Charity registration number 107435 {Northern Ireland) Company registration number N1636419 THE CORNERSTONE TRUST ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2025 THE CORNERSTONE TRUST LEGAL AND ADMINISTRATIVE INFORMATION Trustees Dr T Bennett Mr M Johnson Pastor W Murphy Charity number (Northern Ireland) 107435 Company number N1636419 Principal address 4 Thornleigh Drive Lisburn BT28 2DA Registered office 4 Thornleigh Drive Lisburn BT28 2DA Independent examiner GMCG LISBURN Century House 4D Crescent Business Park Lisburn BT28 2GN Bankers Santander Bridle Road Bootle Merseyside L30 4GB THE CORNERSTONE TRUST CONTENTS Page Trustees, report Independent examinerfs report Statement of financial activities Statement of financial position Notes to the financial statements 7-10 THE CORNERSTONE TRUST TRUSTEES. REPORT (INCLUDING DIRECTORS, REPORT) FOR THE YEAR ENDED 28 FEBRUARY 2025 The trustees present their annual report and financial statements for the year ended 28 February 2025. The financial statements have been prepared in accordance with the accounting Policies sel out in note 1 to the financial statements and comply with the ch3rily's Memorandum and Articles of Association, the Companie5 Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable lo charitie5 preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) (effective 1 January 2019). Objectives and activities The Cornerstone Trust {"Cornerstone") was established, in its current formal, to 5UPPOrt the Evangelical Church in the Canary Islands in spreading Ihe Gospel, and in particular to assist the Jinamar church in Gran Canaria. However due to the Pastor relocaling, the charity's work was very limited in the year and no support was provided to Jinamar church. The trustees are currently considering their oplions with regard to other workers or organisations they can support going forward. The trustees have paid due regard lo guidance issued by the Charity Commission in deciding what activilies the charity should undertake. Achievements and performance The Board met a numb&r of times during the year both formally and informally. Discussions ￿nt[ed around what the next steps were for The Cornerstone Trust. Without any worker in the Canary Islands for us to support we contemplated sUPPOrting individual church projects. However. with the lack of oversight that we as a Board could provide from Northern Ireland to individual projects happening on the ground in the151ands. we felt that il would be too much of a risk to the funds provided by our donors. We also discussed the lack of experiencelskill set that we possess in terms of completing all of our HMRC I Companies House I CCNI annual returns. With the numerous reminders that legal action could be taken against LAS by the CCNI, it was agreed that we would Glose Ihe Cornerstone Trust as both a Charity and a Company once we had completed any outstanding returns. Financial review It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent lo between three and six month's expenditure. The trustees consider that reserves at this level wi15 ensure that, in the event of a significanl drop in funding. they will be able to continue the charity's current activities while consideration is given to ways in which additional funds may be raised. This level of reseNes has been maintained throughout the year. THE CORNERSTONE TRUST TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2025 Structure, governance and management The charty is a company limrted by guarantee and governed by its Memorandum and Articles ofAssoication. The trustees. who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: Dr T Bennett Mr M Johnson Pastor W Murphy None of the trustees has any beneficial inter&st in the company. All of the trustees are members of the company and guarantee lo contribLrtè £1 in the event of a winding up. The trustees, report was approved by the Board of Trustees. Dr T Bennett Trustee Date- ... THE CORNERSTONE TRUST INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE CORNERSTONE TRUST We report to the Iruslees on our examination of the financial statements of The Cornerstone Trust (the charity) for Ihe year ended 28 February 2025. Responsibilities and basis of report As the trustees of the charity (and also its directors for the purposes of company Saw) you are responsible fDr the preparatlon of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act). Having satisfied ourselves that the charity is not subject to audit under company law, and is eligible for independent examination, it is our responsibility to.. examine the accounts under section 65 Df the Charities Act (Northern Ireland) 2008., follow the procedures laid down in the general Directions given by the Charity Commission for Northern Ireland under section 65(9){b) of the Charities Act, and state whether particular matters have come to our attentions. Independent examiner's statement We have examined your charity accounts as required under section 65 of the Charities Act and our examination was carried out in accordance with the general Directions given by the Charity Commission for Northern Ireland under section 65191(b) of the Charities Act. The examination included a review of the accounting records kept by the charily and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in Ihe accounts, and seeking explanations from you as charity trustees concerning any such matters. Our role is to state whether any material matters have come lo our attention giving us cause to believe.. accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006. the financial statements do nol accord with those records; or that the accounts do not comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the 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 that there is further information needed for a proper understanding of the accounts lo be reached. THE CORNERSTONE TRUST INDEPENDENT EXAMINER'S REPORT (CONTINUED) TO THE TRUSTEES OF THE CORNERSTONE TRUST We have completed our examination and have no concems in respect of the mattèrs (1) to14) listed above and, in connection with following the Directions of the Chartty Commission for Northern Ireland. we have found no matters that require drawing to your attention. ZA4'L- I.I_ GMCG LISBURN Century House 40 Crescent Business Park Lisburn BT28 2GN Dated.. THE CORNERSTONE TRUST STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOMEAND EXPENDITUREACCOUNT FOR THE YEAR ENDED 28 FEBRUARY 2025 Unrestricted funds 2025 Unrestricted funds 2024 Notes Income from: Donations and legacies 200 Total income 200 Expenditure on: Charitable aclivilies 540 720 Total expenditure 540 720 Net expenditure and movement in funds (540) (520) Reconciliation of funds: Fund balances at 29 February 2024 13,737 14,257 Fund balances at 28 February 2025 13,197 13,737 The slatemenl of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing gctivities. THE CORNERSTONE TRUST STATEMENT OF FINANCIAL POSITION AS AT 28 FEBRUARY 2025 2025 2024 Notes Current assets Cash at bank and in hand 13,917 14.457 Creditors: amounts falling due within one year (720) (720) Net current assels 13.197 13,737 Income funds Unrestricted funds - general 13.197 13.737 13,197 13,737 The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 28 February 2025. The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 wilh respect to accounting records and the preparation of financial statements. The members have not required the company to obtsin an audit of its financial Statements for the year in question in accordance wilh section 476. These financial statements have been prepared in accordance with the provisions applicable lo companies subject to the small companies regime. The financial statements were approved by the Trustees on .. l.i.i.knS- arid signed on their behalf by.. Mr M Johnson Trustee Company registration number N1636419 THE CORNERSTONE TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2025 Accounting policies Charity information The Cornerstone Trust is a private company limited by guarantee incorporated in Northern Ireland. The registered office is 4 Thornleigh Drive, Lisburn. B T28 2DA. 1.1 Accounting convention The financial statements have been prepared in accordance with Ihe charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" I'FRS 102.) and the Charities SORP Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance wilh the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" leffeclive 1 January 2019). The charity is a Public Benefit Enlrty as defined by FRS 102. The charity has taken advantage of the provisions in the SORP for charities not lo prepare a Statement of Cash Flows. The financial statements are prepared in sterling, which is the functional Currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are sel out below. 1.2 Going Concern At the lime of approving the financial 5talemenls, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable futu￿. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial slalemenls. 1.3 Charitsble funds Unrestricted funds are available for use al the discretion of the trustees in furtherance of their charitable objectives. Restricted funds are subject to specific conditions by donors or grantors as lo how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. 1.4 Income Income is rècognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and il is probable that income will be received. Cash donations are recognised on receipt. other donations are recognised On￿ the charity has been notified of the dor)alion, unless performance conditions require deferral of the amount. Income tax recoverable in relation lo donations received under Gift Aid or deeds of Govenanl is recognised at the time of the donation. Legacies are recognised on receipt or othewise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known. the legacy is trealed as a conlingent asset. THE CORNERSTONE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2025 Accounting policies (Continued) 1.5 Expenditure Expenditure is recognisÈd once there is a legal or conslructive obligation to transfer economic benefit to a third party, it is probable that a transfer of èconomic benefits will be requir&d in settlement. and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the totsl of direct costs and shared costs, including support costs involved in undertaking each actlvlty. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consislent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation Gharges aré allocaled on the portion of the asset's use. 1.6 Cash and cash equivalents Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-tem liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 1.7 Financial instruments The ¢harity has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 'Other Financial Instruments Issues, of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the n&t amounts presented in the financial slatemenls, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and sèttle the liability simultaneously. Basic financial assets Basic financial assels. which include debtors and cash and bank balan￿s, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cosl using the effective interest method unless the arrangemènt constitutes a financing transaction. where the transa¢tion is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are nol amortised. Basic financial liabilities Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carrièd at amortised cost, using the effective interesl rate melhod. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-currenl liabilities. Trade creditors are recognised initially al transaction price and subsequently measured al amortised cost using the effective inlerest method. Derecognition of f Inancial liabilities Financial liabilities are derecognised when the charty's contractual obligations expire or are discharged or cancelled. THE CORNERSTONE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2025 Income from donations and legacies Unrestricted funds 2025 Unrestricted funds 2024 Donations and gifts 200 Charitable activities 2025 2024 Accountancy 540 720 Description of charitable activities To support the Evangelical Church in the Canary Islands in spreading the Gospel. Trustees None of the Iruslees lor any persons connected with them) received any remuneration or benefits from the Charity during the year. Employees The average monthly nLtmber of employees during the year was: 2025 Number 2024 Number Total There were no employees whose annual remuneration was more than £60,000. Taxation The charity is exempl from laxalion on its activities because all its income is applied for charilable purposes. Creditors: amounts falling due within one year 2025 2024 Accruals and deferred income 720 720 THE CORNERSTONE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2025 Unrestricted funds The unrestricted funds of the charity comprise the unexpenderl balances of donalions and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes. At29 February 2024 Incoming resources Resources At28 expended February 2025 General funds 13.737 (540) 13,197 Previous year: At28 February 2023 Incoming resources Resource5 At28 expended February 2024 General funds 14,257 200 1720) 13.737 10 Related party transactions There were no disclosable related paty transactions during the year {2024- none). 10