Torah & Chesed (BH) Limited - Charities report - 20.2

REGISTERED COMPANY NUMBER: 01367849 (England and Wales)

REGISTERED CHARITY NUMBER: 276325

Report of the Trustees and

Financial Statements for the Year Ended 31 March 2020

for

Torah & Chesed (BH) Limited

Page

Reference and Administrative Details

1

Report of the Trustees

2

to

3

Independent Examiner's Report

4

Statement of Financial Activities

5

Balance Sheet

6

Notes to the Financial Statements

7

to

11

TRUSTEES

B Conway

D Finn

M Morris

A Levy (resigned 31.1.21)

I Smith (deceased 15.1.21)

COMPANY SECRETARY

D Finn

REGISTERED OFFICE

55 Shirehall Park

London

NW4 2QN

REGISTERED COMPANY NUMBER

01367849 (England and Wales)

REGISTERED CHARITY NUMBER

276325

INDEPENDENT EXAMINER

Purcells, Chartered Accountants

4 Quex Road

London

NW6 4PJ

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The objects of the charity are:

. to advance religion in accordance with the Orthodox Jewish Faith and for such other purposes as are recognised by English Law to be charitable.

Significant activities

The charity's objectives are reached through the provision of a social and cultural centre that provides a synagogue, social events, library, lecture hall and children's activities.

Grantmaking

The trustees consider each application for a grant from the charity on a case by case basis. Their overriding consideration when reviewing these applications is whether the making of a grant assists with the furtherance of the charity's overall objectives.

Volunteers

The charity is very involved in the community and is dependent on the assistance of volunteers who help with the running and administering of the community centre and the charity's other activities.

ACHIEVEMENT AND PERFORMANCE

Charitable activities

Regular prayer meetings are held for members and the wider community, throughout the year. Special prayers and activities are organised to celebrate the Jewish festivals and are open to the whole community.

The charity runs a number of education programmes throughout the year, across a diverse spectrum of subjects. Different programmes are provided for all age groups including sessions for the youth, again these activities are not restricted to members but are open to all.

The charity provides funeral facilities for its members, to ensure that their burial is carried out in accordance with Jewish custom.

Fundraising activities

The income in the year was higher than the previous year due to a fundraising drive in the year towards the costs of improving and refurbishing the charity's premises.

FINANCIAL REVIEW

Principal funding sources

The charity derives its principal source of income from donation by its members. This source of income has been consistent for many years and there is no reason to believe that it will not continue in future years.

Investment powers and policy

Under the Memorandum and Articles of Association, the charity has the power to invest in any way the trustees see fit.

The trustees, having regard to the liquidity requirements of operating the community centre and the reserves policy have operated a policy of keeping available funds in an interest bearing deposit account.

Reserves policy

The trustees have established the levels of reserves (that is those funds that are freely available) that the charity requires. Reserves are needed to provide sufficient funds to cover management and administration and direct charitable expenditure for the following year, as the charity carries out fundraising on an annual basis.

The actual cash reserves as 31st March 2020 were £65,822 which is within budget. In calculating reserves, the trustees have purely considered the charity's cash resources and have ignored the value of the community centre, which is unencumbered and included in the accounts at £439,775.

The end of the year saw a satisfactory financial result. Costs were contained largely within budget and income figures were consistent with targets.

Expenditure exceeded income in the year by £11,181 (2019: £6,954 deficit) after allowing for Grants expended of £3,150 (2019: £3,000).

FUTURE PLANS

Although the charity has spent a large amount on refurbishing its premises, it is anticipated that further sums will be required over the coming few years. The trustees feel that is essential to provide a modern up-to-date and well- equipped community centre in order to meet the needs of its members. Additional fundraising will be sought in order to finance these improvements.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Recruitment and appointment of new trustees

The board has the power to appoint additional trustees as it sees fit.

Organisational structure

The board of trustees administers the charity. The board meets regularly and deals with all major issues relating to the charity including premises, membership, finance and accounts.

Induction and training of new trustees

New trustees are made aware of the organisational structure of the charity and are shown financial statements of the charity for the three preceding years.

Wider network

The charity carries out a wide range of activities in pursuance of its charitable aims. The trustees consider that these activities provide benefit both to those who worship at our synagogue and the wider community of North West London.

Approved by order of the board of trustees on 10 February 2021 and signed on its behalf by:

B Conway - Trustee

Independent examiner's report to the trustees of Torah & Chesed (BH) Limited ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2020.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

1.	accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

2.	the accounts do not accord with those records; or

3.	the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

4.

the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

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.

R S Coleman

Purcells, Chartered Accountants

4 Quex Road

London

NW6 4PJ

11 February 2021

31.3.20

31.3.19

Unrestricted

Total

fund

funds

Notes

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

162,120

126,721

Charitable activities

Grants

4,893

3,714

Investment income

2

134

161

Total

167,147

130,596

EXPENDITURE ON

Charitable activities

Synagogue expenses

178,223

137,550

NET INCOME/(EXPENDITURE)

(11,076

)

(6,954

)

RECONCILIATION OF FUNDS

Total funds brought forward

517,466

524,420

TOTAL FUNDS CARRIED FORWARD

506,390

517,466

31.3.20

31.3.19

Unrestricted

Total

fund

funds

Notes

£

£

FIXED ASSETS

Tangible assets

7

445,426

446,423

CURRENT ASSETS

Cash at bank

65,822

83,448

CREDITORS

Amounts falling due within one year

8

(4,858

)

(12,405

)

NET CURRENT ASSETS

60,964

71,043

TOTAL ASSETS LESS CURRENT LIABILITIES

506,390

517,466

NET ASSETS

506,390

517,466

FUNDS

9

Unrestricted funds

506,390

517,466

TOTAL FUNDS

506,390

517,466

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2020 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a)	ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on 10 February 2021 and were signed on its behalf by:

B Conway - Trustee

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, 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 Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

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.

Freehold property

-

No amortisation has been provided

Fixtures and fittings

-

15% on reducing balance

The freehold property (including synagogue library and fixtures) is held for the use of the charity as a synagogue and educational centre and is shown at cost. No amortisation has been provided as the assets are kept in good repair and their useful lives and estimated residual values are not materially different from the carrying value of the assets.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

2.	INVESTMENT INCOME

31.3.20

31.3.19

£

£

Bank deposit interest

134

161

3.	NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31.3.20

31.3.19

£

£

Depreciation - owned assets

997

1,174

4.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2020 nor for the year ended 31 March 2019.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2020 nor for the year ended 31 March 2019.

5.	STAFF COSTS

The average monthly number of employees during the year was as follows:

31.3.20

31.3.19

Other employees

7

7

No employees received emoluments in excess of £60,000.

6.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

fund

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

126,721

Charitable activities

Grants

3,714

Investment income

161

Total

130,596

EXPENDITURE ON

Charitable activities

Synagogue expenses

137,550

NET INCOME/(EXPENDITURE)

(6,954

)

RECONCILIATION OF FUNDS

Total funds brought forward

524,420

TOTAL FUNDS CARRIED FORWARD

517,466

7.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

and

property

fittings

Totals

£

£

£

COST

At 1 April 2019 and 31 March 2020

439,775

7,822

447,597

DEPRECIATION

At 1 April 2019

-

1,174

1,174

Charge for year

-

997

997

At 31 March 2020

-

2,171

2,171

NET BOOK VALUE

At 31 March 2020

439,775

5,651

445,426

At 31 March 2019

439,775

6,648

446,423

8.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.20

31.3.19

£

£

PAYE and NIC

768

1,080

Accountancy

4,090

2,045

Net wages control

-

9,280

4,858

12,405

9.	MOVEMENT IN FUNDS

Net

movement

At

At 1.4.19

in funds

31.3.20

£

£

£

Unrestricted funds

General fund

517,466

(11,076

)

506,390

TOTAL FUNDS

517,466

(11,076

)

506,390

Net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

167,147

(178,223

)

(11,076

)

TOTAL FUNDS

167,147

(178,223

)

(11,076

)

Comparatives for movement in funds

Net

movement

At

At 1.4.18

in funds

31.3.19

£

£

£

Unrestricted funds

General fund

524,420

(6,954

)

517,466

TOTAL FUNDS

524,420

(6,954

)

517,466

Comparative net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

130,596

(137,550

)

(6,954

)

TOTAL FUNDS

130,596

(137,550

)

(6,954

)

A current year 12 months and prior year 12 months combined position is as follows:

Net

movement

At

At 1.4.18

in funds

31.3.20

£

£

£

Unrestricted funds

General fund

524,420

(18,030

)

506,390

TOTAL FUNDS

524,420

(18,030

)

506,390

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

297,743

(315,773

)

(18,030

)

TOTAL FUNDS

297,743

(315,773

)

(18,030

)

10.	RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 March 2020.