Covenant Of Mercy Ltd

	Page
Reference and Administrative Details	1
Trustees' Report	2
Independent Examiner's Report	3
Statement of Financial Activities (including Income and Expenditure Account)	4
Statement of Financial Position	5
Notes to the Financial Statements	6—10

The trustees present their report and the financial statements for the year ended 31 May 2025.

Objectives and Activities

Aims and Objectives

The advancement of the Christian faith according to the principles of the Christ Apostolic Church denomination.

Public Benefit

The trustees have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the charity's aims and objectives and in planning future activities.The charity aims to advance the Christian faith for the benefit of the general public through the holding of regular prayer meetings, worship services, lectures, and community events. The acquisition of the operational event land during the period directly furthers this purpose by providing a dedicated space to host spiritual retreats, religious celebrations, and community outreach programs. These activities are open to all members of the public regardless of their background, and the trustees are satisfied that the charity’s activities provide a clear, tangible, and unrestrictive public benefit in accordance with the Charities Act.

The trustees confirm that they have complied with the requirements of Section 17 of the Charities Act 2011 to have due regard to the Charity Commission’s guidance on public benefit.

Financial Review

Statement on Non-Charitable Pilgrimage Support

During the financial year, a group of congregation members independently undertook a religious pilgrimage managed and executed by an external, third-party travel agency. This pilgrimage does not constitute a core religious activity, a primary purpose, or a charitable program of Covenant of Mercy Ltd.As an administrative convenience to its members, the charity permitted its banking facilities to be utilized to collect booking fees totaling £438,000, which were subsequently remitted in full to the principal travel operator. The charity did not manage, control, or market this trip, carried no operational or financial liability, and derived zero profit or commission from the arrangement. In accordance with the Charities SORP (FRS 102), these administrative agency transactions are excluded from the charity’s statutory gross income and expenditure totals.

Small Company Rules

This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

The trustees' report was approved by the board of trustees and signed on its behalf by:

Mr Akeem Olalekan MOSHOOD

Trustee

22/05/2026

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Covenant Of Mercy Ltd

Independent Examiner's Report to the Trustees of Covenant Of Mercy Ltd

For The Year Ended 31 May 2025

Independent Examiner's Report to the Trustees of Covenant Of Mercy Ltd

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 May 2025.

Responsibilities and Basis of Report

As the charity 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

Since the Company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of The Institute of Financial Accountants, which is one of the listed bodies.

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:

accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
the accounts do not accord with those records; or
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
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.

Dr. Mehmood Jamshed DBA MSc AFA MIPA

31/03/2026

30 Churchill Place
Canary Wharf
London
E14 5RE

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Covenant Of Mercy Ltd

Statement of Financial Activities (including Income and Expenditure Account)

For The Year Ended 31 May 2025

Statement of Financial Activities (including Income and Expenditure Account)

				2025	2024
		Unrestricted funds	Restricted funds	Total funds	Unrestricted funds
	Notes	£	£	£	£
INCOME AND ENDOWMENTS FROM:
Donations and legacies		601,803	170,484	772,287	1,206,819

EXPENDITURE ON:
Charitable activities:	4
Religious Activities		(762,480 )	-	(762,480 )	(1,151,758 )

NET INCOME		(160,677 )	170,484	9,807	55,061


NET MOVEMENT IN FUNDS		(160,677 )	170,484	9,807	55,061
RECONCILIATION OF FUNDS:
Total funds brought forward		220,410	-	220,410	165,349

TOTAL FUNDS CARRIED FORWARD		59,733	170,484	230,217	220,410

The notes on pages 6 to 9 form part of these financial statements.

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Covenant Of Mercy Ltd

Statement of Financial Position

As At 31 May 2025

Statement of Financial Position

				2025	2024
		Unrestricted funds	Restricted funds	Total funds	Total funds
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	7	14,811	486,520	501,331	19,748

		14,811	486,520	501,331	19,748
CURRENT ASSETS
Cash at bank and in hand		54,722	-	54,722	204,662

		54,722	-	54,722	204,662
Creditors: Amounts Falling Due Within One Year	8	(9,800 )	(316,036 )	(325,836 )	(4,000 )

NET CURRENT ASSETS (LIABILITIES)		44,922	(316,036 )	(271,114 )	200,662

TOTAL ASSETS LESS CURRENT LIABILITIES		59,733	170,484	230,217	220,410

NET ASSETS		59,733	170,484	230,217	220,410

FUNDS OF THE CHARITY
Restricted Funds				170,484	-
Unrestricted Funds				59,733	220,410

TOTAL FUNDS				230,217	220,410

For the year ending 31 May 2025 the charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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

On behalf of the board

Mr Akeem Olalekan MOSHOOD

Trustee

22/05/2026

The notes on pages 6 to 9 form part of these financial statements.

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Covenant Of Mercy Ltd

Notes to the Financial Statements

For The Year Ended 31 May 2025

Notes to the Financial Statements

1. General Information

Covenant Of Mercy Ltd is a company limited by guarantee, incorporated in England & Wales, registered number 13419905 and registered charity number 1207670 . The registered office is C/O Mj Support & Co,, 30 Churchill Place, London, E14 5RE.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements 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 charitable company is a Public Benefit Entity as defined by FRS 102.

2.2. Going Concern Disclosure

The trustees have not identified any material uncertainties related to events or conditions that may cast significant doubt about the charitable company's ability to continue as a going concern.

2.3. Incoming Resources

Income Recognition (Incoming Resources)Income is recognized in the Statement of Financial Activities (SoFA) when the charity becomes legally entitled to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received, and the monetary amount can be measured reliably. Voluntary Income (Donations, Tithes, and Offerings): Offerings, tithes, and general donations are recognized in full in the SoFA when received at church services or directly via bank transfer .Corporate and Restricted Donations: Gifts from corporate entities (such as the donation from Peculiar Care Homes Limited) and funds raised for specific capital projects (such as the event land) are recognized when entitlement is established. They are allocated to the appropriate restricted or unrestricted fund columns. Income Grossing-Up: Income is recognized gross of any associated expenses. Where applicable, tax claims on Gift Aid donations are recognized at the same time as the underlying donation on an accruals basis.Agency Funds Excluded: Funds collected strictly as an agent for third-party pilgrimage operators are not recognized as incoming resources in the SoFA, as the charity exerts no control or ownership over these balances.

2.4. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Freehold	Straight line over 50 years
Computer Equipment	25% Reducing Balance Method

2.5. Cash and Cash Equivalents

Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.

2.6. Pilgrimage Agency Arrangements

The charity acts strictly as an administrative agent in relation to the collection and remittance of pilgrimage funds on behalf of congregation members. This pilgrimage is an independent arrangement and does not constitute a core religious or primary charitable activity of the company.The charity collects receipts from participants and passes 100% of the funds directly to an independent, third-party principal travel operator who retains full contractual and operational liability for the travel arrangements. The charity retains no financial risk, charges no commission, and derives no profit or income from this arrangement. In accordance with the Charities SORP (FRS 102) Module 19, these cash flows are excluded entirely from the Statement of Financial Activities (SoFA).

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Covenant Of Mercy Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 May 2025

3. Net Income/(Expenditure)

The net income is stated after charging/(crediting):

	2025	2024
	£	£
Depreciation of tangible fixed assets - owned	4,937	6,583

4. Analysis of Expenditure

			2025
	Activities undertaken directly	Support costs (see note 5 )	Total
	£	£	£
Religious Activities	666,946	95,534	762,480

			2024
	Activities undertaken directly	Support costs (see note 5 )	Total
	£	£	£
Religious Activities	981,515	170,243	1,151,758

5. Support Costs

	2025
	Religious Activities
	£
General administration	90,597
Depreciation	4,937

	95,534

	2024
	Religious Activities
	£
General administration	163,660
Depreciation	6,583

	170,243

6. Average Number of Employees

Average number of employees during the year was: NIL (2024: NIL)

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Covenant Of Mercy Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 May 2025

7. Tangible Assets

	Land & Property
	Freehold	Computer Equipment	Total
	£	£	£
Cost
As at 1 June 2024	-	29,928	29,928
Additions	486,520	-	486,520

As at 31 May 2025	486,520	29,928	516,448

Depreciation
As at 1 June 2024	-	10,180	10,180
Provided during the period	-	4,937	4,937

As at 31 May 2025	-	15,117	15,117

Net Book Value
As at 31 May 2025	486,520	14,811	501,331

As at 1 June 2024	-	19,748	19,748

8. Creditors: Amounts Falling Due Within One Year

	2025	2024
	£	£
Other creditors	316,036	-
Accruals and deferred income	9,800	4,000

	325,836	4,000

Included within Creditors due within one year, the loans for the amount of £316,036.00 GBP representing interest-free concessionary loans advanced in good faith by members of the congregation.These loans were advanced strictly to fund the acquisition of the charity's tangible operational asset (land). The loans are entirely unsecured, interest-free, have no formal repayment schedules, and are repayable at the sole discretion of the charity when sufficient cash flows permit.

9. Transactions with Trustees

None of the trustees received any remuneration or any other benefits from an employment with the charity or a related entity during the current or previous year.

No trustee expenses have been incurred.

10. Related Party Disclosures

During the financial year, the charity entered into transactions with Peculiar Care Homes Limited, a corporate entity in which charity trustee Mr. Akeem serves as a director and shareholder.

Concessionary Loan: Peculiar Care Homes Limited advanced an interest-free, unsecured concessionary loan of £110,000 to the charity strictly to fund the acquisition of operational event land. The loan has no fixed repayment date and is repayable at the sole discretion of the charity when cash flows permit. At 31 May 2025, the balance outstanding was £110,000.

Donation: Peculiar Care Homes Limited made an unconditional charitable gift (donation) of £20,100 to the charity during the period.

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Covenant Of Mercy Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 May 2025

11. Company limited by guarantee

The company is limited by guarantee and has no share capital.

Every member of the company undertakes to contribute to the assets of the company, in the event of a winding up, such an amount as may be required not exceeding £1.

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Covenant Of Mercy Ltd

Detailed Statement of Financial Activities (including Income and Expenditure Account)

For The Year Ended 31 May 2025

Detailed Statement of Financial Activities (including Income and Expenditure Account)

	2025	2024
	Total funds	Total funds
	£	£
INCOME AND ENDOWMENTS FROM:
Donations and legacies

Donations and gifts	772,287	1,206,819

	772,287	1,206,819


	772,287	1,206,819
EXPENDITURE ON:
Charitable Activities:
Religious Activities
Staging fundraising events	(501,465)	(704,036)
Other direct costs	(165,481)	(277,479)
Repairs, renewals and maintenance	-	(3,250)
Printing, postage and stationery	(79)	-
Telecommunications and data costs	(22,739)	(88,812)
Accountancy fees	(5,800)	(4,000)
Professional fees	(10,500)	(48,262)
Consultancy fees	(877)	(2,026)
Subscriptions	(200)	(214)
Bank charges	(17,702)	(17,096)
Charitable donations	(32,700)	-
Depreciation	(4,937)	(6,583)

	(762,480)	(1,151,758)

	(762,480)	(1,151,758)

NET INCOME	9,807	55,061

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Trustees	Mr Akeem Olalekan MOSHOOD
	Mr Adedayo Emmanuel OWOADE


Charity Number	1207670

Company Number	13419905

Registered Office	C/O Mj Support & Co,
	30 Churchill Place
	London
	E14 5RE

Independent Examiner	Dr. Mehmood Jamshed DBA MSc AFA MIPA
	30 Churchill Place Canary Wharf London E14 5RE