Company registration number 08621518 (England and Wales)
RIVA CAPITAL (UK) LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 JULY 2023
6th Floor Kings House
9-10 Haymarket
London
United Kingdom
SW1Y 4BP
RIVA CAPITAL (UK) LIMITED
CONTENTS
Page
Company information
1
Strategic report
2
Directors' report
3 - 4
Independent auditor's report
5 - 7
Statement of comprehensive income
8
Statement of financial position
9
Statement of changes in equity
10
Statement of cash flows
11
Notes to the financial statements
12 - 21
RIVA CAPITAL (UK) LIMITED
COMPANY INFORMATION
- 1 -
Directors
Mr Y Valiton
Mr R Almaleh
Mr D Ghiglione
Mr N A S Hannan
(Appointed 4 September 2023)
Company number
08621518
Registered office
1 Albemarle Street
London
W1S 4HB
Auditor
TC Group
6th Floor Kings House
9-10 Haymarket
London
United Kingdom
SW1Y 4BP
RIVA CAPITAL (UK) LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 JULY 2023
- 2 -
The directors present the strategic report for the year ended 31 July 2023.
Principal activities and review of the business
Our business provides hedge fund advisory services to investors seeking long term sophisticated services. Riva Capital (UK) Limited offers services to high net worth individuals, pension funds and institutions.
The company will continue to grow its client's base as well as on boarding new clients. Fund assets management are expected to grow through new and existing relations.
The results for the year and the financial position at the year end were considered satisfactory by the directors who expect continued growth in activity levels and income in the foreseeable in the future.
Fair review of the business
The Key financial indicators are as follows;
Mr R Almaleh
Director
5 February 2024
RIVA CAPITAL (UK) LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 JULY 2023
- 3 -
The directors present their annual report and financial statements for the year ended 31 July 2023.
Principal activities
The principal activity of the company continued to be that of the provision of financial services.
Results and dividends
The results for the year are set out on page 8.
No ordinary dividends were paid. The directors do not recommend payment of a final dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr Y Valiton
Mr R Almaleh
Mr D Ghiglione
Mr S Gibb
(Resigned 15 October 2022)
Mr N A S Hannan
(Appointed 4 September 2023)
Financial instruments
The company's principal financial instruments comprises bank balances and other creditors. The main purpose of these instruments is to raise funds and to finance the company's operations.
Due to the nature of the financial instruments used by the company, there is no exposure to price risk. The company's approach to managing other risks applicable to the financial instruments is shown below.
In respect of bank balances, the liquidity risk is managed by maintaining a balance between the cash inflows and outflows.
The continued support of the directors reduces the liquidity risk.
Future developments
The company will continue to grow its client's base as well as on boarding new clients. Fund assets management are expected to grow through new and existing relations.
Auditor
The auditor, TC Group, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
RIVA CAPITAL (UK) LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 4 -
Statement of directors' responsibilities
The directors are responsible for preparing the annual 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 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 enable them to ensure that the financial statements comply with the Companies Act 2006. They 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.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
On behalf of the board
Mr R Almaleh
Director
5 February 2024
RIVA CAPITAL (UK) LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF RIVA CAPITAL (UK) LIMITED
- 5 -
Opinion
We have audited the financial statements of Riva Capital (UK) Limited (the 'company') for the year ended 31 July 2023 which comprise the statement of comprehensive income, the statement of financial position, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The 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 31 July 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.
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 Auditor's 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 UK, including the FRC’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.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are 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.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our 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.
RIVA CAPITAL (UK) LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBER OF RIVA CAPITAL (UK) LIMITED
- 6 -
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 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, 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.
Auditor's 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 auditor's 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. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Extent to which the audit was considered capable of detecting irregularities, including fraud
The objectives of our audit, in respect to fraud, are: to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and its management.
RIVA CAPITAL (UK) LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBER OF RIVA CAPITAL (UK) LIMITED
- 7 -
Our approach was as follows:
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with the directors and other management (as required by auditing standards), and discussed with the directors and other management the policies and procedures regarding compliance with laws and regulations;
We considered the legal and regulatory frameworks directly applicable to the financial statements reporting framework (FRS 102 and the Companies Act 2006) and the relevant tax compliance regulations in the UK;
We considered the nature of the industry, the control environment and business performance, including the key drivers for management’s remuneration;
We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit;
We considered the procedures and controls that the company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programmes and controls.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included: testing manual journals; reviewing the financial statement disclosures and testing to supporting documentation; performing analytical procedures; and enquiring of management, and were designed to provide reasonable assurance that the financial statements were free from fraud or error.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidance-for-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx. This description forms part of our auditor’s report.
This report is made solely to the company's member in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's member those matters we are required to state to the member in an auditor's 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 member, for our audit work, for this report, or for the opinions we have formed.
Robert Keen FCCA (Senior Statutory Auditor)
For and on behalf of TC Group
Statutory Auditor
21 February 2024
Office: London
RIVA CAPITAL (UK) LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 JULY 2023
- 8 -
2023
2022
Notes
£
£
Turnover
3
560,037
421,055
Administrative expenses
(502,970)
(357,548)
Other operating income
252
Operating profit
4
57,067
63,759
Interest receivable and similar income
8
92
6
Interest payable and similar expenses
(1,521)
(488)
Amounts written off investments
9
-
(9)
Profit before taxation
55,638
63,268
Tax on profit
10
(13,153)
(17,520)
Profit for the financial year
42,485
45,748
Other comprehensive income
-
-
Total comprehensive income for the year
42,485
45,748
The income statement has been prepared on the basis that all operations are continuing operations.
RIVA CAPITAL (UK) LIMITED
STATEMENT OF FINANCIAL POSITION
- 9 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
11
75,162
27,447
Current assets
Debtors
12
235,315
72,081
Cash at bank and in hand
145,284
226,501
380,599
298,582
Creditors: amounts falling due within one year
13
(153,250)
(162,055)
Net current assets
227,349
136,527
Total assets less current liabilities
302,511
163,974
Creditors: amounts falling due after more than one year
15
(100,000)
(14,217)
Provisions for liabilities
Deferred tax liability
16
10,952
683
(10,952)
(683)
Net assets
191,559
149,074
Capital and reserves
Called up share capital
18
50,000
50,000
Profit and loss reserves
141,559
99,074
Total equity
191,559
149,074
The financial statements were approved by the board of directors and authorised for issue on 5 February 2024 and are signed on its behalf by:
Mr R Almaleh
Director
Company Registration No. 08621518
RIVA CAPITAL (UK) LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JULY 2023
- 10 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 August 2021
50,000
53,326
103,326
Year ended 31 July 2022:
Profit and total comprehensive income for the year
-
45,748
45,748
Balance at 31 July 2022
50,000
99,074
149,074
Year ended 31 July 2023:
Profit and total comprehensive income for the year
-
42,485
42,485
Balance at 31 July 2023
50,000
141,559
191,559
RIVA CAPITAL (UK) LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 JULY 2023
- 11 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash (absorbed by)/generated from operations
22
(84,437)
137,655
Interest paid
(1,521)
(488)
Income taxes paid
(17,945)
(14,834)
Net cash (outflow)/inflow from operating activities
(103,903)
122,333
Investing activities
Purchase of tangible fixed assets
(59,406)
(25,895)
Proceeds from disposal of investments
(9)
Repayment of loans
9
Interest received
92
6
Net cash used in investing activities
(59,314)
(25,889)
Financing activities
Borrowings
100,000
Repayment of bank loans
(18,000)
(2,000)
Net cash generated from/(used in) financing activities
82,000
(2,000)
Net (decrease)/increase in cash and cash equivalents
(81,217)
94,444
Cash and cash equivalents at beginning of year
226,501
132,057
Cash and cash equivalents at end of year
145,284
226,501
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023
- 12 -
1
Accounting policies
Company information
Riva Capital (UK) Limited is a private company limited by shares incorporated in England and Wales. The registered office is 1 Albemarle Street, London, W1S 4HB.
The principal activity of the company is noted in the Director's Report.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover represents the amounts earned from the provision of services to external customers during the reporting period - the time of provision of services being the point at which the amount of the revenue can be measured reliably and when it is probable that the economic benefits will flow to the company. Turnover is stated at invoiced amounts less value added tax.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Leasehold improvements
Over 5 year period
Fixtures, fittings & equipment
25% straight line basis
Computer equipment
33.33% straight line basis
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.6
Cash at bank and in hand
Cash at bank and in hand are basic financial assets and include cash in hand and deposits held at call with banks.
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 13 -
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic 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 debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 14 -
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.12
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
1.13
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 15 -
1.14
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
In the opinion of the directors there are no significant judgements or areas of estimation uncertainty.
3
Turnover and other revenue
An analysis of the company's turnover is as follows:
2023
2022
£
£
Turnover analysed by class of business
Fees
560,037
421,055
2023
2022
£
£
Turnover analysed by geographical market
Rest of the world
560,037
421,055
2023
2022
£
£
Other revenue
Interest income
92
6
Grants received
-
252
4
Operating profit
2023
2022
Operating profit for the year is stated after charging/(crediting):
£
£
Government grants
-
(252)
Depreciation of owned tangible fixed assets
11,691
4,307
Operating lease charges
131,971
61,463
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 16 -
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
6,500
6,500
For other services
All other non-audit services
5,700
5,700
6
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Management (incl Directors)
4
4
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
248,977
200,793
Social security costs
26,674
21,415
Pension costs
956
1,129
276,607
223,337
7
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
104,615
130,000
8
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
1
Other interest income
92
5
Total income
92
6
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
8
Interest receivable and similar income
(Continued)
- 17 -
Investment income includes the following:
Interest on financial assets not measured at fair value through profit or loss
1
9
Amounts written off investments
2023
2022
£
£
Other gains and losses
-
(9)
10
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
2,884
17,945
Adjustments in respect of prior periods
5
Total current tax
2,884
17,950
Deferred tax
Origination and reversal of timing differences
10,269
(430)
Total tax charge
13,153
17,520
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit before taxation
55,638
63,268
Expected tax charge based on the standard rate of corporation tax in the UK of 19.00% (2022: 19.00%)
10,571
12,021
Tax effect of expenses that are not deductible in determining taxable profit
227
5,495
Under/(over) provided in prior years
5
Depreciation
2,221
818
Capital Allowances
(10,045)
(389)
Other
(90)
(430)
Deferred tax
10,269
Taxation charge for the year
13,153
17,520
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 18 -
11
Tangible fixed assets
Leasehold improvements
Fixtures, fittings & equipment
Computer equipment
Total
£
£
£
£
Cost
At 1 August 2022
23,850
16,872
9,651
50,373
Additions
15,341
44,065
59,406
At 31 July 2023
39,191
60,937
9,651
109,779
Depreciation and impairment
At 1 August 2022
14,202
8,724
22,926
Depreciation charged in the year
7,838
3,340
513
11,691
At 31 July 2023
7,838
17,542
9,237
34,617
Carrying amount
At 31 July 2023
31,353
43,395
414
75,162
At 31 July 2022
23,850
2,670
927
27,447
12
Debtors
2023
2022
Amounts falling due within one year:
£
£
Other debtors
71,706
72,081
Prepayments and accrued income
163,609
235,315
72,081
13
Creditors: amounts falling due within one year
2023
2022
Notes
£
£
Bank loans
14
3,783
Trade creditors
6
6
Corporation tax
2,884
17,945
Other taxation and social security
10,024
12,776
Other creditors
881
100,563
Accruals and deferred income
139,455
26,982
153,250
162,055
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 19 -
14
Loans and overdrafts
2023
2022
£
£
Bank loans
18,000
Loans from related parties
100,000
100,000
18,000
Payable within one year
3,783
Payable after one year
100,000
14,217
The bank loan relates to bounce back loan, over a period of 6 years, supported by the government. This was settled in full during the year.
15
Creditors: amounts falling due after more than one year
2023
2022
Notes
£
£
Bank loans and overdrafts
14
14,217
Other borrowings
14
100,000
100,000
14,217
16
Deferred taxation
Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:
Liabilities
Liabilities
2023
2022
Balances:
£
£
Accelerated Capital Allowances
10,952
683
2023
Movements in the year:
£
Liability at 1 August 2022
683
Charge to profit or loss
10,269
Liability at 31 July 2023
10,952
The deferred tax liability set out above is expected to reverse within 12 months and relates to accelerated capital allowances that are expected to mature within the same period.
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 20 -
17
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
956
1,129
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
18
Share capital
2023
2022
£
£
Ordinary share capital
Issued and fully paid
50,000 Ordinary shares of £1 each
50,000
50,000
19
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2023
2022
£
£
Within one year
119,510
107,559
Between two and five years
422,083
421,273
541,593
528,832
20
Related party transactions
The following amounts were outstanding at the reporting end date:
During the year, the company received a loan for an amount of £nil (2022: £100,000) from Riva Capital S.A, a company controlled by common director. The balance outstanding at the year end was £100,000 (2022: £100,000).
Riva Capital S.A. is a company registered in Switzerland.
21
Ultimate controlling party
The company is controlled by Roberto Almaleh, a director and shareholder of Riva Capital (UK) Limited.
RIVA CAPITAL (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 21 -
22
Cash (absorbed by)/generated from operations
2023
2022
£
£
Profit for the year after tax
42,485
45,748
Adjustments for:
Taxation charged
13,153
17,520
Finance costs
1,521
488
Investment income
(92)
(6)
Depreciation and impairment of tangible fixed assets
11,691
4,307
Amounts written off investments
-
9
Movements in working capital:
Increase in debtors
(163,234)
(63,745)
Increase in creditors
10,039
133,334
Cash (absorbed by)/generated from operations
(84,437)
137,655
23
Analysis of changes in net funds
1 August 2022
Cash flows
31 July 2023
£
£
£
Cash at bank and in hand
226,501
(81,217)
145,284
Borrowings excluding overdrafts
(18,000)
(82,000)
(100,000)
208,501
(163,217)
45,284
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