Friends of Sharmanka - Charities report - 22.2

REGISTERED COMPANY NUMBER: SC159830 (Scotland)

REGISTERED CHARITY NUMBER: SC023931

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

FOR

FRIENDS OF SHARMANKA

Page

Report of the Trustees

1

to

9

Independent Examiner's Report

10

Statement of Financial Activities

11

Balance Sheet

12

to

13

Notes to the Financial Statements

14

to

19

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 2022. 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 main purpose of the charity as set out in its constitution is to promote, maintain, improve and advance education, particularly by the encouragement of the Arts, including the art of Kinematic Sculpture.

Significant activities

In order to meet its objectives, the charity undertakes the following activities:

(a) Operating the Sharmanka Kinetic Theatre and Gallery in Glasgow

(b) Touring performances and exhibitions worldwide

(c) Other related projects

ACHIEVEMENT AND PERFORMANCE

Charitable activities

The core activity of Friends of Sharmanka is running Sharmanka Kinetic Theatre within

Trongate 103 Arts and Creativity Centre. This continued to be majorly affected by Covid-19

restrictions for the first few months, and influenced the operation throughout the remainder of

the year.

Friends of Sharmanka has successfully applied for funding from Creative Scotland to carry out a

project designed to improve Sharmanka’s creative flexibility, enabling it to function, sustain and

thrive within the rapidly changing environment. The objective of the project, which ran over the

span of 2021/22, was to recover and further grow Sharmanka’s audience and improve

engagement by developing new creative activity.

Alongside this Sharmanka aimed to develop our online presence and create a more robust

platform for both promotion, marketing and social engagement; all of which will support a more

creative, sustainable and flexible operating model.

The project, intertwined with public operation, was the focus of Sharmanka’s activity during

2021/22 year.

PUBLIC OPERATION

Open public operation was not possible April - July 2021, due to strict 2m social distancing

regulations and restriction on how many households could mix in one space. The reopening

was scheduled for July 2021, which promised to bring social distancing requirements in the

indoor venues down to 1m. As a substitute to public showing, in a bid to resume some activity,

during the months of April - June, Sharmanka launched an option of small, private group

bookings. Following social distance regulation in public venues reduced to 1m, Sharmanka

re-launched its regular programme of public performances on 22nd July 2021.

1. COVID-19 SAFETY MEASURES

Sharmanka reduced the physical contact with the audience by fully digitising the

booking process, tickets and programmes.

Box office has been fully transferred to the new platform – Ticket Source, virtually shifting all of

the tickets sales to a fully automated service online. E-tickets with QR codes are automatically

emailed to the customers, which are simply presented for scanning upon arrival. It’s been

decided that the digital download of the show programmes onto the phones would be an

impractical feature, due being too distracting for audience to use their phones during the show.

Instead, the programme text has been incorporated into the new website allowing to explore

additional info after the show. Printed programmes are still available at the venue, but audience

is now encouraged to only take as many as necessary.

Social distancing regulations were maintained, by reducing audience numbers, spaced cueing

guides, re-design of seating and box-office, one-way systems signs.

Sharmanka team has closely followed of the Scottish Government’s regulations and

recommendations with regard to covid-19 control measures in entertainment venues, and

implemented all of the safe practices necessary. This included reduced audience capacity to

allow for social distancing, temperature checks, requirement to use masks and sanitising gel

and Track and Trace check-in system. New safety procedures have been designed and tested

at the early stages of the year. All the safety and control measures proved to be highly with no

reports of covid spread in the Sharmanka’s venue.

Shows were re-designed to reduce audience movement and support a one-way system.

All existing shows sequence has been redesigned to simply and reduce movement of audience

through the space to allow easy maintenance of social distancing requirements. All of the new

safety measures allowed Sharmanka to relaunch its public operation on Thursday 22nd July

2021. The capacity was stepped up gradually in line with the social distancing

recommendations. Starting from 12, then 15, then 20 persons per show - which continued being

the maximum capacity for the rest of the project (reduced from original 30). This has continued

all the way through to the end of March 2022. A new shorter show called Journey (30 mins

duration) has been added to the repertoire from Wed - Sun to compensate for reduced capacity

in the main shows. Journey has proved very popular and has since become the regular feature

of the weekly time table.

New audio instructions incorporated into the show regarding new safety procedures.

Additional voiceover media has been recorded and implemented. The audience now has clear

introductions for each show and show guidance at the key moments to help navigate the space.

Planning further developments due to success of new audio intros, announcements and

instructions.

Re-design of lighting to ensure elevated levels of light when movement is required.

The lighting adjustments were introduced to compliment new show structure and additional

safety. Additional houselights were installed to further audience safety.

Additional staff training to ensure they are skilled in new systems and procedures.

Full re-training of staff has taken place, including running and maintenance of all of the covid

related control measures, as well as introduction to the new digital Box Office platform (Ticket

Source) and gift shop (Zettle).

2. ALTERNATIVE USE OF RESOURCES

Due to reduced venue capacity (inline with recommended covid control measures and

restrictions) the focus throughout the project had to remain on running additional shows as a

countermeasure to limited capacity and rebuilding the audience through proactive marketing

and social media campaign. It was decided that better use of resources would be to develop

Sharmanka’s online presence and digital interaction with our audience. A campaign of weekly

short video featurettes and animations is launched across Facebook, Instagram and YouTube.

Existing Vimeo & YouTube video channels are updated with new materials.

3. TECHNOLOGICAL ADVANCES

To improve Sharmanka’s creative flexibility we have updated operational equipment connected

to programming the kinetic shows, thus enhancing audience experience and creating an

operating model, easily adaptable to a changing environment. This has also unlocked exciting

opportunities for creative experimentation with the kinemats and diversification of Sharmanka’s

shows to enhance our engagement with wider and more diverse groups and individuals.

Installation and integration of the new show control system has significantly extend

Sharmanka’s creative potential, flexibility and adaptability. It has enabled changes to existing

shows (sequence, lighting and sound) and to create new shows.

The latest version of Q-Lab (digital show control system) has been installed on show

computers. Much of the programme is already known by Sharmanka’s technical and design

team, but the newest element (Q-Lab lighting) had to be learnt from scratch. Training is now

complete.

QLab has now been fully integrated into Sharmanka’s control system. For safety, the old

playback system has also been left in place as backup to allow a certain cross over period

between the two, to ensure stable operation with the new system. All of the new show operating

and control systems have undergone thorough assessment and trials, resulting in highly

effective, creatively flexible and technically reliable system. Q-Lab programme has successfully

taken on the running of all the elements of Sharmanka’s shows and now controls lighting, sound

and Kinetic artworks. Q-Lab also offers a future addition of video elements to the shows (this is

planned for future expansion).

4. MARKETING DEVELOPMENTS & ONLINE PRESENCE ADVANCEMENTS

Sharmanka’s main income remains ticket sales. Post-covid audience recovery and growth has

become one of the main objectives for Sharmanka in 2021/22. This was achieved by enhancing

audience engagement by developing our online presence through designing an effective and

lasting marketing platform and communication strategy.This objective has been planned and

executed with support from marketing specialists.

a. Developing social media presence was achieved through:

- Updating publicity materials in terms of aesthetics and accessibility. A set of new video

footages showcasing latest visual presentation of the artworks was shot. This has become a

starting point of Sharmanka’s new video library to be used for marketing purposes.

- Creating a more engaging content. By looking at the audience engagement statistics with

Sharmanka’s new online video material, especially the success of the Sharmanka Introduction

feature, a trailer for each of the existing shows has been created from additional new footage,

which was shot specifically for these trailers. Sharmanka has now substantially expanded its

media library, which is now full of photographs and videos of the artworks. This material is

proving to be in constant use for online audience interaction and the new marketing campaign.

A weekly video & animation content creation is now an ongoing, regular practice.

- Targeting specific audience demographics and locale. This was achieved through Facebook

advertising options. All of the new content was pushed out to audience with following

demographics / interests: Scotland, Musical theatre, Entertainment, Visual arts, Museum,

Glasgow, Fine art, Arts and music, Contemporary art gallery, Contemporary art, Woodworking,

Performing arts, Steampunk, Art museums, Tourism in Scotland, Visit Scotland, Puppetry,

Theatre, Wood carving, Modern art, Sculpture, Mechanics, Mechanical engineering, Wood or

Culture etc.. The content was then pushed out to audiences within a 75km radius form

Glasgow. This included most of the central belt including Glasgow, Edinburgh, Stirling & Perth.

- Using appropriate social media handles. Sharmanka has acquired "sharmanka.theatre" as its

main social media handle on the Facebook and Instagram platforms. FB posts often carry live

links to relevant pages / booking website / collaborators. Each IG post has a list of hashtags

relevant to Sharmanka’s activity, including associated themes, locations, and interest

demographics.

- Interlinking social media accounts and new website. FB & IG accounts are interlinked and

often share same posts, whilst the website has live links to all of Sharmanka’s main online

platforms - FB, IG, Vimeo, Youtube, TripAdvisor etc..

- All of Sharmanka’s key texts have been translated and updated with the latest content in

French, German, Italian, Spanish, Russian, Polish and Chinese. The newest addition to this is

Ukrainian translation to accommodate the influx of Ukrainian refugees in Glasgow. All of these

translations have now been incorporated into printed programmes with Sharmanka’s brief

history introduction as well as detailed guides to all of Sharmanka’s artworks.

b. A new, modern-looking, mobile-friendly website was launched with the following

features:

- Links to online travel guides & reviews.

- Active links to Sharmanka’s Facebook, Instagram, Vimeo and YouTube are all in place.

- Full details of access and facilities information.

- SSL Certificate (secure website) / Search Engine Optimisation plugins / Google analytics.

- Fully automated on-line Box Office via Ticket Source platform has revolutionised pre-show

interaction / experience for the audience and eliminated a significant amount of administrative

work previously carried out by Sharmanka’s team. The system is fully automated, with regards

to payments, capacity management and ticket issuing. E-tickets with QR codes are emailed to

the audience, which is then scanned upon arrival for maximum effectivity. Getting tickets at

the door is still possible, but this now represents no more than 5% of the total sales.

c. A new wave of digital content was launched to improve audience engagement online,

promotion to educational and community groups and marketing of exhibitions. This

included the following outputs:

- 6 x short video features (3-5mins). 1 x Introduction to Sharmanka’s world. 5 x main sections of

Sharmanka’s collection.

- Throughout the dates of this project 5 x show introduction trailers are shot, edited and

launched. In addition to that 50 x individual artwork "glimpse" trailers are released as well over

20 x "Box Office updates" animations.

- 1 x educational backstage tour to cover the use of sound & lighting equipment, and

Sharmanka’s unique electro - mechanical programme units for manipulating kinetic art.

- 2 x "Sharmanka Backstage" videos were released. One to showcase a major overhaul of

mechanical system in the Apple Eaters kinetic artwork, and the other to show the full public

installation procedure: unboxing, assembly, electrical hook-up, lighting and launch of the final

presentation.

- 6 x digital leaflets / posters for online use including travel websites.

- At this stage, Sharmanka’s marketing has undergone a significant development. With two

poster campaigns, newsletter launch (4 issues so far), social media output and audience

reach quadrupling, Sharmanka has gained a firm footing in digital and physical marketing

work. All platforms are regularly updated with new material and continue resulting in new

audiences and additional bookings. New material has been used across all of the social media

activities and travel websites.

5. EDUCATIONAL OUTREACH

Due to continuing travel & small venue restrictions for larger groups, schools remain out of

reach for Sharmanka as audience at this point. However, the new online box office now has a

new section dedicated to promotion of the shows to educational groups, as well as private

groups. The new group booking process includes various discount options for educational,

community groups, theatre & art courses and organisations working with people with varied

abilities. A number of such bookings is made during the winter and spring season. Typically,

these are followed by the Q&A sessions with Sharmanka’s team.

Sharmanka has built new links with a number of educational & outreach establishments, and

had a few special show group visits resulting from that. As the majority of Sharmanka’s

marketing operation has shifted onto the online platforms as part of this project’s delivery, these

are now used as the main and a more effective promotion material, a links to which are

referenced in all of communication with the education and community groups. The contact list

however requires to be further expanded, which is planned for the upcoming autumn season.

6. SOCIAL MEDIA REACH

Advertising on social media has resulted in a boost in local audience numbers and ticket sales

recovery following the post-pandemic closure. Since relaunching its public operation at the end

of July 2021, Sharmanka has quickly recovered its average monthly ticket sales to pre-covid

levels. In addition to that, a significant positive change is that the majority of the audience is now

local and Scottish nationals. Sharmanka is also capturing a much higher percentage of younger

audience. This is based on analytics downloaded from social media platforms and statistic

gathered from 1,800 online questionnaires, submitted via the Ticket Source platform. Some of

the key figures are noted below:

There was 66 ads posted on Facebook & Instagram, leading to 445 shares, 322K reach, and

7,141 link clicks (leading directly to Sharmanka’s Box Office on Ticket Source). 120 bookings

were confirmed as a direct result of social media marketing.

7. AUDIENCE ORIGIN and AGE GROUPS

Over the course of the year 53% of audience were from Scotland and Glasgow (compared to

34% in the past) and 33% from UK (compared to 16% in the past). Average audience age

brackets have also shifted towards the younger groups: 19% of 12-25yo (compared to 7% in

the past), 48% of 26-40yo (compared to 37% in the past).

8. PUBLIC BENEFIT

Sharmanka contributes a unique addition to Glasgow/Scotland's cultural programme, which

benefits local residents, visitors from Scotland and the UK, as well as international audiences.

The project has allowed Sharmanka to improve its engagement with a broader range of

audiences, increase local and national interest and reached a broader age group

demographics.

Creative Flexibility project has launched a new chapter in the organisation's history, and will

help to continue the company’s efforts in preservation of the legacy of Eduard Bersudsky’s

kinetic sculptures and their presentation to a wide spectrum of local, national and international

audiences.

9. CREATIVE SECTOR BENEFIT

The newly installed venue equipment and operational system of the artworks, lights and sound

will allow Sharmanka to continue and evolve its programme of collaborative events, supporting

the development of performing artists and musicians.

Creative Flexibility project’s outcomes (in administrative and creative operation improvements),

have helped Sharmanka to further prepare to its future ambition of developing as a cultural hub

with a dynamic programme of multi-artform live events spanning across music, dance, poetry,

film-screenings and talks.

10. 2022 RANKING

Sharmanka continues to retain its high ranking over various platforms:

Tripadvisor: #8of 427 things to do in Glasgow.

Facebook: 4.9 stars

Google: 4.7 stars

Atlas Obsucra: #2 of 60 things to do in Glasgow

Timeout: One of the 27 best things to do in Glasgow right now.

11. MAINTENANCE WORK

To ensure smooth-running of the gallery throughout its operation, regular technical maintenance

and improvement work is being carried out on the artworks, theatrical technology and

administrative equipment.

PARTNERSHIPS / COLLABORATIONS / PROJECTS / EVENTS

1. Sharmanka was invited by Puppet Animation Scotland to participate in its annual festival

"Manipulate" due to take place spring 2021 in Edinburgh, Aberdeen and Glasgow. The

project was developed in collaboration with Heather Parry (writer), and Kirsty Logan (vocal

performer - www.kirstylogan.com). Restless Worlds, installation by Manipulate Festival

2021, was launched at the Lyceum Theatre foyer on 21st April 2021. In May the whole

installation was relocated to a venue in Aberdeen and then to its final destination in

Glasgow.

2. Sharmanka has engaged with Maeve Gilchrist (www.maevegilchristmusic.com), a US based

harper who has been commissioned to write a new piece for Edinburgh International Harp

Festival (www.harpfestival.co.uk) inspired by Sharmanka’s work. Originally this was

scheduled to be part of the EIHF in Spring 2021 but due to ongoing Covid restrictions was

rescheduled and project was re-launched in spring 2022. After numerous visits to

Sharmanka with her creative team (including a video artist) a Sharmanka Suite (Death and

the Polar Bear) was finished and performed as part of EIHF 2022 on 11th April. The suite,

featured live performance from Maeve Gilchrist (harp), Su-a Lee (cello), Aidan O’Rourke

(violin), Ruth Nelson (viola), Fergus McCreadie (harmonium) and pre-recorded sounds

and visuals from Sharmanka designed by Sam Hurt (video artist).

3. Sharmanka has commissioned its associate graphic artist Maggy Lenert Stead to create a

set of drawings of mechanical wheels, cogs and other moving parts. This has resulted in a

new library of mechanical elements images, which have been utilised in the new posters,

t-shirt designs and animations created by Sharmanka as part of its marketing output.

4. In December 2021, Sharmanka has re-launched its monthly live music and multicultural

poetry events programmed by John Cavanagh (www.johncavanagh.co.uk) and Marzanna

Antoniak. The events included:

- The Theatre Of Home by Raymond MacDonald (www.raymondmacdonald.co.uk) and

Maria Sappho (www.mariasappho.com)

- Music by Thomas Dalzell

- Poetry evening Verse Universe | Part of BHASHA Glasgow Language Festival,

FINANCIAL REVIEW

Financial position

The Trustees are satisfied with the results for the year, which show a surplus of £2,077 despite still being impacted by the COVID pandemic. The level of reserves being carried forward is in line with the aims of the Trustees set out in the Reserves Policy below.

Principal funding sources

1. Glasgow City Council discontinued support

Following discontinuation of the Integrated Grant Funding (which FOS has been a recipient of

for over a decade), Sharmanka has applied to Glasgow City Council for an alternate funding

source - Glasgow Community Fund in 2021. Our application was not successful alongside with

many other Glasgow based cultural organisations. This continues to put FOS in position annual

loss of approximately £11.5K in comparison to the recent decade of its operation in Glasgow.

2. Creative Scotland - Open Fund

Sharmanka has successfully applied to the Creative Scotland’s Open Fund for a Creative

Flexibility and Sustainability project. The project was designed to improve Sharmanka’s

digital functionality, online presence, upgrade operating equipment and widen the variety of its

public programme. The application was successful and a year-long project was launched in April

2021.

This fund was restricted for use only for the Creative Flexibility and Sustainability project which

was executed in addition to Sharmanka’s normal work, thus did not contribute towards the costs

of the company’s core operation. The project however has contributed towards a more effective

administrative, operational and marketing output which is hoped to improve some of the

company’s financial efficiency in a very challenging times.

Reserves policy

The trustees have examined the charity's requirements for reserves in light of the main risks to the organisation. In doing so they considered the reason why the company needs restricted and unrestricted funds, the level of these reserves required and the steps to be taken in order to establish and maintain reserves at the required level.

At present, the balance held as unrestricted funds as at 31 March 2022 was £73,401 (2021-£71,324). Restricted funds of £931 are being carried forward to be spent next year. As it has been doing for a number of years now, Sharmanka continues to provide for the worst case scenario of having to decant from Trongate 103 premises, by

ring-fencing a minimum reserve of approximately £20K, to increase chances of the company’s survival upon a potential exit from the current venue. This reserve would fund the logistics & temporary storage and support the necessary work into research of the alternatives for Sharmanka’s future operation.

FUTURE PLANS

2022 / 23 Prospects

Sharmanka has got a very challenging year ahead:

- Discontinuation of the IGF fund from GCC continues to bring £11.5K of annual loss. This

is a major city-wide problem which has affected many cultural organisations, including nearby

Tron and Citizens theatres and two other organisations at Trongate 103.

- A threat of dramatic increase of service charges and rent at Trongate 103 continues to

loom over the company’s operating platform. If implemented this is likely to force all of

Trongate 103 Tenant Organisations, including Sharmanka out of the building within 18

months.

- Financial projections for next year cannot be relied on as there is an unprecedented

environment ahead. Post-Covid recovery is ongoing, in addition to an unclear prognosis

with regard to threat of rise in the rent & service charges.

- UK wide energy crisis is likely to affect Sharmanka’s operation. Scottish Power

(Sharmanka’s energy supplier) has been in touch to say that it will no longer be able to offer

variable rate prices at a reduced level (as it has been in the past) and in November 2021

will move the company into the maximum level tariff with no alternative option except for

looking for a better deal with another supplier. This is the likely route Sharmanka will need

to take.

- Reserves: - as it has been doing for a number of years now, Sharmanka continues to

provide for the worst case scenario of having to decant from Trongate 103 premises, by

ring-fencing a minimum reserve of approximately £20K, to increase chances of the

company’s survival upon a potential exit from the current venue. This reserve would fund

the logistics & temporary storage and support the necessary work into research of the

alternatives for Sharmanka’s future operation

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

Members wishing to become trustees must be recommended by the board or proposed by a fellow member of the charity, in advance of the general meeting. The member then stands for election at a general meeting.

Organisational structure

The board of trustees meet quarterly (or more often if required) and has responsibility for all strategic decisions of the charity.

Induction and training of new trustees

All new Board members are inducted by the trustees of the charity. The chairperson of the board of trustees meets with new trustees to outline the code of governance.

Following the gradual retirement of Tatyana Jakovskaya and Eduard Bersudsky from their active roles in running the company, will both be proposed to change their positions to the honorary roles of the Founding Directors. They will remain on the Board of Trustees.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

SC159830 (Scotland)

Registered Charity number

SC023931

Registered office

Trongate 103

Glasgow

G1 5HD

Trustees

E Bersudsky

Mrs T Jakovskaya

Mrs M Stead Lenert

J E Cavanagh

M Botting

Mrs N R Fletcher

P J Searle

A A Retik

Dr T J Fletcher

Company Secretary

Mrs T Jakovskaya

Independent Examiner

Martin Greig BA CA

Thomas Barrie & Co LLP

Atlantic House

1a Cadogan Street

Glasgow

G2 6QE

Approved by order of the board of trustees on 19 December 2022 and signed on its behalf by:

Mrs T Jakovskaya - Trustee

I report on the accounts for the year ended 31 March 2022 set out on pages eleven to nineteen.

Respective responsibilities of trustees and examiner

The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under Section 44(1)(c) of the Act and to state whether particular matters have come to my attention.

Basis of the independent examiner's report

My examination was carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the accounts.

Independent examiner's statement

In connection with my examination, no matter has come to my attention :

(1)	which gives me reasonable cause to believe that, in any material respect, the requirements

-	to keep accounting records in accordance with Section 44(1)(a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and

-	to prepare accounts which accord with the accounting records and to comply with Regulation 8 of the 2006 Accounts Regulations

have not been met; or

(2)	to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Martin Greig BA CA

Thomas Barrie & Co LLP

Atlantic House

1a Cadogan Street

Glasgow

G2 6QE

19 December 2022

2022

2021

Unrestricted

Restricted

Total

Total

fund

funds

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

22,102

14,625

36,727

44,250

Charitable activities

Theatre & exhibitions

41,267

-

41,267

3,818

Other trading activities

2

3,274

-

3,274

37

Total

66,643

14,625

81,268

48,105

EXPENDITURE ON

Charitable activities

Theatre & exhibitions

70,164

9,027

79,191

32,760

NET INCOME/(EXPENDITURE)

(3,521

)

5,598

2,077

15,345

Transfers between funds

9

4,667

(4,667

)

-

-

Net movement in funds

1,146

931

2,077

15,345

RECONCILIATION OF FUNDS

Total funds brought forward

71,324

-

71,324

55,979

TOTAL FUNDS CARRIED FORWARD

72,470

931

73,401

71,324

2022

2021

Unrestricted

Restricted

Total

Total

fund

funds

funds

funds

Notes

£

£

£

£

FIXED ASSETS

Tangible assets

6

31,129

-

31,129

33,783

CURRENT ASSETS

Debtors

7

5,006

-

5,006

5,839

Cash at bank and in hand

59,120

931

60,051

70,070

64,126

931

65,057

75,909

CREDITORS

Amounts falling due within one year

8

(22,785

)

-

(22,785

)

(38,368

)

NET CURRENT ASSETS

41,341

931

42,272

37,541

TOTAL ASSETS LESS CURRENT LIABILITIES

72,470

931

73,401

71,324

NET ASSETS

72,470

931

73,401

71,324

FUNDS

9

Unrestricted funds

72,470

71,324

Restricted funds

931

-

TOTAL FUNDS

73,401

71,324

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2022 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 19 December 2022 and were signed on its behalf by:

T Jakovskaya - 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.

The presentational and functional currency of the financial statements is Pounds Sterling (£).

Going concern

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.

Financial reporting standard 102 - reduced disclosure exemptions

The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

•

the requirements of Section 7 Statement of Cash Flows.

Critical accounting judgements and key sources of estimation uncertainty

In preparing these financial statements, the Trustees are required to make judgements, estimates and assumptions that affect the application of the Charity's accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to estimates are recognised prospectively.

The following judgements and estimates have had the most significant effects on amounts recognised in the financial statements:

Fixed Assets

The estimates and assumptions made to determine asset lives require judgements to be made as regards useful lives and residual values. The useful lives and residual values of the charity's financial assets are determined by the Trustees at the time the asset is acquired and reviewed annually for appropriateness. The lives are based on experience with similar assets. The depreciation rates applied are outlined later in these notes.

Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received, and the amount can be measured reliably.

Donations

Donations are recognised on receipt. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until those conditions are fully met.

Grants

Grants are recognised when the charity has been notified in writing of both the amount and settlement date. Grants are deferred if terms or conditions must be met before the charity has entitlement to the resources.

Ticket Sales & Merchandise

Revenue is recognised when the significant risks and rewards of ownership have been transferred to the customer, recovery of the consideration is probable, the associated costs and possible return of goods can be estimated reliably, there is no continuing management involvement with the goods, and the amount of revenue can be measured reliably.

Maintenance Services

Income from services is recognised on completion of the work.

Exhibition Fees & Commissions

Income is recognised in line with the terms of the contracts agreed with each museum and gallery.

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.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property

-

in accordance with the property

Plant and machinery

-

20% on cost

Fixtures and fittings

-

15% on cost

Computer equipment

-

33% on cost

The carrying values of tangible fixed assets are reviewed annually for impairment if events or changes in circumstances indicate the carrying values may not be recoverable.

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.

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.

Financial instruments

The charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments.

Debtors

Short term debtors are measured at transaction price, less any impairment.

Cash and cash equivalents

Cash and cash equivalents comprises cash balances.

Creditors

Short term trade creditors are measured at the transaction price.

Provisions

Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognised as finance cost.

2.	OTHER TRADING ACTIVITIES

2022

2021

£

£

Merchandise sales

3,274

37

3.	NET INCOME/(EXPENDITURE)

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

2022

2021

£

£

Depreciation - owned assets

8,260

7,228

4.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2022 nor for the year ended 31 March 2021.

5.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Restricted

Total

fund

funds

funds

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

44,250

-

44,250

Charitable activities

Theatre & exhibitions

3,818

-

3,818

Other trading activities

37

-

37

Total

48,105

-

48,105

EXPENDITURE ON

Charitable activities

Theatre & exhibitions

32,760

-

32,760

NET INCOME

15,345

-

15,345

RECONCILIATION OF FUNDS

Total funds brought forward

55,979

-

55,979

TOTAL FUNDS CARRIED FORWARD

71,324

-

71,324

6.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

to

Plant and

and

Computer

property

machinery

fittings

equipment

Totals

£

£

£

£

£

COST

At 1 April 2021

38,841

22,527

20,229

17,389

98,986

Additions

-

-

-

5,606

5,606

At 31 March 2022

38,841

22,527

20,229

22,995

104,592

DEPRECIATION

At 1 April 2021

14,937

22,145

12,553

15,568

65,203

Charge for year

3,884

118

1,547

2,711

8,260

At 31 March 2022

18,821

22,263

14,100

18,279

73,463

NET BOOK VALUE

At 31 March 2022

20,020

264

6,129

4,716

31,129

At 31 March 2021

23,904

382

7,676

1,821

33,783

7.	DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade debtors

2,500

3,333

Prepayments

2,506

2,506

5,006

5,839

8.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Other creditors

21,656

21,656

Accrued expenses

1,129

2,087

Deferred grants

-

14,625

22,785

38,368

9.	MOVEMENT IN FUNDS

Net

Transfers

movement

between

At

At 1.4.21

in funds

funds

31.3.22

£

£

£

£

Unrestricted funds

General Fund

71,324

(3,521

)

4,667

72,470

Restricted funds

Creative Flexibility

-

5,598

(4,667

)

931

TOTAL FUNDS

71,324

2,077

-

73,401