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Registration number: 12075967

Cornhill Bond Consulting Limited

Annual Report and Consolidated Financial Statements

for the Year Ended 30 June 2023

 

Cornhill Bond Consulting Limited

Contents

Company Information

1

Strategic Report

2 to 3

Directors' Report

4

Statement of Directors' Responsibilities

5

Independent Auditor's Report

6 to 10

Consolidated Profit and Loss Account

11

Consolidated Statement of Comprehensive Income

12

Consolidated Balance Sheet

13

Balance Sheet

14

Consolidated Statement of Changes in Equity

15 to 16

Statement of Changes in Equity

17

Consolidated Statement of Cash Flows

18

Notes to the Financial Statements

19 to 42

 

Cornhill Bond Consulting Limited

Company Information

Directors

P S Deacon

J Walmsley

J D Marsden

C M Mills

D Wilkins

D Nicol

Registered office

First Floor
46 Bow Lane
London
EC4M 9DL

Auditors

Cohen Arnold
New Burlington House
1075 Finchley Road
London
NW11 0PU

 

Cornhill Bond Consulting Limited

Strategic Report for the Year Ended 30 June 2023

The directors present their strategic report for the year ended 30 June 2023.

Principal activity

The principal activity of the group is legal recruitment

Review of the business

Cornhill Bond Consulting Limited is the holding company of a global group of legal recruitment companies (The Group), trading principally under the Marsden Group and Deacon Search names. The Group has offices in London, Sydney, Brisbane, Dubai, Toronto, New York, Los Angeles and San Francisco. The US offices were opened in the 2022/2023 financial year and the growing team has already been involved in significant deals working closely with our long-standing US client base who were strong supporters of the US launch. We have expanded our European team in the 2023/2024 financial year and are actively recruiting on behalf of clients in financial centres including Paris, Brussels, Madrid and Vienna.

The Group connects the brightest talent in the legal world with law firms and legal teams around the globe. Its recruitment and search expertise covers law firms, in-house teams, office launches, mergers and strategic partner and team hiring.

In February 2023 a controlling interest of the issued Ordinary and Preference Share Capital of Cornhill Bond Consulting Limited was acquired by the Cornhill Bond Employee Ownership Trust (“the Trust”) with all eligible employees becoming beneficiaries of the Trust. The Board determined that this was the best way to future-proof the business, to plan for succession and to preserve our culture. Reaction from the employees to the transfer to employee ownership has been universally positive.

 

Financial review

Gross Profit and operating profit margin before tax are the main key performance indicators used by The Group’s management. Gross Profit for 2023 was £16.7million which represented a 1.8% increase on the preceding year (2022 - £16.4m). Operating profit before tax was £4.3 million (2022 - £6.8m), a profit margin of 25.9% (2022 - 41.5%), calculated as a percentage of the net placement profit.

One-off costs in relation to the sale of shares to the Trust contributed to the reduction in operating profit but the main cause was our investment in people. The number of employees in the Group increased from 58 in 2021/2022 to 74 in 2022/2023.

Growth in turnover was negligible due to law firms slowing down associate recruitment which has adversely impacted our teams which recruit at this level. There is also a significant lag between introducing new recruits to the business and fee revenue kicking in.

Cash balances at 30 June 2023 were healthy at £5.4m (2022 - £4.1m) and net current assets were £3.8m (2022 - £4.5m).
 

 

Cornhill Bond Consulting Limited

Strategic Report for the Year Ended 30 June 2023

Principal risks and uncertainties

The Group’s principal risks are uncertainty in the global economy, cash flow and employee retention. These risks are kept under regular review by the Board with appropriate measures used to monitor and mitigate them.

The business is well hedged against wider global economy concerns. Whilst law firms tend to recruit fewer junior lawyers when markets are down, the partner recruitment market, a significant part of our business, is in many ways counter-cyclical. As law firms struggle to grow their market share, they look to hire partners and teams from competitors. As significant players in this senior lateral market, we benefit.

Cash balances are monitored closely across the Group. Bad debts have always been minimal and maintaining good client relationships, along with prompt invoicing and follow up, ensures that this remains the case.

Employee retention is a risk factor, but we continue to enjoy excellent staff retention and the transition to employee ownership has been extremely well received. We have continued to invest in better benefits, staff welfare and coaching and are working on developing a leadership and contribution bonus for key employees.

Approved and authorised by the Board on 7 March 2024 and signed on its behalf by:
 

.........................................
P S Deacon
Director

.........................................
J D Marsden
Director

 

Cornhill Bond Consulting Limited

Directors' Report for the Year Ended 30 June 2023

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

Directors of the group

The directors who held office during the year were as follows:

P S Deacon

J Walmsley

J D Marsden

C M Mills

D Wilkins

The following director was appointed after the year end:

D Nicol (appointed 15 July 2023)

Dividends

During the year dividends amounting to £ nil (2022 - £4,397,593) were paid out on the Ordinary share capital of the Group and £27,577 (2022 - £37,174) was paid out on the Preference share capital of the Group.

Information included in the Strategic Report

The Group has offices across the world and these are disclosed in the Strategic Report on pages 2 to 3.

That strategic report also includes any post balance sheet events for the Group.

Disclosure of information to the auditor

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.

Reappointment of auditors

The auditors Cohen Arnold are deemed to be reappointed under section 487(2) of the Companies Act 2006.

Approved and authorised by the Board on 7 March 2024 and signed on its behalf by:
 

.........................................
P S Deacon
Director

.........................................
J D Marsden
Director

 

Cornhill Bond Consulting Limited

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities 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 group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and 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; and

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 group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

 

Cornhill Bond Consulting Limited

Independent Auditor's Report to the Members of Cornhill Bond Consulting Limited

Opinion

We have audited the financial statements of Cornhill Bond Consulting Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 June 2023, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, and Notes to the Financial Statements, including a summary of 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 group's and the parent company's affairs as at 30 June 2023 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 auditor 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 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 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 ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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.

 

Cornhill Bond Consulting Limited

Independent Auditor's Report to the Members of Cornhill Bond Consulting Limited

Other information

The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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 Group and Parent Company 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 Group and Parent Company 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 matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and 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 our 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 and the Directors' Report.

We have nothing to report in respect of the following matters where 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 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 Statement of Directors' Responsibilities [set out on page 5], 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.

 

Cornhill Bond Consulting Limited

Independent Auditor's Report to the Members of Cornhill Bond Consulting Limited

Auditor 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. 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:

We obtained an understanding of the legal and regulatory framework applicable to the Group and Parent Company and the industry in which it operates through discussion with the directors and senior management and determined the most relevant to the presentation of the financial statements are those that relate to the financial reporting legislation (UK GAAP and the Companies Act 2006), the relevant tax regulations, the, the UK General Data Protection Regulation (GDPR) and Health & Safety Regulations. We communicated these identified frameworks amongst our audit team and remained alert to any indications of non-compliance throughout the audit. We ensured that the engagement team had sufficient competence and capability to identify or recognise non-compliance with laws and regulations.

We discussed with the directors and senior management the policies and procedures regarding compliance with these legal and regulatory frameworks.

We assessed the susceptibility of the Group and Parent Company's financial statements to material misstatement, including how fraud might occur, by reviewing the Group and Parent Company's identified risks and enquiry with the directors and senior management during the planning and finalisation phases of our audit. The susceptibility to such material misstatement was determined to be low.

Based on this understanding we designed our audit procedures to identify non-compliance with the identified legal and regulatory frameworks, which were part of our procedures on the related financial statement items. Our procedures included reviewing the Group and Parent Company’s internal controls policies and procedures, reviewing the minutes of board meetings and correspondence with regulatory bodies including HMRC, testing transactions outside the normal course of the business and journal entries, and discussions with the directors and senior management.

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. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

 

Cornhill Bond Consulting Limited

Independent Auditor's Report to the Members of Cornhill Bond Consulting Limited

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group’s internal control.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.

Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the group’s or the parent company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the group or the parent company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. The auditor is responsible for the direction, supervision and performance of the group audit. The auditor remains solely responsible for the auditor's opinion.

 

Cornhill Bond Consulting Limited

Independent Auditor's Report to the Members of Cornhill Bond Consulting Limited

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 2006. Our 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 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 members as a body, for our audit work, for this report, or for the opinions we have formed.

......................................
Keith Sussman FCA (Senior Statutory Auditor)
For and on behalf of Cohen Arnold, Statutory Auditor

New Burlington House
1075 Finchley Road
London
NW11 0PU

Our audit was completed on 7 March 2024 and our opinion was expressed at that date.

 

Cornhill Bond Consulting Limited

Consolidated Profit and Loss Account for the Year Ended 30 June 2023

Note

2023
£

2022
£

Turnover

3

17,066,738

16,843,337

Cost of sales

 

(355,075)

(476,100)

Gross profit

 

16,711,663

16,367,237

Administrative expenses

 

(12,384,532)

(9,568,479)

Operating profit

4

4,327,131

6,798,758

Other interest receivable and similar income

5

77,344

930

Interest payable and similar expenses

6

(89,527)

(33,336)

   

(12,183)

(32,406)

Profit before tax

 

4,314,948

6,766,352

Tax on profit

10

(919,270)

(1,491,282)

Profit for the financial year

 

3,395,678

5,275,070

Profit/(loss) attributable to:

 

Owners of the company

 

3,388,715

4,940,462

Minority interests

 

6,963

334,608

 

3,395,678

5,275,070

 

Cornhill Bond Consulting Limited

Consolidated Statement of Comprehensive Income for the Year Ended 30 June 2023

2023
£

2022
£

Profit for the year

3,395,678

5,275,070

Foreign exchange gains on minority interests

(6,491)

16,203

Total comprehensive income for the year

3,389,187

5,291,273

Total comprehensive income attributable to:

Owners of the company

3,382,224

4,956,665

Minority interests

6,963

334,608

3,389,187

5,291,273

 

Cornhill Bond Consulting Limited

(Registration number: 12075967)
Consolidated Balance Sheet as at 30 June 2023

Note

2023
£

2022
£

Fixed assets

 

Tangible assets

11

126,203

131,397

Current assets

 

Debtors

13

2,440,884

4,088,719

Cash at bank and in hand

 

5,390,021

4,097,685

 

7,830,905

8,186,404

Creditors: Amounts falling due within one year

15

(4,042,770)

(3,706,555)

Net current assets

 

3,788,135

4,479,849

Total assets less current liabilities

 

3,914,338

4,611,246

Creditors: Amounts falling due after more than one year

15

(301,648)

-

Provisions for liabilities

16

(21,147)

(17,073)

Net assets

 

3,591,543

4,594,173

Capital and reserves

 

Called up share capital

18

103,739

102,239

Share premium reserve

1,029

-

Other reserves

(1,029,787)

(1,029,787)

Retained earnings

4,516,090

5,514,133

Equity attributable to owners of the company

 

3,591,071

4,586,585

minority interests

 

472

7,588

Shareholders' funds

 

3,591,543

4,594,173

Approved and authorised by the Board on 7 March 2024 and signed on its behalf by:
 

.........................................
P S Deacon
Director

.........................................
J D Marsden
Director

 

Cornhill Bond Consulting Limited

(Registration number: 12075967)
Balance Sheet as at 30 June 2023

Note

2023
£

2022
£

Fixed assets

 

Tangible assets

11

103,824

117,493

Investments

12

1,096,182

1,030,113

 

1,200,006

1,147,606

Current assets

 

Debtors

13

1,271,775

350,731

Cash at bank and in hand

 

33,583

47,145

 

1,305,358

397,876

Creditors: Amounts falling due within one year

15

(1,946,244)

(1,399,735)

Net current liabilities

 

(640,886)

(1,001,859)

Total assets less current liabilities

 

559,120

145,747

Provisions for liabilities

16

(16,414)

(14,833)

Net assets

 

542,706

130,914

Capital and reserves

 

Called up share capital

18

103,739

102,239

Share premium reserve

1,029

-

Retained earnings

437,938

28,675

Shareholders' funds

 

542,706

130,914

The company made a profit after tax for the financial year of £4,120,907 (2022 - profit of £3,534,214).

The company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own profit and loss account in these financial statements.

Approved and authorised by the Board on 7 March 2024 and signed on its behalf by:
 

.........................................
P S Deacon
Director

.........................................
J D Marsden
Director

 
     
 

Cornhill Bond Consulting Limited

Consolidated Statement of Changes in Equity for the Year Ended 30 June 2023
Equity attributable to the parent company

Share capital
£

Share premium
£

Merger reserve
£

Retained earnings
£

Total
£

Non- controlling interests
£

Total equity
£

At 1 July 2022

102,239

-

(1,029,787)

5,514,133

4,586,585

7,588

4,594,173

Profit for the year

-

-

-

3,388,715

3,388,715

6,963

3,395,678

Other comprehensive income

-

-

-

-

-

(6,491)

(6,491)

Total comprehensive income

-

-

-

3,388,715

3,388,715

472

3,389,187

Dividends

-

-

-

(27,577)

(27,577)

-

(27,577)

New share capital subscribed

1,500

1,029

-

-

2,529

-

2,529

Contributions to Cornhill Bond Consulting Group Employee Ownership Trust

-

-

-

(3,684,067)

(3,684,067)

-

(3,684,067)

Pre-acquisition reserves on consolidation

-

-

-

(675,114)

(675,114)

-

(675,114)

Increase in ownership interests in subsidiaries

-

-

-

-

-

(7,588)

(7,588)

At 30 June 2023

103,739

1,029

(1,029,787)

4,516,090

3,591,071

472

3,591,543

 

Cornhill Bond Consulting Limited

Consolidated Statement of Changes in Equity for the Year Ended 30 June 2023
Equity attributable to the parent company

Share capital
£

Merger reserve
£

Retained earnings
£

Total
£

Non- controlling interests
£

Total equity
£

At 1 July 2021

94,640

(920,032)

4,590,845

3,765,453

74,370

3,839,823

Profit for the year

-

-

4,940,462

4,940,462

334,608

5,275,070

Other comprehensive income

-

-

-

-

16,203

16,203

Total comprehensive income

-

-

4,940,462

4,940,462

350,811

5,291,273

Dividends

-

-

(4,017,174)

(4,017,174)

(417,593)

(4,434,767)

New share capital subscribed

7,500

-

-

7,500

-

7,500

Other share capital movements

99

-

-

99

-

99

Merger adjustment, decrease in equity

-

(109,755)

-

(109,755)

-

(109,755)

At 30 June 2022

102,239

(1,029,787)

5,514,133

4,586,585

7,588

4,594,173

 

Cornhill Bond Consulting Limited

Statement of Changes in Equity for the Year Ended 30 June 2023

Share capital
£

Share premium
£

Retained earnings
£

Total
£

At 1 July 2022

102,239

-

28,675

130,914

Profit for the year

-

-

4,120,907

4,120,907

Dividends

-

-

(27,577)

(27,577)

New share capital subscribed

1,500

1,029

-

2,529

Contributions to Cornhill Bond Consulting Group Employee Ownership Trust

-

-

(3,684,067)

(3,684,067)

At 30 June 2023

103,739

1,029

437,938

542,706

Share capital
£

Retained earnings
£

Total
£

At 1 July 2021

94,640

511,636

606,276

Profit for the year

-

3,534,214

3,534,214

Dividends

-

(4,017,175)

(4,017,175)

New share capital subscribed

7,500

-

7,500

Other share capital movements

99

-

99

At 30 June 2022

102,239

28,675

130,914

The Company has adopted merger accounting and taken relief from the creation of a share premium account on the issue of the shares as set out in s612 of the Companies Act 2006.

 

Cornhill Bond Consulting Limited

Consolidated Statement of Cash Flows for the Year Ended 30 June 2023

Note

2023
£

2022
£

Cash flows from operating activities

Profit for the year

 

3,395,678

5,275,070

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

4

27,990

24,639

Finance income

5

(77,344)

(930)

Finance costs

6

1,023

539

Income tax expense

10

919,270

1,491,282

Foreign exchange gains/losses

 

(6,491)

16,203

 

4,260,126

6,806,803

Working capital adjustments

 

Decrease/(increase) in trade debtors

13

1,647,846

(1,928,598)

Increase in trade creditors

15

425,564

1,486,596

Cash generated from operations

 

6,333,536

6,364,801

Income taxes paid

10

(1,046,426)

(1,653,179)

Net cash flow from operating activities

 

5,287,110

4,711,622

Cash flows from investing activities

 

Interest received

77,344

930

Acquisitions of tangible assets

(22,799)

(14,722)

Proceeds from sale of tangible assets

 

1

-

Cost of acquiring subsidiary undertakings

 

(682,702)

(109,754)

Minor cashflow movements not shown elsewhere

 

2

(4)

Net cash flows from investing activities

 

(628,154)

(123,550)

Cash flows from financing activities

 

Interest paid

6

(1,023)

(539)

Proceeds from issue of ordinary shares, net of issue costs

 

2,529

7,500

Contributions to Cornhill Bond Consulting Group Employee Ownership Trust

 

(3,684,067)

-

Movement on long term borrowing

 

343,518

-

Proceeds from issue of preference shares, net of issue costs

 

-

99

Dividends paid

(27,577)

(4,434,767)

Net cash flows from financing activities

 

(3,366,620)

(4,427,707)

Net increase in cash and cash equivalents

 

1,292,336

160,365

Cash and cash equivalents at 1 July

 

4,097,685

3,937,320

Cash and cash equivalents at 30 June

 

5,390,021

4,097,685

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

1

General information

The company is a private company limited by share capital, incorporated in England & Wales.

The address of its registered office is:
First Floor
46 Bow Lane
London
EC4M 9DL

These financial statements were authorised for issue by the Board on 7 March 2024.

2

Accounting policies

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

2 Accounting policies (cont'd)

Basis of consolidation

The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 30 June 2023.

A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.

The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.

Merger accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured at cost of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured at cost at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
 

Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.

Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.

Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
 

The Company has adopted the following disclosure exemptions permitted by FRS 102 Sections 1.12 (b) and (e): the requirement to present a statement of cash flows; and the requirement to disclose key management personnel compensation in total.

Merger accounting

The Company was established from a merger of two businesses through a share for share transfer, and obtained over 90% of the holding in the merged businesses. Under the provisions of section 612 of the Companies Act 2006 the Company has taken relief from the creation of a share premium account on the issue of the shares.

The adoption of this policy has retrospectively been applied as if it was always in place and the comparatives have been restated accordingly.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

2 Accounting policies (cont'd)

Key sources of estimation uncertainty

When applying the Company's and Group's accounting policies, management must make a number of key judgements involving estimates and assumptions concerning the future. These estimates and judgements are based on factors considered to be relevant, including historical experience that may differ significantly from the actual outcome. As at the balance sheet date there were no judgements or estimations made in these financial statements that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group.

The group recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the group's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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 group operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

2 Accounting policies (cont'd)

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Fixtures and fittings

15% on cost

Leasehold improvements

in accordance with the lease

Computer equipment

straight line over 3 years

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.


Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Dividends

Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

2 Accounting policies (cont'd)

Financial instruments

Classification
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. 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 instruments

Trade and other debtors are recognised initially at transaction price plus attributable transaction costs. Subsequent to initial recognition, trade and other debtors that are classified as receivable within one year are measured at the non-discounted amount of the cash or other consideration expected to be received net of impairment.

Trade and other creditors are recognised initially at transaction price less attributable transaction costs. Subsequent to initial recognition trade and other creditors that are classified as payable within one year are measured at the non-discounted amount of the cash or other consideration expected to be paid.

All of the company assets and liabilities are shown at amortised cost.
 

3

Turnover

The analysis of the group's turnover for the year from continuing operations is as follows:

2023
£

2022
£

Legal recruitment

17,066,738

16,843,337

No disclosures have been provided of turnover by class of business or geographical market as, in the opinion of the directors, such disclosures could be seriously prejudicial to the Group's interests.

4

Operating profit

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

27,990

24,639

5

Other interest receivable and similar income

2023
£

2022
£

Interest income on bank deposits

999

622

Other finance income

76,345

308

77,344

930

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

6

Interest payable and similar expenses

2023
£

2022
£

Interest on bank overdrafts and borrowings

1

539

Interest expense on other finance liabilities

1,022

-

Foreign exchange gains

88,504

32,797

89,527

33,336

7

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2023
£

2022
£

Wages and salaries

8,633,189

7,084,249

Social security costs

925,970

745,461

Other short-term employee benefits

138,220

70,687

Pension costs, defined contribution scheme

244,284

225,487

Other employee expense

54,839

79,843

9,996,502

8,205,727

The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:

2023
No.

2022
No.

Administration and support

10

10

Sales

64

48

74

58

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

8

Directors' remuneration

The directors' remuneration for the year was as follows:

2023
£

2022
£

Remuneration

999,296

747,824

Contributions paid to money purchase schemes

-

50,888

999,296

798,712

During the year the number of directors who were receiving benefits and share incentives was as follows:

2023
No.

2022
No.

Accruing benefits under money purchase pension scheme

-

2

In respect of the highest paid director:

2023
£

2022
£

Remuneration

206,180

155,506

Company contributions to money purchase pension schemes

-

37,500

9

Auditors' remuneration

2023
£

2022
£

Audit of these financial statements

41,000

35,000


 

The audit fee charged to the company includes the audit fees in relation to all UK subsidiary undertakings.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

10

Taxation

Tax charged/(credited) in the consolidated profit and loss account

2023
£

2022
£

Current taxation

UK corporation tax

915,196

1,474,566

Deferred taxation

Arising from origination and reversal of timing differences

4,074

16,716

Tax expense in the income statement

919,270

1,491,282

The tax on profit before tax for the year is lower than the standard rate of corporation tax in the UK (2022 - higher than the standard rate of corporation tax in the UK) of 19.74% (2022 - 21.63%).

The differences are reconciled below:

2023
£

2022
£

Profit before tax

4,314,948

6,766,352

Corporation tax at standard rate

851,965

1,463,562

Effect of expense not deductible in determining taxable profit (tax loss)

62,189

(8,822)

Effect of foreign tax rates

(15,137)

40,808

Tax increase/(decrease) from effect of capital allowances and depreciation

5,113

(2,167)

Tax increase/(decrease) from other short-term timing differences

15,140

(16,716)

Tax increase from effect of unrelieved loss on foreign subsidiaries

-

14,617

Total tax charge

919,270

1,491,282

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

10 Taxation (cont'd)

Deferred tax

Group

Deferred tax assets and liabilities

2023

Asset
£

Liability
£

Accelerated capital allowances

-

21,147

-

21,147

2022

Asset
£

Liability
£

Accelerated capital allowances

-

17,073

-

17,073

Company

Deferred tax assets and liabilities

2023

Asset
£

Liability
£

Accelerated capital allowances

-

16,414

-

16,414

2022

Asset
£

Liability
£

Accelerated capital allowances

-

14,833

-

14,833

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

11

Tangible assets

Group

Land and buildings
£

Furniture, fittings and equipment
 £

Total
£

Cost or valuation

At 1 July 2022

132,856

197,864

330,720

Additions

-

22,799

22,799

Disposals

-

(2,891)

(2,891)

At 30 June 2023

132,856

217,772

350,628

Depreciation

At 1 July 2022

33,050

166,274

199,324

Charge for the year

13,286

14,705

27,991

Eliminated on disposal

-

(2,890)

(2,890)

At 30 June 2023

46,336

178,089

224,425

Carrying amount

At 30 June 2023

86,520

39,683

126,203

At 30 June 2022

99,806

31,591

131,397

Included within the net book value of land and buildings above is £86,520 (2022 - £99,806) in respect of short leasehold land and buildings.
 

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

11 Tangible assets (cont'd)

Company

Land and buildings
£

Furniture, fittings and equipment
 £

Total
£

Cost or valuation

At 1 July 2022

132,856

26,096

158,952

Additions

-

3,691

3,691

At 30 June 2023

132,856

29,787

162,643

Depreciation

At 1 July 2022

33,050

8,410

41,460

Charge for the year

13,286

4,073

17,359

At 30 June 2023

46,336

12,483

58,819

Carrying amount

At 30 June 2023

86,520

17,304

103,824

At 30 June 2022

99,806

17,687

117,493

Included within the net book value of land and buildings above is £86,520 (2022 - £99,806) in respect of short leasehold land and buildings.
 

12

Investments

Group

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the group holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2023

2022

Subsidiary undertakings

Marsden Holdco Ltd*

35A Hazlemere Road
Penn
Buckinghamshire
HP10 8AD

Ordinary

100%

100%

 

England & Wales

     

Deacon Search Ltd*

First Floor
46 Bow Lane
London
EC4M 9DL

Ordinary

100%

100%

 

England & Wales

     
 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

Marsden Legal Search LLC*

1313 N. Market St.
Suite 5100
Wilmington, 19801

Ordinary

88.89%

100%

 

USA

     

Marsden International Legal Search Ltd

35A Hazlemere Road
Penn
Buckinghamshire
HP10 8AD

Ordinary

100%

100%

 

England & Wales

     

Marsden International Ltd

141 Adelaide St W - Suite 360
M5H 3L5
Toronto
Ontario

Ordinary

100%

100%

 

Canada

     

Cornhill Bond Pty Ltd

Level 6
14 Martin Place
Sydney
NSW 2000

Ordinary

100%

85%

 

Australia

     

Marsden International FZ-LLC

D Quarters, Building 5
Dubai Media City
Dubai
PO 502221

Ordinary

100%

100%

 

United Arab Emirates

     

Macarthur Bond Pty Ltd

Level 6
14 Martin Place
Sydney NSW 2000

Ordinary

100%

100%

 

Australia

     

MBS Recruitment Pty Ltd

Level 6
14 Martin Place
Sydney
NSW 2000

Ordinary

100%

100%

 

Australia

     

Marsden International Pty Ltd

Level 6
14 Martin Place
Sydney
NSW 2000

Ordinary

100%

100%

 

Australia

     

Deacon Search Pty Ltd

Level 6
14 Martin Place
Sydney
NSW 2000

Ordinary

100%

100%

 

Australia

     

* indicates direct investment of the company

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

12 Investments (cont'd)

Group

Subsidiary undertakings

Marsden Holdco Ltd

The principal activity of Marsden Holdco Ltd is holding company

Deacon Search Ltd

The principal activity of Deacon Search Ltd is legal recruitment

Marsden Legal Search LLC

The principal activity of Marsden Legal Search LLC is legal recruitment

Marsden International Legal Search Ltd

The principal activity of Marsden International Legal Search Ltd is legal recruitment

Marsden International Ltd

The principal activity of Marsden International Ltd is providing worldwide admin services for the group

Cornhill Bond Pty Ltd

The principal activity of Cornhill Bond Pty Ltd is legal recruitment

Marsden International FZ-LLC

The principal activity of Marsden International FZ-LLC is legal recruitment

Macarthur Bond Pty Ltd

The principal activity of Macarthur Bond Pty Ltd is legal recruitment

MBS Recruitment Pty Ltd

The principal activity of MBS Recruitment Pty Ltd is legal recruitment

Marsden International Pty Ltd

The principal activity of Marsden International Pty Ltd is legal recruitment

Deacon Search Pty Ltd

The principal activity of Deacon Search Pty Ltd is legal recruitment

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

12 Investments (cont'd)

Company

2023
£

2022
£

Investments in subsidiaries

1,096,182

1,030,113

Subsidiaries

£

Cost or valuation

At 1 July 2022

1,030,113

Additions

66,069

At 30 June 2023

1,096,182

Provision

Carrying amount

At 30 June 2023

1,096,182

At 30 June 2022

1,030,113

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2023

2022

Subsidiary undertakings

Marsden Holdco Ltd

35A Hazlemere Road
Penn
Buckinghamshire
HP10 8AD

England & Wales

Ordinary

100%

100%

Deacon Search Ltd

First Floor
46 Bow Lane
London
EC4M 9DL

England & Wales

Ordinary

100%

100%

Marsden Legal Search LLC

1313 N. Market St.
Suite 5100
Wilmington, 19801

USA

Ordinary

88.89%

100%

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

Subsidiary undertakings

Marsden Holdco Ltd

The principal activity of Marsden Holdco Ltd is to act as an intermediate holding company.

Deacon Search Ltd

The principal activity of Deacon Search Ltd is legal recruitment.

Marsden Legal Search LLC

The principal activity of Marsden Legal Search LLC is legal recruitment.

13

Debtors

   

Group

Company

Current

Note

2023
£

2022
£

2023
£

2022
£

Trade debtors

 

1,993,967

3,583,237

-

-

Amounts owed by related parties

23

-

-

1,104,032

51,614

Other debtors

 

81,887

165,926

55,248

79,672

Prepayments

 

361,263

217,750

108,728

115,689

Accrued income

 

-

118,050

-

100,000

Income tax asset

10

3,767

3,756

3,767

3,756

   

2,440,884

4,088,719

1,271,775

350,731

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

14

Cash and cash equivalents

 

Group

Company

2023
£

2022
£

2023
£

2022
£

Cash on hand

259

282

-

-

Cash at bank

5,374,490

4,082,247

33,583

47,145

Short-term deposits

15,272

15,156

-

-

5,390,021

4,097,685

33,583

47,145

15

Creditors

   

Group

Company

Note

2023
£

2022
£

2023
£

2022
£

Due within one year

 

Loans and borrowings

19

41,870

-

-

-

Trade creditors

 

134,015

162,829

40,842

64,069

Amounts due to related parties

23

21,515

23,027

1,853,473

1,213,350

Social security and other taxes

 

1,185,948

1,114,091

-

-

Other payables

 

319,746

319,816

-

15,000

Accruals

 

2,055,775

1,671,672

51,929

106,485

Income tax liability

10

283,901

415,120

-

831

 

4,042,770

3,706,555

1,946,244

1,399,735

Due after one year

 

Loans and borrowings

19

301,648

-

-

-

Included in Group Other Payables is the amount of £6,662 (2022 - £9,629) which is secured by a fixed and floating charge over the assets of that group company.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

16

Provisions for liabilities

Group

Deferred tax
£

Total
£

At 1 July 2022

17,073

17,073

Additional provisions

4,074

4,074

At 30 June 2023

21,147

21,147

Company

Deferred tax
£

Total
£

At 1 July 2022

14,833

14,833

Additional provisions

1,581

1,581

At 30 June 2023

16,414

16,414

17

Pension and other schemes

Defined contribution pension scheme

The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £244,284 (2022 - £225,487).

18

Share capital

Allotted, called up and fully paid shares

 

2023

2022

 

No.

£

No.

£

Ordinary of £1 each

102,500

102,500

101,000

101,000

Preference of £0.0001 each

12,391,547

1,239

12,391,547

1,239

 

12,494,047

103,739

12,492,547

102,239

New shares allotted

During the year 1,500 Ordinary having an aggregate nominal value of £1,500 were allotted for an aggregate consideration of £1,500.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

19

Loans and borrowings

 

Group

Company

2023
£

2022
£

2023
£

2022
£

Non-current loans and borrowings

Other borrowings

301,648

-

-

-

 

Group

Company

2023
£

2022
£

2023
£

2022
£

Current loans and borrowings

Other borrowings

41,870

-

-

-

Group

Other borrowings

Loans from employees of a subsidiary is denominated in Australian dollars with a nominal interest rate of 5.25%, and the final instalment is due on 21 February 2030. The carrying amount at year end is £343,519 (2022 - £Nil).

The interest-free loans were made by employees of a subsidiary company are repayable in equal instalments over 7 years from February 2023. The initial loans are both Australian $600,000 with a one-off repayment of $200,000 on each loan made during the year. The remaining $800,000 has been amortised over the 7 years at the effective rate.

Included in the loans and borrowings are the following amounts due after more than five years:

2023
£

2022
£

After more than five years by instalments

110,996

-

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

20

Obligations under leases and hire purchase contracts

Group

Operating leases

The total of future minimum lease payments is as follows:

2023
£

2022
£

Not later than one year

360,529

342,989

Later than one year and not later than five years

371,371

728,884

731,900

1,071,873

The amount of non-cancellable operating lease payments recognised as an expense during the year was £355,697 (2022 - £323,004).

Company

Operating leases

The total of future minimum lease payments is as follows:

2023
£

2022
£

Not later than one year

200,000

200,000

Later than one year and not later than five years

125,616

325,164

325,616

525,164

The amount of non-cancellable operating lease payments recognised as an expense during the year was £200,000 (2022 - £200,000).

21

Dividends

   

2023

 

2022

   

£

 

£

Interim dividend of £Nil (2022 - £44.1969) per ordinary share

 

-

 

4,397,593

         
 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

22

Commitments

Company

Other financial commitments

On 28 February 2023, 77.2% of the company's issued share capital was acquired by an employee ownership trust know as the Cornhill Bond Consulting Group Employee Ownership Trust ("the Trust"). The purchase price comprised a completion payment and deferred consideration, together with put and call options to purchase the remaining shareholdings over a 10 year period. The company intends to make gifts out of its profits to the Trust from time to time to enable it to pay such consideration.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

23

Related party transactions

Group

Transactions with directors

2023

At 1 July 2022
£

Repayments by director
£

At 30 June 2023
£

D Wilkins

Interest free loan, repayable on demand

9,000

(9,000)

-

       
     

C M Mills

Interest-free loan, repayable on demand

2,500

(2,500)

-

       
     

 

2022

At 1 July 2021
£

Advances to director
£

At 30 June 2022
£

D Wilkins

Interest free loan, repayable on demand

9,000

-

9,000

       
     

C M Mills

Interest-free loan, repayable on demand

-

2,500

2,500

       
     

 

On 28 October 2019, the company granted an option to a director of the company, who is also an employee of a subsidiary, to acquire up to 12,000 ordinary shares for a cash consideration of £12,000, and 9000 shares were issued. On 28 February 2023 a further 2710 shares were issued. Later that day the Employee Ownership Trust was established, at which time the option lapsed.

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

23 Related party transactions (cont'd)

Summary of transactions with all subsidiaries

Subsidiary companies
 Management charges, share of placement fees and recharges of overheads
 

Income and receivables from related parties

2023

Subsidiary
£

Receipt of services

3,499,882

2022

Subsidiary
£

Receipt of services

1,143,044

Expenditure with and payables to related parties

2023

Subsidiary
£

Rendering of services

3,499,882

2022

Subsidiary
£

Rendering of services

458,913

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

23 Related party transactions (cont'd)

Company

Transactions with directors

2023

At 1 July 2022
£

Repayments by director
£

At 30 June 2023
£

D Wilkins

Interest-free loan, repayable on demand

9,000

(9,000)

-

-

-

-

 

9,000

(9,000)

-

     

C M Mills

Interest-free loan, repayable on demand

2,500

(2,500)

-

-

-

-

 

2,500

(2,500)

-

     

 

2022

At 1 July 2021
£

Advances to director
£

At 30 June 2022
£

D Wilkins

Interest-free loan, repayable on demand

9,000

-

9,000

 

9,000

-

9,000

     

C M Mills

Interest-free loan, repayable on demand

-

2,500

2,500

 

-

2,500

2,500

     

 

Summary of transactions with all subsidiaries

Management fees chargeable
 

Income and receivables from related parties

2023

Subsidiary
£

Receipt of services

328,420

2022

Subsidiary
£

Receipt of services

318,615

 

Cornhill Bond Consulting Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

23 Related party transactions (cont'd)

Loans to related parties

2023

Subsidiary
£

Total
£

At start of period

51,614

51,614

Advanced

1,853,907

1,853,907

Repaid

(801,490)

(801,490)

At end of period

1,104,031

1,104,031

2022

Subsidiary
£

Total
£

Advanced

51,614

51,614

At end of period

51,614

51,614

Loans from related parties

2023

Subsidiary
£

Total
£

At start of period

1,213,349

1,213,349

Advanced

1,713,418

1,713,418

Repaid

(1,073,296)

(1,073,296)

At end of period

1,853,471

1,853,471

2022

Subsidiary
£

Total
£

At start of period

409,460

409,460

Advanced

4,786,550

4,786,550

Repaid

(3,982,661)

(3,982,661)

At end of period

1,213,349

1,213,349