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← British Friends Of The Art Museums Of Israel

2024-03-31-accounts

Registered number: 10384576 Charity number: 1171510

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Trustees' report and financial statements For the year ended 31 March 2024

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Contents

Page
Reference and administrative details of the Charity, its Trustees and advisers 1
Trustees' report 2 - 6
Independent auditors' report on the financial statements 7 - 10
Consolidated statement of financial activities 11
Consolidated balance sheet 12
Charity balance sheet 13
Consolidated statement of cash flows 14
Notes to the financial statements 15 - 30

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Reference and administrative details of the Charity, its Trustees and advisers For the year ended 31 March 2024

Trustees P Crystal
G Djanogly
E Lee
B Markeson
M Naggar
C Zabludowicz
C Wills
Company registered
number
10384576
Charity registered
number
1171510
Registered office
2nd Floor
168 Shoreditch High Street
London
E1 6RA
Independent auditors
Kreston Reeves LLP
Chartered Accountants
Statutory Auditor
2nd Floor
168 Shoreditch High Street
London
E1 6RA
Bankers
Natwest Plc
1 Abbey Road
London
NW10 7RA
Hon. Solicitors
Bryan Cave Leighton Paisner
Governor’s House
5 Laurence Pountney Hill
London
EC4R 0BR

Page 1

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Trustees' report For the year ended 31 March 2024

The Trustees present their annual report together with the audited financial statements of the British Friends of the Art Museums of Israel for the year 1 April 2023 to 31 March 2024. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable 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 (FRS102) (effective 1 January 2019).

Since the group and the Charity qualify as small under section 383 of the Companies Act 2006, the Group strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

Objectives and activities

a. Policies and objectives

The principle objective of the charity is to further the development of the Art Museums of Israel. This is achieved through donations, subscriptions and organising appeals and fundraising events during the period.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

b. Grant-making policies

The Charity has established its grant making policy to achieve its objects for the public benefit. The Charity's aim is to provide works of art to museums based in Israel. The Trust also pay for scholarships to students to study at these museums. The main beneficiaries of the grants are The Israel Museum in Jerusalem and the Tel Aviv Museum of Art. Trustees make grants based on available resources and what short term cash needs to the Charity are.

c. Main activities undertaken to further the Charity's purposes for the public benefit

The charity's public benefit aim is to raise funds to support educational programmes run by the art museums of Israel. This enables the museums to reach out to future generations in Israel and expose young audiences to the art, culture and history of Israel and to international modern and contemporary art. The charity also purchases art for the two largest museums. Though its fundraising events the charity aims to increase awareness of the art museums in Israel and their prolific programmes to new visitors and potential international donors.

Achievements and performance

a. Main achievements of the Charity

The Charity's main achievement has been to continue organising successful events in order to generate substantial sums for grant giving. The charity's financial position remains strong.

b. Review of activities

Incoming resources of the group for the period amounted to £1,744,256 (2023: £1,180,838). Total resources expended for the period is £1,063,641 (2023: £1,028,365) which includes charitable donations/grants made to museums of £431,386 (2023: £544,635). Of the group's reserves the unrestricted funds have a balance of £887,587 (2023: £601,669) and can be used in accordance with the charitable objectives at the discretion of the Trustees, there are restricted funds of £394,697 (2023: £nil) which are required by the donors to be used for the benefit of specific museums and/or projects and the remaining balance is held in an endowment fund.

Page 2

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Trustees' report (continued) For the year ended 31 March 2024

Achievements and performance (continued)

c. Fundraising activities and income generation

The annual Dinner & Auction took place at The Dorchester Hotel on Thursday 25th January 2024 with over 300 guests in attendance. The Guest of Honour was Jenny Saville RA. The Young Friends held their annual Artists party at Sotheby’s on Tuesday 23rd January 2024 with 300 guests in attendance generating a revenue of £23,000.

Many smaller events took place throughout the year with a VIP Tour of Photo London, Restitution event – Roundtable Discussion at Christie’s, Walk The Line Exclusive walking tour of The Line with its co-founder Megan Piper, Specialist led Breakfast tour at Sotheby's of Freddie Mercury's personal collection, Guided tour of Phillips’ 20th Century to Now auction preview with Phillips’ Specialists, followed by a brunch reception, Talk with artist Gideon Rubin and curator Beth Greenacre, in collaboration with TAU Trust, Michael Hoppen Gallery – an exclusive gallery visit with Ori Gersht, VIP Morning Visit to View Gabrielle Chanel: Fashion Manifesto at the Victoria & Albert museum to name but a few.

A 3 day Art Trip to Paris included Paris Plus VIP access and tour, private tour of Rothko Exhibition at Fondation Louis Vuitton, Tour of Palais d’léna, visit to Adel Abdessemed Studio plus several visits to view private collections.

d. Investment policy and performance

Investments

The charity holds investments in an endowment fund. UBS, as the Charity's investment fund manager, are given a targeted return to achieve which has been achieved in recent years since they were given the mandate.

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

Endowment Funds

The trustees of the charity have decided to hold the Bromberg Legacy as an expendable endowment as, in their opinion this is the best way to achieve the wishes of Joseph Bromberg.

General Funds

The trustees review general funds on the basis of considering what short term cash-flow needs are and what surplus funds can then be made available for distribution as grants, in accordance with grant making policy.

Page 3

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Trustees' report (continued) For the year ended 31 March 2024

c. Risk management

The Trustees actively review the major risks which the charity faces on a regular basis and believe that maintaining the free reserves at the levels sufficient to continue to operate, combined with an annual review of the controls over key financial systems, will provide sufficient resources in the event of adverse conditions. The Trustees have also examined other operational and business risks the company faces and confirm that they have established systems to mitigate the significant risks.

The Trustees have reviewed the major strategic, operational and financial risks which impact on the work of the charity and noted that systems have been established to mitigate the exposure to them. The Trustees review this matter each period.

d. Principal risks and uncertainties

It is the Trustees' policy to maintain the charity's reserves at a sufficient level to maintain the ongoing operation of the charity. The Trustees closely monitor the reserves on a regular basis and consider their level in relation to funds raised and resources to be expended.

Structure, governance and management

a. Constitution

British Friends of the Art Museums of Israel is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.

b. Methods of appointment or election of Trustees

The management of the Group and the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association.

c. Policies adopted for the induction and training of Trustees

Trustees are recruited based on their expertise in art, business operations including charities and a willingness to assist the charity. New Trustees have a specific induction programme and are encouraged to attend training courses to develop and enhance their expertise.

d. Key management remuneration

The trustees consider the board of trustees and the chief executive as comprising the key management personnel of the charity in charge of directing and controlling the charity and running and operating the charity on a day to day basis. All trustees give of their time freely and no trustee remuneration or expenses were paid in the period.

e. Related party relationships

The charity has one subsidiary BFAMI Events Limited, a company incorporated in England and Wales, registration number 3413949. The company is responsible for arranging the annual gala dinner and other fundraising events. The excess of income over costs is then gifted to the British Friends of the Art Museums of Israel. The company is under the common control of the charity's Trustees.

Page 4

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Trustees' report (continued) For the year ended 31 March 2024

Structure, governance and management (continued)

f. Risk management

The Trustees have assessed the major risks to which the charity and the group is exposed, in particular those related to the operations and finances of the charity and the group, and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.

Plans for future periods

A major fundraising dinner shall be held and the Group shall aim to organise a number of other fundraising events with a view to raising funds for grants to supported causes.

Statement of Trustees' responsibilities

The Trustees (who are also the directors of the Charity 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 requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity 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 Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

Page 5

Brltlsh Frlends of the Art Museums of Israel {A company Ilmited by guar•ntse) Trustees. report Icontinu8d) For the year ended 31 March 2024 Auditors The auditors. Kffjslon Reeves LLP. have indicated their willingne5S to continue in office. The deswJnaled Trustees will propose a motion reapp)inting the auditors al a meeting of the Trustees. Approved by order of the members ofthe board of Trustees and signed on their beFHW by: arkeson Treasurer Date.. i¥ ￿eLe￿￿or20 Page 6

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Independent auditors' report to the Members of British Friends of the Art Museums of Israel

Opinion

We have audited the financial statements of British Friends of the Art Museums of Israel (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Charity balance sheet, the Consolidated 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 Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 7

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Independent auditors' report to the Members of British Friends of the Art Museums of Israel (continued)

Other information

The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report.

We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Page 8

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Independent auditors' report to the Members of British Friends of the Art Museums of Israel (continued)

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Capability of the audit in detecting irregularities, including fraud

Based on our understanding of the charity and the sector as a whole, and through discussion with the Trustees and other management (as required by auditing standards), we identified that the principal risks of noncompliance with laws and regulations related to health and safety, anti-bribery and employment law. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities SORP (FRS 102) Second Edition (released October 2019), the Companies Act 2006, taxation and pension legislation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risk was related to posting inappropriate journal entries. Audit procedures performed by the engagement team included:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

Page 9

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Independent auditors' report to the Members of British Friends of the Art Museums of Israel (continued)

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company's trustees, as a body, Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Stephen Moss BSc (Hons) ACA (Senior Statutory Auditor)

for and on behalf of Kreston Reeves LLP Chartered Accountants Statutory Auditor London

Date: 18 December 2024

Page 10

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Consolidated Statement of financial activities (incorporating income and expenditure account) For the year ended 31 March 2024

Note
Income and
endowments from:
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
6
Total income and
endowments
Expenditure on:
Raising funds
7
Charitable activities
8
Total expenditure
Net (expenditure)/
income before net
gains on
investments
Net gains on
investments
Net (expenditure)/
income
Transfers between
funds
18
Net movement in
funds
Reconciliation of
funds:
Total funds brought
forward
Net movement in funds
Total funds carried
forward		 Unrestricted
funds
2024
£
213,119
310,842
364,830
-
888,791
328,576
710,324
1,038,900
(150,109)
-
(150,109)
436,027
285,918
601,669
285,918
887,587		 Restricted
funds
2024
£
419,438
-
-
-
419,438
-
24,741
24,741
394,697
-
394,697
-
394,697
-
394,697
394,697		 Endowment
funds
2024
£
-
-
-
436,027
436,027
-
-
-
436,027
795,997
1,232,024
(436,027)
795,997
13,689,569
795,997
14,485,566		 Total
funds
2024
£
632,557
310,842
364,830
436,027
1,744,256
328,576
735,065
1,063,641
680,615
795,997
1,476,612
-
1,476,612
14,291,238
1,476,612
15,767,850		 Total
funds
2023
£
194,653
316,979
280,112
389,094
1,180,838
228,842
799,523
1,028,365
152,473
242,697
395,170
-
395,170
13,896,068
395,170
14,291,238

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

The notes on pages 15 to 30 form part of these financial statements.

Page 11

Brltlsh Frlends of the Art Museums of Israel (A company limited by guarantsg) R¢gistered number: 10384576 Consolidated balance $he6t As at 31 March 2024 2024 2023 Flxed assets Tangible assets Investments 14 15 79 14,035,071 15,183,363 15,183,363 14.035,150 Currenl assets Debtors Cash al bank and in hand 16 156,264 464,741 45.227 246.668 621.1x15 291,895 Creditors: amounts falling due within c year 17 136,5181 135.807) Net current assets 584487 256,088 Totsl net assets 15,767,850 14,291,238 Charlty funds Endowment funds Restricted funds Unr8str¢cted funds 18 14,485,566 394.697 887.587 13.689,569 18 18 601.669 T¢)tal funds 15,767,850 14,291,238 The Trustees acknowledge their r8swnsibilth.es for complwng the requirements of the Act with respect to accounti￿ records and preparation of financ￿ statements. The financial statements have been prepared in acmrdance V￿th the provisions aFtyicatle to entities subjert to the small companies regime. The finanual statements were apwoved and authorised for issue by the Trustees and signed on their behalf by.. arkeson Treasur8r The notes on p8ges 15 to 30 fom? part ofthese financial statemerrts. Page 12

Brltish Friends of the Art Museums of {A cornpany limited by guarantee) Rogistered number: 10384576 Charity balance sheet As at 31 MarGh 2024 2024 2023 Fixed assets Tangible assets Investments 14 15 79 14.035.071 15.183.363 15.183.363 14,035,150 Current assets Debtors Cash at bank and in hand 16 156.264 461.247 45,227 243,174 617,511 288.401 Creditors.. amounts falllng due within ( year 17 (156.4981 1126,9461 Not current assets 461,013 161,455 Total net assets 15,644,376 14,196,605 Charlty lurMIs Endo￿nent funds Restricted funds Unrestricted funds 18 18 18 14.485.566 394,697 764113 13.689,569 507,036 Tolal funds 15.6W376 14,196,605 The Charitys net movement in fvnds for the was £1,447.77112023- £347.9391 The Tnjstees ackn￿￿edge their resp)nsitMlilies for comtAyirKJ with the requirements of the Act with respect to accounting records and preparation offinanual ststements. The financial statements have been prepared in a￿dance with the provbsions S￿IcatIe to entit*s subj8Ct to the small companies rngime. The finandal statements were approved and authorised for issue by the Trustees and signed on Iheir behalf by. B Markeson Treasurer Ig)ec eMbeJ- 2 ol¥ Date= The notes on pages 15 to 30 fom) part ofthese financial ststements. Page 13

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Consolidated statement of cash flows
For the year ended 31 March 2024
Note
Cash flows from operating activities
Net cash used in operating activities
21
Cash flows from investing activities
Dividends and interest from investments
Proceeds from sale of investments
Purchase of investments
Net cash (used in)/provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
22
The notes on pages 15 to 30 form part of these financial statements		 2024
£
279,458
436,027
2,495,245
(2,992,657)
(61,385)
218,073
246,668
464,741		 2023
£
(48,668)
389,094
2,496,888
(2,674,833)
211,149
162,481
84,187
246,668

Page 14

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

1. General information

British Friends of the Art Museums of Israel is an incorporated charity. The address of the charity's principal office is detailed on page 1.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

British Friends of the Art Museums of Israel 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 Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.

2.2 Basis of consolidation

The financial statements consolidate the accounts of British Friends of the Art Museums of Israel and all of its subsidiary undertakings ('subsidiaries').

2.3 Income

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

Auction income is recognised when the payment is received, this follows the principle of recognising the income when the title is passed on to the customer.

Income from commercial trading activities is recognised as earned (as the relevant service is provided).

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

Page 15

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

2. Accounting policies (continued)

2.4 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.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

All expenditure is inclusive of irrecoverable VAT.

2.5 Tangible fixed assets and depreciation

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Office equipment - 25%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

2.6 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 the 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 presented as ‘Gains/(Losses) on investments’ in the Consolidated statement of financial activities.

2.7 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.

Page 16

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

2. Accounting policies (continued)

2.8 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.

2.9 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 Charity 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 in the Consolidated statement of financial activities as a finance cost.

2.10 Financial instruments

The Group 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.

2.11 Pensions

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

2.12 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 Group 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 Group 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.

Page 17

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

3. Income from donations and legacies

Unrestricted
funds
2024
Restricted
funds
2024
£
£
Donations
213,119
419,438
Total 2023
189,677
4,976
4.
Income from charitable activities
Unrestricted
funds
2024
£
Gala dinner auction
310,842
Total 2023
316,979
5.
Income from other trading activities
Income from non charitable trading activities		 Total
funds
2024
£
632,557
194,653
Total
funds
2024
£
310,842
316,979		 Total
funds
2023
£
194,653
Total
funds
2023
£
316,979
Unrestricted
funds
2024
£
Income from the Gala, gallery trips & other events
364,830
Total 2023
280,112		 Total
funds
2024
£
364,830
280,112		 Total
funds
2023
£
280,112

Page 18

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

6. Investment income

Dividends from listed investments
Interest from investments
Total 2023		 Endowment
funds
2024
£
381,030
54,997
436,027
389,094		 Total
funds
2024
£
381,030
54,997
436,027
389,094		 Total
funds
2023
£
359,049
30,045
389,094

7. Expenditure on raising funds

Fundraising trading expenses

Unrestricted
funds
2024
£
Auction expenses
87,022
Total 2023
43,165
Other trading expenses
Unrestricted
funds
2024
£
Event expenses
241,554
Administration expenses
-
241,554
Total 2023
185,677		 Total
funds
2024
£
87,022
43,165
Total
funds
2024
£
241,554
-
241,554
185,677		 Total
funds
2023
£
43,165
Total
funds
2023
£
185,543
134
185,677

Page 19

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

8. Analysis of expenditure on charitable activities

Summary by fund type

Unrestricted
funds
2024
£
Expenditure
710,324
Total 2023
794,547		 Restricted
funds
2024
£
24,741
4,976		 Total
2024
£
735,065
799,523		 Total
2023
£
799,523

9. Analysis of grants

Grants, Educational & Social Welfare
Total 2023		 Grants to
Institutions
2024
£
431,386
544,635		 Total
funds
2024
£
431,386
544,635		 Total
funds
2023
£
544,635

The Group has made the following material grants to institutions during the year:

Page 20

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

9. Analysis of grants (continued)

Name of institution
Israel Museum, Jerusalem
Tel Aviv Museum of Art
Museums of Bat Yam
Herzliya Museum of Art
Petach Tikva Museum of Art
Design Museum Holon
Ein Harod Museum
Haifa Museum of Art
Zumu Museum
Negev Museum
Nahum Gutman Museum
Janco Dada Museum
Rubin Museum
Beit Ha'Gefen
Wilfrid Israel Museum		 2024
£
422,961
8,425
-
-
-
-
-
-
-
-
-
-
-
-
-
431,386		 2023
£
329,135
100,000
10,000
10,000
15,000
10,000
10,000
20,000
8,000
5,000
5,000
5,000
5,000
10,000
2,500
544,635

10. Analysis of expenditure by activities

Expenditure
Total 2023		 Grant
funding of
activities
2024
£
431,386
544,635		 Support
costs
2024
£
303,679
254,888		 Total
funds
2024
£
735,065
799,523		 Total
funds
2023
£
799,523

Page 21

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

10. Analysis of expenditure by activities (continued)

Analysis of support costs

Educational
& Social
Welfare
2024
£
Staff costs
64,684
Legal and professional
83,731
Telephone
204
Rent
320
Consulting
25,500
Postage and stationery
14,930
Bank charges
5,312
Donations paid
24,741
General expenses
26,094
Computer expenses
1,336
Insurance
3,962
Travel expenses
14,456
Depreciation
79
Event expenses
1,298
Bad debt
-
Advertising and marketing
84
Governance costs
36,948
303,679
Total 2023
254,888
11.
Auditors' remuneration
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts
Fees payable to the Charity's auditor in respect of:
All non-audit services not included above		 Total
funds
2024
£
64,684
83,731
204
320
25,500
14,930
5,312
24,741
26,094
1,336
3,962
14,456
79
1,298
-
84
36,948
303,679
254,888
2024
£
18,000
4,250		 Total
funds
2023
£
43,757
81,765
212
638
24,784
27,945
3,602
-
27,807
971
5,810
8,791
331
-
485
426
27,564
254,888
2023
£
14,500
6,675

Page 22

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

12. Staff costs

Group
Group
2024
2023
£
£
Wages and salaries
61,698
42,679
Social security costs
1,527
-
Contribution to defined contribution pension
schemes
1,459
1,078
64,684
43,757
The average number of persons employed by the Charity during the year was
Group
Group
2024
2023
No.
No.
Average number of employees
2
1		 Charity
2024
£
61,698
1,527
1,459
64,684
as follows:
Charity
2024
No.
2		 Charity
2023
£
42,679
-
1,078
43,757
Charity
2023
No.
1

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

The key management personnel of the Charity are deemed to be the Trustees whom are not remunerated.

13. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2023 - £NIL).

During the year ended 31 March 2024, no Trustee expenses have been incurred (2023 - £NIL).

Page 23

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

14. Tangible fixed assets Group and Charity

Cost
At 1 April 2023
At 31 March 2024
Depreciation
At 1 April 2023
Charge for the year
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
15.
Fixed asset investments
Group and Charity
Valuation
At 1 April 2023
Additions
Disposals
Revaluations
Movement in cash
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023		 Listed
investments
£
12,515,121
2,992,657
(2,352,107)
1,251,030
-
14,406,701
14,406,701
12,515,121		 Unlisted
investments
£
1,519,950
-
-
-
(743,288)
776,662
776,662
1,519,950		 Office
equipment
£
1,323
1,323
1,244
79
1,323
-
79
Total
£
14,035,071
2,992,657
(2,352,107)
1,251,030
(743,288)
15,183,363
15,183,363
14,035,071

Page 24

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

16. Debtors

Due within one year
Trade debtors
Other debtors
Prepayments and accrued income		 Group
2024
£
122,753
31,775
1,736
156,264		 Group
2023
£
11,093
32,162
1,972
45,227		 Charity
2024
£
122,753
31,775
1,736
156,264		 Charity
2023
£
11,093
32,162
1,972
45,227

17. Creditors: Amounts falling due within one year

Trade creditors
Amounts owed to group undertakings
Accruals		 Group
2024
£
6,008
-
30,510
36,518		 Group
2023
£
9,640
-
26,167
35,807		 Charity
2024
£
6,008
123,581
26,909
156,498		 Charity
2023
£
9,640
94,739
22,567
126,946

Page 25

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

18. Statement of funds

Statement of funds - current year

Unrestricted
funds
General Fund
Endowment
funds
Endowment
Fund
Restricted
funds
Restricted Funds
Total of funds		 Balance at 1
April 2023
£
601,669
13,689,569
-
14,291,238		 Income
£
888,791
436,027
419,438
1,744,256		 Expenditure
£
(1,038,900)
-
(24,741)
(1,063,641)		 Transfers
in/out
£
436,027
(436,027)
-
-		 Gains/
(Losses)
£
-
795,997
-
795,997		 Balance at
31 March
2024
£
887,587
14,485,566
394,697
15,767,850

Restricted funds are in relation to two donations made to be given to other organisations.

Page 26

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

18. Statement of funds (continued)

Statement of funds - prior year

Balance at
Balance at Transfers Gains/ 31 March
1 April 2022 Income Expenditure in/out (Losses) 2023
£ £ £ £ £ £
Unrestricted
funds
General Fund 449,196 786,768 (1,023,389) 389,094 - 601,669
Endowment
funds
Endowment
Fund 13,446,872 389,094 - (389,094) 242,697 13,689,569
Restricted
funds
Restricted Funds - 4,976 (4,976) - - -
Total of funds 13,896,068 1,180,838 (1,028,365) - 242,697 14,291,238
Summary of funds
Summary of funds - current year
Balance at
Balance at 1 Transfers Gains/ 31 March
April 2023 Income Expenditure in/out (Losses) 2024
£ £ £ £ £ £
General funds 601,669 888,791 (1,038,900) 436,027 - 887,587
Endowment
funds 13,689,569 436,027 - (436,027) 795,997 14,485,566
Restricted funds - 419,438 (24,741) - - 394,697
14,291,238 1,744,256 (1,063,641) - 795,997 15,767,850

19. Summary of funds

Page 27

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

19. Summary of funds (continued)

Summary of funds - prior year

General funds
Endowment
funds
Restricted funds		 Balance at
1 April 2022
£
449,196
13,446,872
-
13,896,068		 Income
£
786,768
389,094
4,976
1,180,838		 Expenditure
£
(1,023,389)
-
(4,976)
(1,028,365)		 Transfers
in/out
£
389,094
(389,094)
-
-		 Gains/
(Losses)
£
-
242,697
-
242,697		 Balance at
31 March
2023
£
601,669
13,689,569
-
14,291,238

20. Analysis of net assets between funds

Analysis of net assets between funds - current period

Unrestricted
funds
2024
£
Fixed asset investments
697,797
Current assets
226,308
Creditors due within one year
(36,518)
Total
887,587		 Restricted
funds
2024
£
-
394,697
-
394,697		 Endowment
funds
2024
£
14,485,566
-
-
14,485,566		 Total
funds
2024
£
15,183,363
621,005
(36,518)
15,767,850

Analysis of net assets between funds - prior period

Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Total		 Unrestricted
funds
2023
£
79
345,502
291,895
(35,807)
601,669		 Endowment
funds
2023
£
-
13,689,569
-
-
13,689,569		 Total
funds
2023
£
79
14,035,071
291,895
(35,807)
14,291,238

Page 28

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

21. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the period (as per Statement of Financial Activities)
Adjustments for:
Depreciation charges
Dividends, interests and rents from investments
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Realised gains
Unrealised gains
Movement in cash in capital accounts
Net cash provided by/(used in) operating activities
22.
Analysis of cash and cash equivalents
Cash in hand
23.
Analysis of changes in net debt
At 1 April
2023
£
Cash at bank and in hand
246,668		 Group
2024
£
1,476,612
79
(436,027)
(111,037)
711
(143,138)
(1,251,030)
743,288
279,458
Group
2024
£
464,741
Cash flows
£
218,073		 Group
2023
£
395,170
331
(389,094)
2,838
(12,825)
(82,674)
(116,222)
153,808
(48,668)
Group
2023
£
246,668
At 31 March
2024
£
464,741

Page 29

British Friends of the Art Museums of Israel

(A company limited by guarantee)

Notes to the financial statements For the year ended 31 March 2024

24. 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 £1,458 (2023: £1,078). Contributions totalling £Nil (2023: £16) were payable to the fund at the balance sheet date and are included in creditors.

25. Related party transactions

During the current and previous financial years, donations were made to the charity by its Trustees in the ordinary course of business.

No other related party transactions existed in the current or previous financial year.

26. Controlling party

There is no ultimate controlling party.

27. Principal subsidiary

BFAMI Events Limited

Subsidiary name BFAMI Events Limited Company registration number 3413949 Basis of control Trading subsidiary of the charity Total assets as at 31 March 2024 £127,075 Total liabilities as at 31 March 2024 £3,600 Total equity as at 31 March 2024 £123,475 Turnover for the period ended 31 March 2024 £364,830 Expenditure for the period ended 31 March 2024 £241,554 Result for the period ended 31 March 2024 £123,276

Page 30