OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-03-31-accounts

Registered number: 06670805 Charity number: 1126970

DITCHLING MUSEUM OF ART + CRAFT (A company limited by guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

CONTENTS

Page
Reference and Administration Details of the Company, its Trustees and Advisers 1
Trustees’ Report 3
Independent Examiner’s Report to the Trustees of Ditchling Museum of Art & Craft 8
Consolidated Statement of Financial Activities 9
Summary Income and Expenditure Account 10
Consolidated Balance Sheet 11
Company Balance Sheet 12
Notes to the Financial Statements 13

(A company limited by guarantee)

DITCHLING MUSEUM OF ART + CRAFT

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2023

President

Her Majesty Queen Camilla

Patrons

Mrs Jenny Kilbride Roberts MBE DL

Trustees

Carol Watts, Chair Isilda Almeida Gavin Ambrose Brian Cohen Ruth Cribb Robert Griffiths Penelope Jones Ashley Knowles Joanna Myles Mathew Clayton Philippa Hobson

Honorary Legal Counsel

Amanda Gray

Company Registration Number

06670805

Charity Registered Number

1126970

Registered Office

Lodge Hill Lane Ditchling, Hassocks West Sussex BN6 8SP

Company Secretary

Robert Griffiths

Chief Executive Officer

Stephanie Fuller

Independent Examiners

VMR Anderson BA Hons FCA DChA

1

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2023

Clark Brownscombe St Andrews Place Lewes, East Sussex BN7 1UP Bankers

CAF Bank Ltd PO Box 289 Kings Hill West Malling Kent ME19 4TA

Investment Advisers

Canaccord Genuity Wealth Management 9[th] Floor 88 Wood Street London EC2V 7QR

2

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

The Trustees present their annual report together with the unaudited financial statements of Ditchling Museum of Art + Craft ("the Trust", "the Company" or the “Museum”) for the period 1 April 2022 to 31 March 2023. The annual report and unaudited financial statements comprise the consolidated results and financial position of the Company and the Ditchling Museum Endowment Trust, registered charity number 290075 (together “the Group”). The Trustees confirm that the annual report and financial statements of the Company comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) as amended by Update Bulletin 1 (effective 1 January 2019).

Since the Company and the Group qualify as small under section 383, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.

PRINCIPAL ACTIVITY AND OBJECTIVES

Ditchling Museum was founded in 1985 by Joanna and Hilary Bourne. It is housed in a purpose-built award-winning building designed by Adam Richards Architects, which opened in 2012. The Museum holds a unique collection of work by many of the internationally known artists and craftspeople who chose to make Ditchling their home from the early 20th Century onwards, including David Jones, Sir Frank Brangwyn, Edward Johnston, Eric Gill, Ethel Mairet and Charles Knight.

The purpose of the Company is to present the story and historical context of the artists and craft workers who lived and worked in Ditchling and its surrounding communities since 1900. This is to be achieved through the acquisition, organisation, preservation, and interpretation of relevant and related objects and information and their deployment for public display, research and learning.

Vision:

A Place for Making

Inspired by the artists and craftspeople who first came to Ditchling, and in collaboration with contemporary practitioners, we connect past, present and future.

Mission:

Engage: Inspire: Create

Objectives

Key objectives planned for this period were overtaken by the COVID-19 pandemic, and an emergency plan was put into place. Primary objectives during this year were:

3

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

.

ACHIEVEMENTS AND PERFORMANCE

Collection and Exhibitions

Learning and Community

Communication and Audience Development

Commercial

Governance

4

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

Business Review, Investment Policy and Reserves

During the year the Trust’s consolidated funds decreased by £193,943 (2022: decrease of £36,953), comprising income of £343,977 (2022: £363,006), expenditure of £521,504 (2022: £404,451) and losses on investment assets of £16,416 (2022: gains of £4,492). Consolidated reserves carried forward at 31 March 2023 totalled £2,300,131 (2022: £2,494,074). Of this amount £737,810 (2022: £796,747) is unrestricted, £326,783 (2022: £395,150) are Endowment Funds and the balance of £1,235,538 (2022: £1,302,177) is restricted. The restricted funds at 31 March 2023 predominantly comprise the development fund of £1,172,063 (2022: £1,195,081), which is primarily represented by the freehold property.

The Trustees have set a policy for investment of the Trust’s assets such that available monies are invested to maximise the total return, whilst ensuring that there is sufficient liquidity for short term cash flow requirements.

The Trustees have established the minimum level of unrestricted reserves that the Trust ought to have to cover operating costs as £60,000. Reserves are necessary to bridge the funding gaps between spending on exhibitions and other projects and receiving resources. Reserves are also held to cover possible emergency repairs to the property and other expenditure. The majority of the Trust’s unrestricted reserves of £737,810 at 31 March 2023 (2022: £796,747) are represented by the property and other tangible assets.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Trustees

The Trustees, who are also directors for the purpose of company law, and who served during the year were:

Prof. Carol Watts, Chair Isilda Almeida (appointed 9 June 2022) Gavin Ambrose Brian Cohen Ruth Cribb Robert Griffiths Penelope Jones Ashley Knowles Anna Zeuner (resigned 9 September 2022) Joanna Myles Mathew Clayton Philippa Hobson

Appointment of Trustees

Trustees and their terms of office are recommended to the members of the Board of Trustees (“the Board”). All appointments and reappointments must be approved in advance by the members either in general meeting or in writing.

Governing Document

5

(A company limited by guarantee)

DITCHLING MUSEUM OF ART + CRAFT

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

Ditchling Museum of Art + Craft is a company limited by guarantee governed by its Memorandum and Articles of Association dated 21 July 2008. It is registered as a charity with the Charity Commission (Charity No. 1126970). The liability of members in the event of a winding up is limited by guarantee to an amount not exceeding £1 per member.

The Trust was established to take over the ownership and management of Ditchling Museum from the Endowment Trust under which the Museum had operated since it was founded in 1985.

The Endowment Trust retains the core investment portfolio which is subject to the terms of a new governing document or “scheme” approved by the Charity Commissioners in 2011. All income received from endowment assets inures to the benefit of Ditchling Museum Trust and is transferred in cash on receipt.

Trustees' Induction and Training

New Trustees are briefed on their legal obligations under charity and company law, the content of the Memorandum and Articles of Association, the business and finances of the Trust, the Museum Business Plan and all Museum policy documents.

Management

The business of the Trust is managed by the Board who meet at least four times per year.

The number of Trustees must be a minimum of three and a maximum of fifteen. When Trustees retire, applications are sought through open call, and nominations are sought from existing Trustees and Museum staff for their replacement. They are appointed at any of the four Trustees meetings during the year.

The day-to-day running of the Museum is delegated to a full-time Director, Stephanie Fuller. She is assisted by a full-time Collection and Buildings Officer, part-time Retail Manager, part time Visitor Services Manager, two part-time Visitor Services Assistants, a part-time Collection Curator; a part-time Communications Manager and a part time PA.

The museum also runs an extensive volunteer programme and hosts internships and offers work experience opportunities.

The Trust annually reviews its risk management processes to ensure that it is up to date and that procedures are fully understood by all concerned.

Pay Policy for Senior Staf

The Trustees consider that they and the person responsible for the day to day management of the Trust comprise the key management personnel of the Trust in charge of directing, controlling, running and operating the Trust on a day to day basis. All Trustees give their time freely and no Trustee received remuneration in the year. Details of Trustee expenses are disclosed in note 11 to the accounts. The pay of the senior staff is reviewed annually.

FUTURE PLANS

This year was seen by the Board as a transitional year of recovery and learning from the pandemic period, integrating learning around digital for audience development and commercial activity into future strategy. In particular the Board responded to the cost of living crisis with a

6

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

pay review process and worked closely with the team to lay the groundwork for future income generation. The new Business Plan will be formalised in early 2024 following work with Heritage Compass.

TRUSTEES' RESPONSIBILITIES STATEMENT

The Trustees (who are also directors of Ditchling Museum of Art + Craft for the purposes of company law) are responsible for preparing the Trustees’ Annual 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 Trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate 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.

SMALL COMPANY EXEMPTIONS

The above report has been prepared in accordance with the provisions of the Companies Act 2006 applicable to companies subject to the small companies’ regime.

This report was approved by the Trustees on 14 December 2023 and signed on their behalf by:

Professor Carol Watts Chair

7

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

INDEPENDENT EXAMINER’S' REPORT TO THE TRUSTEES OF DITCHLING MUSEUM OF ART + CRAFT FOR THE YEAR ENDED 31 MARCH 2023

I report on the financial statements of the charity for the year ended 31 March 2023, which are set out on pages 9 to 27.

Responsibilities and basis of report

As the charity’s trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (the ‘2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner’s report

Since your charity’s gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of the Institute of Chartered Accountants in England and Wales which is one of the listed bodies.

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

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Victoria Anderson BA (Hons) FCA DChA Chartered Accountant Clark Brownscombe 2 St Andrews Place Lewes, East Sussex, BN7 1UP

Date: 21 December 2023

8

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

Not
e
Unrestricte
d funds
2023
£
Income
and
endowments
from:
Donations and grants
2
25,050
Charitable activities
3
81,986
Other trading activities
4
91,185
Investments
5
714
Total income and endowments
198,935
Expenditure on:
Raising funds
4
110,005
Charitable activities
6,7,
8
209,898
Total expenditure
9
319,903
Net income/(expenditure)
before investment
gains/(losses)
(120,968
)
Net
gains/(losses)
on
investments
13
-
Net
income/(expenditure)
before transfers
(120,968
)
Transfers between Funds
18
62,031
NET MOVEMENT IN FUNDS
(58,937)
RECONCILIATION OF FUNDS
Total
funds
brought
forward
796,747
TOTAL FUNDS CARRIED
737,810		 Restrict
ed funds
2023
£
140,743
-
-
-
140,743
13,299
187,052
200,351
(59,608)
-
(59,608)
(7,031)
(66,639)
1,302,17
7
1,235,5		 Endowme
nt funds
2023
£
-
-
-
4,299
4,299
1,250
-
1,250
3,049
(16,416)
(13,367)
(55,000)
(68,367)
395,150
326,783		 Total
funds
2023
£
165,793
81,986
91,185
5,013
343,977
124,554
396,950
521,504
(177,52
7)
(16,416)
(193,94
3)
-
(193,94
3)
2,494,0
74
2,300,1		 Total
funds
2022
£
174,10
2
101,23
0
83,153
4,521
363,00
6
127,92
0
276,53
1
404,45
1
(41,445
)
4,492
(36,953
)
-
(36,953
)
2,531,
027
2,494,0
9

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

FORWARD 38 31 74

The notes on pages 13 to 27 form part of these financial statements.

10

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

SUMMARY INCOME AND EXPENDITURE ACCOUNT Excluding Endowment Funds FOR THE YEAR ENDED 31 MARCH 2023

Not
e
Gross income in the reporting period
Less: Total expenditure
Net income/(expenditure) for year
before transfers
Transfers between funds
18
Net income/(expenditure) for the
fnancial year
18		 Unrestricte
d funds
2023
£
198,935
(319,903)
(120,968)
62,031
(58,937)		 Restrict
ed
funds
2023
£
140,743
(200,351
)
(59,608)
(7,031)
(66,639)		 Total
funds
2023
£
339,678
(520,25
4)
(180,57
6)
55,000
(125,57
6)		 Total
funds
2022
£
358,51
3
(403,89
8)
(45,385
)
5,000
(40,385
)

11

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee – Registered Number 06670805)

CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2023

Not
e
Fixed assets
Tangible assets
12
Investments
13
Current assets
Stock
14
Debtors
15
Cash in hand
Creditors: amounts falling due
within one year
16
Total assets less current
liabilities
Creditors: amounts falling due
after more than one year
17
Net assets
Charity funds
Endowment funds
18
Restricted funds
18
Unrestricted funds
18
Total Funds		 £
31,259
5,782
112,052
149,093
(28,075)		 2023
£
2,089,52
6
97,736
2,187,2
62
121,018
2,308,2
80
(8,149)
2,300,1
31
326,783
1,235,53
8
737,810
2,300,1
31		 £
32,192
27,587
169,39
7
229,17
6
(17,014
)		 2022
£
2,130,99
0
166,103
2,297,09
3
212,162
2,509,25
5
(15,181)
2,494,0
74
395,150
1,302,17
7
796,747
2,494,07
4

The Group's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The Trustees consider that the Group is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members of the Company have not required the Group to obtain an audit for the year in question in accordance with section 476 of the Act.

12

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee – Registered Number 06670805)

CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2023

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees on 14 December 2023 and signed on their behalf by:

Prof. Carol Watts

The notes on pages 13 to 27 form part of these financial statements.

13

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee – Registered Number 06670805)

COMPANY BALANCE SHEET AS AT 31 MARCH 2023

Not
e
Fixed assets
Tangible assets
12
Investments
13
Current assets
Stock
14
Debtors
15
Cash in hand
Creditors: amounts falling due
within one year
16
Total assets less current
liabilities
Creditors: amounts falling due
after more than one year
17
Net assets
Charity funds
Endowment funds
Restricted funds
Unrestricted funds
Total Funds		 £
31,259
5,782
112,052
149,093
(28,075)		 2023
£
2,089,52
6
97,736
2,187,2
62
121,018
2,308,2
80
(237,196
)
2,071,0
84
97,736
1,235,53
8
737,810
2,071,0
84		 £
32,192
27,587
169,39
7
229,17
6
(17,014
)		 2022
£
2,130,99
0
166,103
2,297,09
3
212,162
2,509,25
5
(244,22
8)
2,265,02
7
166,103
1,302,17
7
796,747
2,265,02
7

The Company's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The Trustees consider that the Company is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members have not required the Company to obtain an audit for the year in question in accordance with section 476 of the Act.

14

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee – Registered Number 06670805)

COMPANY BALANCE SHEET AS AT 31 MARCH 2023

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees on 14 December 2023 and signed on their behalf, by:

Prof Carol Watts

The notes on pages 13 to 27 form part of these financial statements.

15

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1. ACCOUNTING POLICIES

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Ditchling Museum of Art + Craft ("the Trust" or "the Company") meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Statement of Financial Activities (SOFA) and Balance Sheet consolidate the financial statements of the Company and the Endowment Trust. The results of the Endowment Trust are consolidated on a line by line basis.

1.2 Company Status

The Company is a company limited by guarantee. The members of the Company are the Trustees named on page 1. In the event of the Company being wound up, the liability in respect of the guarantee is limited to £1 per member of the Company.

1.3 Going Concern

The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern

1.4 Income

All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Gifts in kind donated for distribution are included at valuation and recognised as income when they are distributed to the projects. Gifts donated for resale are included as income when they are sold. Donated facilities are included at the value to the Company where this can be quantified and a third party is bearing the cost. No amounts are included in the financial statements for services donated by volunteers.

Donated services or facilities are recognised when the Company has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the Company of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time of the Friends is not recognised and refer to the Trustees' report for more information about their contribution.

16

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the Company which is the amount the Company would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expenditure on the objects of the Company and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.

Charitable activities and governance costs are costs incurred on the Company's educational operations, including support costs and costs relating to the governance of the Company apportioned to charitable activities.

The Trust operates a partial exemption scheme for VAT purposes and the irrecoverable input VAT is shown separately as an expense within other expenditure.

1.6 Basis of consolidation

The financial statements consolidate the accounts of Ditchling Museum of Art + Craft and all of its subsidiary undertakings (“subsidiaries”, together “the Group”).

The Company has taken advantage of the exemption contained within 408 of the Companies Act 2006 not to present its own Income and expenditure account.

The income and expenditure account for the year dealt with in the accounts of the Company was net expenditure of £193,943 (2022: net expenditure of £36,953).

1.7 Tangible fixed assets and depreciation

All acquisition assets are capitalised. All other assets costing more than £1,000 are

17

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

capitalised.

Heritage assets comprise the collection of artefacts and exhibits that are held by the Trust. Such assets that were acquired by the Endowment Trust prior to March 2005 are not included as capital items in these accounts.

Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Freehold property – straight line over 50 years Fixtures and fittings – straight line over 5 years Museum collection – not depreciated

1.8 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Gains/(losses) on investments’ in the Statement of Financial Activities.

1.9 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Company; this is normally upon notification of the interest paid or payable by the bank.

1.10 Operating leases

Rentals under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term

1.11 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

1.12 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.13 Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

18

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1.14 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

1.15 Financial instruments

The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

1.16 Taxation

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

1.17 Pensions

The Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Company to the fund in respect of the year.

1.18 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 Company and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

1.19 Critical accounting estimates and areas of judgement

19

(A company limited by guarantee)

DITCHLING MUSEUM OF ART + CRAFT

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances

Critical accounting estimates and assumptions:

The Company makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical areas of judgment:

Depreciation: The Company exercises judgement to determine useful lives and residual values of property, plant and equipment. The assets are depreciated down to their residual values over their estimated useful lives.

2. INCOME FROM DONATIONS AND GRANTS

Donations
and
grants
Total 2022		 Unrestricte
d funds
2023
£
25,050
32,047		 Restrict
ed
funds
2023
£
140,743
142,055		 Endowme
nt funds
2023
£
-
-		 Total
funds
2023
£
165,79
3
174,10
2		 Total
funds
2022
£
174,10
2

3. INCOME FROM CHARITABLE ACTIVITIES

Visitors
Education income
Total 2022		 Unrestricte
d funds
2023
£
76,678
5,308
81,986
101,230		 Restrict
ed
funds
2023
£
-
-
-
-		 Endowme
nt funds
2023
£
-
-
-
-		 Total
funds
2023
£
76,678
5,308
81,986
101,23
0		 Total
funds
2022
£
83,860
17,370
101,23
0

20

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

4. TRADING ACTIVITIES

Unrestricte
d funds
2023
£
Charity trading income
Sales
71,863
Café
17,516
Venue hire
1,806
91,185
Fundraising trading expenses
Fundraising
89
Marketing
and
development
2,460
Café purchases
8,502
Cost of sales
42,114
Training,
travel
and
recruitment
351
Investment management
fees
-
General ofce costs
6,505
Support costs
49,984
110,005
Net expenditure from
trading activities
(18,820)		 Restrict
ed
funds
2023
£
-
-
-
-
-
4,581
541
297
-
-
-
7,880
13,299
(13,299)		 Endowme
nt funds
2023
£
-
-
-
-
-
-
-
-
-
1,250
-
-
1,250
(1,250)		 Total
funds
2023
£
71,863
17,516
1,806
91,185
89
7,041
9,043
42,411
351
1,250
6,505
57,864
124,55
4
(33,36
9)		 Total
funds
2022
£
67,251
12,282
3,620
83,153
1,353
15,332
5,530
45,494
476
553
6,470
52,712
127,92
0
(44,76
7)

5. INVESTMENT INCOME

Restrict
Unrestricte ed Endowme Total Total
d funds funds nt funds funds funds
2023 2023 2023 2023 2022
£ £ £ £ £
Interest and dividends 714 - 4,299 5,013 4,521

21

(A company limited by guarantee)

DITCHLING MUSEUM OF ART + CRAFT

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Total 2022 28 - 4,493 4,521

6. DIRECT COSTS

Schools projects
Exhibition expenses
Premises costs
Bank & credit card charges
Bank loan interest
Irrecoverable VAT
Sundry expenses
Staf costs
General ofce costs
Depreciation
UPPORT COSTS
General ofce costs
Travel
Training and conferences
Support costs - wages and salaries		 Charitabl
e
activities
2023
£
28,532
58,723
58,959
363
1,218
9,888
377
138,551
-
43,973
340,584
Charitabl
e
activities
2023
£
7,394
191
209
8,183
15,977		 Total
2023
£
28,532
58,723
58,959
363
1,218
9,888
377
138,55
1
-
43,973
340,58
4
Total
2023
£
7,394
191
209
7,028
12,747		 Total
2022
£
18,375
16,811
27,176
417
1,645
6,064
150
122,87
4
1,563
44,488
239,56
3
Total
2022
£
5,580
107
32
7,028
12,747

7. SUPPORT COSTS

8. GOVERNANCE COSTS

Unrestric Restricte Total Total
ted funds d funds funds funds
2023 2023 2023 2022
22

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Independent
examiners’
remuneration
Accountancy services
Legal and other professional fees
Training and travel costs
General ofce costs
Governance expense - wages and
salaries		 £
2,163
29,140
255
48
887
5,082
37,575		 £
-
-
2,814
-
-
-
2,814		 £
2,163
29,140
3,069
48
887
5,082
40,389		 £
1,895
16,657
1,360
6
669
3,634
24,221

9. ANALYSIS OF EXPENDITURE BY EXPENDITURE TYPE

Expenditure on
fundraising trading
Expenditure on
investment
management
Costs of generating
funds
Direct costs - charitable
activities
Expenditure on
governance
Total 2022		 Staf
costs
2023
£
57,864
-
57,864
138,551
5,082
201,497
179,220		 Depreciati
on
2023
£
-
-
-
43,973
-
43,973
44,488		 Other
costs
2023
£
65,440
1,250
66,690
174,037
35,307
276,03
4
180,743		 Total
2023
£
123,30
4
1,250
124,55
4
356,56
1
40,389
521,50
4
404,45
1		 Total
2022
£
127,36
7
553
127,92
0
252,31
0
24,221
404,45
1

10. STAFF COSTS

Staff costs were as follows:

Wages and salaries

2023 2022
£ £
199,93 173,35
0 3

23

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Social security costs
4,538
Other pension costs
3,812
208,28
0
he average number of persons employed by the Company during the year was as
2023
No.
Charitable activity
10		 8,051
3,188
184,59
1
follows:
2022
No.
10

The average number of persons employed by the Company during the year was as follows:

No employee received remuneration amounting to more than £60,000 in either year.

The aggregate remuneration of key management personnel, who comprise the Trustees and Chief Executive Officer was £49,539 (2022: £49,539).

11. TRUSTEES’ REMUNERATION

No emoluments were paid by the Company to any Trustees during the year (2022: £nil). No business expenses were reimbursed to Trustees during the year (2022: £nil).

12. TANGIBLE FIXED ASSETS

Group and Company
Cost
At 1 April 2022
Additions
At 31 March 2023
Depreciation
At 1 April 2022
Charge for the year
At 31 March 2023		 Freehol
d
propert
y
£
2,173,57
3
-
2,173,5
73
388,538
43,471
432,009		 Fixtures
and
fttings
£
48,814
2,509
51,323
48,814
502
49,316		 Museu
m
collecti
on
£
345,955
-
345,95
5
-
-
-		 Total
£
2,568,34
2
2,509
2,570,8
51
437,352
43,973
481,325

24

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Net book value
At 31 March 2023
At 31 March 2022		 1,741,5
64
1,785,03
5		 2,007
-		 345,95
5
345,955		 2,089,5
26
2,130,99
0

The freehold property, fixtures and fittings and the Museum collection were transferred to the Trust from the Endowment Trust on 22 March 2010 at the value recorded in the Endowment Trust. Subsequently the freehold property was re-valued according to a valuation for insurance purposes.

The areas of particular strength within the Trust’s collection are as follows:

The value of the museum collection as at 31 March 2022 has not been included in these accounts as insufficient information is available to obtain a reliable estimate of the original cost of those items.

However, the Trustees are in the process of obtaining a detailed current estimated valuation. All significant items that have been acquired by the Endowment Trust and the Trust since 31 March 2005 have been included in the accounts at their cost or estimated valuation at the time of the acquisition.

13. FIXED ASSET INVESTMENTS

Other
Listed investmen
securities ts Total
£ £ £

25

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Group and Company market value

At 1 April 2022
Additions
Disposals
Revaluations
Movement on cash account
At 31 March 2023		 161,349
146,100
(200,459)
(16,416)
-
90,574		 4,754
-
-
-
2,408
7,162		 166,103
146,100
(200,459
)
(16,416)
2,408
97,736

14. STOCK

Finished goods and goods for resale
EBTORS
Prepayments and accrued income
Other debtors		 Group and Company Group and Company
2023
2022
£
£
31,259
32,192
Group and Company		 2022
£
32,192
2023
£
5,872
-
5,872		 2022
£
27,587
-
27,587

15. DEBTORS

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans and overdrafts
Other taxation and social security
Other creditors
Accruals and deferred income		 Group and Company Group and Company
2023
£
7,032
6,644
12,524
1,875
28,075		 2022
£
6,595
3,758
5,061
1,600
17,014

17. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Group
2023
2022		 Compan
y
2023
2022

26

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Bank loans
Endowment loan		 £
8,149
-
8,149		 £
15,181
-
15,181		 £
8,149
229,047
237,19
6		 £
15,181
229,047
244,228

Creditors include amounts not wholly repayable within 5 years as follows

Group
2022
£
15,181		 Compan
y
2023
£
8,149		 2023
£
8,149		 2022
£
15,181

The bank loan is repayable by monthly instalments. The interest rate on the loan is 6.5% per annum.

The loan is secured by a charge on the property owned by the Company.

18. STATEMENT OF FUNDS

STATEMENT OF FUNDS – CURRENT YEAR

Unrestricted
funds
General funds
Endowment
funds
Endowment trust
Sackler
endowment fund
Restricted funds
Fund 1 -
Acquisitions
Fund 2
Fund 3
Fund 4		 Balance
at 1
April
2022
796,747
229,047
166,103
395,150
3,875
16,250
5,790
500		 Income
£
198,935
-
4,299
4,299
-
11,500
-
-		 Expenditu
re
£
(319,903)
-
(1,250)
(1,250)
-
(27,750)
(5,790)
(500)		 Transfe
rs
in/out
£
62,031
-
(55,000)
(55,000
)
-
-
-
-		 Gains/
(losses
)
£
-
-
(16,416)
(16,416
)
-
-
-
-		 Balance
at 31
March
2023
£
737,810
229,047
97,736
326,783
3,875
-
-
-

27

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Fund 5
Fund 6
Fund 7
Fund 8
Fund 9
Fund 10
Fund 11
Fund 12
Fund 13
Fund 14
Fund 15
Fund 16
Fund 17
Fund 18
Fund 19
Fund 20
Fund 21
Fund 22
Fund 23
Fund 24
Sub total
Capital
development
fund
Total of funds		 5,000
7,880
26,301
4,750
4,151
-
15,973
3,000
13,626
-
-
-
-
-
-
-
-
-
-
-
107,096
1,195,08
1
1,302,1
77
2,494,0
74		 (43)
-
-
-
-
3,700
-
-
-
47,705
22,050
8,000
2,600
5,000
2,000
17,000
1,000
14,700
5,100
431
140,743
-
140,743
343,977		 (4,957)
(7,880)
(26,301)
(4,750)
(4,151)
(3,700)
(12,796)
(3,000)
-
(47,705)
(13,420)
(6,632)
-
(1,405)
-
-
-
-
-
-
(170,738)
(29,613)
(200,351)
(521,504)		 -
-
-
-
-
-
-
-
(13,626)
-
-
-
-
-
-
-
-
-
-
-
(13,626)
6,595
(7,031)
-		 -
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(16,416
)		 -
-
-
-
-
-
3,177
-
-
-
8,630
1,368
2,600
3,595
2,000
17,000
1,000
14,700
5,100
431
63,475
1,172,06
3
1,235,53
8
2,300,13
1

STATEMENT OF FUNDS – PRIOR YEAR

Unrestricted
funds
General funds
Endowment
funds
Endowment trust
Sackler
endowment fund		 Balance
at 1
April
2021
831,749
229,047
162,671
391,718		 Income
£
216,458
-
4,493
4,493		 Expenditu
re
£
(242,540)
-
(553)
(553)		 Transfe
rs
in/out
£
(8,920)
-
(5,000)
(5,000)		 Gains/
(losses
)
£
-
-
4,492
4,492		 Balance
at 31
March
2022
£
796,747
229,047
166,103
395,150
28

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Restricted funds
Fund 1 -
Acquisitions
Fund 2
Fund 3
Fund 4
Fund 5
Fund 6
Fund 7
Fund 8
Fund 9
Fund 10
Fund 11
Fund 12
Fund 13
Fund 25
Fund 26
Fund 27
Fund 28
Fund 29
Fund 30
Fund 31
Fund 32
Sub total
Capital
development
fund
Total of funds		 3,875
17,500
5,790
500
5,000
7,880
5,626
4,750
7,000
-
-
-
8,626
371
2,426
1,779
13,812
4,099
-
-
-
89,034
1,218,52
6
1,307,56
0
2,531,02
7		 -
9,000
-
-
-
-
6,863
-
-
3,740
15,973
3,000
-
12,765
-
-
-
3,900
(2,752)
83,300
6,266
142,055
-
142,055
363,006		 -
(10,250)
-
-
-
-
-
-
(2,849)
(3,740)
-
-
-
(13,136)
(2,426)
(1,779)
-
(7,999)
-
(83,300)
(6,266)
(131,745)
(29,613)
(161,358)
(404,451)		 -
-
-
-
-
-
13,812
-
-
-
-
-
5,000
-
-
-
(13,812)
-
2,752
-
-
7,752
6,168
13,920
-		 -
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
4,492		 3,875
16,250
5,790
500
5,000
7,880
26,301
4,750
4,151
-
15,973
3,000
13,626
-
-
-
-
-
-
-
-
107,096
1,195,08
1
1,302,17
7
2,494,07
4

Restricted Funds

Fund 1 - Acquisitions fund Fund 18 To contribute to a specific programme of SOS Chalk Cliff Trust £5,000 acquisitions for the museum collection

Fund 2 Fund 19 To explore the different LGBTQ and disability SEMD Museum Wide £2,000 stories of our permanent collection

29

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Funds 3, 4, 5, 24
For learning enterprise projects		 Fund 20
MEND Partnership £17,000
Fund 6
To support the Phase 2 Development Plan		 Fund 21
Alan Swerdlow £1,000
Funds 7 & 28
Towards a Building Reserve Fund		 Fund 22
Arts Council England - DCMS CRF3 £14,700
Fund 8 & 11
Towards the Hamada exhibition, including a
research visit to Japan by the Director		 Fund 23
Rockerfeller Philanthropy £5,100
Fund 9 Clore foundation
Towards a blended learning project		 Fund 25
For fundraisers to develop partnerships and
philanthropy and deliver the new fundraising
strategy
Fund 10
For a whole school creative project with St
Margaret’s Primary, Ditchling		 Fund 26
For a project with elders in rural settings
Fund 12
Towards the creation of learning resources
for schools linked to the Brangwyn exhibition		 Fund 27
For capital improvements to ensure high quality
loans in the William & Margaret Rowling Gallery
Fund 13
Endowment interest for use on programming
the William & Margaret Rowling Gallery		 Fund 29
Towards the John Newling exhibition
Fund 14
Brangwyn £47,705		 Fund 30
Contribution to the development of the SEWS
Facilities Managers’ Forum
Fund 15
Arts Council Engand Project Funding
(Hamada) £22,050		 Fund 31
Covid-19 emergency funding towards core and
project costs
Fund 16
AIM Tackling Inequality Hallmark Awards
£8,000		 Fund 32
Government support for a work placement
through the Kickstart scheme
Fund 17
South East Museum Devt £2,600

SUMMARY OF FUNDS – CURRENT YEAR

Balance Balance
at 1 Transf Gains/ at 31
April Expendit ers (losses March
2022 Income ure in/out ) 2023
£ £ £ £ £ £
30

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

General funds
796,747
198,935
Endowment funds
395,150
4,299
Restricted funds
1,302,17
7
140,743
2,494,0
74
343,977
SUMMARY OF FUNDS – PRIOR YEAR
Balance
at 1
April
2021
Income
£
£
General funds
831,749
216,458
Endowment funds
391,718
4,493
Restricted funds
1,307,56
0
142,055
2,531,02
7
363,006		 (319,903)
(1,250)
(200,351)
(521,504)
Expenditur
e
£
(242,540)
(553)
(161,358)
(404,451)		 62,031
(55,000
)
(7,031)
-
Transfer
s in/out
£
(8,920)
(5,000)
13,920
-		 -
(16,416
)
-
(16,41
6)
Gains/
(losses)
£
-
4,492
-
4,492		 737,810
326,783
1,235,53
8
2,300,1
31
Balance
at 31
March
2022
£
796,747
395,150
1,302,17
7
2,494,07
4

19. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Analysis of Net Assets Between Funds – Current Year

Unrestricted
funds
2023
£
Current assets
(143,429)
Creditors due within one year
(21,043)
Creditors due in more than one
year
-
Net assets before fxed assets
(164,472)
Tangible fxed assets
902,282
Fixed asset investments
-
737,810		 Restrict
ed
funds
2023
£
63,475
(7,032)
(8,149)
48,294
1,187,24
4
-
1,235,5
38		 Endowme
nt funds
2023
£
229,047
-
-
229,047
-
97,736
326,783		 Total
funds
2023
£
149,083
(28,075)
(8,149)
112,869
2,089,52
6
97,736
2,300,1
31

31

(A company limited by guarantee)

DITCHLING MUSEUM OF ART + CRAFT

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Analysis of Net Assets Between Funds – Prior Year

Current assets
Creditors due within one year
Creditors due in more than one
year
Net assets before fxed assets
Tangible fxed assets
Fixed asset investments		 Unrestricted
funds
2022
£
(106,967)
(10,419)
-
(117,386)
914,133
-
796,747		 Restricte
d funds
2022
£
107,096
(6,595)
(15,181)
85,320
1,216,85
7
-
1,302,17
7		 Endowment
funds
2022
£
229,047
-
-
229,047
-
166,103
395,150		 Total
funds
2022
£
229,176
(17,014)
(15,181)
196,981
2,130,99
0
166,103
2,494,07
4

20. PENSION COMMITMENTS

The Group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £3,812 (2022: £3,188). Contributions totalling £698 (2022: £nil) were payable to the fund at the balance sheet date and are included in creditors.

21. RELATED PARTY TRANSACTIONS

The Group has had no transactions with related parties during the year.

22. PRINCIPAL SUBSIDIARIES

Subsidiary name Ditchling Museum Endowment Trust Charity registration number 290075 Basis of control Trust agreement Total assets as at 31 March 2023 £229,047 Total liabilities as at 31 March 2023 £Nil Total funds as at 31 March 2023 £229,047

32

DITCHLING MUSEUM OF ART + CRAFT

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

Gross income for the year ended 31 March 2023 £Nil Expenditure for the year ended 31 March 2023 £Nil

Net movement in funds for the year ended 31 March £Nil 2023

33