Charity Reglstration No. 328725 Company Registratlon No. 02499752 (England and Wales) THE MUSEUM OF EAST ASIAN ART ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025
THE MUSEUM OF EAST ASIAN ART LEGAL AND ADMINISTRATIVE INFORMATION Directors C Gore A Sheph8rd A Griffiths S Balmer J Higgins (resigned 24th March 2025) Dr T Munford R Scott A Perng B Main (appointed 24th O¢tob8r 2024) Secr•tary A Sh8pherd Charlty number 328725 Company number 02499752 Regi8terod offlce 12 Bennett Street Bath BA1 2QJ W•b81ts httPS.'Ilmeaa.org.uk Audltor Ferguson Maidment & Co. 81h Floor 167 Fleet Street London EC4A 2EA Banker8 Lloyds Bank 47 Milsom Street Bath BA1 10N Investment Managers Brewin Dolphin Ltd St James House St James Square Cheltenham GL50 3PR
THE MUSEUM OF EAST ASIAN ART CONTENTS Page Dir8Ctors' report Statement of Directors, responsibilities Ind8p8ndent auditorfs report 10-12 Statement of financial activitie5 13 Balance sheet 14 Statement of cash flows 15 Note5 to the financial 51at8menls 16-27
THE MUSEUM OF EAST ASIAN ART DIRECTORS, REPORT FOR THE YEAR ENDED 31 MARCH 2025 The directors are pleased to present their report and the auditèd financial statements for the year ended 31 March 2025. The financial statements have been prepared in accordance with the accouniing policies set out in note 1 to the financial statements and comply with the Museum's Memorandum and Articles of Association, the Companies Act 2006 and the provisions of the 'Charities SORP IFRS 102) - 'Accounting and Repo.ng 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 IFRS1021' second edition leffeclive 1 January 2019}', the Financial Reporting Standard applicable in th8 UK and Republic of Ireland IFRS 1021. R•f•rence and Admln18tratlvo Detall• Legal and administrativè détails are shown at th8 front of the annual r8port, including 8 full list of the directors who served thè Museum during the period up until the dal8 of the signing of this report. ObJe¢tlvo9 and actlvlt106 of tho Museum The 8ims of the Museum a to foster the knowledge and appreciation of East Asian Art. To Ihls end it purchased and converted Circus Lodge al 12 Bennett Stréét, Bath la listed building) Into The Museum of East Asian Art, which opened Its doors to the public on 3rd April 1993. The objects of tho Mu8eum are.. The advancement of edu¢alion of th8 public in the United Kingdom and alsewhere,, The advancement, promotion and development of and assistsnce with research and education of the public in the United Kingdom and elsewhere in the field5 of fine art. history and archaeology and the publication of the useful results of such research., Any other purpose or purposes which are charitable according to tha laws of England and Wales. 1} 2) 31 Publlc bènoflt The directors have carefully reviewed the activities of the Museum and its staff in the light of the Charities Act 2011 and the guidance thereon issued by the Charity Commission and are satisfi8d that they meet their duties with respect to Section 17 and the public benefit test, that is to say that they advance the knowledge and understanding of the history and culture of East Asia among children and the gèneral public in Bath and they contribute to the knowledge of East Asian artefacts through th& medium of the carefully p served and occasionally enhanced collects'on. The dlrectors have paid du8 regard to guldance issued by the Charity Commission in deciding what activilies the Museum should undértake. Structurei governance •nd management Th8 Museum of East Asian Art is a company limited by guaranlee with Memorandum and Articles of As50¢iatlon and 1$ a registered charity. There has b88n no change in policy since the last réport. A Management Cornmittee is elected by the members of the company. The members ofthe Management Committee, who are the directors ofthe limited company. have the power under the articles to admit any applicant to membership of the company and to appoint any such member to membership of th8 Management Committee but any person so appointed has to sland for re-election at the succeeding Annual General Meeting of the company. In exercising such powers, the Management Committee considers car8fully the balance of skills required by the board for the effective g0Veman of the Museum and any shortfall in those skills when appointing a director. In addition, the board asses5e5 the personal attributes and profèssional experience of the person concemed to make a contribution to the pursuit of the objects or the management of the charity. At the year end, the directors were the members of the Management Committee. Incoming members of the Management Committee are taken Ihrough the financial affairs of the Museum and given a copy of the Memorandum and Arb'cles of Association and ils forward plan. The Man8gement Committee appoints the staff and approves the annual budget. exhibitions and forward plan and lakes any decisions necessary on capital expenditure or major financial matters. Thereafter. the Museum Manager, working wrth the Staff, takes the decisions on the day to day running of the Museum and routine expenditure so long as that expenditure is covered by the annual budget and the limits of authority given to the Museum Manager.
THE MUSEUM OF EAST ASIAN ART DIRECTORS. REPORT (Continued) FOR THE YEAR ENDED 31 MARCH 2025 Achlevemgnts and Porformanco Stafflng Some adjustments to staff roles and responsibilities took place during the year. with the internal recruitment and appointment of the Volunteer & Membership Manager into the role of Exhibition Manager. Further recruitment took place during the summer for a new Volunteer & Membership Manager, bringing the team up to nine full and part-tiTne members of staff. The Communications Manager's job title was Changed to Exhibition Design & Communications to reflect the extent of that particular role. Imien the Collections Manager was appointed in November 2023 the Museum was not awa of the amount of work that would be required to bring the backlog of collection care and documentation up to the required stsndard, Once this became apparent, the post was moved from a fixed-lerm contract to a permanent position, Tralnlng A generous tralning budget enabled staff to attend various in*er$on courses or programmes to improve skills and knowledge including.. the Association of Independent Mus8um's Sparks Leadership programme.. Mus8um-ID's Co-¢reated Museum training. and Transft)rming Youth Engagemenl in Your Museum study day - both in London., the Collection's Trust Conferen¢g- Putting Collections Data to Work,, and altending the Museum Association's Conference in Leéds. In addition, numérous opportunities were taken for training through on-line provision including those offered by the Museum Associatlon (MAI. Associats'on of Independent Museums (AIM}, Museum Development South West IMDSW) and the South West Federab'on of Museums {SWFedl. The resource library was augmented by th6 purchase ofa number of books covering subjects such as interpretation, exhibition design and museum planning. Exhibltlon8 The Museum hosted three unique exhibitions in 2024. The landmafk 301h anniversary exhibition 'From Hong Kong to Bath.. A Lifelong Journey of Collecting, f28 June 2023- 22 Jun8 2024) continued to draw audien$. This commemorative exhibition gave an extraordlnary insight into the life of the Museum's foundèr. Brlan McElney OBE, who donated a18rge part of his personal Collection of East and Southeast Asian objects lo establlsh the Museum in 1993. 'Dragons, Dragons, Dragons, (7 7 January-78 Dgcgmber 2024) mafked the 'Year of th8 Dragon,. This farnily-friendly oxhibitson explored dragon mythology from across the world through 50 objects from our Collection and included an interactive 'dragon wall. which, among other things, taught visitors how to 98y 'Dragon' in Chinese, Japanese and Korean. 'Dragons' attracted new audiences and a more consislent visitation by family groups. 'Kimono.' Thg Making of a Cultural Icon, (5 July 2024- 14 December 2024) told the history of the kimono thTough 18 Japanese woodblock prints on loan from the Ezen Foundation, and was complemented by a loan from the Royal Cornwall Museum of 50 exquisite n8tsuke and inro, Japanese kimono accessories. These extraordinary, intricately carved objects had never been displayed outside Cornwall before. This popular exhibition showed an increase in 170k in admissions on the same period in 2023. Planned closure from late December 2024 to 318t March 2025 The Museum was awarded a capital grant of £25,000 by the Idvest of England Combined Mayoral Authority IWECA} in 2023 to fflake substantial improvements to the ground floor and the creation of a Discovery Room which would act as the introducb'on to the Museum. In order for this work to take pla, and to install new exhibitions, the Museum closed just before Christmas 2D24 for three months, In the six months leading up to the dosure, meticulous planning took place including the scheduling of service providers and contractors, commissioning contemporary artists for new exhibition5, and a local 'maker of things, to developing a stylised garden pergola and 'story tree, in the Discovery Room. There were also designing and producing new wayfinding, signage and interpretation throughout the Museum.
THE MUSEUM OF EAST ASIAN ART DIRECTORS. REPORT {Continued) FOR THE YEAR ENDED 31 MARCH 2025 During the closure the following capital works took place.. removing the alan5 and decommissioning a number of display cases in the ground floor gallery,. removing the decommissioned cases,. removing the hallway carpet and replacing with bamboo flooring to match existing flooring in the gallery and retail area- undertaking remedial electrical wort( following removal of ¢a5es', replastering and making good where a number of cases had been removed,, complete redecoration of the ground floor., installing new signage end wayfinding- commissioning new. permanent railing signage and redesigning the Website. Installats'on of the new exhibition 'ln Bloom, (L8unch8d l April- 20 December 2025) took pla once the capital refurbishment works were complete. Led by the newly appoint8d Exhibition Manager alongside the Exhibition Designer & Communications Manager, every other member of staff contributed towards its realisation in one way or another - wh8ther helping to select and arrange objects for display, re-writing, proofreading and mounling new interpretation. The exhibition centfes round the theme of nature and showcases a number of contemporary artists who created works inspired by objects from the Museum's co118cts'on, bringing a fresh perspective to the Museum. Th8 capital grant from WECA was supported by Museum funds to ensure the vision and ambitions of this project could be achieved. For example, a late addition to the already adVand planning for the d8liv8ry of the WECA-fund8d capital project was thè agr88ment at the September 2024 Mana9ement Committée meeting to fund the complètè refurbishmenl of the admissionslrelail area during the plann8d closure. The Rètail Manager approathéd Cre8 Interior Specialists, who have extensive expèrierncé in working with museum and heritage organisations, who quoted around £30,000 to work with the Mugeum to design and install bespoke shop fittin9s. Retail is a very important part of the Museum's income generating activities. so benefi'ts of the refurbishrnenl include an attractive and we114esigned retail area, the unification of the look and feel of the whole ground floor and a greatly improv8d vlsilor experlence. During the closure staff found imaginative ways of continuing to engage the Museum's committéd volunteers when many of the roles they would normally fulfil were not available. 'Volunte8r Voices, invited volunt88rs lo select an object from the Museum's collection that they were inspired by and record their personal response to it. These stories aff available to visitors through an interactive device called 'Museum in a Box,. This project helped to consolidate our volunteer base through collaborative w01ng and developing social engagement, something the Museum plans to expand on next year. Loarnlng, Engagement & Events A re-focus on the events programme by the Engagement Manager saw a simllar number of events to 2023. but deliveréd In mor8 sustainable way. ¢onc8ntrating on regular family activities and high-quality experienc8s. wllh the vision of 'connecling cultures, running throughout. In 2024-25 the Museum held 15 on-site events attracting 275 vi51tors, 4 off-site events attracting 107 attendees, and 1 online event, attracting 72 attendees. The Museum also delivered one formal off-site educational activity for 28 participants. Kimono exhibition events were all over-oversubscribed, with a parbcularly good tumout for the online talk 'Kimono Chronicles,. Due to limited space within thé Museum, small uniquè. intimate experiences are delivered within the Museum galleries. The Unwrapping the Kimono event attracted 16 attendées, and the hands-on Nerikiri Japanese sweet-making workshop. limited to just 8 tickets, also sold out. Japan8se Tea Ceremonies a held regularly and, with each one béing limited to just 6 participants, also provide an intimate, aulhentic. cultural experience. Volunteers The number of volunteers supporting the Museum remained stable at 52, helping with front of house, as gallery guides, supporting various learning and engagement activities. and writing social media content. A number of separate voluntser activities were arranged throughout the year including 'Museum Monday. sharing sessions to explore rglgvant subjects of Interest 2nd increase volunteers. knowledge of East Asian art and culture. Volunteers enjoy a training session programme, particularly those delivered by the Cuotorial Consultant on understanding the Museum's colle¢tion and contexluali5ing this with in-depth explorations of the development of Chinese art in relation to the dynasties. The gap in sUPPOrt for volunteers during Ihe early part of the year, Caus by the shifting of staff roles and difficulty in recruiting a new Volunteer Manager, saw a reduction in volunteering hours at the Museum compared with the previous year. In 2024-25 volunteérs contributed 1,064 hours to the Museum with an estimated value of £4,621.
THE MUSEUM OF EAST ASIAN ART DIRECTORS, REPORT (Continued> FOR THE YEAR ENDED 31 MARCH 2025 Frlend8 of the Musgum The Voluntser & Membership Manager worked closely wrth a highly experi8nd consultant through the AIM Higher programme lo review the Friends programme and develop a model which would be simpler to administer while a150 generats'ng more income for the Museum. Friends were notified of the changes ahead of its launch on 181 April 2025, and the o schémes will run concurrently until all Friends have migrated onto the new scheme. The new stheme offers individual membership at £35 (previously £181 and a new On8-Plus-One membership for £50. It is anth'cipaled that. should membership numbers remain similar to the previous year, income should increasè by over 55%. and there will ba a concerted drive to 8ttract new Friends to the programme to increase support for the Museum. Collectlon care The Collections Manager identified that th8 collections management system used by the Muséum was not Spectrum ompliant - Spectrum is the UK colléction management standard that sets out all the procedures and policies réquired for clear and tr8nspar8nt management of a collection. For the Museum to reach this standard, details of ev8ry Item in the collection, ¢urrently stored on iBase, needed lo be migrated to the new system, MODES. During this process numerous errors and omissions were id8nlified which ar8 being correctsd. Thls is an ongoing, slow and methodical task réquiring careful attention and the Coll8CtSons Manager has beèn supported on a temporary basls by a volunteer wlth collections experience. Storage of the colloctlon The current storage space for the collection has long been identified as unsuitable.. the spacè is too cramped lo work in and il has proved impossible to establish environmental conditions that are appropriate for collection storage. Extensive research had been undertak8n to identify suitable and secure off-site storage lo rent but nothing was available within close pfoximity to the Museum. With the collection increasingly at risk from the poor environmentsl storage conditions, the directors approved research into purchasing an off-site facility that could be refitted into a secure storage space, In November 2024, newly built premises came on thè market, within walking distance of the Museum and, after a number of sits visits, Buro Happold, consulting engineers. were commissioned to undertake a feasibility Study into the possibility of onverting it to meet the Museum's need5. On the basis ofthe feasibility study, a fomal offer wa5 made on th8 propety and Stone King was appointed to handle all legal matters, with completion due in July 2025. Buro Happold will ovérsèe the tendering process for capital works needed to convert and fit out the building to meet the Museum's specifications and an applicatson will be mad8 to the Heritsge Lottery Fund to cover these costs. Dlgltal engagement During this financial year there were 17,058 unique visits to the Museum's website. rnostly through direct search. The Museum's main soaal media accounts (Instagram, Facebook and Xl saw an increase in followers from 5,787 in the previous year to 24,345. Adml8slons and Openlng Hours Followng a review of the Museum's admission prices in the previous year. a new. simpler charging structure was introduced on 1st April 2024. The increase in pricing had little adverse impact. if any. on those wishing to visit, resulting In admissions income nsing from £11.338 to £15,470, an increase of some 36.10. In anticipats.on of the loss of income during the planned closure later in the year, the Museum opened an additional day a week on Tuesday5, instead of just Wednesday to Saturday. However. admission numbers were impacted as a result of the 3-month closure from late Decernber 2024 to 31 gl March 2025 and dropped down frorn 4,480 the previous year to those Similar to 2022-23 at 3,121 visitors, of which 165 were childn.
THE MUSEUM OF EAST ASIAN ART DIRECTORS. REPORT (Continued) FOR THE YEAR ENDED 31 MARCH 2025 Retsll Retail plays an important part in both attracting potential audIenS into the Musgum and generating much-needed income. Retail sales from the Museum shop for 2024-25 were £36,952, just slighlly down from the previous year at £38,360 and, like visitor numbers, a Consequen of the 3-month closure. The Shop is unique in Bath offering a wide selection of cards, books and gifts with an East and Southeast Asian theme, while supporting local indep8ndent artists and craftspeople. It is hoped that the refurbishment of the retail area will result in income increaslng yèar on year. Fundra181ng The Museum generates funds to support its activities and development work through applications lo various sources including Trusts and Foundations and specific museUm-fcuSéd grant giving bodies. Individual donations are also encouraged. In 2024 a grant of £5,000 was received from the Medlock Charitabl8 Trust lo support the work of the Volunteer & Membership Manager, and £1.000 from B&NES Council's Héritage Services to fund the Volunteer Voices digital engagement project in the new Dis¢ovèry Room. An 8pplic4lion to the Museurn Development South West's Smell Open Grant programrne resulted In a grant of £6.500 to engage consultsnts to develop an Audi8nce Engagement Plan and Mad(eting Strategy. Recruitment started In July and was completed by the end January 2025. The main challenge the Museum faced was one oftiming. By the time a consultsnt was appointed, the Museum was already well into its 3-monlh closure in the first quarter of 2025 for refurbishment, a redi5play and instslling new exhibitions. This meenl some re-priorilisalion of staff workplans and having to opt for a slightly less collaborats've approach than we would have liked, to ensure the proj'ect was completed on time, Having completed this project, the Museum 8pplied for the next Small Open Grant award at the end of March 2025 to undertske a reviéw and updat8 of the Museum's governing document. the Memorandum & Articles of Association. Should this be SU$sfUl, work with take place during the summer of 2025.
THE MUSEUM OF EAST ASIAN ART DIRECTORS, REPORT (Continued) FOR THE YEAR ENDED 31 MARCH 2025 Flnancial Reviow The Museum's PEF investment funds wer8 recorded at a cost of £6,723,400 {inclusive of dealing cash of £3,873} on 31 March 2025 al which date thè EEF investment fvnds had a market value of £534.988 (inclusive of dealing cash of £3,048). The dividends and interest generated by the two ET)dowment Funds during th8 year amounted to £345.207. The composibon of each Endowment Fund at the year4nd is given in the notes to the financial statements attached. The Museum reived £24,997 from the West of England Combined Authority (WECAI Small Museums Capital Grant for the development of a Discovery room, £6,500 from Museum Development South West to work with an Audience Development Consultant, £1,000 from B&NES Council's Heritsge Services for Museum in a Box- Community VolS at the Museum project and £5,000 from the Medlock Charitable Trust to improve volunteering al the Museum. During the year, the Museum Teceived £97 in donations for the Reimagining Project, and £192 in g8neral donations through the donatton box with £1,582 being réclaimed through Gift Aid. The Pemianent Endowment Fund {PEF) was started in 1995 as a separate charity trust governed by a trust deed. The capital of the Fund is invested and only the income is 8vailabl& to be paid towards the running expenses of thè Museum. The investments are managed by the Investment Management Commlttèé. comprising prin¢ipally members ofthe Musèum's Managemént Committee, who form the trustees of the PEF, in conjunction with Brewin Dolphin, the investment advisers. Quarterly statements showing any contributions to th8 Fund and a summary of the performan¢è of the Fund are provKled to the Museum by Brewin Dolphin. The Charity Commission has confirmed thatthe accounts ofthe Permanènt Endowment Fund can fomi part of the Museum's accounts, so long as the Funds thereof are k8pt separate and this requirement is adher8d to. Mr John Higgins r8sign8d as a director on 24th March 2025 and ceased to be a member of the Investment Management Committee. The co-option to the Investment Management Committee of en individual with investment expertise is being pursued. During the year, the Mu58um réceived the funds that had b8en escheated to th6 Treasurer of the Stat6 of South Carolina. On their receipt and payment of minor, local expensès incurred in obtaining these funds, the balancé of the £4,000 retained at the stsrt of the year was released enabling the Museum to send a further sum of some £203,000 to Brewin Dolphin for investment as part ofthe PEF. The Emergency Endowment Fund IEEFI was sel up in January 2014 by the Museum, which has to be kept separate from the existing PEF. Inv6slment decisions are made by the Investment Management Committee, the members of which will nomally bè ttt8 trustees of th8 PEF. Capital fvnd8 may only be withdrawn by the unanimous vot8 ofth8 Management Commltt88. At 31 March 2025 the Irust8&s of the PEF. who also conslilute the Investment M8nagèm8nt Committee ovérseeing the investment of the EEF, a Anthony Griffiths (Chair} and Anne Pemg. Inveslment powers Under its Memorandum and ArtcleS of Association. the Museum has the power to m8ke any investment which the directors see fit. The policy mandated in the PEF trust deed requires 25Vo of all addits'onal funds paid into the Pemanenl Endowrnent Fund to be invested in bonds and fixed interest stock when first invested. Beyond that requirement, the trustees of the PEF and EEF are delegated the authority to manage the investrments and report to the Management Committee. Reserveg It is the practice of the Museum that unrestricted funds, which have not béén designated for a specific use, 81ong with any confirmed available support funds, should nomially be maintained at a level equivalent to not less than been Ihree and six months, expenditu. The director5 consider that reserves al Ihis level will ensure that, in the event of a significant drop in funding, they will be able to continue the Museum's currenl activities while consideration is given to ways in which addibonal funds may be raised. At 31 &1 March 2025, the directors have taken into account the likely impact of varying rales of inflation in the coming 12 months lo determino the level of reserves that the Museum should endeavour to have in hand. The directors are cognisant of the need to have sufficient reserves to meet future capital expenditure that they may wish or need to incur. In this regard, o?pital expenditu projections are made for years in advance and reviewed annually. The directors realise the Reimagining Project, anlicipated to require several year5 of planning then implementation, will involve expending substantial sums of money. It is their intention to apply for grants to fund the greater proportion of and possibly all this expenditure. They will also endeavour to build up further unrestricted funds as a contribution towards the sums needed to implement the Reimagining Project
THE MUSEUM OF EAST ASIAN ART DIRECTORS. REPORT (Continued) FOR THE YEAR ENDED 31 MARCH 2025 At present the Unrestricted Funds1£254.091) are represented by fixed assets of £78.109, the balance being current net assets of £175,982. It is the intention of the directors to continue to build up cash reseNes representing a proportion of the Unrestricted Funds over a p8riod of years from annual surpluses of InGcffie. Surplus cash is invested through the EEF. in order to generate a gmater amount of additional income for the charity. While the directors would prefer to retain the EEF (£534.9881 for use on capital expendituff and major refurbishment or repairs of the building as required, they would draw on that Fund to meet OP8rational outgoings should the n8ed arise. This situats'on enables the directors lo conlinue to build the general reserves gradually while béing confident they hold adequate funds to m8et operational outgoings of behveen three and six months.. Surplus cash available for the short-term and usually representsng reserves is deposited in the COIF Dèposit account operated by the CCLA Investment Management Limited in view of the favourable rates being off8red currently. Golng concern rovlew The directors have revièwèd the impact of the level ol inflation rates loccumng and projecledl during 2025 and thèir possible, gradual reducb'on in 2026 together with changes in the Bank of England base rat& as well as their anticipated continuing impact, particulady in the financial environment. They believe thé Museum will be able to fvnclion satisfactorily during the current year to 31 Mar¢h 2026. The level of income from investments increasèd during the year but the directors Cannot be certain the same lavel of income will be received in the coming finan¢ial year. Income from admissions, retsil sales, exhibitions and oth8r events overall was higher in the year endèd 31 March 2025 than In the prior year. The Museum is fortunate to have p051tive unrestricted reserves and, if rèquired, Can utilize th8 Emergency Endowment Fund, to the extent requir8d. Therefore, the directors have concluded that the Museum is a going concern and will continue to be so for the foreseeable future. Rlsk revlew The risks faced by the charity are reviewed annually and appropriate policies are developed and revised in addition to suitable proureS being taken to eliminate or minimise Ihe risks involved by the implementslion of effective internal control procedures, which ènsure both appropriate authorisation of all transacts'ons and projects and consistent quality of delivery for all operab'onal aspects of the Gharity. These policies and procedures are periodically reviewed for their continuing effectiveness. The Dlrnctors The directors who have seNed during the y8ar and up to the dat8 of signature of the financial st8tam8nts are,. Gore A Shepherd A Griffith5 S Balmèr J Higgins (resigned 24th March 20251 Dr T Munford R Scott A Perng B. Main (appointed 24th October 2024) None of the directors has any benefici81 inter8St in the company. All the directors are mernbers of the company and guarantee to contribute £1 in the event of a winding up. The directors thank John Higgins for the valuable conlribution he made to the board and the Museum during his tenure as a director ofthe Museum.
THE MUSEUM OF EAST ASIAN ART DIRECTORS. REPORT (Continued) FOR THE YEAR ENDED 31 MARCH 2025 Auditor Messrs Ferguson, M8idment & Co, are the company's auditor and hav8 indicated their willingness to continue to act. They were reappointed at the Annual General Meeting. Dlsclo8ure of Informatlon to tho audltor Each of the directors has confimed that there is no informats'on of whi¢h they are aw8re which is relevant to the audit, which has not beèn made available to thè auditor. They have further confimed that they havo taken apprtspriate steps to identify such relevant information and to establish that the auditor is aware of such information. This confimiats'on is given and should b8 interpreted in accordance with the provisions of $e¢lion 418 of the Companles Act 2006. Srn•ll eornpany provl8ltsns This rèport has bean prepar8d in accordance with the provisions applicablè to compani95 enlllled to the 8m811 companies, 8xemplion, This director5, annual report was approved on 291h September 2025 and signed on behalf of the board of directors by: A Shephèrd Director Dated..
THE MUSEUM OF EAST ASIAN ART STATEMENT OF DIRECTOR'S RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2025 Statement of Directors, Rè8ponsibllltle8 The directors ar6 responsible for preparing th8 annual report and the financial statements in accordance wilh applic8bl8 law and regulah'ons. The directors are requirad to prepare financial statèments for each financial year in accordancè with United Kingdom Generally ACpted Accounting Practice (United Kingdom Accounting Standards and applicable lawl. The financial statements are reqUId by Saw to give a truè and fair wew of the state of affairs of the charity and of its incoming resour$ and the application of resourcas of thé charity for Ihat period. Under company law the directors must not approve the financial statements unless they ara satisfied that they give a true and fair view of the state of affairs of the charitabl8 company and of the excess of income over expenditure for that period. In preparing these fi'nancial statements, the dir8clors are required to.. 1) Select suitable ac¢ounting policies and then 8pply them consistently., 2} Make judgments and estimates that are reasonable and prudent., 3) State whether applicable UK Accounting Standards have been followed, subject to any material departurès bèing disclosed and explained in the financial slalements, and Prepare the financial statem8nts on a going concern basis unless it is in8pproprlats to presume that th8 charity wll conb'nue in businéss. 4) The directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that th8 finanaal statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention of fraud and other irregulariti68. The directors are responsible for the rnaintsnance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. In addition, the directors confimi that they are happy that the content of the annual review in pages 1 to 7 of this document meet the requirements of both the Trustees, Annual Report under charity law and the Directors, Report under company law. They also Confirm that the financial statements have been prepared in accordance with the accounting policies sel out in the notes to the accounts and comply wilh the charity's governing document. the Charities Act 2011 and Accounting and Reporting by Charities.. Slatement of Recommended practi applicable to charities preparing their accounts in accordanGe with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ir8land published on 16 July 2014, D18¢10gure of Inforniation to audltOT8 The directors who held office at the date of approval of this direclors, report confirni that, so far as they are each awar8, there is no 8udit infom8tion of whlch the charity's auditors are unaware.. and all directors havé taken all the Steps that they ought to have taken as a dir8ctor to make themselves aware of any rélevant audit informatlon and to estsbllsh Ihal the charity's auditors are aware of that information.
THE MUSEUM OF EAST ASIAN ART INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MUSEUM OF EAST ASIAN ART Quallfled oplnion Vve have 8udil6d the financial statements of The Museum of E8St Asian Art (the 'charity') for the year ended 31 March 2025 which comprise the statement of financial activilies including income and expenditure account, the balance sheet, the slatement of cash flows and the notes to the financial statements, including a summary of significant accounting poliaes. The financial reporting framework that has been applied in their preparation is applicable law and Unitéd Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial R&porting Standard applicable in the UK and R9publio of Ireland Iunitsd Kingdom Generally Accepted Accounting Practi). In our opinion, except for the effects of the matter described in the Basis for Qualified Opinion section of our report, the fi'nancial statements.. give a true and fair vièw of the stale of the charitable company's affairs as at 31 March 2025 and of its incoming resources and application of resources. for the year then ended.. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practi., and have been prepared in a¢¢ordancè with the requirem8nls of the Companies Act 2006. Ba518 for quallflgd opinion As disclosed in note 1 to the finan¢i81 statements. investménts In th8 Pemanent Endowment Fund ale being carried at cost rather than al market value, which practicE, in our opinion, is not in accordanc6 with United Kingdom Generally Accepted Accounting Practice. The carrying value of these investrments at 31 March 2025 should be £8,520,085 based on the market value at that date, Accordingly, investments should be increased by £1,800,558 which will increase the value of the charity's endowment funds by the same amount. We ndUcted our audit in accordance with International Standards on Auditing (UK) IISAS IUKI) and applicable law. Our responsibilities under those standards are further described in th8 Auditorts responsibilities for the audit of the financial st8tem6nis section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts in the UK. including the FRC'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 qualified opinion. Conclu81ons rolating to golng Concern We have nothing to report in respect of the following matters in relation to which the ISAS (UK) require us to report to you where.. the directors, use of th& going conGern basis of accounling in the preparation of the financial statements is not appropriate., or the directors have not disclosed in the finanaal statements any identified material uncertainties that may cast significant doubl about the charity'g ability to continue lo adopt the going conrn basis of ac¢ounting for a period of at least 1v6 months from the dat8 when the financial statements ar8 authorised for issue. othor Informatlon The directors a osponsSble for the other infomation. The other information comprises the information includèd in the annual report, other than the financial statements and our auditor's report thgreon. Our opinion on the financial statement5 does not cover th8 Other InfOallOn and, except to the extent otherwlse 8xplicilly stated in our report, we do not express any fOn of assurance wnclusion thereon. In connection with our audit of the financial stalemenls. our responsibility is to read the other inlomiation and. in doing so, con5id8r whether the other information is materially inconsistent with the financial statements or our knowledge obtsined in the audit or otherwise appears to be materially misstated. If we identify such material inconsistancies or apparent matenal misstatements, we are required to detemiine whether there is a material misstatement in the financial statements or a material misstatement of the other infomiation. If, based on the work we have perlomied, W8 condude that there is a material misstatement of this other infomation, we are required to report that fact. We have nothing lo report in this regard. io
THE MUSEUM OF EAST ASIAN ART INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MUSEUM OF EAST ASIAN ART Oplnlons on other matters prgscribed by the Companies Act 21x16 the information given in the Directors, Report, for the financial year for which th8 financial stalements are prepared is consistent with the financial statements; and The Directors, Report has been prepared in accordance with applicable legal requirements. Mattors on whlch we arè roqulred to report by excoptlon In the light of the knowledge and understanding of the charity and its environment obtainèd in the Course of th8 audit, we hav8 not identified material mi5Statements in the Directors, Report. We have nothing to report in respect of the following matters in relation to which the Compani8s Act 2006 requires us to report to you if, in our opinion= adequate accounting records have not be8n kept, or returns adequate for our audit havo not been received from branches not vislted by us,, or the fin8ncial statem8nts are not in agreement with the accounting records and retums., or certain disclosures of trustees, r8muneration specified by law are not made., or we havè not received all the information and explanations we require for our audit,. or the directors wem not entitled to preparé thè financial slatements in accordan with the small companies r6gime and take advantsge of the small companies, exemptions in preparing th8 Directors, Report and from the requiremènt lo prepare a strateglc report. Re8pon8ibllltlgJ of Dir&ctor8 As explained more fully in the $tatern8nt of directors, respon51biliti'es, the dirgclors 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 directors determine is nec8SS8ry 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 directors are responsible for assessing the charity's ability to continue as a going concem, disclosing, as applicable, matters related to going concern and using the going concern basis of aceounling unless the directors either intend to liquidate the charitable company or to ase operations, or h8ve no realistic alternative butto do $0. Audlto¢8 ro8pon•lbllltlo• for tho audlt of tho Ilnanclal 8tatsm•nts Our objectives are to obtain reasonabl& assurance about whèther the financial statements as a whole are free from maleriaS misstatement. whether due to fraud or error, and Io issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conduoted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatsments can anse trom fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of u88rs taken on ihe basis of these fingncial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedur85 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 irrégularrties, including fraud is detailed below.. The èxtent to vthlch thè audlt was consldered capable of detecllng Irregularltlo8 In¢luding fraud We obtained an understanding of the legal and regulatory frameworks within which The Museum of East Asian Art operates, focusing on those laws and regulalions that have a direct effect on the detemiination of material amounts and disclosures in the financial ststements. identiffied the great&sl risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management and inappropriate revenue recognition. Our audit procedures lo respond to Ihese risks included enquiries of management about their own Identification and asse55ment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases. corroborating balanS recognised to supporting documentstion on a sample basis and ensuring accounting polioies gre appropriate under the relevant accounting standards. There are inherent limitations in our audit procedures described above. The more removed that laws and regulalions are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing stsndards also limit li
THE MUSEUM OF EAST ASIAN ART INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE MUSEUM OF EAST ASIAN ART the audit proc8dures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal corréspondence, if any. Material misstatements that arise due to fraud can b8 harder to detect than those that arisé from error as they may involve delibèrat8 concealment or collusion. A further descripb'on of our responsibility for the audit of the financial statements is locat8d on the Financi81 Reporting Council's website at.. www.frc.org.ukl8uditorsr6sponsibilities. This d6scripkn.on fomis part of our auditor's report. U8e of our raport This report is mad8 solely to the Gharity's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might stste to thé charity's membérs those matters w8 are required to 5tste to them in an auditor's report and for no other purpose. To the fLJllest extent penritted by law, we do not accept or a58um8 responsibility to anyone other than the charity and the charity's members as a body, for our audrt work. for this report, or for the opinions we have fomed. 8th Floor 167 Fleet Slreat London EC4A 2EA Paul Manalo Isenior Statutory Auditor) For and on behalf of Ferguson Maidment & Co. Chartered accountants & statutory auditor 291h September 2025 12
THE MUSEUM OF EAST ASIAN ART STATEMENT OF FINANCIALACTIVITIES INCLUDING INCOMEAND EXPENDITUREACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 Unrestrlcted Endowment Restricted funds funds funds Total 2025 Total 2024 Income from: Donations and legacies Notss 1,784 203,982 37.614 243,380 527,056 Charitsble activities 18,546 18,546 14,781 oth8r trading activities 37,192 37,192 38,427 Investments 369,798 369,798 356,206 Total Income 427,320 203,982 37,614 668,916 936.470 enditures on: Raisin funds Notes Fundraising 3,260 3,260 1,766 Trading costs 34,462 34,482 37,588 Investment managem8nt 1,511 26,617 28,128 24.921 39.233 64,275 Charitable activities 380,570 10,000 390,570 338,314 Totsl resources expended 419.803 10,000 456,420 402,589 Net galnsl{losses) on investments 12 73,121 73,121 32,793 Net movement in funds 7,517 250,486 27,614 285,617 566,674 Fund balan¢gs at 1 April 2024 246.574 7.896 542 237,321 8,380,437 7,813,763 Fund balances at 31 Mah 2025 254,091 8,147,028 264.935 8,666,054 8,380.437 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditur8 derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. The notes on pages 16 10 27 form part of the financial ststements. 13
THE MUSEUM OF EAST ASIAN ART BALANCE SHEET AT31 MARCH 2025 2025 2024 Fixed assets Tangible assets Investments at 13 966,370 894,001 cost value 14 6,723,400 534.988 6,481,106 525.614 7,258,388 8,224,758 7,006,720 7,900,721 Currant a888ts Stocks Debtors Cash at bank and in hand 15 16 17 13,674 75,541 470.625 559,840 11,830 48,685 477,016 537,531 Credltors: amount falling due wlthin ono year 18 Net current assets Total assets le$$ Current Ilabilities 441,296 479 716 8,666 054 8 380.437 Income fundg Restricted fund5 Endowment funds 19 20 264,935 8,147,028 237,321 7,896,542 Unrestri¢led funds 254 091 246,574 8,380.437 8,666,054 The financial statements have been prepared in accordance with section 415A ofthe Companies Ad 2006 relating to small companles and FRS 102 Section 1A. Th8 financlal statements were approved and authorised for issue by the board of Dlreclors on 2025 and signed on their behalf by.. September A Sh8pherd Dlrector D1ctor Dated.. Company Reglstration No. 02499752 The notes on pages 16 to 27 form part of the financial statements. 14
THE MUSEUM OF EAST ASIAN ART STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 Restrlctedl Unrastricted Funds EEF PEF Notes 2025 2024 Net Incomings and {Outgoings) from Activities 35,131 9,374 241,112 285,617 566,674 Add.. Non-cash item Depreciation 3,251 3,251 8,395 Less: Donations Dividends Adjustm8nt re gains and other non-cash items (203.982) (203,982) {520.000} (369,798) {356,206) (369,798) 9,374 23.044 33,600 8,74 Cash used prior to capital injectson, investmenl and other activities 332,598 332,598 309 884 Capitsl injection: Legacy, donation and transfer 876 218,068 218,944 525,967 Cash generated from investment activity: Dividends Sale of investments Purchase of investments Fees and outgoings 369,798 369,798 356,206 835,065 1,175,442 (1,073,388) (1,841,506) 31 196 27.966 305,119 529,946 (326,9821 (746.406) Total 369,798 21,863 247.656 100,279 337.824 Appllcatlon of cash in operational activities Purchase of tanglble fixed assels Decreasel{Increase) in Stock Decreasel{Increasel in Debtors In¢reasel(Decrease) in Cr8ditors (75,620) 11,844) {26.856) 60,729 13 15 16 18 (75,620) (1,844) (26,856) 670 11,408 Total 43,591 43.591 Net (decrease)lin¢rease in cash (6,391) (20.987) (29.588) (56,966) {99,502) Cash at 1" April 2024 477.016 24,035 33,461 534512 634.014 Cash at 31 $1 March 2025 470,625 3,873 477,546 534,512 The notes on pages 16 to 27 form part of the financial statements. 15
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accountlng polici88 1. Accounting pollcles Charity inforniation The Museum of East Asian Art is a private company limited by guarantee incorporated in England and Wales. The registered office is 12 Bennett Street. BATH, BA12QJ. 1.1 Accounting convention The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association. 'Charilies SORP (FRS 102) - Accounting and Reporting by Charities.. Stalemenl of Recommended Practice applicable to charities preparing their accounts in accordance with the Flnancial Reporting Standard appllcable in the UK and Republic of Ireland (FRS 102) second edition (effective 1 January 2019),, the Financial Reporting Standard applicable in Ihe UK and Republic of Ir8land (FRS 102) and Ihe Companies Act 2006. The ¢harity is a Public Benefrt Enlity as defined by FRS 102. The financial statements are prepared in slerling. which is the functional currency of thè charity. Monetary amounts in th8se financial statements ar8 rounded to the nearest £. The financial statements have been prepared under tha historical cost convention. The principal accounting policies adopted are sel out below. and falr ov rride The directors of the company and the trustees of the PEF have detemiined that it is appropriate lo depart from the Unit8d Kingdom General Accepted Accounting Practice of carrying fixed asset investments at market value because the majority of the investments held by the charity form part of the Permanent Endowment Fund, only the income of which can be used for the purposes of the charity. The directors of the company and the truslees of the PEF therefore view carrying the investmants of the PEF at market value as being misleading since the ass8ts cannot be realised at the value staled for use by the charity and it misrepresents the net wealth of the charity- Investments in the PEF are instead being held at cost. Note 14 of the accounts discloses the value at which investments in the PEF would be carried if they were stated at market value. The directors have therefore decided to adopt a true and fair override and accept the consequent qualified audit opinion. at valuatlo Inves The directors of the company have decided that the Investments of the EEF should be reported at market value since they are available for use by the charity. 1.2 Going concern At Ihe time of approving the financlal statements, the directors have a reasonable expectation that the harity has adequate resources to continue in operational existence for the foreseeable future. Thus the dir8Ctors continue to adopt the going concem basi5 of a¢Gounting in preparing the financial statements. The board of directors is confident that future reserves and future income are more than sufficient to meet cuent commitments. There are no material uncertainties that impact this assessment 1.3 Charitable funds Unrestricted fvnds are available for use at the discretion of th8 directors in furtheran of the charitable objectives unless the funds have been designated for other purposes. The Permanent Endowment Fund represents those assets which rnust be held permanently by the charity. Income arising on the Pemianent Endowment Fund can be used in accordance with the objects of the charily and is included as unrestricted income. The Emergency Endowment Fund investments are those held by the charity where the directors have discretion to convert funds into income. 16
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Expenditure, which meets thes8 criteria, is charged to the fijnds, together with a fair allocation of management and support costs. Further explanation of the nature and purpose of each fvnd is induded in the notes to the financial statements. Endowment funds are Subject to specific conditions by donors that the capital must be maintained by the charity. 1.4 In¢omlng resources Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and il is probable that income will be received. Cash donations are recognised on rec8lPt. Other donations are recognised once the charity has been notified of the donatlon, unless performance conditions require deferral of the amount. Income tax recoverable in relation lo donatlons received under Glft Aid or deeds of covenant is recognised at the time of the donation. Grant income is credited lo the Statement of Financial Activities when received or recelvable whichever Is earlier, unless it relate5 to a specific future period or event. in which case it is deferred. Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is exp8Cted. If the amount is not known, the legacy is treated as a contingent asset. Investment income is recognised when notice has been given of receipt by the investmenl manager. Turnover is measured at tha fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes. 1.5 Resource8 expendod Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are Ihose incurred directly in support of expenditure on the objects of the charily. Management and administration costs are those costs incurred in connection with the administration of the chartty and compliance with constitutional and statutory requirements. Costs of generating ftjnds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes including the charity's shop. Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include the audit fees and costs linked to the strategic management of the Gharity. 1.6 Tangible fixed assets Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. 17
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting pollcle5 Depreciation is recognised so as to write off the cost or valuation of assets le5S thelr residual values over their useful lives on the following bases.. Freehold land and buildings Freehold buildings - no depreciation is provided on the grounds the asset has a very long useful life, a high residual value, is subject to a programm8 of maintenance and accordingly. annual deprecialion would not be material. Freehold land is not depreciated Depreciation was provided on the non-structural elements at rates varying between 100A and 200h of cost until such items were fully depreciated. Fixtures and fittings Baeen 2010 and 200h per annum of cost Library Not depreciated The gain or loss arising on the disposal of an asset is detemined as the difference beeen the sale proceeds and the carrying value of the asset, and is recognised in net Incomel(expenditure) for the year. 1.7 Heritage assets The charity has taken advantage of 18.14 of the Charitles SORP (FRS 1021 and not recognised heritage assets at valuation. The museum's collection is predominately made up of donations of long held assels of donors. The assets are excluded from the balance sheet as significant costs would be involved in the reconstruction of past accounling records and valuations, which are onerous cornpared with the additional benefit derived by users of the accounts. 1.8 Fixed asset investments Fixed asset investments are stated at cost less any provision for impairment at the balance sheet dale. The SOFA include5 the net realised gains and10sses arising on disposals throughoul the year. 1.9 Impairment of flxed assets Al each reporting end date, the charity reviews the carrying amounts of its tangible assels to determine whether there Is any indication that those assets have suffered an impaimient loss. If any such indication exists, the recoverable amount of the asset Is estimated in order lo determine the extent of the impairment loss (if any). Intangible a55e15 Wlth indefinite useful lives and intangible assets not yet available for use are tested for impaimient annually, and whenever there is an indication that the asset may be impaired. 1.10 stocks Stocks are slated at the lower of cost and estimated selling price less costs to Complete and sell. Cost comprises th e cost of direct materials and, where applicable. direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured at the lower of replacement Cost and cost. Nel realisable value is the estimated selling price less all estimated costs of completion and costs to be inCUrd in marketing, selling and distribution. 1.11 Cash and ca8h equivalents Cash and cash equivalents include cash in hand, deposits held al call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 1.12 Financlal Instruments The charity has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 'Other Financial Instruments Issues. of FRS 102 to all its financial instruments. Financial instruments are recognised in the charity's balance sheel when Ihe charity becomes party to the contractual provisions of Ihe instrument. Financial assets and liabililies are offset, with the net amounts Assets under construction 18
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting polici8S presented in the financial statements, when there is a legally enforceable right to set off the re¢ognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Basic financlal assets Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaclion price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured al the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable wlthin one y8ar are not amortlS8d. Basic flnan¢lal Ilabllltles Baslc financial liabilities, including creditors and bank loans are inilially recognised at transaction price unless the arrangement constitutes a financing transaclion. where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, uslng the effective inlerest rate method. Trade creditors are obligations to pay for goods or services Ihal have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured al amortised cosl using the effective interesl method. Derecognltlon of flnancial liablllties Financial liabilities are derecognised when the charity's contractual obligations expire or ar8 discharged or cancelled. 1.13 Employee beneflts The cost of any unused holiday entitlement is recognised in the period In which the employee's services are r8ceived. Temination benefits ar8 recognised immediately as an expense when the charity is demonstrably committed to terminate the employm8nt of an employee or to provide termination benefits. 1.14 Retlrem•nt beneflts Payments to defined contrlbutlon retirement benefit schemes are charged as an expense as Ihey fall due. Critical a¢¢ountlng estimatss and Judgements In the application of the charity s accounting policies. the directors are required to make judgements. estimates and assumptions about the carrying amount of assets and liabilities thal are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. 19
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Donations and legacTOS Unre8tr1cted Endowment funds funds deslgnated Restricted funds Total 2025 Total 2024 Donatlons and gifts Legacies 1,784 37,614 39,398 203,982 243 380 7,056 520,000 527,056 203,982 203,982 37,614 For the year ended 31 Mah 2024 520,000 5.361 527,056 Charltable activltles 2025 2024 Admission Charges Events Education Membershlp subscriptions 15,470 2,071 11,338 1,728 95 1,620 14,781 18,546 Other tradlng activitie8 2025 2024 Shop income Image copyrighl sales Other income Other trading activities 36,065 240 887 37,192 36,676 232 Inve8lJnents 2025 2024 Income from listed investments Interest receivable 345,207 24,591 369,798 338,857 17,349 20
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Raising funds Unrestricted Endowment Restrlcted funds funds funds Totsl 2025 Totsl 2024 Fundraisin Staff costs Fundraising equipment and Publicit 3,009 251 3,009 251 1,766 3,260 3,260 1,766 Tradin ¢osts Other trading activities Staff costs 21,877 12.585 34.462 21,877 12,585 34.462 20,567 17,021 37.588 tment mana em 1.511 26,617 28.128 24,921 39,233 26,617 65.850 64.275 For the year ended 31 March 2024 Fundraising and public#ty Trading costs Investment management 1,766 37,588 1.432 33.838 1,766 37,588 24.921 64,275 23,489 23,489 Charitable a¢tivities 2025 2024 staff costs Depreciation Advertising and PR Collection care Propety costs Travel and expenses Legal and professional Subscriptions Training and Consultancy Office costs Bank charges Education Exhibition Artefact insurance and storage 269,118 3,251 5,003 6,371 40,141 1,927 1,698 379 9,887 18.681 75 2.692 8,393 18,782 386,395 219,166 8,395 3,979 21,554 26,786 4,339 1,345 533 1,940 14,683 83 4,135 8.696 18,200 333,834 Share of governance costs (see note 9) 390,570 338,314 21
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Support costs Support Governance Costs Costs 2025 2024 Basis of allocation Audit fees Analysed between Charitsble activities 4,175 4.175 4,175 4,480 Govemance 10 Dlrectors During the year, no director received any remuneration (2024.. £NII). No direcior recelved reimbursement of expenses (2024.. £Nil). 11 Employees Number of employees 2025 Number 2024 Numbor Employment costs 2025 2024 Wages and salaries Social security costs Other pension costs 241,740 17,740 12,212 271692 200,217 12,483 9.711 222.411 No employee received employee beneflts of mor8 than £60,000 {2024'. £Nil). 22
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 12 Net galnslllossesl on inveslments 2025 2024 Gainl(loss) on sale of investments PEF EEF 63,747 28,982 24,588 {4,2381 Unrealised gainsl(losses) EEF 19.6081 73.121 13 Tangible flxed assets Freehold land and buildings Assets under Flxtur08 and con8trucllon flttlng8 Library Total Cost At 1 April 2024 Acquisitions Disposals Reclassification by resolution 224,239 668,638 568,462 75.620 (29,923) 51,250 1,512,589 75,620 129,923) 612 772 55,866 At 31 March 2025 837011 614 159 51.250 1,502 420 Dopreclatlon and Impalrment At 1 April 2024 Disposals Depreciation charged in the year Reclassification by resolution 55,866 562,722 (29,923) 618,588 (29,923) 3,251 3,251 55,866 55,866 At 31 March 2025 Carrying amount At 31 March 2025 837011 78.109 966 370 At 31 March 2024 224,239 612.772 5.740 51,250 902.396 Not included in the above is the Museum's collection of artefacts. The collection, due to ils nature, is of most value in terms of its cultural signrficance and as such no reliable monetary value can be plac8d upon it. The directors resolved during the year to transfer the carrying amount of Assets Under Construction to Freehold Land and Buildings because the asset repres8nt8d improvements to the building undertaken in the early years of the Museum's existence that enhanced its residual value and the provision of such depreciation as was appropriate had been completed several years earlier. The directors consider that this treatment reflects more accuratety the proper presentation of the Museum's fixed assets. 23
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 14 Flxed asset investments Listed inveslment8 Cash In portfolio Total Pemianent Endowmènt Fund at cost At 1 April 2024 6,447.645 33,461 6,481,106 Incoming resources 218,068 218,068 Additions 746,406 (746.406) Sales proceeds (529,946) 529,946 Gainsl (Losses) 55,422 55,422 Fees and outgoings 31,196 At 31 March 2025 6 719.527 6 723 400 At 31 March 2024 6,447,645 33.461 6481 106 Emergen¢y Endowment Fund at market value At 1 April 2024 501,579 24,035 525,614 Incoming resources 876 876 Addttions Sales proceeds 326,982 (305,119) (326,982) 305,119 Realised Gainsl {Losses) 28,105 28,105 Fees and outgoings Unalised gainsl (Losses) 19,607 19.607 At 31 March 2025 531.940 634,988 At 31 March 2024 501,579 24.035 525,614 Incoming resources of th8 Pemianent Endowment Fund comprise a further legacy payment from the Johanna Austin Estate. and reimbursement of the VAT element of PEF management fees. Fixed asset investments for the Permanent Endowment Fund are carried at wst rather than market value. The reasons for this treatment are disclosed in note 1 of the financial statem8nts. The market valu8 of the Permanent Endowment Fund inveslments at 31 March 2025 was £8,520,085 (2024.. £8,204,910) 24
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 15 Sto¢k8 2026 2024 Finished goods and goods for resale Less.. Provision for obsolete stock 13,674 11,830 11,830 16 Debtor8 2025 2024 Amount falllng due withln one year: Trade debtors Other debtors Prepayments and accrued income 120 51,312 24,109 24.901 23.784 48.685 17 Cash at Bank and In Hand 2025 2024 Balance al Bank Balance with CCL4 on COIF deposit 25,625 32,016 445,CQO 470 625 445 000 477 016 18 Creditor8 2025 2024 Amount falling due within one year: Trade creditors Social Se¢urily and Oiher Taxes Accruals and deferred income other Creditors 84,843 7,510 25,479 712 118,544 25,430 27,706 4.679 57,815 25
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 19 Restricted funds The income funds of the charity includ8 r8Stricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes.. Balanc• at Incomlng 1 Aprll 2024 Rosources Resources Expended Transfers Balan¢• at 31 March 2025 MEAA M8talware conservation project 24,353 24,353 The Reimaging Project fund 206.512 117 2,656 209,285 L.G Harris Trust Security Enhancem8nts 722 (722) L.G Harris Trust Photography of collection 3,800 3,800 Museum Founder Brian McElney Memorial fund 1,934 (1,934) WECA Small Museum Capital grant Discovery Room 24,997 24,997 Museum Development South West Audience Development Consultant 6,5C (6.500) B&NES Herltage seTvice$ Community VolS at MEAA 1,000 (1,000) Medlock Charltable Trust Empowerlng Volunteer 5,000 2,500 2.500 237,321 37,614 10,000 264.935 The Reimagining Project fund for the redevelopment of whole Museum. West of England Combined Authority Small Museum Capital Grant for Discovery room. Museum Dev81opment South West Small Grants scheme for Audience Development Consultant. B&NES Heritage Services for Museum in a Box - Community Voices at MEAA project 26
THE MUSEUM OF EAST ASIAN ART NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 20 Endowment fund8 The Endowment funds, which are material to the charity's activities, are made up as follows.. Movement In funds Balance at 31 March 2025 Balance at Incoming Resources 1 April 2024 Resources Expended Transfers Revaluatlons galnsllosses Pemianent Endowment fund Gift from Franklin Tsu's Estate Special capital reserve Emergenw Endowment fund 6,476,955 884,620 9,352 525,615 7,896,542 203,982 {26,61n 63.747 6,718,C67 884.620 9.352 534 989 8,147.028 9.374 73,121 203.982 26.617 Incoming Resources of the Permanent Endowment Fund of £203,982 represents a further legacy payment from the Johanna Austin Estate. The Permanent Endowment Fund exists as a separate charity. The capital of this fund Is invested and only the income is available to pay lowards th8 running expenses of the Museum. The investments are managed by a sub-committee of the Museum's Management Committee in conjunction with Brewin Dolphin the investment advisers. Copies of the quarterly statement showing the contributions to the Permanent Endowment Fund and the investments held by it are circulated quarterly to the sub-committee. The Charity Commission h a s confirmed that the accounts of the Permanent Endowment Fund can form part of the accounts so long as the funds are kept separate. 21 Analysls of net assots between funds General funds Restrlcted Endowment fundg funds Totsl Fund balances at 31 March 2025 are represénted by.. Tangible assets Investments Current assetsl(Ilabilities> 78,109 888,261 7,258,388 379 968,370 7,258,388 441,296 175.982 264,935 254.091 264.935 8,147,028 8,666,054 The Restricted Funds balance consists entirely of ¢urrenl assetsniabilitie5. The Unrestricted Funds of £254,091 consis1 offixed assets of£78,109 and net current assets of £175,982. 22 Related party trangactlons Transactlons with related partles During the year the charity entered into no transactions with related parties. 27