Leslie Rankow Fine Arts

INTERNATIONAL ART ADVISORY SERVICE

Running the gamut of the art industry with recruiting expert, Sarah Murkett

 

In an ideal world, we’d succeed based on our actual skills and performance. But in the real world, subtle perceptions and stereotypes color others’ perception.The result might be that our hard work isn’t noticed or appreciated, our effort doesn’t lead to proportional rewards, and our good ideas aren’t taken seriously. Success is about knowing who you are and using that knowledge strategically and unapologetically. 

Laura Huang, Associate Professor at Harvard Business School, author of EDGE , writes brilliantly about turning adversity into advantage. As Huang writes, “Your work matters. But it is your job to help the world see how it matters”. Creating an edge is the key to succeeding within an imperfect system.

A SECRET WEAPON IN FINDING THE JOB OF YOUR DREAMS IN THE ART WORLD IS WITH THE LRFA BLOG TODAY.

SARAH MURKETT, FOUNDER AND  OWNER AT MURK & CO. SINCE 2017, PROVIDES EXECUTIVE SEARCH AND STAFFING SOLUTIONS FOR THE ART WORLD. WITH OVER 20 YEARS IN THE ART WORLD, SARAH OFFERS HER CLIENTS AND CANDIDATES STRATEGIC ADIVCE ABOUT STAFFING ACROSS THE FIELD.

SARAH, WELCOME BACK!  WHAT PROMPTED YOU TO FORM MURK & CO.? 

Murk & Co started as an art dealership and advisory.I had been working freelance for so many years without need for a formalized company. But when I decided to go out on my own as a dealer, purchasing work and taking it on consignment, I felt the need to incorporate for personal protection from legal and financial liability should, heaven forbid, anything go wrong, even by accident, which it never did.But private art dealing is a risky business, and it is not for the faint of heart.

And as my next move, I decided to pivot to recruiting.

WHAT RECRUITING SERVICES EXISTED AT THE TIME YOU FOUNDED MURK & CO. WHAT INSPIRED YOU TO LAUNCH THIS BUSINESS?

I wanted to move away from sales and do something that would take advantage of my network and put to use the knowledge I had of the different sectors of the art world.  I had also done a lot of hiring for my clients/employers, so I knew I liked recruiting and believed myself to have a successful track record in that arena.

Sarah Murkett
Founder, Murk & Co.

WHAT IS THE SCOPE OF SERVICES MURK & CO PROVIDES?

Right now I am focused on talent acquisition.  There are different levels of partnership that are offered depending on the needs of the client.  Some searches are more straight forward and I have candidates at the ready to put forward immediately, but often I am being brought in for much more complicated searches that require a deeper collaboration. 

WHO ARE THE CANDIDATES THAT AVAIL THEMSELVES OF THE EXPERTISE MURK & CO CAN PROVIDE?

Really, anyone with art world experience that is looking for a job.  And while my relationships with my candidates are the lifeblood of my business, and I have made it a goal to make the application process as humane as possible, with a high level of communication throughout the process, it should be made clear that recruiters work on behalf of the businesses who are looking for staff, rather than for the people who are looking for jobs. 

ARE YOU PRIMARILY FOCUSED ON EXECUTIVE SEARCHES AND WHAT ARE SOME OF THE MOST DOMINANT JOB DESCRIPTIONS THAT ARE REQUESTED?

“Executive Search” really just means recruitment at the senior level. Being engaged to work in partnership with an organization to fill these key positions is very exciting work.  I also work on a wide range of positions at varying levels. 

I read a statistic that recruiters are mainly hired for help with sales and operations related positions, both of which are critical to the running of a business, and I would say that, in general, I find that to hold true for my own recruiting business.

WHO ARE YOUR CLIENTS? IS IT LIMITED TO GALLERIES OR DOES IT COVER A BROADER RANGE OF ART RELATED BUSINESSES

It runs the gamut across the industry including auction houses, advisories, artist studios, art fairs, publications, communications firms, museums, foundations, art tech, art shipping and handling companies and much, much more.

TO WHAT AREAS OF THE COUNTRY DO YOU PROVIDE YOUR SCOPE OF SERVICES?

Anywhere that I am needed.

Sarah Murkett
Speaking to the group at Bonham’s.
Photo by Imogen Fairbairn.

WHAT ARE THE PRIMARY REQUISITES THAT YOU LOOK FOR IN POTENTIAL CANDIDATES AND IN WHAT WAYS DO YOU VET THEM? DO POTENTIAL CANDIDATES FILL OUT QUESTIONNAIRES? HOW DO THEY APPLY?

Every vacancy has its own particular requirements, and I won’t work on a search unless there is a thoughtful job description, including both the requisite hard and soft skills.  The search process isn’t about what I am looking for, but rather an effort is made to understand what my clients are looking for, and then sifting through registered candidates, applicants, and research into potential passive candidates that might be a good fit.

I meet prospective candidates in person, whenever I am able, to get a sense of their energy, personality and personal presentation, and when schedules or geography get in the way, then I start with a phone call.

I advertise positions on my own website (https://murkandco.com/) and on LinkedIn (https://www.linkedin.com/company/murk-&-co.), and candidates are instructed on how to apply.  They can also request to be registered in my database generally.

HOW MANY JOBS ARE AVAILABLE AT APPROXIMATELY THE SAME TIME ON YOUR SITE?

2-10

DO YOU INTERVIEW THE CANDIDATES PERSONALLY PRIOR TO HAVING THEM CONTACT THE POTENTIAL EMPLOYEE?

Yes.  And I am available to both the candidates and clients through the whole process, helping to schedule interviews, provide and discuss feedback and assistance with contract negotiations.

IN OUR NEXT LRFA BLOG, WE WILL POST SOME RECENT OPEN POSITIONS AT MURK & CO. THAT SHOW THE RANGE OF OPPORTUNITIES TO WORK IN VARIOUS SECTORS OF THE ART WORLD.

PLEASE JOIN US!

 

Protecting consigned artworks from creditors. The Art Market Adjusts with Withers Global Art Team

 

 

Thanks to a new series with Diana Wiernicki, Global Head of Art Law, and her team of experts at Withersworldwide.

In financially uncertain times, both artists and collectors who have works on consignment should take the necessary steps to protect their works of art from seizure by a consignee’s creditors. We have found that many consignors are unaware that, in certain circumstances, they can lose the rights to their artwork to a secured creditor of a consignee gallery or dealer. Fortunately, collectors and artists can reduce their risk with a Uniform Commercial Code (UCC) filing. Without this filing, consignors expose their works of art to creditor claims in a bankruptcy situation.

In this conversation, my colleagues, Dean Nicyper and Kimberly Almazan, discuss how collectors and artists can utilize UCC filings to protect themselves and their consigned works of art. 

Diana Wierbicki

Global Head of Art Law

The Art Market Adjusts: Protecting consigned artworks from creditors

Kim: You and I have both handled a number of cases on behalf of collectors in which a gallery is struck by financial hardship.  People are always surprised to hear that, without putting protections in place, a collector who consigns a work of art to a gallery for sale might lose that work of art to the gallery’s secured creditors in a bankruptcy situation.  Can you explain why this is the case?

Dean:  Sure.  Let’s say you are a collector and you consign your painting to a gallery for sale.  The gallery owner tells you he thinks he can find a buyer within 6 months and that he will not sell it for less than $500,000.  You sign a consignment agreement with the gallery and walk away thinking that you have protected your rights.  Three months later, you realize that the gallery has been having financial problems and you go to the gallery to retrieve your painting.  But your painting is gone.  It turns out, the gallery had a creditor (usually a bank or other lending institution) and that creditor now claims that your rights to your painting are subordinate to its right to foreclose on and sell the painting be reimbursed for its unpaid loan.  But you are the owner of that painting and you should get it back, right?  Not necessarily.

Under a set of laws known as the Uniform Commercial Code (“UCC”) which governs commercial transactions, including consignments, inventory covered by a lenders security agreement includes not only art owned by the gallery, but also art that is consigned to the gallery. So, under the UCC, if the gallery becomes insolvent or bankrupt, the bank or other creditor can take all collateral including consigned art until it recovers the amount it loaned.

Kim:  This sounds scary for collectors, but there is a fairly easy way for collectors to protect themselves.  Can you explain what a UCC-1 Financing Statement is, and what effect it has in these types of situations?

Dean:  Collectors who consign a work of art to a gallery can file a document, known as a UCC-1 Financing Statement, with the Secretary of State’s office in the state in which entity owning the gallery was formed.  This UCC-1 Financing Statement should be filed prior to delivery of the consigned work(s) to the gallery or art merchant.  Filling out the UCC-1 Financing Statement is fairly simple; one must list the consignor (the collector), the consignee (the gallery), and provide a general description of the collateral.  The collector then submits this form to the Secretary of State and pays a small filing fee, usually between $20 and $50, depending on the state.

The filing of this document provides notice to all of the gallery’s creditors and potential purchasers that the collector holds an interest in the work of art.  The rationale is that, by filing the UCC-1 Financing Statement, encumbrancers are able to ascertain the existence of security interests in property by checking a centralized record system.  In other words, the UCC system, like title recordation systems for real property, is based on providing constructive notice through recordation.

Kim: This situation can be potentially complicated if the gallery’s creditor or bank filed a UCC-1 Financing Statement that covers all of the inventory in the gallery before the collector files his or her UCC-1 Financing Statement covering his or her particular work of art.  Is there anything collectors can do to protect themselves in this situation?

Dean: If, before the collector delivers the consigned art, he or she informs the gallery’s secured creditor(s) in a written notification that he or she will be consigning art, the collector does not need to get the creditor’s approval for the art to be outside of the bank’s collateral.  In order to do this, the collector will need to perform a UCC lien search in the state in which the entity owning the gallery was formed to find out the identities of the gallery’s other creditors.  The collector must then send the written notification to all of the gallery’s secured creditors that filed UCC-1s.

If the collector fails to notify the gallery’s creditor(s) in writing prior to delivery of the consigned work, and the collector files a UCC-1 Financing Statement subsequent to the creditor’s filing its UCC-1 Financing Statement, the collector can contact the creditor and seek an express, written exception to the creditor’s security interest.

Kim: Artists, unlike collectors, have special protections in these situations.  Certain states in the country have statutes specifying that consignments by artists are not subject to claims by a gallery’s creditors.  You had a role in crafting provisions of this type of statute in New York.  Can you explain how these statutes work?

Dean:  That’s right.  New York has had a carve-out in place for decades — Section 12.01 of the Arts and Cultural Affairs Law — establishing that artist-consigned works of art are trust property held by the gallery for the exclusive benefit of the artists, and establishing that proceeds from the sale of those artists’ consigned works are trust funds held for the exclusive benefit of artists.  In 2012, after the collapse of the Salander O’Reilly Gallery, in which many of these issues unfortunately played out for collectors in the gallery’s bankruptcy, I was involved in prompting the New York Legislature to enhance this statute to, among other things, allow artists to enforce certain rights directly against galleries.  Similarly, in California, Civil Code Section 1738.5 states that where an artist delivers a work of art that he or she created to an art dealer/gallery for the purpose of sale or exhibition, that work of art shall not be subject to a claim by a creditor of the art dealer/gallery.  As a result, in certain states, artists consigning their own works of art to galleries for sale will not have to file a UCC-1 Financing Statement as collectors do.

A large canvas painting on an easel in a creative artist studio.

Thus, while financially uncertain times can certainly create worry, both artists and collectors have the ability to protect themselves and their works of art from seizure by an unknown creditor.

 

Artist pension trusts, how they work, with expert Sarah Murkett, founder of Murk & Co.

THE ARTIST’S RESALE RIGHT (ARR) IS AN INTELLECTUAL PROPERTY RIGHT THAT ENTITLES ARTISTS TO A ROYALTY PAYMENT EVERY TIME AN ORIGINAL WORK OF ART IS RESOLD BY AN AUCTION HOUSE, GALLERY OR DEALER.  IT WAS FIRST INTRODUCED INTO THE UK IN 2006. ALTHOUGH IT HAS ITS ADVANTAGES IN THEORY, IT CAN BE A BURDEN ON THE ART AND AUCTION MARKET WITH NEGATIVE EFFECTS BOTH ON THE ACCESSIBILITY OF WORKS AND ON THEIR PRICING.  OVER THE YEARS, IN THE UNITED STATES, DIFFERENT LAWMAKERS HAVE CHAMPIONED FEDERAL EFFORTS TO ESTABLISH THE RIGHT IN THE U.S. AND ARE FACED WITH THE SAME CONFLICTS.

https://itsartlaw.org/2019/07/01/its-not-that-easy-artist-resale-royalty-rights-and-the-art-act/

ANOTHER CONCEPT THAT WAS DEVELOPED AT THE TIME WAS THE ARTIST PENSION TRUST OFFERING LONG-TERM FINANCIAL SECURITY AND INTERNATIONAL EXPOSURE TO SELECT ARTISTS AROUND THE WORLD.

SARAH MURKETT, FOUNDER AND PRESIDENT OF MURK & CO., WAS  INSTRUMENTAL IN THE TECHNICAL AND AESTHETIC DEVELOPMENT OF BOTH MUTUALART AND THE ARTIST PENSION TRUST. IT PROVIDED HER WITH A PROFOUND KNOWLEDGE OF THE WORK OF MANY ARTISTS IN THE APT COLLECTION, CURATORIAL EXPERIENCE AND A SOPHISTICATED KNOWLEDGE OF A BUSINESS  BASED ON A DATABASE DIGITAL PLATFORM, ALL INVALUABLE WHENSHE CAME TO FORM HER OWN BUSINESS, MURK & CO.

THE LRFA BLOG IS HONORED TO SHARE HER EXTENSIVE KNOWLEDGE AND PROFESSIONAL HISTORY AT MUTUALART AND THE ARTIST PENSION TRUST WITH YOU TODAY.

SARAH, WELCOME BACK!

Sarah Murkett
Murk & Co installation
Work by Allan Mc Collum

TELL US ABOUT YOUR TIME AT MUTUAL ART. HOW IS THE COMPANY STRUCTURED AND WHAT IS THE SCOPE OF SERVICES IT PROVIDES? IT SEEMS TO OFFER A RATHER COMPREHENSIVE VIEW OF THE ART MARKET, AUCTION RESULTS AND APPRAISAL SERVICES AND ALSO TO REPRESENT THE SALE OF ARTWORKS FROM A BROAD RANGE OF PERIODS.

I was introduced to MutualArt through my friend Candice Madey of Stellar Projects whose ex, Ayal Brenner, was the CEO of the company.  MutualArt was looking for someone who could source secondary market material to offer to their global network of collectors.  The company was started by tech entrepreneur Moti Shniberg, who had also founded the Artist Pension Trust (APT), whose mission was to support artists through collectivized pooling of art, invested by the artists themselves into a Trust, for eventual sale, the proceeds of which were to be distributed back to the artist members.  At heart, the impetus for MutualArt was to build a base of collectors to potentially sell artworks from APT, which they boasted as being the largest collection of contemporary art in the world.  The way they devised to do this was to build a website that aggregated information about artists, including upcoming exhibitions, current news and most notably auction results. 

MutualArt article
Art Pension Trust Makes First Distribution

As with many tech companies, it was the interests of the collectors (the data), derived through the artists they followed and their behavior of the site, that was the ultimate value proposition.  They brought me on as the Director of Sales for both companies, and I was charged with building sales platforms for both MutualArt and APT, including trying to identify and optimize synergies between them.

I leveraged my network and partnered with collectors and dealers to offer individual works and larger curated sales on and off the MutualArt website.  I helped to develop original content and edited a weekly MutualArt newsletter, which would often feature APT artists. I familiarized myself with the works in the APT collection and initiated sales for the company, which ultimately lead to the first payouts to member artists.  Unfortunately, there were 5 different CEOs in the 4-years that I was there and the infrastructure and vision for the two companies never came together.

WHAT WERE THE HIGHLIGHTS OF YOUR JOB AT MUTUALART. WHAT WERE THE AREAS IN WHICH YOU CONCENTRATED AND IN WHAT WAYS DID THIS INCREASE YOUR KNOWLEDGE AND FAMILIARITY WITH THE CONTEMPORARY ART MARKET?

My favorite project that I worked on while at MutualArt was the online selling exhibition that I put together in 2014 of video art from the APT collection called, “We’ve All Got Issues”.  There was a concurrent brick and mortar manifestation at the NEWD Art Show, a short-lived artist focused fair in Bushwick, which was organized by Kate Bryan and Kibum Kim, who invited us to participate.

Sarah Murkett
We’ve All Got Issues
Video Art from the APT Collection

The inspiration for the show was the APT collection itself.  There was a lot of video in the collection and while most artwork does not readily lend itself to a screen, I thought that video by APT artists and the MutualArt selling platform, which lived on a screen, made for a natural pairing.  I spent a Xmas holiday watching every video in the collection and from that, “We’ve All Got Issues” was born featuring work by artists such as Brian Alfred, Kevin Cooley, Keren Cytter, Rico Gaston, Kate Gilmore, Annika Larsen, Kalup Linzy, David Shrigley and Mark Titchner.

Needless to say, the show was not a commercial success.  What it taught me is that no matter how broad the platform for promotion, an exhibition in and of itself is not enough of a machine to create a market for work for which there is not much of a market to begin with.  This is the hard work that the galleries that represent these genre pushing artists do every day.

HOW DID THE ARTIST PENSION TRUST WORK AND HOW WERE THE ARTISTS SELECTED?

The Artist Pension Trust story is actually quite tragic.  It was a noble undertaking started in 2004 to provide financial security for artists into their old age.  It was to be a kind of retirement plan for artists, into which the only asset that member artists needed to invest was their art. Every artist was to contribute 20 artworks over 20 years and the number of shares they had in any distributions was determined by the number of artworks they had “deposited” in the Trust.  If selected well, some of the art was bound to go up in value over a minimum 10-year hold period.  The model said that only 5% of the artists needed to do well in order for everyone to benefit in the long run.

Kalup Linzy
NEWD art fair installation
Mutual Art exhibition

I still think it is a great idea, and that this version was just poorly managed, but poorly managed it was.  Here is a link to a story outlining the saga:

https://www.theguardian.com/money/2018/mar/17/art-pension-trust-investment-legal-action-artists

After closing a big round of financing, with new investors who wanted to see profits, management decided that a selection of the best works from the collection should be sold at auction.  It was my opinion that the artworks in the collection had not really established a demand in the market such that they would do well at auction.  Additionally, I did not think that APT’s artist members, or their galleries, would be supportive of the initiative.  I believe that I lost my job over this opinion.  The great news was that the sale in New York had a very high sell-through rate, but most of the work sold at the low estimates, which was well below the artist’s retail prices.  This bore itself out, much as I had predicted with artists and their dealers up in arms, so much so that APT pulled out of the follow-up sale in London.

SARAH, THANK YOU.  SARAH IS A WEALTH OF KNOWLEDGE IN SO MANY ASPECTS OF THE BUSINESS OF ART. WE LOOK FORWARD TO A CONTINUED DIALOGUE ON THE STEPS THAT LED UP TO STARTING HER OWN COMPANY/

AND THANK YOU TO THE MANY LRFA BLOG FOLLOWERS FOR YOUR COMMENTS AND SUPPORT.

The Withers Art Team on Insurance Implications for Fine Arts from covid-19

The Art Market Adjusts: Insurance Implications for Fine Art Collectors and Exhibitions


24 MARCH 20
Diane Wierbicki and Withersworldwide always provide exceptional guidance during normal times, and now in light of our lockdown, here are invaluable insights into the impact of coronavirus on insuring art.

 In these uncertain times, the Withers Art Team remains optimistic but pragmatic.  A variety of questions are coming our way, and we have put together a series of Q&As to provide you insights from our partners, colleagues, and industry experts to assist you in understanding the impact to the art industry in this unchartered territory.

We begin this series with a conversation with Mary Pontillo, Senior Vice President National Fine Art Practice Leader of DeWitt Stern Fine Art, addressing several measures to consider with regard to protecting your art and your art business.

With continued support and best regards

Diana Wierbicki

Global Head of Art Law

 The Art Market Adjusts: Insurance Implications for Fine Art Collectors and Exhibitions

Diana: Mary, to start, we have been hearing the insurance term “business interruption loss” being discussed given the current situation.  Is that term applicable to what is going on now as a consequence of the virus?

Mary: Yes and possibly no.  People are definitely experiencing an interruption in their businesses; however, in our experience, the Business Owners or Package policies will likely not respond because there needs to be a “physical loss or damage” claim to trigger business interruption. The virus is not causing a physical loss or damage to peoples’ space, thus the policy will likely not respond.  Every claim has its own distinct circumstances and we are encouraging our clients to submit claims so the insurance companies can make a determination based on the specific details of each loss.

In addition, the landscape shifts daily.  There is some movement on the legislative side to create “…a federal guarantee of payments by insurers for business interruption claims irrespective of viral exclusions.”  We will absolutely stay up to date on this legislation and will let our clients know when this is finalized and how it affects them.

Diana: With regard to fine art insurance, you and I discussed considerations related to existing exhibition loan agreements and consignment agreements.  Why is it important for the parties of those agreements to review those contract terms now?

Mary: Yes, you and I discussed that contract terms vary with regard to insurance coverage provisions and that some contracts tie the duration of insurance coverage to specific dates rather than to a general date of return. If coverage dates need to be extended, you should obtain an amended agreement and updated Certificate of Insurance.

Also, take a look at how long the items will now be at the location.  Is the location coastal?  Will the items be there through hurricane season (begins June 1st)?  Ask the museum to confirm that they have full wind/hurricane/flood coverage and ensure your loan agreement stipulates that the museum is responsible for any deductibles.  If you don’t feel comfortable with your item being there through hurricane season, you might want to look into ways to get the work back and/or ask the museum for a full details regarding how the works will be protected from hurricanes.

Diana: With regard to exhibition loan agreements specifically, what do the collectors and museums need to keep in mind with regard to increased policy limits that are tied to exhibitions?

Mary: From an insurance policy limits standpoint, say your painting on loan is part of a high-valued exhibition for which a museum had to increase their insurance limits.  You’ll want to check in with the museum to ensure that a new Certificate of Insurance is issued for the new term and confirm that they continue to have adequate limits for all artwork on loan to them.

Diana: We have been hearing a lot lately about companies telling their employees not to come into work.  In the art industry this has caused certain fine art storage facilities to create modified security measures.  Do collectors need to worry that any of these modified security measures in warehouses, or even galleries or museums, that might affect their fine art insurance coverage?

Mary: We have many fine art warehouses as clients and all of them have the ability to monitor their cameras and alarms remotely.  Luckily New York State included warehouses on their list of “Essential Employees” so most warehouses will be able to send someone there each day to do a “wellness check” on the building.  They will ensure all systems are operating and if there are any problems, luckily “skilled trades such as electricians, plumbers…other related…professionals for essential infrastructure or for emergency repair…” are also part of the “Essential Employees” list in the State of New York.  Also keep in mind that the police and/or the fire department respond to the various alarms connected to art storage warehouses.  All of these factors give me comfort that warehouses and the art within them will be very safe.  Galleries and museums, for the most part, will be following similar protocols.  I think it is appropriate to ask these questions of anyone holding onto your artwork right now.  They will be prepared to answers questions of this nature during this unusual time.

Diana: Are there any other issues that you think art businesses need to protect themselves against in the current climate?

Mary: Hackers are using this vulnerable moment to ramp up targeting people through Ransomware attacks and phishing emails.  In the middle of figuring out our “new temporary normal” the last thing any of us want to deal with is a data security incident.  I want people to ensure they are covered for Cyber losses and have the resources to lean on should this happen.

Also, many people are relying solely on Wire Transfers for payment.  You should go analogue and pick up the phone to confirm wire transfer information with the other party before releasing wired funds in order to avoid a wire transfer fraud situation.

 

Gaining broad experience in all the sectors of the art world, with Sarah Murkett, founder of Murk & Co.

Sarah Murkett
Founder, Murk & Co.

IN ORDER TO START AN ART GALLERY IN THE WORLD TODAY, THERE IS REALLY ONLY ONE KEY COMPONENT: GREAT ARTISTS, INDIVIDUALS WHO YOU BELIEVE IN AND ARE WILLING TO FIGHT FOR IN THE CONTEXT OF SELLING THEIR WORK, PROMOTING IT TO THE CURATORIAL CONSTITUENCY AND ENGAGING CRITICAL DIALOGUE. FINDING SUPPORT FROM THE CURATORIAL WORLD MATTERS.

JAMES COHAN, as quoted in Artnet in https://news.artnet.com/market/how-to-start-an-art-gallery-574523

EQUALLY IMPORTANT, IN THE OPINION OF THE LRFA BLOG, IS THE ADOPTION OF SOUND BUSINESS PRACTICES AND INNOVATIONS THAT ARE AVAILABLE TO ANY POTENTIALLY GLOBAL ENDEAVOR. PARTICULARLY IN THE LIGHT OF THE PANDEMIC OF COVID-19, AN OUTREACH OF WHAT IS ESSENTIALLY A VISUAL BUSINESS VIA TECHNOLOGY IMPACTS STAYING OPEN OR NOT.

THUS, A FULLY DEVELOPED BACK ROOM ADMINISTRATION IS CRUCIAL TO A BUSINESS IN THE ARTS. ADMINISTRATIVE, LEGAL, SALES AND MARKETING PROGRAMS, INSURANCE, TRANSPORT, STAFF FOCUSED ON THE PLANNING AND FOLLOW UP OF ART FAIRS, BE THEY BRICKS AND MORTAR OR VIRTUAL ROOM EVENTS, AND A HIGHLY DEDICATED AND WELL-RUN WORKFORCE THAT SUPPORTS THE FRONT ROOM, ALLOWS THE GALLERIST TO FOCUS ON ARTISTS’ CAREERS, AND MOST IMPORTANTLY, CULTIVATE COLLECTORS AND MUSEUM CURATORS.

THE LRFA BLOG IS DELIGHTED TO WELCOME BACK THE FUTURE-THINKING AND DYNAMIC SARAH MURKETT, FOUNDER OF MURK & CO., THE RECRUITING BUSINESS TO CONTACT TO OBTAIN OR FILL A POSITION IN THE ART WORLD.

Sarah Murkett and artist Thomas Woodruff
NY Times Sunday Style Photograph by Bill Cunningham

SARAH, WHAT WAS YOUR FIRST JOB AND WHAT WERE YOUR RESPONSIBILITIES?

I moved to New York in 1998, before arts administration programs were common, and through my experience in Rochester and Providence, I had all the skills I needed to work in galleries, including things like organizing exhibitions and events, writing press releases, as well as art handling and archival work.

My first full-time art job was at PPOW Gallery, and there on Broome Street, I got to experience the tail end of Soho before everyone started moving to Chelsea. 

Armand Bartos Fine Art
SIGNAGE: Lost in the Supermarket
Curated by Sarah Murkett

WHAT WERE THE MOST IMPORTANT LESSONS YOU LEARNED FROM THIS JOB?

I really enjoyed the closeness to artists and the art they made, but I did not like going to an office every day, and the pay for this entry level work was very low.  Unfortunately, it still is.

Armand Bartos Fine Art
Rip-Off: Between Appropriation and the Appropriated
Curated by Sarah Murkett

WHAT DIRECTION DID YOU TAKE PROFESSIONALLY FOLLOWING THAT?

Through a recommendation of a colleague at PPOW, I went to go work for a small bespoke cosmetics company, which paid better, and I started study in Arts Administration at NYU.  After my studies, I did a lot of exploring of roles through freelance projects doing mainly writing, research and helping companies in the art world to organize and run the back end of their businesses.  I would help with events and marketing initiatives, overhaul databases and other operational infrastructure.  Many of these projects turned into full-time positions and I learned a lot about different sectors in the art world from Art Fairs and Advisories to Logistics and Non-Profits, eventually landing at Armand Bartos Fine Art.

Jack Goldstein
Murk & Co. Installation

I found Armand by applying to a job posting for someone who was looking for help organizing their library, and after several months of helping Armand Bartos to organize his private art dealing business we went to work on opening a secondary market gallery on the Upper East Side.  This was far and away my favorite job I have ever had, bringing together so many of the things that I enjoy doing, like designing the physical space and the brand identity for the gallery.  I developed an exhibition strategy curating all the shows, and applying for us to participate in art fairs.  I loved talking to collectors and anyone else that was interested in what we were showing.  In addition, I oversaw the day to day operations and management of the gallery.  And Armand was very generous in teaching me secondary market dealing, which I carried on after the gallery closed.

Artwork by Paola Ochoa & Justin Cooper
Murk & Co. Installation

SOUP TO NUTS, A HANDS-ON WAY TO LEARN EVERY ASPECT OF ART WORLD BUSINESS: GALLERY OWNER, PRIVATE AND SECONDARY MARKET DEALER, CURATOR, ART FAIRS AND MARKETING, PROVIDED SARAH MURKETT, FOUNDER OF MURK & CO., THE PERFECT PROFESSIONAL EXPERIENCES TO UNDERSTAND ALL THE REQUISITES NECESSARY TO FILL JOBS IN THE ART WORLD.

NEXT WEEK WE WILL EXPLORE  MURK & CO, THE RECRUITING FIRM SHE ESTABLISHED.

THANKS FOR FOLLOWING THE LRFA BLOG!

A warm welcome to Sarah Murkett, founder of Murk & Co, on the art of recruiting in the art world

Sarah Murkett
Founder and President, Murk & Co.
painting by Nancy Hollinghurst

AS THE ART WORLD HAS CHANGED RADICALLY FROM A SMALL IDIOSYNCRATIC COLLECTION OF DEALERS AND ACADEMICS, TALENT SOURCING AND HEADHUNTING IN THE COMMERCIAL AND INSTITUTIONAL WORLDS OF ART PROVIDES A CRUCIAL SERVICE TO THE GLOBAL ART BUSINESS.

THE AREAS OF RECRUITMENT ARE MULTIFOLD, RANGING FROM POSITIONS IN AUCTION HOUSES, GALLERIES, AND MUSEUMS TO BANKS AND INSURANCE COMPANIES TO ARTISTS’ STUDIO MANAGERS AND ART FAIR EXPERTS, FROM INSTALLERS TO REGISTRARS TO PH.Ds. THANKS TO TECHNOLOGY, DATABASES PROVIDE A RECRUITMENT FIRM’S CLIENTS ACCESS TO THE MOST QUALIFIED CANDIDATES IN THE INDUSTRY COUPLED WITH THE EXPERIENCE AND INTUITIVE JUDGMENT OF THE RECRUITER.

Rochester Museum and Science Center

ONE OF THE MOST QUALIFIED RECRUITERS IN THIS NOW COMPETITIVE INDUSTRY WITHIN THE BUSINESS OF ART IS SARAH MURKETT AND HER TEAM. MURK & CO. IS A RECRUITING COMPANY OFFERING EXECUTIVE SEARCH AND CONSULTING SERVICES FOR ART AND CULTURE BUSINESSES. BASED IN NEW YORK, THE FIRM’S FOUNDATIONS ARE EMBEDDED IN THE WORLD’S CULTURAL CAPITAL.

WITH OVER 20-YEARS IN THE ART WORLD, OWNER AND FOUNDER SARAH MURKETT OFFERS HER CLIENTS AND CANDIDATES PERSONALIZED STRATEGIC ADVICE ABOUT STAFFING ACROSS THE FIELD. HER WIDE NETWORK AND DEEP UNDERSTANDING OF THE CHANGING LANDSCAPE OF THE INDUSTRY PROVIDE SOLUTIONS FOR THE CHALLENGES BUSINESSES FACE IN IDENTIFYING, HIRING AND RETAINING TOP TALENT.

The Bevier Art Gallery at the Rochester Institute of Technology

THE LRFA BLOG IS DELIGHTED THAT SARAH, FOUNDER AND OWNER OF MURK & CO., HAS TAKEN THE TIME TO CONTRIBUTE  HER OUTSTANDING EXPERTISE AND EXPERIENCE ON THE ART OF RECRUITING FOR THE ART WORLD.

SARAH, WELCOME TO THE LRFA BLOG AND THANK YOU.

Leslie, thank you so much for inviting me to participate in your blog.

Wendell Castle
Memorial Art Gallery

HOW DID YOU BECOME INTERESTED IN ART? WERE YOUR PARENTS COLLECTORS OR ARTISTS? WERE YOU EXPOSED TO ART, AT MUSEUMS AND/OR GALLERIES, GROWING UP?

I grew up in Rochester, NY.  My parents and sister are all very creative people with keen style and an affinity for the poetic and beautiful in all its forms.  My dad, now retired, was an engineer, and my mom worked in museums (The Rochester Museum and Science Center) and galleries (The Bevier Gallery at the Rochester Institute of Technology), always bringing me along and enlisting me as her helper.  And no family vacation would be complete without visiting a museum, gallery or historic home.  And even though I did not major in art or art history in college, all my friends were artists and creatives.  I even lived off-campus in a special interest house with a focus on the creative arts called Creative Arts House.

Hera Gallery
Wakefield, Rhode Island

After college I moved to my starter city, Providence, RI and while there I took classes in Art History at Brown and Graphic Design at RISD.  I also started volunteering and working in art spaces most significantly, Hera Gallery in Wakefield, RI, one of the earliest women’s cooperative galleries in the country.  After deciding that I wanted to move to NYC and immerse myself in the art world there the ladies from Hera set me up with an internship at Marlborough Gallery where I worked in the Graphics Department.

The Rainbow Portrait Queen Elizabeth I

WHAT PERIOD OF ART AND ARCHITECTURE DOMINATED YOUR ACADEMIC FOCUS AND WHY?

While I took classes in art here and there, I never had an academic focus.  I am a lover of books and read a lot.  I have an art book library that I have amassed that includes about 1000 titles that I call my graduate education.  My main interest is post-war and contemporary art.  Some recent acquisitions include the Alina Szapocznikow catalogue from the recent Hauser & Wirth show, which I was fortunate enough to be taken on a tour of by the curator Monika Fabijanska, who has worked intimately with the artist’s work. I am also currently obsessed with The Rainbow Portrait of Queen Elizabeth I and so just picked up the recently published “The Elizabethan Image” by Roy Strong to better understand the highly symbolic imagery.  One of my areas of study as an undergrad was feminist philosophy, combined with my time at Hera Gallery, plus a dash of #MeToo, makes Nancy Princenthal’s history, “Unspeakable Acts: Woman, Art, and Sexual Violence in the 1970’s” a must read.

IN OUR NEXT LRFA POST, SARAH MURKETT WILL START TO EXPLORE HER TWENTY-YEAR EXPERIENCE IN THE ART WORLD THAT CULMINATED IN THE CREATION OF HER OWN RECRUITING COMPANY.

PLEASE JOIN US!

Christie’s welcomes this spring’s Art Business Conference on March 30th, 2020

Louise Hamlin
Art Business Conference
New York, London, Hong Kong

Returning to New York in March 2020, The Art Business Conference is a one-day conference for art market professionals.

If you’re involved in buying, selling or caring for fine art or antiques – whether you are a gallery owner, manager, art advisor, auctioneer, private collector or professional advisor, this conference will explore the key issues affecting the international art market today.

Through presentations, Q&As, panel discussions, and workshops, industry experts will share advice and insights on many of the key factors in running an art business or collection – including the the latest updates in legislation and taxation.

Christie’s New York

Enroll now for an informative and productive day:

https://www.eventbrite.co.uk/e/the-art-business-conference-new-york-2020-tickets-90201903321

This year’s topics will include:

  • Private Foundations, the collecting journey, legacy and impacting investing
  • Sustainability – exploring how art organizations can be more sustainable
  • Recruitment – how to find, train and retain the best art world candidates
  • Important updates on AML5 – this is now officially law in the UK & EU (as of Jan 10) and is relevant to any US business with UK or European clients.  This session will present an overview of the law and the guidelines for implementing business practice for your art business.
  • Inside the collector’s head – the neuroscience and behavioral economics of art collecting.
  • Pictures Never Lie? The Use and Misuse of the Latest Imaging Technologies for Examining Paintings.
  • The language of Art & Technology – what are API’s and how are they applicable to the art market?

The roster of speakers is impressive, to say the least, covering a range of timely subjects. To highlight just a few of the speakers, the Art Business Conference New York 2020 features the director of a Foundation in Dubai that brings Western art to the Middle East, an influential collector and gallerist in New York and Los Angeles, a collector and scholar of export porcelain and neurologist who shares her insights on the psychological motivations of the collector, an expert on Art Law and Luxury Assets recognized by the leading legal directories and praised for her “great technical knowledge of the issues”, and an expert in the scientific analysis of fine arts focusing on questions of attribution, authenticity, preservation and provenance.

 

Deborah Najar

DEBORAH NAJAR

Deborah is the Founder of the JPNF (Jean-Paul Najar Foundation), a museum for Contemporary Art located in Dubai’s Alserkal Avenue.  Among the first non-profits in the UAE, the JPNF came about as a partnership with Alserkal Avenue, from a desire to offer a diverse artistic experience, with strong emphasis on patronage, archives and western abstraction. The JPNF is a museum of contemporary art that is home to a collection of European and American abstract art from the 1960s through today. It is also the custodian of a remarkable archive tracing forty years of artist-collector exchanges.

Adam Lindemann

ADAM LINDEMANN

Adam is best known as a taste-maker in collecting and investing in contemporary art and design. He operates Venus Over Manhattan, the influential gallery devoted to iconoclastic exhibitions both historic and contemporary. He has been a featured commentator in several documentaries and interviews relating to collecting and art, including recent features on the BBC, Charlie Rose, and Reuters. He lives and works in New York City.

Shirley Mueller

SHIRLEY MUELLER

Shirley M. Mueller is a collector and scholar of Chinese export porcelain as well as a physician board-certified in Neurology and Psychiatry.  The latter expertise led her to explore her own intentions and emotions while collecting art, which, she discovered, have broader applications.  This new understanding was the motivation for her recent book, Inside the Head of a Collector:  Neuropsychological Forces at Play.

Amanda Gray

AMANDA GRAY

Amanda is a Partner in Mishcon Private at Mishcon de Reya, specialising in Art Law and the related field of Luxury Assets.  She is valued by her clients for her commercial, flexible approach and depth of knowledge across a diverse range of legal problems faced by those operating within the art market and luxury assets fields. Amanda works on both contentious and non-contentious matters including, but not limited to, disputes arising over all due diligence matters (for example title, authenticity, attribution and condition) contractual  disputes and special project work concerning arts and cultural property.

Jennifer Mass

JENNIFER MASS

Jennifer L. Mass is President of Scientific Analysis of Fine Art, LLC (SAFA) and the Andrew W. Mellon Professor of Cultural Heritage Science at Bard Graduate Center. She formed SAFA in 2007 because of a growing need for the objective material assessment of objects in the art market to complement the expertise of the connoisseur and the conservator.  Her work at SAFA allows her to assist art collectors, dealers, auction houses, and private conservation firms in addressing questions of attribution, authenticity, state of preservation, provenance, and mechanisms of degradation.

In the Business Pavilion, you can meet speakers and our exhibitors to continue the discussions and expand your art business network.

Ticket prices include entry to all sessions, breakfast networking, refreshments, lunch and post-conference networking drinks.

See you on March 30th!

Save the Date: The Art Business Conference returns to New York on March 30, 2020

Louise Hamlin
Founder and Director
Art Business Conference
London, New York, Hong Kong

2020 DATE AND NEW VENUE ANNOUNCED FOR THE FOURTH EDITION OF THE ART BUSINESS CONFERENCE IN NEW YORK

THE ART BUSINESS CONFERENCE LAUNCHED IN LONDON IN 2014, IN NEW YORK IN 2017 AND IN SHANGHAI IN NOVEMBER 2018. ENTERING ITS SEVENTH YEAR, ITS MISSION IS SIMPLE: TO BE THE LEADING ANNUAL CONFERENCE FOR ART PROFESSIONALS INCLUDING ART ADVISORS, COLLECTORS, AUCTIONEERS, DEALERS, GALLERIES, INSURERS, SHIPPERS AND LAWYERS, OFFERING IN-DEPTH KNOWLEDGE AND GUIDANCE ON CHANGES WITHIN THE GLOBAL ART MARKET, PLUS THE LATEST UPDATES IN LEGISLATION AND TAXATION.

The Art Business Conference Networking

IN 2019, THE ART BUSINESS CONFERENCE IN NEW YORK WAS ATTENDED BY OVER 250 ART MARKET PROFESSIONALS REPRESENTING OVER 125 ART ORGANIZATIONS FROM THE UK, EUROPE, MIDDLE EAST AND USA. THE LATEST CONFERENCE WAS HELD IN LONDON IN SEPTEMBER 2019 AND WELCOMED JUST UNDER 400 ATTENDEES.  THE LRFA BLOG IS VERY MUCH LOOKING FORWARD TO THE MARCH 30th ART BUSINESS CONFERENCE IN NEW YORK AT A PERFECT LOCATION: CHRISTIE’S FLAGSHIP GALLERIES AT 20 ROCKEFELLER PLAZA (49th STREET BETWEEN 5/6th AVENUES).

https://www.theartbusinessconference.com/nyc/the-event/

 

The one-day conference for art market professionals will comprise a full day of lively panel discussions, informative presentations and Q&A’s, all in the heart of Manhattan.

The leading platform for the discussion of key issues in today’s global art market, the conference will bring together industry experts from all facets of the art world, providing a 360-degree perspective on major developments within the trade and offering delegates the opportunity to establish new contacts in the industry.

Louise Hamlin, founder & director of The Art Business Conference says, “I am delighted that the Art Business Conference will be returning to New York for the fourth year and to be partnering with Christie’s. The conference will be held in Christie’s main salesroom, the James Christie room, which is not only an iconic art world setting, but also an opportunity for us to accommodate a growth in our attendee base from across the US, UK, Europe, Asia and the Middle East. Last year over 250+ art professionals and collectors attended.”

 

IN THE NEXT LRFA BLOG, THE TOPICS AND SPEAKERS WILL BE HIGHLIGHTED. THEY COVER A WIDE RANGE OF SUBJECTS INCLUDING THE NEW ANTI-MONEY LAUNDERING DIRECTIVE, THE SCIENCE AND ECONOMICS OF COLLECTING, SUSTAINABILITY AND THE FINE ART OF RECRUiTMENT, PLUS THE LATEST UPDATES AND TRENDS IN DATA, TECHNOLOGY, AND CONSERVATION SHAPING THE ART MARKET TODAY.

Christie’s New York
Rockefeller Center

SIGN UP NOW! A NOT-TO-BE-MISSED EVENT.

To register please visit: https://artbusinessconferencenewyork2020.eventbrite.co.uk

To register interest for further press enquiries please contact:

Louise Hamlin (Director & Founder)

email: louise@artmarketminds.com

Tel: +44 (0) 7508 231 241

The future of the art market with Dana Prussian, Art Lending Service, Bank of American Private Bank

Dana Prussian
Art Lending Services
Bank of America Private Bank

THE ART BASEL AND UBS GLOBAL MARKET REPORT, AUTHORED BY THE RENOWNED CULTURAL ECONOMIST, DR. CLARE McANDREW, WHO FOUNDED THE RESEARCH CONSULTING FIRM FOCUSED EXCLUSIVELY ON THE ART ECONOMY IN 2005, REPRESENTS THE PINNACLE OF ART MARKET RESEARCH AND ANALYSIS. THE 2019 REPORT PROVIDED 5 KEY INSIGHTS INTO THE ART MARKET PINPOINTING A 6% INCREASE IN GLOBAL ART SALES WORLDWIDE, ACTIVE BUYING BY MILLENNIALS  AND A GROWING PARTICIPATION IN ONLINE SALES AS LEADING INFLUENCES IN THE CURRENT ART MARKET.

HERE ARE THEIR FIGURES:

Art Basel

1. The US retained its position as market leader

In 2018, the US sustained its position as the world’s largest art market, accounting for 44% of sales by value – or a total of $29.9 billion, the highest recorded level to-date. The UK regained its position as the second-largest market at 21%. China was the third largest market at 19%, with sales reaching $12.9 billion – a decline of 3% year-on-year.

2. Millennials emerged as active market participants

“A very positive finding of the research this year was the dynamism in collecting by global millennials.While respondents in the US were predominantly aged 50 and above, in Singapore, 46% of collectors surveyed were millennials, while in Hong Kong the figure was 39%. Collectively, millennials accounted for just under half (45%) of high-end spenders, underlining the importance of this demographic.

3. The online market witnessed continued growth

The online market reached an estimated new high of $6 billion in 2018, representing 9% of global sales – up 11% year-on-year.

4. Auction figures rose 3% year-on-year

While economic and political issues drove risk-averse buyers and sellers towards private sales in the dealer market, sales of fine and decorative art and antiques at public auction still rose in value, reaching $29.1 billion. High-value works had the greatest impact on this sum, accounting for 61% of total sales by value.

5. Art Fairs continued to shape the global market

Art fairs continued to play a central role in the global art market, with aggregate sales estimated to have reached $16.5 billion in 2018 – up 6% year-on-year. The share of the total value of global dealer sales made at art fairs was 46%.

https://www.ubs.com/global/en/our-firm/art/2019/art-basel.html

 

Lee Krasner
Free Space Blue, 1975

AT BANK OF AMERICA PRIVATE BANK, ART LENDING SERVICES, DANA PRUSSIAN, VP, HAS AN INSIDER’S VANTAGE POINT IN TRACKING THE EBB AND FLOW OF THE ART MARKET FROM THE PERSPECTIVE OF THE INDIVIDUAL COLLECTOR, DEALERS, AND ART AND CULTURAL INSTITUTIONS.

https://www.privatebank.bankofamerica.com/solutions/individuals-families/art-services.html

DANA, A WARM WELCOME BACK.

HOW DO YOU SEE THE CURRENT ART MARKET?

Even though total art sales has slowed since 2012, we’re still seeing a strong art market. Low interest rates and stratified wealth creation worldwide continue to drive capital toward art. The art market is ultimately driven by sentiment, so the greatest risk is a major geopolitical event that impedes global capital flow.

John Chamberlain
Chinati Foundation
Marfa, Texas

HOW DO YOU ANTICIPATE THE ARCH OF THE ART MARKET OVER THE NEXT FEW YEARS? DO YOU SEE A RETURN TO THE GALLERY SYSTEM OF THE PAST AND A RESURGENCE OF SMALLER GALLERIES OR FURTHER EXPANSION OF THE “UBER” GALLERIES?

We should keep our eye on how technology changes the landscape (online sales have yet to deliver meaningful scale or margin expansion), art fair fatigue, and new revenue opportunities for the major auction houses. I think the future of the gallery system will be based, in large part, on how a current push-pull resolves itself over the next decade.

The mega galleries, particularly the big 4 featured in Michael Shnayerson’s Boom (Gagosian, Hauser & Wirth, Zwirner, and Pace), are at a critical juncture. They are currently expanding their global footprints-and Chelsea footprints- in a big way. At the same time, the mega dealers who have built these empires are not getting any younger. We will have to see what their succession plans look like. With Pace, the Glimchers will look to next-of-kin, Marc. With Gagosian, Larry could be looking to Andrew Fabricant. It will be interesting to see how it all plays out. 

Evan Robarts
Untitled Tenant, 2015
Bruce Wolkowitz Gallery

DO YOU COLLECT YOURSELF?

Working on it! One of the many things I love about my fiancé, Joel, is that he was interested in art well before I met him in 2015. He owned a mix of prints and lithographs by Miro, Sam Francis, and Dali, all of which we brought with us when we moved into an apartment together. Since then, we have acquired a few pieces together, most recently a massive Evan Robarts Mop Painting from Bryce Wolkowitz Gallery. It’s a wonderfully textural black and white on linoleum from his Super Reliable series.   

Helen Frankenthaler
Mnuchin Gallery: The Art of Marriage

WHO ARE SOME OF THE ARTISTS THAT YOU WISH YOU OWNED?

A Chamberlain crushed steel sculpture is at the top of my list. Before he passed away, I had the chance to see Chamberlain at work in his Shelter Island studio, which is an experience that I will never forget. Of course, we are in the age of identity, so I would love to start a female collection: Grosse, Krasner, Frankenthaler…I would weep with happiness! Also Shantell Martin. I met her this summer at the Parrish Midsummer Party. She’s simply the coolest. 

Shantell Martin
New York City Ballet commission

DANA, THANK YOU SO MUCH! THE LRFA BLOG IS SO APPRECIATIVE OF YOUR INSIGHTS.

BANK OF AMERICA PRIVATE BANK, ART LENDING SERVICES, IS NOT ONLY ATTENTIVE TO THE FINANCIAL ASPECTS OF ACQUIRING, COLLATERALIZING AND DEACCESSIONING ART BUT ALSO TO THE IMPORTANT PLACE THAT CULTURAL AND CONSERVATION PROJECTS ARE IN THE CURRENT ART WORLD.

 

Katharina Grosse
Hamburger Bahnhof – Museum für Gegenwart – Berlin

 

 

The Bank of America Private Bank Art Conservation Project, with Art Lending Services VP, Dana Prussian

 

Dana Prussian Art Lending Services, Bank of America Private Bank

 

BANK OF AMERICA PRIVATE BANK OFFERS EXTENSIVE ART LENDING SERVICES. AS WELL AS COLLATERALIZING ART COLLECTIONS, THE BANK HELPS COLLECTORS TO DESIGN ESTATE PLANS THAT TAKE INTO CONSIDERATION THE VALUE OF THEIR ART COLLECTIONS, BOTH AS AN ALTERNATIVE ASSET AND AS A LEGACY. THEY ASSIST IN THE CONSIGNMENT PROCESS FOR A SALE OF A WORK OR A COLLECTION AT AUCTION. APART FROM THE ART OF THE BUSINESS OF ART, BANK OF AMERICA PRIVATE BANK HAS A TRULY IMPRESSIVE RANGE OF PHILANTHROPIC ENDEAVORS THAT SUPPORT MUSEUM EXHIBITIONS, ART PANELS AND LECTURES, ART FAIRS AND ART CONSERVATION.

ART AND CULTURE

Bank of America believes the arts matter: they help economies thrive, help individuals connect with each other and across cultures, and educate and enrich societies. We support more than 2,000 visual and performing arts organizations worldwide that provide inspirational and educational sustenance, anchor communities, create jobs, complement school curricula, and generate substantial revenue for local businesses.

Vincent van Gogh
Starry Night
MoMA Collection

BANK OF AMERICA ART CONSERVATION PROJECT

We are pleased to present the 2019 Bank of America Art Conservation Project grant recipients. In reviewing the twenty-two projects, we are reminded of the tremendous need for art conservation in cultural institutions across the globe. And we are honored and proud to help these institutions and others preserve their treasures for generations to come.

With this year’s selections, we will have provided funding for more than 170 projects in thirty-three countries, representing thousands of works across different art movements, media and time periods- and, importantly, cultures. All the works we help to conserve share one thing in common however. They reflect the creativity, ingenuity and passion of people throughout the world over hundreds, even thousands, of years.

TODAY, THE LRFA BLOG IS DELIGHTED TO WELCOME BACK DANA PRUSSIAN, VP, ART LENDING SERVICES, BANK OF AMERICA. HER BACKGROUND IN BOTH ART AND FINANCE MAKES HER THE PERFECT FIT FOR THIS PROFESSION AND HER ACADEMIC AND PROFESSIONAL STEPS WERE KEENLY FOCUSED ON THIS DREAM JOB SINCE THE BEGINNING.

DANA, WELCOME BACK TO THE LRFA BLOG!

HOW DOES BANK OF AMERICA PRIVATE BANK COMPETE IN THIS HIGHLY CHARGED MARKET WITH SOME OF THE OTHER ART SERVICE COMPANIES, EITHER AT BANKS AND INVESTMENT FIRMS OR PRIVATE SPECIALIZED COMPANIES?

Paul Cezanne
The Bather
MoMA Collection

Let’s just say I followed Bank of America’s progress veryyyy closely and jumped the minute they opened a role. 😉

WHAT ARE THE CRITERIA FOR COLLECTORS LENDING AGAINST COLLECTIONS TO UNLOCK CAPITAL?  HAS THAT CRITERIA CHANGED OVER THE YEARS TO REFLECT THE GAINS AND GLOBALIZATION OF THE ART MARKET AND IN WHAT WAYS?

Our criteria has not changed much over the years (collectors need a certain sized collection with both commercial and diverse works and a robust balance sheet), but appetite for art lending has expanded greatly. Since interest rates have been hovering around historic lows, more clients are looking to use this as a balance sheet arbitrage, unlocking capital from art to redeploy into higher-return areas of their financial lives. We have also seen more clients use art loans as working capital lines to expand privately held companies. Since the elimination of the 1031 Like-Kind Exchange in 2017, it has also become prevalent to leverage art to generate liquidity.

WHAT ARE WAYS IN WHICH AN ART COLLECTION CAN DIVERSIFY A PORTFOLIO?

We never recommend that a client start an art collection as an investment or a way to diversify his portfolio. Passion comes first. Once someone has been bitten by the collecting bug (it’s real), they should consider whether their collection fits into their estate plan and how they want to manage it over time. It’s still quite common to see rising collectors go to great lengths to prove they’re not simply investors, whether it’s by marketing themselves quietly to dealers or acquiring non-commercial works to round out their collections.

Pablo Picasso
Three Musicians
MoMA Collection

BANK OF AMERICA PRIVATE BANK SUPPORTS A GREAT MANY MUSUEM EXHIBITIONS, ART PANELS, ART EDUCATIONAL EVENTS. WHAT ARE SOME OF THE HIGHLIGHTS THAT WERE THE MOST INTERESTING OR EFFECTIVE?

Bank of America provides unbelievable support to museums and art institutions worldwide. We get to reap those benefits by helping deliver unique experiences and programming to our collectors. You probably saw that we sponsored the reopening of MoMA and the conservation of Starry Night and other iconic works. We took small groups of collectors through MoMA’s Conservation Lab while the museum was closed so they could see these works off the wall, unframed, and under a microscope. Cezanne’s The Bather, Van Gogh’s Starry Night, Picasso’s Three Musicians. I was blown away. So were our clients. In Paris BofA sponsored the Da Vinci exhibit at the Louvre and hosted a small private group. 

SOME OF THE OTHER 2019 CONSERVATION PROJECT BENEFICIARIES INCLUDE “SPRING” IN THE COLLECTION OF THE GEORGIA O’KEEFFE MUSEUM IN SANTA FE. THIS LARGE-SCALED WORK REPRESENTS A TURNING POINT IN O’KEEFFE’S LIFE AT A TIME WHEN SHE HAS THE NEWFOUND FREEDOM TO MOVE PERMANENTLY FROM NEW YORK TO SANTE FE. THE WORK INCORPORATES ALL OF THE ICONS EVOCATIVE OF NEW MEXICO: LANDSCAPE, BONE AND FLOWER.

Georgia O’Keeffe Spring, 1948

AND WERE AS FAR-RANGING AS THE RESTORATION OF THREE TAPESTRIES BY MARLENE DUMAS, “THE BENEFIT OF THE DOUBT”, IN THE CONSTITUTIONAL COURT ART COLLECTION IN JOHANNESBURG, SOUTH AFRICA. THE TRIPTYCH CONSISTS OF THREE FIBER WORKS WEIGHING APPROXIMATELY 620 POUNDS, AND A ROBUST PRESERVATION-APPROPRIATE HANGING SYSTEM WAS DESIGNED FOR PERMANENT DISPLAY.

 

Marlene Dumas
The Benefit of Doubt
Tapestry Triptych

IN OUR NEXT LRFA BLOG, DANA WILL SHARE HER ASTUTE PERCEPTION OF THE CURRENT AND FUTURE ART MARKET. TUNE IN THEN!