included in the statement of financial activities when the charity has entitlement to the income, there is sufficient certainty or receipt and so it is probable that the income will be received and the amount of income receivable can be measured reliably.The following specific policies are applied to particular categories of income:
Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant. Gifts in kind for distribution are included in the accounts as incoming resources and resources expended when they are distributed at their approximate market value at the date of distribution.
Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.
Income from investments is included in the year in which it is receivable.
Income tax recoverable under the Gift Aid Scheme is recognised where there is an entitlement, certainty of receipt and the amount can be measured with sufficient reliability.
## **Expenditure**
Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.
Expenditure on grants is recorded once the trust has made an unconditional commitment to pay the grant and this is communicated to the beneficiary or the grant has been paid, whichever is earlier.
Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes including the charity's shop.
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.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.
Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Improvements to property Fixtures and fittings
- 15% on reducing balance - 15% on reducing balance
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continued...
**THE MUSLIM YOUTH FOUNDATION**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020**
## **1. 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.
## **Pension costs and other post-retirement benefits**
The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
## **2. Investment income**
**----- Start of picture text -----**
|||||
|---|---|---|---|
|2020|2019|
|£|£|
|Rents received|10,200|10,200|
|Bank interest receivable|2|153|
|10,202|10,353|
|Charitable activities costs|
|Support|
|Direct|costs (see|
|Costs|note 4)|Totals|
|£|£|£|
|Charitable expenditure|66,134|2,782|68,916|
**----- End of picture text -----**
## **3. Charitable activities costs**
## **4. Support costs**
**----- Start of picture text -----**
|||
|---|---|
|Governance|
|costs|
|£|
|Charitable expenditure|2,782|
**----- End of picture text -----**
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continued...
**THE MUSLIM YOUTH FOUNDATION**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020**
## **4. Support costs - continued**
Support costs, included in the above, are as follows:
## **Governance costs**
**----- Start of picture text -----**
||||
|---|---|---|
|2020|2019|
|Charitable|Total|
|expenditure|activities|
|£|£|
|Accountancy and legal fees|2,782|2,845|
**----- End of picture text -----**
## **5. 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.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 August 2020 nor for the year ended 31 August 2019.
## **6. Staff costs**
The average monthly number of employees during the year was as follows:
**----- Start of picture text -----**
||||
|---|---|---|
|2020|2019|
|Admin|3|3|
**----- End of picture text -----**
No employees received emoluments in excess of £60,000.
## **7. Tangible fixed assets**
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||||||
|---|---|---|---|---|
|Improvements|Fixtures|
|Freehold|to|and|
|property|property|fittings|Totals|
|£|£|£|£|
|Cost|
|At 1 September 2019|47,189|115,195|102,075|264,459|
|Additions|-|-|3,000|3,000|
|At 31 August 2020|47,189|115,195|105,075|267,459|
|Depreciation|
|-|
|At 1 September 2019|96,308|82,993|179,301|
|-|
|Charge for year|2,833|3,312|6,145|
|-|
|At 31 August 2020|99,141|86,305|185,446|
|Net book value|
|At 31 August 2020|47,189|16,054|18,770|82,013|
|At 31 August 2019|47,189|18,887|19,082|85,158|
**----- End of picture text -----**
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continued...
**THE MUSLIM YOUTH FOUNDATION**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2020**
**----- Start of picture text -----**
8. Debtors: amounts falling due within one year
2020 2019
£ £
Prepayments 2,232 964
9. Creditors: amounts falling due within one year
2020 2019
£ £
Taxation and social security 1,434 833
Other creditors 1,079 1,380
2,513 2,213
10. Movement in funds
Net
movement At
At 1.9.19 in funds 31.8.20
£ £ £
Unrestricted funds
General fund 194,738 (6,458) 188,280
TOTAL FUNDS 194,738 (6,458) 188,280
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 62,458 (68,916) (6,458)
TOTAL FUNDS 62,458 (68,916) (6,458)
Comparatives for movement in funds
Net
movement At
At 1.9.18 in funds 31.8.19
£ £ £
Unrestricted funds
General fund 191,862 2,876 194,738
TOTAL FUNDS 191,862 2,876 194,738
**----- End of picture text -----**
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continued...
**THE MUSLIM YOUTH FOUNDATION**
**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|**Incoming**
**Resources**
**resources**
**expended**
**£**
**£**
50,199
(47,323)|**Movement**
**in funds**
**£**
2,876|
|---|---|---|
|**TOTAL FUNDS**|50,199
(47,323)|2,876|
## **11. Related party disclosures**
There were no related party transactions for the year ended 31 August 2020.
Page 11
**THE MUSLIM YOUTH FOUNDATION DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2020**
**----- Start of picture text -----**
2020 2019
£ £
Income and endowments
Donations and legacies
Donations 29,482 39,846
Investment income
Rents received 10,200 10,200
Bank interest receivable 2 153
10,202 10,353
Other income
Covid Council Grant 10,000 -
JRS Grant 12,774 -
-
22,774
Total incoming resources 62,458 50,199
Expenditure
Charitable activities
Wages 45,351 19,015
Pensions 924 154
Rates and water 147 764
Insurance 1,646 2,684
Light and heat 7,440 8,947
Telephone 1,245 1,200
Postage and stationery 1,081 2,320
Sundries 42 87
Catering 1,442 2,301
Cleaning 671 306
Improvements to property 2,833 3,333
Fixtures and fittings 3,312 3,367
66,134 44,478
Support costs
Governance costs
Accountancy and legal fees 2,782 2,845
Total resources expended 68,916 47,323
Net (expenditure)/income (6,458) 2,876
**----- End of picture text -----**
This page does not form part of the statutory financial statements
Page 12