The Trustees present their report and financial statements for the year ended 30 June 2024.
The Trustees of the charity are its Directors for the purpose of company law and throughout this report are collectively referred to as the Trustees.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition - October 2019) (effective 1 January 2019).
Governing Document
The Glasgow Independent Studio (GIS) is an organisation controlled by its governing documents, a Memorandum and Articles of Association dated 31 May 1996, most recently updated on 18 December 2024, and constitutes a charitable company limited by guarantee, set up by a Trust Deed. It is a registered charity with the HM Revenue and Customs and the Office of Scottish Charity Regulator, Charity No: SC024900, Company No: SC166162.
Trustees
The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Method of Appointment or Election of Trustees
The management of the charity is the responsibility of the Trustees who are elected at the Annual General Meeting.
Policies Adopted For The Induction And Training Of Trustees
Before a new board member attends their first board meeting, a serving board member advises them of their role, their responsibilities as board member and, the structure and aims of the charity.
Organisational Structure And Decision Making
Governance and strategic decision making is the responsibility of the Board of Trustees. The Head of Operations (HoO), Teri Bartolo, reports regularly to the Trustees on the operational matters. Glasgow Project Room Sub-Committee (GPR), which is in charge of the programming for GIS’s exhibition space Glasgow Project Room located on the 1st Floor of the 103 Trongate building, reports to the Trustees via HoO. All members are expected to volunteer a minimum of four hours per year for the organisation.
Objectives and aims
The objects for which the Charitable Company is established are to promote, maintain, improve and advance education particularly by the encouragement of the Arts including painting, drawing and sculpture.
To present, promote, organise, provide, manage and produce exhibitions and open days, as are conductive to the promotion, maintenance and advancement of education or to the encouragement of the Arts and to formulate, prepare and establish schemes therefore.
To advance Scottish contemporary painting by commissioning and exhibiting challenging work embracing all forms and styles.
To encourage and explore all appropriate methods to develop mutual creative equality and trust between Artists to maximise the creative potential of every company employee and contractor.
And, more.
Activities
Glasgow Project Room committee (GPR) members were responsible for programming at GIS in 2023/2024. They are:
Lydia Davies (Appointed on 1 June 2024)
Steven Grainger
Pearl Kinnear
Clare Stephenson
Fraser Whiting
Michael Clarence
Shireen Taylor (Resigned on 24 August 2023)
Since the AGM of 2023 GPR programmed and hosted 13 open-call, public exhibitions in the Glasgow Project Room space: Savoury Eggs, The Drawing Box, Dust Roulette, Vessels, Trying Notations, Glasgow Independent Studio Members Show 2023, Love Stories, The Forest of Red Kindness, Femme Disturbance, Insecure, To Be Contained To Be A Container, and Canvassing.
The GPR sub-committee have been working on various processes to make the running of the exhibition space easier. These include:
Shared GoogleDrive with HoO
Introduced longer lead times for submitting a proposal to GPR and a longer window for the GPR committee to review submissions.
Updated the information we provide to exhibiting artists and have added a template letter of support for artists applying for funding.
Piloted a visitor monitoring and evaluation sheet, to be improved over the coming year.
Secured a beer sponsor
Developed a comprehensive and engaging programme until the end of June 2025
GIS hosted a City of Glasgow College Fine Art degree student who assisted with curatorial activities of the GPR and with some of the HoO’s operational tasks.
Head of Operations, Teri Bartolo, significantly improved several existing processes and started new projects. Some highlights include:
Developed trust and positive connections with the committee groups and opened up communications across the membership thereby improving GIS’s organisational culture and sense of approachability;
Updated financial management systems, which lead to a large decrease in rent arrears and the future completion of accounts 6-months ahead of the scheduled due time, improving financial security;
Introduced detailed financial reviews and budget plans, implementing new financial controls;
Initiated a project of updating and organising physical and digital filing systems (still ongoing) to ensure preservation of institutional memory and appropriate record keeping;
Improved internal communication procedures with membership and the Trustees such as circulating communications and meeting minutes, fostering transparency and a sense of creative equality;
Project managed the new website’s execution, contributing to GIS’s sustainable legacy and promotion of the arts (close to completion);
Combined GPR and GIS records and filing systems, further streamlining the organisational procedures and internal collaboration;
Fraser Whiting (GPR), Gordon Orr (BoD) and Teri Bartolo (HoO) have worked closely on developing the website, which now archives all GPR exhibitions right back to 1997. This also highlights that there has been a closer working relationship between GPR, HoO and BoD which is extremely positive.
Our members’ show was a success and an enjoyable evening all round and raised £185 for Medical Aid for Palestine.
Our social media presence and following is continuing to grow and attendance at shows and opening nights in-person has remained consistently high.
This year’s open-calls for proposals saw the largest response that we have seen and across the board was of extremely high quality.
The Trustees want to extend thanks to HoO and GPR for their ongoing support and to the various studio holders who have supported GPR by attending shows, helping organise deliveries and helping out with exhibiting artists.
STUDIO ACCOUNT REPORT
Teri Bartolo continues to serve as the freelance Head of Operations. Long-term Director and Trustee Penny Sharp and former Director and Trustee Innes Smith remained the main liaisons for the feasibility study and representatives for the Glasgow Independent Studio’s Tenants Forum until February 2024, when Penny stepped down from both roles. Currently, GIS’s forum representatives are HoO Teri Bartolo, alongside the shared responsibility of the Trustees.
All Trustees appointed prior to 2024 have indicated their intention to step down from their positions in the coming year. Efforts are underway to expand the board, both internally and externally.
Following the first session of T103 Short-Life Working Group (1/3) on 22nd of June 2023, the second day for the working groups for the feasibility study conducted by Community Enterprise in Scotland (CEiS) was held on August 17th 2023 (2/3).
Those Present: Tommy Docherty, Helen Moreland and Claire McLaughlin from CEIS; Representatives from all T103 Tenant Orgs (except Transmission); Amanda Catto and Lottie Thorne from Creative Scotland; Paul Stallan from Stallan Brand Architects; Audrey Carlin (CEO) from WASPS. GIS REPS: Innes Smith (former Trustee) in person and Penny Sharp (Trustee) online.
The Trongate forum representatives and organisations were not asked for a third short-life session (3/3) that was due to be scheduled by CEiS, instead CEiS followed up with a request for recent figures for each individual organisation for the final report (submitted March, 21st, 2024).
The last Trongate Forum meeting was held on May, 23rd, 2024. At this point, the T103 organisations had no additional information about the report supplied by CEiS.
Alex Maclean from Glasgow City Council contacted the Trongate Forum on June 10th, 2024 to advise that he had been working with CEiS on a draft report and hoped that GCC or City Property will be able to share the report and proposed recommendations as a way forward within the following weeks.
Glasgow Independent Studio, with the other Trongate 103 organisations are yet to see the report. The next Tenants Forum meeting is scheduled for July 2024.
Despite the absence of an outcome from the feasibility study or an agreed resolution, the rent invoice received from the landlord, City Property, in May 2024 showed a further increase, marking the third consecutive annual rent increase.
GIS, in solidarity with all other tenant organisations, decided collectively to withhold paying any extra fees, rent increases, or service charge increases to the landlord, City Property, until the conclusion of the feasibility study, with the hope of finding options to drastically curb the projected increase or reduce it to an affordable level.
Due to ongoing increases in running costs as well as anticipated rises in the future, the Trustees implemented a small 2% increase in rents on 1st July 2023. This was the first rent increase since 2018.
The organisation has amassed two years' worth of running costs as a part of their contingency plan designed to mitigate against potential existential risks, including moving to new premises. Although higher operational expenses are forecast for the coming year, the organisation continues to postpone any significant expenditures related to building repairs until there is a confirmed stable position within the premises, especially given the pending outcome of the feasibility study.
The Trustees would like to thank all members who contributed to the running of the studio and the continued contributions of our GPR sub-committee and other groups.
Key Financial Performance Indicators
Per the statement of financial activities on page 7, the charity reported a surplus of £4,821 (2023: deficit of £2,058). At the balance sheet date, the charity had total reserves of £118,280 (2023 - £113,459).
Reserves Policy
It previously was the policy of the charity to maintain reserves at a level to provide sufficient funds to cover at least one year's running costs of the charity. The Trustees considered that in the event of a significant drop in funding, this will enable them to continue the company’s current activities while consideration is given to ways in which additional funds may be raised, however, given the continued pressure from City Property to try and significantly raise rent and service charges, the Trustees have raised the reserves to cover at least two years’ running costs of the charity. The Trustees are satisfied that they can continue to work towards meeting this new target. At the year end, free reserves amounted to £118,280 (2023 - £113,459).
Going Concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details are given in the accounting policy 1.2.
Risk Management
The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
Future Developments
The Trustees are aware that the landlord may implement significant rises in service charges and rent once the discussions are over and, in that respect, have an ongoing investigation into whether moving to different premises in the future would be a more sustainable option. The Trustees intend to continue the current operations as long as there are artists requiring workspaces and the rented premises remain at an affordable and sustainable level.
The Trustees, who are also the directors of Glasgow Independent Studio for the purpose of company law, are responsible for preparing the Trustees Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. 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 irregularities.
The Trustees report was approved by the Board of Trustees.
I report on the financial statements of the charity for the year ended 30 June 2024, which are set out on pages 7 to 13.
The charity’s Trustees, who are also the directors of Glasgow Independent Studio for the purposes of company law, are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The Trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations (as amended) does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
My examination is carried out in accordance with Regulation 11 of the 2006 Accounts Regulations (as amended). An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, 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 financial statements.
In connection with my examination, no matter has come to my attention:
to keep accounting records in accordance with section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations (as amended); and
to prepare financial statements which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations (as amended);
to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
All income and expenditure derive from continuing activities.
Glasgow Independent Studio is a private company limited by guarantee incorporated in Scotland. The registered office is 103 Trongate, Fourth Floor, Glasgow, G1 5HD
The financial statements have been prepared in accordance with the company's governing document, the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition - October 2019) (effective 1 January 2019).
Glasgow Independent Studio meets the definition of a public benefit entity under FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the directors have reviewed the future funding and activities of the charity. The directors have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.
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 it is probable that income will be received.
All expenditure is included on an accruals basis and is recognised when there is a legal or constructive obligation to pay for expenditure. All costs have been directly attributed to one of the functional categories of resources expended in the Statement of Financial Activities, the charity is not registered for VAT and accordingly expenditure is shown gross.
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.
Support costs are those costs incurred directly in support of expenditure on the objects of the Charity. Governance costs are those incurred in connection with administration of the Charity and compliance with constitutional and statutory requirements.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
Cash and cash equivalents include cash in hand, deposits held at 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.
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
Studio rents
Rent and rates
Insurance
Heat and light
Advertising
Telephone
Sundry expenses
Administration fees
Depreciation
Graduate residency programme
Training costs
P Sharp, a former trustee, was the bookkeeper for Glasgow Independent Studio. Administration fees of £NIL (2023: £7,117) and training fees of £NIL (2023: £7,140) were paid.
None of the Trustees (or any persons connected with them) received any benefits or expenses from the charity during the year.
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The income funds of the charity include unrestricted funds comprising of the following unexpended balances:
There were no disclosable related party transactions during the year (2023 - none).