REGISTERED CHARITY NUMBER: 518785
REPORT OF THE TRUSTEES AND
UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020
FOR
HARVEST CITY CHURCH
Mark J Rees LLP Chartered Accountants Granville Hall Granville Road Leicester LE1 7RU
HARVEST CITY CHURCH
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020
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Page
Report of the Trustees 1 to 7
Independent Examiner's Report 8
Statement of Financial Activities 9
Balance Sheet 10
Cash Flow Statement 11
Notes to the Cash Flow Statement 12
Notes to the Financial Statements 13 to 23
Detailed Statement of Financial Activities 24 to 25
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
The trustees present their report with the financial statements of the charity for the year ended 30 September 2020. The trustees have adopted the provisions of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland", the Charities Act 2011 and the requirements of the Statement of Recommended Practice, Accounting and Reporting by Charities.
OBJECTIVES AND ACTIVITIES
Objectives and aims
The objectives of the Fellowship as laid down in the Declaration of Trust dated 27 March 1987 are:
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The advancement of the Christian Faith in accordance with the doctrines set out in the underwritten Fourth Schedule and the worship of God in the said County and elsewhere by any means whatsoever including (but not by way of limitation) the preaching and proclamation of the Christian Gospel and the teaching of the Christian doctrine and principles and the pastoral care of the Christian people and the printing and distribution of the Bible and Christian literature.
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The relief of persons who are in conditions of need, hardship, distress or who are aged or sick.
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The advancement of education on the basis of Christian principles and without prejudice to the generality of the provision of such education in any educational establishment and if the trustees so decide, the provision of one or more charitable educational establishments for the general education of children or adults on the basis of such Christian principles.
The trustees have had due regard to the guidance published by the Charity Commission on public benefit as required by the Charities (Accounts and Reports) Regulations 2008.
Significant activities
The Church is involved in many programmes for the local community - with children and youth groups, and regular groups running activities for single mothers and older people. The Church also has members coming from many different cultural backgrounds and is recognised as a Church promoting multicultural understanding.
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
ACHIEVEMENT AND PERFORMANCE Charitable activities General Church Activities
The Church normally meets every Sunday morning in person for two services to accommodate the congregation numbers. Our congregation includes people from all over the world reflecting the diversity of our city.
There is also a meeting every Tuesday evening for the purpose of Bible teaching but also increasingly additional smaller group teaching for those involved in singing and music, foundational Christian belief teaching and meetings for new people wishing to join the Church or get baptised. Our partnership classes' this year have resulted in twenty new members.
We also hold sessions from time to time for those who run businesses to teach about ethical principles involved in running and building your own business. This is run by one of our trustees who has an expertise in this area.
A nine-month intern programme also continues each year for any Church members who wish to study the Bible in greater depth and is useful for developing people's skills in writing and presenting topics and projects. This is run by one of our trustees and elders Ian Mann.
Small groups called 'Harvest Groups' meet once a month to enable people to develop closer friendships, to help those in need of practical help and support and encourage each other with prayer . These groups always include up to 20 people of different ages and cultural backgrounds and are a good opportunity to develop friendships with people from very different backgrounds. There are 17 of these groups in total meeting in various homes all over the city.
During the pandemic all our meetings and small group activities have been rearranged in line with government and local guidelines. Since March 2020 most meetings have been either streamed online or arranged via zoom with some limited opportunities to meet face to face during the summer months in 2020. Our Sunday services and Tuesday evening meetings are all available on YouTube and have made our meetings accessible to a wider audience. Our leaders and tech teams continue to work very hard behind the scenes to make sure these meetings run smoothly.
Children and youth work
This is the largest department in the work of the Church.
A parent and toddler group has met every week in our Church premises and enjoyed a varied programme of informal meetings and outings, called Cafe Mama.
All children up to the age of 11 usually attend Junior Church on Sunday mornings and Tuesday evenings. There are over one hundred children in this age group divided into 5 groups according to age. They enjoy a varied programme of games, music and Bible teaching. This group includes children with special needs who are assigned special helpers. The teachers meet together regularly to review policies and child safeguarding. The head of the children's work is Mrs Sarah Woods who is herself a special needs teacher.
The youth work includes young people from aged 11-30 and is divided into 2 groups. It is open to the wider community and the 11-15 age group, called Ignite, now have their own special evening on Friday's and are expanding in numbers, currently up to 30 children in attendance. The older group aged 16-30, called The Pulse, continue to meet on Saturday evenings and attract over 50 young people. Both groups have a programme of music and worship, games and Bible teaching.
During the pandemic, all these meetings and group activities have continued but have transferred to online and zoom with the help of our Junior Church, Ignite and The Pulse leadership.
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
Other groups
The men meet in a group called 'Excel'. They get together bi-monthly for Bible teaching, meals together or other activities such as bowling. The ladies have their own group called 'Shine' that meets once a month for relevant Bible teaching and sometimes other activities like shopping trips or theatre outings.
There is also a group for people who have progressed on from the youth groups or are in the right age bracket. This is called 'Dare' and caters to the 30-40s age groups. They meet monthly for meals out together.
Our senior and retired members have an active group called 'New Horizons' which meets every few weeks and has a varied programme of outings, meals, movies, skittles etc.
During the pandemic most of the above groups have continued meeting via video conferencing. Outside activities have had to cease and our leaders have been supporting many of our older and more vulnerable members with regular phone calls and food deliveries.
The Church also runs a group for NHS staff, especially junior medical staff and medical students, which is called 'Medics Corner'. This is mainly supportive in nature and includes discussions on ethics and other topics of relevance as well as sharing up to date medical information. It is run by two GP's.
Since the pandemic the Church has been engaged in supporting our NHS and care workers with regular supportive phone calls and food deliveries.
The Church attracts a number of students attending Leicester's universities and colleges. This group has a weekly invitation to a home for Sunday lunch. This has temporarily ceased since March 2020 due to the pandemic.
Relationships within the community
Every August Bank Holiday Sunday we hold an annual summer fayre at Judgemeadow Community College. This includes many activities for children and is free to the local community. It has become an increasingly popular event and attracts families from all cultures and faiths.
Every autumn we organise an 'Out of Africa and Beyond' event also at Judgemeadow Community College. This is a truly multicultural event that celebrates the many cultures represented by our Church, around thirty different nations, and many visitors enjoy the programme of music, dancing, Biblical message and the variety of different foods.
For the last two years we have held a Christmas market at our own premises and have had the privilege of working with our local Asda supermarket charity worker to arrange prizes etc. Members of the local community have come in to run stalls.
Our many groups and activities are open to all of the community and attract regular visitors, especially our youth work. We have an 'Acts of Kindness' initiative to encourage people to donate food to be given to those in need especially during the Christmas period.
During the pandemic this has become a much larger part of the work that the Church does and so we have partnered with charities in Leicester to help with giving out food weekly to many people that are in need.
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
Other care for the sick and elderly in the congregation and outside is carried out informally by harvest groups and their members alongside other small groups also.
Our 'Potspoon Cafe' is open every Wednesday, Thursday and Friday and is popular with local Leicester College staff and people visiting the city centre. It is also used as a relaxing place to meet and support people needing advice and counselling. The site is not currently open due to the COVID-19 pandemic.
Relationships with other churches
Harvest City Church is part of a worldwide group of Churches called 'Ministers Fellowship Global' (MFG). Our senior Pastors, Chip and Sarah Kawalsingh, are on the leadership team for MFG and regularly visit other Churches in many countries including Canada, the USA, the West Indies, Netherlands and Japan to encourage and help their Pastors and Churches.
Other Church members including members of our youth group also accompany our Pastors on their ministry trips and benefit from that experience. MFG holds regional meetings in the UK twice a year attended by all our leaders and also an international conference once a year. Unfortunately, due to the pandemic the yearly conference, travelling itinerary and other regional conferences and meetings have been cancelled since March 2020. However there have been virtual conferences done online via webinars and smaller regional leaders meetings have continued via that method also.
Our senior Pastors have continued to support other Church leaders more remotely via phone and video conferencing.
Our Church has continued to support the work of an orphanage in Hyderabad India.
Our Pastor has written a number of books and materials for Church teaching. These include 'God, a Mocha and Me', 'An Extra Shot', 'Fruits of The Spirit', 'Battle For The Mind', 'Hope' prayer cards, 'Giants Will Fall', 'Partnership Guide', 'Leadership Guide' and 'Introduction to Systematic Theology'. He is currently writing a series of booklets on essentials of the Christian faith which are in the process of being published. Many of these materials are also in use in Churches around the UK and internationally.
Our Church supports various Christian ministries as mentioned above. These gifts are always discussed with the trustees and approved by them. The recipient organisations are mainly associated with MFG or Portland Bible College. This is the college where Pastors Chip and Sarah Kawalsingh received their theological and musical training degrees.
Recipient organisations include:
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Ministers Fellowship Global.
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Ministers Fellowship West Indies.
(These organisations support Churches and charitable work in Eastern Europe, Africa, India, and the West Indies etc.)
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Light of Life Full Gospel Church (an MFG Church in Toronto).
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Northside City Church.
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Freedom Fellowship Church.
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Shine, our ladies fellowship, charitable donation to Leicester City
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(Charitable organisations working with the homeless.)
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
FINANCIAL REVIEW
Overview of finances
The Church remains in a healthy financial state. However due to the ongoing pandemic, with the additional lockdown issues in Leicester, the Church has spent the months from March 2020 with only limited opportunities for face to face meetings. For many of our members this remains an ongoing difficult time in terms of employment and finances which has had an inevitable impact on our Church income with donations having dropped during this financial year.
We own our own Church premises in St Johns St Leicester and up until March 2020 also hired an additional meeting hall at Judgemeadow College on Sunday mornings and Tuesday evenings in order to accommodate increasing congregation numbers.
We currently have over £500,000 in our current bank account in order to save towards the future purchase of a larger premises to house our present congregation and plan for future growth.
We continue to actively look at possible suitable properties.
Reserves policy
It is the policy of the trustees to maintain the unrestricted fund not committed or invested in fixed assets less related borrowing, at a level which equates with a range of between three to twelve months unrestricted expenditure, in order to provide sufficient funds to finance expenditure on charitable activities and governance costs.
At 30 September 2020 the total funds held are £1,385,870. This includes £409,249 in tangible fixed assets and £1,430 in restricted funds.
As mentioned above the charity has continued to build its reserves in order to fund a future purchase of a larger premises.
FUTURE PLANS
The charity looks forward to further achieving its charitable objectives during the forthcoming year. It is anticipated that the income and activities of the charity will continue to expand.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a Trust Deed dated 27 March 1987 and was formally registered as a charity on 13 May 1987. The charity was formerly known as Beaumont Christian Fellowship.
Organisational structure
Overall responsibility for the Fellowship lies with the trustees of whom there are seven, with an elder responsible for overseeing the Church. These two bodies, the trustees and eldership, while having distinct roles have common members and between them are responsible for the formulating and implementation of policies designed to further the objectives of the Fellowship.
New trustees are appointed under the authority of the existing body of trustees.
The induction and training of new trustees is provided by the existing trustees as appropriate to the charity's objectives.The Declaration of Trust provides for a minimum of three trustees with no maximum limit. The trustees meet on a regular basis and are responsible for the overall policy for running the charity and advising on all matters relating to staffing and finance.
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT
Probity and overview
The policies and activities of the Church are currently formulated by a group of 7 trustees. Trustee Mr Peter Moyo left our organisation in October 2019 and resigned as a trustee. The chairman of the trustees and Church Senior Pastor is Mr Andy Paul Chip Kawalsingh.
The trustees have regular minuted meetings and all financial decisions including donations and salaries are discussed and agreed upon prior to implementation. The trustees meet every year to discuss and decide the salaries of our leaders Pastor Chip (Andy) and Sarah Kawalsingh - the decision is made by the other trustees and is based on the work they do and the increase in their responsibilities. It is also influenced by the increase in membership and finances. It is noted that they donate around 20% of their salaries back to the Church in gifts and offerings. Three trustees (Chip Kawalsingh, Ian Mann and Tatenda Kandi) are also employed by the Church but trustees themselves receive no remuneration for being trustees.
The trustees also review the accounts and check all policies are up to date and implemented - this has included the data protection act, all health and safety policies and making sure all Junior Church staff are up to date in child protection training. One of our trustees Ian Mann is in charge of all the health and safety protocols in the Church and these are reviewed by the trustees every year. These include fire risk assessment, health and safety policy, safeguarding, data protection, employee complaints policy.
The Church treasurer is trustee Mrs Tanya Goffin and the Church secretary is now trustee Mr Jim Johnston.
Day to day running of the Church is carried out by Pastor Chip Kawalsingh with the particular help of Mr Ian Mann (trustee employed by the Church) and other trustees as needed. They are assisted by 6 office staff - 5 full time and 1 part time.
The music and worship team are led by Mrs Sarah Kawalsingh who is employed full time by the Church. She oversees the training of new musicians especially from the younger age groups. The ignite and pulse groups have their own music bands. Members of the worship team have written new songs over the last few years and the Church has produced two music CD's 'Salvation is Here' and 'Unveil My Eyes'.
Related parties
Details of related parties and transactions with them are given in the notes to the financial statements.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number 518785
Principal address
Unit 1 St Margaret's Business Centre 14 St John Street Leicester LE1 3WL
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HARVEST CITY CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2020
Trustees
Rev AP Kawalsingh (Chair) Mr LP Venning Mrs T Goffin (Treasurer) Mr I Mann Mr N Gallagher Mr P Moyo (resigned 31.10.2019) Mr J Johnston (Secretary) Mr T Kandi
Independent Examiner
Mr P Bott FCA Mark J Rees LLP Chartered Accountants Granville Hall Granville Road Leicester LE1 7RU
Bankers
Yorkshire Bank 3 Eastgates Leicester LE1 5YA
Solicitors
Croftons Solicitors LLP The Lexicon 10 – 12 Mount Street Manchester M2 5FA
Freehold Property
Rev AP Kawalsingh, Mrs T Goffin and Mr LP Venning hold title to the Freehold Property on behalf of the charity.
Approved by order of the board of trustees on 15 April 2021 and signed on its behalf by:
Mr J Johnston (Secretary) - Trustee
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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF HARVEST CITY CHURCH
Independent examiner's report to the trustees of Harvest City Church
I report to the charity trustees on my examination of the accounts of Harvest City Church (the Trust) for the year ended 30 September 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
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of _ 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:
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accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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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.
Use of our report
This report is made solely to the charity's members. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's members as a body, for our work, for this report, or for the opinions we have formed.
Mr P Bott FCA Mark J Rees LLP Chartered Accountants Granville Hall Granville Road Leicester LE1 7RU
15 April 2021
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HARVEST CITY CHURCH
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2020
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Charitable activities 4 Advancement of Christian faith Investment income 3 Total EXPENDITURE ON Charitable activities 5 Advancement of Christian faith Other Total NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted fund £ 509,613 24,662 9,640 543,915 515,186 865 516,051 27,864 1,356,576 1,384,440 |
Restricted fund £ - 3,860 - 3,860 3,980 - 3,980 (120) 1,550 1,430 |
2020 Total funds £ 509,613 28,522 9,640 547,775 519,166 865 520,031 27,744 1,358,126 1,385,870 |
2019 Total funds £ 613,774 33,854 2,960 650,588 535,159 1,942 537,101 113,487 1,244,639 1,358,126 |
|---|---|---|---|---|
The notes form part of these financial statements
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HARVEST CITY CHURCH
BALANCE SHEET 30 SEPTEMBER 2020
| Notes FIXED ASSETS Tangible assets 12 CURRENT ASSETS Stocks 13 Debtors 14 Cash at bank and in hand CREDITORS Amounts falling due within one year 15 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 16 Unrestricted funds Restricted funds TOTAL FUNDS |
Unrestricted fund £ 409,249 10,880 47,557 933,105 991,542 (16,351) 975,191 1,384,440 1,384,440 |
Restricted fund £ - - - 1,430 1,430 - 1,430 1,430 1,430 |
2020 Total funds £ 409,249 10,880 47,557 934,535 992,972 (16,351) 976,621 1,385,870 1,385,870 1,384,440 1,430 1,385,870 |
2019 Total funds £ 413,495 4,372 54,632 921,445 980,449 (35,818) 944,631 1,358,126 1,358,126 1,356,576 1,550 1,358,126 |
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 15 April 2021 and were signed on its behalf by:
Rev AP Kawalsingh (Chair) - Trustee
Mrs T Goffin (Treasurer) - Trustee
The notes form part of these financial statements
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HARVEST CITY CHURCH
CASH FLOW STATEMENT FOR THE YEAR ENDED 30 SEPTEMBER 2020
| Notes Cash flows from operating activities Cash generated from operations 1 Interest paid Net cash provided by operating activities Cash flows from investing activities Purchase of tangible fixed assets Interest received Net cash used in investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period |
2020 £ 24,991 (1,918) 23,073 (18,271) 8,288 (9,983) 13,090 921,445 934,535 |
2019 £ 144,805 (1,185) 143,620 (16,684) 610 (16,074) 127,546 793,899 921,445 |
|---|---|---|
The notes form part of these financial statements
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HARVEST CITY CHURCH
NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 30 SEPTEMBER 2020
| 1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 2020 2019 £ £ Net income for the reporting period (as per the Statement of Financial Activities) 27,744 113,487 Adjustments for: Depreciation charges 22,517 21,797 Interest received (8,288) (610) Interest paid 1,918 1,185 (Increase)/decrease in stocks (6,508) 6,999 Decrease/(increase) in debtors 7,075 (18,005) (Decrease)/increase in creditors (19,467) 19,952 |
1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 2020 2019 £ £ Net income for the reporting period (as per the Statement of Financial Activities) 27,744 113,487 Adjustments for: Depreciation charges 22,517 21,797 Interest received (8,288) (610) Interest paid 1,918 1,185 (Increase)/decrease in stocks (6,508) 6,999 Decrease/(increase) in debtors 7,075 (18,005) (Decrease)/increase in creditors (19,467) 19,952 |
|---|---|
| Net cash provided by operations | 24,991 144,805 |
| 2. ANALYSIS OF CHANGES IN NET FUNDS At 1.10.19 £ Net cash Cash at bank and in hand 921,445 |
Cash flow At 30.9.20 £ £ 13,090 934,535 |
| 921,445 | 13,090 934,535 |
| Total 921,445 |
13,090 934,535 |
The notes form part of these financial statements
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 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 including donations, gifts and grants are included on the Statement of Financial Activities when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. Donations, gifts and grants have been included as income from incoming resources from charitable activities where these relate to specific expenditure to be incurred, but as voluntary income where they have been given with greater freedom of use. Income receivable under gift aid includes the related income tax recoverable. Investment income comprising interest receivable is included when receivable by the charity.
Expenditure
Expenditure is accounted for on an accruals basis inclusive of the attributable VAT which cannot be recovered 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. Costs of charitable activities include those costs incurred in respect of the charity's main activities and providing services for its beneficiaries. Grants payable are accounted for at the earlier of when they are paid or become legally enforceable. Governance costs include those costs incurred in meeting the constitutional and statutory requirements of the charity.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
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|Freehold property|- 2% on cost excluding land|
|Furniture and equipment|- 20% on reducing balance|
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All tangible fixed assets are capitalised and included at cost.
Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.
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.
continued...
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
1. ACCOUNTING POLICIES - continued
Fund accounting
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Hire purchase and leasing commitments
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
Pension costs and other post-retirement benefits
The charity contributes to 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.
Debtors
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
Creditors
Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
Going Concern and Impact of COVID-19
From late March 2020 the COVID-19 pandemic had a significant impact on the charity's operations. After reviewing the charity's forecasts and projections, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.
2. DONATIONS AND LEGACIES
| Tithes and offerings Gift aid - income tax recoverable |
2020 £ 428,072 81,541 509,613 |
2019 £ 509,596 104,178 613,774 |
|---|---|---|
continued...
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
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3. INVESTMENT INCOME
2020 2019
£ £
Rents received 1,352 2,350
Bank interest receivable 8,288 610
9,640 2,960
4. INCOME FROM CHARITABLE ACTIVITIES
2020 2019
Activity £ £
Teaching and bookshop Advancement of Christian faith 2,104 2,303
Hospitality and refreshments Advancement of Christian faith 214 382
Children and youth work Advancement of Christian faith - 1,662
Donations - Manna Ministries Advancement of Christian faith 3,860 4,350
Events Advancement of Christian faith 9,036 15,211
Pot Spoon Café Advancement of Christian faith 4,574 5,565
Miscellaneous Advancement of Christian faith 8,734 4,381
28,522 33,854
5. CHARITABLE ACTIVITIES COSTS
Grant
funding of
Direct activities Support
Costs (see (see note costs (see
note 6) 7) note 8) Totals
£ £ £ £
Advancement of Christian faith 385,375 36,485 97,306 519,166
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
| 6. DIRECT COSTS OF CHARITABLE ACTIVITIES Trustees' remuneration Staff costs Ministry expenses Teaching and bookshop Hospitality and refreshments Children and youth work Events Pot Spoon Café 7. GRANTS PAYABLE Advancement of Christian faith The total grants paid to institutions during the year was as follows: Ministers Fellowship Global Ministers Fellowship West Indies Light of Life Full Gospel Church Northside City Church Other OSAKA Royal British Legion Shine Charity Freedom Fellowship Church |
2020 £ 171,254 172,807 7,993 3,608 4,643 1,032 20,335 3,703 385,375 2020 £ 36,485 2020 £ 10,045 2,500 - 4,039 7,310 - 100 364 579 24,937 |
2019 £ 147,012 145,990 4,050 12,563 6,406 1,679 24,791 3,840 346,331 2019 £ 46,563 2019 £ 20,233 5,000 5,972 - - 2,000 - - - 33,205 |
|---|---|---|
Grants payable to individuals amount to £7,567 (2019: £9,277).
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
8. SUPPORT COSTS
| Governance Management costs £ £ Advancement of Christian faith 88,010 9,296 Support costs, included in the above, are as follows: Management 2020 Advancement of Christian faith £ Rent of premises 18,199 Insurance 2,693 Light, heat and water 5,761 Travel and transport 9,376 Postage, stationery and telephone 7,089 Publicity 5,044 Sundries 11,992 Repairs and maintenance 5,340 Depreciation of tangible assets 22,516 88,010 Governance costs 2020 Advancement of Christian faith £ Professional expenses 4,253 Accountancy and legal fees 625 Independent examiners remuneration 2,500 Bank interest 1,918 9,296 |
Totals £ 97,306 2019 Total activities £ 29,635 2,658 6,616 36,630 9,733 8,978 13,237 4,542 21,797 133,826 2019 Total activities £ 4,219 610 2,425 1,185 8,439 |
|---|---|
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
9. TRUSTEES' REMUNERATION AND BENEFITS
| Trustees' salaries Trustees' pensions paid |
2020 £ 148,650 22,604 171,254 |
2019 £ 128,753 18,259 147,012 |
|---|---|---|
Trustees' remuneration is made up of salaries paid to Rev AP Kawalsingh £77,473 (2019: £64,133), Mr I Mann £43,177 (2019: £42,475) and Mr T Kandi £28,000 (2019: £22,145).
Trustees' pension is made up of contributions of £15,519 (2019: £11,558) for Rev AP Kawalsingh, £6,430 (2019: £6,300) for Mr I Mann and £654 (2019: £401) for Mr T Kandi.
Remuneration paid to the above Trustees reflects the work performed and their responsibility for the charity.
Trustees' expenses
There were no trustees' expenses paid for the year ended 30 September 2020 nor for the year ended 30 September 2019.
10. STAFF COSTS
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 285,050 | 244,261 |
| Social security costs | 24,464 | 21,295 |
| Other pension costs | 11,943 | 9,187 |
| 321,457 | 274,743 | |
| The average monthly number of employees during the year was as follows: | ||
|---|---|---|
| 2020 | 2019 | |
| Salaried staff - charitable activities | 8 | 8 |
The emoluments of one (2019: nil) member of staff are within the range of £60,000 to £69,999.
The emoluments of nil (2019: one) member of staff are within the range of £70,000 to £79,999.
The emoluments of one (2019: nil) member of staff are within the range of £90,000 to £99,999.
Staff costs include salaries paid to Mrs S Kawalsingh, wife of Rev AP Kawalsingh, trustee of £54,500 (2019: £39,964) and to Mrs H Venning, wife of Mr LP Venning, trustee of £20,000 (2019: £17,253).
Pension costs include a contribution for Mrs S Kawalsingh, wife of Rev AP Kawalsingh, trustee of £10,235 (2019: £7,234) and for Mrs H Venning, wife of Mr LP Venning trustee of £414 (2019: £333).
continued...
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
10. STAFF COSTS - continued
Total remuneration in relation to Key Management Personnel, included within the figures above, amounts to £189,163 (2019: £141,998).
| 11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - 30 SEPTEMBER Unrestricted Restricted fund fund £ £ INCOME AND ENDOWMENTS FROM Donations and legacies 613,774 - Charitable activities Advancement of Christian faith 29,504 4,350 Investment income 2,960 - Total 646,238 4,350 EXPENDITURE ON Charitable activities Advancement of Christian faith 531,079 4,080 Other 1,942 - Total 533,021 4,080 NET INCOME 113,217 270 RECONCILIATION OF FUNDS Total funds brought forward 1,243,359 1,280 TOTAL FUNDS CARRIED FORWARD 1,356,576 1,550 |
2019 Total funds £ 613,774 33,854 2,960 650,588 535,159 1,942 537,101 113,487 1,244,639 1,358,126 |
|---|---|
continued...
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
12. TANGIBLE FIXED ASSETS
| COST At 1 October 2019 Additions At 30 September 2020 DEPRECIATION At 1 October 2019 Charge for year At 30 September 2020 NET BOOK VALUE At 30 September 2020 At 30 September 2019 |
Freehold property £ 448,717 - 448,717 93,913 7,124 101,037 347,680 354,804 |
Furniture and equipment £ 214,338 18,271 232,609 155,647 15,393 171,040 61,569 58,691 |
Totals £ 663,055 18,271 681,326 249,560 22,517 272,077 409,249 413,495 |
|---|---|---|---|
Included in cost or valuation of land and buildings is freehold land of £92,500 (2019 - £92,500) which is not depreciated.
13. STOCKS
| Stocks 14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other debtors Income tax recoverable Accrued income |
2020 £ 10,880 2020 £ 1,315 38,239 8,003 47,557 |
2019 £ 4,372 2019 £ 900 46,247 7,485 54,632 |
|---|---|---|
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
----- Start of picture text -----
15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2020 2019
£ £
Social security and other taxes 7,208 13,077
Other creditors 4,325 14,628
Accruals and deferred income 4,818 8,113
16,351 35,818
16. MOVEMENT IN FUNDS
Net
At movement At
1.10.19 in funds 30.9.20
£ £ £
Unrestricted funds
General fund 1,356,576 27,864 1,384,440
Restricted funds
Manna Ministries fund 1,550 (120) 1,430
TOTAL FUNDS 1,358,126 27,744 1,385,870
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 543,915 (516,051) 27,864
Restricted funds
Manna Ministries fund 3,860 (3,980) (120)
TOTAL FUNDS 547,775 (520,031) 27,744
----- End of picture text -----
continued...
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
16. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| At 1.10.18 £ Unrestricted funds General fund 1,243,359 Restricted funds Manna Ministries fund 1,280 TOTAL FUNDS 1,244,639 Comparative net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 646,238 Restricted funds Manna Ministries fund 4,350 TOTAL FUNDS 650,588 |
Net movement in funds £ 113,217 270 113,487 Resources expended £ (533,021) (4,080) (537,101) |
At 30.9.19 £ 1,356,576 1,550 1,358,126 Movement in funds £ 113,217 270 113,487 |
|
|---|---|---|---|
The Manna Ministries fund consists of donations received specifically for the purpose of making subsequent grants to Manna International Inc. for the sponsorship of orphaned children in India.
continued...
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HARVEST CITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020
17. EMPLOYEE BENEFIT OBLIGATIONS
The charity contributes to a personal pension scheme in respect of certain employees. The total costs payable in the year were £34,547 (2019: £27,446).
18. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 30 September 2020.
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HARVEST CITY CHURCH
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2020
| INCOME AND ENDOWMENTS Donations and legacies Tithes and offerings Gift aid - income tax recoverable Investment income Rents received Bank interest receivable Charitable activities Teaching and bookshop Hospitality and refreshments Children and youth work Donations - Manna Ministries Events Pot Spoon Café Miscellaneous Total incoming resources EXPENDITURE Charitable activities Trustees' salaries Trustees' pensions paid Salaries Social security Pensions Ministry expenses Teaching and bookshop Hospitality and refreshments Children and youth work Carried forward |
2020 £ 428,072 81,541 509,613 1,352 8,288 9,640 2,104 214 - 3,860 9,036 4,574 8,734 28,522 547,775 148,650 22,604 136,400 24,464 11,943 7,993 3,608 4,643 1,032 361,337 |
2019 £ 509,596 104,178 613,774 2,350 610 2,960 2,303 382 1,662 4,350 15,211 5,565 4,381 33,854 650,588 128,753 18,259 115,508 21,295 9,187 4,050 12,563 6,406 1,679 317,700 |
|---|---|---|
This page does not form part of the statutory financial statements
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HARVEST CITY CHURCH
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2020
| Charitable activities Brought forward Events Pot Spoon Café Grants to institutions Grants to individuals Other Hire of plant and machinery Support costs Management Rent of premises Insurance Light, heat and water Travel and transport Postage, stationery and telephone Publicity Sundries Repairs and maintenance Depreciation of freehold property Depreciation of furniture and equipment Governance costs Professional expenses Accountancy and legal fees Independent examiners remuneration Bank interest Total resources expended Net income |
2020 £ 361,337 20,335 3,703 28,918 7,567 421,860 865 18,199 2,693 5,761 9,376 7,089 5,044 11,992 5,340 7,124 15,392 88,010 4,253 625 2,500 1,918 9,296 520,031 27,744 |
2019 £ 317,700 24,791 3,840 37,286 9,277 392,894 1,942 29,635 2,658 6,616 36,630 9,733 8,978 13,237 4,542 7,124 14,673 133,826 4,219 610 2,425 1,185 8,439 537,101 113,487 |
|---|---|---|
This page does not form part of the statutory financial statements
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