Caseware UK (AP4) 2022.0.179 2022.0.179 No description of principal activitytrue2022-01-01false11false 12810498 2022-01-01 2022-12-31 12810498 2020-08-13 2021-12-31 12810498 2022-12-31 12810498 2021-12-31 12810498 2020-08-13 12810498 c:Director1 2022-01-01 2022-12-31 12810498 c:RegisteredOffice 2022-01-01 2022-12-31 12810498 d:Buildings d:LongLeaseholdAssets 2022-01-01 2022-12-31 12810498 d:CurrentFinancialInstruments 2022-12-31 12810498 d:CurrentFinancialInstruments 2021-12-31 12810498 d:CurrentFinancialInstruments d:WithinOneYear 2022-12-31 12810498 d:CurrentFinancialInstruments d:WithinOneYear 2021-12-31 12810498 d:ShareCapital 2022-12-31 12810498 d:ShareCapital 2020-08-13 2021-12-31 12810498 d:ShareCapital 2021-12-31 12810498 d:ShareCapital 2020-08-13 12810498 d:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 12810498 d:RetainedEarningsAccumulatedLosses 2022-12-31 12810498 d:RetainedEarningsAccumulatedLosses 2020-08-13 2021-12-31 12810498 d:RetainedEarningsAccumulatedLosses 2021-12-31 12810498 d:RetainedEarningsAccumulatedLosses 2020-08-13 12810498 c:OrdinaryShareClass1 2022-01-01 2022-12-31 12810498 c:OrdinaryShareClass1 2022-12-31 12810498 c:OrdinaryShareClass1 2021-12-31 12810498 c:FRS102 2022-01-01 2022-12-31 12810498 c:Audited 2022-01-01 2022-12-31 12810498 c:FullAccounts 2022-01-01 2022-12-31 12810498 c:PrivateLimitedCompanyLtd 2022-01-01 2022-12-31 12810498 d:Subsidiary1 2022-01-01 2022-12-31 12810498 d:Subsidiary1 1 2022-01-01 2022-12-31 12810498 c:Consolidated 2022-12-31 12810498 c:ConsolidatedGroupCompanyAccounts 2022-01-01 2022-12-31 12810498 6 2022-01-01 2022-12-31 xbrli:shares iso4217:GBP xbrli:pure


















Cloud Capital UK Advisors Limited
























Annual report and financial statements



For the year ended 31 December 2022



Registered number: 12810498

 
Cloud Capital UK Advisors Limited


Company Information


Director
C A Warnke 




Registered number
12810498



Registered office
Mutual House
70 Conduit Street

London

W1S 2GF




Independent auditor
Buzzacott LLP
Statutory Auditor

130 Wood Street

London

EC2V 6DL





 
Cloud Capital UK Advisors Limited


Contents



Page
Director's report
 
1 - 2
Independent auditors' report
 
3 - 7
Consolidated statement of comprehensive income
 
8
Consolidated statement of financial position
 
9
Company statement of financial position
 
10
Consolidated statement of changes in equity
 
11
Company statement of changes in equity
 
12
Consolidated Statement of cash flows
 
13
Notes to the financial statements
 
14 - 25


 
Cloud Capital UK Advisors Limited

 
Director's report
For the year ended 31 December 2022

The director presents his report and the consolidated financial statements of the Cloud Capital UK Advisors Limited group ('the group'), consisting of Cloud Capital UK Advisors Limited ('the company') and its subsidiary Cloud Capital LLP, for the year ended 31 December 2022.

Director

The director who served during the year was:

C A Warnke 

Director's responsibilities statement

The director is responsible for preparing the Director's report and the consolidated financial statements in accordance with applicable law and regulations.
 
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period.

 In preparing these financial statements, the director is required to:


select suitable accounting policies for the group's financial statements and then apply them consistently;

make judgements and accounting 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;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and to enable him to ensure that the financial statements comply with the Companies Act 2006He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

The director at the time when this Director's report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the company and the group's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company and the group's auditors are aware of that information.

Page 1

 
Cloud Capital UK Advisors Limited
 
Director's report (continued)
For the year ended 31 December 2022


Small companies exemption

In preparing this report, the director has taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





................................................
C A Warnke
Director

Date: 29 September 2023

Page 2

 
 
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Independent auditors' report to the members of Cloud Capital UK Advisors Limited
For the year ended 31 December 2022

Opinion


We have audited the financial statements of Cloud Capital UK Advisors Limited (the 'parent company') and its subsidiary (the 'Group') for the year ended 31 December 2022, which comprise the group Statement of comprehensive income, the group and company Statements of financial position, the group Statement of cash flows, the group and company Statement of changes in equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the group's and of the parent company's affairs as at 31 December 2022 and of the group's profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's or the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.


Page 3

 
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Independent auditors' report to the members of Cloud Capital UK Advisors Limited (continued)
For the year ended 31 December 2022

Other information


The other information comprises the information included in the Annual Report other than the financial statements and  our Auditors' report thereon. The director is responsible for the other information contained within the Annual Report.  Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Director's report has been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Director's report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent company financial statements are not in agreement with the accounting records and returns; or
certain disclosures of director's remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the director was not entitled to take advantage of the small companies' exemptions in preparing the Director's report and from the requirement to prepare a Group strategic report.


Responsibilities of directors
 

As explained more fully in the Director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the director is responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Page 4

 
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Independent auditors' report to the members of Cloud Capital UK Advisors Limited (continued)
For the year ended 31 December 2022


Page 5

 
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Independent auditors' report to the members of Cloud Capital UK Advisors Limited (continued)
For the year ended 31 December 2022

Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
 
How the audit was considered capable of detecting irregularities including fraud


Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud
and non-compliance with laws and regulations, was as follows:

the Senior Statutory Auditor ensured that the engagement team collectively had the appropriate competence,
capabilities and skills to identify or recognise non-compliance with applicable laws and regulations, including
knowledge specific to auditing groups with regulated investment advisory firms;
we made enquiries of management as to where they considered there was susceptibility to fraud, and their
knowledge of actual and suspected and alleged fraud;
we identified the laws and regulations that could reasonably be expected to have a material effect on the financial
statements of the group and company through discussions with the director and other management at the planning stage;
the audit team held a discussion to identify any particular areas that were considered to be susceptible to
misstatement, including with respect to fraud and non-compliance with laws and regulations; and
we focused our planned audit work on specific laws and regulations which we considered may have a direct material
effect on the financial statements or the operations of the group and company including the Companies Act 2006, employment legislation, The Financial Services and Markets Act 2000 and taxation legislation.

We assessed the extent of compliance with laws and regulations identified above through:

making enquiries of management;
reviewing legal expenditure throughout the year for any potential litigation or claims; and
considering the internal controls in place that are designed to mitigate risks of fraud and non-compliance with laws
and regulations.

To address the risk of fraud through management bias and override of controls, we:

identified and assessed the design effectiveness of the controls management has in place to prevent and detect
fraud;
determined the susceptibility of the group and company to management override of controls by checking the implementation of controls and enquiring of individuals involved in the financial reporting process;
reviewed journal entries throughout the period to identify unusual transactions;
performed analytical procedures to identify any large, unusual or unexpected transactions;
identified and challenged assumptions and judgements made by management in its significant accounting estimates;
tested the occurrence of turnover by reviewing the cost plus agreement and performed a proof in total, investigating
any material variances from expectations; and
carried out substantive testing, including random samples, to check the occurrence and cut-off of expenditure.
 
Page 6

 
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Independent auditors' report to the members of Cloud Capital UK Advisors Limited (continued)
For the year ended 31 December 2022

Auditors' responsibilities for the audit of the financial statements (continued)
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included:

agreeing financial statement disclosures to underlying supporting documentation; and
enquiring of management as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. Irregularities that result from fraud might be
inherently more difficult to detect than irregularities that result from error as they may involve deliberate concealment or
collusion. Auditing standards also limit the audit procedures required to identify non-compliance with laws and
regulations to enquiry of the members and other management and the inspection of regulatory and legal
correspondence, if any.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


Other matters 
 

The comparative figures for the period from 13 August 2020 to 31 December 2021 have not been audited.


Use of our report
 

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Katherine White (Senior statutory auditor)
for and on behalf of
Buzzacott LLP
Statutory Auditor
130 Wood Street
London
EC2V 6DL

29 September 2023
Page 7

 
Cloud Capital UK Advisors Limited


Consolidated statement of comprehensive income
For the year ended 31 December 2022

31 December
As restated
Unaudited
Period from 13 August 2020 to
31 December
2022
2021
Note
£
£

  

Turnover
 4 
3,440,497
2,182,070

Cost of sales
  
-
(1,504)

Gross profit
  
3,440,497
2,180,566

Administrative expenses
  
(2,331,955)
(2,009,059)

Operating profit
 5 
1,108,542
171,507

Tax on profit/(loss)
 8 
(51,302)
(43,733)

Profit/(loss) for the financial year
  
1,057,240
127,774

  

Total comprehensive income for the year
  
-
-

Profit for the year attributable to:
  

Non-controlling interests
  
854,431
19,264

Owners of the parent company
  
202,809
108,510

  
1,057,240
127,774

There were no recognised gains and losses for 2022 or 2021 other than those included in the consolidated statement of comprehensive income.
There was no other comprehensive income for 2022 or 2021.

The notes on pages 14 to 25 form part of these financial statements.

Page 8

 
Cloud Capital UK Advisors Limited - Registered number: 12810498

Consolidated statement of financial position
As at 31 December 2022

2022
Unaudited
2021
Note
£
£

Fixed assets
  

Tangible assets
 9 
50,780
42,938

  
50,780
42,938

Current assets
  

Debtors: amounts falling due within one year
 11 
790,507
2,262,606

Cash at bank and in hand
 12 
5,034,523
637,775

  
5,825,030
2,900,381

Creditors: amounts falling due within one year
 13 
(4,854,771)
(2,413,667)

Net current assets
  
 
 
970,259
 
 
486,714

Total assets less current liabilities
  
1,021,039
529,652

Provisions for liabilities
  

Other provisions
 14 
(6,213)
-

  
 
 
(6,213)
 
 
-

Net assets
  
1,014,826
529,652


Capital and reserves
  

Called up share capital 
 15 
1
1

Profit and loss account
 16 
311,319
108,510

Non-controlling interests
  
703,506
421,141

  
1,014,826
529,652


The financial statements were approved and authorised for issue by the board on 29 September 2023 and were signed on its behalf by:




C A Warnke
Director

The notes on pages 14 to 25 form part of these financial statements.

Page 9

 
Cloud Capital UK Advisors Limited - Registered number: 12810498

Company statement of financial position
As at 31 December 2022

2022
As restated
Unaudited
2021
Note
£
£

Fixed assets
  

Investments
 10 
100
100

  
100
100

Current assets
  

Debtors: amounts falling due within one year
 11 
200,290
43,733

Cash at bank and in hand
 12 
1
1

  
200,291
43,734

Creditors: amounts falling due within one year
 13 
(116,475)
(50,993)

Net current assets/(liabilities)
  
 
 
83,816
 
 
(7,259)

Total assets less current liabilities
  
83,916
(7,159)

  

  

Net assets excluding pension asset
  
83,916
(7,159)

Net assets/(liabilities)
  
83,916
(7,159)


Capital and reserves
  

Called up share capital 
 15 
1
1

Profit and loss account brought forward
  
(7,160)
-

Profit/(loss) for the year
  
91,075
(7,160)

Profit and loss account carried forward
  
83,915
(7,160)

  
83,916
(7,159)


The financial statements were approved and authorised for issue by the board on 29 September 2023 and were signed on its behalf by:


C A Warnke
Director

The notes on pages 14 to 25 form part of these financial statements.

Page 10

 
Cloud Capital UK Advisors Limited


Consolidated statement of changes in equity
For the year ended 31 December 2022


Called up share capital
Profit and loss account
Equity attributable to owners of parent company
Non-controlling interests
Total equity

£
£
£
£
£


At 1 August 2020
-
-
-
-
-


Comprehensive income for the period

Profit for the period

-
108,510
108,510
19,264
127,774

Distributions to non-controlling interests
-
-
-
(19,264)
(19,264)

Shares issued during the period
1
-
1
-
1

Capital contributions by non-controlling interests
-
-
-
421,141
421,141



At 1 January 2022
1
108,510
108,511
421,141
529,652



Profit for the year

-
202,809
202,809
854,431
1,057,240

Distribution to non-controlling interests
-
-
-
(854,431)
(854,431)

Capital contributions by non-controlling interests
-
-
-
282,365
282,365


At 31 December 2022
1
311,319
311,320
703,506
1,014,826


The notes on pages 14 to 25 form part of these financial statements.

Page 11

 
Cloud Capital UK Advisors Limited


Company statement of changes in equity
For the year ended 31 December 2022


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 August 2020
-
-
-


Comprehensive income for the period

Loss for the period

-
(7,160)
(7,160)

Shares issued during the period
1
-
1



At 1 January 2022
1
(7,160)
(7,159)



Profit for the year
-
91,075
91,075


At 31 December 2022
1
83,915
83,916


The notes on pages 14 to 25 form part of these financial statements.

Page 12

 
Cloud Capital UK Advisors Limited


Consolidated statement of cash flows
For the year ended 31 December 2022

2022
Unaudited
2021
£
£

Cash flows from operating activities

Profit/(loss) for the financial year
1,057,240
127,774

Adjustments for:

Depreciation of tangible assets
3,071
1,479

Taxation charge
51,302
43,733

Decrease/(increase) in debtors
1,472,099
(2,262,606)

Increase in creditors
11,393
124,394

Increase in amounts owed to participating interests
2,378,409
2,245,540

Increase in provisions
6,213
-

Net cash generated from operating activities

4,979,727
280,314


Cash flows from investing activities

Purchase of tangible fixed assets
(10,913)
(44,417)

Net cash from investing activities

(10,913)
(44,417)

Cash flows from financing activities

Issue of ordinary shares
-
1

Distributions to non-controlling interests
(854,431)
(19,264)

Contributions by non-controlling interests
282,365
421,141

Net cash used in financing activities
(572,066)
401,878

Net increase in cash and cash equivalents
4,396,748
637,775

Cash and cash equivalents at beginning of year
637,775
-

Cash and cash equivalents at the end of year
5,034,523
637,775


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
5,034,523
637,775

5,034,523
637,775


The notes on pages 14 to 25 form part of these financial statements.

Page 13

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

1.


General information

The company is a private company limited by shares and incorporated in England and Wales. Its registered office is
Sixth Floor, Mutual House, 70 Conduit Street, London W1S 2GF. The company registration number is 12810498.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

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 Republic of Ireland' ('FRS102') and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company's accounting policies.
The company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006
and has not presented its own profit or loss in these financial statements.
The company is a qualifying entity for the purposes of FRS 102 and has elected to take the exemption under
FRS 102, para 1.12(b) not to present the Company Statement of cash flows.
The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

 
2.3

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Consolidated statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

Page 14

 
Cloud Capital UK Advisors Limited

Notes to the financial statements
For the year ended 31 December 2022

2.Accounting policies (continued)

 
2.4

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the group and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised:

Rendering of services

Turnover from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of turnover can be measured reliably;
it is probable that the group will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Pensions

Defined contribution pension plan

The group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the group pays fixed contributions into a separate entity. Once the contributions have been paid the group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the group in independently administered funds.

 
2.6

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company and the group operate and generate income.

 
2.7

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 15

 
Cloud Capital UK Advisors Limited

Notes to the financial statements
For the year ended 31 December 2022

2.Accounting policies (continued)


2.7
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Leasehold improvements
-
15 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.8

Valuation of investments

Investments are measured at cost less accumulated impairment.

 
2.9

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.10

Cash

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on
notice of not more than 24 hours.

 
2.11

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.12

Provisions for liabilities

Provisions are made where an event has taken place that gives the group a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the group becomes aware of the obligation, and are measured at the best estimate at the reporting date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Statement of financial position.

Page 16

 
Cloud Capital UK Advisors Limited

Notes to the financial statements
For the year ended 31 December 2022

2.Accounting policies (continued)

 
2.13

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

The director does not consider there to have been any critical judgements or key sources of estimation uncertainty during the period.


4.


Turnover

The whole of the turnover is attributable to the group's principal activity, the supply of investment advisory services.

All turnover arose within the United Kingdom.


5.


Operating profit/(loss)

The operating profit/(loss) is stated after charging:

31 December
Unaudited
Period from 13 August 2022 to
31 December
2022
2021
£
£

Exchange differences
892
811

Page 17

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

6.


Auditors' remuneration

During the year, the group obtained the following services from the company's auditors and their associates:


31 December
Unaudited
Period from 13 August 2020 to
31 December
2022
2021
£
£

Fees payable to the company's auditors and their associates for the audit of the consolidated and parent company's financial statements
5,000
-

Fees payable to the company's auditors and their associates in respect of:

The auditing of accounts of associates of the company
12,000
-

Audit-related assurance services
2,000
-

Taxation compliance services
23,173
8,745

All other services
20,034
10,928


7.


Employees

Staff costs were as follows:

Group
2022
Unaudited
Group
period from 13 August 2020 to 31 December 2021
£
£
Wages and salaries

774,148

287,772
 
Social security costs

104,275

32,447
 
Cost of defined contribution scheme

30,347

8,495
 
908,770

328,714
 

The average monthly number of employees, including the director, during the year for the group was as 7 (2021:5). The only employee in the company for 2022 and 2021 was the director.

Page 18

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

8.


Taxation


31 December
Unaudited
Period from 13 August 2020 to
31 December
2022
2021
£
£

Corporation tax


Current tax on profits for the year
51,302
43,733


51,302
43,733


Total current tax
51,302
43,733

Deferred tax

Total deferred tax
-
-


Taxation on profit on ordinary activities
51,302
43,733
Page 19

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022
 
8.Taxation (continued)


Factors affecting tax charge for the year/period

The tax assessed for the year/period is lower than (2021 -lower than) the standard rate of corporation tax in the UK of 19% (2021 -19%). The differences are explained below:

31 December
Unaudited
Period from 13 August 2020 to
31 December
2022
2021
£
£


Profit on ordinary activities before tax
1,057,240
127,774


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2021 -19%)
200,876
24,277

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
55,975
50,092

Non-taxable income
(30,827)
(30,636)

Profit allocated to minority interests
(174,722)
-

Total tax charge for the year/period
51,302
43,733

Page 20

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022
 
8.Taxation (continued)


Factors that may affect future tax charges

On 10 June 2021, the Finance Bill 2021 received Royal Assent. The Bill confirms an increase in the corporation tax
rate from 1 April 2023. From this date, the rate will taper from 19% for businesses with profits of less than £50,000
to 25% for businesses with profits over £250,000.


9.


Tangible fixed assets

Group






Long-term leasehold property

£



Cost or valuation


At 1 January 2022 (Unaudited)
44,417


Additions
10,913



At 31 December 2022

55,330



Depreciation


At 1 January 2022 (Unaudited)
1,479


Charge for the year
3,071



At 31 December 2022

4,550



Net book value



At 31 December 2022
50,780



At 31 December 2021 (Unaudited)
42,938

Page 21

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

10.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2022
100



At 31 December 2022
100





Subsidiary undertaking


The following was a subsidiary undertaking of the company:

Name

Registered office

Holding

Cloud Capital LLP
Mutual House, 70 Conduit Street, London W1S 2GF
80%


11.


Debtors

Group
Group
Company
Company
2022
2021
2022
2021
£
£
£
£


Amounts owed by group undertakings
-
-
148,988
-

Other debtors
25,221
43,117
-
-

Prepayments and accrued income
765,286
2,219,489
-
-

Deferred taxation
-
-
51,302
43,733

790,507
2,262,606
200,290
43,733



12.


Cash and cash equivalents

Group
Group
Company
Company
2022
2021
2022
2021
£
£
£
£

Cash at bank and in hand
5,034,523
637,775
1
1

5,034,523
637,775
1
1


Page 22

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

13.


Creditors: amounts falling due within one year

Group
Group
Company
Company
2022
2021
2022
2021
£
£
£
£

Trade creditors
68,709
33,848
7,440
-

Amounts owed to group undertakings
-
-
-
1,840

Amounts owed to other participating interests
4,623,949
2,245,540
1,700
1,700

Corporation tax
95,035
43,733
95,035
43,733

Accruals and deferred income
67,078
90,546
12,300
3,720

4,854,771
2,413,667
116,475
50,993



14.


Provisions


Group






Dilapidation provision

£





At 1 January 2022
-


Charged to profit or loss
6,213



At 31 December 2022
6,213


15.


Share capital

2022
2021
£
£
Allotted, called up and fully paid



1 (2021 -1) Ordinary share of £1.00
1
1



16.


Reserves

Profit and loss account

The profit and loss account includes all current and prior period retained profits and losses.

Page 23

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

17.


Prior year adjustment

For the year ended 31 December 2021 the company recognised £161,243 of accrued income relating to the profit allocation from the group. However, as the amounts were only deemed allocated in the year ended 31 December 2022, this should not have been recognised as income. This has been adjusted for and recognised as income for the 2022 financial year. 


18.


Contingent liabilities

The group and company had no contingent liabilities at 31 December 2022 or 31 December 2021.


19.


Pension commitments

The group operates a defined contributions pension scheme. The assets of the scheme are held separately from
those of the entity in an independently administered fund. The pension cost charge represents contributions
payable by the entity to the fund and amounted to £30,347 (2021: £8,495). Contributions totalling £nil (2021: £nil)
were payable to the fund at the reporting date and are included in creditors.


20.


Commitments under operating leases

At 31 December 2022 the group and the company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
2022
2021
£
£

Not later than 1 year
138,861
79,702

Later than 1 year and not later than 5 years
335,560
555,443

474,421
635,145

21.


Consolidated analysis of net debt

An analysis of changes in net debt has not been presented as all of the group’s cash flows relate to movements in
cash, and the group has no items to include in such an analysis other than the cash flows in the Statement of cash
flows.

Page 24

 
Cloud Capital UK Advisors Limited

 
Notes to the financial statements
For the year ended 31 December 2022

22.


Related party transactions

During the year ended 31 December 2022, £3,440,000 (2021: £2,180,566) was charged to a related party under
common control by the group in relation to advisory fees.
At 31 December 2022, £740,000 (2021: £2,180,566) was owed to the group from the related party.
Expenses of £483,975 (2021: £1,071,187) were incurred by a company under common control and recharged to
the group. The group recharged £123,317 (2021: £22,487) to the related party for expenditure incurred on its behalf.
At 31 December 2022, £1,186,554 (2021: £1,049,003) was payable to the related parties.
Key management personnel compensation
Key management personnel received compensation of £1,780,420 (2021: £713,229).
 


23.


Controlling party

The ultimate controlling party at the year end was Hossein Fateh. They own 100% of Cloud Capital UK Advisors
Limited.

Page 25