Caseware UK (AP4) 2022.0.179 2022.0.179 2023-06-302023-06-30falsefalsetrue2022-07-0155true 04522114 2022-07-01 2023-06-30 04522114 2021-07-01 2022-06-30 04522114 2023-06-30 04522114 2022-06-30 04522114 c:CompanySecretary1 2022-07-01 2023-06-30 04522114 c:Director1 2022-07-01 2023-06-30 04522114 c:Director2 2022-07-01 2023-06-30 04522114 c:Director3 2022-07-01 2023-06-30 04522114 c:Director4 2022-07-01 2023-06-30 04522114 c:Director5 2022-07-01 2023-06-30 04522114 c:RegisteredOffice 2022-07-01 2023-06-30 04522114 d:CurrentFinancialInstruments 2023-06-30 04522114 d:CurrentFinancialInstruments 2022-06-30 04522114 d:CurrentFinancialInstruments d:WithinOneYear 2023-06-30 04522114 d:CurrentFinancialInstruments d:WithinOneYear 2022-06-30 04522114 d:UKTax 2022-07-01 2023-06-30 04522114 d:UKTax 2021-07-01 2022-06-30 04522114 d:ShareCapital 2023-06-30 04522114 d:ShareCapital 2022-06-30 04522114 d:RetainedEarningsAccumulatedLosses 2022-07-01 2023-06-30 04522114 d:RetainedEarningsAccumulatedLosses 2023-06-30 04522114 d:RetainedEarningsAccumulatedLosses 2021-07-01 2022-06-30 04522114 d:RetainedEarningsAccumulatedLosses 2022-06-30 04522114 d:RetainedEarningsAccumulatedLosses 2021-07-01 04522114 c:OrdinaryShareClass1 2022-07-01 2023-06-30 04522114 c:OrdinaryShareClass1 2023-06-30 04522114 c:OrdinaryShareClass1 2022-06-30 04522114 c:OrdinaryShareClass2 2022-07-01 2023-06-30 04522114 c:OrdinaryShareClass2 2023-06-30 04522114 c:OrdinaryShareClass2 2022-06-30 04522114 c:FRS102 2022-07-01 2023-06-30 04522114 c:Audited 2022-07-01 2023-06-30 04522114 c:FullAccounts 2022-07-01 2023-06-30 04522114 c:PrivateLimitedCompanyLtd 2022-07-01 2023-06-30 04522114 2 2022-07-01 2023-06-30 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 04522114
















WEALTH CLUB ASSET MANAGEMENT LIMITED




ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2023

































WEALTH CLUB ASSET MANAGEMENT LIMITED

 
COMPANY INFORMATION


DIRECTORS
G E Bowen 
A J F Davies 
M Caricato 
R G Richards 
S A H Leech 




COMPANY SECRETARY
Roxburgh Milkins Limited



REGISTERED NUMBER
04522114



REGISTERED OFFICE
20 Richmond Hill

Bristol

BS8 1BA




INDEPENDENT AUDITORS
Bishop Fleming LLP
Chartered Accountants & Statutory Auditors

10 Temple Back

Bristol

BS1 6FL






WEALTH CLUB ASSET MANAGEMENT LIMITED


CONTENTS



Page
Strategic report
 
 
1
Directors' report
 
 
2 - 3
Directors' responsibilities statement
 
 
4
Independent auditors' report
 
 
5 - 8
Statement of income and retained earnings
 
 
9
Statement of financial position
 
 
10
Notes to the financial statements
 
 
11 - 17



WEALTH CLUB ASSET MANAGEMENT LIMITED

 
STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2023

INTRODUCTION
 
Wealth Club, the parent company of Wealth Club Asset Management, is an investment platform for high net worth and sophisticated investors. 

BUSINESS REVIEW
 
Wealth Club Asset Management provides the Wealth Club Nominee Service, a strategic element for the Wealth Club Group. The Company's principal activities during the year were safeguarding and administering investor capital and assets. It is a MiFID firm and has the significant regulatory permissions to hold client money and safeguard and administer client assets. The Company has also received discretionary fund management permissions, which enables Wealth Club to offer discretionary managed portfolios.

PRINCIPAL RISKS AND UNCERTAINTIES
 
The greatest external risk to our business is any changes in the economic, political and fiscal environment. A recession, changes to tax rules or a dip in investor sentiment could all impact our business and present challenges. 

FINANCIAL KEY PERFORMANCE INDICATORS
 
As of June 2023, approximately £56 million (2022: £24 million) of client's assets were held in the Wealth Club nominee.

DIRECTORS' STATEMENT OF COMPLIANCE WITH DUTY TO PROMOTE THE SUCCESS OF THE COMPANY
 
The board of directors believes they have fulfilled their individual and collective duties to act in the way they consider, in good faith, would be most likely to promote the success of the company for the benefit of shareholders as a whole.


This report was approved by the board on 22 October 2023 and signed on its behalf.



A J F Davies
Director

Page 1


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2023

The directors present their report and the financial statements for the year ended 30 June 2023.

PRINCIPAL ACTIVITY

The principal activity during the year was administering the safeguarding of Wealth Club investor capital and assets made through the Wealth Club nominee service. Commission is still received relating to the former activities of the business, an execution only discount broker of VCT’s and other investment products.

RESULTS AND DIVIDENDS

The profit for the year, after taxation, amounted to £49,575 (2022:£49,665).

DIRECTORS

The directors who served during the year were:

G E Bowen 
A J F Davies 
M Caricato 
R G Richards 
S A H Leech 

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

The group fosters business relationships with its clients by acting on feedback, using dedicated customer relationship managers and by maintaining a high quality of service at all times. The group fosters business relationships with its suppliers by supporting a high number of local suppliers, ensuring relationships are mutually beneficial and paying invoices within agreed payment terms.

MATTERS COVERED IN THE STRATEGIC REPORT

The Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 requires a Strategic Report to be prepared. Where mandatory disclosures in the Directors' Report are considered by the directors to be of strategic importance these have been included within the Strategic Report rather than the Directors' Report.

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company'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's auditors are aware of that information.

POST BALANCE SHEET EVENTS

There have been no significant events affecting the Company since the year end.

AUDITORS

The auditorsBishop Fleming LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Page 2


WEALTH CLUB ASSET MANAGEMENT LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
This report was approved by the board and signed on its behalf.
 






A J F Davies
Director

Date: 22 October 2023

20 Richmond Hill
Bristol
BS8 1BA

Page 3


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 30 JUNE 2023

The directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have 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 directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:

select suitable accounting policies for the Company'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 Company will continue in business.

The directors are 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 4


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEALTH CLUB ASSET MANAGEMENT LIMITED
OPINION


We have audited the financial statements of Wealth Club Asset Management Limited (the 'Company') for the year ended 30 June 2023, which comprise the Statement of income and retained earnings, the Statement of financial position 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 Company's affairs as at 30 June 2023 and of its 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 Company 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 directors' 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 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 directors with respect to going concern are described in the relevant sections of this report.


OTHER INFORMATION


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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.


Page 5


WEALTH CLUB ASSET MANAGEMENT LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEALTH CLUB ASSET MANAGEMENT LIMITED (CONTINUED)

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 Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic report and the Directors' report have 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 Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' 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, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


RESPONSIBILITIES OF DIRECTORS
 

As explained more fully in the Directors' responsibilities statement set out on page 4, the directors are 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 directors determine 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 directors are responsible for assessing the 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 directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.


Page 6


WEALTH CLUB ASSET MANAGEMENT LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEALTH CLUB ASSET MANAGEMENT LIMITED (CONTINUED)

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 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:

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we have considered the following:
the nature of the industry and sector, control environment and business performance;
the results of our enquiries of management and the directors about their own identification and assessment of the risk of irregularities;
any matters we identified having obtained and reviewed the Company’s documentation of their policies and procedures relating to:
°identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance;
°detecting and responding to the risk of fraud and whether they have knowledge of actual, suspected, or alleged fraud; and
°the internal controls established to mitigate the risks of fraud or non-compliance with laws and regulations.
the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud, and incorrect recognition of revenue was identified as the greatest potential area for fraud.
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. 
We also obtained an understanding of the legal and regulatory frameworks that the Company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, Financial Reporting Standard 102 and UK tax legislation.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Company’s ability to operate or to avoid a material penalty. These included health and safety regulations, employment legislation, data protection laws and regulations stipulated by the Financial Conduct Authority (FCA).
Our procedures to respond to risks identified included the following:
reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
enquiring of management concerning actual and potential litigation claims;
reviewing the financial statement disclosures and testing to supporting documentation to assess the recognition of revenue;
reviewing Board meeting minutes;
reviewing correspondence with the FCA for indications of non-compliance; and
in addressing the risk of fraud through management override of controls, testing the appropriateness of
Page 7


WEALTH CLUB ASSET MANAGEMENT LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEALTH CLUB ASSET MANAGEMENT LIMITED (CONTINUED)

journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from an error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.


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.


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.






Simon Morrison FCA (Senior statutory auditor)
for and on behalf of
Bishop Fleming LLP
Chartered Accountants
Statutory Auditors
10 Temple Back
Bristol
BS1 6FL

23 October 2023
Page 8


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 30 JUNE 2023

2023
2022
£
£

  

Turnover
 4 
587,876
749,352

Cost of sales
  
(237,165)
(391,539)

Gross profit
  
350,711
357,813

Administrative expenses
  
(308,518)
(296,535)

Operating profit
  
42,193
61,278

Interest receivable and similar income
 7 
20,162
37

Profit before tax
  
62,355
61,315

Tax on profit
 8 
(12,780)
(11,650)

Profit after tax
  
49,575
49,665

  

  

Retained earnings at the beginning of the year
  
1,856,650
1,806,985

  
1,856,650
1,806,985

Profit for the year
  
49,575
49,665

Retained earnings at the end of the year
  
1,906,225
1,856,650
There were no recognised gains and losses for 2023 or 2022 other than those included in the statement of income and retained earnings.

The notes on pages 11 to 17 form part of these financial statements.

Page 9


WEALTH CLUB ASSET MANAGEMENT LIMITED
REGISTERED NUMBER:04522114

STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023

2023
2022
Note
£
£

  

Current assets
  

Debtors: amounts falling due within one year
 9 
927,027
1,281,856

Cash at bank and in hand
 10 
1,506,053
875,583

  
2,433,080
2,157,439

Creditors: amounts falling due within one year
 11 
(526,755)
(300,689)

Net current assets
  
 
 
1,906,325
 
 
1,856,750

Total assets less current liabilities
  
1,906,325
1,856,750

  

Net assets
  
1,906,325
1,856,750


Capital and reserves
  

Called up share capital 
 12 
100
100

Profit and loss account
  
1,906,225
1,856,650

  
1,906,325
1,856,750


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





A J F Davies
Director

Date: 22 October 2023

The notes on pages 11 to 17 form part of these financial statements.

Page 10


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

1.


GENERAL INFORMATION

Wealth Club Asset Management Limited is a private limited company, limited by shares, incorporated and registered in England and Wales within the United Kingdom.

Its registered number is 04522114.

Its registered office is 20 Richmond Hill, Bristol, BS8 1BA.

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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland 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 (see note 3).

FRS 102 allows a qualifying entity certain disclosure exemptions, subject to certain conditions, which have been complied with. The company has taken advantage of the following exemption from preparing a statement of cash flows on the basis that it is a qualifying entity and its ultimate parent company, Wealth Club Limited, includes the company's cash flows in its Consolidated Statement of Cash Flows.

The following principal accounting policies have been applied:

 
2.2

GOING CONCERN

The directors have prepared forecasts including cash flow projections and carefully considered the recent events and any reasonably foreseeable changes in market conditons that may arise. 

With these in mind, the directors have considered the ability to continue as a going concern and believe this to be an appropriate basis on which to prepare accounts as the directors have the resources and intend to continue to support the company for the foreseeable future.

 
2.3

REVENUE

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

 
2.4

INTEREST INCOME

Interest income is recognised in profit or loss using the effective interest method.

 
2.5

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 operates and generates income.

Page 11


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)

 
2.6

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.

 
2.7

CREDITORS

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

 
2.8

FINANCIAL INSTRUMENTS

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of financial position when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are
Page 12


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)


2.8
FINANCIAL INSTRUMENTS (CONTINUED)

initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.


3.



JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of financial statements in conformity with FRS 102 requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions are based upon historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making judgments about carrying values of assets and liabilities that are not readily available from other sources. Actual results may subsequently differ from these estimates. 

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The valuation of rebates payable in Wealth Club Asset Management is determined through judgement and estimation of amounts payable are based on past experience. There’s an inherent risk that such amounts may not be payable and there is a market risk due to a change in market conditions (for rebates on income based on net asset value), and directors take this risk into account when projecting rebates payable.

Page 13


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

4.


TURNOVER

The whole of the turnover is attributable to the principal activity.

All turnover arose within the United Kingdom.


5.


AUDITORS' REMUNERATION

Fees payable to the auditor in respect of audit and other services are bome in the parent company.




6.


EMPLOYEES

Staff costs were as follows:





The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







Directors
5
5


7.


INTEREST RECEIVABLE

2023
2022
£
£


Other interest receivable
20,162
37

20,162
37

Page 14


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

8.


TAXATION


2023
2022
£
£

CORPORATION TAX


Current tax on profits for the year
12,780
11,650


12,780
11,650


TOTAL CURRENT TAX
12,780
11,650

DEFERRED TAX

TOTAL DEFERRED TAX
-
-


TAXATION ON PROFIT ON ORDINARY ACTIVITIES
12,780
11,650

FACTORS AFFECTING TAX CHARGE FOR THE YEAR

The tax assessed for the year is higher than (2022:the same as) the standard rate of corporation tax in the UK of 20.5% (2022:19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
62,355
61,315


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 20.5% (2022:19%)
12,783
11,650

EFFECTS OF:


Other differences leading to an increase (decrease) in the tax charge
(3)
-

TOTAL TAX CHARGE FOR THE YEAR
12,780
11,650


FACTORS THAT MAY AFFECT FUTURE TAX CHARGES

There are no matters that are expected to materially affect future tax charges.

Page 15


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

9.


DEBTORS

2023
2022
£
£


Trade debtors
12,168
134,447

Amounts owed by group undertakings
791,199
1,088,893

Prepayments and accrued income
123,660
58,516

927,027
1,281,856



10.


CASH AND CASH EQUIVALENTS

2023
2022
£
£

Cash at bank and in hand
1,506,053
875,583

1,506,053
875,583



11.


CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2023
2022
£
£

Trade creditors
4,831
1,050

Corporation tax
12,546
11,416

Accruals and deferred income
509,378
288,223

526,755
300,689



12.


SHARE CAPITAL

2023
2022
£
£
ALLOTTED, CALLED UP AND FULLY PAID



50 (2022:50) Ordinary shares of £1.00 each
50
50
50 (2022:50) Ordinary A shares of £1.00 each
50
50

100

100



13.


RELATED PARTY TRANSACTIONS

The company has taken advantage of the exemption in Financial Reporting Standard 102 Section 33 "Related Party Disclosure" and has not disclosed details of transactions with companies within the group.

Page 16


WEALTH CLUB ASSET MANAGEMENT LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

14.


CONTROLLING PARTY

The immediate and ultimate parent company is Wealth Club Limited, a company registered in England and Wales. Wealth Club Limited is the parent undertaking of the largest and smallest group of undertakings for which group financial statements are drawn up. These financial statements are publicly available from Companies House. The ultimate controlling party is A J F  Davies by virtue of his majority shareholding in Wealth Club Limited.

 
Page 17