The directors present the strategic report for the year ended 31 August 2023.
The Company operates two business arms: the owned and managed Sixes Social Cricket sites, and the Franchise arm, which began trading in the financial year ending 31st August 2023.
This has been a quieter year for the group compared to the previous year, but notable developments during the year include:
The opening of Sixes Social Cricket in Dallas
The opening of Sixes Social Cricket in Brighton
The launch of two franchise sites.
All sites opened in previous financial years are generating positive EBITDA for the current financial year. Notably, the three venues—Sixes Fulham, Fitzrovia, and Manchester—that traded for a full year in the prior financial year have seen revenue grow by 16% and EBITDA increase by 94%.
Trading Performance
The loss before tax was £2,014,181 (financial year 2022: loss of £1,544,190). EBITDA was a loss of £1,106,103 (financial year 2022: loss of £962,950).
The group is transitioning into a cashflow-positive position, with a projected budget of £2 million for the forthcoming financial year, after accounting for head office costs. This indicates that, following the current investment round, the company will be able to pursue growth without needing additional investment. However, further investment may be necessary to maintain the rapid pace at which the company is expanding.
The social entertainment space is continuing to grow as consumers increasingly shift from purchasing physical products to seeking out experiences, leading to heightened competition in the market. To remain competitive and attract more customers, the brand has been evolving from its traditional cricket roots into a more vibrant and engaging cricket experience. However, the customer booking journey has faced some initial challenges and remains an area of ongoing development to enhance the overall customer experience.
The company continually reviews its operating costs to ensure that the pricing of its experiences remains competitive with other hospitality and social entertainment businesses. This ongoing assessment helps the company maintain a strong market position while delivering value to its customers.
The company utilizes a foreign exchange platform to mitigate a portion of its foreign currency risk, helping to manage the financial impact of currency fluctuations on its international operations.
The Group continually reviews its ability to meet its liabilities by producing monthly management accounts. These accounts include forward-looking assessments of the cash position for the current financial year and beyond, ensuring ongoing financial stability and proactive management of obligations.
The group successfully completed an investment round earlier in the 2024 financial year, raising a total of £2.4 million. A further investment round was launched in July 2024, seeking to raise an additional £2.5 million. This new investment will be directed towards the development of the current estate and future openings. Additionally, approximately 95% of the shareholder loan has been written off during this year.
In summary, below highlights the issues addressed by the company's operational and financial management regarding the production and installation of batting nets. Here's a summary and analysis:
Production and Lead Time: The company’s tech partner requires up to 12 weeks to produce batting nets, which means they must plan our inventory well in advance. The necessity to order in large batches indicates a significant upfront investment in inventory.
Site and Franchise Expansion: There is an ongoing assessment of potential new locations, developments within existing sites, and franchise opportunities. This continuous expansion effort is likely contributing to both the growth of the business and the complexity of managing resources effectively.
Cashflow Management: The extended lead time and large batch ordering contribute to cashflow constraints, which the company manages through weekly cashflow reviews. This indicates a proactive approach to financial management, ensuring that the company can meet its obligations and continue operations smoothly.
Investment and Cash Reserves: The company has recently secured the first tranche of an investment round, which has bolstered its cash reserves. This is particularly important given that the last site opening incurred unexpected capital expenditures (CAPEX), which likely strained the company's finances.
Unforeseen CAPEX: The mention of unforeseen CAPEX requirements at the last site opening highlights the challenges the company faces in predicting and managing costs. However, the additional investment has provided a cushion to absorb these kinds of financial shocks.
In summary, while the company is expanding and managing its operations effectively, it faces challenges related to cashflow management due to the long production lead times and large upfront costs. The recent investment has helped alleviate some of these pressures, particularly after unexpected expenses at a new site.
The management team remains focused on the key performance indicators (KPIs) of the business, which include:
Like-for-like turnover
Gross profit margin
Wages to turnover ratio
EBITDA to turnover ratio
In the financial year 2024, there has been a significant number of openings, including:
Southampton (two nets concept in a shopping centre)
Oxford (three indoor batting nets and three rooftop batting nets)
Guildford (three batting nets)
London Bridge (five batting nets)
Management has reviewed the current estate and determined that there is capacity to install six additional batting nets, representing a 13% increase in the current number of nets. This expansion is expected to boost revenue while incurring only a marginal increase in fixed overheads.
The group has not expanded its franchise business in the UK during the current financial year. However, three new venues are scheduled to open in the early part of the 2025 financial year, marking a planned expansion for that period.
The group has expanded its international franchise business by opening a new four-net venue in Trinidad & Tobago. This venue was launched in June, coinciding with the ICC Men’s T20 tournament.
On behalf of the board
The directors present their annual report and financial statements for the year ended 31 August 2023.
The results for the year are set out on page 11.
No ordinary dividends were paid. The directors do not recommend payment of a further dividend.
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
The auditor, Kings CAP Ltd, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
We have audited the financial statements of Motherclub Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 2023 which comprise the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company 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).
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We draw attention to note 1.3 in the financial statements which indicates the company's ability to continue as a going concern despite operational losses. As stated in note 1.3, these events or conditions, along with other matters as set forth in note 1.3, indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Our evaluation of the directors' assessment of the Group's ability to continue to adopt the going concern basis of accounting included obtaining and reviewing the Group's forecasts and holding discussions with management over the key assumptions therein, and discussions with management surrounding the parent company's future plans for the Group including working capital support.
Our responsibilities and the responsibilities of the directors' with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent company 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.
As explained more fully in the directors' responsibilities statement, 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 parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the parent company or to cease operations, or have no realistic alternative but to do so.
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 to ensure the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations.
We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity by way of discussions with the directors and from our commercial knowledge and experience in the entertainment sector. 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, ISO Standards, employment 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.
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;
- enquiring of management as to actual and potential litigation and claims; and
- reviewing correspondence with HMRC, relevant regulators, and the company's legal advisors.
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 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.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.
Other matters which we are required to address
The prior period financial statements were unaudited.
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.
The profit and loss account has been prepared on the basis that all operations are continuing operations.
The notes on pages 19 to 40 form part of these financial statements.
As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s loss for the year was £282,824 (2022 - £5,729 profit).
The notes on pages 19 to 40 form part of these financial statements.
The notes on pages 19 to 40 form part of these financial statements.
The notes on pages 19 to 40 form part of these financial statements.
The notes on pages 19 to 40 form part of these financial statements.
Motherclub Limited (“the company”) is a private limited company domiciled and incorporated in Scotland. The registered office is 14A Hamilton Place, Aberdeen, Aberdeenshire, Scotland, AB15 4BH.
The group consists of Motherclub Limited and all of its subsidiaries.
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.
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, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and not presented its own Statement of Comprehensive Income in these financial statements.
The consolidated group financial statements consist of the financial statements of the parent company Motherclub Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.
All financial statements are made up to 31 August 2023. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
The Group continually reviews its ability to meet its liabilities by producing monthly management accounts. These accounts include forward-looking assessments of the cash position for the current financial year and beyond, ensuring ongoing financial stability and proactive management of obligations.
The group successfully completed an investment round earlier in the 2024 financial year, raising a total of £2.4 million. A further investment round was launched in July 2024, seeking to raise an additional £2.5 million. This new investment will be directed towards the development of the current estate and future openings. Additionally, approximately 95% of the shareholder loan has been written off during this year.
In summary, while the company is expanding and managing its operations effectively, it faces challenges related to cashflow management due to the long production lead times and large upfront costs. The recent investment has helped alleviate some of these pressures, particularly after unexpected expenses at a new site.
Based on the above, The Directors believe that it remains appropriate to prepare the financial statements on a going concern basis.
Turnover represents cricket games, bar and food sales. Turnover is recognised to the extent that it is probable that economic benefits will flow to the Company and can be reliably measured.
Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. It is recognised at the time the cricket game is provided and at the time the sale is made for bar and food sales.
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 profit and loss account.
Investments in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible 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.
The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.
The group 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 group's balance sheet when the group 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.
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.
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.
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.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
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 group after deducting all of its liabilities.
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, 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.
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.
Equity instruments issued by the group 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 group.
The tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
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.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Equity-settled share-based payments are measured at fair value at the date of exercise. The fair value determined at the exercise date is expensed when the shares eventually vest. A corresponding adjustment is made to equity.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
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 leased asset are consumed.
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
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.
On consolidation, the results of the overseas operations are translated into Sterling at rates appropriate to those ruling when the transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income.
In the application of the group’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.
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.
Judgement is exercised by management in estimating the useful economic lives and depreciation and amortisation in respect of tangible and intangible fixed assets. When management identifies that actual useful economic lives differ materially from the estimates used to calculate depreciation, those useful economic lives are adjusted. Due to the significant investment in the group's fixed assets, variances between actual and estimated useful economic lives could impact operating results both positively and negatively.
At the balance sheet date the company is owed balances from subsidiary undertakings totaling £7.4M, these balances are the result of the group's expansion. The directors are required to assess whether there are any indicators of impairment and where such indicators are identified, the directors are required to estimate the recoverable amount of the debt and compare this to the carrying amount at the reporting date.
The directors have reviewed and estimated that the future cash flows will be in excess of the intercompany debt owed to the company at the balance sheet date. The directors have used judgement and assumptions in their valuation model which rely on the individual site performance, including sales growth and profitability. While the directors consider their assumptions to be appropriate and reasonable any changes would impact the estimated recoverable amount and could result in an impairment being recognised in the Statement of Comprehensive Income and a reduction in the carrying value of amounts owed from the group undertakings in the Balance sheet.
The average monthly number of persons (including directors) employed by the group and company during the year was:
Their aggregate remuneration comprised:
During the year retirement benefits were accruing to 1 director (2020 - 1) in respect of defined contribution pension schemes.
The actual charge for the year can be reconciled to the expected credit for the year based on the profit or loss and the standard rate of tax as follows:
The Finance Act 2021 was substantially enacted in May 2021 and has increased the corporation tax rate from 19% to 25% with effect from 1 April 2023. The deferred taxation balances have been measured using the rates expected to apply in the reporting periods when the timing differences reverse.
Impairment tests have been carried out where appropriate and the following impairment losses have been recognised in profit or loss:
The impairment losses in respect of financial assets are recognised in other gains and losses in the profit and loss account.
More information on impairment movements in the year is given in note 12.
Included within the net book value is £1,178,431 (2022 - £1,013,554) relating to assets held under hire purchase and finance lease contracts. The depreciation charged to the financial statements in the year in respect of such assets amounted to £205,173 (2022 - £143,856).
Details of the company's subsidiaries at 31 August 2023 are as follows:
The Registered office of the subsidiary undertakings incorporated in the United Kingdom is 13 Queens Road, Aberdeen, Scotland, AB15 4YL.
The Registered office of the subsidiary undertakings incorporated in the USA is 5750 Grandscape Blvd Ste 115, The Colony, TX 75056.
The aggregate amount of creditors for which security has been given by the group amounted to £701,508 (2022 - £276,693).
The director has given a personal guarantee in respect of one of the company loans totaling £87,308.
The aggregate amount of creditors for which security has been given by the group amounted to £1,642,032 (2022 - £834,543).
The aggregate amount of borrowings for which security has been given by the group amounted to £724,250 (2022 - £1).
Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 5 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.
A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.
The options outstanding at 31 August 2023 had an exercise price of £285.60 per share.
The options outstanding at 31 August 2023 had an exercise price of £285.60 per share.
On 24 November 2022, 4,143 Ordinary £0.10 shares were issued and allotted at £408 per share.
On 16 December 2022, 245 Ordinary £0.10 shares were issued and allotted at £408 per share
On 1 March 2023, 360 Ordinary £0.10 shares were issued and allotted at £408 per share.
On 11 April 2023, 649 Ordinary £0.10 shares were issued and allotted at £408 per share.
On 16 July 2023, 116 Ordinary £0.10 shares were issued and allotted at £408 per share.
On 16 July 2023, 1,166 Ordinary £0.10 shares were issued and allotted at £660 per share.
On 14 August 2023, 477 Ordinary £0.10 shares were issued and allotted at £660 per share.
At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
The remuneration of key management personnel is as follows.
The company secretary maintains a loan account with the company. At the balance sheet date, the company secretary was owed £23,000 (2022 - £84,000).
The directors maintain a loan account with the company. At the start of the year the company owed the directors £8,673. During the year drawings were made by the directors totaling £30,300. At the year end the directors owed the company £21,627.