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2023-12-31-accounts

EPIC ARTS REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

Charity number: 1091059 Company number: 04273231

EPIC ARTS

INDEX TO ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

CONTENTS PAGE
Company Informaton 3
Report of the Directors 4 - 6
Independent Examiner’s Report 7
Statement of Financial Actvites 8
Balance Sheet 9 - 10
Notes to the Accounts 11 - 17
Detailed Statement of Financial Actvites with Comparatves 18

3

EPIC ARTS COMPANY INFORMATION FOR THE YEAR ENDED 31 DECEMBER 2023

Directors and Trustees L Davolio
C Hooke (resigned 14 December 2023)
D Trimble
G Kubair
A Goad
Company Secretary D Trimble
Key Staf S Onn (Country Director)
A Evans (Executve Director)
O Buntheng (Encounters Manager)
K Coogan (Senior Management Advisor)
H Cliford (Cafe Manager, resigned 17 October 2023)
Governing Document Memorandum and Artcles of Associaton dated February 2002
Company Registraton Number 04273231
Charity Registraton Number 1091059
Registered Ofce 17 Carmichael Mews
London
England
SW18 3HH
Principal Address Epic Arts
Sovann Sakor
Kompong Kandal
Kampot
Cambodia
Independent Examiner Brindley Goldstein Chartered Accountants
103 High Street
Waltham Cross
Hertordshire
EN8 7AN
Bankers The Co-Operatve Bank
ACLEDA Bank (Cambodia)

4

EPIC ARTS REPORT OF THE DIRECTORS FOR THE YEAR ENDED 31 DECEMBER 2023

The directors, who are the charity’s trustees for the purpose of charity law, have pleasure in submitting the Report and Accounts for the year.

Objects of the charity

The charity is a charitable company and is governed by its memorandum and articles of association. The objects of the charity, as set out in the governing document, are:

a) to promote education and in particular art and drama

b) to relieve and benefit those suffering from a physical and mental disability;

in each case primarily by provision of high-quality arts programmes designed to involve people of all abilities and disabilities anywhere in the world always that in furthering these objects the charity shall have regard to the tenets of the Christian faith.

Summary of the charity’s main activities and achievements

Epic Arts works with children and young people living with disabilities. Our activities are based in Kampot, Cambodia. We provide arts and educational programmes. We run social enterprises, including a café, that provide work opportunities for people with disabilities. Our community programmes support and respond to the needs of children and people with disabilities within the Kampot area.

2023 was an unexpectedly challenging year, especially over the first 6 months. Our social enterprises, in particular, were impacted by the slower than expected recovery in tourist numbers which adversely affected their income and profitability. Our initial hopes that the modest recovery we experienced towards the end of 2022 would continue to strengthen into the early part of 2023 proved ill-founded. With the start of the new tourist season in the last quarter of 2023 we did then begin to see a more sustained growth in tourist numbers which favourably impacted the finances of our social enterprises. This improvement has continued into 2024, which is very encouraging.

We are so grateful to our management and staff in Kampot. They have worked with extraordinary commitment and dedication throughout the year.

During 2023, our Special Education Project (SEP) continued to offer high-quality educational programmes to children and young people with learning disabilities. These take place both in classrooms at the Epic Arts Centre in Kampot but also, increasingly, at local schools. We are initiating projects where we provide teachers and resources to work within the local public school system. This takes our work out into the community and significantly improves access to education for those with learning and physical disabilities. In addition to teaching resources, we also fund relatively simple adjustments to schools’ infrastructure – such as ramps and disabled toilets – which transforms accessibility to education, for example, for wheelchair users.

2023 saw students graduate from our Inclusive Arts Course (IAC). This was an exciting moment as the course had been in abeyance for three years during the pandemic. The students had studied in either the creative or hospitality streams (along with modules in English, computer and administrative skills). Graduates bring a new energy and vision to Epic Arts and we were delighted to be able to employ a significant number of the graduates at Epic Arts.

The heart of these creative and educational programmes is to enable those living with disabilities to lead lives as independent as possible and to thrive in their communities. We not only educate, we also foster a sense of self-worth and self-confidence that is life-changing.

As mentioned above, 2023 was a mixed year for our social enterprises. They depend heavily on international tourism that had been badly affected by the pandemic. This downturn continued into the beginning of 2023. Business at our café did eventually improve later in 2023. Epic Dance (ED) had some pick-up in activity compared with 2022 as some national and international opportunities opened up, but overall ED also experienced a subdued year. Our social enterprises remained in profit but at a slightly lower level than in 2022. These enterprises are a vital interface between Epic Arts’ educational and training programmes and our promotion of equality and diversity. They provide work opportunities for people with disabilities and are the visible and tangible expression of inclusion in a country where work opportunities for people with disabilities are limited.

In 2023, Epic Arts’ community-based programmes included helping to organise the annual Kampot Arts Festival. We worked with local disabled partners and artists to showcase their work; this was an important outreach into the community. Our involvement in ChildSafe - which develops and advocates child protection and safeguarding structures in Kampot - continued to help strengthen our community links and our relationship with local government. The role and workload expanded in 2023 and remains as much needed as ever. We are seen as a valued and reliable partner with strong roots into the community.

5

The Board is enormously proud of and grateful to the staff and students of Epic Arts. Throughout 2023 they continued to adapt to the changing circumstances while upholding our values which are at the heart of all that we do.

In planning Epic Arts’ activities, the directors have had regard to the guidance issued by the Charity Commission in December 2008 on public benefit.

Structure, governance and management

The policies and strategic decisions of the charity, and the monitoring of their implementation, rest with the directors who met four times in 2023.

Financial review

Epic Arts’ finances improved in 2023, but the impact of the pandemic was still reflected in the year’s financial outturn. The Board is enormously grateful for the continued support, investment and generosity of a wide range of donors. In particular, we greatly appreciated the way donors continued to be flexible in the use of some of their funding. This directly enabled us to maintain the employment of several disabled and vulnerable staff.

In 2023, total income increased £94,562 (33.7%) to £375,219 (2022: £280,656). This compared with an increase in expenditure of £87,701 (27.8%) to £403,184 (2022: £315,483). Management’s pro-active fundraising strategy along with tight controls over expenditure resulted in a reduction in the overall net deficit in 2023 to £27,964 [2022: (£34,826)]

An encouraging development in 2023 was improved turnover in our social enterprises. Total income increased to £139,553 (2022: £124,635). Their net profitability was £24,575 [2022: £38,448]. These profits make a vital contribution to our financial sustainability and resilience; they are invested back into our work and reserves.

Throughout this period the Board and senior management continued to work closely together, including the careful monitoring and reporting of emerging risks, our cashflow and the overall financial position.

At 31 December 2023, Epic Arts held £47,827 in bank accounts (2022: £125,702). Because our work in Cambodia is US dollar based we are exposed to foreign exchange gains and losses. In 2023, there was a foreign exchange loss of £4,324 because of sterling’s depreciation.

Reserves policy

As a result of the overall deficit set out above, Epic Arts’ net assets were reduced: at 31 December 2023 they were £44,108 (2022: £72,073). The Board of Directors have a long-established policy whereby free reserves should be maintained at sufficient to cover three months’ committed expenditure. At 31 December 2023 these were £10,169 (2021: £16,714). This is equivalent to 1.5 months’ committed expenditure.

Directors are committed to restoring free reserves consistent with the Board’s policy. The Board aims to rebuild our net assets and free reserves to mitigate future financial risks.

Key risks and plans for the future

The Directors review regularly the risks to which a UK-registered charity operating in Cambodia is exposed and are fully committed to ensuring appropriate procedures and mitigation policies are in place.

A vital part of Epic Arts’ post-pandemic strategy is building up and growing our social enterprises to generate more of our own income. This is the most flexible form of income for a charity of our size and will enable us to expand those areas of our vision – particularly in relation to arts and performance-related programmes – that are outside the funding scope of many donors. We see numerous opportunities for our social enterprises to grow over the next few years. Expanding the reach and visibility of these enterprises is a vital part of spreading our core values of inclusion and diversity.

We are at an important stage of developing our inclusive educational programmes, particularly in seeking to engage public schools in providing education for those with learning disabilities. The Ministry of Education is taking a keen interest in our pilot projects which are at the leading edge of expanding educational opportunities for those with learning disabilities. This is an area where Epic Arts is having a direct impact on public policy.

Our community-based programmes will remain central to our relationship with communities within Kampot and with local authorities. The child protection team provide important links between our work with vulnerable children/adults, through our Inclusive Education programmes, and the issues our students face at home and in their local communities.

In respect of all our activities we will continue to work closely with our donors to deliver high-quality and impactful outturns consistent with donors’ objectives and budgets.

6

As mentioned above, a key financial objective is to restore free reserves to cover three months’ committed expenditure, in line with the Board’s policy. The Board aims to rebuild our net assets and free reserves to mitigate future financial risks.

The Board and staff of Epic Arts are looking to the future with vision and energy. The problems caused by the pandemic are not entirely behind us but our plans and strategy for the future will help ensure Epic Arts remains financially viable and able to meet the challenges of 2025.

Responsibilities of directors under company law

The directors are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the directors to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charitable company as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure for the financial year. In preparing these financial statements, the directors are required to:

  1. select suitable accounting policies and apply them consistently;

  2. observe the methods and principles in the Charities SORP;

  3. make judgements and estimates that are reasonable and prudent;

  4. state whether the applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

  5. prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approval

This report was approved by the directors on 17 September 2024 and signed on their behalf by:

DERMOT TRIMBLE

7

EPIC ARTS INDEPENDENT EXAMINER’S REPORT

I report to the trustees on my examination of the financial statements of Epic Arts (‘the charity’) for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet and related notes. This report is made solely to the charity’s trustees, as a body, in accordance with section 145 of the Charities Act 2011. My work has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in this report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for my work, for this report, or for the opinions I have formed.

Respective responsibilities of the trustees and examiner

The charity's trustees are responsible for the preparation of financial statements. The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (‘the 2011 Act’) and that an independent examination is needed. I am qualified to undertake the examination by being a qualified member of the Institute of Chartered Accountants in England and Wales.

Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the financial statements. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently, I express no opinion as to whether the financial statements present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement. Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

➢ the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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 financial statements to be reached.

………………….…….

C H Goldstein FCA

For and on behalf of Brindley Goldstein Chartered Accountants

Date: 9[th] September 2024

8

EPIC ARTS

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023

Note
INCOME AND ENDOWMENTS FROM:
Donations and legacies
3
Charitable activities
4
Other income
5
Recovery of funds
21
Total income and endowments
EXPENDITURE ON:
Charitable activities
6
Raising funds
7
Total expenditure
Net gains/(losses) on investments
Net profit/(loss)
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
17		 Unrestricted
Funds
£
78,589
139,553
11,624
804
230,570
237,116
-
237,116
-
(6,545)
-
(6,545)
16,714
10,169		 Restricted
Funds
£
144,648
-
-
-
144,648
166,068
-
166,068
-
(21,419)
-
(21,419)
55,358
33,939		 Total
Total
Funds
Funds
2023
2022
£
£
223,237
146,649
139,553
124,635
11,624
8,572
804
800
375,219
280,657
403,184
315,483
-
-
403,184
315,483
-
-
(27,964)
(34,826)
-
-
(27,964)
(34,826)
72,073
106,899
44,108
72,073

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing operations.

The statement of financial activities also complies with the requirements for an income and expenditure account required by the Companies Act 2006.

9

EPIC ARTS

BALANCE SHEET

FOR THE YEAR ENDED 31 DECEMBER 2023

Note
FIXED ASSETS
Tangible assets
10
CURRENT ASSETS
Stock
11
Debtors
12
Cash at bank and in hand
13
CREDITORS: Amounts falling
due within one year
14
Net current assets / (liabilities)
Total assets less current liabilities
Net assets / (liabilities)
TOTAL NET ASSETS
FUND BALANCES
Unrestricted Funds
General funds
Restricted Funds		 Unrestricted
Funds
£
-

0
1,461
4,330
13,888
19,679
9,510
10,169
10,169
10,169
10,169
10,169
10,169
-
10,169		 Restricted
Funds
£
-
-
-
-
33,939
33,939
-
33,939
33,939
33,939
33,939
-
-
33,939
33,939		 Total
Total
Funds
Funds
2023
2022
£
£
-
320
0
320
1,461
1,322
4,330
1,943
47,827
125,702
53,618
128,967
9,510
57,214
44,108
71,753
44,108
72,073
44,108
72,073
44,108
72,073
10,169
16,714
10,169
16,714
33,939
55,358
44,108
72,073

10

EPIC ARTS

BALANCE SHEET (Continued)

AS AT 31 DECEMBER 2023

Under the Companies Act 2006, s454, on a voluntary basis, the trustees can amend these financial statements if they subsequently prove to be defective.

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2023 in accordance with Section 476 of the Companies Act 2006 however, in accordance with Section 145 of the Charities Act 2011, the accounts have been examined by an independent examiner and their report has been included in these financial statements.

The directors (who are the charitable company's trustees for the purposes of charity law) acknowledge their responsibilities for:

The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

The financial statements were approved by the Board of Directors on 17 September 2024 and were signed on its behalf by:

DERMOT TRIMBLE GOURI KUBAIR Company number: 4273231 Charity number: 1091059

11

EPIC ARTS

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

1 Statutory Information

The charity is a charitable company limited by guarantee and is incorporated in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2 Accounting Policies

These financial statements are prepared on a going concern basis, under the historical cost convention.

These financial statements have been prepared in accordance with the "Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) ("the Charities SORP"), with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland ("FRS 102"), with the Companies Act 2006 and with the Charities Act 2011.

The principles adopted in the preparation of the financial statements are set out below.

a) Going concern The trustees (who are the charitable company's directors for the purposes of company law) have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the charity's forecasts and projections and the possible implications should projected income and / or expenditure vary unexpectedly. The trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue to operate for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.

b) Income Income including investment income is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part, income is generally recognised when it is received. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.

Income from donations and legacies includes:

The charity relies on volunteers to carry out many of its activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured.

When donated goods, services and facilities are distributed or consumed, an expense in respect of those items is included in the Statement of Financial Activities. At the year end any goods that have not been distributed or consumed are recognised as stock; donated fixed assets are capitalised.

Income from charitable activities represents income receivable from goods, services and facilities supplied in furtherance of the charity's charitable objects. It includes income from the charity's social enterprises: Creations shop, cafe and the dance group Epic Encounters.

Other income includes rental income.

c) Expenditure

Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured reliably.

The cost of raising funds is not significant and has not been separately disclosed.

Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity.

d) Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects.

12

Items purchased or donated for the charity's own use are capitalised when the cost of purchased items, or the fair value of donated items, is more than £1,000 and the item is expected to benefit the charity over more than one accounting period. Depreciation is charged on a straight line basis so as to write down the value of each asset to its estimated residual value (if any) over its expected useful economic life. To achieve this objective the following rates of depreciation are charged:

Motor vehicles

Equipment

Over 4 years on a 25% straight line basis Over 4 years on a 25% straight line basis

Property purchase and improvements undertaken in Cambodia are treated as an expense in the year the expenditure is incurred since, under Cambodian law, property is not owned by the charity. Any expenditure is separately detailed in note 6.

The carrying values of tangible fixed assets are reviewed for impairment in periods when events or changes in circumstances indicate that the carrying value may not be recoverable.

Stocks of goods purchased for re-sale are stated at the lower of cost and net realisable value.

g) Taxation

The company is a registered charity; it has taken advantage of the various reliefs from taxation available to charities and no UK tax is payable on the charity's income.

h) Financial instruments Financial instruments are classified and accounted for, according to the substance of the contractual arrangement as financial assets or financial liabilities. The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value. They are subsequently measured at amortised cost using the effective interest method, except where the effect of discounting would be immaterial, in which case they are stated at cost (less impairment where appropriate).

These financial statements are presented in sterling. The charity's functional currency is US Dollar.

All differences arising from the application of the above policy are charged (or credited) to the Statement of Financial Activities.

3 Donations and legacies

3
Donations and legacies
Donations of cash and similar
Other grants receivable		 Unrestricted
Funds
£
37,727
40,861
78,589		 Restricted
Funds
£
-
144,648
144,648		 Total
Total
2023
2022
£
£
37,727
4,143
185,510
142,506
223,237
146,649
4
Income from charitable activities
Café sales
Shop sales
Workshops & Events
5
Other income
Other income		 Unrestricted
Funds
£
107,805
8,995
22,753
139,553
Unrestricted
Funds
£
12,428
12,428		 Restricted
Funds
£
-
-
-
-
Restricted
Funds
£
-
-		 Total
Total
2023
2022
£
£
107,805
82,336
8,995
5,210
22,753
37,089
139,553
124,635
Total
Total
2023
2022
£
£
12,428
9,372
12,428
9,372

13

6 Charitable expenditure

a
Costs incurred directly on specific activities
Project costs and related staff costs
Café and related staff costs
Shop
Rent and rates		 UK
£
6,453
-
-
-
6,453		 Cambodia
£
216,049
104,087
3,994
6,897
331,028		 Total
Total
2023
2022
£
£
222,502
158,645
104,087
70,673
3,994
2,908
6,897
12,606
337,481
244,832
b
Costs incurred on support & administration
Governance costs
Cost of accounts preparation & independent examination
Board meeting costs
Core office running costs
Office equipment costs
Bank loan interest payable
Finance lease interest payable
Exchange differences
Depreciation of tangible fixed assets
Amortisation of intangible fixed assets
Provisions for impairment
Repairs and maintenance
Office utility costs
Telephone and internet
Insurance
Bank charges and fees
Total expenditure
7
Cost of raising funds
Fundraising costs		 45
-
45
3,232
162
3,438
9,891
Unrestricted
Funds
£
-
-		 -
-
-
32,434
14,335
-
-
4,324
320
-
-
5,331
4,092
1,214
-
214
62,265
393,293
Restricted
Funds
£
-
-		 45
10,093
-
1,241
45
11,334
35,666
31,355
14,335
17,458
-
-
-
-
4,324
(2,745)
320
720
-
-
-
-
5,331
8,524
4,092
2,605
1,214
1,075
-
-
376
325
65,703
70,651
403,184
315,483
Total
Total
2023
2022
£
£
-
-
-
-

8 Theft of funds

Theft of funds (see Note 21)
Less amount returned		 Unrestricted
Funds
£
-
(804)
(804)		 Restricted
Funds
£
-
-
-		 Total
Total
2023
2022
£
£
-
-
(804)
(800)
(804)
(800)

Gross wages and salaries (and social security costs)

2023 2022
£ £
214,954 138,287
214,954 138,287

The average monthly number of employees during the year was 55 (2022: 42).

No staff received salaries at a rate of more than £60,000 per annum.

The charity's key management comprise the trustees and the key staff named on the Company Information page. Total employment benefits payable to key management for the year were as follows:

Other (non-trustee) members of key management 2023
2022
£
£
43,398
33,583
43,398
33,583

No trustees received employment benefits in either the current or preceding year.

14

10 Tangible fixed assets

Cost
At 1 January 2023
Additions
At 31 December 2023
Accumulated depreciation
At 1 January 2023
Charge for the year
At 31 December 2023
Net book value
At 31 December 2023
At 31 December 2022		 Fixtures,
fittings and
equipment
£
5,539
-
5,539
5,219
320
5,539
-
320		 Motor
Total
Vehicles
2023
£
£
8,591
14,130
-
-
8,591
14,130
8,591
13,810
-
320
8,591
14,130
-
-
-
320

11 Stock

11
Stock
Purchased for re-sale, at cost 2023
2022
£
£
1,461
1,322
1,461
1,322
12
Debtors
Falling due within one year:
Tax recoverable
Other debtors
Prepayments and accrued income
Reimbursement of stolen funds (see Note 21)
Total debtors
13
Cash at Bank and in Hand
Cash at Bank - UK
Cash at Bank and in hand - Overseas
14
Creditors: liabilities falling due within one year
Other creditors
Accruals
Deferred income
15
15
Deferred income
Within one year
Balance at the end of the reporting period
The income deferred at the period end will be released to income over the following periods:
Deferred income comprises the following:
Balance at the beginning of the reporting period
Amount released to income
Amount deferred in year		 2023
2022
£
£
-
-
2,160
1,676
2,170
267
-
-
4,330
1,943
4,330
1,943
2023
2022
£
£
18,708
62,635
29,119
63,067
47,827
125,702
2023
2022
£
£
3,928
5,804
3,523
11,352
2,059
40,058
9,510
57,214
2023
2022
£
£
40,058
6,717
(40,058)
(6,717)
2,059
40,058
2,059
40,058
2,059
40,058
2,059
40,058

The balance on deferred income represents performance-related grant monies, and contractual monies, being received in advance of the conditions controlling entitlement being fulfilled.

15

16 Pension commitments

There are no employer pension costs for Cambodian staff. There are payments made monthly for workers compensation and medical insurance.

17 Funds

During the year the movements in the charity's funds were as follows:

General Unrestricted Funds
Total Unrestricted Funds
Restricted Funds
Café Building Project
Inclusive Education Programme
World Childhood Foundation
FELM
Caritas
UNDP (CCC)
Friends International
Aggregate of funds		 Opening
balance
2023
£
16,715
16,715
28,818
21,807
3,884
-
-
-
849
55,358
72,073		 Incoming
resources
2023
£
230,570
230,570
-
884
18,695
63,826
24,672
18,742
17,829
144,648
375,219		 Outgoing
resources
2023
£
(237,116)
(237,116)
(11,359)
(22,692)
(17,568)
(61,661)
(17,096)
(17,572)
(18,120)
(166,068)
(403,184)		 Transfers
Closing
in the year
balance
2023
2023
£
£
-
10,169
-
10,169
-
17,459
-
-
-
5,011
-
2,165
-
7,575
-
1,170
-
559
-
33,939
-
44,108

Analysis of net assets by fund

The assets and liabilities of the various funds were as follows:

Fixed assets
Stock
Debtors
Cash at bank and in hand
Current liabilities
Non-current liabilities
In the previous year the movements in the charity's funds were a
General Unrestricted Funds
Total Unrestricted Funds
Restricted Funds
Café Building Project
Inclusive Education Programme
World Childhood Foundation
Friends International		 s follows:
Opening
balance
2022
£
20,757
20,757
55,402
31,737
(1,067)
70
-
~~-~~
86,142		 General
Designated
funds
funds
£
£
-
-
1,461
-
4,330
-
13,888
-
(9,510)
-
-
-
10,169
-
Incoming
Outgoing
resources
resources
2022
2022
£
£
229,549
(250,198)
229,549
(250,198)
-
(9,978)
1,327
(11,257)
33,494
(28,543)
16,286
(15,507)
-
~~-~~
51,107
(65,285)
Unrestricted Funds		 General
Designated
funds
funds
£
£
-
-
1,461
-
4,330
-
13,888
-
(9,510)
-
-
-
10,169
-
Incoming
Outgoing
resources
resources
2022
2022
£
£
229,549
(250,198)
229,549
(250,198)
-
(9,978)
1,327
(11,257)
33,494
(28,543)
16,286
(15,507)
-
~~-~~
51,107
(65,285)
Unrestricted Funds		 Restricted
funds
2023
£
£
-
-
-
1,461
-
4,330
33,939
47,827
-
(9,510)
-
-
33,939
44,108
Transfers
Closing
in the year
balance
2022
2022
£
£
16,606
16,715
16,606
16,715
(16,606)
28,818
-
21,807
-
3,884
-
849
-
-
~~-~~
~~-~~
(16,606)
55,358
Aggregate of funds 106,899 280,656 (315,483) -
72,073

16

Analysis of net assets by fund

The assets and liabilities of the various funds were as follows:

Fixed assets
Stock
Debtors
Cash at bank and in hand
Current liabilities		 General
Designated
funds
funds
£
£
320
-
1,321
-
1,943
-
62,226
-
(49,096)
-
16,715
-
Unrestricted Funds		 Restricted
funds
2022
£
£
-
320
-
1,321
-
1,943
63,476
125,702
(8,118)
(57,214)
55,358
72,073

The purposes of the restricted funds are as follows:

Café Building Project

Money donated towards the planning, purchase and development of a new café building in Cambodia.

Inclusive Education Programme

These programmes provide high-quality, creative and inclusive educational opportunities for children and young people of all abilities.

World Childhood Foundation

Funding to enable Epic Arts to address child protection issues in Kampot..

FELM and Caritas

Funding to support inclusive education programs

UNDP - CCC

Networking and support for NGOs operating in Kampot

Friends International

Funding provided by UNICEF to support community projects

18 Operating lease commitments

A five year lease was agreed in May 2022 at a rental of $300 per month. The minimum amounts payable (until the next break clause and ignoring the potential effect of future rent reviews) in respect of this lease is as follows (translated at 31 Dec rates):

Within one year
Between one and five years
Payments falling due:		 2023
2022
£
£
1,900
5,333
-
-
1,900
5,333

During the year the charity was charged £3,495 (2022: £9,968) for its operating lease (translated at average annual rates).

During the year the charity:

20 Members

Each member of the company commits to contribute if the charity is wound up an amount of £10.

17

21 Recovery of funds

As noted in the 2018 Report and Accounts, the charity became aware in June 2019 of an internal fraud in the Cambodian operation which had been perpetrated since 2013, resulting in £74,569 of cafe takings (all in the general fund) having been misappropriated. Since that point £72,293 of the stolen funds have been reimbursed. The perpetrator of the fraud is continuing to make repayments under an agreed scheduled and the charity expects a full recovery of these funds. The table below shows the periods in which the fraud occurred, and to which the reimbursements relate:

2013-2016
2017
2018
2019
2020
2021
2022
2023
Total as at 31 December 2023
Allocation of funds recovered
Reimbursed
Allocation:
Theft of funds - expenditure in year
Recovery of funds - Income in year		 Amount
stolen
£
38,175
7,697
14,806
13,891
-
-
-
-
74,569
Note 8		 Amount
reimbursed
£
(31,277)
(7,697)
(14,806)
(13,891)
(1,566)
(1,452)
(800)
(804)
(72,293)		 Net
expense
£
6,898
-
-
-
(1,566)
(1,452)
(800)
(804)
2,276
2023
2022
£
£
804
800
-
-
804
800

22 ULTIMATE CONTROLLING PARTY

There is no ultimate controlling party.

18

EPIC ARTS

DETAILED STATEMENT OF FINANCIAL ACTIVITIES WITH COMPARATIVES

FOR THE YEAR ENDED 31 DECEMBER 2023

Note
INCOME AND ENDOWMENTS FROM:
Donations and legacies
3
Charitable activities
4
Other income
5
Recovery of funds
21
Total income and endowments
EXPENDITURE ON:
Charitable activities:
6
Raising funds
7
Total Expenditure
Net income/(expenditure)
Transfers between funds
17
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 2023
£
78,589
139,553
11,624
804
230,570
237,116
-
237,116
(6,545)
-

(6,545)
(6,545)
16,714
10,169
Unrestricted Fu		 2022
£
95,542
124,635
8,572
800
229,550
250,198
-
250,198
(20,649)
16,606
(4,043)
(4,043)
20,757
16,714
nds - General		 2023
£
144,648
-
-
-
144,648
166,068
-
166,068
(21,419)
-
(21,419)
(21,419)
55,358
33,939
Restricte		 2022
£
51,107
-
-
-
51,107
65,285
-
65,285
(14,178)
(16,606)
(30,784)
(30,784)
86,142
55,358
d Funds		 Total
Funds
2023
£
223,237
139,553
11,624
804
375,219
403,184
-

403,184
(27,964)
-
(27,964)
(27,964)
72,073
44,108		 Total
Funds
2022
£
146,649
124,635
8,572
800
280,657
315,483
-
315,483
(34,827)
-
(34,827)
(34,827)
106,899
72,073