Limited Liability Partnership Registration No. OC312953 (England and Wales)
S.W. Mitchell Capital LLP
Annual report and financial statements
for the year ended 31 March 2024
S.W. Mitchell Capital LLP
Limited liability partnership information
Designated members
Mr Stuart Mitchell
Mr Lukas Schmitz
LLP registration number
OC312953
Registered office
Suite 3A
Princes House
38 Jermyn Street
London
SW1Y 6DN
Independent auditor
Saffery LLP
71 Queen Victoria Street
London
EC4V 4BE
S.W. Mitchell Capital LLP
Contents
Page
Members' report
1 - 2
Independent auditor's report
3 - 5
Statement of comprehensive income
6
Statement of financial position
7
Reconciliation of members' interests
8 - 9
Statement of cash flows
10
Notes to the financial statements
11 - 19
S.W. Mitchell Capital LLP
Members' report
For the year ended 31 March 2024
1

The members present their annual report and financial statements for the year ended 31 March 2024.

Principal activities

The principal activity of the limited liability partnership is that of investment management. The partnership is regulated by the Financial Conduct Authority ("FCA").

 

The results for the year and the financial position at the year end were considered satisfactory by the members who expect continued growth in the foreseeable future.

 

Given the straightforward nature of the business, the members are of the opinion that analysis using KPIs is not necessary for an understanding of the development, performance and position of the business.

 

The LLP identifies its primary stakeholders as their clients, staff, shareholders and regulators. During the year the LLP has directly engaged with all primary stakeholders through a variety of methods. Elsewhere in the strategic report the LLP has considered the actions of the LLP with regard to the identified primary stakeholders during the year.

Principal risks and uncertainties
The risk management policy reflects the FCA requirement to manage a number of different categories of risk including credit risk, market risk, business risk, operational risk and liquidity risk.  These risks are managed by the LLP by close and careful monitoring by senior management.  The LLP is not exposed to any material levels of risk under these headings and the members are content with the risk management policies in place.
Designated members

The designated members who held office during the year and up to the date of signature of the financial statements were as follows:

Mr Stuart Mitchell
Mr Lukas Schmitz

Policy on members' drawings

The members' drawings policy allows each member to draw a proportion of their profit share, subject to the cash requirements of the business. A member's capital requirement is linked to their share of profit and the financing requirement of the limited liability partnership. There is no opportunity for the appreciation of the capital subscribed. Just as incoming members introduce their capital at "par", so the retiring members are repaid their capital at "par".

 

Auditor

Saffery LLP have expressed their willingness to continue in office and a resolution proposing that they have be re-appointed will be put to the next members meeting.

S.W. Mitchell Capital LLP
Members' report (continued)
For the year ended 31 March 2024
2
Statement of members' responsibilities

The members are responsible for preparing the financial statements in accordance with applicable law and regulations.

 

Company law (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008) requires the members to prepare financial statements for each financial year. Under that law the members 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 (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008) the members 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 limited liability partnership and of the profit or loss of the limited liability partnership for that year. In preparing those financial statements, the members are required to:

 

- select suitable accounting policies and then apply them consistently;

- make judgements and estimates that are reasonable and prudent;

- state whether applicable 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 limited liability partnership will continue in business.

 

The members are responsible for keeping adequate accounting records that are sufficient to show and explain the limited liability partnership's transactions and disclose with reasonable accuracy at any time the financial position of the limited liability partnership and to enable them to ensure that the financial statements comply with the Companies Act 2006 (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008). They are also responsible for safeguarding the assets of the limited liability partnership and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor
So far as the members are aware, there is no relevant audit information of which the limited liability partnership's auditor are unaware. Additionally, the members have taken all the necessary steps that they ought to have taken as members in order to make themselves aware of all relevant audit information and to establish that the limited liability partnership's auditor are aware of that information.
On behalf of the members
Mr Stuart Mitchell
Designated Member
23 July 2024
S.W. Mitchell Capital LLP
Independent auditor's report
To the members of S.W. Mitchell Capital LLP
3
Opinion

We have audited the financial statements of S.W. Mitchell Capital LLP (the 'limited liability partnership') for the year ended 31 March 2024 which comprise the statement of comprehensive income, the statement of financial position, the reconciliation of members' interests, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

 

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 limited liability partnership 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 members' 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 limited liability partnership’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 members with respect to going concern are described in the relevant sections of this report.

Other information

The members 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 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.

S.W. Mitchell Capital LLP
Independent auditor's report (continued)
To the members of S.W. Mitchell Capital LLP
4
Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Companies Act 2006 as applied to limited liability partnerships requires us to report to you if, in our opinion:

 

Responsibilities of members

As explained more fully in the members' responsibilities statement on page 2, the members 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 members 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 members are responsible for assessing the limited liability partnership'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 members either intend to liquidate the limited liability partnership or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

 

Identifying and assessing risks related to irregularities:

We assessed the susceptibility of the limited liability partnership’s financial statements to material misstatement and how fraud might occur, including through discussions with the members, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the limited liability partnership by discussions with members and by updating our understanding of the sector in which the limited liability partnership operates.

 

Laws and regulations of direct significance in the context of the limited liability partnership include The Companies Act 2006 as applied to limited liability partnerships and UK Tax legislation.

 

Audit response to risks identified:

We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the limited liability partnership's records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the limited liability partnership's policies and procedures for compliance with laws and regulations with members of management responsible for compliance.

S.W. Mitchell Capital LLP
Independent auditor's report (continued)
To the members of S.W. Mitchell Capital LLP
5

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the limited liability partnership's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 as applied to limited liability partnerships. Our audit work has been undertaken so that we might state to the limited liability partnership'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 limited liability partnership and the limited liability partnership's members as a body, for our audit work, for this report, or for the opinions we have formed.

Michael Di Leto
Senior Statutory Auditor
For and on behalf of Saffery LLP
23 July 2024
Chartered Accountants
Statutory Auditors
71 Queen Victoria Street
London
EC4V 4BE
S.W. Mitchell Capital LLP
Statement of comprehensive income
For the year ended 31 March 2024
6
2024
2023
Notes
£
£
Turnover
3
6,512,490
1,310,385
Administrative expenses
(5,296,032)
(1,461,870)
Operating profit/(loss)
4
1,216,458
(151,485)
Interest receivable and similar income
8
6,665
1,101
Profit/(loss) for the financial year before members' remuneration and profit shares
1,223,123
(150,384)
Profit/(loss) for the financial year before members' remuneration and profit shares
1,223,123
(150,384)
Members' remuneration charged as an expense
-
-
Profit/(loss) for the financial year available for discretionary division among members
1,223,123
(150,384)

The income statement has been prepared on the basis that all operations are continuing operations.

S.W. Mitchell Capital LLP
Statement of financial position
As at 31 March 2024
7
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
9
9,083
9,798
Current assets
Debtors
10
1,561,858
779,984
Cash at bank and in hand
3,038,096
581,800
4,599,954
1,361,784
Creditors: amounts falling due within one year
11
(3,644,689)
(845,357)
Net current assets
955,265
516,427
Total assets less current liabilities and net assets attributable to members
964,348
526,225
Represented by:
Loans and other debts due to members within one year
Amounts due in respect of profits
438,123
(499,778)
Other amounts
(938,775)
(438,997)
(500,652)
(938,775)
Members' other interests
Members' capital classified as equity
1,465,000
1,465,000
964,348
526,225
The financial statements were approved by the members and authorised for issue on 23 July 2024 and are signed on their behalf by:
23 July 2024
Mr Stuart Mitchell
Designated member
Limited Liability Partnership registration number OC312953 (England and Wales)
S.W. Mitchell Capital LLP
Reconciliation of members' interests
For the year ended 31 March 2024
8
Current financial year
Equity
Debt
Total
Members' other interests
Loans and other debts due to members less any amounts due from members in debtors
Members' interests
Members' capital
Other reserves
Total
Other amounts
Total
Total
2024
£
£
£
£
£
£
Members' interests at 1 April 2023
1,465,000
-
1,465,000
(938,775)
(938,775)
526,225
Profit for the financial year available for discretionary division among members
-
1,223,123
1,223,123
-
-
1,223,123
Members' interests after profit for the year
1,465,000
1,223,123
2,688,123
(938,775)
(938,775)
1,749,348
Allocation of profit for the financial year
-
-
-
1,223,123
1,223,123
1,223,123
Other divisions of profits
-
(1,223,123)
(1,223,123)
-
-
(1,223,123)
Drawings on account and distributions of profit
-
-
-
(785,000)
(785,000)
(785,000)
Members' interests at 31 March 2024
1,465,000
-
1,465,000
(500,652)
(500,652)
964,348
S.W. Mitchell Capital LLP
Reconciliation of members' interests (continued)
For the year ended 31 March 2024
9
Prior financial year
Equity
Debt
Total
Members' other interests
Loans and other debts due to members less any amounts due from members in debtors
Members' interests
Members' capital
Other reserves
Total
Other amounts
Total
Total
2023
£
£
£
£
£
£
Members' interests at 1 April 2022
1,345,000
-
1,345,000
(438,997)
(438,997)
906,003
Loss for the financial year available for discretionary division among members
-
(150,384)
(150,384)
-
-
(150,384)
Members' interests after loss for the year
1,345,000
(150,384)
1,194,616
(438,997)
(438,997)
755,619
Allocation of loss for the financial year
-
-
-
(150,384)
(150,384)
(150,384)
Other divisions of losses
-
150,384
150,384
-
-
150,384
Repayments of capital
120,000
-
120,000
-
-
120,000
Drawings on account and distributions of profit
-
-
-
(349,394)
(349,394)
(349,394)
Members' interests at 31 March 2023
1,465,000
-
1,465,000
(938,775)
(938,775)
526,225
S.W. Mitchell Capital LLP
Statement of cash flows
For the year ended 31 March 2024
10
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
17
3,238,103
30,810
Investing activities
Purchase of tangible fixed assets
(3,472)
(1,446)
Interest received
6,665
1,101
Net cash generated from/(used in) investing activities
3,193
(345)
Financing activities
Repayment of capital or debt to members
-
120,000
Payments to members
(785,000)
(349,394)
Net cash used in financing activities
(785,000)
(229,394)
Net increase/(decrease) in cash and cash equivalents
2,456,296
(198,929)
Cash and cash equivalents at beginning of year
581,800
780,729
Cash and cash equivalents at end of year
3,038,096
581,800
S.W. Mitchell Capital LLP
Notes to the financial statements
For the year ended 31 March 2024
11
1
Accounting policies
Limited liability partnership information

S.W. Mitchell Capital LLP is a limited liability partnership incorporated in England and Wales. The registered office is Suite 3A, Princes House, 38 Jermyn Street, London, SW1Y 6DN.

 

The limited liability partnership's principal activities are disclosed in the Members' Report.

1.1
Accounting convention

These financial statements have been prepared in accordance with the Statement of Recommended Practice "Accounting by Limited Liability Partnerships" issued in December 2021, together with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the limited liability partnership. 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

The members have at the time of approving the financial statements, a reasonable expectation that the LLP has adequate resources to continue in operational existence for the foreseeable future. The members have adopted the going concern basis of accounting for the preparation of the financial statements on the basis of continued support by Members and the financial resources available to the business at the time of approving the financial statements.

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

The LLP recognises management fees in the period in which the service is performed. Performance fees are recognised at the point of crystallisation.

S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
1
Accounting policies (continued)
12
1.4
Members' participating interests

Members' participation rights are the rights of a member against the LLP that arise under the members' agreement (for example, in respect of amounts subscribed or otherwise contributed remuneration and profits).

 

Members' participation rights in the earnings or assets of the LLP are analysed between those that are, from the LLP's perspective, either a financial liability or equity, in accordance with section 22 of FRS 102. A member's participation rights including amounts subscribed or otherwise contributed by members, for example members' capital, are classed as liabilities unless the LLP has an unconditional right to refuse payment to members, in which case they are classified as equity.

 

All amounts due to members that are classified as liabilities are presented within 'Loans and other debts due to members' and, where such an amount relates to current year profits, they are recognised within ‘Members' remuneration charged as an expense’ in arriving at the relevant year’s result. Undivided amounts that are classified as equity are shown within ‘Members' other interests’. Amounts recoverable from members are presented as debtors and shown as amounts due from members within members’ interests.

Once an unavoidable obligation has been created in favour of members through allocation of profits or other means, any undrawn profits remaining at the reporting date are shown as ‘Loans and other debts due to members’ to the extent they exceed debts due from a specific member.

1.5
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 land and buildings
25% Straight line
Plant and machinery
25% Straight line
Fixtures, fittings & equipment
25% Straight line

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 recognised in the income statement.

1.6
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.

1.7
Financial instruments

The limited liability partnership 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 limited liability partnership's statement of financial position when the limited liability partnership becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and 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.

S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
1
Accounting policies (continued)
13
Basic financial assets

Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the limited liability partnership transfers the financial asset and substantially all the risks and rewards of ownership to another entity.

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 limited liability partnership 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.

S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
1
Accounting policies (continued)
14
Other financial liabilities

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the limited liability partnership’s obligations expire or are discharged or cancelled.

1.8
Equity instruments

Equity instruments issued by the limited liability partnership are recorded at the proceeds received, net of direct issue costs.

1.9
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 limited liability partnership is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.10
Retirement benefits and post retirement payments to members
The limited liability partnership operates a defined contribution scheme for the benefit of its employees. Contributions payable are charged to the profit and loss account in the year they are payable.
1.11
Leases

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.

1.12
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

1.13
Taxation
The profits of the limited liability partnership are not subject to corporation tax. Instead, the members are subject to tax on their share of the limited liability partnership's profits or capital gains on their share of the limited liability partnership's assets.  There is no provision in these financial statements for the members' liabilities.
S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
15
2
Critical accounting judgements and key sources of estimation uncertainty

In the application of the limited liability partnership’s accounting policies, the members 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.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Accrued income

Management estimates the level of accrued income based on estimated daily assets under management across the various funds. Actual assets under management levels are not communicated by the Fund Administrators until after the year-end process has completed. Estimated assets under management is based on historic data and management's judgement.

3
Turnover

An analysis of the limited liability partnership's turnover is as follows:

2024
2023
£
£
Turnover analysed by class of business
Income from investment management services
6,512,490
1,310,385
2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
6,512,490
1,310,385
2024
2023
£
£
Other significant revenue
Interest income
6,665
1,101
4
Operating profit/(loss)
2024
2023
Operating profit/(loss) for the year is stated after charging/(crediting):
£
£
Exchange losses/(gains)
18,445
(22,860)
Depreciation of owned tangible fixed assets
4,187
4,548
Operating lease charges
186,508
183,660
S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
16
5
Auditor's remuneration
2024
2023
Fees payable to the LLP's auditor:
£
£
Audit of the financial statements of the LLP
27,100
22,483
Taxation compliance services
9,296
9,218
Other non-audit services
6,110
7,910
42,506
39,611
6
Employees

The average number of persons (excluding members) employed by the partnership during the year was:

2024
2023
Number
Number
Administration
4
4
Analysts
3
2
Total
7
6

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
2,988,311
471,604
Social security costs
330,207
34,392
Pension costs
48,793
44,656
3,367,311
550,652
7
Information in relation to members
2024
2023
Number
Number
Average number of members during the year
3
3
2024
2023
£
£
Profit attributable to the member with the highest entitlement
1,639,835
128,385
S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
17
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Other interest income
6,665
1,101
9
Tangible fixed assets
Leasehold land and buildings
Plant and machinery
Fixtures, fittings & equipment
Total
£
£
£
£
Cost
At 1 April 2023
8,475
12,190
-
20,665
Additions
-
3,160
312
3,472
At 31 March 2024
8,475
15,350
312
24,137
Depreciation and impairment
At 1 April 2023
2,257
8,610
-
10,867
Depreciation charged in the year
1,700
2,413
74
4,187
At 31 March 2024
3,957
11,023
74
15,054
Carrying amount
At 31 March 2024
4,518
4,327
238
9,083
At 31 March 2023
6,218
3,580
-
9,798
10
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
306,320
159,215
Other debtors
23,418
29,578
Prepayments and accrued income
1,232,120
591,191
1,561,858
779,984
11
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
297,389
539,187
Other taxation and social security
965,800
13,020
Other creditors
243
7,300
Accruals and deferred income
2,381,257
285,850
3,644,689
845,357
S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
18
12
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
48,793
44,656

The limited liability partnership operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the limited liability partnership in an independently administered fund.

 

At the year end, the partnership has unpaid pension contributions of £9,638 (2023: £7,300).

13
Loans and other debts due from members
2024
2023
£
£
Amounts due from members
(500,652)
(938,775)

In the event of a winding up the amounts included in "Loans and other debts due to members" will rank equally with unsecured creditors.

14
Operating lease commitments
Lessee

At the reporting end date the limited liability partnership had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2024
2023
£
£
Within one year
220,390
217,886
Between two and five years
268,667
483,359
489,057
701,245
15
Related party transactions

Remuneration of key management personnel

The total remuneration of those who are considered to be the key management personnel of the LLP was £2,985,783 (2023: loss of £150,384) of which £1,762,660 (2023: £nil) has been recognised as employee remuneration and £1,223,123 (2023: loss of £150,384) as profits distributable to members.

 

Amounts owed by key management personnel

Amounts due from members of the LLP as at 31 March 2024, totalled £23,418 (2023: £26,979). This was in relation to travel and other expenses which was paid by the LLP on behalf of the members. No interest is paid on this balance.

S.W. Mitchell Capital LLP
Notes to the financial statements (continued)
For the year ended 31 March 2024
19
16
Analysis of changes in net funds
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
581,800
2,456,296
3,038,096
Loans and other debts due from members:
- Other amounts due from members
938,775
(438,123)
500,652
Balances including members' debt
1,520,575
2,018,173
3,538,748
17
Cash generated from operations
2024
2023
£
£
Profit/(loss) for the year
1,223,123
(150,384)
Adjustments for:
Investment income recognised in profit or loss
(6,665)
(1,101)
Depreciation and impairment of tangible fixed assets
4,187
4,548
Movements in working capital:
Increase in debtors
(781,874)
(217,808)
Increase in creditors
2,799,332
395,555
Cash generated from operations
3,238,103
30,810
2024-03-312023-04-01falseCCH SoftwareCCH Accounts Production 2023.300falseOC3129532023-04-012024-03-31OC312953bus:PartnerLLP12023-04-012024-03-31OC312953bus:PartnerLLP22023-04-012024-03-31OC3129532024-03-31OC3129532022-04-012023-03-31OC312953bus:LimitedLiabilityPartnershipLLP2023-04-012024-03-31OC312953bus:FRS1022023-04-012024-03-31OC312953bus:Audited2023-04-012024-03-31OC312953bus:FullAccounts2023-04-012024-03-31xbrli:purexbrli:sharesiso4217:GBP