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Cloud Umbrella Limited

Registered number: 11762529
Annual report and
 financial statements
For the year ended 30 June 2023

 
CLOUD UMBRELLA LIMITED
 
 
COMPANY INFORMATION


Directors
M Grady 
S Grady 
N Holmes 
S Holmes 




Registered number
11762529



Registered office
Bollin House
Bollin Walk

Wilmslow

Cheshire

SK9 1DP




Independent auditor
Mazars LLP
Chartered Accountants & Statutory Auditor

One St. Peter's Square

Manchester

M2 3DE





 
CLOUD UMBRELLA LIMITED
 

CONTENTS



Page
Group Strategic Report
 
1 - 3
Directors' Report
 
4 - 6
Independent Auditor's Report to the members of Cloud Umbrella Limited
 
7 - 10
Consolidated Statement of Comprehensive Income
 
11
Consolidated Statement of Financial Position
 
12
Company Statement of Financial Position
 
13
Consolidated Statement of Changes in Equity
 
14
Company Statement of Changes in Equity
 
15
Consolidated Statement of Cash Flows
 
16 - 17
Notes to the Financial Statements
 
18 - 37


 
CLOUD UMBRELLA LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2023

Introduction
 
The directors present their Group Strategic Report for the year ended 30 June 2023.

Business review
 
The Group continued its principal activities which is the supply of its employees' consultancy services. 
The directors are satisfied that the Group has generated trading profits in line with expectation.

Principal risks and uncertainties
 
The principal risks to the business are changes in tax legislation and credit risk. The Group stays abreast of any such changes and is dynamic in its response to facilitate any necessary changes. The Group actively makes representation at trade associations and is a member of the leading trade and compliance bodies. The Group performs credit checks on all larger customers and terms of business are set accordingly, to reduce credit risk.  The Group arranges insurance cover for larger customers where credit facilities are required. 

Financial key performance indicators
 
The Group's key financial and other performance indicators during the period were as follows: 
 
                                                               30 June 2023                30 June 2022                               
                                                                                                                                                  
Turnover                                                  £466,038,765                £402,134,642                                 
Gross Margin                                                 1.15%                            1.46%                   
Results and performance
Turnover has increased by 16% over the corresponding year albeit gross margin has dropped due to the competitive market and a significant increase in inflation. The introduction of changes to IR35 legislation in April 2021 is a significant factor in the turnover increase with a net shift in PSC contractors to an employed solution.
The Group has managed to maintain administrative costs at a relatively low level despite inflation effects and the increased work associated with the rise in turnover. 
Cash balances have decreased by £1.9m.

Strategy and future developments
 
The Group is committed to increasing business from existing customers and winning new customers.
The Group continues to diversify by developing new products to improve its client service.

- 1 -

 
CLOUD UMBRELLA LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023

Directors' statement of compliance with duty to promote the success of the Group
 
The Directors are satisfied that they act in way that has regard to all considerations of Section 172 of the Companies Act 2006.  These considerations extend to:
Likely consequences of decisions in the long-term
Operational decisions are delegated to the Executive team of operational directors.  The performance of such decisions is monitored by the board through circulated KPIs, email and one-to-one meetings.
Employees Interests
The Directors acknowledge employees as the key business asset.  Employees are encouraged to be involved and achieve within the Group.  Communication by regular meetings and emails from line managers coupled with regular updates on broader more strategic matters from the Group CEO.
A staff ‘Fun’ committee is in operation to organise staff events throughout the year and is given a budget by the directors. This creates good teamwork and strengthens inter-departmental relationships. The committee is represented by staff from a variety of departments and backgrounds.
Relationships with Customers and Suppliers
We work very closely with our customers at both operational and board level. Communication and contact are frequent and regular, at both a field level and senior management / director level. The Group recognises the relationship and knowledge of our customer base as paramount to the business success.
The Group has several key suppliers and good relationships are maintained.  The Group pays suppliers on or before due dates as a matter of course.
Environment and Communities
Every effort is made by the Group to minimise damage to the environment. Every effort is made to modernise techniques to involve less printing and paper with more electronic media. A recycling firm is engaged by the Group to deal with Group’s wastepaper products.
Business Conduct
The Group has a staff handbook which is updated as and when necessary. The Group maintains high professional work standards and is an accredited member of the FCSA, which is the relevant leading membership body of the industry. This accreditation is only gained upon successful completion of a rigorous annual audit.
Members
All members’ interests are treated equally being only one class of share.
 
- 2 -

 
CLOUD UMBRELLA LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023

Greenhouse gas emissions, energy consumption and energy efficiency action
Internal carbon usage is low as the Group operates from one single premises. Heating is controlled by the management company who adjust settings on a day-by-day basis to suit the climate. During the year, emissions via travel in employee-owned vehicles was 10,293kWH or 2.76 metric tonnes, (2022: 4,440kWh or 1.2 metric tonnes) and emissions via purchased electricity was 67,465kWh or 20.24 metric tonnes, (2022: 65,000 kWh or 19.5 metric tonnes). 
Intensity ratio tonnes of CO2e per number of employees 0.377 (2023: 0.375).
The SECR submission has been compiled using the 2021 Government Environmental Reporting Guidelines.
Emissions have been grouped according to the GHG Protocol Corporate Standard.
SECR Methodology
We have used the Energy supplier billing data in order to calculate the Company’s Energy Consumption Data. CO2 emissions have been calculated using the 2021 UK Government Conversion Factors for Company Reporting. Emissions have been calculated for the company financial year from 1 July 2022 to 30 June 2023.


This report was approved by the board on 6 March 2024 and signed on its behalf.



M Grady
Director

- 3 -

 
CLOUD UMBRELLA LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2023

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

Directors' responsibilities statement

The Directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated financial statements in accordance with applicable law and regulations.
 
Company law requires the Directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group 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 for the Group's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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

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

Principal Activity
The principal activity of the Group is the supply of its employee's consultancy services.
 
Results and dividends

The profit for the year, after taxation, amounted to £1,918,914 (2022 - £2,207,856).

The Company paid a dividend of £2,770,000 (2022 - £1,360,000) during the period.

Directors

The directors who served during the year were:

M Grady 
S Grady 
N Holmes 
S Holmes 
- 4 -

 
CLOUD UMBRELLA LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023


Engagement with employees
Employees are kept informed about the progress and and position of the Group by means of regular departmental meetings.
 
Disabled employees

The Group's policy is to give full and fair consideration to applications for employment made by disabled persons, having regard to their particular aptitudes and abilities. Disabled employees receive appropriate training to promote their career development within the Group. Employees who become disabled are retained in their existing posts where possible or retrained for suitable alternative posts. 
Going Concern
The Group’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Strategic Report on pages 1 to 3. 
The Directors have prepared detailed forecasts for 12 months from the signing of the financial statements. The Group meets its day-to-day working capital requirements through its own cash funds, which stood at £16.3m as at 30 June 2023. The Group’s forecasts and projections, which take into account the risks and uncertainties detailed in the strategic report, show that the Group should be able to operate within the level of its current working capital requirements. 
In light of this and after making appropriate enquiries, the directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for a period of at least 12 months from the date of approval of the financial statements. For this reason, they continue to adopt, and consider appropriate, the going concern basis in preparing the financial statements.
Economic Impact of Global Events
UK businesses are currently facing many uncertainties such as the consequences of Brexit, COVID-19, environmental sustainability and geopolitical events such as the Russian invasion of Ukraine. These uncertainties have contributed to an environment where there exists a range of issues and risks, including inflation, rising interest rates, labour shortages, disrupted supply chains and new ways of working. The Directors have carried out an assessment of the potential impact of these uncertainties on the business, including the impact of mitigation measures, and have concluded that these are non-adjusting events with the greatest impact on the business expected to be from the economic ripple effect on the global economy. The Directors have taken account of these potential impacts in their going concern assessment. Cloud Umbrella Limited continues to work with its partners to minimise any impacts of these events and maximise the realisation of any opportunities they may provide to the business.


Matters covered in the Group Strategic Report

As permitted by Section 414 (c) (11) of the Companies Act 2006, the directors have elected to disclose information required to be in the directors' report by Schedule 7 of the "Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008", in the Strategic report. 

 
- 5 -

 
CLOUD UMBRELLA LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023

Disclosure of information to auditor

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Group's auditor is unaware, and

the Director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Group's auditor is aware of that information.

Auditor

The auditor, Mazars LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 6 March 2024 and signed on its behalf.
 





M Grady
Director

- 6 -

 
CLOUD UMBRELLA LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF CLOUD UMBRELLA LIMITED
 

Opinion

We have audited the financial statements of Cloud Umbrella Limited (the ‘Parent Company’) and its subsidiaries (the 'Group') for the year ended 30 June 2023 which comprise the Consolidated Statement of Comprehensive Income, the Consolidated and Company Statements of Financial Position, the Consolidated and Company Statements of Changes in Equity, the Consolidated Statement of Cash Flows, and notes to the financial statements, including a summary of significant accounting policies 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 FRS 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 and 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’s responsibilities for the audit of the financial statements'' section of our report. We are independent of the Group and the Parent 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 Group's and the Parent Company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our 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.
- 7 -

 
CLOUD UMBRELLA LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF CLOUD UMBRELLA LIMITED
 

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 the audit:
 
the information given in the Group 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 Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In light of the knowledge and understanding of the Group and the Parent Company and their environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the Parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the Parent Company's 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.

- 8 -

 
CLOUD UMBRELLA LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF CLOUD UMBRELLA LIMITED
 

Responsibilities of Directors

As explained more fully in the Directors' Responsibilities Statement set out on page 4, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Group's and Parent Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the Parent 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 the financial statements.
 
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
 
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. 
Based on our understanding of the Group and the Parent Company and its industry, we considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation, anti-money laundering regulation. 

To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect to non-compliance, our procedures included, but were not limited to:
Inquiring of management and, where appropriate, those charged with governance, as to whether the Group and the Parent Company is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations;
Inspecting correspondence, if any, with relevant licensing or regulatory authorities;
Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and
Considering the risk of acts by the Group and the Parent Company which were contrary to applicable laws and regulations, including fraud.

We also considered those laws and regulations that have a direct effect on the preparation of the financial statements, such as tax legislation, pension legislation and the Companies Act 2006. 
In addition, we evaluated the directors’ and management’s incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of management override of controls, and determined that the principal risks related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, in particular in relation to revenue recognition (which we pinpointed to the cut-off assertion) and significant one-off or unusual transactions. 
- 9 -

 
CLOUD UMBRELLA LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF CLOUD UMBRELLA LIMITED
 

Our audit procedures in relation to fraud included but were not limited to:
Making enquiries of the directors and management on whether they had knowledge of any actual, suspected or alleged fraud;
Gaining an understanding of the internal controls established to mitigate risks related to fraud;
Discussing amongst the engagement team the risks of fraud; and
Addressing the risks of fraud through management override of controls by performing journal entry testing.

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

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

Use of the audit 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.




John Daly (Senior Statutory Auditor)

  
for and on behalf of Mazars LLP

Chartered Accountants and Statutory Auditor 
One St. Peter's Square
Manchester
M2 3DE
Date:

6 March 2024
- 10 -

 
CLOUD UMBRELLA LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2023

2023
2022
Note
 £
£

  

Turnover
 4 
466,038,765
402,134,642

Cost of sales
  
(460,665,305)
(396,254,597)

Gross profit
  
5,373,460
5,880,045

Administrative expenses
  
(3,453,761)
(3,089,226)

Other operating income
 5 
-
4,000

Operating profit
 6 
1,919,699
2,794,819

Interest receivable and similar income
 10 
594,400
9,139

Interest payable and similar expenses
 11 
(11,307)
(6,578)

Profit before taxation
  
2,502,792
2,797,380

Tax on profit
 12 
(583,878)
(589,524)

Profit for the financial year
  
1,918,914
2,207,856

There were no recognised gains and losses for 2023 or 2022 other than those included in the consolidated statement of comprehensive income.

There was no other comprehensive income for 2023 (2022:£NIL).

The notes on pages 18 to 37 form part of these financial statements.

- 11 -

 
CLOUD UMBRELLA LIMITED
REGISTERED NUMBER: 11762529

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023

2023
2022
Note
£
£

Fixed assets
  

Intangible assets
 14 
1,135,893
1,342,461

Tangible assets
 15 
142,183
287,222

  
1,278,076
1,629,683

Current assets
  

Debtors: amounts falling due within one year
 17 
25,717,599
26,746,634

Cash at bank and in hand
 18 
16,288,829
18,156,386

  
42,006,428
44,903,020

Creditors: amounts falling due within one year
 19 
(41,292,668)
(43,588,848)

Net current assets
  
 
 
713,760
 
 
1,314,172

Total assets less current liabilities
  
1,991,836
2,943,855

Creditors: amounts falling due after more than one year
 20 
-
(81,835)

Provisions for liabilities
  

Deferred taxation
 22 
(33,690)
(52,788)

  
 
 
(33,690)
 
 
(52,788)

Net assets
  
1,958,146
2,809,232


Capital and reserves
  

Called up share capital 
 23 
421
421

Share premium account
 24 
1,500,000
1,500,000

Profit and loss account
 24 
457,725
1,308,811

Equity attributable to owners of the parent Company
  
1,958,146
2,809,232


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 6 March 2024.


M Grady
Director

The notes on pages 18 to 37 form part of these financial statements.

- 12 -

 
CLOUD UMBRELLA LIMITED
REGISTERED NUMBER: 11762529

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023

2023
2022
Note
£
£

Fixed assets
  

Investments
 16 
2,253,750
2,253,750

  
2,253,750
2,253,750

Current assets
  

Debtors: amounts falling due within one year
 17 
400
400

Cash at bank and in hand
 18 
85,970
255,208

  
86,370
255,608

Creditors: amounts falling due within one year
 19 
-
(137,369)

Net current assets
  
 
 
86,370
 
 
118,239

Total assets less current liabilities
  
2,340,120
2,371,989

  

Creditors: amounts falling due after more than one year
 20 
-
(81,835)

  

Net assets
  
2,340,120
2,290,154


Capital and reserves
  

Called up share capital 
 23 
421
421

Share premium account
 24 
1,500,000
1,500,000

Profit and loss account carried forward
  
839,699
789,733

  
2,340,120
2,290,154


The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements. The profit after tax of the Company for the year was £2,819,966 (2022: £1,593,406).
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 6 March 2024.


M Grady
Director

The notes on pages 18 to 37 form part of these financial statements.

- 13 -

 
CLOUD UMBRELLA LIMITED
 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023


Called up share capital
Share premium account
Profit and loss account
Total equity

£
£
£
£


At 1 July 2021 (as restated)
421
1,500,000
460,955
1,961,376


Comprehensive income for the year

Profit for the year
-
-
2,207,856
2,207,856
Total comprehensive income for the year
-
-
2,207,856
2,207,856


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(1,360,000)
(1,360,000)


Total transactions with owners
-
-
(1,360,000)
(1,360,000)



At 1 July 2022
421
1,500,000
1,308,811
2,809,232


Comprehensive income for the year

Profit for the year
-
-
1,918,914
1,918,914
Total comprehensive income for the year
-
-
1,918,914
1,918,914


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(2,770,000)
(2,770,000)


Total transactions with owners
-
-
(2,770,000)
(2,770,000)


At 30 June 2023
421
1,500,000
457,725
1,958,146


The notes on pages 18 to 37 form part of these financial statements.

- 14 -

 
CLOUD UMBRELLA LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023


Called up share capital
Share premium account
Profit and loss account
Total equity

£
£
£
£


At 1 July 2021
421
1,500,000
556,327
2,056,748


Comprehensive income for the year

Profit for the year
-
-
1,593,406
1,593,406
Total comprehensive income for the year
-
-
1,593,406
1,593,406


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(1,360,000)
(1,360,000)


Total transactions with owners
-
-
(1,360,000)
(1,360,000)



At 1 July 2022
421
1,500,000
789,733
2,290,154


Comprehensive income for the year

Profit for the year
-
-
2,819,966
2,819,966
Total comprehensive income for the year
-
-
2,819,966
2,819,966


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(2,770,000)
(2,770,000)


Total transactions with owners
-
-
(2,770,000)
(2,770,000)


At 30 June 2023
421
1,500,000
839,699
2,340,120


The notes on pages 18 to 37 form part of these financial statements.

- 15 -

 
CLOUD UMBRELLA LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
1,918,914
2,207,856

Adjustments for:

Amortisation of intangible assets
206,374
206,443

Depreciation of tangible assets
42,073
55,836

Loss on disposal of tangible assets
33,644
8,621

Interest paid
11,307
6,578

Interest received
(594,400)
(9,139)

Taxation charge
583,878
589,524

Decrease/(increase) in debtors
1,463,013
(5,585,881)

(Increase) in amounts owed by related undertakings
(433,978)
(521,725)

(Decrease)/increase in creditors
(1,887,648)
11,141,947

Corporation tax (paid)
(924,139)
(289,411)

Net cash generated from operating activities

419,038
7,810,649


Cash flows from investing activities

Sale of intangible assets
194
6,823

Purchase of tangible fixed assets
(33,817)
(285,522)

Sale of tangible fixed assets
103,139
(6,827)

Interest received
594,400
9,139

Net cash from investing activities

663,916
(276,387)
- 16 -

 
CLOUD UMBRELLA LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023


2023
2022

£
£



Cash flows from financing activities

Repayment of loans
(169,204)
(80,796)

Dividends paid
(2,770,000)
(1,360,000)

Interest paid
(11,307)
(6,578)

Net cash used in financing activities
(2,950,511)
(1,447,374)

Net (decrease)/increase in cash and cash equivalents
(1,867,557)
6,086,888

Cash and cash equivalents at beginning of year
18,156,386
12,069,498

Cash and cash equivalents at the end of year
16,288,829
18,156,386


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
16,288,829
18,156,386

16,288,829
18,156,386


- 17 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

1.


General information

Cloud Umbrella Limited ('the Company') is a private limited company, limited by shares, incorporated in and registered England and Wales (registered number 11762529). The address of the registered office and principal place of business is
Bollin House
Bollin Walk
Wilmslow
Cheshire
SK9 1DP

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

- 18 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)

 
2.3

Going concern

The Group’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Strategic Report on pages 1 to 3. 
The Directors have prepared detailed forecasts for 12 months from the signing of the financial statements. The Group meets its day-to-day working capital requirements through its own cash funds, which stood at £16.3m as at 30 June 2023. The Group’s forecasts and projections, which take into account the risks and uncertainties detailed in the strategic report, show that the Group should be able to operate within the level of its current working capital requirements. 
In light of this and after making appropriate enquiries, the directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for a period of at least 12 months from the date of approval of the financial statements. For this reason, they continue to adopt, and consider appropriate, the going concern basis in preparing the financial statements.

 
2.4

Revenue

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

Rendering of services

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

- 19 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)

 
2.5

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Consolidated Statement of Comprehensive Income over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 Amortisation is provided on the following bases:

Domain names
-
25%
Reducing balance
Goodwill
-
10%
Straight line

 
2.6

Tangible fixed assets

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

At each reporting date the Group assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

- 20 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)


2.6
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Motor vehicles
-
25%
reducing balance
Fixtures & fittings
-
25%
reducing balance
Office equipment
-
25%
reducing balance

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

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

 
2.7

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.8

Debtors

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

 
2.9

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

- 21 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)

 
2.10

Financial instruments

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

The Group has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Group's Statement of Financial Position when the Group becomes party to the contractual provisions of the instrument.

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

Basic financial assets

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

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

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

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

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

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

- 22 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)


2.10
Financial instruments (continued)

Financial liabilities

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

Basic financial liabilities, which include trade and other payables, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

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

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

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

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

Derecognition of financial liabilities

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

- 23 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)

 
2.11

Creditors

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

 
2.12

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.13

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

 
2.14

Pensions

Defined contribution pension plan

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

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

 
2.15

Interest income

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

 
2.16

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.17

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

- 24 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.Accounting policies (continued)

 
2.18

Provisions for liabilities

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

 
2.19

Current and deferred taxation

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

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

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

- 25 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The critical judgements that the directors have made in the process of applying the Group's accounting policies that have the most significant effect on the amounts recognised in the statutory financial statements are discussed below.
Assessing indicators of impairment
In assessing whether there have been any indicators of impairment of assets, the directors have considered both external and internal sources of information such as market conditions, counterparty credit ratings and experience of recoverability. There have been no indicators of impairments identified during the current financial year.
Key sources of estimation uncertainty
The key assumptions concerning the future, and other key sources of estimation uncertainty, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.
Recoverability of receivables
The Group establishes a provision for receivables that are estimated not to be recoverable. When assessing recoverability the Directors consider factors such as the aging of the receivables, past experience of recoverability and the credit profile of individual or groups of customers.


4.


Turnover

All turnover relates to the principal activity of the Group.

All turnover arose within the United Kingdom.


5.


Other operating income

2023
2022
£
£

Other operating income
-
4,000


The Other operating income in the prior year related to the settlement of a insurance claim.

- 26 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Depreciation of tangible fixed assets
42,073
55,836

Amortisation of intangible assets, including goodwill
206,374
206,443

Other operating lease rentals
191,697
203,603

Defined contribution pension cost
27,390
22,914


7.


Auditor's remuneration

During the year, the Group obtained the following services from the Company's auditor:


2023
2022
£
£

Fees payable to the Company's auditor for the audit of the consolidated and parent Company's financial statements
29,325
25,500

Fees payable to the Company's auditor in respect of:

All other services
6,564
5,940


8.


Employees

Staff costs, including directors' remuneration, were as follows:


Group
Group
2023
2022
£
£


Wages and salaries
1,814,242
1,582,671

Social security costs
177,622
158,555

Cost of defined contribution scheme
27,390
22,914

2,019,254
1,764,140


- 27 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

8.Employees (continued)

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


        2023
        2022
            No.
            No.







Employees
59
54


9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
418,294
394,186

Group contributions to defined contribution pension schemes
1,706
893

420,000
395,079


The highest paid director received remuneration of £230,412 (2022 - £214,034).

The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £NIL (2022 - £NIL).


10.


Interest receivable

2023
2022
£
£


Other interest receivable
594,400
9,139


11.


Interest payable and similar expenses

2023
2022
£
£


Bank interest payable
11,307
17

Other loan interest payable
-
6,561

11,307
6,578

- 28 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

12.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
602,976
547,178


602,976
547,178


Total current tax
602,976
547,178

Deferred tax


Origination and reversal of timing differences
(19,098)
42,346

Total deferred tax
(19,098)
42,346


Tax on profit
583,878
589,524
- 29 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 - higher than) the standard rate of corporation tax in the UK of 22% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
2,502,792
2,797,380


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 22% (2022 - 19%)
550,614
531,502

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
22,318
28,820

Fixed asset differences
-
(13,686)

Amortisation of Goodwill not deductible for tax purposes
45,400
39,209

Other differences leading to an increase (decrease) in the tax charge
(34,454)
3,679

Total tax charge for the year
583,878
589,524


Factors that may affect future tax charges

From 1 April 2023, the rate of corporation tax in the United Kingdom increased from 19% to 25%. Companies with profits of £50,000 or less will continue to be taxed at 19%, which is a new small profits rate. Where taxable profits are between £50,000 and £250,000, the higher 25% rate will apply but with a marginal relief applying as profits increase.


13.


Dividends

2023
2022
£
£


Dividends
2,770,000
1,360,000

- 30 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

14.


Intangible assets

Group 





Domain names
Goodwill
Total

£
£
£



Cost


At 1 July 2022
3,577
2,354,255
2,357,832


Disposals
(735)
-
(735)



At 30 June 2023

2,842
2,354,255
2,357,097



Amortisation


At 1 July 2022
2,475
1,012,896
1,015,371


Charge for the year
11
206,363
206,374


On disposals
(541)
-
(541)



At 30 June 2023

1,945
1,219,259
1,221,204



Net book value



At 30 June 2023
897
1,134,996
1,135,893



At 30 June 2022
1,102
1,341,359
1,342,461



- 31 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

15.


Tangible fixed assets

Group






Motor vehicles
Fixtures & fittings
Office equipment
Total

£
£
£
£



Cost 


At 1 July 2022
261,674
15,841
96,627
374,142


Additions
-
11,827
21,990
33,817


Disposals
(144,851)
-
(12,492)
(157,343)



At 30 June 2023

116,823
27,668
106,125
250,616



Depreciation


At 1 July 2022
38,980
6,128
41,812
86,920


Charge for the year
22,465
3,970
15,638
42,073


Disposals
(12,016)
-
(8,544)
(20,560)



At 30 June 2023

49,429
10,098
48,906
108,433



Net book value



At 30 June 2023
67,394
17,570
57,219
142,183



At 30 June 2022
222,694
9,713
54,815
287,222

- 32 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

16.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost and net book value


At 1 July 2022
2,253,750



At 30 June 2023
2,253,750





Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Principal activity

Class of shares

Holding

Umbrella Company Limited
Bollin House, Bollin Walk, Wilmslow, Cheshire, SK9 1DP
Supply of employees' consultancy services
Ordinary
100%


17.


Debtors

Group
             Group
Company
Company
2023
2022
2023
2022
£
£
£
£


Trade debtors
7,057,865
12,712,944
-
-

Amounts owed by related undertakings
1,187,607
753,629
-
-

Other debtors
17,164,227
12,848,229
-
-

Prepayments and accrued income
307,900
431,832
400
400

25,717,599
26,746,634
400
400


- 33 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

18.


Cash and cash equivalents

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Cash at bank and in hand
16,288,829
18,156,386
85,970
255,208



19.


Creditors: Amounts falling due within one year

Group
          Group  
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loans
-
87,369
-
87,369

Trade creditors
612,232
1,441,887
-
-

Corporation tax
299,619
620,782
-
-

Other taxation and social security
21,370,011
18,481,214
-
-

Other creditors
19,010,806
22,957,596
-
50,000

41,292,668
43,588,848
-
137,369


Included within other creditors are accruals of £18,991,245 (2022: 22,778,300). 
The Bank loan is secured against the assets of the group.


20.


Creditors: Amounts falling due after more than one year

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loan
-
81,835
-
81,835


The Bank loan is secured against the assets of the group.



- 34 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

21.


Loans


Analysis of the maturity of loans is given below:


Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Amounts falling due within one year

Bank loan
-
87,369
-
87,369

Amounts falling due 1-2 years

Bank loan
-
81,835
-
81,835


-
169,204
-
169,204


The Bank loan is secured against the assets of the group.


22.


Deferred taxation


Group



2023
2022


£

£






At beginning of year
(52,788)
(10,442)


Charged to profit or loss
19,098
(42,346)



At end of year
(33,690)
(52,788)

Group
Group
2023
2022
£
£

Accelerated capital allowances
(33,690)
(42,346)

Tax losses carried forward
-
(10,442)

- 35 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

23.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



400 (2022 - 400) Ordinary shares of £1.00 each
400
400
21 (2022 - 21) Ordinary B shares of £1.00 each
21
21

421

421



24.


Reserves

Share premium account

The share premium account comprises consideration paid in excess of the par value of shares issued.

Profit & loss account

This reserve represents the cumulative profit and losses.

25.


Analysis of net debt




At 1 July 2022
Cash flows
At 30 June 2023
£

£

£

Cash at bank and in hand

18,156,386

(1,867,557)

16,288,829

Debt due after 1 year

(81,835)

81,835

-

Debt due within 1 year

(137,369)

137,369

-


17,937,182
(1,648,353)
16,288,829


26.


Pension commitments

The Group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Group  in an independently administered fund. The pension cost charge represents contributions payable by the Group  to the fund and amounted to £27,390 (2022: £22,914). Contributions totalling £Nil (2022: £Nil) were payable to the fund at the reporting date.

- 36 -

 
CLOUD UMBRELLA LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

27.


Commitments under operating leases

At 30 June 2023 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
2023
2022
£
£

Not later than 1 year
190,611
173,969

Later than 1 year and not later than 5 years
246,993
364,920

437,604
538,889

28.


Related party transactions

Umbrella Accountants LLP is a related party due to its members being directors of Cloud Umbrella Limited. Umbrella-Company Limited, a wholly owned subsidiary of Cloud Umbrella Limited invoiced Umbrella Accountants LLP £151,965 (2022: £86,580) during the period and this has been included within administrative expenses. The Company also paid expenses on behalf of Umbrella Accountants LLP amounting to £48,930 (2022: £6,792). Umbrella Accountants LLP repaid the Company £100,385 (2022: £114,409) in the period. The balance outstanding at the period end is £16,248 (2022: £59,481) and is included within debtors.
During the year the Group paid M Grady £107,943 (2022: £130,055), and charged interest of £Nil (2022: £Nil) for the same period. At the year end M Grady owed the Group £284,749 (2022: £164,306).
During the year the Group paid N Holmes £107,696 (2022: £130,071), and charged interest of £Nil (2022: £Nil) for the same period. At the year end N Holmes owed the Group £283,872 (2022: £163,403).
During the year the Group paid S Grady £95,000 (2022: £132,500), and charged interest of £Nil (2022: £Nil) for the same period. At the year end S Grady owed the Company £260,000 (2022: £152,500).
During the year the Group paid S Holmes £95,000 (2022: £132,500), and charged interest of £Nil (2022: £Nil) for the same period. At the year end S Holmes owed the Group £260,000 (2022: £152,500).


29.


Controlling party

The directors do not consider there to be a single ultimate controlling party.

- 37 -