Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
Paisley Art Institute
Trustees’ Annual Report and Financial Statements
For the Year Ended 31 July 2024
Charity number SC000840
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
| Contents | ||
|---|---|---|
| Page | ||
| Administrative information | 1 | |
| Trustees’ report | 2 - 4 | |
| Statement of Financial Activities | 5 | |
| Balance Sheet | 6 | |
| Notes to the Financial Statements | 7-10 | |
| Independent Examiner’s report | 11 |
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
Administrative Information
1
The Officers at the Date of This Report are:
Accountants
McLaren Ross 19 Glasgow Road Paisley PA1 3QX
Charity Number SC000840
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024 Trustees' Report 2
The Trustees present their report with the financial statements of the charity for the year ended 31 July 2024. The financial statements have been prepared in accordance with the basis of accounting, and accounting policies as set out in notes 3 - 6 to the accounts.
Scottish Charity Number: SC000840 Address: Paisley Art Institute 1 Millburn Drive Kilmacolm PA13 4JF
Trustees during the year:
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
3
Trustees' Report
Structure and Management
Paisley Art Institute (PAI) is a charitable, unincorporated organisation. The purpose of the Institute, as recorded in the Constitution dated November 2016, is the encouragement and the promotion of Art by means of exhibitions and occasional lectures, meetings and demonstration classes, and the purchase of works of art or literature or by any other means which the committee determines appropriate.
The Charity's Committee of Management formally meets five times per year and includes the post holders of President, Vice Presidents (2), Secretary, Membership Secretary and Honorary Treasurer. Informal or extraordinary meetings may be arranged throughout the year.
Objectives and Activities
On the 21st of February 2024 the Leadership board of Renfrewshire council accepted our ownership of the PAI collection and in May 2024 we were handed over 246 art items. We continue to assert ownership of a further 150 works and the PAI trustees will proffer evidence in time.
135th PAI Annual Exhibition, 2[nd ] April- 6[th ] June 2024, took place in the Glasgow Art Club. The private viewing was well attended with Anita Manning, a TV presenter and auctioneer, opening the show. Twenty prizes and awards were given to artists for their quality works.
This was a highly successful exhibition of over four hundred artworks, exhibited on 2 levels in 5 galleries. Footfall to the GAC was greatly increased by the PAI exhibition. The Public were encouraged to visit throughout the exhibition period with some from as far as Germany, Belgium, USA and New Zealand enjoying the experience, free of charge. Increased publicity was developed through posters, local and national newspapers and several social media outlets.
At a Special general meeting on Tuesday 11[th ] June 2024, it was voted unanimously that we may have to sell some of the collection to maintain the existence of the Institute and its charitable purposes.
The Paisley Art Institute is now settling into their new home, in the Glasgow Art Club.
The Glasgow Art Club helps facilitate our charitable duties by being able to house and exhibit our art collection for the benefit of the public and tourism. We are partnering with the GAC in promoting art appreciation through talks, demonstrations, exhibitions and awards.
In December 2023, PAI finances gained £1,300 when we took part in a Christmas Fair held at Glasgow Art Club and the 135[th ] Exhibition produced a surplus of £7,900. Against this, PAI has continued to need occasional legal advice, at considerable cost. Also, PAI financed various internal alterations at GAC in preparation for housing our art collection. Overall, the year ended with a deficit of £13,850. While PAI received an advance on art sales of £50,000 during the period, this was repaid on receipt of sale proceeds in September 2024 and the Institute’s cash reserves were enhanced.
Membership continues to grow, standing presently at 340.
4
Paisley Art Institute Trustees' Annual Report and Financial Statements For the year ended 31 July 2024
Trustees' Report
Financial Review
The Trustees' policy is to maintain sufficient reserves to cover a minimum of three months' expenditure, excluding exhibition costs and artist payments. Exhibition costs are met from commission on exhibition painting sales and catalogue sales. Artist payments are only payable on exhibition sales completed and paid.
Grants Policy
The charity does not make grants. Awards are made annually on the basis of judging panel recommendations for various categories of art. Most of these awards are funded by sponsors.
Risk Statement
The trustees actively consider the risks to which the charity is exposed and where possible, and appropriate, take such actions as are necessary to mitigate those risks.
Statement of Trustees' Responsibilities
It is the responsibility of the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the results of the charity for that year. In preparing the financial statements the Trustees are required to:
select suitable accounting policies and then apply them consistently:
make judgement and estimates that are reasonable and prudent:
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue its business.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity which enable them to ascertain the financial position of the charity, and which enable them to ensure that the financial statements comply with the constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other regularities.
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
Statement of Financial Activities 5
| Unrestricted Notes Funds £ Income Resources Charitable Income 1 54,055 Investment Income 1 51 Total Income Resources 54,106 Resources Expended Direct Charity Expenditure 2 66,174 Support Costs 2 242 Governance Costs 2 1,440 Total Outgoing Resources 67,856 Net Movements in Funds (13,750) Total Funds Brought Forward 36,952 Total Funds Carried Forward 23,202 ============= |
Unrestricted Notes Funds £ Income Resources Charitable Income 1 54,055 Investment Income 1 51 Total Income Resources 54,106 Resources Expended Direct Charity Expenditure 2 66,174 Support Costs 2 242 Governance Costs 2 1,440 Total Outgoing Resources 67,856 Net Movements in Funds (13,750) Total Funds Brought Forward 36,952 Total Funds Carried Forward 23,202 ============= |
Restricted Funds £ - - |
2024 Total Funds £ 54,055 51 |
2023 Total Funds £ 43,590 18 |
|---|---|---|---|---|
| 54,106 | - | 54,106 | 43,608 | |
| 66,174 242 1,440 |
100 - - |
66,274 242 1,440 |
38,212 253 2,040 |
|
| 67,856 | 100 | 67,956 | 40,505 | |
| (13,750) 36,952 |
(100) (13,850) 4,116 41,068 |
3,103 37,965 |
||
| 23,202 ============= |
4,016 27,218 ====================== |
41,068 ======= |
Paisley Art Institute Trustees' Annual Report and Financial Statements For the year ended 31 July 2024
| Balance Sheet | 6 | |||
|---|---|---|---|---|
| NOTES | ||||
| Fixed Assets | ||||
| Heritable Assets | 3 | 3,812,995 | 3,812,995 | |
| Current Assets | ||||
| Cash at Bank and in Hand | 28,580 | 42,430 | ||
| Prepayment - Exhibition Expenses | Prepayment - Exhibition Expenses | |||
| Debtor | 8 | 50,000 | ||
| 3,891,575 | 3,855,425 | |||
| Current Liabilities | ||||
| Creditor | 9 | 50,000 | ||
| 3,841,575 | 3,855,425 | |||
| The following funds make up these balances: | The following funds make up these balances: | |||
| Restricted income funds | 10 | 4,016 | 4,116 | |
| Unrestricted income funds | 3,837,559 | 3,851,309 | ||
| 11 | 3,841,575 | 3,855,425 |
Approved by the Trustees on 14 November 2024 and signed on their behalf by: -
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
7
Notes to the Financial Statements
| 1 Unrestricted Notes Funds £ Incoming Resources Exhibition Sales 35,569 Catalogue sales 1,525 Falconer Houston Sales 250 Displacement Costs/Sponsorship - Postcard sales 80 Exhibition fees 4,630 Members subscriptions 5,705 Catalogue advertising 710 Prize and awards sponsors 3,800 Courier Fees Received 280 Christmas Fayre 1,377 Other Income 8 Donations 121 54,055 Investment Income Interest received 51 |
1 Unrestricted Notes Funds £ Incoming Resources Exhibition Sales 35,569 Catalogue sales 1,525 Falconer Houston Sales 250 Displacement Costs/Sponsorship - Postcard sales 80 Exhibition fees 4,630 Members subscriptions 5,705 Catalogue advertising 710 Prize and awards sponsors 3,800 Courier Fees Received 280 Christmas Fayre 1,377 Other Income 8 Donations 121 54,055 Investment Income Interest received 51 |
Restricted Funds £ - - - - - - - - - - - - - |
2024 Total Funds £ 35,569 1,525 250 - 80 4,630 5,705 710 3,800 280 1,377 278 121 |
2023 Total Funds £ 23,380 - 870 - 5 5,815 4,800 - 7,430 1,290 - - - 43,590 |
|---|---|---|---|---|
| 54,055 | - | 54,055 | ||
| 51 | - | 51 | 18 |
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
8
Notes to the Financial Statements (continued)
2
| 2 | 2 | ||
|---|---|---|---|
| Resources Expended Unrestricted Restricted Notes Funds Funds £ £ Direct Charitable Expenditure Payments to Artists 24,963 - Exhibition Expense 4,085 - Commissions 2,485 - Prizes & Awards 3,500 100 Advertising 325 - Website 417 - Insurance 355 - Legal Fees 10,920 - Valuation Fees - - Transport/Storage 2,173 - Submittable - - Own Art - - Archive - - Courier Fees Paid 909 - Catalogue Costs 2,333 - GAC Cleaning & Clearing 13,709 - 66,174 100 Support Costs Secretary/Treasurers Fees 7 - - Postage, Stationery & telephone Meeting Costs Admin Costs 198 - - - - - Finance Charges 44 - 242 - Governance Costs Accountancy 1,440 - |
2024 Total Funds £ 24,963 4,085 2,485 3,600 325 417 355 10,920 - 2,173 - - - 909 2,333 13,709 |
2022 Total Funds £ 13,198 3,409 2,298 5,900 404 369 - 9,480 2,400 - - - - 754 - - 38,212 |
|
| 66,174 100 |
66,274 | ||
| - - 198 - - - - - 44 - |
- 198 - - 44 |
- 161 - 19 73 253 2,040 |
|
| 242 - |
242 | ||
| 1,440 - |
1,440 |
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
9
Notes to the Financial Statements (continued)
3 Heritable Assets
The Trustees have appointed Christies to carry out a formal valuation of its Collection. Approximately 80% of its Collection items have been valued by Christies on a Current Auction Estimates basis. The valuation was carried out on 14 December 2022.
On the grounds of prudence, the valuation included in the Balance sheet represents the median valuation on the above basis for this part of the Collection. This valuation will be subject to change when access is available to the full Collection.
4 Basis of accounting
With the exception of Heritable Assets as per note 3 these accounts have been prepared on the basis of historic cost in accordance with:
- x accounting and Reporting by Charities – Statement of recommended Practice (SORP 2005) x and with applicable Accounting Standards.
5 Accounting Policies
x Income and expenditure are accounted for on a cash basis.
6 The nature and purpose of the funds: -
General Funds
The general fund is used for the day to day running of the Institute.
Mary Armour Fund
The artist left £5,000 in her will to be used by the Institute. The Institute presents the William and Mary Armour Award each year at our annual exhibition.
7 Secretary/Treasurer Fees
Secretarial fees of £nil (2023: nil) were paid during the year for administrative duties of which. £nil was paid to trustees in their roles as Secretary, Membership Secretary and Treasurer
8 Debtor
This amount represents a loan made to Glasgow Art Club on 26 July 2024. The loan is repayable on 1 August 2027 and is interest free.
- 9 Creditor
This amount represents an advance of funds given to Paisley Art Institute by Lyon and Turnbull Auctioneers for a sale of selected artwork which is arranged for after 31 July 2024. This advance will be repaid from the sales proceeds.
Paisley Art Institute Trustees’ Annual Report and Financial Statements For the year ended 31 July 2024
Notes to the Financial Statements (continued) 10
| 10 | Restricted Income Fund Balance brought forward Activity Balance carried forward |
Robert Sculpture Edmonds Fund Fund £ £ 262 407 - - |
Robert Sculpture Edmonds Fund Fund £ £ 262 407 - - |
Robert Sculpture Edmonds Fund Fund £ £ 262 407 - - |
Mary Armour Fund £ 3,447 (100) |
Total £ 4,116 (100) 4,016 ====== |
|---|---|---|---|---|---|---|
| 262 ========== |
407 =========== |
3,347 ========== |
11
| Analysis of Net Assets Over Funds Unrestricted Funds Funds £ Fixed Assets 3,812,995 Debtors 50,000 Cash 24,564 Creditors (50,000) Total Net Assets 3,837,559 ========== |
Analysis of Net Assets Over Funds Unrestricted Funds Funds £ Fixed Assets 3,812,995 Debtors 50,000 Cash 24,564 Creditors (50,000) Total Net Assets 3,837,559 ========== |
Restricted Funds £ - - 4,016 - |
l Total Funds £ 3,812,995 50,000 28,580 (50,000) 3,841,575 ========= |
|---|---|---|---|
Funds Fixed Assets Debtors Cash Creditors Total Net Assets |
|||
| 3,837,559 ========== |
4,016 =========== |
Paisley Art Institute Trustees' Annual Report and Financial Statements For the year ended 31 July 2024 Independent Examiner's report
11
I report on the accounts of the Charity for the year ended 31 July 2024 which are set out on pages 5 to 10.
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The charity trustees consider that the audit requirement of Regulation . 10(1) (a) to (c) of the Accounts Regulations does not apply It is my responsibility to examine the accounts as required under section 44(1) (c) of the Act and to state whether particular matters have come to my attention.
Basis of independent examiner's statement
My examination is carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) . Regulations 2006 An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeks explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required . in an audit, and consequently I do not express an audit opinion on the view given by the accounts
Independent examiner's statement
In the course of my examination, no matter has come to my attention:
- 1) which gives me reasonable cause to believe that in any material respect the requirements: to keep accounting records in accordance with Section 44(1)(a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations, and
to prepare accounts which accord with the accounting records and comply with Regulation 9 of the 2006 Accounts Regulations
have not been met, or
- 2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Mclaren Ross 19 Glasgow Road Paisley PA1 3QX