Zabludowicz Art Projects (A charitable company limited by guarantee) ANNUAL REPORT AND FINANCIAL STATEMENTS for the year ended 29 D¢cember 2021 Charity Registration No. 1120067 Company Registration No. 06269259
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT REPORT OF THE TRUSTEES FOR THE YEAR ENDED 29 DECEMBER 2021 The tStee9 subtnit their report and the financial statements of the chaTity for the year ended 29 December 2021. The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing docu¢llt, the Charities Act 2011 and Accounting and Reporting by Charities.. Statement of Re¢ommended Practice applicable to charities preparing their account5 in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019. REFERENCE AND ADMINISTRATtVE DETAILS Charity number.. 1120067 Company number.. 06269259 Registered office.. 41 Dover Street London WIS4NS ADVISORS Siatutory Auditor.. RSM UK Audii LLP The Pinnacle 170 Midsummer Boulevard Milton Keynes MK9 IBP Solicitors.. Ashfords LLP A$hford House Grenadier Road Exeter EXI 3LH Bankers.. Barclays Bard( Level I I I Churchill Place Londo E145HP Advisory wmmittee.. Brian Boylan Thomas Dane James Lingwood In addition, advice on each exhibition may be sought frorn the guest an(Vor residentartisV¢urator. DIRECTORS AND TRUSTEES The directors of the company ale its trustees for the purpose of charity law and throughout this report are collectively refetred to as the tNstees. The trustees serving since incorporation are as follows.. Chaim Zabludowicz (Chairman} Anita Zabludowicz (Director) David Halpern FCA {resigned 3 June 2021) Dr. Fabio Botterini de Pelosi (Liechtenstein) SECRETARY Richard Lloyd ACA
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT STRUCTURE, GOVERNAf4cE AND MANAGEMENT GoverniDg Document The charity is a company limited by guarantee registered and incorporated in Englaud and Wales and is governed by its Memorandum and Articles of Association dated 5 June 2007. AppoRn¢ment of trustees As sei out in the Articles of Association the tnLStees have the power to appoint new tNstees. There is no tnaximum limit to the number of trustees in office. However, there must be a minEmum of three trustees in offlee at any time. At ea¢h allnual general meeting, a third of the longest standing ttvstees must rettre fro]n office. In each case each outgoing trustee is eligible forre-appointment. Trustee illduction and training All trustee8 appointed on incotporation. togeth¢r with the Advisory commite, are briefed on tbe charitable objectives and Their responsibilities as tiiistees. Org#ni5Hltion The board of trustees administets the charity. The Director appointed by the trustees manages the day-to-day operations of the charity. Zabludowicz Art Projects is managed by the Director and two secondees from the Zabludowicz Art TNst, viz. the Artistic Direcloi and the Colle¢tion Manager, each of whom has an assistant employed by the charity. The fUiC¢S are managed by Dr. Botterini de Pelosi. All report to the Chaiman. The trustees also rely on the Advisory Committee whose remit is to advise and comment upon the orgallisation's achievement of its Charitable objectives. public activities, marketing. position and role. The ¢haTity has iwd regard to the Charity Commission's guidance on pubhc benefit. illcluding the guidauce'Public benefit.. rulllling a charity IPB2}', in preparing the trustees, report alld the financial statements. Pay policy for senior staff The trust¢e8 consider the board of trnstees, who are the charity's directors. and the senior mallagement team comprise the key management personnel of the charity ill charge of directing and controlling. running and operating the charity on a day-to-day b1$. All tNstees give of their time freely and no trustee received remuneration in tILe year. Details of trustees. expenses and related paty transactions are disclosed in note 3 to the accounts. The pay of the sentor staff 1$ reviewed allnually and nomially increased in accordallce with average earnings as appropriate. Related partles The charity ha5 had close but itiforlll relations with the following parties over the past 12 months.. Burgess & Beech Velonomy Trlllee Hall Annual CoJDmis5ion TNlee Hall and perfomie15 {see list in 2020 report) Mary Reid Kelley Mike Kuchar Nathalie Djurberg Narcissister Mika Rottenberg, Jennifer Juniper Stratford Shana Moulto Sonia Gonzalez David Gryn Am)a Mustonen Suzan Pitt Patrick Kelley Allison Scbuinik Han5 Berg Theo Triantafyllidis Geneva Jacuzzi Rachel Maclean Ericka Becknian Maecarone Gallery Barnie Paige
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT Master Class Artist-led Professional Develo ment Pro ramme Onliiie Isaa¢ Julien Etnma Talbol Gerard Carson Karen Maxted Dun¢an Poulion Katie Tomlinson Yinka Shonibare Sophie Ro¥er5 Andrew TreatleY Polly Wright Daniel Kelly Julia Scher Ryan Gander Robert Cerveia Susie Olczak Jonathan Michael Ray Doug Fishbone Guy OliveT Arn]indokht Shooshtari Dea Vanagan Miles Thurlow No Thln Is W21tin Testin Grollnd Jessica Wan Korakrit Arunanondcha Joshanne Dar Andy Holden Klara Kristalova Amanda Ross-Ho Valerie Snobe¢k Yung Jake Kan Xuan Maria Dinu Yankee Tsang aaajiao Anna Ne5terenko Alice cha[er Eloise Hawser Jessica Jackson Huicbins Jung Min Park Annan Shao Jesse Siecklow Guan Xia Able Zhang Phuong Uyen Alina Savina The Stand-Ins: Fl urative Paintin froDI the Collectio M&xwell Alexandre Philip Gusto Jordan Ka5ey Maria Lassnig CIJn"stina Quarles Dorothea Tanning Caragh Thuring Willem Weismantj Issy Wood Jakub Julian Ziolkowski Anna Glantz Jamian Juliano-villani Ella Ktuglyallskaya Kate Lyddot] Avery Singer Henry Taylor Teslaye Urgessa Robin F. Williams Rose Wylie 360 VR Room Mélodie Mousset Edo Fouilloux Chiara Passa Women + Health Charit Exhibition Genlllla Tighe Cass Wedd Judith Millecker Victoria William5 iLsia Haliv Kate Millton Frances BoTzello Madelaine Dunnigan Worksho sIFamAlies CreAte$ Rosemary Cronin Anne Harild Puck Verkade
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT Informal Su ort: Procreate Project&Thlother House Studios POrgaI Prints.. Sikelala Owen. Patrick Conlon. Marta Ga110 The Lesser Bohemians- The Drama Centrelcentral Saint Martins.. Vaila Andetson. Kristina Kapilin, Timothy Kelly, Lal¢ Carter The charity also continued its relationships wtth those parties disclosed in eorlier trustees. reports. In addition to the above. the charity also relied on the Zabludowi¢z Art Trust for its funding during the period artd will do so for the foreseeable future. Mr. Zabludowicz andDr. Botterini de Pelosiare trustees of the Zabludowi¢z Art Trust. Details of transactions with related parties are given in note I l of the fwancial statements. ACHIEVEMENTS AND PERFORMANCE OBJECTtVES AND ACTIVITIES The charity's objectives. as set out in its goveming document, are= to promote, encourage and increase the public's appreciation and understanding of contemporary art by establishing and maintaining a venue for the exhibition of contemp)rary art invaTitsusrnedia', undertaking and protnoting seif-IDltiated exhibitionsandcommissioning works for exhibition by contemrary artists and curators: and advancing the education of the public in contemporary art through exhibitions. publications, Seminars. le¢ture5, talks and similar events. Aetivltles During 2021 the charity continued to manage the ex"bItIOn space at 176 Prince of Wales Road. London (the "gallery") with two major exhibitions in the main spaces during the year as well as the smaller series of exhibttions known as Invites and 360. li also continued lis Testing Ground programme of educational professional development. The gallery's programtne ill 2021 continued to foGus on female artists. Trulee Hall's Annual Conunission for 2020 was extended into 2021 to compensate foi the Euonths the gallery was c105ed due to the national lockdowns. The exhibition proyed to be an international success for the artist. increasing their exposure in the UK and Europe and a partner exhibition was held in April - August 2021 at Villa Schoningen. Potsdam, Gennany. The 360 The Virtual Reality ROO programme was restarted with a therapeuiic and interactive musi¢al work by Mélodie Mousset and Edo Fouilloux and second exhibition tsf Chiara Passa later in 2021. Several charitable parthership projects took place during 2021. An Artist in Residence project was initiated with Camden Mental Health Charity Portugal Prints (part of Mind in Brent and Wandsworth), support was given to Procreate Projects to initiate The Mother House Studios for artists with child caring responsibilities and the charity Contitiued it$ relationship with cadell charity Women + Health. The Covid-19 pandemic introduced delays and alterations to the planned events during tbe year and. in response. the charity continued its online digital programming and staff support. Overall, the 2021 programme was reduced when compared to pre-pandemic years but activities and events have increased when compared to tbo8¢ in 2020. As expected, digital engagetnent receded and in-person visitor figures were healthy alld encouraging. The performance festival, Hot with Excess. originally Pla[ed for March 2020 was initially postponed until 2021 due to the pandemic. However, as many of the artists originally involved and their works had evolved Since the initial planning it was felt that the revisions and development needed to realise this exhibition in 2021 was beyond the possibilities of our budget and resources and the exhibition was cancelled. dLe light of this, the trnstees decided not to proceed with Ebe 2021 Annual Commission. The ADnual Collutiission will continue in 2022 with the Chinese multimedia artist Lu Yang.
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT Each ofthe eKhibilions ivas accompanied by a sertes of public events, talks and Screenings which were held concurrently with the exhibition%. During 2021 the printing ol'publicalions was paused and then restarted during 2022 for sale during The Stand Ins eKhibition. The two publications produced ill 2022 were.. Trulee Hall lediled by Antonia Blocker and designed by Burgess & Bewhl and Artists in Virnial Reality (edited by Paul Lucknaft & Elizabeth Neilson and des2glled by Burgess & Beeehl The charity continued it$ free weekly Saturday afternoon drop-in workshops, Families Creates. for children and families as well as the Saturday staff tours. Programme Overvle lu excess of 21,000 people engaged directly with the charity's events and exhibitions in 2021. Online and Soeial Media Engagement The Zabludowicz Collection website continues to be the main source of infotmation for all visitors to the gallery space. A list of current alld future activities 15 regularly updated and video recordings of past exhibitions are available to be streamed by website visitors and students engaging in research. The charity also uses a number of social media applications to increase awarenes8 of the gallery's activities. Instagram 15 the gallery's main plaifotm and 2021 began with 71,421 followers and after a dip in followets between July and October 202 1, ended with 71,829 followets. Twitter is also used to ensure the gallery's engagetnent in conversations across the art world and also in more general cultural discourse. Aeross 2021. Twitter followers decreased from 7,249 to 7,098. Facebook 15 used to present video content and reaches on 2verage a slightly older demographic. The trnstees believe that a presence on this platforrn is llece&%ary but they do not regard it as the gallery's leading social media channel. Across 2021 Facebook activity remained consistent with approximately I 1,000 followers. Offslte exhibitiolls & activltles The charityproudly supported Women + Health Fundraising Partnership in the creation of their firsi online exhibition of artworkproduced by women during the pandetnic entitled Women's Lockdown Art. Due to changes in government guidance the planlled physical exhibiiion did not take place atLd the exhibition was available to be viewed oniille between 12 November 2020 and 31 January 2021. The charity helped them raise over £14,000 during their f]rst fundraising exhibition. The charity sponsored artist Sikelala Owen to work for 3 months as an artI5t in residence at Portugal Ptiuls, a therapeutic ental health chariiy based in Arlillgton House, Camden. ApproXiatelY 40 artists from Portugal Prints worked with Sikelala to explore their personal practices. The exhibition lust an Artist... coinprising Works Created by the Portugal Prints artists was the fst Illvites exhibition in 2022. The charity also supported the Families Create Offsite= Kentish Towll Square project held on 19 August 2021. From 25 August to 28 August 2021 the charity donated gallery space to alunjtii of the London Dtatlla School. the occupier5 of 176 Prince of Wales Road before tbe charity, to facilitate the performallce of The Lesser Bobernians. The gallery also provides a hub for Velonomy Bike Workshops, a local charity. so that they may repairbi¢ycles free of charge and provide trdining on bicycle maintenallce. doing so the charity wishes to encourage ecological transport.
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT FIIY ANCIAL REVIEW The results for the year ended 29 Dwember 2021 are set out on the Slate]nent of fmancial activitie5 on page 13. The position at the end of the period is shown in the balance sheet on page 14. The irus*es are satisfied with the results for the year. Risk Management The trustes have a risk tnanagement strategy which comprises.. A regular review of the risks the charity may face. The establishment of systems and procedures 10 tnitigate those rssks idenlifIed during the review,. and The impletnentation of procedures designed to minimise any potential impact on the charity should those risks materialise. The specifjc risks are identified as follows.. Soiirees oflncome The charity has no regular source of income other than the donations it receives from tbe Zabludowicz Art Ttust. However, the Zabludowicz Art Trubt is committed in its support of the charity. Furtherdetails related to the adoption of the going concern basis ean be found in the accounting policies on page 16. GgMerolRisk5 As the public face of the Zabludowicz Collection there are risks relating to.. safety of the visiting public. staff safety,. tbeft ofldamage to art works being exhibited and damage to the building and its fixwres and fittings. The gallery's anagement teatn, led by the Artistic and Administrative Directors ensure that Staff are trained in health and safety atters. While the exhibition space is open lo the public, gallery invigilators are present to ensure the safery of the public. the works and the surtOUDding8. During busy times, such as public opening evenings, se¢urity services are retained. The gallery followed UK govemmenl coronavirus guidance in respect of its opening during lockdown periods and its interactions with the public during non-lockdown periods. Investment Power5 and Poiiey Under the memorandu and Articles of Association the charity may invest for the sole purpose of furthering its charitable objectives. No iuvestments were held during the year ended 29 December 202112020.. £nil). Reserves Policy As at 29 December 2021-. (il restricted fund5 of the charity amoLted to £nil (2020.. £nil). (li} testricted funds Bmounted to £87,553 deficit, {2020.. £57,718 deficit) of whi¢h £19,072 (2020.. £12,106) wa5 represented byfLxed assets and £106,625 deficit {2020.. £69,824 deficit) was represented bylletcurrent liabilities. During the year, the Zabludowicz ArtTrnst colltiDued its support of the cbarity and is Conllllitted to its fure support of the charity. The tNslees are satisfied with the level of reserves held. Sponsorship Policy In line with the charitable objects, the charity will fro time to time provide f]nanciai support to artists. The Director is iespoDsible for identifying and recommending suitable ¢andidates to the other trustees wbo then decide whether SUPPOrt is provided. FUNDRAISING The charity does not cany out Any direct fundraising activities but raises some funds via artist's editions. publications and the on-site Café. While llo editions were made during the year, the charity produced merchandising linked to its exhibitions- uliiD]ately giving the charity another source of income and providiDg further support to artists by commissionillg tllerchalldising concepts and designs.
Zabludowicz Art Projects (Limited by Guarantee) TRUSTEES, REPORT FUTURE PERIODS Main shows.. The l&st exhibition of 2021, The Stand-In5'. Figurative Painting from the Zabludowicz Collection was extended past its original end date to 13 February 2022. Due to diffI¢uliies in arranging a fully completed Masterclass project with a cohesive narrative. the trustees did not proceed with the 2022 Masterclass eKlll'bilion. Even though the exhibition was cancelled, the Masterclass events progratnme continued online with the Masters.. Anj Smith (Painterl, Paul Pfeiffer, Matthew Day Jackson and Shana Moulton. Among the Machine, an exhibition Created by our senior in-house curator, Paul Luckraft was held from 24 March to 17 July 2022 and exan]ined the interaction between humans and machineslnon-human entities by asking'how will we respond to a stage of evolution beyond the human?" It featured new augrnented reality artwotks created in direct response to the gallery space by Rebecca AlletTr, lan Cheng, Simon De]my, Aleksandra Domantsvic, Jake Elwes, Lyr Hersh]nan Leeson. Joey Holder, Maiguerite Humeau, Keiken. Lauren Moffalt. Tabita Rezaire, Theo Triantafyllidis and Anicka Yi. The gallery's AUlun exhibition 122 September 2022 to 12 February 2023) is the world premiere of a solo coniIn15sion from acclaimed Chillese multi-media artist Lu Yang and realises heavily on projection and new medItechnOlOgy. Invites.. Portugal Prints.. 27 January to 13 February 2022. 360.. Jeremy Couillard.. 24 February-20 March 2022 360.. Lauren Moffatt.. 24 March-29 May 2022 No further VR exlll'bitions are planned as the trnstees consider the rtrpurptssing of the VR room in order to make the space suitable for different activitie&lartistic media. STATEMETr4T AS TO THE DISCLOStJRE OF INFOR1TIoN TO THE AUDITOR In accordance with cotllpany law, as tbe charity's trustees, we certify that.. so far as we are aware, there is no relevant audit itrforniation of which the eharity's auditor is unaware. and as the trustees of the ehaTity, we have taken all the steps that we ought to have taken in order to make ourselves aware of any relevant audit itiforniation and to establish thai tbe charity's auditor is aware of that infoTrnation. The auditor, RSM UK Audit LLP, bas indicated its willinglless to continue in office. This report has been prepared in a¢cordartce with the provtsions a sall Companies. exemption. able t companies e itled to tbe By order of the trustees Chairrnau and tNstee'. CHAtM ZABLUDOWICZ Date.. 13 October 2022
Zabludowicz Art Projects (Liinited by Guarantee) STATEMENT OF TRUSTEES, RESPONSIBILITIES The tTUStees (who are also directors of Zabludowicz Art Projects for the purpose8 of company lawl ale responsible for preparing the Trustee8' Report and the financial stalemet]t% in accordan¢e with applacable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted A¢¢ounling Pra¢ti¢el. Company law requires the trn%tee.% to prepare financial Slalements for each financial year under company law the trustees must not approve the financial statements unless they are satisfied that they give a ttue and fair view of the stale of affairs of the charitable company and of the incoming resources and application of iesources, including the income and expenditure. of the charitsble con]pany for that period. In preparing these fUnCIal statements, the trnstees are required to= select suitable accounting policies and then apply themconsistently., observe the methods and principles in the Charities SORP., make judgments and estimate5 that ale reasonable andprudent. state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements: and prepare the ftnancial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue inbubine5S. The trustees ait responsible for keepsng proper accouniing records that disclose with reasonable accuracy al any titne the financial position of the charitable ¢ompany and enable them to ensure thar the fthan¢ial Statements comply the CoEnpanies Act 2006. They are also responsible for safeguarding the gssets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Zabludowicz Art Projects (Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ZABLUDOWICZ ART PROJECTS We have audited the financial statements of Zabludowicz Art Projects (the 'charilable eompany,) for the year ended 29 December 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Staternenl and notes to the financial statements. in¢luding significant accounting policies. The fjnancial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, in¢luding FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland" (United Kingdom Generally Accepted Accounting Practice). In our opinion the fn¢la1 statements.. give a true and fair view of the state of the Charitable company's affairs as at 29 December 202 1 and of its iIicoItiin8 resources and application of resources, including ils income and expenditure, for the year then ellded; have been properly prepared accordallce with United Kingdom Generally Accepted Accounting Practice- have been prepared in accordance with ihe requirements of the COpaniCS Act 2006. Basis for opinion We conducied our audit in accordance with International Standards on Auditing IUKI IISAs (UK)) alld applicable law. Our responbibilities ut]der those standards are further described in the Auditor's responsibilities for the audit of the fu¢11 statement8 section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial sialements in the UK. including the FRC'S Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requireen. We believe that the audit evidence we have obtrined is sutTicient and appioptiate to provide a basis for our opinion. Collclusiolls relating to going concer tn auditing the fanCIal statement8, we have concluded that the trustees. use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the WOTk we have perfomied, we bave not identified ally terIal uDcertaintie$ relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months froTr wben the fsnan¢ial state]nents are authorised for issue. Our responsibilities attd the responsibilities of the trnstees with respe¢t to going ¢oncem are described in the relevant sections of this report. Other Informatlon The other inforniation comprises the information included in the Trustees. Report otber than the fmancial statements and our auditor's report thereon. The tnjstees are responsible for the other inforn)ation Contained within the Trustees, Report. Our opinion on the financial statements dots not cover tbe other inforniation and, except to the extent otherwise explicitly stated in our report. we do not express any forni of assurance Conclusion thereon. Our responsibility is to read tbe other infomlation alkd, in doillg so, consider whether the other inforniatioll is materially inconsistent with the f]nancial statements or our knowledge obtsined in the course of the audit or otberwsse appeals to be ateriallY misstated. If we identify such material inconsistencies or apparent material IiS5taleD]ents, we are required to detenlline whether this gives rise to a material misstatement in tbe financial Statements thetllselves. If. based on the work we have performed. we conclude that tbere is a material misstatetnent of this other infom?ation. we are required io report that fact.
Zabludowicz Art Projects (Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ZABLUDOWICZ ART PROJECTS We have nothing to report in this regard. Opinions on olher matters prescribed by the Companies Act 2006 In our opinion. based on ihe work undertaken in the course 0£ the audit.. the inforn)ation given in the Truslee5' Report, which includes the Directors. Report prepared for the purposes of company law, for the fancial year for which the financial StamentS are prepared is consistent with the fmanctal statements,. and the Directors. Report included within the Trustees. Report has been prepared in accordance with applicable legal requiretnent8. Matters oll which we are required to report by exception In the lighi of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit. we have not identified material misstatements in the Directors. Report included within the Ttustees. Report. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept. or returns adequate for our audit have not been received from branches not visiied by us. or the fancial statements are not in agreeillent with the accounting records and returns,. or certain disclosures of INstees' remuneraiion specified by law are not made,. or we have not received all the info[all0 and explanations we require for our audit.. or the Trustees were not entitled to prepare the financial staten]enls in accordallce with the small companies, regime and take advantage of the small companies extPtIon from the requirement to prepare a Strategic Report or in prepating the Trustees. ReptsrL Re5P0115ibilitie5 of trustees As explained more fully in the Statement of TNstees' responsibilities set out on page 8, the trustees (who are also the directors of the charitable Company for the purposes of company law} are responsible for the preparation of the fmancial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees detemiine ts necessary to enable the preparation of fUncIal statements that are free from material isstatement, whether due to fraud or eOr. In preparing the financial statements, the trustees ar¢ responsible for assessing the charitable compally'5 ability to continue as a going concern, disclosing, as applicable, matters related to going concetn and using the going concem basis of accounting unless the trnslee5 either intend to liquEdate the Gharitable coD]pany or to cease operations, or have no realisttc altemative but to do so. Auditor's re5POD5ibilities for the audit of the financial Statements Our objectives are ro obiain reasonable assurance aboui whether the fancial statements as a whole are free from maierial misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a ]ll"gh level of assurance but is not a guarantee that an audit conducted in accordan¢e wsth ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or etror and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the econo1¢ decisions tsf users taken on the basis oldLese fnancial statements. io
Zabludowicz Art Projects (Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ZABLUDOWICZ ART PROJECTS The extent to which the audit was considered eapable of detecting irregularities. including fraud Itregularitles are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appFopT2ate audit evidence regardsng compliance with laws and regulations that have a direct effect on the detemination of tnaterial atnounts 2nd disclosures in the fll)ancial statements. to perfomi audit procedures to help identify instances of non-compliance with other laws and regulations that may have a aterIal effect on the fancIAl statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit. In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstaiement of the financial Statements due to fraud, to obtaln sufficient appropriate audit evidence regarding the assessed risk5 of material misstatement due to fraud IhTough de5ignillg and implementing appropriate pOnseS and to respond appropriately to fraud or suspected fraud identified during tile audit. However, it is the primary responsibility of management. with the oveTsight of those charged wEth governance, io ensure that the entity's operations are Conducted in accordance wilh the provisions of laws and regulations and for the prevention and dete¢tion of fraud. In identifying and astse&sing risks of material tnisstatement in respect of irregularities. including fraud, the audit engagement team.. obtained an understanding of the nature of the sector. including the legal and regulatory framework that the charitable company operates in and how the charitable Cotnpany is cOPIYIng with the legal and regulatory framework. inquired of nlagement, and those charg¢d with governance, about their own identification alld assessment of the rtsks of irregularities, includtng any iown actual. suspected or alleged instances of fraud,. discussed matters about non-coinpliance with laws and regulations and how fraud might occur illcluding assessment of how alld where the fUllCIal statements may be susc¢ptible to fraud. As a result of these procedures we consider the most significant laws and regulations tbat have a direct impact on the fancial statements are FRS 102. Charities SORP IFRS 102), Cottkpanies Act 2006, Charities Act 2011. the charitable company's governing document. and t&x legislatiott. We perfored audit procedllres io detect non- compliances which may have a material impact on the fllwicial statements which included reviewing the financial Statements including the TNstees' Report. remaining alert to any new or unusual transactions which may not be i a¢cordance with the governing documents. The rnost significant laws and regulations that have an indirect impact on the fillancial statements are those iti relation to Health and Safety al Work, etc Act 1974 and the Management of Health a[ Safety at Work Regulations 1999. We perfornied audit procedures to inquire of management whether the charitable company is in CopIlance wilh these law and regulations and enquired as to ally cotrespondence with regulatory authorities of which tberc was none. The audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures perfom)ed included but were not limited to testing nmttual journal entries and other adjUStentS and evaluating the business rationale in relation to any significant. unusual transactions and transactlODS entered into outside the nom)al course of business, challenging judgments alld estituates.
Zabludowicz Art Projects (Limited by Guarantee)
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ZABLUDOWICZ ART PROJECTS
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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 auditor's 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.
Sarah Mason
SAR.AH MASON (Senior Statutory Auditor) For and on behalf of RSM UK AUDIT LLP, Statutory Auditor Chartered Accountants The Pinnacle 170 Midsummer Boulevard Milton Keynes Buckinghamshire MK91BP Date 14 October 2022
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Zabludowicz Art Projects (Limited by Guarantee) STATEMENT OF FtNANCIAL ACTIVITIES (Ineorporating income and expenditure account) for the ear ended 29 December 2021 Total Unrestricted Funds 2021 Total Uttrestricted 2020 Note IP4COME FROM.. Donations and legacies Other incorne 862,418 89,038 754,919 172.069 TOTAL 951,456 926,988 EXPENDITURE ON: Raising funds Charitable activities 18,832 962,459 23,079 895,798 TOTAL 981,291 918,877 NET (EXPENDITUREII INCOME (29,835) 8.111 TOTAL FUNDS BROUGHT FORWARD 157,7181 (65.829) TOTAL FUP4DS CARRIED FORWARD 187,5531 (57,718) 13
Zabludowicz Art Projects (Limited by Guarantee) BALANCE SHEET As at 29 December 2021 Com an No.. 06269259 Nol£s 2021 2020 FIXED ASSETS Tangible as.%ets 19.072 12.106 CURRENT ASSETS Debtors 14.105 22,025 Cash al bank and in hand 15,639 6.412 29.744 28,437 CURREF4T LIABILITIES Creditors.. amounts falling due within one year {136.369) {98.261} NET CURRENT LLIBILITIES 1106,625) (69,8241 NET LIABtLITIES {87,5531 (57,718) THE FUNDS OF THE CHARITY Unrestricted funds (87,553) (87.553) (57.718} (57.7181 The financial statements have been prepared iti accordance with the provisions applicable to companies subject to the small cotllpanies, regime. Approved by the Board orise e on 13 October 2022 and signed on it5 beh&lf by CHAIM ZABLUDOWICZ CHAIRMAN AND TRUSTEE 14
Zabludowicz Art Projects (Limited by Guarantee) CASH FLOW STATEMENT For th¢ ear ended 29 December 2021 Nole5 2021 2020 OPERATtNG ACTtvtTtES Cash generated from operations io 23,301 4.719 NET CASH FROM OPERATING ACTIVITIES 23,301 4,719 ENVESTtNG ACTIVITIES Payments to acquire tangible fixed assets {14.075) (972) NET CASH USED IN INVESTING ACTtvtTIES {14,0751 19721 NET tNCREASE tN CASH AND CASH EQUIVALENrs 9,226 3,747 CASH AND CASH EQUtVALENfs AT BEGtNNING OF YEAR 6.413 2.666 CASH AND CASH EQUIVALENfs AT END OF YEAR 15,639 6,413 ANALYSIS OF CHANGES tN NET DEBT At29 Decernber 2020 Cash flows At29 December 2021 Cash at bank 2nd in hand 6.413 9,226 15,639 15
Zabludowicz Art Projects (Limited by Guarantee) ACCOUNTING POLICIES for the ear ended 29 December 2021 BASIS OF AccouwrtNG Zabludowicz Art Projects is a private co]npany limited by guarantee and a registered charity. It is registered, dc>mi¢iled and ineorporaled ][] England. The registered charity and company rtubers and iL8 principal activities are Show in the Twstees, Report. The fanCIal statements have been prepared under the ILiStori¢al Cost convention and in accordance with the Companies Act 2006. The financial staletnenL% have been prepared in a¢coidance with the Statement of Reconunended Practice.. Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) (effective October 20191 and the Charities Act2011. The Clwity constitutes a public benefit entity as def]ned by FRS 102. GOING CONCERN The charity's business activities, together with the factors likely to affect its tUre development and position. are set out in the Tru8tee5' Report on pages I to 7. The ¢harily has net liabilities. The charity 15 Teliallt on the support of the Zabludowicz Art Tru8t. The trustees consider it appropriate to prepare the financEal statements on the going cojicern basib as the Zabludowicz Art Trust ha8 indicated ils willingne%.% to continue to support the charity forat least l ? month8 following the signing of these rinancial statements andwill make sufficient funds available durulg 2022 to allow thecharity to rectify its negative reserve position at the balance sheet date. FUNCTIONAL CURRENCY The f]nancial staternellts are presented in sterling which is alsts the functional cutrency of the charity. Monetary amounis in these fancIal statements are roLmded tg the nearest whole £1, except where otherwise indicated. FOREIGN CURRENCIES Monetary assets and liabilities denominated in foreign currencies are tranblated at the rate of exchange ruling at the balance sheet date. Transactions in foreign ¢lrencieS are recorded at the rnte ruling at the date of the transaction. AII differences are taken to the Statement of Financial Activities. DONATIONS AND LEGACIES Donations are credited to the Statement of Financial Activities when Conditions of receipt have been met. All other income is recognised on an accruals basts. DONATED SERVICES Donated servsces are included in in¢ome whell the benefit to The charity is reasonably quantifiable and measurable. These are valued by the twstees al the amc>unt the charity would have been willing to pay on an open ]narket. RAISING FUNDS Income from trading operatiolls represents the invoiced value of goods sold and services provided to Vlsltors to the gallery where the charity displays its Collections. GOVERN[ GRANTS Government grants are recognised on a receivable basis as there are no specific conditiOll5 attacbed in temi8 of where or whell spent. 16
Zabludowicz Art Projects (Limited by Guarantee) ACCOUNTING POLICIES (continued) for the ear ended 29 December 2021 EXPENDITURE Expenditure is recognised when a liability 15 incurred. Direcr costs are defmed as those costs directly attribuiable to area% of ¢haritable a¢tiviiy and bUPPOrt cost5 are those not directly attributable. Total expenditure is allo¢ated between Expenditure on Raising Fund5 and Charitable Activities asfollows.. Cost headings readily identifiable to one of the above two categories are allocated in full to that particulai category. IO°/o of the seconded curator's salary and 50/0 of the interaction Curator's salary are allocated to Expenditure on Raissng Funds. The rernaitLing support costs are allocated to the Charitable Activities, as only one charitable activity 1$ recogni5ed. EXPENDITURE ON RAlStNG FUNDS These are costs incutTed in activities to raise nds. CHARITABLE ACTIVITIES Comprises those costs inCued by the charity in the execution of its activities. TANGIBLE FIXED ASSETS Fixed assets are slated at historical cost. Depreciation is provided on all tangible fLKed assets at rates calculated to write each asset down to its esttmated residual value evenly over its expected usehl life. as follows.. Leasehold improvements Computer equipment Fixtt2res, fittings and equiprnent Offiee equipment 10 /0 Straight line 25 /0 straight line IO°/o Strdight line 25°/0 8tTaight line STOCK The cost of stock is expensed through the staellt of Financial Activities as it is incurred. Unrestricted fi2nds are those funds which the trustees are free to Use in accordance with the charitable objects. RESTRICTED FUNDS Restricted funds are used for specific purposes as laid by the donor or grant rnaking body. Expenditure which meets the llecessary criteria is allocated against the fid5, togetherwitha fairallocation of overheads. The were no restricted fund5 to recognise. VALUATION OF GIFTS IN KIND Gifts kind are included in the accounts on the basis of histOriC81 cosL or if this is not readily obtainable by reference to the mark¢t value at the time the gift was ade. lliRECOVE114BLE VAT The charity is not registered for VAT. The irrecoverable VAT is reported as part of tbe expenditure to which it relates. RETIREMENT BENEFITS During the year the charity operated a defmed contribution pellsioll scheme. The amount charged to ihe Staternent of Financial Activities in respect of pension costs is the contributions payable in the year. Differences between contributions payabl¢ in th¢ year and contributions actually paid are shown as either a¢¢nlS or prepayments in the Balance Sheet. 17
Zabludowicz Art Projects (Limited by Guarantee) ACCOUNTtNG POLICIES (continued) lor the ear ¢nded 29 December 2021 FtNANCIAL INSTRUMEWts The chatity has elected to apply tlie provision5 of Section I I 'Basic Financial Instrutllents" and Section 12"Oiher Financial Instruments Issues" of FRS 102, in full, to all of its Fancial instruments. Financial instruments are classified and accounted for according to the substance of the contractual arrangement as financial assets. fInan¢ial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the asbets of the entlty after deducting all of it% liabilitieb. Financial asse¢s Basic flnancial asset5, which include other debtors and accrued income. are initially measured at transaction pri¢e including transaction costs and are subsequently carried ai amortlsed cost. Financ£al liiibililies Basic financial liabilities, whi¢h include trade creditors and accls. are initially measured at transaction price and subsequently rne&%ured at amortised cost. CRrricAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENr In the application of the charity's accounting policies. the tnLStees ale required to make judgement5, estimates and assumptions including the total amount of expenditure to be accTued at the start of each project. These estimates are continually evaluaied and are based on historical experience and other factors. including expectations of future events that ale believed to be reasonable under the circumstances. 18
Zabludowicz Art Projects (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS for the ear elided 29 December 2021 tNCOME The charity's income and net inc0e were all derived from its principal activity which arose wholly in the United Kingdom. A breakdown of the incorne is shown below.. 2021 2020 Donations and legacies Gifvcoffee Shops Income Other Income 862,418 14,106 74,932 754,920 16,397 155,671 Total incorne 951.456 926,988 EXPENDITURE Raising Funds Charitable Activities Total 2021 DIRECT COSTS Salaried staff Seconded and recharged 5tsff costs Purchases Project costs 476,460 163.569 476.460 168,152 3,792 120,483 4,583 3.792 120,483 TOTAL DIRECT COSTS 8375 760,512 768,887 SUPPORT COSTS Property expenses IT expenses Travel & entertaining Other office costs Legal & professional Depreciation Telecommunications Governance costs including audit Security Bank charges Advertising Exchange differences Donations made Annual return Insurance Bank interest payable T&x compliance fee (note 4) 17.301 8,361 2,147 4.833 74.713 7.109 4,931 31,930 1.217 257 17,301 8,361 2.410 4.833 74,713 7,109 4,93 1 31,930 1.217 257 10,194 235 34,770 13 324 263 10,194 235 34,770 13 324 13.800 13.800 TOTAL SUPPORT COSTS 10.457 201,947 212,404 TOTAL EXPENDITURE 18,832 962.459 981.291 19
Zabludowicz Art Projects (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS (continued) for the ear ended 29 December 2021 EXPENDITURE (continued) The expenditure for the year ended 29 December 2020 were categorised as follows.. Raising Funds Charitable Activities Total 2020 DtRECT COSTS Salaried staff Seeonded and re¢harged staff costs Purchases Project costs 435,709 127,756 435,709 132.35? 8,138 127,158 4.596 8,138 127.158 TOTAL DIRECT COSTS 12,734 690.623 703J57 SUPPORT COSTS Property expenses IT expenses Travel & entertaining Other office co8t Legal & profe8sional Depreciaiion Telecommunications Governance costs including audit Security Bank charges Advertising Exchange differences Donat10115 tnade A[Ual return Insurance Bank interest payable 26,125 2,607 277 7,943 109,615 4,434 5,250 19,800 3.008 393 26,125 2,607 1,461 7.943 109,615 4,434 5,250 19,800 3,008 393 9.161 684 24,817 13 147 62 1,184 9.161 684 24,817 13 147 62 TOTAL SUPPORT COSTS 10,345 205,175 215,520 TOTAL EXPENDITURE 23.079 895,798 918,877 20
Zabludowicz Art Projects (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS (continued) for the ear ended 29 December 2021 EMPLOYEES 2021 No. 2020 No. The average monthly number of per8ons employed by the charity during the year was.. 23 22 2021 2020 Staff Costs of the above persons.. Wage5 and salaries Social secutity costs Pellsion costs 400.991 35.589 23.902 371,969 29,804 22,116 460,482 423,889 No etnployee's ernolUttS exceeded £60.000 {20?O.. Nill. There are informal arrangements in place where employees of related parties are seconded io the Charity. The time spent by each secondee is recognised in the accounts as a donated service to the charity on the basis of employer cost. During the year staff costs of £94,959 (2020.. £95,077) and £73,194 (2020.. £37,275) were donated by the Zabludowicz Art Trnst and Tamares Real Estate Investments (UK) Limited respe¢tively. Contributions outstanding at the year-end in respect of the pension s¢heJne were £2,848 {2020.. £2.960} and are included in other creditors. The key management personnel of the charity are Anita Zabludowicz, Elizabetb Neilson and Virginie Morysse. The toial key Jnanagement remunerationduring the period. which comprisedsalary and pension benefits, were £81.303 {2020'. £82.620) and Employers National Insurance of £Nil {2020.. £Nil}. The Trugtees reeeived no tt]nuneration or expense reimbursements during the year {2020.. £Nil). 21
Zabludowicz Art Projects (Limited by Guarantee) NOTES TO THE FtNANCIAL STATEMENTS (continued) for the ear ended 29 December 2021 NET IEXPENDITUREIIINCOME 2021 2020 The net expenditure for the year is stated afier charging.. Auditor's remuneration., -%tamtory audit tax ¢ornpliance Depreciation (owned assets) Exchange losses 24.516 13.800 7,109 235 22,470 7,200 4,434 684 TLXATION The charity is exempt from corporatton tax on any surplus derived from its Charitable acliviiies. LIMITED BY GUARAWFEE STATUS (MEMBERS, LIABILITY) The liability of mllber8 is not to exceed £10 a member. At 29 De¢ember 202 1 there were 2 men]bers 120?0.. 2 tnembers}. TANGIBLE FIXED ASSETS Fixtures, fittings & equipment Leasehold Ip[0Veents Computer equiptnent Office Equipment Total Cosl As at 30 December 2020 Additions 13,455 80,094 11,077 102,352 2.998 13.637 209,538 14,075 As at 29 Decetllber 2021 13.455 91,171 105,350 lJ.637 223,613 Depreciation As at 30 December 2020 Charged in the year 13,455 78,429 3,602 91.911 3,507 13.637 197,432 7,109 As at 29 December 2021 13,455 82,031 95,418 13,637 204,541 Net book value As at 29 December 2021 9,140 9,932 19,072 As at 29 December 2020 1,665 10,441 12,106 22
Zabludowicz Art Projects (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS {continued) for the ear ended 29 December 2021 DEBTORS 2021 2020 Prepayments and accrued income Other debtors 9,987 4,118 10,168 11,857 14,105 22,025 CREDITORS.. Amounts falling due within one year 2021 2020 Trade creditors 12,J04 16.504 2,848 104,713 22,935 11,741 2,960 60.625 Other taxation and social security Other creditots Accruals and deferred income 136,369 98,261 10 RECONCILIATION OF NET IEXPENDITURE}I tNCOME TO NET CASH GENERATED FROM OPERATIONS 2021 2020 Net IExpenditure}/Income Adjustments for.. {29,835} 8,112 Depreciation oEiall8ible assets 7,108 4,434 Operating cash flows before moveTnents in woikjng capital (22,7271 12,546 Decrease in debtors Increasel(Decrea5e} in creditors 7,920 38,108 3,032 (10,859) Cash generated from operations 23,301 4,719 RELATED PARTY TRANSACTIONS Name ofparty Relaiionship Description of Transociio Volue oftraFLsacÉions En yeor Bolunce atyear end debto 2021 2021 2L120 2L120 Zabludowicz Art C Zabludowicz Trust F Bottetini de Pelosi TNstees' C Zabludowicz F Donated Botterini de services Pelosi received Trustees. Donations received 703,064 622.568 Zabludowicz Art Trust 94,959 95,077 23
Zabludowicz Art Projects (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS (continued) for the ear ended 29 December 2021 RELATED PARTY TRANSACTIONS continued Namc ofparty Relationship Desci'iption of Transactio Voltie ofiransuclions in year Balance &iyear end debtor 2021 202(7 2021 2020 Tamares Real Estate C Zabludowicz Investments (UK) Director Limited Briiish Friends of the C Zabludowicz Art Museutll of Israel Director Donated services received DOllad services received 60,995 37,275 1,000 24