Registration number:
Star Lizard Consulting Limited
for the Year Ended 31 July 2023
Star Lizard Consulting Limited
Contents
Company Information |
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Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
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Consolidated Profit and Loss Account |
|
Consolidated Statement of Comprehensive Income |
|
Consolidated Balance Sheet |
|
Balance Sheet |
|
Consolidated Statement of Changes in Equity |
|
Statement of Changes in Equity |
|
Consolidated Statement of Cash Flows |
|
Statement of Cash Flows |
|
Notes to the Financial Statements |
Star Lizard Consulting Limited
Company Information
Directors |
Mr LR Coman Mr S R Edery |
Registered office |
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Auditors |
|
Star Lizard Consulting Limited
Strategic Report for the Year Ended 31 July 2023
The directors present their strategic report for the year ended 31 July 2023.
Principal activity
The principal activity of the group is the provision of consultancy services to the gambling industry.
Fair review of the group
Turnover was up 30% (£8.2m) to £36.1m against the prior year. Operating costs (Cost of sales plus Administrative expenses) also increased by 27% (£7.5m) to £34.9m, with the increase relating largely due to; staff costs, increase of £3.0m (19%); consultancy costs relating to software development, increase of £2.3m; and computer software costs, increase of £1.4m. Average headcount went up 3% from 234 to 242. Operating profit was up 79% (£0.7m) to £1.7m.
Principal risks and uncertainties
The business has continued to diversify revenue streams and encourage growth in young
relationships in order to reduce the risk of over reliance on a particular client. This is the principal risk
and uncertainty facing the company and will be further addressed by management in future years.
The company operates management policies designed to minimise is exposure to financial risk:
Credit risk
The company operates a number of policies and procedures designed to mitigate credit risk. In particular, before entering into a transaction with a customer a detailed credit review is undertaken to determine whether or not, in the opinion of the directors, the customer has the ability to meet its debts as they fall due.
Liquidity and cash flow risk
The company operates a range of policies to ensure there is sufficient liquidity and cash to meet its liabilities. Regular cash flow forecast are prepared to ensure the company is able to pay its debts as they fall due.
Approved by the
......................................... |
Star Lizard Consulting Limited
Directors' Report for the Year Ended 31 July 2023
The directors present their report and the for the year ended 31 July 2023.
Directors of the group
The directors who held office during the year were as follows:
Dividends
The directors recommend an interim dividend payment of £30,000 per share (2022 - £30,000), No final dividend is proposed (2022 - £Nil).
Information included in the Strategic Report
Employment of disabled persons
The Company puts diversity and inclusion on the agenda to ensure that the Company attracts, retains and develops the best talent from every walk of life. We are committed to providing equal opportunities and continue to demonstrate our commitment by giving full and fair consideration to a diverse range of applicants, including those with disabilities, for employment wherever practicable. Where employees with disabilities need additional support or adjustments, we will work closely with them and where appropriate, medical and healthcare professionals to give them the best tools and environment to fulfil their potential and excel in their roles. Some of our continuing initiatives include:
• Continually reviewing our recruitment process to ensure that any disabilities or protected characteristics are not a factor in our decision-making.
• Ensuring that we were able to accommodate any requests for adjustments from individuals with disabilities throughout the interview process and once they join the Company.
• Reviewing our Equal Opportunities and Dignity at Work policies to ensure that they remain relevant.
Employee involvement
We are committed to the investment of our staff at all levels to ensure a culture of continuous improvement. In order to fully engage with employees and attract and retain a high calibre of employees we run various initiatives, some of these initiatives include:
• Providing extensive employee benefits.
• Seeking regular feedback and engagement from our work force in the form of anonymous employee engagement surveys (operated by a third party), the results of which are reported to management.
• Keeping employees informed of the performance and strategy of the Company through regular presentations and updates from members of the Board.
• Ensuring that all employees have regular 1-2-1s with their managers and all teams operate regular meetings where important information is cascaded through the organisation and feedback is shared and fed back to the management.
• The CEO Office and HR providing regular company-wide communications on important topics such as health and safety and company performance.
Through these initiatives and others, the Company considers that it delivers an effective means of ensuring that its management stays alert to the views of the workforce and that the workforce are engaged with the strategy and direction of the Company.
Star Lizard Consulting Limited
Directors' Report for the Year Ended 31 July 2023
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Approved by the
......................................... |
Star Lizard Consulting Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Star Lizard Consulting Limited
Independent Auditor's Report to the Members of Star Lizard Consulting Limited
Opinion
We have audited the financial statements of Star Lizard Consulting Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2023, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the group's and the parent company's affairs as at 31 July 2023 and of the group's profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Star Lizard Consulting Limited
Independent Auditor's Report to the Members of Star Lizard Consulting Limited
We have nothing to report in this regard.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
• |
the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities [set out on page 5], the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor Responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
Star Lizard Consulting Limited
Independent Auditor's Report to the Members of Star Lizard Consulting Limited
• |
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
• |
we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of originations consulting to the gambling industry; |
• |
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, The Gambling Act, anti-bribery, employment, environmental, and health and safety legislation; |
• |
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
• |
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
|
• |
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
• |
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
|
• |
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
• |
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
|
• |
performed analytical procedures to identify any unusual or unexpected relationships; |
• |
tested journal entries to identify unusual transactions; |
• |
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and |
• |
investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
|
• |
agreeing financial statement disclosures to underlying supporting documentation; |
• |
reading the minutes of meetings of those charged with governance; |
• |
enquiring of management as to actual and potential litigation and claims; and enquiring of management as to actual and potential litigation and claims; and |
• |
reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company’s legal advisors. |
Star Lizard Consulting Limited
Independent Auditor's Report to the Members of Star Lizard Consulting Limited
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
|
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 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.
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For and on behalf of
Maria House
35 Millers Road
BN1 5NP
Star Lizard Consulting Limited
Consolidated Profit and Loss Account for the Year Ended 31 July 2023
Note |
2023 |
2022 |
|
Turnover |
|
|
|
Cost of sales |
- |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Other operating income |
|
|
|
Operating profit |
|
|
|
Interest payable and similar expenses |
( |
( |
|
Profit before tax |
|
|
|
Tax on profit |
|
|
|
Profit for the financial year |
|
|
|
Profit/(loss) attributable to: |
|||
Owners of the company |
|
|
The group has no recognised gains or losses for the year other than the results above.
Star Lizard Consulting Limited
Consolidated Statement of Comprehensive Income for the Year Ended 31 July 2023
2023 |
2022 |
|
Profit for the year |
|
|
Total comprehensive income for the year |
|
|
Total comprehensive income attributable to: |
||
Owners of the company |
|
|
Star Lizard Consulting Limited
(Registration number: 05686221)
Consolidated Balance Sheet as at 31 July 2023
Note |
2023 |
2022 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Investments |
|
|
|
|
|
||
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
2 |
2 |
|
Retained earnings |
5,576,703 |
4,444,859 |
|
Equity attributable to owners of the company |
5,576,705 |
4,444,861 |
|
Shareholders' funds |
5,576,705 |
4,444,861 |
Approved and authorised by the
......................................... |
Star Lizard Consulting Limited
(Registration number: 05686221)
Balance Sheet as at 31 July 2023
Note |
2023 |
2022 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Investments |
|
|
|
|
|
||
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
2 |
2 |
|
Retained earnings |
5,575,570 |
4,444,859 |
|
Shareholders' funds |
5,575,572 |
4,444,861 |
As permitted by s408 Companies Act 2006, the company has not presented its own income statement and related notes. The company made a profit after tax for the financial year of £1,190,711 (2022 - profit of £1,145,122).
Approved and authorised by the
......................................... |
Star Lizard Consulting Limited
Consolidated Statement of Changes in Equity for the Year Ended 31 July 2023
Equity attributable to the parent company
Share capital |
Retained earnings |
Total |
Total equity |
|
At 1 August 2022 |
|
|
|
|
Profit for the year |
- |
|
|
|
Dividends |
- |
( |
( |
( |
At 31 July 2023 |
|
|
|
|
Star Lizard Consulting Limited
Statement of Changes in Equity for the Year Ended 31 July 2023
Share capital |
Retained earnings |
Total |
|
At 1 August 2022 |
|
|
|
Profit for the year |
- |
|
|
Dividends |
- |
( |
( |
At 31 July 2023 |
|
|
|
Share capital |
Retained earnings |
Total |
|
At 1 August 2021 |
|
|
|
Profit for the year |
- |
|
|
Dividends |
- |
( |
( |
At 31 July 2022 |
2 |
4,444,859 |
4,444,861 |
Star Lizard Consulting Limited
Consolidated Statement of Cash Flows for the Year Ended 31 July 2023
Note |
2023 |
2022 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Profit on disposal of tangible assets |
( |
- |
|
Loss on disposal of intangible assets |
|
- |
|
Finance costs |
|
|
|
Income tax expense |
( |
( |
|
|
|
||
Working capital adjustments |
|||
Decrease/(increase) in trade debtors |
|
( |
|
(Decrease)/increase in trade creditors |
( |
|
|
Net cash flow from operating activities |
|
( |
|
Cash flows from investing activities |
|||
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
- |
|
Proceeds from sale of intangible assets |
( |
- |
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Repayment of other borrowing |
- |
|
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
( |
|
|
Net increase/(decrease) in cash and cash equivalents |
|
( |
|
Cash and cash equivalents at 1 August |
|
|
|
Cash and cash equivalents at 31 July |
4,668,356 |
2,703,799 |
Star Lizard Consulting Limited
Statement of Cash Flows for the Year Ended 31 July 2023
Note |
2023 |
2022 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Profit on disposal of tangible assets |
( |
- |
|
Loss on disposal of intangible assets |
|
- |
|
Finance costs |
|
|
|
Income tax expense |
( |
( |
|
|
|
||
Working capital adjustments |
|||
Decrease/(increase) in trade debtors |
|
( |
|
(Decrease)/increase in trade creditors |
( |
|
|
Net cash flow from operating activities |
|
( |
|
Cash flows from investing activities |
|||
Acquisition of subsidiaries |
( |
- |
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
- |
|
Proceeds from sale of intangible assets |
( |
- |
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Repayment of other borrowing |
- |
|
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
( |
|
|
Net increase/(decrease) in cash and cash equivalents |
|
( |
|
Cash and cash equivalents at 1 August |
|
|
|
Cash and cash equivalents at 31 July |
4,565,223 |
2,703,799 |
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 July 2023.
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The financial statements have been prepared on a going concern basis.
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Revenue recognition
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised:
Rendering of services
Turnover from contract to provide services is recognised in the period in which the services are proved in accordance with the stage of completion of the contract when all the following conditions are satisfied:
• The amount of turnover can be measured reliably
• It is probably that the company 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 cost incurred and the cost to complete the contracts can be measured reliably
Turnover in connection with the supply of software is recognised at the point that the company delivers the project to the customer.
Turnover represents income earned through the provision of services in relation to consultancy to the gambling industry, ,information supplied to governing football bodies regarding match fixing and the design and provision of software systems to companies in the gambling industry.
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Furniture fittings and equipment |
10% - 20% on cost |
Computer equipment |
33% on cost |
Leasehold improvements |
over life of lease |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Turnover |
The analysis of the group's Turnover for the year from continuing operations is as follows:
2023 |
2022 |
|
Software development |
|
|
Rendering of services |
|
|
|
|
The analysis of the group's Turnover for the year by class of business is as follows:
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
2023 |
2022 |
|
Sale of goods |
|
|
Rending of services |
|
|
|
|
The analysis of the group's Turnover for the year by market is as follows:
2023 |
2022 |
|
UK |
|
|
Rest of world |
- |
|
|
|
Other operating income |
The analysis of the group's other operating income for the year is as follows:
2023 |
2022 |
|
Rent and service charge income |
|
|
Operating profit |
Arrived at after charging/(crediting)
2023 |
2022 |
|
Depreciation expense |
|
|
Profit on disposal of property, plant and equipment |
( |
- |
Interest payable and similar expenses |
2023 |
2022 |
|
Interest expense on other finance liabilities |
|
|
Foreign exchange (losses)/gains |
( |
|
|
|
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2023 |
2022 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
|
|
Other post-employment benefit costs |
- |
|
Other employee expense |
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
2023 |
2022 |
|
Production |
|
|
Administration and support |
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
2023 |
2022 |
|
Remuneration |
|
|
Benefit in kind represents health insurance.
In respect of the highest paid director:
2023 |
2022 |
|
Remuneration |
|
|
Auditors' remuneration |
2023 |
2022 |
|
Audit of these financial statements |
26,487 |
21,000 |
Other fees to auditors |
||
All other non-audit services |
|
|
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
2023 |
2022 |
|
Deferred taxation |
||
Arising from origination and reversal of timing differences |
( |
( |
The tax on profit before tax for the year is lower than the standard rate of corporation tax in the UK (2022 - lower than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2023 |
2022 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
( |
|
Effect of tax losses |
( |
( |
UK deferred tax credit relating to changes in tax rates or laws |
( |
( |
Tax (decrease)/increase from effect of capital allowances and depreciation |
( |
|
Tax decrease from effect of adjustment in research and development tax credit |
- |
( |
Total tax credit |
( |
( |
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Tangible assets |
Group
Land and buildings |
Furniture, fittings and equipment |
Total |
|
Cost or valuation |
|||
At 1 August 2022 |
|
|
|
Additions |
- |
|
|
At 31 July 2023 |
|
|
|
Depreciation |
|||
At 1 August 2022 |
|
|
|
Charge for the year |
|
|
|
At 31 July 2023 |
|
|
|
Carrying amount |
|||
At 31 July 2023 |
|
|
|
At 31 July 2022 |
|
|
|
Included within the net book value of land and buildings above is £2,988,026 (2022 - £3,569,582) in respect of short leasehold land and buildings.
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Company
Land and buildings |
Furniture, fittings and equipment |
Total |
|
Cost or valuation |
|||
At 1 August 2022 |
|
|
|
Additions |
- |
|
|
At 31 July 2023 |
|
|
|
Depreciation |
|||
At 1 August 2022 |
|
|
|
Charge for the year |
|
|
|
At 31 July 2023 |
|
|
|
Carrying amount |
|||
At 31 July 2023 |
|
|
|
At 31 July 2022 |
|
|
|
Included within the net book value of land and buildings above is £2,988,026 (2022 - £3,569,582) in respect of short leasehold land and buildings.
Investments |
Company
2023 |
2022 |
|
Investments in subsidiaries |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 August 2022 |
|
Additions |
|
At 31 July 2023 |
|
Provision |
|
Carrying amount |
|
At 31 July 2023 |
|
At 31 July 2022 |
|
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
2023 |
2022 |
|||
Subsidiary undertakings |
||||
|
DAC Beachcroft Dublin, Three Haddington Buildings, Percy Place, Dublin 4 Ireland |
|
|
|
Subsidiary undertakings |
Star Lizard Consulting (Ireland) Limited The principal activity of Star Lizard Consulting (Ireland) Limited is |
Debtors |
Group |
Company |
||||
Current |
Note |
2023 |
2022 |
2023 |
2022 |
Trade debtors |
|
|
|
|
|
Amounts owed by related parties |
- |
|
|
|
|
Other debtors |
|
|
|
|
|
Prepayments |
|
|
|
|
|
Accrued income |
- |
|
- |
|
|
Deferred tax assets |
|
|
|
|
|
|
|
|
|
Deferred tax asset
Deferred tax provisions comprise of:
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Accelerated capital allowances |
(1,334) |
6,854 |
(1,334) |
6,854 |
Tax losses |
892,802 |
881,997 |
892,802 |
881,997 |
891,468 |
888,851 |
891,468 |
888,851 |
|
|
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Cash and cash equivalents |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Cash on hand |
|
|
|
|
Cash at bank |
|
|
|
|
|
|
|
|
Creditors |
Group |
Company |
||||
Note |
2023 |
2022 |
2023 |
2022 |
|
Due within one year |
|||||
Loans and borrowings |
|
|
|
|
|
Trade creditors |
|
|
|
|
|
Social security and other taxes |
|
|
|
|
|
Outstanding defined contribution pension costs |
- |
|
- |
|
|
Other payables |
|
|
|
|
|
Accruals |
|
|
|
|
|
|
|
|
|
||
Due after one year |
|||||
Loans and borrowings |
|
|
|
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £Nil (2022 - £
Share capital |
Allotted, called up and fully paid shares
2023 |
2022 |
|||
No. |
£ |
No. |
£ |
|
|
|
2 |
|
2 |
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Loans and borrowings |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Non-current loans and borrowings |
||||
Other borrowings |
|
|
|
|
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Current loans and borrowings |
||||
Other borrowings |
|
|
|
|
The loans are unsecured and are interest only, the interest rates vary from 1% to 4% above the Bank of England base rate. No repayments are due in the next twelve months.
Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
2023 |
2022 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
Later than five years |
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Dividends |
2023 |
2022 |
|||
£ |
£ |
|||
Interim dividend of £ |
60,000 |
60,000 |
||
Star Lizard Consulting Limited
Notes to the Financial Statements for the Year Ended 31 July 2023
Related party transactions |
Company
Blue and White Capital Limited
A S Franks, a shareholder, is a director of Blue and White Capital Limited.
Included in other income is £552,500 (2022 - £518,125) representing rents and service charges receivable from Blue and White Capital Limited.
Lacerta Sports Limited
S Edery, a director, is a director and shareholder of Lacerta Sports Limited.
Turnover includes £12,441,683 (2022 - £5,000,000) representing sale of software to Lacerta Sports Limited. Current assets include trade debtors of £8,911,552 (2022 accrued income - £5,000,000) relating to this sale.
On the 1st August 2022, 30 employees of Star Lizard Consulting Limited were transferred to Lacerta Sports Limited along with 2 customers.
The Brighton and Hove Albion Football Club Limited
The shareholders, A S Franks and M L Sugarman, are directors of The Brighton and Hove Albion Football Club Limited.
Turnover includes £3,250,000 (2022 - £3,000,000) representing consultancy services provided to The Brighton and Hove Albion Football Club Limited. Current assets include trade debtors of £900,000 (2022 accrued income - £3,000,000) relating to this income.
Summary of transactions with subsidiaries
Star Lizard Consulting (Ireland) Limited
100% Subsidiary of Star Lizard Consulting Limited.
Included in administrative expenses is £95,770 representing consultancy services payable to Star Lizard Consulting (Ireland) Limited.
Included in Other debtors is a loan due from Star Lizard Consulting (Ireland) Limited amounting to £214,777.
Controlling party |
There is no single ultimate controlling party. The board of directors control the company's day to day affairs.