2023-07-31-accounts

CANDID ARTS TRusr CONSOLIDATED ACCOUNTS (A company limited by guarantee and not having a share capitsl) ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31STJuLY 2023 Company No: 03019628 Registered Charlty No: 1051672 *AD482CQ3' 3￿05r2024 COMPAMES HOUSE A10 1136 1

NDID REP RT OF THE TRusfEES The Trustee5 (who are also the Directors of the charitable company for the p￿ry￿ of the c￿lp3n￿5 Act) present their combined Directors. report arKI Trustees, annual rew)rt. a5 required by ctynpary law. tc4Jether with the financial ststements of Candid Arts Trust (the Charity) for the year ended 31 Juty 2023. The Trustees confimi that the annual port and financial ststsments of the Charty comply with the current statutory requirements, the requirements of the Charity's goveming document and the provisions of the Statement of Recommend Practice (SORP) "Accounting and Reporting by Chanties" applicable to charities preparing their accounts in accordance with the Financial Rep)rting Stsndard appI￿able in the UK Republic of Ireland (FRS 102) (effective l January 2019). The charity (number 1051672) is a company limited by guarantee (number 03019628) and has no share capital. The liability of each memtEr in the event of a winding up is limited to £1. Trustees and Directs Anthony Farquhar-smfth Christopher Bromall Aetcher Dr Rryer Prc(tor Secretsry Duncan Barlow Registered Office 65 Leadenhall Street London, EC3A 2AD Independent Examiners Knox CropFer LLP Chartered Accountsnts 65 Leadenhall Street London EC3A 2AD Bankers The Co-operative Bank Pk, P.0. Box 101, l Ballcon Stre¢ Manchester M60 4EP GOVERNANCE AND MANAGEMEpir Anthony Farquhar-smith - apFointed as trustee on 8th February 1995 Tony is a director of animatv)n film5 and commercial5. Christopher Bromhall Fletcher- appointed as trustee on Isi Juty 2004 Chris is an executive prcJU￿r and distributor of f￿tUal television film. Dr Roger Proctor- apFointed a5 trustee on l May 2008 Roger is a of oceanography and has thred around the wcwld on climate change and alternative Energy.

REP RT FTHETR OBJECTIVES The owives of the Charity as set out in the MeThyandum and Artides of AsS￿lation are the advancement of the Arts aThJ Arts Education; we aim to aCh￿e this by the folbwirfj: l. To establish a natronal centre for PrOM￿n of Arts Graduates. 2. To continue providing edUca￿nal faalities for the communty, the public and corporate sertors in the value of the arts. 3. To continue supporting artists and artistrc prc11￿t￿n. 4. To continue promoting and marketing the arts and individual arttsts to a Icol, regional. national and worldwhle audience 5. To promote a public Servi￿ that is accessible to all merni￿S of the c(Knmunty 6. To sustsin Candids, financial indertndeno. S￿claI Projects are funded by specifK apreals fuThlraisi ACTIVITIES AND DEVELOPMENTS DURING THE YEAR 22123 was yet another challenging time but for different reasons to the prev)us year. Starting off on a somber note with the passiThJ of our much loved tutor & technician Benjamin Andreas in Juty. A memorial exhibition of his extraordinary paintings filled the upper gallery for two weeks in August. August also sw a fvlly subscriw lrfe painting summer sdKd arthj Sumner Sahm exhibition. 2022 and the beginning of 2023 was packed with events. Au￿mn & winter Sah)ns, ￿etry nights, dan￿ dasses, film nights. Kingston UnNersity returned to do their MA shows for the Illustratw)n & GraphK Design courses. Arsenal FC held a fantastic eXhibit￿n of their new stsdium graphics in January and the very popular Cambridge MA illustration show returned in February. fe drawing classes were complemented ty scultkure ctasses run by tutor Gianna Dispenza. New Initiati￿ were introduced such as sketch the mu5iaans and Drum & Draw. Stud) ¢xcupancy ￿cked up again durirKJ the year and thiThJs loo￿￿ as though they were back on track until demolition work ￿an on the buildirwj opp)site the ￿ntre. From March 2023 Torrens Street became the entran￿ to a buikding slte %yith Th)ise levels in ex￿$$ of 90 db 6 hour5 a day resulting in rejjuced numbers in all activit￿5 as the year went on. Several exhibitions still took place but class numbers drOp￿d corFxJrate hire, an essential Sour￿ of funding

)re or less came to a ccrfnplete halt.

Hawng started very FKomisirrfJly and Iwking as though things were goiThJ to return to pre pandemic levels rinancial year 22123 ended with diff￿ulty leaviThJ Candid Arts Centre faar¥J what looked like an even 9￿ater challenge. REVIEW OF THE FINANCIAL STATEMENTS Candid Arts Trust continues to promote the arts aThJ arts educat￿ from its arts centres in IslirKJton Lon(hJ), ktting out Studios and hosting exhibitions. In the ojrrent year the net loss was £58.356 comparing to a £70,438 bss in 2022. This has ￿Ulted in defio't unrestricted funds In¢￿$1￿j to £117,617 parfy offset by restricted funds of £3,139. Going forward we a￿ optimisttc that On￿ the building V￿rk has bn completed an enhancej Torrens Street will provide MO￿ of a draw than in previous years and we will s an increased interest in studio spxe, classes as well as all other activities.

NDID Trusr REPORT FTHE RESERVES POLICY The trustees have reviewed its reserve poly in line wFth the CharitEs CThnmission Guideli￿$, the outcome being to aim to achieve reseNes equNalent to 5% of inc(xne. Because unrestrthd fvnds a￿ currently in deficit by £117,617, the charity's short temi aim is to return to surplus Unre5trIrt￿ funds and utilise our reserves to stren9then our position arKI encourage sustsined growth. Establishment and MaIrtenan￿ of pnjdent reserves and investment policves will enable the tharty to expand and move forward confidently. RISK MANAGEME￿[ The trustees review risk on an ongoing basis have tsken th)n to mttKJate risks. PUBUC BENEFIT sfATEMENT The Trustee's confimi that they have complied the duty in section 17 of Charities Act 2011 to have due re9ard to the Chanty Commission's guklance on public tenefit'charities and Public Benefit,. STATEMENT OF TRUSTEE5' RESPONSIBJLtriES The Trustees are resForsible for FKeparirvJ the annual repNt arKI the financial ststement in accordance with applicable law and United Kingdom Gen￿allY Accepted Accounting PrKtio. Company Law requires the Trustees to prepare financial 5tstements for each financial year wh￿h give a true and fair view of the stste of affairs of the charity and of the net income or exFYrKliture of the charity for the year. In prepanng these financial statements the Trustees are ￿qUIr￿ to: Sew suitable accounting ￿l￿e5 and then ap￿ them consistentty; Make judgments and estimates that are reasonab￿ a￿1 prudent: State whether applicable accounting standards have been follovtsj subject to any material departure5 disclosed and explain￿1 in the finanoal ststernents; Prepare the financkal statements on the going COr￿ern basis unless it is inapprowiate to pr￿ume that the company will continue in business. The Trustees are reswnsible for maintsining adequate accountirKJ records, wh￿h dI￿105e with reasonable accurary at any time the financial P￿Ition of the charitsble company and to enable them to ensure that the financial ststements comply with the Companies Act 2006. are also re¥￿nSible for safeguarding the assets of the charitsble company and hence for tsknng reasonab￿ 5tep5 for the prevention and detection of fraud and other irregularities. The Trustees, who are directors for the pUr￿Se of company law and tW5tees for the purF*)se of dwrity law, who served during the year and up to the date of this rep)rt are set out on p4e l. In accordance with company kw, as the companys directors, ￿rtify that: so far as we are aware, there is no relevant aLkdit infornathjn of which charitsble companVs auditors are unaware; and as directors of the company we have tsken all fr steps that we ought to have taken in order to make ourselve5 aware of any relevant audit infom)atN)n and to estsblth that the charitable company's auditors are awa￿ of that inf0m￿tiOn. The report of the directors has been prepar8J in accordan￿ with the specK41 provlwns relating to ccrfnpanies subject to the special provisions relating to the small c(Thpanies ￿lme viithin Part 15 of the Companies Art 20C6. This repY)rt was approved by the Twstees on 29.05.2024 aNI signed on their behalf by: -S141TH (TNst£É)

NDEPENDE EXAMINER'S REPO TO THE TRU ND THE YEAR LY2 I report to the charity trustees on my exarninatK￿ of the accounts of CaThlid AfG Tri￿ aThJ group for the year ended 31 Juty 2023. Responsibilities and basis of report As the trustees of the charitable company (and a&0 its dirertors for the purpow of company law) you are ￿sponsible for the preparation of the accounts in accordance with the r￿UireMents of the Companies Att 2006 Cthe 2006 Act,), You are satisfied that the ￿COUnts of the Company are not required by charty or company law to ￿ aL￿rted and have chosen instead to have an independent examinatts)n. Having satisfied myself that the accounts of ￿ Company a￿ rn)t required to be audited under Part 16 of the 2006 Art and are eligible for independent examination, I report in respett of rny examination of the Companvs accounts carried out under section 145 of the Charities Att 2011 Cthe 2011 Art?. In carrying out my examination I have followed the Direthons given by the Charity Commission under sectK)n 145(5Xb) of the 2011 Act. Independent examinerfs statement Since the Company's gr05s income exceeded £250,000 your eXaMi￿r must be a mern￿r of a body listed in section 145 of the 2011 Act. I can confim that I am qUalif￿d to urKJertake the examinatK)n i￿aUSe I arn a wIste￿d member of ICAEW whKh is one of the listed t(KJies. I have completed my eXamina￿n. I Confi￿ that no matters have ccwr to my attention In connettion with the examination giving me cause to believe that in any material resFect: accounting records were not kept as required by section 386 of the 2006 Att,. or the accounts do not accord with thjse records: or 3. the accounts not comply wth the accounting Wu1￿ments of section 396 of the 2LKJ6 Act other than any requirement that the accoLFnts give a 'true fair view which is not a matter considered as part of an indeFendent exaMInat￿n,. or 4. the accounts have not been prepared in accordance with the meth(￿5 and winciples of the Statement of RKommended PractKe for accountiThJ and retK)rting by tharitses aOicable to charitie5 preparing their accounts in accordantr with the Financial Rep)rtin9 StaThlard applicable in the UK and Republic of Ireland (FRS 102). I have no concerns and have come across no otrw matters in connectrfyn with examinats.on to whKh attention should te drawn in this report in order to enable a uNlerstanding of the ￿COUnts to ￿ reatt￿. Signed Date 29.05.2024 Richard Billinghurst FCA Knox Cropper LLP 65 Lenahll Strttt. London. EC3A 2AD

CANDID AR TrUST LIDATED ATEMENT F FINAN INCORPORATING THE INCOME AND EXPENDrnIRE ACCOUN FOR THE YEAR ENDED 315f JULY 2023 Funds Funds 2023 2022 INCOME FROM Donations and legacles 2,665 2,665 46,617 Charitable activities Studio and Gallery hire and exhibitions 445.624 445,624 295,841 Other trading activities Cafeteria arthj other trading iKome 77.597 77.597 124,176 Investment Total EXPENDftURE ON Raising funds Trading.. Cost of gocxls sold and other costs 45,667 45,667 123,000 Other 7,434 7,434 8,189 Charitable Activities Studio and Gallery hire arKi exhimions 531,141 531,141 405,883 Total Resourcu Expended 584 242 584 242 537 072 Incomel(Expenditure) for the year Transfers between funds (58,356) (58,356) (70,438) NET MOVEMENT IN FUNDS Total funds brought forward (59.261) 3,139 (56,122) 14,316 Total funds carried fornard 117 617 114 478 None of the Charity's activities were acquired ¢Y discontin￿ durin9 the above the financial years.

NDID AR Tru LIDATED BALANCE SHE 31sr JULY 20 2023 2022 Group Group Parent FIXED ASSETS Tangible Assets Investment in subsmliary undertaking 16.168 17,5 io io io io 16,168 17,590 CURRENT ASSETS Debtor5 Cash at bank in harKI io li 77 172 116 455 678 77 12,586 12,383 Creditors . Amounts falllng due within one year 12 131324 109 262 NEf CURRENT ASSETSI(UABILrriES) NET ASSErs (130,646) (109,185) (73,712) (18,899) (114,478) {109,175) (56,122) (18,889) FUNDS Restricted Unrestricted 16 17 3.139 117 617 (114,478) 3,139 112 314 (109,175) 3,139 3,139 (56,122) (18,889) The Company is exempt from the reqUireM￿ts rdabng to p￿par1￿j audited accounts in accordance with Section 477 of the Companie5 Act 2006. The mem1￿rS have not required the Company to obtain an a￿lt of its accounts for the year in question in accordance wth section 476 of the Companies Act 2006. The directo￿ acknowlethje their reSFonsibilities for comttyirrfj with the requirements of the Companies Art 2￿6 with respect to accounting records and the preparatts)n cl accounts. These accounts have been prepared in accordan￿ with the wowsions applicable to small ccmpanies subject to the small companies. regime and in ￿cOrdan￿ with FR5102 SORP. The financial statements were approved by ￿ Trust*s on 29.05.2024 aThl signed on th￿r ￿half by: QUHAR-SMrrH rtntsteÉ) Chaiity Number: 1051672 Company Number: 03019628

CANDID ARTS TRusr ATE HFL AT ISTJ LY 2023 2023 2022 Cash flows from operating activities: Net cash provided byl(used In) operating activities (11,959) (45,696) Cash flows from Investlng actlvitles: Purchase of FKoperty, plant and equiwient Proceeds from sale of assets Net cash wovided byl(used in) investing activibes {3,454) (3,454) Cash flows fmm finanong activities Cash inflows/{oufflows) from ly)mwing Net cash provbded by (used in) financing aLtlvStles (2,351) (2,351) Change in cash and cash equlvalents In the reporting period Cash and cash equlvalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting perlod {11,959) (51,501) 12,414 63.91S 455 12,414 Reconciliation of net inLThneI(eXp￿d1ture} to net cash flow from operating activities 2023 2022 Net IncW(eX￿nditUre) for the repxJtirvJ tEriod Depreciation tharges {Increa5e)Idecrease in debtors Increase/(decrease) in treditors Loss on sale of assets (58,356) 1,422 (51) 45,026 (70,438) 1,042 14,393 9,307 et cashpmvidedby/(usedin) operatinq artI￿"tieS (11,959) (45,696) Analysis of thanges in Net Debt At 1.8.22 Cash Flows At 31.7.23 Cash arKI cash equivalents Boun￿ Back Loan Director loan 12,414 (45,982) (11,959) 16,753 455 (29,229)

CANDI THE FINANCIAL STATEMENTS R THE YEAR ENDED 315f JULY 2023 ACCOUNTING POLICIES (a) Basis of Accounting The financial ststements have been prepared in accordance with the Charities SORP (FRS102), with the Companies Act 20LIS, and with applicable Accounting Stsndards. The charity is a public entity as defined by FRSIO2. Group Accounts The fina￿la1 stsiterr*nts consc1￿￿ate the results of the chartty and Its wholty owned subsidiary Candhj Arts TTrdirvJ Company Limited M a line by line basis. (b) Depreciation of Tangible Flxed Assets Proviston is made ft)r depwation on tangible fixed assets, at rates cakulated to write off the cost or valuation less estimated residual value of each asset over its exFected usefvl lrfe. Computers, Fixtures and Fitti￿$ Works of Art and st￿1￿ Assets Development Costs 20% straight line per annum IO% straight line per annum 20% straight line per annum (c) Funds Unrestrictsd funds a￿ those fvnds whith can be used at the Trustees, discretion. RestrKted funds comprise funds received for St￿￿C programmes and actM"ts"es, as lald down by the donor. Expenditure which meets these criteria 15 charged to the fund. (d) Expenditure Charitsble eXFerKlitU￿, fvrKlraising aThl pUbl￿1ty and governa￿e costs comprise direct exFendItU￿ attributstk to the charitsble obpctive or artNity. Where costs cannot be attnbuted, they have been apportroned to Charitab￿ obj￿tiveS or actNities accordiTrJ to the ts'me or resour￿ spent on each. (e) Income Income is credrted to the accounts in the year in whKh It is retyvable, grossed up for tax recoverab￿ where appropriate. (n Value Added Tax The charitable company is ￿lster￿a for VAT wrposes. All costs are accounted inclusive of VAT.

NDID AR TE THE NAN ATEME tinued R THE YEAR ENDED LY2 DONATIONS AND LEGAaES 2023 2022 Arts Council grant C￿nationS 31,311 INCOME FROM CHARITABLE ACTivmES 2023 2022 Stud￿ Rental Gallery Hire Exhibitions and Classes 229.256 72.939 143 429 229,256 72,939 143 429 215,372 2,212 295 841 COSTS OF GENEIIATING FUNDS 2023 2022 Promotional Costs Supwt Costs 115 CHARITABLE AcfIvmES studio and Gallery Hire and Exhibitions 2023 2022 Projects Exhibfcions and Classes On F￿litIeS Provided 45,310 206,497 212 432 7,434 24,531 52,744 231,028 247 369 531 141 38,674 189,142 178 067 405 883 COMPARATIVE 2022 2022 and ProFcts Exhibitions aasses On Facil￿'e5 Prov 8,074 26,645 38,674 189,142 178 067 405 883 162.497 333 215

NDID E FINAN in FORT ED 31sf JULY 6. SUPPORT cosrs Total 2023 Total 2022 Stsff Costs Office Costs GovernarKe Other 39,305 6,274 12.604 59,524 3,939 srAFF COSTS 2023 2022 Gros5 Salaries &xial Security costs Pen5￿ft costs 49,089 2,586 68,838 4,689 Key man¥Jement FV50nrel remuneration 20,943 40,322 The average number of employees durirwj the year was 4 (2022.. 6). No enph)yee eAmed £60,oc￿ pa or rn0￿. FIXED ASSETS W0￿S of Art & Studio Computers Develo Fixtures & ment Flttings Film Equlpment Total At 1st August Additions At 31# July 4,674 77.083 18,570 109,107 109 107 Depreciation: At 1st August Provided duriThJ the year At 315t July 4,674 59,493 18,570 91,517 Net Book Value at 31# July 2023 Net Book Value at 315t July 2022

CAND DAR FOR THE YEAR ENDED 315T JULY 2023 INVESTMEKf IN SUBSIDIARY UNDERTAKING PAREKf COMPANY 2023 2022 At Cost: 100% Ord. Share Capitsl of Candid Arts Trading Company Limited io io The tumover of Candid Arts TradirvJ Ccmpany Limited vos £77,597 (2022: £124,176) and the gain for year was £31.930 (2022: gain £1,176). Tr net liabilities at 31 July 2023 affKJunted to £5,293 (2022: £37,223). 10. DEBTORS 2023 Group 2023 2022 Group 2022 Parent Parent Arnount due from subsidory company Other Debtors aThJ Prepayments 77 In 116 223 77 In 116 11. CASH AT BANK AND IN HAND 2023 Gr(MJp 2023 Parent 2022 Gioup 2022 Parent Bank Balances 455 455 12,414 12,267 12. CREDrroRS: Amounts falling due within one year 2023 Group 2023 Parent 2022 Group 2022 Parent Amount due subs￿lary company Social security kcruals and Other Creditors Loans Bank overdraft 23,￿3 17,891 15,159 13,693 17,891 21,220 40,316 45,982 17,589 78,430 49,200 131.324 109.262 86,298 31,282 13. TRusfEES' REMUNERATION AND EXPENSES No remuneration, directly or indirectty, out of the fund5 of the Charity was paid or payable for the year to any Trustee or to any person or ￿rsOn5 krthvn to be connected with any of them other than that disd0￿￿ in Trjte 15.

NDID OTE nti R THE YEAR ENDED 315W LY2 23 14. TAXATION Candid Arts Trust is a registered charity armj is ￿terItIalty exempt from tsxation in respect of income and capital gains received within the categories cover8J by Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Ojargeable Gains Act 1992 to the extent that such income or gains a￿ applied to exclu9vdy charitsbk purFrf)ses. 15. RELATED PARTY TRANSAcfioNS The Trust ￿cUpie5 a building vthKh i5 leased from Candid Ltd. CandK1 Ltd is a separate C￿nMercIal company wh¢Jse princi￿71 shareholder, Duncan Barlow. is also chief executwe of the Trust. Rent paid to Carmlid Ltd for the year amounted to £377,600 (2022: £288.000). In tum £0 (2022.. £33,OOOJ was retharged to the subsidiary company Candid Arts Trading Company limited. During the year the ￿0, DurKan Bark)w, paMJ an interest free k)an to ￿ Trust of £49,2(￿ only to be repaid when sufficEnt funds are avaikble. 16. REsfRIcfED FUNDS Balance blf Expenditure Balance clf Income Golde￿ Green pffjj￿t Film Equipwt 1,684 1,684 COMPARATIVE 2021 Balance blf Expenditure Balance clf Golders Grtrn PrOj￿t Film Equipment 1,684 1,684 17. UNRESllUCtED FUNDS 2023 Gn)up 2023 Parent 2022 Group 2022 Pa￿nt GeneRI Reserye Non<haritable funds hekl in subsidiary (112.324) (5,293) (112,314) (22,028) (37.233) (22,028) 117617 112 314

NDI THE NAN ATEMEN tin 18. ALLOCAnON OF NEf ASSETS FOR THE GROUP The net assets are held for the various fuThls as follchys: _ Fixed Assets Investments Current Current Liabilities Totsl Restricted Funds Unrestricted Funds 3,139 3,139 117 617 114 478 131324 131324 678 COMPARATIVE 2022 Fixed Investments Liabilities Total RestrKted Funds Unrestricted FurK15 3,139 3,139 19. NET INCOMEI(EXPENDrnIRE) This is ststed after charging: 2023 2022 Depreckltion of tsngible fixed assets IndeFendent examinerfs fee 1,422 1,042 20. COMPANY UMTfED BY GUARANTEE The Candid ArtsTrust is a company limited by gua￿ntee and has no Sha￿ capital. Every member is liat￿e to contribute a sum of El in the event of it ￿Ing wouThJ up. 21. GOING CONCERN The Trustees consider that there are material un￿rtaIntS atoutthe charity's ability to continue as a going con￿rn for the fores&able futu￿. They are optimistic that On￿ building work opposite the centre has finished the￿ will be an inueased demand for the chartys seThices. In the meantime there has bn p)sitr¥e dialogLE wilh the developers reyardirrfj SUPFQrt and an agreement read￿d with the landkjrd for the dUra￿n of the disruption.

DID AR NAN L sfATEMErirs Conti DED LY2 22. CONSOLIDATED STATEMEKf OF FINANCIAL ACTIvrriES FOR ThE YEAR ENDED 31ST JULY 2022 Funds Funds 2022 INCOME FROM Donatlons and legaoes 46,617 46,617 Charitable activities Studio and Gallery hire a￿1 exhibitrons 295R41 295,841 Other trading actlvities Cafeteria and other tr&Jing 124,176 124,176 Investment Total EXPENDITURE ON Raising funds Trading: Cost of gO¢￿S sold and other costs I23,￿7 123,0(JJ Other 8,189 8,189 Charitable Activities Studio and Gallery hire and exhibitions 405.883 405,883 Total Resources Expended 537 072 Incornel(Expenditure) for the year Transfers between fund$ (70,438) (70,438) NEf MOVEMENT IN FUNDS Total funds brought fO￿ard 11,177 3,139 14,316 Total funds carried fornard