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2022-12-31-accounts

REGISTERED COMPANY NUMBER: 03136932 (England and Wales) REGISTERED CHARITY NUMBER: 1051551

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2022

FOR

THE PHOENIX ARTS ASSOCIATION LIMITED

Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA

THE PHOENIX ARTS ASSOCIATION LIMITED

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2022

Page
Report of the Trustees 1 to 7
Independent Examiner's Report 8
Statement of Financial Activities 9
Balance Sheet 10 to 11
Notes to the Financial Statements 12 to 23

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2022

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 31st December 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 Charity's objective and principal activities are:

  1. The promotion of the arts, and

  2. The advancement of public education in the appreciation, production and practice of the arts, and

  3. To relieve poor artists by providing workspace and studio facilities and by the provision of advice in artist development seminars.

In shaping our objectives for the year and planning our activities, the Trustees have considered the Charity Commission's guidance on public benefit, including the guidance on public benefit and fee charging.

Phoenix relies on the income from studio rentals and educational activities to cover operating costs and to contribute to the art exhibition programme and creative activities free to the public. However, in setting the rent levels and course charges the board gives careful consideration to the affordability of the services Phoenix provides. Studio rents are benchmarked against the market for similar organisations regionally and nationally.

The courses and course fees are monitored closely against similar offerings, mindful of making them accessible to members of the general public on limited means. Phoenix aims to achieve funding for special events and professional development projects and is often able to offer free places.

Page 1

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST DECEMBER 2022

OBJECTIVES AND ACTIVITIES

Significant activities

During 2022 Phoenix underwent significant staff changes, beginning in January with the appointment of an Interim Executive Director, Lucy Day and the appointment of a new Finance Manager, Sarah McConnell.

Phoenix continued to develop the partnership between CASS and the University of Brighton, with UoB graduates being awarded the prize of a studio for a year and an exhibition in the Window Gallery. Phoenix hosted the 'Platform Graduate Award' again for this region, supporting newly qualified artists who are embarking on their careers with a month-long exhibition in the newly refurbished Project Space. Another partnership in 2022 included working with Outside In, artists experiencing significant barriers in the art world due to health, disability, social circumstance or isolation. The exhibition and associated events engaged with many new audiences who had not previously felt able to visit the gallery.

Led by the new director, staff and Trustees have been working hard to implement the recommendations of the Governance Review. This will make the charity more robust for guiding the organisation forward, managing change and developing the next Business Plan.

Canvas café/bar continues to provide tasty snacks and refreshments throughout the week, the space is wheelchair accessible and is a great creative hub for our artists, workshop users, gallery visitors and general public. Frequently changing art exhibitions in the Window Gallery can be viewed whilst sipping coffee.

We continue to work with Hanover and Elm Grove Communities Forum on joint initiatives, improving our local environment and introducing new audiences to the arts. We work with the Phoenix Community Food Shop (formerly Phoenix Food Bank), to sort and deliver produce as well as providing art packs to families to have creative fun together. Our annual 'Community Takeover' exhibition provides an opportunity for the groups that we work with in the community to exhibit what has been created. During each of the Main Gallery exhibitions, we hold a free Family workshop, where visitors can engage with themes or materials in a hands-on creative way.

Phoenix is proactive in encouraging new audiences and creating a truly welcoming, safe and accessible environment. In order to keep our approach current, staff and invigilators have a programme of training which includes H&S, Fire warden, EDI and mental health awareness. A studio within the building is provided for an under represented artist. In 2022 this artist, Daniel Griffiths, made terrific use of this opportunity taking part in our Phoenix group exhibition in the Window Gallery, meeting the public during Open Studios and in 2023 having his own solo show. Daniel is a deaf artist. We are applying for funding to continue with this very worthwhile initiative.

The learning programme at Phoenix has turned its focus to young people, who we recognise as having experienced many challenges due to the impact of the Covid pandemic. We recognise that creative activity can provide a huge benefit to wellbeing. Over the half term and for one week in the summer holidays, artists 'Leap then Look' ran creative art sessions for young people, working together on projects, and learning to cooperate and experiment with new materials and techniques. Successful fundraising has enabled us to offer free spaces on some of these courses to children of families who have been identified through the food shop as experiencing economic or personal hardship. We also commissioned 'Leap Then Look' to design and deliver a programme of activities as part of our partnership with the Russell Martin Foundation, a charity that works with secondary school children who are struggling with mainstream education. Our street art project took place in the summer, funded by Sussex Community Foundation and engages young people from the Phoenix Estate and the Tarner Community Project. The Art Group is an excluded group of people who meet regularly at Phoenix for art workshops. They are referred to Phoenix by the Prisons and Probation service.

Page 2

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST DECEMBER 2022

ACHIEVEMENT AND PERFORMANCE Charitable activities

Affordable work space for the arts

The artist studios in the building, over 100 spaces, are always fully occupied and we have a sizeable waiting list of people keen to join the talented community of artists. We benchmark our offer against similar organisations in the region and nationally. To ensure we support a diverse group of artists we have created a studio for recent graduates in partnership with CASS Art and University of Brighton. We have a studio on our ground floor for artists with access needs - Rocket Artists work with people with a learning disability, people facing communication barriers or who are looking for autism friendly opportunities.

Hire Space

Phoenix provides a lively and welcoming space in a creative hub. A range of external organisations hire the rooms for meetings, workshops or rehearsals. Bookings for our newly refurbished Project Space continued to take place throughout 2022.

Exhibitions

Phoenix has a large main gallery, suitable for major exhibitions and events, the Window Gallery which showcases our studio artists, a Project Space on the ground floor and a small new experimental exhibition space, Gallery DODO, which is run by Phoenix studio members. On occasion there have been four different exhibitions opening in the building at one time, all free entry, providing the public with a fantastic cultural experience.

MAIN GALLERY

15 Jan - 20 Feb 'Undercurrents' Environmental artists Lou McCurdy and Steve Geliot focus on the plight of starlings, within the exhibition 100 bird nesting boxes were exhibited.

5 March - 27 March 'Roots' CASS Art exhibition. Work by the University of Brighton alumni who had been recipients of the CASS Art Studio award.

2 April - 24 April 'Under a Blue Sky: Alan Payler,' an exhibition with arts organisation Outside In, a national charity that aims to provide a platform for artists who face significant barriers to the art world due to health, disability, social circumstance or isolation.

30 April - 29 May Hope & Glary: Encountering Welcome. Exhibition of work by Alberta Whittle curated by Jenni Lewin Turner of Urbanflo Creative. Part of the Brighton Festival, this coincided with her solo presentation at the Scottish Pavilion for the Venice Biennale.

4 June - 26 June 'Bright Dynasty'. An exhibition of work and performances by Adam Moore. Adam describes himself as a British-St. Lucian transdisciplinary artist and most recently was a Trinity Laban Leverhulme Performing Arts Scholar.

2 July - 24 July 'Drawing after Performance' Ram Samocha. An exhibition and series of events by the multidisciplinary artist.

30 July - 27 Aug PRONOUNced by Urbanflo. The exhibition focussed on artists who identify as Trans, selected through an Open Call. It included works in a range of media, with a programme of short films in our annexe space.

3 Sept - 25 Sept 'Community Takeover' exhibition celebrated and showcased the community engagement projects that have taken place over the past year. 'Journeys' reflected on the past year's activities, the projects undertaken, people we met and experiences we shared.

6 Oct - 30 Oct 'Real Utopias' Brighton Photo Fringe. Tenth biennial Photo Fringe festival in partnership with Phoenix Art Space.

Page 3

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2022

12 Nov - 18 Dec 'Press + Play' Festival of Print exhibition. An annual celebration of the finest in contemporary and traditional printmaking, including screen printing, linocut, lithography, drypoint, monotype, risograph, letterpress and more.

WINDOW GALLERY (a programme of work by Phoenix Art Space Artists)

15 Jan - 20 Feb Perdita Sinclair 'Small Towns'

5 March - 27 March 'Christina Ure 'Fragile Blooms'

2 April - 24 April Michelle Cobbin ' I'd Be Enlightened Now If It Wasn't For You'

30 April - 29 May Phoenix Artists Group Show - artworks in this exhibition were selected by Brighton Festival's Guest Co-Directors: Marwa Al-Sabouni and Tristan Sharps. Featured artists are Daniel Griffiths, Joshua Uvieghara, Isabela Vasques and Luella Martin.

4 June - 26 June David Harkins 'Era'

2 July - 24 July Kiki Stickl 'Drift'

30 July - 28 Aug Jane Camplin and Geoff Hands 'Drawn to Painting'

3 Sept - 30 Oct Liberty Cheverall 'Heartbreak for the Loveless'

12 Nov - 5 Jan 2023 Patrick O'Donnell 'Glimpses'

GALLERY DODO

An artist-led exhibition space situated on the south stairway of the building, which offers an opportunity for artists to collaborate together in an experimental way. Visitors pre-book a free timed slot for their visit when exhibitions are on.

PROJECT SPACE EXHIBITIONS (previously the Green Room)

In January 2022 refurbishment of this room took place, recognising the demand for affordable, accessible and flexible gallery spaces in Brighton. Improved lighting and hanging areas converted it into a highly desirable exhibition space for hire. This has proved very popular with artists and communities alike and continues to book well.

Example of some of the hires:

27 - 30 May - Artists Jo Bates, showcasing a film over the weekend.

31 May - 6 June Ruminators Group exhibition

7 - 13 June Jane Spedding, 'Moving Needle' exhibition

15 Jun Used by The Creative Writing Programme for a workshop

16 June Pighog Poetry evening event

17 - 20 June Artist Bernard Mills exhibition

21 - 27 June Michael Gale 'Berlin, Paris, London Road' exhibition

28 June - 4 July Group show 'Mother' by recent graduates from University of Brighton

14 Jul + 21 Jul - Emily Barrat 'Speak Out' exhibition

22 Aug - 29' Aug - Nina Wakeford Phoenix Art Space weekend project event

2 -12 Sept -Exhibition produced by Hadia Saeh, presenting work created by children in the care syetem

13 - 26 Sept 'Feeling at Home', Photovoice Exhibition presented by Quiet Down There

8 - 14 Nov 'Jessica Miller Makes' exhibition

29 Nov- 5 Dec Justin Hunt exhibition

Page 4

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST DECEMBER 2022

Education

Phoenix has a vibrant and inclusive learning programme which offers many free art activities associated with the year-round programme of exhibitions. Our creative courses for adults are taught by professional artists, and continue to be well subscribed. Our link with the local community has flourished as we continue to provide art packs for the families in our neighbourhood and to engage with issues and social events. Through successful funding bids Phoenix has provided many free creative opportunities, including free places on our arts courses to members of our local community who face multiple disadvantages.

Events

Phoenix has adapted to changes in the needs of local artists and art lovers. We continue to offer a welcoming, safe and creative environment for small group meetings and online gatherings. There has been a great need for a smaller exhibition space for artists to hire to show their work, and we now provide the Project Space as an affordable short term hire. This has led to a variety of exhibitions taking place, from recent graduates and professional artists to community groups. In November and December 'Press & Play' Festival of print brought a new audience into the building to see and buy work from the exhibition and to take part in associated print events, such as the Tabletop Fair the weekend of 19 - 20 November. It was a fantastic way to bring together artist printmakers and people hunting for unique gifts. This event was free entry and took place at the same time as the Press & Play exhibition. We produce many free events which run alongside our Main Gallery exhibitions, plus creative free events organised by local organisations and partners, and open to the public.

We were delighted to hold our annual Open Studios event in 2022, after a break due to Covid. It was a true celebration of our community of artists and wonderful showcase for their work. We were part of Artist Open House Festival, in the Hanover Trail. Both members of the public and artists benefit from this annual event, encouraging an understanding of careers in the art sector for young people and giving an opportunity to buy work directly from the artist/maker. It is a high point on our calendar each year, and takes place in May during the Brighton Festival.

FINANCIAL REVIEW

Financial position

In 2022, after the difficulties of the COVID pandemic, the focus of the charity was to return to some normality and to provide stimulating opportunities for the public and creatives to flourish. In light of global financial challenges such as the increase in energy costs and competition for funding, Phoenix continues to look for opportunities to reduce costs, use resources more effectively and identify other sources of income generation to achieve a sustainable position into the future.

The trustees regularly revisit the 20-year planned maintenance schedule of works and ensure any large upcoming works can be paid for through designated funds.

Reserves policy

Phoenix recognises that it is financially prudent to accumulate and designate funds to cover any unexpected financial circumstance and to fund strategic projects.

The Trustees will therefore aim to hold reserve levels equivalent to three months average expenditure in order to help Phoenix continue to be a going concern. Any reserves accumulated above this target will be banked or designated to the planned maintenance of the building, or to strategic projects as they arise.

Page 5

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST DECEMBER 2022

FUTURE PLANS

Competition for funding has increased significantly along with increases in overheads, especially electricity and building materials. Phoenix is constantly looking at ways to reduce costs and to make our building more sustainable. A strategy has now been devised with a clear timeline for improving the eco footprint and sustainability of the organisation. In consultation with the membership, Phoenix is also reviewing further opportunities for revenue generation.

Phoenix is working hard to implement the advice suggested by the Governance Review of 2021. This aims to stabilise the charity, clarifying the structure and responsibilities of all parties. Regular reviewing of policies and procedures will help Phoenix with business planning for the future. These changes are important if lengthy, requiring proper consultation with all stakeholders.

The studios continue to enjoy 99% occupancy, with a waiting list of artists wishing to join when a vacancy appears. Phoenix attendees at educational programmes and at exhibitions and events continue to grow, as does the engagement with our website and social media. We will continue to apply to Public Funds, Trusts and Foundations for funding, so that we can build on the highly valued work we have been doing with the community and for our diverse audiences.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its Memorandum and Articles of Association and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Trustees, recruitment and appointment

Trustees are invited to apply and are interviewed by the board. Criteria for appointment are based on skills and experience that they can bring to the team, and an ability to represent the different sectors of the community. After an initial co-opted period, the prospective trustee will be presented to the affiliate members at the AGM and elected formally.

There are a minimum number of trustees required but no maximum. One third of the Trustees stand down at the Annual General Meeting but there is currently no maximum term of office and trustees who wish to continue to serve may be re-elected by the members at the AGM. Phoenix has two categories of member; full members (who apply to become full members and of whom there are currently approximately 17) and associate members (who are studio members).

All trustees are offered trustee training if required. The prospective trustee has an induction meeting and is mentored to ensure a smooth transition into the organisation.

Full trustee meetings take place quarterly, however sub committees and sub groups meet more regularly and special meetings occur when necessary. Trustees also attend meetings with associate members and social events.

The Studio Member Representation Forum has been disbanded and discussion is ongoing on how best to communicate and get feedback from the associate members of the charity. Studio members receive a weekly news letter via email, an 'open door' system is in place in the office for members. as are 1:1 meetings with the Executive Director.

The board may appoint new Trustees at any time during the year, but they must stand for election by the members at the AGM. The criteria for the appointment of new board members is based on the skills and experience the organisation needs at any given time and the extent to which the board represents different sectors of the community. Diversity on the board is addressed as an action following on from the Governance Review.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

03136932 (England and Wales)

Page 6

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST DECEMBER 2022

Registered Charity number

1051551

Registered office

10/14 Waterloo Place Brighton BN2 9NB

Trustees

Mr S Evans Ms K H Strachan Mr C A Lord (resigned 30/3/2022) Mr A G Murray Mrs J Walters Mrs H L Chester Ms E A Burgess (resigned 30/1/2023) Ms S E Prime Ms E Wilson (resigned 7/6/2022) Ms S E Bodger (resigned 30/1/2023)

Company Secretary

Mrs B K Greenhalgh

Independent Examiner

John Thacker FCA DChA Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA

Approved by order of the board of trustees on 6th June 2023 and signed on its behalf by:

Mr A G Murray - Trustee

Page 7

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE PHOENIX ARTS ASSOCIATION LIMITED

Independent examiner's report to the trustees of The Phoenix Arts Association Limited ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31st December 2022.

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

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 member of the Institute of Chartered Accountants in England and Wales, 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:

  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.

John Thacker FCA DChA The Institute of Chartered Accountants in England and Wales

Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA

18th July 2023

Page 8

THE PHOENIX ARTS ASSOCIATION LIMITED

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2022

Unrestricted
Designated
funds
funds
Notes
£
£
INCOME AND
ENDOWMENTS FROM
Donations and legacies
2
17,334
-
Charitable activities
5
Events, Exhibitions and Food &
Bar
16,255
-
Studios & Room Hire
282,633
-
Courses
83,187
-
Office and Finance
823
-
Other trading activities
3
20,001
-
Investment income
4
46
-
Other income
10,972
-
Total
431,251
-
EXPENDITURE ON
Charitable activities
6
Events, Exhibitions and Food &
Bar
57,293
-
Studios & Room Hire
31,282
-
Courses
70,537
-
Office and Finance
147,263
-
Building Maintenance
113,915
19,196
Total
420,290
19,196
NET
INCOME/(EXPENDITURE)
10,961
(19,196)
RECONCILIATION OF
FUNDS
Total funds brought forward
435,288
96,785
TOTAL FUNDS CARRIED
FORWARD
446,249
77,589
Restricted
funds
£
50,270
-
-
-
-
-
-
-
50,270
-
-
-
73,156
-
73,156
(22,886)
43,362
20,476
2022
Total
funds
£
67,604
16,255
282,633
83,187
823
20,001
46
10,972
481,521
57,293
31,282
70,537
220,419
133,111
512,642
(31,121)
575,435
544,314
2021
Total
funds
£
130,771
15,164
265,571
63,182
1,865
20,225
-
29,589
526,367
14,962
33,955
54,557
234,994
129,948
468,416
57,951
517,484
575,435

The notes form part of these financial statements

Page 9

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

BALANCE SHEET

31ST DECEMBER 2022

Notes
FIXED ASSETS
Tangible assets
12
CURRENT ASSETS
Debtors
13
Cash at bank and in hand
CREDITORS
Amounts falling due within one
year
14
NET CURRENT ASSETS
TOTAL ASSETS LESS
CURRENT LIABILITIES
CREDITORS
Amounts falling due after more
than one year
15
NET ASSETS
FUNDS
17
Unrestricted funds
Restricted funds
TOTAL FUNDS
Unrestricted
funds
£
394,370
36,587
127,699
164,286
(108,943)
55,343
449,713
(3,466)
446,247
Designated
funds
£
-
-
77,590
77,590
-
77,590
77,590
-
77,590
Restricted
funds
£
-
-
20,477
20,477
-
20,477
20,477
-
20,477
2022
Total
funds
£
394,370
36,587
225,766
262,353
(108,943)
153,410
547,780
(3,466)
544,314
523,837
20,477
544,314
2021
Total
funds
£
400,827
40,828
248,063
288,891
(83,015)
205,876
606,703
(31,268)
575,435
532,073
43,362
575,435

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

The members have not required the company to obtain an audit of its financial statements for the year ended 31st December 2022 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

The notes form part of these financial statements

continued...

Page 10

THE PHOENIX ARTS ASSOCIATION LIMITED (REGISTERED NUMBER: 03136932)

BALANCE SHEET - continued

31ST DECEMBER 2022

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 6th June 2023 and were signed on its behalf by:

Mr A G Murray - Trustee

The notes form part of these financial statements

Page 11

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2022

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 Trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

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.

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 - Straight line over 50 years Equipment - 25% on reducing balance

The charity does not capitalise items costing less than £1,000.

The trustees have made the decision to depreciate the estimated cost of the building, £250,000, over 50 years from 1st January 2021.

Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK Corporation Tax purposes. Accordingly the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. 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 a particular restricted purpose.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

continued...

Page 12

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

2.
DONATIONS AND LEGACIES
Donations
Grants
Grants received, included in the above, are as follows:
Chalk Trust
Arts Council - Accessibility
Arts Council - Community Takeover
Arts Council - COVID Fund
Arts Council - National Creative Workspace Network
Arts Council - Breaking the Cycle / Oxygen
Arts Council - Culture Recovery Fund
Arts Council - Press+Play
Art Club/Prisons & Probation
Festival Our Place
Postcode Lottery
Sussex Community Foundation
Inclusivity Development Project
Arts Council - Breaking the Cycle / Alberta Whittle
3.
OTHER TRADING ACTIVITIES
Car Parking
2022
£
300
67,304
67,604
2022
£
-
895
900
-
-
-
17,334
-
5,000
-
-
-
4,825
38,350
67,304
2022
£
20,001
2021
£
-
130,771
130,771
2021
£
3,000
-
-
3,500
2,000
18,350
40,446
17,000
15,000
6,475
20,000
5,000
-
-
130,771
2021
£
20,225

continued...

Page 13

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

4. INVESTMENT INCOME

INVESTMENT INCOME
2022
£
Deposit account interest
46
INCOME FROM CHARITABLE ACTIVITIES
Events,
Exhibitions
and Food
Studios &
& Bar
Room Hire
£
£
Studio Income
-
233,647
Workspace hire
12,978
48,986
Course fees
-
-
Events, exhibitions and food & bar
2,074
-
Office and finance
1,203
-
16,255
282,633
2022
Office
and
Total
Finance
activities
£
£
Studio Income
-
233,647
Workspace hire
-
61,964
Course fees
-
83,187
Events, exhibitions and food & bar
-
2,074
Office and finance
823
2,026
823
382,898
2021
£
-
Courses
£
-
-
83,187
-
-
83,187
2021
Total
activities
£
232,037
42,434
63,145
5,899
2,267
345,782

5. INCOME FROM CHARITABLE ACTIVITIES

continued...

Page 14

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

6. CHARITABLE ACTIVITIES COSTS

CHARITABLE ACTIVITIES COSTS
Events, Exhibitions and Food & Bar
Studios & Room Hire
Courses
Office and Finance
Building Maintenance
Direct
Costs
£
57,293
31,282
70,537
73,154
133,111
365,377
Support
costs (see
note 7)
£
-
-
-
147,265
-
147,265
Totals
£
57,293
31,282
70,537
220,419
133,111
512,642

Office and Finance Direct Costs relate to all restricted fund expenditure across the charitable activities. See note 17 for fund breakdown.

7. SUPPORT COSTS

Governance
Management
costs
£
£
Office and Finance
142,782
4,483
Support costs, included in the above, are as follows:
2022
Office
and
Finance
£
Wages
94,787
Social security
5,197
Pensions
1,930
Advertising
6,129
Direct Costs
44
Operating costs
34,695
Accountancy and legal fees
4,483
147,265
Totals
£
147,265
2021
Total
activities
£
74,193
3,770
2,039
5,506
1,590
36,829
2,344
126,271

Page 15

continued...

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

8. NET INCOME/(EXPENDITURE)

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

2022 2021
£ £
Depreciation - owned assets 6,457 6,942
Independent Examiner 2,800 2,298

9. TRUSTEES' REMUNERATION AND BENEFITS

During the year, the charity paid two of the artist trustees a total of £770 (2021: £601) for invigilation and course tutor fees.

Trustees' expenses

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

10. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs
2022
£
198,013
9,952
3,766
211,731
2021
£
201,211
11,195
3,993
216,399

The total remuneration paid to key management personnel during the year was £159,444.

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

2022 2021
11 12

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

Page 16

continued...

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

11.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
Designated
funds
funds
£
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
23,670
-
Charitable activities
Events, Exhibitions and Food & Bar
15,164
-
Studios & Room Hire
265,571
-
Courses
63,182
-
Office and Finance
1,865
-
Other trading activities
20,225
-
Other income
19,589
-
Total
409,266
-
EXPENDITURE ON
Charitable activities
Events, Exhibitions and Food & Bar
14,962
-
Studios & Room Hire
33,955
-
Courses
54,557
-
Office and Finance
126,271
-
Building Maintenance
103,191
26,757
Total
332,936
26,757
NET INCOME/(EXPENDITURE)
76,330
(26,757)
RECONCILIATION OF FUNDS
Total funds brought forward
358,958
123,543
TOTAL FUNDS CARRIED FORWARD
435,288
96,786
Restricted
funds
£
107,101
-
-
-
-
-
10,000
117,101
-
-
-
108,723
-
108,723
8,378
34,983
43,361
Total
funds
£
130,771
15,164
265,571
63,182
1,865
20,225
29,589
526,367
14,962
33,955
54,557
234,994
129,948
468,416
57,951
517,484
575,435

continued...

Page 17

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

12. TANGIBLE FIXED ASSETS

COST
At 1st January 2022
Disposals
At 31st December 2022
DEPRECIATION
At 1st January 2022
Charge for year
Eliminated on disposal
At 31st December 2022
NET BOOK VALUE
At 31st December 2022
At 31st December 2021
13.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Prepayments and accrued income
Freehold
property
£
400,000
-
400,000
5,000
5,000
-
10,000
390,000
395,000
Equipment
£
53,908
(10,000)
43,908
48,081
1,457
(10,000)
39,538
4,370
5,827
2022
£
12,512
24,075
36,587
Totals
£
453,908
(10,000)
443,908
53,081
6,457
(10,000)
49,538
394,370
400,827
2021
£
1,493
39,335
40,828

continued...

Page 18

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans and overdrafts (see note 16)
Trade creditors
Social security and other taxes
Other creditors
Refundable deposits held
Income in advance
Accrued expenses
15.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
Bank loans (see note 16)
16.
LOANS
An analysis of the maturity of loans is given below:
Amounts falling due within one year on demand:
Bank loans
Amounts falling due between two and five years:
Bank loans - 2-5 years
2022
£
26,898
22,460
7,069
2,968
28,696
12,355
8,497
108,943
2022
£
3,466
2022
£
26,898
3,466
2021
£
23,655
5,509
-
1,980
28,647
13,841
9,383
83,015
2021
£
31,268
2021
£
23,655
31,268

continued...

Page 19

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

17. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Designated Fund - Planned Maintenance
Restricted funds
BHCC G&G
Kingswood Millner project
ACE Accessibility
Arts Club/Prisons & Probations
Postcode Lottery
Sussex Community Foundation
Inclusivity Development Project
TOTAL FUNDS
Net movement in funds, included in the above are as follows:
Unrestricted funds
General fund
Designated Fund - Planned Maintenance
Restricted funds
ACE Accessibility
ACE Community Takeover
Arts Club/Prisons & Probations
Postcode Lottery
Sussex Community Foundation
Inclusivity Development Project
Arts Council - Breaking the Cycle / Alberta
Whittle
TOTAL FUNDS
At 1/1/22
£
435,288
96,785
532,073
2,483
4,714
5,976
12,980
12,905
4,304
-
43,362
575,435
Incoming
resources
£
431,251
-
431,251
895
1,200
5,000
-
-
4,825
38,350
50,270
481,521
Net
movement
At
in funds
31/12/22
£
£
10,959
446,247
(19,195)
77,590
(8,236)
523,837
-
2,483
-
4,714
90
6,066
(10,591)
2,389
(12,905)
-
(4,304)
-
4,825
4,825
(22,885)
20,477
(31,121)
544,314
Resources
Movement
expended
in funds
£
£
(420,292)
10,959
(19,195)
(19,195)
(439,487)
(8,236)
(805)
90
(1,200)
-
(15,591)
(10,591)
(12,905)
(12,905)
(4,304)
(4,304)
-
4,825
(38,350)
-
(73,155)
(22,885)
(512,642)
(31,121)

continued...

Page 20

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

17. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Designated Fund - Planned Maintenance
Designated Fund - Cafe
Restricted funds
BHCC G&G
Hyde - Up My Street
Kingswood Millner project
ACE Accessibility
ACE Rockets Work In Progress
New England Bridge
ACE - COVID Fund
ACE - National Creative Workspace
Network
National Art Collections Fund
Arts Club/Prisons & Probations
Postcode Lottery
Sussex Community Foundation
TOTAL FUNDS
At 1/1/21
£
357,758
123,543
1,200
482,501
2,483
969
4,714
5,976
4,084
594
(376)
15,189
1,350
-
-
-
34,983
517,484
Net
movement
in funds
£
76,330
(26,758)
-
49,572
-
(969)
-
-
(4,084)
(594)
376
(15,189)
(1,350)
12,980
12,905
4,304
8,379
57,951
Transfers
between
funds
£
1,200
-
(1,200)
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
At
31/12/21
£
435,288
96,785
-
532,073
2,483
-
4,714
5,976
-
-
-
-
-
12,980
12,905
4,304
43,362
575,435

continued...

Page 21

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

17. MOVEMENT IN FUNDS - continued

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

Unrestricted funds
General fund
Designated Fund - Planned Maintenance
Restricted funds
Chalk Cliff
Hyde - Up My Street
ACE Rockets Work In Progress
New England Bridge
ACE - COVID Fund
ACE - National Creative Workspace
Network
National Art Collections Fund
ACE - Breaking the Cycle / OXYGEN
ACE - Culture Recovery Fund
ACE - Press + Play
Arts Club/Prisons & Probations
Festival Our Place
Postcode Lottery
Social Supermarket
Sussex Community Foundation
TOTAL FUNDS
Incoming
resources
£
409,266
-
409,266
3,000
-
-
-
3,500
2,000
-
23,350
16,776
17,000
15,000
6,475
20,000
5,000
5,000
117,101
526,367
Resources
Movement
expended
in funds
£
£
(332,936)
76,330
(26,758)
(26,758)
(359,694)
49,572
(3,000)
-
(969)
(969)
(4,084)
(4,084)
(594)
(594)
(3,124)
376
(17,189)
(15,189)
(1,350)
(1,350)
(23,350)
-
(16,776)
-
(17,000)
-
(2,020)
12,980
(6,475)
-
(7,095)
12,905
(5,000)
-
(696)
4,304
(108,722)
8,379
(468,416)
57,951

Restricted funds are given to the charity for specific, time bound projects and cannot be spent on other activities. These projects greatly contribute to the social impact of our role and responsibility to our communities and wider of our work in the arts sector supporting artists. In all of these restricted funds, Phoenix artists gain paid freelance work to deliver projects thereby supporting them as self-employed workers as well as giving them wider experience of working within communities.

continued...

Page 22

THE PHOENIX ARTS ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST DECEMBER 2022

17. MOVEMENT IN FUNDS - continued

18. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31st December 2022.

Page 23