COMPANY REGISTRATION NUMBER: 02848451 CHARITY REGISTRATION NUMBER: 1153366 Collage Arts. Company Limited by Guarantee Financial Statements 31 December 2023 BRIAN PAUL LIMITED Chartered Accountants & Statutory Auditor Chase Green House 42 Chase Side Enfield Middlesex EN2 6NF
Collage Arts. Company Limited by Guarantee Financial Statements Year ended 31 December 2023 Page TrLtstees' annual report (incorporating the director's report) Independent auditorfs report to the members Statement of financial activities (including income and expenditure account) 13 Statement of financial position 14 Statement of cash flows 15 Notes to the financial statements 16
Collage Arts. Company Limited by Guarantee Trustees. Annual Report Ilncorporating the Director's Report) Year ended 31 December 2023 The Iruslees. who are also the directors lor the purposes of company law, present their report and the fingnGial statements of the charity for the year ended 31 December 2023. Reference and admlnSstrative details Registered charity name Collage Arts. Charity registratlon number 1153366 Company registration number 02848451 Prlncipal office and reylstered The Chocolate Factory offlce 4 Coburg Road London N22 6UJ England The trustees P M P Sherman V Hirani A Richardson YA Khan Y Slajno A Kumar Company secretary M Amb8sn2 Auditor Brian Paul Limited Chartered AccoLJnlants & Statutory Auditor Chase Green HoLJse 42 Chase Side Enlield Middlesex EN2 6NF Solicitors Derrick Bridges and Co 12 Wood Street Barnel Hertfordshire England EN5 4BQ
Collage Arts. Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) (¢Onlirtued) Year ended 31 December 2023 Structure. governance and management Governing Document The organisalion is a charitablè Company limited by guaianlee, incorporated on 27th August 1993 and registered as a charity on 18th December 1999. The powers of the charitable company are governed under ils Articles of Association. In the event of the company being wound up members are required to contribute an amounl not exceeding £10. Recruitment and appointment of new trustees The directors of the company are also charity trustees for the purposes of charity law and under the company'5 articles are known as members of the Management Committee. Under the requirements of the Memorandurll and Articles of Association the members of the Management Comrnillee are elected lo serve for a period of six years after which they rllusl be re-elected at the next Annual General Meeting. In an efftjrt to maintain a complementary skill mix, members of the Management Committee are required to provide a list of their skills land update il each yearl and in the event ol the particular skill being lost due lo reliremenl, individuals are approached to offer themselves for election for the Management CDmmillee. Trustee induction and training Trustees are invited and encouffiged to attend short training sessions on a range of governance issues. Trustees are already familiar with the work of the charity through attending regular events and meetings throughout the year. Organisalional structure Collage Arts has a Management Committee of up lo 8 members who meet every 8 weeks and are rèspongible for the strategic direction and policy ol the charity. Al present the Committee has six members from a variety ol profèssional backgrounds relevant to the work of the charity. There are up to 2 council representatives bul with no voting rights. A scheme of delegation is in place and day lo day responsibility for tho provision of the seDJices rest with the Executive Director. The Executive Director is responsible for ensuring that thè charity delivers the services specified and that key performance indicators are mel. Also, he has responsibility for the day-lo-day operational management of the Cenlre, individual supervision of the staff team and also ensuring that the team continue lo develop their skills and working practices in line with good practice. Related parties In so far as il is complimentary lo the charity's objects, the charity is guided by both local and national policy. The charity works in partnerships with the local authority and regional development agency, It has also developed partnerships with organisalions in the locality and London-wide to deliver the service it offers. Risk management The M8nagemenl Commillee has conducted a review of the major risks lo which the charity is exposed. A risk register has been established and is updated al least annually. Where appropriate, systems or procedures have been established lo mitigate the risks the charity faces. Significant external risks to funding have led to Ihe development of a strategic plan which will allow for the diversification of funding and activities. Internal control risks are minimised by the implemenlalion of procedures for aulhorisalion of all transactions and projects. Procedures are in place lo ensure compliance with health and safety of staff, volunteer8, clients and visitors to the centre. The continuing implementation of qualily systems like Matrix, Customer First. OCR, EdExcel and OCN awarding body
Collage Arts. Company Limited by Guarantee Trustees, Annual Report (Incorporating the Director's Report) (conllnue¢ll Year ended 31 Decernber 2023 systems, ensure 8 consistent quality of delivery lor all operational aspects of the charity. These procedures 8re periodically reviewed lo ensure that they continue to meet the needs of the charity. Auditors Brian Paul Limited were appointed auditors to the company and are deemed lo be reappolnted in accordan with Section 487121 ol the Companies Act 2006. Objectives and acllvltles The charity's objects specifically are., 1. To losler. promote, develop and advance the educalion of the publi¢ resident. working or studying in the Greater London area, in all aspects of the arts, in particular but not exclusively by.. the provision and maintenance of a public arts facility Icurrenlly known as the 'Chocolate Factory,)., the provision and organisation of exhibitions, literature. music, comedy, theatre events and communily festivals.. the provision of ecSuc21ion, training or retraining in the arts, partiCLJ18rly amongst people in need by reason of their youth, age, disability, ill-heallh, financial hardship or othèr social or economic disadvantsge - the relief of unemployment and the creation of employment opportunllies. 2. To promote social inclusion for the public benefit by preventing people from becoming s(Kially excluded, relieving the needs of those people who are socially excluded and assisting them to integrate into society by using all aspects of the 8rts, theoretical and applied. lo improve lives in the Greater London area. For the purpose of this clause 'socially excluded, means being excluded fro society, or part5 of society, as a result of one of more of the following factors.. unemployment., financial hardship,. youth or old age", ill health Iphysical or mental). substance abuse or dependency including alcohol and drugs., discrimination on the grounds of sex, race, disability, ethnic origin, religion, belief, creed, sexual orientation or gender re-assignment., poor eduealional or skills allainmenl., relationship and family breakdown., poor housing Ilhat is housing that does not meet basic habitable standards,. crime {eilher as a victim of clime or as an offender rehabililaling into society). The main objectives and activities for the year continued to fo¢us upon,'_ The management of Collage Arts spaces 1, 2, 3 and the new space 4 The provision of training aimed at young people and marginalised sections of the community to assist in relieving unemployment, providing vocational training. mentoring and development of social inclusion,. The provision ol Information, Advice and Guidance IIAGI and ongoing support specifically aimed al long term unemployed and economically inactive BAME women in to Employment, Enterprise and Training. The delivery ol three European projects, Talent Matching, AMICO and CREUS.- The organising of community festivals, exhibitions. lileralure. music, theatre and children's theal Strategic report The following sections for achièvements and performance and financial review form the strategic report of the charity,
Collage Arts. Company Limited by Guarantee Trustees, Annual Report (Incorporating the Director's Report) (¢ontlntsÈdl Year ended 31 December 2023 Achievements and performance The Trustees Report for 2023 highlights the ch811enges faced by Collage Arts in the aftermath of the Covid-19 pandemic and the additional strain posed by the cosl-ol-living crises, including rising ulililies and inflation costs. also the lin31 part of European funding 13 projeclsl came lo an end with Brexit. Despite these difficulties, Collage Arts managed to adapt and continue ils Mission of supporting ils communities and promoting artists and crealivily. Highlighted below afe some ol the key achievements of 2023. 1.Challenges of 2023.. The year was characterised by the challenges of recovering Irom the pandemic and adjusting lo a posl-COVID landscape, exacerbated by rising costs. 2.The first cassjalty of the changing funding landscape for charities like Collage Arts, was the closure of Collage Works as we were not able lo raise the funding required to continue our support of Young Adults and Entrepreneurship. We had lo let go of three very experienced members ol staff with heavy sadness. Later in 2023, we were able lo develop a partnership with CLOCK Your Skills Creative Bool Camps which has enabled us lo continue to support Young Adults into employment and enterprise. 3.Collage Voices Continued lo provide Saturday classe5 in performat)¢o, Ihealre. creative writing, and digital music for over 150 young people. The Paul Hamlyn Foundation Teacher Development Fund Project, Voices for the Future funded further work with six Primary schools in Haringey, allowing Collage Voices to place established artists all six schools and leading lo improved atlainmenl levels_ Other projects of note in 2023 were Conlinualion of Windru5h Community support. with more inlergeneralional projects with local Secondary schools and Windrush Elders which led lo 4 Primary school books display campaign, working with 4 Secondary schools published that re-lold the history of four people who came on the HMT Empire Vvlndrush and how their professions impacted Britain positively forever. Copies of the 4 books were given lo every Primary School in Haringey1661 and the resulting exhibition of the whole project was displayed b1 in 2023. 4.Collage Community continued lo support the All-Nalions Well-Being Group for the elderly and vulnerable people from Caribbean Windrush communities They mel every week with lunch lo meet and various arts aclivilies. All Nations grew in 2023 with the group growing and becoming more diverse and inclusive. All the members have physical disabilities including poor mobility, or mental health conditions, and life changing health conditions. 5,Kar8mel returned into action under Collage Arts management with )th chefs having recovered from Long Covid. Initially opening on Thursdays and Friday evenings only when an event was scheduled and al the weekends from 1pm lo 10pm. The new Karamel has become a venue fiTsI and this approach has been very SUesSfUl. Al the end of 2023 the jazz programming had risen to number 7 as a jazz club in London and the Vegan Sunday Roast won the best Vegan Roast lille wlth the London Vegans Website. 6.Despile the challenges faced, Collage Arts continued lo deliver programrnes and proje¢ls that supportod over 3000 young people. initiated SUPF)Ort projects for the elderly and those experiencing mental health issues and continued lo serve the broader commL¥nity of artists and musicians across London. 7.The Trustees and Senior Management worked very hard on slabilising the Strategy pul in place in 2022. They followed and monitored the strategy very closely and made sure it brought about the changes and impact required. Prolitabilily and reserves remained the priority focus, and this led lo a sharp focus of both McQueen's and Karamel incom2 lo maximise profil for the organisation.
Collage Arts. Company Limited by Guarantee Trustees, Annual Report (Incorporating the Director's Report) {conlinued) Year ended 31 December 2023 8.To overcome difficult funding landscape, more partnerships developed with CLOCK. mentioned above Hustle Wrestling Training School, the Vegan Gommunity and meelups and several fundraising events were organised throughout the year by Collage Voices. Financial review The Income of the Charilyfor the year ended 31st December 2023 was £1,468.630 12022.. £1,732.6321, whèreas the costs of Charitable Activities were £1,322,694 12022. £1,782,046) and Governance Costs were £6,000 (2022.. £6,960). During the year the overall net asset of the Charity increased from £118.197 to £258,133. The income of the Ghaiity is prsmarily derived from grants and rental income. The ¢harily Is striving to achieve a policy of maint8ining working capital reserves of £100.000. The charity faces many uncertainties as sel out in note 3 to the accounts. The trustee's actions and projection5 arising therefrom lead them to beSieve that the charity tfftdes as a going concern. Trustees. rÈsponsibilitles statement The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees, report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law quireS the charity trustees to prepare financial statements for each year which give a true and fair view of the slate of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period. In preparing these financial stalemenls, the trustees are required lo.. select suitable accounting policies and then apply them con5islently', observe the methods and principles in the applicable Charities SORP., make judgments and accounting estimates that are reasonable and pNdent', stale whether applicable UK Accounting Standards have been followed, subject lo any material departures disclosed and explained in the financial slatemenis., prepare the linan¢ial slalements on the going Goncern basis unless il Is inappropriate lo presume that the charity will ¢ontinLJe in business. The trustees are responsible for keeping adequate accounting records that are sufficient lo show and explain the charily's transactions and disclose with reasonable accuracy al any lime the financial position of the charity and enable them lo ensure that the financial slalemenls comply with the Companies Act 2006. They are also responsible for safVarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Collage Arts. Company Limited by Guarantee Trustees, Annual Report (Incorporating the Director's Report) Icontlnued) Year ended 31 December 2023 Audltor Each of the persons who is a trustee al the date of approval of this report confirms Ihal.. so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware.. and they have taken all steps that they ought lo have taken as a Iruslee lo make themselves aware of any relevant audit information and lo establish that the charity's auditor is aware of that information. The Iruslees, annual report and the strategic report were approved on 11 November 2024 and signed on behalf of the board of trustees by.. V Hirani Trustee
Collage Arts. Company Limited by Guarantee Independenf Auditor's Report to the Members of Collage Arts. Year ended 31 December 2023 Opinion We have audited the financial statements of Collage Arts. Ithe 'charity'l for the year ended 31 December2023 which comprise the slalement of financial activities {including income and expenditure accounll, statement ol financlal position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting St8nd8rds, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Genèrally Accepted Accounting Pra¢lieel. In our opinion the financial statements., give a true and fair view of the slate of the charity's affairs as al 31 December 2023 and of its incoming resources and application ol resources. including its income and expenditure, for the year then ended., have been properly preparèd in accordance with United Kingdom Generally Accepted Accounting Practice,. have been prepared in accordance with the requirements of the Companies Act 2006 and the Gharilies Act 2011. Basis for opinion We conducted our audit in accordance with Intemalional Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the audilorfs responsibilitie8 for the audit of the financial statements section ol our report. We are independent of the charity in accordance with the ethical requirements that are relevant lo our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believè that the audit evidence we have obtained is sUleI and appropriate to provide a basis for our opinion. Conclusions rglating to going concern We draw allenlion lo note 3 in the financial slatem&nts, which indicates the steps being taken lo overcome the effect ol Covid-19. These uncertain conditions have been considered and our opinion is not modified in respect of this matter.
Collage Arts. Company Limited by Guarantee Independent Auditor's Report to the Members of Collage Arts. {Gonl1uVd) Year ended 31 December 2023 Other Information The other information comprises the inft)rmalion included in the annual report, other than the ft"nancial statements and our auditor's report thereon. The trustees are responsible for the other information. Our opinion on the financial statements doès not Cover the other information 2nd, except lo the extent otherwise explicitly staled in our report, we do not express any form of assurance conclusion thereon. In connectiori with our audit of the fin8nclal slatemenls. our responsibility 15 to read the other information and, in doing so, consider whether the other information is materially inconsislenl with the financial slalements, or our knowledge obtained in the audit or othepNise appears to be materially misstated. If we identify such material inconsistencies or apparent m21erial misslalemenls. we are quired lo determine whether there is a material misslalement in the financial statements or a material misstatement of the other infoimalion. If, based on the work we have performed, we conclude that there is a material misstalemenl of this other information, we are required to report that fact. We have nothing lo reFX)rt in this regard. Opinions on other matters prescribed by the Companles Aet 2006 In our opinion, based on the work undertaken in the course of the audit. the information given in the tnjstees, report frjr the linancial year for which the financial statements are prepared is consistent with the financial statements,. and the trustees, report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exceptlon In the light of the knowledge and understanding of the charity 2nd ils environment obtained in the course of the audit. we have not identified material misstatements in the Iruslees. report. We have nothing lo report in respect of the following mallers in relation lo which the Companies Act 2006 and the Charities Act 2011 requires us lo report lo you if, in our opinion.. adeqLJale accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us., or the financial slalements are not in agreement with the accounting records alld reluTns', or certain disclosures of Iruslees. remuneration specified by law are not made., or we have not received all the infom)alion and explanations we require for our audit_
Collage Arts. Company Limited by Guarantee Independent Auditor's Report to the Members of Collage Arts. (contlnuedj Year ended 31 December 2023 Responslbllltles of trustees As explained more fully in the Iruslees, responsibilities slalemenl, the trustees (who are also the directors for the purposes of company lawl are responsible for the preparation of the financsal statements and for being satisfied that they give a true and fair view. and lor such inlemal control as the trustees determine 15 necessary to enable the preparation of financial slalemenls that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, thè Iruslees are responsible lor assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related lo going concern and using the going Coll[n basis of accounting unless the Irusleès eilher intend lo liquidate the charity or lo cease operations, or have no realistic alternative bul to do so.
Collage Arts. Company Limited by Guarantee Independent Auditor's Report to the Members of Collage Arts. (continued) Year ended 31 December 2023 Auditor's responsibllitie8 for the audtt of the financial statements Our objectives are to obtain reasonable ?ssuranTr about whether the financial statements as a whole are free from material misstalemenl, whether due to fraud or error, and lo issup an auditor's report that ncludes our opinion. Reasonable assurance is a high level of assurance bul 15 not a guarantee that an sudil conducted in accordance with ISAS {UKI will always delecl a material misslalement when il exists. Misslalemenls can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis ol thesè financial slatemenls. Irregularities, including frauLI, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, lo detect material misslalemenls in respect of irregularities, including fraud. The exlenl to which our procedures are capable of detecting irregularities, including fraud is detailed below.. The extent to which the audit was considered capable of detecting irregularities including fraud. Our approach to identifying and assessing the risks of material misststement in respect of irregularities, including fraud and non-compliance with laws and regulations. was as follows.. the engagement partner ensured that the engagement team collectively had the appropriate compètence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations., we identified the laws and regulations applicable lo the company through discussions wllh directors and other management, and from our knowledge and experience of the chayity sector- we focused on specific laws and regulations which we considered may have 8 direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, Charities Act 2011, UK Taxes Acts, data protection, anli-bribery. employment, environmental and health and safety legislation.. we assessed the extent of compliance with thelsws and regulations identified abovè through making enquiries of management and inspecting legal correspondence.. and identified laws and regu181ions were communicated within the audit team regularly and the team remained alert to instances of non.compliance throughout the aL¢dit. We assessed the susceplibilily ol the company'5 linancial ststements lo maleaal misstatement. including obtsining 2n understanding of how fraud might occur, by.. making enquirlès of management as to where they conSided there was susceptibility lo fraud, their knowledge of actual, 8U8pecled and alleged fraud., considering the internal controls in place to miligale risks of fraud and non-compliance with laws and regulations., ancl To address the risk of fraud through management bias and override of controls, we., performèd analytical procedures lo Identify any Ltnusual or unexpected relationships.. tested journal entries to identify unusual Iransaclions., 10
Collage Arts. Company Limited by Guarantee Independent Auditor's Report to the Members of Collage Arts. (¢E¥ntirtueLI) Year ended 31 December 2023 investigated the rationale ljehind significant or unusual transactions; and In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not 5imiled to.. agreeing financial statement disclosures lo underlying supporting documentation-, enquiring of management 8$ to aclual and potential liligalion and claims,, There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial Iransaetions, the less likely il is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required lo identify non-compliance with laws and reguSalions lo enquiry of the directors and other managernenl and the inspection of regulatory and legal correspondence, if any. As part of an audit in accordance with ISAS (UKI, we exercise professional judgment and malntain professional SpIlGIsM throughout the audit. We also.. Identify and assess the risks of material misststement of the financial statements, whether due lo fraud or error, design and perform audit procedures responsive to those risks. and obtain audit evidence that is sufficient and appropriate lo provide a basis for our opinion. The risk of not detecting 2 material mis5talement resulting from fraud is higher than for one resulting from error. as fraud may involve collusion. forgery. intentional omissions, migrepresentalions, or the override of internal conlrol. Obtain an understsnding of internal control relevant to the audit in order lo design audit procedures that are appropriate in the circumstances, bul not for the purpose of expressing an opinion on the effectiveness of the internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimate$ and related disclosures made by the trustees. Conclude Dn the appropriateness of the trustees. use of the going concèrn basis of accounting and, based on the audit evidencè obtained, whether a material uncertainty exists related lo events or conditions that may cast significant doubt on the charity's ability lo continue as a going concern. If we conclude that a material unrtainlY exists, we are required lo draw attention in our auditor's retK)rt to the related disclosures in the financial slalemenls or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up lo the dale of our auditor's report. However, future events or conditions may cause the charity lo cease lo continue as a going GOnrn. Evaluate the overall presentation, structure and content of the financial slalemenls, including the disclosures, and whether the financial statements represent the underlying transactions and events in a rnanner that achieves fair presentation, 11
Collage Arts. Company Limited by Guarantee Independent Auditor's Report to the Members of Collage Arts. (contlnuedj Year ended 31 December 2023 We communicate with those charged with governance regarding, among other mallers, the planned scope and timing of the aLidil and significant audit linding5, including any significant deficiencies in internal control that we identify during our audit. Use of our report This report is made solely lo the charity's members, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's members those mallers we are required lo state lo them in an auditor's report and for no other purpose. To the fullest extent permilled by law, we do not acpt or assume responsibility lo anyone other than the charity and the charity's members as a body. for our audit woik, for this reFN)rt, or for the opinions we have formed. Parvez Dalal (Senior Ststutory Audltor) For and on behalf of Brian Paul Limited Chartered Accountants & statutory audltor Chase Green House 42 Chase Side Enfield Middlesex EN2 6NF 1311112024 Date.. 12
Collage Arts. Company Limited by Guarantee Statement of Financial Activities (including income and expenditure account) Year ended 31 December 2023 2023 Reslricled funds Total funds Tolal lunds 2022 Unreslricled funds Note Income and endowments Donations and legacies Investment income other income 187,568 35 985,728 295,299 482.867 35 985,728 646,810 1,085,822 1,732,632 Total income 1,173,331 295,299 1,468,630 Expenditure Expenditure on charitable activities Total expenditure 8,9 1,028,487 1,028,487 300,207 1,328,694 1,328,694 1,789.006 300,207 1,789,006 Net incomellexpenditure) and net movement In funds 144,844 {4,9081 139.936 156.374} Reconciliation of funds Total funds brought forward Total funds carried forward 81,724 36,473 118,197 174,571 118,197 226,568 31,565 258,133 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditu derive from continuing activities. The not&s on pages 16 to Errorl Bookmark not defined, form part of these fEnancial statements. 13
Collage Arts. Company Limited by Guaranteo Statement of Financial Position 31 December 2023 2023 2022 Note Fixed assets Tangible fixed assets 15 715,659 733,809 Current assets Debtors Cash al bank and in hand 16 408,942 23.115 493,860 104 432.057 493,964 Credllors- amounts falling due wlthin one year Net current liabilities 18 688,201 900,856 406,892 256.144 Total assets less current liabllities 459,515 326,917 Creditors: amounts falling due after more than one year Net assets 19 201,382 258,133 208,720 118,197 Funds of the charity Reslricled funds Unrestricted funds 31,565 226,568 258,133 36,473 81,724 Total charity funds 22 118,197 These financial statements were approved by the board of Iruslees and aulhorised for issue on 1.1 Noyember. 2024 ..... and are signed on behalf oflhe board by.. V Hirani Trustee The not95 on pages 16 to Error! Bookmaik not defined. form part of these financial statements. 14
Collage Arts. Company Limited by Guarantee statement of Cash Flows Year ended 31 December 2023 2023 2022 Note Cash flows from operating activities Net incomellexpendilurel 139.936 {56,3741 Adjustmenls for.. Depreciation ol tangible fixed assets Other interest receivable and similar income Interest payable and similar charges Accrued expensesllincomel 50,269 1351 41,315 60,360 50,779 39.275 159,9761 Changes in.. Trade and other deblors Trade and other creditors 24,933 1184,3881 132,390 11,408 68,877 Cash generated from operations 53,989 Interest paid Interest received 141,3151 35 139,2751 Nel cash from operating 8Glivilies 91,110 14,714 Cash flows from investing activities Purchase of tangible assets Nel cash used in investing activities 132,1191 132,119} 155,4321 155.432} Cash flows from financing activitles Proceeds from borrowings Nel cash used in financing activities 134,6241 134,6241 112,3981 112.3981 Net Increasellde¢reasel in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year 24,367 19,3351 15.032 153,1161 43,781 17 19,3351 The notes on pages 16 to Errorl Bookmarf( not defined. form part of these financial statements. 15
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements Year ended 31 December 2023 General information The charity is a public benefit entity, and a private company limited by guarantee, registered in England and Vvales and a registered charity in England and Wales. The address of the registered office is The Chocolate Factory, 4 Coburg Road, London, N22 6UJ, England. statement of compllance These financial slaletnenls have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland., the Slalerllenl of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102} (Charities SORP IFRS 10211 and the Companies Act 2006. Accounting policies Basis of preparation The financial statements have been prepared on the historical cost basis. The financial statements are prepared in sterling, which is the fL¢nctional currency of the entity. Going concern In light of the post covid-19 world and war in Europe the Iruslees have considered the future trading projections. In consideration of these projections th& directors are monitoring both and have taken various steps lo improve short term cash flow and long-lerm suslainabilily. Strategies and policies lo manage the evolving developments have been implement by them, specifically. Repositioning project uptake and progress Changing its way of working lo the use of a remote offi Moving delivery of project online dentifying new Patrons to support specific project delivery Gelling support from funders already funding the organisation like Big Issue Invest and IWOCA Implementing a cost reduction package The director's projections lead them lo believe that the charity has sufficient resources to bear the global iwpact within ils particular sector. Judgements and key sourcos of estimatlon uncertainty In producing these accounts, the trustees have considered accounting policie5 & relevant eslimales. In the Iruslee's opinion and lo the best of their knowledge significant accounting entries are based upon facts. However, these accoLJnls do include estimates in relation to useful life of assets and immaterial prepayments and accruals. 16
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements (conllnuedj Year ended 31 December 2023 Accountlng pollcles (contfnued) Fund accounting Unreslricled funds are available for use at the discretion of the Iruslees lo further any of the charity's purposes. Designated funds are unreslricled funds earmarked by the trustees for future project or commitment. Reslricled fvnd8 are subjected to restrictions on their expenditure declared by the donor Dr through the terms of an appeal and fall into one of two sub-classes-. restricted income funds or endowment funds. Incoming resources All incoming resources are included in the statement of financial activities when entillemenl has passed lo the charity., il is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specifi¢ policies are applied to particular categories of income- income from donations or grants is recognised when there is evidence of entillemenl lo the gift, receipt is probable and ils amount can be measured reliably. legacy income is recognised when receipt is probable arsd entitlementls estsbli5hed. income from donated goods is measured at the fair value of the goods unless Ihls is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received il the value can be reliably measured. No amounts are included for the contribution of general volunteers. income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it lo be spent on a particular purpose and returned if unspent, in which case il may be règarded as reslricled. 17
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements fcontinuedj Year ended 31 December 2023 Accounting policies {continuedJ Resources expended Expenditure is recognised on an accruals basis as a liability is incLJrred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings ol the slalèmenl of financial activities lo which it relates- expenditure on raising funds includes the costs of all fundraising activities, events, non- charitable trading activities, and the sale of donated goods. expenditure on charitable activities includes all costs incurred by a charity in undert2king activities that further ils charitable aims for the benefit of its beneficiaries, including those support costs and costs relating lo the governance of the charity apportioned lo charitable activities. other expenditure includes all expenditure that is neither related lo raising funds for the charity nor part of ils expenditure on charitable activities. All costs are allocated lo expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated direclly lo that activity. Shared costs are apportioned beiween Ihe activities they contribute to or) a reasonable, justifiable and consistent basis. Tanglble assets Tangible assets are initially recorded at cost, and subsequently stated at cost less any accutnulaled depreci81ion and impairment losses. Depreclation Depreciation is calculated so as to write off the cost or valLtalion of an asset, less Its 81al value, over the useful èconomic life of that asset as fo11ows'. Short leasehold propety Fixlurgs and fillings Over the period of lease 250/0 slraighl line Impairment of fixed assets A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Vthere the carrying value exceeds the recoverable amount, the asset Is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting dale. For the purposes ol impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of Ihe recoverable amount of the cash- generating unil lo which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and gener21es cash inflows Ihat18rgely independent of Ihe cash inflows from oiher assets or groups of assets. 18
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements (contlnued) Year ended 31 December 2023 Accounting polieles (conliJFued) Financial instruments A financial asset or a financial liability is recognised only when the charity kcomes a party lo the contractual provisions of the instrument. Basic financial instruments arè initially recognised al the amount receivable or payable including any related transaction costs. Current assets and current liabilities are subsequently measured al the cash or other consideration expe¢led to be paid or received and not discounted. Debt Instruments are subsequently measured al amortised cost. Definad contribution plans Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recogtEised as an asset lo the extent that the prepayment will lead ID a Teduclion in future paymen15 or a cash refund. When conlributtons are not expected lo be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present Value basis. The unwinding of the discount is recognised as an expense in the period in which it arises. Limited by guarantee The Company is a company Limited by Guarantee. Under the terms of the company's Memorandum ol Association. every member ol the Association undertakès lo contribute lo the assets in the event that the company is wound up during the lime that he is a member lor within one year of ceasing to be a member) and should the assets of the company be insufficient to meet 118 liabilities on winding up_ The extent of each members contribution to the assets in such circumstances is however limited 10 2 maximum of ten pounds sterling. 19
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements f¢onllnuedJ Year ended 31 December 2023 Donatlons and legacies Unreslricled Funds Reslricled Total Funds Funds 2023 Grants General grants Access Reach Jack Pelchey European Arts Council PRS Foundation Sl Williams Jumbo Collage Works Big Issue Alexander Primary Haringey Council Future Wood Green Creative Academy Tollenham Grammar Windrush Kickslart Home Office BBC 1 Children in Need 187.568 187,568 15,000 2,300 62,953 15,000 2,300 62,953 4,500 4,595 4,500 4,595 95,079 95,079 56.486 11.730 56,486 11,730 2,186 7,000 18.560 2,186 7,000 18,560 990 13.920 990 13,920 187,568 Unrestricted Funds 295,299 482,867 Reslricled Total Funds Funds 2022 Grants General grants Access Reach Jack Pelchèy European Arts Council PRS Foundation St William5 Jumbo Collage Works Big Issue Alexander Primary Haringay Council Future Wood Green Creative Academy Tottenham Grammar Windrush Kickstart 123,105 123,105 11,400 40,000 1,840 11,400 40,000 1,840 7,300 18,120 61,962 39,468 52,866 47,324 10,000 41,473 7,300 18,120 61,962 39,468 52,866 47,324 10,000 41,473 191,952 191,952 20
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements (contlnued) Year ended 31 December 2023 Donations and legacies IconliFJupdJ Unreslricled Funds Restricted Total Funds Funds 2022 Home Office BBC Children in Need 123,105 523.705 646,810 Investmgnt Income Unrestricted Tolal Funds Unreslricled Total Funds Funds 2023 Funds 2022 Bank interest receivable 35 35 Other income Unreslricled Total Funds Unreslricled Total Funds Funds 2023 Funds 2022 Other income- Rental income Other incoming resources Kararnel Restaurant 895, 100 18,875 71.753 895,100 18,875 71,753 1,043,452 42.364 1,043,452 42,364 985.728 985,728 1,085,822 1,085,822 21
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements l¢ontintsedJ Year ended 31 December 2023 Expendrture on charitable actSvities by fund type Unreslricled Funds Restricted Total Funds Funds 2023 General donations Access Reach Windrush Kickslart BBC Children in Need PRS & Home Office European Projects Creative Academy Tottenham Grammar Arts Council Collage Works Haringey Council Jumbo Big Issue Jack Pelchey Alexander Prirllary Alexander Primary Future Wood Green Sl William Karamel Restaurant Support costs 957,716 1,496 15.000 18.559 8,853 13.920 5.490 58,089 2,186 7,000 959,212 15,000 18,559 8,853 13,920 5,490 58,089 2,186 7,000 8,700 94,921 11,730 8,700 94,921 11,730 2,300 56,069 2,300 56,069 4,594 4,594 56,071 6,000 1,328,694 56,071 6,000 1,028,487 300,207 Unreslricled Funds Restricted Total Funds Funds 2022 General donations Access Reach Windrush Kickslart BBC Children in Need PRS & Home Office European Projects Creative Academy Tottenham Grammar Arts Council Collage Works Haringey Council Jumbts Big Issue Jack Pètchey Alexander Primary Future Wood Green Sl Williams Karamel Restaurant 1,200,317 1.496 1,201,813 8.173 177.179 8,173 177,179 90,915 41,474 90,915 41.474 1.840 66,205 47,325 18,120 39,467 11,4DO 52,866 10,000 7,300 1.840 66,205 47,325 18,120 39,467 11,400 52,866 10.000 7.300 7.971 7,971 22
Collage Arts. Company Limited by Guarantee Notss to the Flnancial Statements (conllnuedj Year ended 31 December 2023 Support cos 6,960 1,215,248 6,960 1,789,006 573,758 Expenditure on charitable activities by activity type Activities undertaken directly Support Total funds costs 2023 Tol81 fund 2022 Genèral donations Access Reach Windrush Kickslart BBC Children in Need PRS & Home Offi European Projects Creative Academy Tollenham Grammar Arts Council Collage Works Haringey Council Jumbo Big Issue Jack Pelchey Alexander Primary Future Wood Green Sl Williams Karamel Restaurant Governallce costs 959,212 15,000 18,559 8,853 13,920 5,490 58,089 2,186 7,000 8,700 94,921 11,730 959,212 15,OOD 18,559 8,853 13,920 5,490 58,089 2,186 7,000 8,700 94,921 11,730 1.201,813 8,173 177,179 90,915 41,474 1,840 66,205 47,325 18,120 39.467 11,400 52,866 10,000 7,300 7,971 6,960 2,300 56,069 2,300 56,069 4.594 56,071 4,594 56.071 6,000 6,000 1,322,694 6,000 1,328,694 1,789,0( 10. Net incomellexpenditurel Nel incomel{expenditurel is staled after chargingl(creditingl'. 2023 2022 Depreciation of18ngible fixed assels 50,269 50,779 11. Auditors, remuneration 2023 2022 Fees payable for the audit of the financial statements 6,000 6,960 23
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements ItorJtinuÈ¢rfJ Year ended 31 December 2023 12. Staff costs The total staff costs and employee benefits for the reporting period are analysed as follows.. 2023 2022 Wages and salaries Social security costs Employer contributions lo pension plans 272,612 23,086 5,910 404,6TT 34,643 6,533 301,608 445,853 The average head count of employees during the year was 12 {2022.' 191. The average number of full-lime equivalent employees during the year is analysed as follows-. 2023 No. 2022 No. Number of stsff - support staff Number of staff - head office 1D 17 12 19 No employee received employee benefits of more than £60,000 during the year (2022= Nill. Key Management Personnel Key management personnel include als persons that have authority and reswnsibilily for planning, directing and controlling the activities of the charity. The lo181 compènsation paid lo key management personnel for sèrvices provided lo the charity was £17.25012022.' £50,000). 13, Trustee remuneratlon and expenses There were no trvslee's remuneration or benefits for thè yèar ènded 31 st December 2023 nor for the year ended 31st December 2022. There were no Iruslee's expenses paid for the year ended 31st December 2023 nor for the year ended 31st December 2022. 24
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements fcontsnued) Year ended 31 December 2023 14. Analysis of expenses 2023 2022 Training lees Rental costs Office costs Legal 8nd professional Evènt CO8ls Bank and loan inlerest charges Staff costs and employer Nl Premises and wmpuler costs Support cosis Karamel Depreciation 227,032 593,419 38.509 7.415 16.946 41.615 301.608 9.800 6,000 36.081 50.269 281,090 873,792 42,186 22,912 20,g83 39,275 445,853 2,691 6,960 2,485 50,779 1,328.694 1,789,006 15. Tangible flxed assets Short leasehold Fixtures and User defined propety fittings asset Total Cost Al 1 January 2023 AdditiOnS 1,651,940 1,920 1,853,860 662,974 999 33.100 29.200 2,248,014 32,119 2,280,133 At 31 December 2023 563,973 62.300 Deprpciation At 1 J2nuary 2023 Charge for the year At 31 Decembgr 2023 983,974 35,154 530,231 15,115 1.514,205 50,269 1,019,128 545,346 1,564,474 Carrying amount At 31 December 2023 634.732 18,627 32,743 62,300 715,659 733,809 Al 31 December 2022 667,966 33.100 25
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements l¢onlinuèdJ Year ended 31 December 2023 16. Deblors 2023 2022 Trade debtors Prepayments and accrued income Other deblors 282,276 38,188 88,478 313,748 111,334 68,778 493,860 408,942 17. Cash and cash equivalents Cash and cash equivalents comprise the following.. 2023 2022 Cash al bank and in hand Bank overdrafts 23,115 18,083} 15,032 104 19,4391 (9,3361 18. Creditors: amounts falllng due within one year 2023 2022 Bank loans and ovefdfafts Trade creditors Accruals and deferred income Social security and other taxes other creditors 55,658 427,538 18,403 123,723 62,879 74.912 576,353 10,960 168,061 70,570 688,201 900,856 19. Credltors: amounts falling due alter more than one year 2023 2022 Bank loan5 and overdrafts other creditors 97,811 103,571 201,382 114,537 94,183 208,720 Bank loans are secured against the lease of Chocolate Factory 2 which is due lo expire in Oclober 2026. 20. Defgrred income 2023 2022 Amount deferred in year 7,068 26
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements (contlnued) Year ended 31 December 2023 21. Pensions and other post-retirement benefits Defined contribution plans The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £5,91012022.. £6,533). 22. AnalysTS of charitable funds Unrestrlcted funds At 31 December 2023 At 1 January 2023 Income Expenditure General funds 81,724 1,173,331 11,028,487) 226,568 Al 31 December 2022 At 1 January 2022 Income Expenditure General fund5 88,045 1,208,927 11,215,248) 81,724 Restricted funds At 31 D•¢¢mb*r 2023 At 1 Janusry 2023 Income Expenditure European Capital Grant Collage Works Jack Petehey Arts Council St Williams FtUre Wood Green Alexander Primary Harringay Council Big Issue Jumbo Creative Academy Windrush Kickslart Tollenham Grammar BBC Children in Need PRS & Home Office Access Reach 11.765) 34,397 1160} 62,953 158,0891 11,496} 194,921) 12,300) 3,099 32,901 95.079 2,300 4,595 14,594) 56,486 11.730 156,0691 111,7301 418 2,186 18,560 12,1861 {18,5601 18,8531 17,0001 113,920} 15,4901 115,0001 1300,2071 4.001 14,853) 7.000 13,920 5.490 15.000 36,473 295.299 31,565 27
Collage Arts. Company Limited by Guarantee Notes to the Financial Statements (conflnu8dJ Year ended 31 December 2023 Al 31 December 2022 At 1 January 2022 Income Expenditure European Capital Grant Collage Works Jack Petchey Arts Council St Williams Future Wood Green Alexander Primary Harringay Council Big Issue Jumbo Creative Academy Windrush Kickstart Tollenham Grammar BBC Children in Need PRS & Home Office Access Reach 149,1491 35.893 4,083 40,000 190.9141 11.4961 166.2051 111.4001 {1,8401 {7,3001 110,000} 152,866) 147,3241 139,4681 118,1201 141,473) 18,173} (177,179} 11,7651 34,397 {1601 61,962 11,400 1,840 7,300 10,000 52,866 47,324 39,468 18,120 41,473 8,173 110,7721 191,952 4,001 86,526 523,705 1573,7581 36,473 28
Collage Arts. Company Limited by Guarantse Notes to the Financial Statements (conttnued) Year ended 31 December 2023 23. Analysis of net assets between funds Unreslricled Funds Reslricled Total Funds Funds 2023 Tangible fixed assets Current assets Creditors less than 1 year Creditors greater than 1 year Net assets 715,659 400,492 1688,2011 1201,3821 226,568 715,659 432,057 1688,2011 1201,3821 258.133 31,565 31,565 Unreslricled Funds Restricted Total Funds Funds 2022 Tangible fixed assets Current assets Creditors less than 1 year Creditors greater than 1 year Net assets 733,809 457,491 (900,8561 1208,7201 81,724 733,809 493,964 1900,856) 1208,7201 118,197 36,473 36,473 24. Post balance sheet event The charity has been overcharged by electricity supplier in previous years. The reclaim is under process and the charity received £26,000 in the year ended 31st December 2022. 11 is expected that charity is likely to receive further refund in excess of £100,000. Al this stage il is not probable hence no adjuslmenl has been provided for additional refund in the financial slatemenls. 25. Analysis of changes in net debt Al At 1 Jan 2023 Cash flows 31 Dec 2023 Cash at bank and in hand Bank overdrafts Debt due within one year Debt due after one year 104 19,4391 165,473} 1114,5371 1189,345} 23.011 1,356 17,898 16,72S 58,991 23,115 18,083) 147,5751 197,81 fj) 1130,364) 29