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2021-03-31-accounts

REGISTERED COMPANY NUMBER: 03177640 (Engiand and Wates)

REGISTERED CHARITY NUMBER: 1064783

Report of the Trustees and

Financial Statements

for the Year Ended 31 March 2021 for

STUDIO 3 ARTS

Haines Watts Essex LLP Coopers House 65a WIngletye Lane Homehurch Essex M11 3AT

STUDIO 3 ARTS

Contents of the Financial Statements for the year ended 31 March 2024

Page
Report oftheTrustees 1 to 6
Report ofthe independent Auditors 68 to 8
Statement of Financial Activitlas 9
Balance Sheet 10
Cash Flow Statement 41
Notéa to the Cash Flow Statemant 12
Notes to the Financial Statemonts 13 to 20
DetailedStatementofFinancialActivities 21

STUDIO 3 ARTS Report of the Trustees for the year ended 31 March 2021

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financlal statements of the charity for the year ended 31 March 2021. The trustaag have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charitles preparing thelr accounts in accordance with the Financlal Reporting Standard applicable In the Ui and Republic of Ireland (FRS 102) (effective 1 January 2049). Weathering the Storm: Studio 3 Arts as a beacon for thousands In a Pandamic As | reflect on what was suroly the most difficult year an record for the arts, communities and the global soclety as a whole, | am proud and humbled by the jengths to which our staff and volunteers went to ensure that Barking and Dagenham was still a connected and creative place, through lockdowns, disiancing and beyond.

Woe transformed our uaual (in-person offer Into an oniine/postal offer called 'S3A at Home’ and explored new ways to keep people connected and positive during the most turbulent of tines.

Here's some highlights:

~ We created and delivered rnore than 5000 art packs to local families and a fuither 6000 to food banks and community groups. Artist Del Taylor curated (he packs and made videos and Instruction manuals for early years, familles, young people and older people. ~ Our older peopte's project, Gulld of Experiance went digital, with an online seria of masterclasses, perlarinances, and even the establishment of a dance company, in partnership with Green Candle Dance. - Blg Deal Young Actors Company really flourlshed In lockdown under the taadarship of award-winning actor Valentine Olukoga with a foous on monologue writing, showreet development and performance, with masterclasses from actors, directors, casting agents and critics. ~ We commissioned poet Dauda Ladejobi to create a collaborative community poem with local poets, which can be seen here: hitps://www. youtubs.comAvatoh ?v=Stn344j6JCl » Our brand new LGBTQIA community project ted by local artists Grace Duggan and Matty May, Be&Do created an online social space for LGBTQIA people to get together, with a book club, watch partles and two Incredible online Queer Cabaret nights - Windows In, our visual arts programme blazed a tral! for socially distanced art by creating a seriss of stunningly diverse installations in the windows of our currently-closed venue In Vicarage Fleld Shopping Centre - !n partnership with Eastbury Manor House we presented a acolally-distanced and completely magical family Christmas show, The Princess and The Pea, adapted from the original by writer Ashiey J. - Creative Barking and Degenham took the eplrit of their acclaimed light festival ‘SLOW’ on tour with besutiful Installations across the borough, including a laser-powered ralnbow that could be seen for mlles and miles. Outside of the creative programme, planning was formally approved for ‘Changing the Boundary’, our capital project to refurbish and extend our home on Boundary Road in Barking - we can't walt to get started on bullding a new hore for creativity In our borough. This has been a testing year for everyone and we are by no means out of the woods yet. The tenacity, commitment and hard work of the S3A team has been tested In Innumerable ways this year. Unsurprisingly they've risen to the challenge in thelr trademark way, with good humour, Insight and palpable fove and care for people In Barking and Dagenham and beyond. This year we are particularly grateful to the funders who supported our work via emergency Covid funding. You have helped ensure our ongoing sustainability and enabled us to reach more than 50,000 people when they needed It tha most. As ever, the strength and Impact of our work Is In the commitment and passion of our Artists, Partners, Funders, Volunteers, Cultural Connectors, Trustaes, Staff, Participants and Audiences. We are hugely Inspired by their support ind dedication. Finally fast but by no means least a special thank you to our Artistic Director/CEO Liza Vallance who has continued to Inspire, support and nurture creative talent in the most difficult of timas. On behalf of the whole hoard - thank you,

Page 1

STUDIO 3 ARTS

Report of the Trustess for the year ended 31 March 2021

Strategic report

Reserves Policy

The Trusteas have developacl this reserves policy basad on the following assumptions:

The Trustees have assesaed and allocated reserves on the basia of principal risks identified through the Company Risk Assessment, and upon reviev of the previous polloy anc! funds avallable.

Funds have been Designata:! to cover the fallawing llabilities, In the unilkely event of organisational tiquidation:

~ 3 monthe staff salarios ~ 3 months organisational overheads

» Redundancy obligations to long-serving staff

Thege llabilitles have been assessed on the basis of the revised staff headcount as £70,000.

‘The trustees have also decided to designate the net book value of the leasehold property in order to present a clearer ploture of thelr liquid assets hetd In the General Fund

Annual Finance Report 2020-21

Budgeted

income: £2,265k + £316k (CUD) = £2,570k Expenditure: £2,498k + £168k (CBD) = £2,606k

Doflolt: £36k

Actual

Income: £834k + £308k (CHD) = £1,142k Expenditure: £634k + £214k (CBD) = £746k

Surplus: £387k

Tha Surplus of £397k will ta added to the organisation's reserves and allocated between restricted and unrestricted funds as agreed by the Truetess.

Raserves

Reserves at 316t March 2021 were £647k, represented by:

Restricted funds were £198 (Increased by £186k compared to 2020). Unrestricted funds were £191k (increased by £130k compared to 2020). Qesignated funds were £268k (increased by £81k compared to 2020).

Commente on Actual performance ve Budgeted 2020-21

in 20-21, a challenging year for all (Including Studio 3 Arts) due to the Covid-19 Pandemic. Due to this, we purposefully kept our staff team lean and roles were filled with freelancers 1o Increase capacity where needed. The average FTE for the year has been caloulated to Include the stalf working on the Creative Harking & Dagenham project for which, whilst consortium led, Studlo 3. Arts i the fead and accountable hody.

Considering the covid situation, we had successful year In terms of fundraising and managed to secure a number of emergency funds (Including the Cultural Recovery Fund) to allow us to dallver work especially with the most vulnerable and at risk during thls ile. Where our existing programme could not be delivered as originally planned, funds will be rolled forward with agreement from with funders.

Page 2

STUDIO 3 ARTS

Report of the Trusteas for the year ended 31 March 2021

Our capital project delay alas highlights why our surplus Is higher than budgeted, and income and expenditure will match thts programms moving forward, allowing for Covid-19 restrictions to be factored In to the delivery of this.

Analysis

2020-21 2019-20
Majorcommissions delivered 8 14
Project total costs £716k £663k
Core Costs £29k £41k
Core Costs as% of total cost 4% 6%
Salary Coste £283k £272k
SteffNumbers (full-time equivalent) 8 8
Total Expenditure £746k £695k
Total Income £1,142k £709k
ingomelessExpenditure/Surplus £397K £14k

in addition, the % is Inflated slightly due to the capitallsatlon of buliding Improvement works (thus reducing Total accordingly).

Costs

----- Start of picture text -----
Totallico Profectcost CBD Core Tatal
Year SLA CBD Trusts Core nie s costs coste conte Outcome
10/114 182k 276k 120k 102k 890k 231k 276k 102k d0ok +81k
11412 193k - 23k 151k 367K 123k - 258k 301k “44k
1213 78k 34k G5k 125k 302k 85k a4k 183k 302k +1k
13/14 39k = OBK G1k 111k 330k 89k 89k 139k 327k +3k
1416 31k 316k A2K 108k 407k 73k 316k 104k 493k +4k
18/16 101k 426k 80k 95k 711k 425k 426k 86k 702k +9k
10/17 224k 278k 83k 113k 660k 289k 275k 92k 655k +11k
1718 118k 307k 214k 52k 691k 442k 162k 6k 610k +81k
18/19 47k 344k 284k 33k TUSK 424k 179k 41k 614k +84k
40/20 38k 182k 466k 24k 709K 426k 228k 41k 605k +44k
20/21 178k 308k 408k 250k 1,142k 602k 214k 29k 7ABK +397k
----- End of picture text -----

Tho Future

Wa are pleased to share that the following funding fs confirmed golng forward:

  1. Arts Councli England - National Portfollo Funding - Four year agreement with a significant uplift of £30k per year on the previous agreement, specifically ring-fenced for venue programming, Starting April 2018 to March 2022, We also have extension of this funding for 22/23.

  2. Arts Council England - Smail Capital Grants - Ve are delighted to have been awarded £500k to re-develop the Galleon Centre

  3. Arts Council! England/DU-MS ~ Kickstart Capital

4, Arts Council England - Loneliness Fund (CBD)

5, Arts Council England - Thriving Communities (C&D)

  1. Arte Council England/L8D - Creative People & Places - Creative Barking & Dagenham will continue to oe funded to 2023 for Phase 3, and new funding tas been secured to take thls programme to 2026,

  2. GLA - Good Growth Fuld « We are delighted to have been awarded £500k to redevelop the Galleon Gantre.

B. Youth Investment Fund « 2nd year funding - £24k for Blg Deal (completed August 2021) 8. Chidren In Need - Big Art, Little Peopte - A Crealive family fearning programme £20k (yr 4 end of 21, picks agaln in 2022 completes 20230.

+0, Celebrating Age - Guild of Experience - originally £100k over 18 months trom Nov 2018. Completed (due to covid) October 24,

  1. Clothworkere Foundation - Capital Funding - £78k

  2. Theatre's Trust - £6k - Capital Funding

  3. Young Londoners Fund - Groundbreakers « £53k a year for three years, finishing Feb 2023

  4. Veollla Environmental Trust £76,000 for Capital Works

Page 3

STUDIO 3 ARTS

Report of the Truetees

for the yaar ended 31 March 2021

  1. Violence Reduction Unle - £20,000

16, Barking & Dagenham Music Education Hub - Youth Voices - £4,000 17, Nelghbourhood Convantng » £9,900

  1. HAF winter 21/22 - £15,530 (potentlal for funding In 2022 - Easter, Summer and Winter.)

Emergency funding for 20/21 was secured from:

Fundraising Is wall underway for projeots In 2022 and beyond Including applications to:

~ Youth Music Fund

~ Volunteering Futures

~ Arts Councll England National Portfollo 2023-2026 .

Ths agreed amount which Is included In the project's Income towards the indirect costs of the Project Manager and core office costs Is monitored agalnet the estimated core costs.

4s ever, It Is essential for Studio 3 Arts to secure Incame not only for direct costs of running projects but also to fund the Indirect costs of running the organisation.

As many funders cap the aiiount allocated to core/management and overhead costs, these are reduced to an absolute functional minimum.

Studlo 3 Arts can be stated ws an “ongoing concern" wilh confidence for 21/22.

Structure, governance and management Qaverning document ‘the charity is controlled by Its governing document, & deed of trust, and constitutes a llmited company, IImited by guerantes, as defined by the Companies Act 2008.

Reference and administrative details

Reglatered Company number 03177640 (England and Walts)

Registered Charity number 1084793

Raglstered office The Galleon Centre

Boundary Road Barking Emsex t@1417JR

Page 4

STUDIO 3 ARTS

Report of the Trustees for the year ended 31 March 2021

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||||||| |---|---|---|---|---|---| |Trustees| |Miss S|Lees|Chartered|Accntintant|(resigned|1/1/2021)| |Ms|8|Murray|Manager| |Miss|L|L|Cox|Conaultant| |Mr ¥|McDonagh|Engineer| |Miss|C RS|N|Moaby|Director| |Mr 8 W|D Abaka-Wood|Fréelancer| |Mea K|M West-Whylle|Chief|Officer| |Ma|& A Baker|(appolnted|2/8/2021)| |Ma|{2|Doran|(appolnted|2/6/2021)| |Mr S A|Durham|(appointed|2/4/2021)| |Auditors| |Halnes|Watts|Essex|LLP| |Coopers|Houss| |65a|Wingletye|Lane| |Hornchurch| |Essox| |RM11|3AT|

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fitatement of trustees' responsibilities

The trustees (who are alsa the directors of Studio 3 Arts for the purposes of company law) are responsible for preparing the Report of the Trusteas and the financial statemants in accordance with appilcable law and United Kingdom Accounting Standards (United Kingdom Generally Aorepted Accounting Practica).

Company law requires the irustees to prepare financial statements for each financial year which give a true and falr view of the state of affalra of the charitabia company and of the Incoming resources and application of resources, inclucling the Income and expenditure, of the charitatle company for that period. !n preparing those financla! statements, the trustees are required to

Tha trustees are responsible for keeping proper accounting records which didciose with reasonable eccuracy at any time the firianclal position of the charitable company and to onable them to ensure that the financlal statements comply with the Companies Act 2006. They ure also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the pravantlon and detection of fraud and other Irregularities.

in 60 far as the trustees are aware:

Auditors The auditors, Haines Watts Essex LLP, wilt be proposed for re-appointment at the forthcoming Annual General Meeting. RaperAB ofLe... the trustees, of...Incorporatingand signed a strategicon the board'sreport, approvedbehalf by:by order of the board of trustees, as the company directors, on

Page &

Report of the independent Auditors to the Kiambers of

Studio 3 Arts

Opinion

We have audited the financlal statements of Studio 3 Arts (the ‘charitable company’) for the year ended 34 March 2021 which coriprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, Including a summary of significant accounting pollctes. The financial reporting framework that has teen appiled In thelr preparation Is applicable law and United Kingdom Accounting Standards (United Kingdorn Generally Accepted Accounting Freatice).

in our opinion the financial statements: « give a true and falr view of tha state of the charitabla company's affalrs as at 31 March 2021 and of Its incoming resources and application of resources, Including Its Income and expenditure, for the year thai anded; « have been properly prepared In accordance with United Kingdom Generally Accapted Accounting Pracilca; and ~ have been prepared in accordance with the requirements of the Companies Act 2008,

Basis for opinion

We conducted our audit In accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable taw. Our reaponsibilitles under those standards are further described In the Auditors’ respons|billttes for the audit of tha financial statements section of our report. We are independent of the charitable company In accordarice with the ethical requiranents that ere relevant fo our audit of the financial statements In the UK, Including the FRC's Ethical Standard, and we have fuliited our other ethical responsibliities In accordance with these requirements. We belleve that the audit evidence we have obtained Is suffictant and appropriate to provide a basis for our opinion.

Canclusions relating to golng concern

In euditing the financial statements, we have concluded that the trustees’ usa uf the going concern basis of accounting in the préparation of the financial atatements is appropriate.

Based on the work we have performed, wa have not ldentifted any material uncertainties relating to everits or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as «a golng concern for a patiod of at least twelve months from when the financial statements are authoraad for lesue.

©ur responsibilities and the responsibilities of the trates with respect to golng concern are described in the relevant sections of this raport.

However, not all future events or conditions can be predioted. The COVID-18 viral pandemic is ona of the most. significant aconomlc events for the Ui« with unprecedented levels of uncertalnty of outcomes. It Is therefore difficult lo evaluate ail of the potential Implications on tha company’s trade, customers, suppliers and wider economy. The Trustees’ view on the Impact of COVID-19 Is disclosed within the accounting policies.

Gther information

The trustees are responsibie for the other Information. The other information comprises the information Included In the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Qur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in aur report, we do not express any form of assurance conclusion thereon.

In connectlon with our audil of the finanolal statements, our responsibility 1 to read the other information and, in doing 80, consider whether tha other information Is materially Inconsistent with the financial statements or our knowledge obtalned In the audit or otherwise appeara to be materially misstated. If we identify such material Inconaistencles or apparent material misstatements, we ate required to determine whether thle gives risa to a material misstatement in the financial statements themselves, If, based on the work we have performed, we conclude that there fs « material misstatement of this other information, Wwé are required to report that fact. We have nothing to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 in our opinion, based on the work undertaken in the course of the audit: - {he Information given In the Report of the Trustews for the financial year far which the financial etaternents are prepared {s conalstent with the financlal statements; and - the Report of the Trusteos has been prepared in accordance with applicable iagal requirements.

Page 6

Report of the Independant Auditors to the Mambers of Studlo 3 Arts

Muttars on which we are raquired to report by exception

Iv the light of the knowledge and understanding of the charitable company and Its environment obtalned In the course of the audit, we have not identified material misstatementa In the Report of the Trustees.

We have nothing to report !) raspect of the following matters where the Compsnies Act 2008 requires us ta raport to you if, in our gpliten:

~ the financial statements ara not In agreement with the accounting records and returns; or ~ Certain disclosures of trustees’ ramuneration epecified by law are not made: or « we have not received all tha Information and explanations we require for our audit.

Responsibilities of trustesa

As explained more fully in the Statement of Trustees’ Rasponslbilities, the trustaes (who are algo the directors of the charitable companythat they givefor thea true purposes and fairof viaw,companyand forlaw) auchareinternalresponsiblecontrolforas thethepreparation trustees datarmineof the financlalis necessarystatementsto enableand forthe belngpreparationsatiefledof financial statements that are frea from material misstatement, whether due to fraud or error,

in preparing the financial statements, the trustees are responsible for assessing ihe charitable company’s ability to continue as a golng concern, disclosing, 8 applicable, matters related to going concer and using the golng concern baales of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for fhe audit of the flnanclal statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether dite to fraud or error, and to Issue a Report of the Independent Auditors that Includes our opinion. Reasonable assurance Is & high level of assurance, bul Is not a guarantee that an audit conducted In accordance with ISAs (UK) Will alwaya detect a material misstatement when It exists. Misstatements can arlse from fraud or error and are considered material if, Individually or In the aggregate, they could reasonably be expected to Influence the economia declslons of users taken on the basls of thase financial statements.

‘The extent to which our procédures are capable of detecting Irregularities, Including fraud !e detalled below:

We gained an understanding of the legal and regulatory framework applicatié to the charity and the environment In which fe operates, and considered the nsk of acta by the charity that were contrary to applicable laws and regulations. We discussed anvanget the audit team the idantified laws and regulation, and remalned alert to eny Indloations of non-compliance. Durlng the audit we focuesed on laws and regulations which could reasonably be expected to give rise to a material misstatement In tha financlal statements, [holuding, but not itmited to, the Charities Act 2016 arid where appilcable, Companies Act 2006. Our teste Included agreeing the financial statement disclosure to underlying supporting documentation and enquires with thanagement, Qur procedures In relation lo fraud Included but were not Ilmited to: enquires ai maragament whether they have any knowledge of any actual, suspected or allaged fraud, and discussions amongst the audit team regarding risk of fraud such as opportunities for fraudulent manipulation of finanolal statements. We datarmined that the principal riske related to posting raanual Journal entries to manipulate financial performance and management bive through Judgements in accounting estimates. Wo alio addressed the risk of management override of Internal controls, Including tasting Journals and evaluating whether there was evidence of blag by the trustees that represented a tisk of material misstatement due to fraud.

Based on the inherent limitations of an audit, thera Is a risk that we will not datact all Irregularities, including those leading to a material misstatement in tha financial statements or non-compllance with regulation. This risk Increases the more than compliance with a law or regulation Is removed from the events and transactlons reflected In the financial statement, as we will be {ons tikely to become aware of Instances of non-compliarice. The risk Is also grater regarding Irregularities occuring due to fraud rather than errors, as fraud involves intentlonal concealment, foregery, collusion, amleslon or miscegenation.

A further description of our reaponsibilitles for the audit of the financial statemants is located on the Finenclal Reporting Counall's website at www.fro.org.uk/euditorsresponsibilities, This description forme part of our Report of the Independent Auditors.

Page 7

Report of the Independent Auditors to the Members of Studio 3 Arts

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them In an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

lan Gorsuch (Senior Statutory Auditor) . for and on behalf of Haines Watts Essex LLP Po, Coopers House 65a Wingletye Lane Hornchurch Essex RM11 3AT er ] 2a Date: nS Deccad~

Page 8

STUDIO 3 ARTS

Statement of Filnanolal Activities for tha year ended 31 March 2024

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Unrestricted|2021|2020| |funds|Restrictedfund|fundsTotal|fundsTotal| |Notes|£|£|£|£| |Income|and|endowments|from| |Donations|and|legacies|2|376,847|738,581|1,114,128|708,834| |Investment|Income|a|150|"|160|140| |Other income|.|27,843|.|27,1343|-| |Total|403,340|738,681|1,141,021|708,974| |Expenditure|on| |Charitable|activities|4| |Project|costs|156,186|558,620|718,806|653,398| |Audit|fees|7,500|.|7,600|7,500| |Other support|costs|21,607|-|21,607|33,980| |Tentent|186,293|659,620|744,913|694,868| |NET INCOME|218,047|178,964|397,008|14,118| |Transfers|between|funds|13|48,486|(48,486)|"|-| |Nat|movement|In funds|266,512|430,496|397,008|14,116| |Reconcillation|of|funds| |otal|funda|brought forward|182,347|87,818|260,166|236,049| |Total|funds carrled forward|448,859|198,314|647,173|260,166|

----- End of picture text -----

The notes form part of these financial statements

Page 9

STUDIO 3 ARTS

Balance Sheet 31 March 2021

2021 2020
Notes Unrestricted
funds
£
Restricted
fund
£
Total
funda
£
Total
funds
£
Fixud assets
Tarnylble assets 10 195,562 . 198,562 122,407
Current assets
Debtors ce 320,479 . 320,479 217,684
Cash at bank 172,537 198,344 370,881 235,268
493,018 198,314 691,330 452,942
Grecitore
Aronunts fallingduewithin one year 12 (239,719) - (238,718) (326,184)
Het current aseote 253,297 198,314 481,611 127,788
Total assets lose current Habilitles 448,859 198,314 647,173 280,185
NETASSETS 448,859
——
198,314
——————_
647,174
Gorevratarearvantear
260,186
Funds 13
Unrestrioted funds:
Ganeral fund 181,105 6,978
Designated fund 287,681 176,369
448,569 182,347
Restricted funda:
Rastrleted fund 198,314 67,818
Totalfunds 647,173 260,165

The finanolal statements were approved by the Board of Trustees and authorised for l68U@ ON reer aNd were signed on Ite behalf by:

The notes forr part of these financial stataments

Page 10

STUDIO 3 ARTS

Cash Flow Statement for the year ended 34 March 2021

Notes 2021
£
2020
£
Cash flows from operating activities
Cash generated from operations
{ 225,383 63,874
Netcash provided by operating activities 225,383 63,874
Cash flows from Invasting activities
Purchaseoftanglblefixedassets
(89,940) (92,988)
Interest recelved 150 140
Net cash used in Inventing activities (89,790) (92,848)
Change tn cash and cash equivalente In the
reporting period
135,693 (28,974)
Cash andcash equivalonts at the beginning
ofthe reporting period
238,258 284,232
Cashand cash equivaients at theendofthe
reportingperiod 370,864 236,268

The notes form part of these financial statements

Pages 11

STUDIO 3 ARTS

Notes to the Cash Flow Statemaent for the yaar anded 31 March 2021

4. Reconcillation ofnatincometo netcashflowfromoperatingactivities Reconcillation ofnatincometo netcashflowfromoperatingactivities Reconcillation ofnatincometo netcashflowfromoperatingactivities 2024 2020
£ £
NetIncome forthe reporting perlod (as perthe StatementofFinanclal
Activities)
397,008 14,116
Adjustments for:
Depreciation charges
Interestreceived
16,784
(180)
19,204
(140)
Increase in debtors (102,796) (132,932)
(Decrease increase in oreditors (85,464) 163,626
Netcash providedby operations 226,983 63,874
2. Analysis ofchangen In net funds
At 1/4/20 Cash flow At 31/3/21
£ & £
Net cash
Cash atbank 235,258 135,583 370,851
236,268 135,593 370,861
Total 236,258
———
136,683
<—atems
370,861

The notes fori part of these financial stataments

Page 12

STUDIO 3 ARTS

Notes ta the Financlal Statemenis for the year ended 31 March 2021

  1. Accounting polictos

Basls of propariny the financial statements

The finanolai staternents of the charitable company, which ie @ public benefit entity under FRS 102, have been prepared In accordance with the Charities SORP (FRS 102) ‘Accounting and Reporting by Charities: Staternent of Recommended Practice applicable to charities preparing their accounte in accordance with the Financial Reporting Standard applicable In the UK and Republic of Ireland (FRS 102) (effective 1 January 2018)', Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable In the UK and Republic of Iretand’ and the Companies Act 2008, The financial statements have been prepared under the historical cost convention,

Company status

The charity ls a compariy limited by guareantes, registered In the UK. The members of the company ara the Trustees,

Golng concern The financlal statements have been prepared on & go!ng concern basis. The Trustees have reviewed and conaldered relevant Information, including future cash flows in making thelr assessment. In particular, in respanse to the COVID-19 pandemic, the Trustees have tested thelr cash flow analysis to take Info account the Impact on thelr activities of the challenges brought on by COVID-19, alongside the measures taken to mitigate the Impact. Based on these assessments the Trustees have concluded that they can contiriue to adopt the golng concern basis In preparing the annual report and accounts,

Critical accounting judgements and key sources of estimation uncertainty The preperation of finariclal statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the raported amounts of avsets and liabilities as well as the disclosure of contingent agsete and Ilabilltles at the balanca shaet date and the reported amounts of revenues and expenses during the reporting perlod.

The annua! depreciation charge for tanglbla fixed assets Is considered a key accounting estimate as it ls sensitive to changes In the estiinated useful economic lives and residual values of the assets. The useful ecunornic lives and residual values are reassessed annually, They aro amended when necessary lo reflect current estimates and the physical condition of the ansate.

Income

All Income Is recognised in the Statement of FInanclal Activities once the charity has entitlement to the funds, it Ia probable that the incorne will be recelved and the amount can be measured fellably.

Expenditure Liabilities are recognised as expenditure as soon as there Is a legal er constructive obligation cammitting the charity to that expenditure, It Is probable that a transtar of economic benefits wil! be required in settlemant and the amount of the obligation can be measured rellably. Expenditure is accounted for on an accruals basis and has been Classifled 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 & basis consistent with the use of rasources.

Tangible fixed assate Depreciation Is provided at the following annual rates In order to write off each asset over Its estimated usefut life.

Long lsasehold - 4-10% on cost Fixtures and fittings - 20% on cost

Tangible fixed assets are carrled at cost, net of dapreclation and eny provision for impairment.

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 discration of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity, Restrictions arlse when specified by the donor or when funds ara ralsed for particular restricted purposes.

Page 13

STUDIO 3 ARTS

Notes to tha Financial Statements - continued for the year ended 31 March 2024

  1. Accounting poilcles » continued

Fund accounting

Dasignatad funde are unrestricted funds that the trustees have set aside for a partlcular purpose.

Further explanation of the nature and purpose of sach fund Ie Included In the notes to the financial stataments.

Penalon coste ant other post-retirement benafite The charity operates a defined contribution pension scheme. Contributiona payable to the charty’s pension scheme are charged to the Statement of Financial Activities In the period to whioh thay relate.

interest receivable

Interest on funds held on deposit Is Included whan receivable and the aiount can be measured reliably by the charity, this Is normally upon notification of the Interest pald or payable by the bank.

Debtors

Trade and other debtors are recognised at the settlement amount afier any trade discount offerad. Prepayments are valued at the amount prepald net of any trade discounts due.

Cash at bank anc In hand

Cash at bank and in hand Includes cash and short term highly liquid tnvestments with a short maturity of three months or less from the date of acgulsition or opening of tha depoalt or eimilar account.

Liabilities and Provistons

Llabilitles are recognised when there is an obligation at the balance shwot date as a result of a past avent, itls probable that a transfer of economic benefit will be required In settlament, and tha amount of the setticment can be estimated rellably, Llabilitles ara recognised at the amount that the charity antlclpates it will pay to settle the debt or the amount it has recelved as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the anndunts required to settle the obligation.

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||||| |---|---|---|---| |2.|Donations and legacies|2021|2020| |£|£| |Grants|1,090,966|681,854| |Other|Income|23,162|26,980| |4,114,128|708,834| |3.|inveatment|Income| |2624|2020| |E|£| |Deposit account|Intarest|180|140|

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Page 14

STUDIO 3 ARTS

Notes to tha Financlal Statements - continued for the year ended 31 March 2021

4. Charitable activitien costs
Support
Direct
Coats
£
costs (seu
note 5)
£
Totals
£
Projectcoste
Audit fees
715,808
-

7,800
716,806
7,500
Other support costa - 21,607 21,807
718,806 29,107 744,913
§. Support costes
Governance
Finance
£
conta
£
Totals
£
Auditfees
Othersupportcosia
-
21,607
7,800
.
7,600
21,607
21,607 7,600 20,107
——— =r SS
8, Netincome/(exponiture)
Net Income/{expentiiitira) ig stated after charging/(crediting):
2024 2020
£ £
Auditorsremuneration
Depreotation -ownedassets
7,800
16,7865
7,800
48,204
7. Trustees’ remungratten and benefits
There were no trustess' remuneration or other benefits for the year dnded 31 March 2021 nor for the year
ended
31 March 2020.
Trustees' expenses
Therewereno trustees!expenses paldfor the yoarended 31 March2021 norforthe yearended 31 March 2020.
8. Staffcosts 3021 2020
£ £
Wagesand salaries
Sooclal seouritycosts
Other pension costs
282,822
26,376
4,117
268,609
26,262
3,413
283,315 297,184
Theaverage monthly number ofemployees during theyearwas asfollows:
Charitableactivities x02
8
2020
8

There were no trustess' remuneration or other benefits for the year dnded 31 March 2021 nor for the year ended 31 March 2020.

No employees racalvad emoluments In excess of £60,000.

Page 15

STUDIO 3 ARTS

Notes to the Inanclal Statemants - continued for the yaar ended 31 Maroh 2024

11. Debtors: amounts falling duewithin one yoar
20214 2020
£ £
Tradedebtors 138,802 35,323
Prepayments and accrued income 181,877 182,361
320,479 217,684
42. Creditors: amounts faliIng due withinoneyear
2021 2020
£ £
Trade creditors 46,408 16,121
Other creditors 1,870 27,510
Accrualsand deferrad Income 192,644 282,563
239,719 325,184
Semeccas —===
44, Movement In funda
Not Transfers
movement betwaan
At 1/4/20 infunds furs At 31/3/21
£ £ £ £
Unrestricted funcs
General fund
Designatedfund
6,878
176,369
218,047
"
(32,887)
81,322
191,168
257,691
182,347 218,047 48,485 448,858
Restricted funds
Restricted fund 67,818 178,981 (46,465) 198,314
TOTAL FUNDS 250,185 397,008 - 847,173
Net movement In furcis, Included in the above are as follows:
incoming
rogources
£
Resourcos
expended
E
Movement
Infunds
£
Unrestricted funds
Generalfund 403,340 (188,283) 218,047
Restricted funds
Restricted fund 738,681 (869,620) 178,964
TOTALFUNDS 1,141,921 (744,913) 397,008

Page 17

STUDIO 3 ARTS

Notes to the Financlal Statements - continued for the year ended 31 March 2021

9. Comparativesforthestatementoffinancial activitles Unrastricted
funde
£
Restricted
fervel
&
Total
funds
£
Income and endowmants from
Donatlonsand legacies 268,867 449,807 708,834
Investmentincome 140 - 140
Total 259,007 449,867 708,974
Expenditure on
Charitable activities
Projectcosts
Auditfees
Other support costy
151,263
7,600
33,960
602,135
"
653,398
7,500
33,960
Total 182,723 602,135 694,868
NET(NCOME/(EXPENDITURE) 66,284 (62,168) 44,116
Reconclilation offunds
Total fundsbrought forward 116,083 119,886 236,048
Total funds carrladforward 182,347 67,818 260,166
———— =r —————
70. Tanglbisfixedassets Fixtures
Long
leasehold
£
and
fittings
£
Totals
£
Cost
At 14 April 2020
Additions
119,864
89,940
176,964
295,228
89,940
At 31 March 2021 209,804 175,464 385,168
Depreciation
At 1 April 2020
Charge foryear
13,495
6,618
169,328
8,167
472,821
18,785
At 31 March 2021 22,113 167,493 189,606
Net book value
At31 March 2021
187,601
memes
7,671
——a
196,662
——_—
At31March2020 106,369 16,038 122,407

The trustees hava designated the net book value of the leasehold property in order to present a clearer picture of the Squid assets held in the General Fund.

Page 16

STUDIO 3 ARTS

Notes to the Financial Statements - continued for the year ended 31 March 2021

43. Movement In funds « continued

Comparatives for inovament fn funds

----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |Net|Tranefary| |movement|betwaon| |At|1/4/19|In funds|funds|At|31/3/20| |£|E|&|£| |Unrestricted|funds| |General|fund|56,063|66,284|(116,468)|5,978| |Designated|fund|60,000|-|116,369|176,369| |116,063|68,284|.|182,347| |Restricted|funds| |Restrloted|fund|419,986|(52,168)|"|67,818| |TOTAL FUNDS|236,049|14,118|+|250,165| |Comparative|net|riovament|in|funds,|included|In|the|above|are|as|follows:| |Incoming|Resourses|Movement| |resources|expendad|In funds| |£|£|£| |Unrestrioted|funds| |General|fund|259,007|(192,723)|66,284| |Restricted|funds| |Restricted|fund|449,987|(502,138)|(62,168)| |TOTAL FUNDS|708,974|(694,888)|14,116| |A current year|12|monthe|and|prior year|12 months combined|postition|is|as follows:| |Net|Tranefors| |rnovement|between| |At|1/4/19|in funds|funds|At|31/3/21| |£|£|£|£| |Unrestricted|funda| |General|fund|66,083|284,331|(149,228)|491,168| |Designated|fund|60,000|-|197,681|267,691| |416,063|284,334|48,408|448,889| |Restricted funds| |Restricted|fund|119,988|126,793|(48,468)|198,314| |TOTAL FUNDS|236,049|411,124|“|647,173|

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Page 18

STUDIO 3 ARTS

  1. Movement In funds - contnued

Notes to the Finandal Statements - continiied for tha year ended 31 March 2021

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

----- Start of picture text -----
|||||| |---|---|---|---|---| |Incoming|Resour:ss|Movement| |resources|expended|In funds| |£|£| |Unrestricted|funds| |General fund|482,347|(378,018)|284,331| |Restricted|funds| |Restricted|fund|1,188,648|(1,064,765)|426,793| |TOTAL FUNDS FUNDS|1,850,885|(1,439,771)|411,124| |Pietra|ee|Precerred|

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TOTAL FUNDS FUNDS

BDeslgnated funds

The trustees have decided to designate the nat book value of the leaseholt! property In order to presari{ a clearer ploture of their liquid assets netd In the General Fund.

They have also dasignated £70k of funds to cover the following flatilittes, In the unlikely event of organisational Iquidatlon:

~ 3 months staff salariss

Restricted funds

Restricted funds carried forward at the year end are made up as follows:

----- Start of picture text -----
|||||| |---|---|---|---|---| |Creative Barking|&|Dagenham|Project|£162,108| |Cultural|Recovery|Fund|£19,706| |City|of London|Corporate|Response Fund|£16,600|

----- End of picture text -----

All restricted funds carried forward are restricted by nature of the funding agreements.

The Creative Barking & Dagenham project (CHI) Is a separate division of the charity, with Studio 3 as the accountable body, any funds received in relation to CBD must be spent on CBD projacts, staff costs and overheads. CBD is a project for people living, working and socialising In Barking and Dagenham and it's mission Is to enable local people to create, commission and curate outstanding arts and creative activities In thelr areas,

Both the Cultural Recovery Fund and City of London Corporate Respnrise Fund are restricted for activities to help the charity’s return fram Covid,

Page 19

STUDIO 3 ARTS

Notes to tha Financia! Staternents - continued for the yaar ended 31 March 2021

14, Rolated party disclosures

There were no related party transactions for the yaar ended 31 March 2021.

Page 20

STUDIO 3 ARTS

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |Detailed|Statament|of|Finanotal|Activities| |for the|yaar ended|31|March|2021| |2021|2020| |E|£| |Incame|and|endowments| |Donations and|legactes| |Grants|1,090,966|681 854| |Othar|Income|23,182|26,980| |1,114,128|708,834| |invastment|income| |Osposit|account|Interest|180|140| |Other income| |Furlough|Income|27,643|-| |Total|Incoming|resources|1,141,921|708,974| |Expenditure| |Charitable|activities| |Wages|262,822|268,509| |Boclal|security|28,378|25,262| |Panatons|4,417|3,413| |Insurance|3,624|3,438| |Telaphone|8,008|9,044| |Postage and|statlonery|4,212|10,687| |Advartlalng|48,482|6,263| |Sundries|5,080|16,721| |Travel|21,462|§,192| |Properly|costs|8,264|4,668| |Gallaon|Centre Overheads|288,974|178,778| |Artlat|fees|32,540|83,373| |Computer costs|26,476|20,186| |Bank|charges|1,620|674| |Short|leasehold|8,048|7,882| |Fixtures|and|fittings|8,166|11,322| |716,808|663,398| |Bupport|costes| |Finance| |Accountancy|and|jegal|feos|24,807|33,960| |Gavernance|costs| |Auditors’|remuneration|7,800|7,500| |Total|resources|expended|744,913|694,858| |Mat Income|387,008|14,118|

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This page dogs not form part of the statutary finahelal statements

Page 21