ILLUMINATE FINANCIAL MANAGEMENT ADVISORY LLP
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2021
The entity is a limited liability partnership, incorporated in England and Wales.
The registered office of the LLP is: 404 The Frames Phipp Street, London, United Kingdom, EC2A 4PS.
The principal activity of the LLP in the year under review is that of private equity investment advisory services.
2.Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006 and the requirements of the Statement of Recommended Practice "Accounting by Limited Liability Partnerships".
The following principal accounting policies have been applied:
Revenue represents the value, net of value added tax and discounts, of investment advisory services provided. Revenue is recognised as and when the services are provided.
Members' capital is classified as equity as the partnership has an unconditional right to refuse repayment of capital.
In accordance with the LLP Members' Agreement, each memeber is entitled to a monthly drawing as determined by the remuneration committee from time to time. For accounting purposes members drawings are classified as members' remuneration and are charged as an expense through the profit and loss account. Per the terms of the LLP agreement, allocated profits and therefore members remuneration cannot exceed the reported result for the period. Drawings in excess of allocated profits have been recognised as a debtor at the year-end.
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Members' participation rights
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Members' participation rights are the rights of a member against the LLP that arise under the Members' Agreement.
Members' participation rights in the earnings or assets of the LLP are analysed between those that are, from the LLP's perspective, either a financial liability or equity, in accordance with FRS 25 Financial instruments. A members' participation right results in a liability unless the right to any payment is discretionary on the part of the LLP.
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