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2021-03-31-accounts

FFOTOGALLERY WALES LIMITED

FINANCIAL STATEMENTS

31 MARCH 2021

Charity Number 513726 Company Number 01705938

FFOTOGALLERY WALES LIMITED

FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

CONTENTS PAGE
Trustees’ Annual Report 1 - 8
Reference and Administrative Information 9
Independent Examiner’s Report to the Trustees 10 - 11
Statement of Financial Activities 12
Balance Sheet 13
Cash Flow Statement 14
Notes to the financial statements 15 - 23

FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2021. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) ‘Accounting and Reporting by Charities’.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity was incorporated on 11 March 1983. New Articles of Association were adopted by special resolution on 21 May 2014. It is a company limited by guarantee as defined by the Companies Act 2006.

Recruitment and appointment of new trustees

As set out in the Articles of Association the Management Committee consists of up to 15 trustees, appointed by voting members of the charitable company attending an Annual General Meeting or by co-option during the year to fill specialist roles. When considering co-opting trustees, the Management Committee has regard to the requirement for any specialist skills needed.

Induction and training of new trustees

New trustees undergo an orientation day to brief them on their legal obligations under charity and company law, the Charity Commission guidance on public benefit, content of the Articles of Association, the committee and decision-making processes, internal control arrangements, the business plan and recent financial performance of the charity.

Organisation structure

Ffotogallery has a board of Trustees elected annually. The Board delegates day-to-day management responsibilities to the Director, supported by a paid team that in 2020/21 included Operations Manager, Exhibitions Manager and Production Coordinator, with additional freelance and shortterm posts, web design and marketing professionals, and various paid interns and volunteers.

The Director makes a major contribution to strategic business planning and has responsibility for artistic direction and programming of the organisation’s work. Performance against organisational and budgetary targets is reviewed quarterly by the Board. Ffotogallery's Business Plan is reviewed every six months, and updated annually.

The Director has stated his intention to leave his role at the end of 2021 and the Trustees are in the process of recruiting a successor.

Risk management

Ffotogallery operates a risk assessment policy and the organisation has reviewed the major risks, both financial and operational, that might have material impact. The company is confident that the risk assessment and management systems in place will ensure the future stability and sustainability of the organisation.

1

FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

OBJECTS AND ACTIVITIES

Objects and charitable purposes

The principal activity of the charitable company is to promote, maintain, improve and advance education in the knowledge, understanding and appreciation of the arts and in particular in the medium of photography. This means that Ffotogallery provides public benefit under at least two statutory charitable purposes: the advancement of education and the advancement of arts, culture, heritage and science.

Public benefit

The organisation’s trustees confirm that they have complied with the duty in Section 4 of the Charities Act 2006 to have due regard to public benefit guidance published by the Charity Commission. Public benefit is at the heart of the objectives set out above. Significant activities that we undertook during the year that demonstrate public benefit are set out on the following pages. No trustee received any financial benefit from Ffotogallery during the year.

Mission

As an arts charity, Ffotogallery’s mission is to enable people in Wales and beyond to engage with contemporary visual culture in a way which educates and inspires, develops their creativity and otherwise benefits their lives.

Our vision is for everyone to be able to enjoy transformational experiences through photography and lens-based media.

Our work is simultaneously local, national and international, working with a wide range of partners in physical and virtual spaces, and reflecting a diversity of creative practices and cultural perspectives. Our aim is to bring international talent to Wales and showcase Welsh talent to the world. Our principal activities are:

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FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

In pursuit of the above, our priorities for the period 2020 – 2025 are:

To develop the full potential of the organisation’s new premises to enable Ffotogallery to draw together the various strands of its work and provide a focal point for photography and lens-based media in Wales.

To extend our cultural offer and reach in Wales and beyond through a series of national and international projects which capture the richness and diversity of contemporary Wales, sharing different aspects of the nation’s cultural life to audiences at home and globally.

To build on the achievements of four previous biennial editions of Diffusion - Cardiff International Festival of Photography, and mount successful events in 2021, 2023 and 2025 in partnership with organisations across the city, in Wales and internationally.

ACHIEVEMENT AND PERFORMANCE

Charitable activities

Through various exhibitions, publications, courses, educational projects and events, Ffotogallery has continued to present the contemporary photographic image in a rich and widening context of critical and historical debate. This year we undertook projects and presented exhibitions in a variety of sites and locations in Wales, other parts of the United Kingdom, Europe and Internationally.

Programming in 2020/21

Despite the challenges of the pandemic, in 2020/2021 Ffotogallery delivered an extensive programme of exhibitions, projects and public programmes with significant reach and impact in Wales and beyond.

Few could have predicted the events of 2020/21, and even less so the scale of impact this global health crisis has had on all our lives. For organisations like Ffotogallery, we faced the immediate challenge of upholding our commitment to providing enriching cultural experiences that are accessible to the communities we serve, whilst maintaining the safety of our staff and the public. Our business model has needed to adapt to an unpredictable operating environment, in which we endeavour to maintain core activities on minimal resources, as well as finding alternative ways to engage artists and audiences through online platforms.

Having just established our new home in Cardiff, we had anticipated maximising its business potential in 2020/21, but the pandemic and successive lockdowns severely inhibited our ability to pursue this strategy.

The Board decided to push the timeline for the next Diffusion festival back by six months to October 2021, and to extend the Creative Europe project A Woman’s Work by four months, increasing the number of online and print outputs and reducing exhibitions and events due to restrictions on international travel. This enabled us to commission artists to make work during lockdown, and to work closely with artists such as Mike Perry and Zillah Bowes on projects that were delayed by a year due to the lockdown. We had anticipated Weston Jerwood funding in April/May 2020, but the scheme was deferred and we did not receive our first instalment until January 2021.

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FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

Twelve new Many Voices, One Nation commissions of emergent Wales-based artists were made in 2020/21 included three BAME artists, two disabled, three Welsh speakers, six women and six men from across Wales. The resulting exhibition opened in early December 2020, but a further lockdown meant that the show could then only be enjoyed online through a 3D virtual tour, prior to it reopening to the public in May 2021.

The last four Diffusions involved close partnership working with the Iris Prize film festival and the presentation of still and moving image work produced by LGBT+ artists, and for 2021 we decided to share a venue and co-programme the space.

We have significantly extended the scope of the Diffusion festival in 2021 to include multiple exhibitions, events and activities in Newport, St. Davids and Llanelli, as well as Cardiff. To this end, in 2020/21 we commissioned many artist projects delivered in the medium of Welsh and English and from diverse backgrounds in Wales.

In 2020/21, Ffotogallery partnered with Disability Arts Cymru for the LockdownPhotoRenga project and RNIB Cymru and UCan for the See Differently programme. Ffotogallery acted as the creative producer for Suzie Larke’s Unseen arts and health project, a major UK commission and touring exhibition funded through the Unlimited programme for disabled artists. Unseen was finally exhibited at Ffotogallery in June 2021. A two year India-Wales project with Chennai Photo Biennale was initiated and five artists commissioned, along with the most recent focus on Arab artists and photographers through The Place I Call Home, reflecting our commitment to diverse programming.

In January 2021, Cynthia Sitei took up the position of Creative Producer at Ffotogallery, under the Weston Jerwood Creative Bursaries Scheme. That appointment has already led to a digital collaboration in 2020/21 between Ffotogallery and PAWA254 in Kenya, a dynamic arts and cultural hub that houses, fosters and catalyses creative and community-driven projects for social change. The project has received the backing of British Council Wales through its Go Digital programme focusing on digital initiatives and responses of the arts and creative industries sector in Wales and the SubSaharan Africa region. The project presents an opportunity for two dynamic cultural organisations to co-design and develop a unique online space for visual storytelling, working with young Kenyan and Welsh visual artists, musicians, poets and storytellers as the creative team.

Having commissioned 12 African artists and photographers for the More Than a Number virtual exhibition, in April 2021 we formally launched our Photography and Africa season with an online symposium and a series of workshops and events, culminating in the opening of the physical exhibition and events in September as part of Diffusion 2021.

Charitable Activities

Impact of Ffotogallery’s Charitable Activities

In 2020/21 Ffotogallery’s activities reached a physical audience of 20,485, with a further 130,178 individuals enjoying our work online. This reflects the impact of the pandemic on our exhibitions and outreach activities.

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FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

FINANCIAL REVIEW

In the last five years we have demonstrated our ability to directly earn income from activities and to secure funding from sources as diverse as the Welsh Government, European Commission, British Council and the Arts Council of Wales.

Our turnover in 2020/21 was £423,421 and we incurred expenditure of £339,337.

The Arts Council annual funding partially covers our core running costs. There is a gap we need to make up in relation to salaries, on-costs, rent and overheads, and ongoing operational and administrative costs. There are no residual funds for us to deliver programming activities to achieve our charitable purpose and objectives, to cover small equipment purchases, one-off repairs and maintenance costs, or to restore core staffing levels up to the 2019/20 levels.

The enforced closure of our premises and cancellation and indefinite postponement of touring exhibitions, projects, hires and events, had an immediate impact on anticipated earned income. This, combined with the freezing of all grant funding schemes as finance was diverted to the Covid-19 emergency response, gave us no choice but to defer business critical staff appointments and to scale back programming, where possible. The Board decided to push the timeline for the next Diffusion festival back by six months to October 2021, and to extend the Creative Europe project by four months. We had anticipated Weston Jerwood funding in April/May 2020, but the scheme has been delayed and we will not receive our first instalment until January 2021. The next Creative Europe grant payment of £45,000 is due to be paid in arrears in May/June 2021.

Ffotogallery has embarked on an organisational change process to determine a sustainable financial model which recognises the need to develop further unrestricted income streams. We recognise that in a lean climate for public funding for the arts, and with the uncertainties arising from the global pandemic, we need to be entrepreneurial and creative in how we finance our activities, achieving the maximum leverage from the public subsidy we receive and reducing our dependence on it by strengthening and diversifying the income we generate from other sources.

We believe that Ffotogallery delivers an excellent return on public funders’ investment – both financially and in terms of the quality and impact of our work on artists, audiences and delivery of visual arts development in Wales. However, we need to ensure a future business model that progressively builds organisational reserves and alleviates cashflow pressures.

Reserves Policy

In order to maintain effective operations of the organisation the Board of Trustees has agreed to work towards a financial reserve of 4 months operating costs. This level of reserve would allow staff to continue working to secure new funding and if necessary to allow a period of time to cease activity in a way where staff and supplier contracts can be terminated or modified. This is an amount it considers prudent in the event of a major business interruption as determined by an analysis of risks to the charity.

If difficulties were to arise then, it has been calculated that reserves of £15,000 would be needed to continue running current services for at least 4 months.

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FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

This figure is based on operating costs at the time of this policy being reviewed. This will be reviewed annually and the figure recalculated to take changes in operating costs (as service change in response to income generation) into account. This figure will also be reviewed on an ad-hoc basis if there are significant changes to business circumstances.

The reserves should be built up from the unrestricted income. The level of reserves should be calculated and monitored every 6 months by the finance team and reported to the board.

Whereas we will continue to maintain our effort to maximise income and reduce overheads, in the view of the Trustees the organisation is a going concern and that position will continue to improve in the coming years. To achieve this, the organisation has set about a new fundraising strategy to secure additional funds to underpin the costs of projects and programmes, reducing the reliance on unrestricted income to finance such activities. The Board recognises that in a challenging financial climate for the arts, especially as a result of the global pandemic, this strategy will take some years to achieve the required level of reserves.

The free reserves held at the year end were £37,541, this is in excess of our reserves policy.

Future Developments

Periods of uncertainty can provide the momentum for positive change. We emerged from lockdown as a stronger, more resilient organisation with a clear strategic direction in terms of our artistic and educational work.

A key factor in ensuring the organisation’s long-term effectiveness and sustainability has been bringing together our various charitable activities under one roof and overcoming the disadvantages of a split site operation. Our new premises have offered a means for Ffotogallery to re-establish in Cardiff its long sought after base for free admission exhibitions and library resources, with accompanying production, training and learning activities, and a continued commitment to touring, digital engagement and outreach programmes across Wales and beyond.

They give Ffotogallery our visibility, identity and security, and a place we can call home. Somewhere we can present a fully integrated cultural offer, in an accessible and conducive environment. A space for creativity, learning and reflection. A physical and virtual hub for work that is embedded locally and connected internationally. They offer opportunities for new income streams, new ways of working and fruitful partnerships and collaborations. We view our centre as both ‘engine room’ and ‘showroom’, a place where new ideas and creative projects are generated with a presence in other parts of Wales and beyond, and also a welcoming venue offering inspiring encounters with contemporary photography.

A key dimension of our financial strategy for 2021/22 onwards is maximising the building’s potential to generate earned income from workshops, events, room hires and retail, and to leverage grant income for core activities delivered from the building. These include our public engagement programme and exhibitions with a specific community or social issue focus, for example tackling issues of gender, diversity and disability. The A Woman’s Work programme, funded in part by Creative Europe, and Suzie Larke’s Unseen project, an Unlimited commission focusing on mental health issues and representation, are early examples of this approach. The Place I Call Home built on

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FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

our engagement with BAME communities in Wales, not just in terms of Muslim communities, but also in relation to other minority groups.

We are also committed to investing in increasing the quality of and use of our archive and collection, established over 42 years, and will be seeking Lottery Funding and charitable trust support in this regard, along with funding to commission new artist projects under the Many Voices, One Nation theme. Likewise, seeking funds for development of our online platforms and virtual content, providing a content-rich and accessible means for audiences and participants to experience Ffotogallery’s cultural offer.

The strategy for Diffusion 2021 is likewise to focus back on Wales and its global links, and the seven goals outlined in The Well-being of Future Generations (Wales) Act 2015, and to align the festival programme with new commissions, residency/exchange programmes and exhibition projects which are given a platform during Diffusion, and where possible are toured on to other UK and international venues both to generate touring income and to provide a legacy.

Achieving the above requires a refinement and rationalisation of how Ffotogallery plans and delivers its work, at all levels. It also entails further development of our entrepreneurial approach in order to maximise the potential for earned income, sponsorship and leverage from public funding, and to minimise financial and organisational waste and inefficiency.

A priority has been to upgrade and rationalise Ffotogallery’s online and social media platforms to provide 21st century offer to artists and audiences, and to maximise reach and impact. We intend to place digital content creation at the heart of commissioning decisions and curatorial work, aligned to our exhibition-led programme. We will ensure that high quality learning and engagement activities remain integral to our gallery and exhibition offer.

RESPONSIBILITIES OF THE TRUSTEES

The trustees (who are also directors of Ffotogallery Wales Limited for the purposes of company law) are responsible for preparing the Trustees’ Report (incorporating the directors’ report) and the financial statements in accordance with 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 Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

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FFOTOGALLERY WALES LIMITED

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2021

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Small company provisions

This report has been prepared in accordance with the special provisions for small companies under Part 15 of the Companies Act 2006.

Signed by order of the trustees

D R Drake - Secretary

Approved by the trustees on 2[nd] December 2021.

8

FFOTOGALLERY WALES LIMITED

REFERENCE & ADMINISTRATIVE INFORMATION

YEAR ENDED 31 MARCH 2021

Company number: 01705938

Charity number: 513726

Trustees

Mathew Talfan (Chair) Jack Arthur Michael Bryan Paul Cabuts – appointed 13 September 2021 Glenn Edwards – appointed 3 April 2020, resigned 25 January 2021 Angharad Evans – appointed 3 April 2020 Emily Harris – appointed 28 June 2021 Philippa Haughton Celia Jackson – appointed 3 April 2020, resigned 12 April 2021 Deian Jones – appointed 25 January 2021 David Massey Hugh Thomas

Company Secretary

D R Drake

Registered Office

Ffotogallery Wales Limited Old Sunday School Fanny Street Cardiff CF24 4EH

Independent Examiner Joshua Kingston BSc. ACA Burton Sweet Limited Chartered Accountants The Clock Tower 5 Farleigh Court Old Weston Road Flax Bourton Bristol BS48 1UR

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FFOTOGALLERY WALES LIMITED

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES

YEAR ENDED 31 MARCH 2021

Independent examiner’s report to the trustees of Ffotogallery Wales Limited (‘the Company’)

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2021.

.

Responsibilities and basis of report

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

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

Independent examiner’s statement

Since the Company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.

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

  1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

  3. the accounts do not accord with those records; or

  4. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination; or

  5. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

10

FFOTOGALLERY WALES LIMITED

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES

YEAR ENDED 31 MARCH 2021

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

Joshua Kingston BSc. ACA Burton Sweet Limited Chartered Accountants The Clock Tower 5 Farleigh Court Old Weston Road Flax Bourton Bristol BS48 1UR

Date: 2[nd] December 2021.

11

FFOTOGALLERY WALES LIMITED

STATEMENT OF FINANCIAL ACTIVITIES (Including income and expenditure account) YEAR ENDED 31 MARCH 2021

Notes
Income from:
Donations
2
Charitable activities
3
Other trading activities
Total income
Expenditure on:
Charitable activities
4
Total expenditure
5
Total funds brought forward
14
Total funds carried forward
14
Net income/(expenditure) and net
movement in funds		 Unrestricted
Restricted
Total funds
Total funds
Funds
Funds
2021
2020
£
£
£
£
343,963
77,595
421,558
520,307
1,998
-
1,998
3,000
(135)
-
(135)
18,091
345,826
77,595
423,421
541,398
252,253
87,084
339,337
697,417
252,253
87,084
339,337
697,417
93,573
(9,489)
84,084
(156,019)
(20,556)
26,798
6,242
162,261
73,017
17,309
90,326
6,242

The company has no recognised gains or losses other than the results for the year as set out above.

All of the activities of the company are classed as continuing.

Comparative fund movements are shown in note 7.

The notes on pages 15 to 23 form part of these financial statements

12

FFOTOGALLERY WALES LIMITED

BALANCE SHEET

AT 31 MARCH 2021

Notes
Fixed assets
8
Current assets
Stocks
Debtors
9
Cash at bank
Creditors: Amounts falling due within one year
10
Net current assets
Net assets
Funds
Restricted
15
Unrestricted
15		 2021
2020
£
£
35,476
7,421
16,814
16,048
46,625
24,191
28,410
40
91,849
40,279
(36,999)
(41,458)
54,850
(1,179)
90,326
6,242
17,309
26,798
73,017
(20,556)
90,326
6,242

For the year ending 31 March 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's responsibilities;

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006,

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

These financial statements were approved by the trustees on 2nd December 2021 and are signed on their behalf by:

M Talfan - trustee

Company registration number 01705938

The notes on pages 15 to 23 form part of these financial statements

13

FFOTOGALLERY WALES LIMITED

CASH FLOW STATEMENT

AT 31 MARCH 2021

Notes
Cash flow from operating activities
11
Cash flow from financing activities
Increase of overdraft
Repayment of overdraft
Cash flow from investing activities
Purchase of fixed assets
Net cash inflow / (outflow) for the year
13		 2021
2020
£
£
104,360
(144,057)
-
28,365
(28,365)
-
(47,625)
(11,132)
28,370
(126,824)

Cashflow restrictions

Charity law prohibits the use of net cash inflows on any endowed or other restricted fund to offset net cash outflows on any fund outside its own objects, except on special authority. In practice, this restriction has not had any effect on cash flows for the year.

The notes on pages 15 to 23 form part of these financial statements

14

FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

1 Accounting policies

Basis of preparation

The financial statements have been prepared under the historical cost convention and in accordance with applicable United Kingdom Accounting Standards, the Companies Act 2006, the Charities Act 2011, the Financial Reporting Standard 102 and the Charities Statement of Recommended Practice (FRS 102).

The charity is a public benefit entity.

Along with other similar charities and organisations, the COVID-19 pandemic has brought many uncertainties to the global economy. The impact of this on the charity is highlighted in further detail within the Trustees' Annual Report. The Trustees consider that there are no material uncertainties affecting the going concern of the charity given the careful planning of the Trustees and having considered the wider economy.

Income

Income is recognised and included in the accounts when the charity becomes entitled to the funds, performance conditions attached to the income have been met, receipt of the income is considered probable, and the amount can be measured reliably.

Income from exhibitions is included as income in the period in which the relevant show takes place. Income from exhibitions in advance of productions is deferred and released in the period in which the show falls. Income from grants is recognised when the charity has entitlement and the conditions attached to the funds have been met.

Gifts in kind are valued at the fair value to the organisation in the case of assets for retention or consumption and in the case of donated services or facilities.

Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party. It is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to that activity exclusive of VAT. Support costs and where costs cannot be directly attributed they have been allocated to activities on a basis consistent with the use of the resource.

Costs of charitable activities comprise of the exhibition costs and associated expenses.

Governance costs include the costs of governance arrangements which relate to the general running of the charity. These costs are associated with constitutional and statutory requirements and include costs associated with the strategic management of the charity’s activities. They have been included within support costs.

Transactions in foreign currencies

Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. Monetary assets and liabilities are retranslated at the rate of exchange ruling at the Balance Sheet date. All differences are taken to the Statement of Financial Activities.

Fund accounting

Unrestricted funds contain accumulated surplus and deficits on general funds and can be used in accordance with the charity objects at the discretion of the board of trustees.

Restricted funds represent monies received for specific purposes. All income and expenditure relating to the restricted funds' movements is included in the income and expenditure account. Further details of restricted funds are shown in note 14.

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YEAR ENDED 31 MARCH 2021

FFOTOGALLERY WALES LIMITED NOTES TO THE FINANCIAL STATEMENTS

1 Accounting policies (continued)

Fixed assets

Depreciation is calculated so as to write-off the cost of an asset, less its estimated residual value, over the useful economic life of the asset as follows:

Computer and office equipment: 3 years straight line
Leasehold Improvements 3 years straight line
Props and production equipment 3 years straight line

Items of equipment are capitalised where the purchase price exceeds £500.

Stock

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Donated items are not valued in stock and recognised in income only when sold.

Debtors

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

Cash and cash equivalents

Cash at bank and cash 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.

Creditors

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any discounts due.

2 Income from donations

Donations
Grant income received:
Arts Council Wales - Revenue
Arts Counil Wales - Capital Grant
Jerwood Foundation
Cardiff City Council - Covid Grants
British Council - Digital SSA
Arts Council Wales - Covid recovery
Colwinston Trust - Diffusion
Creative Europe funding - A Woman's Work
British Council - Wales India		 Unrestricted
Restricted
Total funds
Funds
Funds
2021
£
£
£
24
-
24
201,666
-
201,666
-
3,968
3,968
-
6,831
6,831
23,000
-
23,000
-
8,000
8,000
119,273
-
119,273
-
5,000
5,000
-
43,796
43,796
-
10,000
10,000
343,939
77,595
421,534
343,963
77,595
421,558

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FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

2 Income from donations (continued)

Previous year
Donations
Grant income received:
Arts Council Wales - Revenue
Arts Council Wales - Diffusion
British Council - Gulf
Welsh Government - Diffusion		 Unrestricted
Restricted
Total funds
Funds
Funds
2020
£
£
£
39,018
-
39,018
199,472
-
199,472
-
41,250
41,250
19,167
146,400
165,567
-
75,000
75,000
218,639
262,650
481,289
257,657
262,650
520,307

3 Income from charitable activities

Exhibition income
Sales of publications
Membership subscriptions		 Unrestricted
Restricted
Total funds
Total funds
Funds
Funds
2021
2020
£
£
£
£
1,500
-
1,500
2,419
498
-
498
597
-
-
-
(16)
1,998
-
1,998
3,000

All income from charitable activities in 2020 was unrestricted.

Costs of charitable activities
Staff costs
Intern Costs
Premises costs
Office running costs
Subscriptions and library
Sundry expenditure
Exhibition production costs
Exhibition information
Publication costs
Publicity costs
Training courses
Purchase of equipment
Staff and volunteer expenses
Depreciation
Accountancy
Stock Adjustment
Governance costs		 Total funds
Total funds
2021
2020
£
£
119,221
134,210
500
28,517
46,761
68,687
8,517
22,446
1,662
518
5,215
1,089
112,920
341,743
404
16,651
18,421
24,497
3,738
36,390
20
-
488
767
370
17,122
19,570
3,711
1,294
4,759
(766)
(5,239)
1,002
1,550
339,337
697,417

Staff and volunteer expenses includes £Nil (2020: £Nil) paid to Nil (2020 - Nil) trustees for travel expenses.

17

FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

5 Net income/(expenditure) for the year

Net income/(expenditure) for the year
Total funds Total funds
Stated after charging: 2021 2020
£ £
Depreciation 19,570 3,711
Independent Examiner's fee 1,600 1,500

6 Staff costs and numbers

The aggregate payroll costs were:

The aggregate payroll costs were:
Wages and salaries
Social security costs
Pension costs		 Total funds
Total funds
2021
2020
£
£
87,288
128,982
25,232
26,731
6,701
7,014
119,221
162,727

No remuneration was paid to Trustees in the current or prior year.

The average number (headcount) of employees and freelance staff in the year was as follows:

Number of employees Total funds
Total funds
2021
2020
4
5
4
5

No employee was paid more than £60,000 in 2021 or 2020.

The key management personnel are considered to be the Trustees, the Director, Operations Manager, the Exhibitions Manager, the Production Coordinator and the Marketing and Communications Officer.

The total aggregate employment benefits, including employer pension costs and employer's national insurance contributions, received by key management personnel were £119,221 (2020: £134,210).

18

FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

7 Comparative fund movements

Income from:
Donations
Other trading activities
Charitable activities
Total income
Expenditure on:
Charitable activities
Total expenditure
Net income/(expenditure)
Transfers
Net movement in funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Restricted
Total funds
Funds
Funds
2020
£
£
£
257,657
262,650
520,307
3,000
-
3,000
18,091
-
18,091
278,748
262,650
541,398
269,220
428,197
697,417
269,220
428,197
697,417
9,528
(165,547)
(156,019)
(5,521)
5,521
-
4,007
(160,026)
(156,019)
(24,563)
186,824
162,261
(20,556)
26,798
6,242

8 Tangible fixed assets

Cost
At 1 April 2020
Additions
At 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020		 Props and
Computers
Leashold
production
& office
improvements
equipment
equipment
Total
£
£
£
2,131
4,987
4,014
11,132
22,076
5,298
20,251
47,625
24,207
10,285
24,265
58,757
710
1,662
1,339
3,711
8,062
3,426
8,082
19,570
8,772
5,088
9,421
23,281
15,435
5,197
14,844
35,476
1,421
3,325
2,675
7,421

19

FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

9 Debtors

Trade debtors
Taxation and social security
Grant income due
Other debtors
Creditors: amounts falling due within one year
Bank loans and overdrafts
Trade creditors
Accruals
Other creditors		 2021
2020
£
£
150
18,136
2,679
4,897
43,796
-
-
1,158
46,625
24,191
2021
2020
£
£
-
28,365
12,000
9,836
24,932
1,503
67
1,754
36,999
41,458

10 Creditors: amounts falling due within one year

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

Statement of Financial Activities: net movement in funds
Depreciation
(Increase) / decrease in stock
(Increase) / decrease in debtors
Increase / (decrease) in creditors
Net cash inflow / (outflow) from operating activities		 2021
2020
£
£
84,084
(156,019)
19,570
3,711
(766)
(5,239)
(22,434)
37,983
23,906
(24,493)
104,360
(144,057)

12 Analysis of net debt

Cash and cash equivalents
Cash
Overdrafts
Cash at bank
Cash and cash equivalents
Cash
Overdrafts
Cash at bank		 Cashflows
£
£
£
£
40
-
-
40
(28,365)
28,365
-
-
-
28,370
-
28,370
At 1 April
2020
Other non -
cash changes
As at 31
March 2021
(28,325)
56,735
-
28,410
Cashflows
£
£
£
£
100
(60.00)
-
40
-
(28,365)
-
(28,365)
126,764
(126,764)
-
-
Other non -
cash changes
At 1 April
2019
As at 31
March 2020
126,864
(155,189)
-
(28,325)

20

FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

**13 ** Analysis of changes in cash during the year
2021 2020 Change
£ £ £
Cash at bank and in hand 28,410 40 28,370
28,410 40 28,370
2020 2019 Change
£ £ £
Cash at bank and in hand 40 126,864 (126,824)
40 126,864 (126,824)
**14 ** Movement in funds
At Transfers At
1 Apr 20 Income Expenditure of funds 31 Mar 21
£ £ £ £
Restricted funds
Weston Jerwood Creative Bursaries - 6,831 (4,057) - 2,774
Arts Council Wales - Capital Grants - 3,968 (3,968) - -
British Council - Wales/India - 10,000 (2,415) - 7,585
British Council - Digital SSA - 8,000 (1,050) - 6,950
Creative Europe Award - A Woman's
Work 26,798 43,796 (70,594) - -
Colwinston trust - 5,000 (5,000) - -
26,798 77,595 (87,084) - 17,309
Unrestricted funds
General funds (20,556) 345,826 (252,253) - 73,017
Total funds 6,242 423,421 (339,337) - 90,326
Previous year
At Transfers At
1 Apr 19 Income Expenditure of funds 31 Mar 20
£ £ £ £
Restricted funds
Diffusion 2019 - Arts Council Wales - 41,250 (41,250) - -
Wales Government - Diffusion 2019 - 75,000 (75,000) - -
Creative Europe Award - A Woman's
Work 61,479 - (34,681) - 26,798
British Council - UK Gulf 125,345 146,400 (277,266) 5,521 -
186,824 262,650 (428,197) 5,521 26,798
Unrestricted funds
General funds (24,563) 278,748 (269,220) (5,521) (20,556)
Total funds 162,261 541,398 (697,417) - 6,242

21

FFOTOGALLERY WALES LIMITED NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

14 Movement in funds (continued)

Fund Descriptions

Weston Jerwood Creative Bursaries - funding towards the salary costs of a 12 month Creative Producer fellowship at Ffotogallery under a national scheme to increase diversity of representation in the arts.

Arts Council Wales - Capital Grants - One off capital funds to make Ffotogallery's premises Covid-safe and to enhance equipment and facilities.

British Council - Wales/India - Funding to support a partnership between Chennai Photo Biennale and Ffotogallery involving the commissioning of three Indian and two Wales-based artists to make new work addressing the theme 'Imagining the Nation State'.

British Council - Go Digital SSA - Funding to support a digital collaboration between PAWA254 in Kenya and Ffotogallery to create a virtual platform called Where's My Space?

Creative Europe - A Woman's Work - a multi year project running from October 2018 until September 2020.

Colwinston Trust - grant towards artist Hillary Powell at Diffusion 2021 .

Diffusion 2019 - grant instalments towards planning and delivery of Diffusion - Cardiff International Festival of Photography.

Wales Government - Major Events Unit funding for Diffusion 2019.

British Council UK Gulf - multi year project in GCC funded by British Council.

15 Analysis of net assets between funds

Restricted Funds
Unrestricted funds
Previous year
Restricted Funds
Unrestricted funds		 Tangible
Other
Total
Fixed assets
Net assets
31-Mar-21
£
£
£
-
17,309
17,309
35,476
37,541
73,017
35,476
54,850
90,326
35,476
54,850
90,326
Tangible
Other
Total
Fixed assets
Net assets
31-Mar-20
£
£
£
-
26,798
26,798
7,421
(27,977)
(20,556)
7,421
(1,179)
6,242
7,421
(1,179)
6,242

22

FFOTOGALLERY WALES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

16 Company limited by guarantee

The Company is limited by guarantee and as such has no issued share capital. In the event of the company being wound up the liability of the members is limited £1 each.

17 Related party transactions

No related party transactions occurred in the year or the prior year other than stated elsewhere in the financial statements.

23