Company registration number 11830488 (England and Wales)
POOLFOOT SPORTS COMPLEX LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
PAGES FOR FILING WITH REGISTRAR
POOLFOOT SPORTS COMPLEX LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 8
POOLFOOT SPORTS COMPLEX LIMITED
BALANCE SHEET
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
5
964,469
62,774
Current assets
Stocks
9,999
16,693
Debtors
6
907,292
1,700,166
Cash at bank and in hand
69,025
7,530
986,316
1,724,389
Creditors: amounts falling due within one year
7
(3,171,241)
(2,413,926)
Net current liabilities
(2,184,925)
(689,537)
Net liabilities
(1,220,456)
(626,763)
Capital and reserves
Called up share capital
8
1
1
Profit and loss reserves
(1,220,457)
(626,764)
Total equity
(1,220,456)
(626,763)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 2 April 2024 and are signed on its behalf by:
J R Pilley
Director
Company registration number 11830488 (England and Wales)
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
- 2 -
1
Accounting policies
Company information
Poolfoot Sports Complex Limited is a private company limited by shares incorporated in England and Wales. The registered office is Poolfoot Farm, Butts Road, Thornton-Cleveleys, FY5 4HX.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, based on continued financial support provided by both group and related companies. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
Due to both current and historic trading losses, the company's balance sheet shows net current liabilities of £2,184,925 (2022: £689,537) and net liabilities of £1,220,456 (2022: £626,763).
The company requires continued financial support from both, fellow group companies and related companies, namely the agreement that historic debts will not be sought for repayment unless company cash flow permits. Additional financial support is also required from certain profitable, trading related companies for on-going working capital funding as required, to ensure the company has adequate financial funds available so that costs of operating the sports complex can be settled as they fall due. This financial support has been confirmed for a period of at least 12 months from the signature of the accounts, supported by the preparation of financial forecasts and budgets set for 2023/24.
As at 30 June 2023, the company owed fellow group companies £1,747,518 and related companies £11,016. These balances are included within creditors: amounts falling due with one year, on the basis that there are no formal loan agreements and therefore are by default are deemed to be repayable upon demand from a statutory financial statements presentation perspective. This is despite the practical assurance received that these group and related company balances will not be sought for repayment until cash flow permits.
The directors have considered the future profitability of certain profitable, trading related companies and their ability to financial support the company and are satisfied that adequate resources are available, enabling this company to continue as a going concern. Based on financial forecasts and budgets set for 2023/24, the directors are satisfied that, for the foreseeable future, the company can meet its projected working capital requirements. Implicit within these projections is the assumption that that there will be continued support from group and related party companies. Consequently, the financial statements have been prepared on a going concern basis.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes.
Turnover includes pitch hire and letting of sports facilities, which is recognised in the period of hire. Food and drink sales are recognised on the date of sale.
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 3 -
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Leasehold improvements
3.33% p.a. straight line basis
Plant and equipment
15% p.a. reducing balance basis
Fixtures and fittings
15% p.a. reducing balance basis
Computers
33% p.a. straight line basis
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.6
Stocks
Stocks represents food and drink which is sold at the sports facility operated by the company. Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 4 -
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 5 -
1.12
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Prior period adjustment
During the year expenses relating to the costs of delivering the FTIFA experience have been re-classified to cost of sales from administration expenses. This includes travelling expenses and professional fees for coaches and other football professionals, that are directly attributable to FTIFA income. Consequently a prior year adjustment has been reflected to restate 2022 on a comparable basis.
As such cost of sales for 2022, have increased by £371,312 and administrative expenses have decreased by £371,312. There has been no change to previously stated losses or net liabilities.
Changes to the balance sheet
As previously reported
Adjustment
As restated at 30 Jun 2022
£
£
£
Net assets
(626,763)
-
(626,763)
Capital and reserves
Total equity
(626,763)
-
(626,763)
Changes to the profit and loss account
As previously reported
Adjustment
As restated
Period ended 30 June 2022
£
£
£
Cost of sales
(436,125)
(371,312)
(807,437)
Administrative expenses
(1,769,298)
371,312
(1,397,986)
Loss for the financial period
(67,333)
-
(67,333)
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 6 -
4
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
23
36
5
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 July 2022
79,032
79,032
Additions
891,530
23,565
915,095
At 30 June 2023
891,530
102,597
994,127
Depreciation and impairment
At 1 July 2022
16,258
16,258
Depreciation charged in the year
2,476
10,924
13,400
At 30 June 2023
2,476
27,182
29,658
Carrying amount
At 30 June 2023
889,054
75,415
964,469
At 30 June 2022
62,774
62,774
6
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
434,145
199,854
Amounts owed by group undertakings
249,032
1,414,603
Other debtors
224,115
85,709
907,292
1,700,166
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 7 -
7
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
162,413
238,782
Amounts owed to group undertakings
1,747,518
1,174,280
Taxation and social security
7,416
33,697
Other creditors
1,253,894
967,167
3,171,241
2,413,926
8
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
1
1
1
1
9
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
Senior Statutory Auditor:
Caroline Snape
Statutory Auditor:
Sumer Auditco Limited
Date of audit report:
2 April 2024
10
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2023
2022
£
£
7,100,000
7,500,000
11
Related party transactions
POOLFOOT SPORTS COMPLEX LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
11
Related party transactions
(Continued)
- 8 -
During the year, the company has incurred various management services of £227,566 (2022: £Nil) from JRP Management Services Limited, a company under common control. There was no balance outstanding with JRP Management Services Limited at the year end.
During the year, £139,221 (2022: £Nil) was advanced to CX Global Holdings FZCO, a related company. At the year end an amount of £139,221 (2022 creditor: £156) was owed from CX Global Holdings FZCO, as included within other debtors.
During the year £1,165,671 (2022: £167,279) was received from Fleetwood Wanderers Ltd, a fellow group company in respect of historic debt. At the year end, £249,032 (2022: £1,414,603) remains payable by Fleetwood Wanderers Ltd to the company, as included within amounts owed by group undertakings.
All group and related company debts are unsecured, non-interest bearing and repayable on demand.
12
Parent company
The ultimate parent company is Jaymel Limited, a company registered in England and Wales.