REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements for the Year Ended 30 November 2023 |
for |
Spirit Of 1873 Ltd |
REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements for the Year Ended 30 November 2023 |
for |
Spirit Of 1873 Ltd |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Contents of the Financial Statements |
for the Year Ended 30 November 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 5 |
Statement of Comprehensive Income | 9 |
Statement of Financial Position | 10 |
Statement of Changes in Equity | 11 |
Notes to the Financial Statements | 12 |
Spirit Of 1873 Ltd |
Company Information |
for the Year Ended 30 November 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
York House |
Thornfield Business Park |
Northallerton |
North Yorkshire |
DL6 2XQ |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Strategic Report |
for the Year Ended 30 November 2023 |
The directors present their strategic report for the year ended 30 November 2023. |
REVIEW OF BUSINESS |
The results for the financial year and the financial position of the Company are shown in detail in the annexed financial statements. |
Turnover of the business increased by 19% from £3,895,700 in 2022 to £4,629,104 in 2023. |
Cost of sales increased by 2.7% to £2,643,934 (2022: £2,572,867) whilst administrative expenses increased by 1% to £2,151,582 (2022: £1,947,903). |
The Company's Other operating income fell from £2,212,247 in 2022 to £1,659,108 in 2023. |
As a result, Operating profit of the Company fell from £1,587,117 in 2022 to £1,492, 696 in 2023, a reduction of 6%. |
At the end of the period, the Company had net assets of £3,513,418 - an increase from £754,393 at 30 November 2022. This Company also had cash reserves of £479,264 in comparison to £173,441 in the prior period. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Performance risk |
The principal risk of the company is an adverse performance on the pitch, and its subsequent effect on income streams. The directors believe that they have in place the appropriate facilities and staff to ensure that the team continues to be as competitive as possible and to increase demand for supporter following. |
Credit risk |
It is the company's policy that customers who wish to trade on credit terms are subject to credit verification procedures. Receivables balances are monitored on an ongoing basis and action is taken promptly when payment terms are breached. |
Interest rate risk |
The company has agreed a fixed rate of interest on its loans from Wakefield Council and the Department of Culture, Media and Sport (DCMS). |
Liquidity risk |
The Board monitors cash forecasts prepared by management based on historic and anticipated future trading levels. Costs are constantly reviewed and capital investment is closely controlled. |
ON BEHALF OF THE BOARD: |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Report of the Directors |
for the Year Ended 30 November 2023 |
The directors present their report with the financial statements of the company for the year ended 30 November 2023. |
DIVIDENDS |
No dividends will be distributed for the year ended 30 November 2023. |
DIRECTORS |
The directors who have held office during the period from 1 December 2022 to the date of this report are as follows: |
DISCLOSURE IN THE STRATEGIC REPORT |
Information is not shown in the directors' report because it is shown in the strategic report instead under S414C(11). The strategic report includes a business review and a review of principal risks and uncertainties relevant to the company. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | 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 company's transactions and disclose with reasonable accuracy at any time the financial position of 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Report of the Directors |
for the Year Ended 30 November 2023 |
AUDITORS |
Armstrong Watson Audit Limited, were appointed as registered auditors of the company on 17th May 2024. |
The auditors will be proposed for re-appointment in accordance with section 485 of the Companies Act 2006 at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Spirit Of 1873 Ltd |
Opinion |
We have audited the financial statements Spirit of 1873 Ltd (the 'Company') for the year ended 30 November 2023, which comprise the Statement Of Comprehensive Income, the Statement of Financial Position, the Statement Of Changes In Equity and the related notes, 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 Company's affairs as at 30 November 2023 and of its 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. |
The comparative figures disclosed in the financial statements for the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes of Equity and the related notes for the period ended 30 November 2022 were not audited. |
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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's Report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. |
We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Spirit Of 1873 Ltd |
Matters on which we are required to report by exception |
In the light of the 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 or 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, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the 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 three, 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 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. |
Report of the Independent Auditors to the Members of |
Spirit Of 1873 Ltd |
Auditors' 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 a Report of the Auditors 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: |
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 extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
- 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 the sector; |
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; 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 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: |
- tested journal entries to identify unusual transactions; |
- assessed whether judgements and assumptions made in determining the accounting estimates set out in Note 2 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; and |
- enquiring of management as to actual and potential litigation and claims. |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
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. |
Report of the Independent Auditors to the Members of |
Spirit Of 1873 Ltd |
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 a Report of the Auditors 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. |
for and on behalf of |
York House |
Thornfield Business Park |
Northallerton |
North Yorkshire |
DL6 2XQ |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Statement of Comprehensive Income |
for the Year Ended 30 November 2023 |
30.11.23 | 30.11.22 |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Administrative expenses | ( |
) | ( |
) |
(166,412 | ) | (625,070 | ) |
Other operating income | 4 |
OPERATING PROFIT | 6 |
Exceptional items | 8 |
2,767,696 | 1,587,177 |
Interest receivable and similar income |
2,767,696 | 1,587,306 |
Interest payable and similar expenses | 9 | ( |
) | ( |
) |
PROFIT BEFORE TAXATION |
Tax on profit | 10 |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Statement of Financial Position |
30 November 2023 |
30.11.23 | 30.11.22 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Tangible assets | 12 |
Investments | 13 |
CURRENT ASSETS |
Stocks | 14 |
Debtors | 15 |
Cash at bank and in hand | 16 |
CREDITORS |
Amounts falling due within one year | 17 | ( |
) | ( |
) |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
18 |
( |
) |
( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Share premium | 21 |
Retained earnings | 21 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Statement of Changes in Equity |
for the Year Ended 30 November 2023 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 December 2021 | ( |
) | ( |
) |
Changes in equity |
Issue of share capital | - |
Total comprehensive income | - | - |
Balance at 30 November 2022 |
Changes in equity |
Issue of share capital | - |
Total comprehensive income | - | - |
Balance at 30 November 2023 |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements |
for the Year Ended 30 November 2023 |
1. | STATUTORY INFORMATION |
Spirit Of 1873 Ltd is a |
The principal activity of the business is a professional rugby league club. |
These financial statements have been prepared in Pound Sterling as this is the currency of the primary economic environment in which the company operates. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, unless otherwise specified within these accounting policies. |
Going concern |
The directors have considered the on-going situation with the current cost of living crisis and its impact on income streams of the club. |
The ultimate parent, Silkstone Finance Limited, has confirmed it will provide financial support to the company for a period of at least 12 months from the date of signing these financial statements. The directors have satisfied themselves that Silkstone Finance Limited are able to provide any support needed. |
After consideration of all factors, the directors continue to adopt the going concern basis in preparing the financial statements. |
Financial Reporting Standard 102 - reduced disclosure exemptions |
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
• | the requirements of Section 7 Statement of Cash Flows; |
• | the requirement of paragraph 3.17(d); |
• | the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); |
• | the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A; |
• | the requirement of paragraph 33.7. |
This information is included within the consolidated financial statements of Silkstone Finance Limited as at 31 December 2023 and these financial statements may be obtained from Companies House, Cardiff, CF14 3UZ. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
2. | ACCOUNTING POLICIES - continued |
Judgements in applying accounting policies and key sources of uncertainty |
The preparation of these financial statements required management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. |
Judgements and estimates are continually evaluated and are based on historical experiences and otherfactors, including expectations of future events that are believed to be reasonable under the circumstances. |
The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual result. |
The directors consider the key accounting estimates to be the useful life and residual value of tangible fixed assets, valuation of freehold land and property, and the basis on which government grant income is reflected in these financial statements. |
Useful lives and residual values of tangible fixed assets |
The useful lives and residual values of tangible fixed assets are reviewed on an ongoing basis by the directors. |
Assets under construction |
The directors use judgement in assessing which costs should be capitalised as assets under construction. Assets under construction are not depreciated until the respective assets are judged to be completed and available for their intended use. |
Grant income |
The directors use judgement when considering the future economic benefit from the grant received from Wakefield Council. Based on the clubs ongoing commitment to its community use strategy the directors believe that the club will benefit from the grant received for a period of five years and therefore will be recognising the income over five years. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover is measured at fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Gate receipts relate to the proceeds taken at the turnstiles for each game and the season ticket sales for the season. Any prepaid season ticket sales are included in deferred income. Future credits against season tickets are recognised in deferred income. |
Television fees relate to the payments for television coverage. They are accounted for on an accruals basis. |
Sponsorship, advertising and hospitality is accounted for in the season to which it relates. Any prepaid sales are included in deferred income. |
Merchandising relates to shop sales and is accounted for on a receipts basis. |
Lottery donations are accounted for on a receipts basis. |
Rent received relates the use of the pitch and is accounted for in the period in which the use of the pitch took place. |
Goodwill |
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
2. | ACCOUNTING POLICIES - continued |
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 economic lives on the following bases: |
Freehold property | - 2% on cost |
Pitch | - 10% on cost |
Assets under construction | - None until asset brought into use |
Plant and machinery | - 4-10% on cost |
Motor vehicles | - 25% on cost |
Computer equipment | - 33% on cost |
Fixture and fittings | - 10% on cost |
The Stadium is subject to a formal valuation every three years and will be valued based on replacement cost. In the intervening years, the directors consider if there has been a material change to the valuation and if so, would carry out a directors' valuation. The useful life of the stadium is deemed to be 50 years. Upon valuation the revalued amount is depreciated over the remaining useful economic life. At the year end this was 50 years. |
The gain or loss arising on the disposal of an asset is determined by the difference between the sales proceeds and the carrying value of the asset, and is credited or charges to profit or loss. |
Impairment of fixed assets |
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverability of the cash-generating unit to which the asset belongs. |
Government grants |
Grants are accounted for under the performance model as required by FRS102. Under the performance model, grants are accounted for as income when any performance-related conditions are met or, if there are no such conditions, when they become receivable. |
The grant funding from Wakefield Council has been capitalised and will be recognised as income over five years. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method. |
The cost of finished goods comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Debtors |
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment. |
Creditors |
Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. |
Operating leases: the company as lessee |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the lease term. |
Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset. |
Operating leases: the Company as lessor |
Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the principal activities of the company. |
An analysis of turnover by class of business is given below: |
30.11.23 | 30.11.22 |
£ | £ |
All turnover arose within the United Kingdom. |
4. | OTHER OPERATING INCOME |
30.11.23 | 30.11.22 |
£ | £ |
Grant income | 1,659,108 | 2,212,247 |
Government grants |
Grant income for the year includes £1,659,108 received under arrangements in accordance with Section 106 of the Town and Country Planning Act 1990 and from Wakefield City Council from the Sports Resilience Fund. |
Grant income received this year is being recognised in the financial statements over five years to reflect the ongoing commitment by the club to its community use strategy. |
5. | EMPLOYEES AND DIRECTORS |
30.11.23 | 30.11.22 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
30.11.23 | 30.11.22 |
Players and coaching | 33 | 46 |
Catering and stewards | 31 | 43 |
General | 16 | 23 |
30.11.23 | 30.11.22 |
£ | £ |
Directors' remuneration |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
6. | OPERATING PROFIT |
The operating profit is stated after charging: |
30.11.23 | 30.11.22 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
7. | AUDITORS' REMUNERATION |
30.11.23 | 30.11.22 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
15,000 |
- |
8. | EXCEPTIONAL ITEMS |
30.11.23 | 30.11.22 |
£ | £ |
Exceptional items |
Within exceptional items is the write-off of a shareholder loan of £1,275,000. |
9. | INTEREST PAYABLE AND SIMILAR EXPENSES |
30.11.23 | 30.11.22 |
£ | £ |
Other loan interest |
10. | TAXATION |
Analysis of the tax credit |
The tax credit on the profit for the year was as follows: |
30.11.23 | 30.11.22 |
£ | £ |
Current tax: |
UK corporation tax | ( |
) | ( |
) |
Tax on profit | ( |
) | ( |
) |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
11. | INTANGIBLE FIXED ASSETS |
Patents |
and |
Goodwill | licences | Totals |
£ | £ | £ |
COST |
At 1 December 2022 |
and 30 November 2023 |
AMORTISATION |
At 1 December 2022 |
and 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
12. | TANGIBLE FIXED ASSETS |
Freehold | Assets |
land and | under | Plant and |
buildings | Pitch | construction | machinery |
£ | £ | £ | £ |
COST |
At 1 December 2022 |
Additions |
Disposals |
At 30 November 2023 |
DEPRECIATION |
At 1 December 2022 |
Charge for year |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
12. | TANGIBLE FIXED ASSETS - continued |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 December 2022 |
Additions |
Disposals | ( |
) | ( |
) |
At 30 November 2023 |
DEPRECIATION |
At 1 December 2022 |
Charge for year |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
Included in Freehold land and buildings is land of £3,140,000 (2022: £3,140,000) which is not depreciated. |
Assets under construction comprise the cost of the club's new stand, brought into use following the year end. |
13. | FIXED ASSET INVESTMENTS |
Unlisted |
investments |
£ |
COST |
At 1 December 2022 |
and 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
14. | STOCKS |
30.11.23 | 30.11.22 |
£ | £ |
Stocks |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.11.23 | 30.11.22 |
£ | £ |
Trade debtors |
Other debtors |
Tax |
VAT |
Prepayments and accrued income |
16. | CASH AT BANK AND IN HAND |
30.11.23 | 30.11.22 |
£ | £ |
Cash at bank | 477,499 | 171,676 |
Cash in hand |
17. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.11.23 | 30.11.22 |
£ | £ |
Other loans (see note 19) |
Trade creditors |
Social security and other taxes |
VAT | 48,480 | - |
Other creditors |
Pension control account | 8,462 | 8,561 |
Accruals and deferred income |
Included within other loans is an amount of £241,435 secured by a fixed charge over the Company's freehold land and buildings. |
18. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
30.11.23 | 30.11.22 |
£ | £ |
Other loans (see note 19) |
Other creditors |
Accruals and deferred income |
Included within other loans is an amount of £2,908,565 secured by a fixed charge over the Company's freehold land and buildings. |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
19. | LOANS |
An analysis of the maturity of loans is given below: |
30.11.23 | 30.11.22 |
£ | £ |
Amounts falling due within one year or on demand: |
Other loans |
Amounts falling due between one and two years: |
Other loans - 1-2 years | 3,675,989 |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 30.11.23 | 30.11.22 |
value: | £ | £ |
Owner shares | £1 | 11,783 | 11,783 |
Member shares | £0.01 | 3,500 | 3,000 |
15,283 | 14,783 |
50,000 Member shares shares of £0.01 each were allotted as fully paid |
Owner shares entitle holders to voting rights and rights to a capital distribution on winding up. |
Member shares have no voting rights and any capital distribution on winding up is limited to the nominal value of the shares. |
21. | RESERVES |
Profit and loss account |
This reserve represents cumulative profits and losses, net of any dividends paid. |
Share premium |
Share premium is the amount received by a company over and above the face value of its shares. |
22. | RELATED PARTY DISCLOSURES |
Included in exceptional items with the profit and loss is a debt write off of £1,275,000. The debt was waived by the previous shareholders of the company. |
The Company has taken advantage of the exemption in Section 33 "Related Party Disclosures" from disclosing transactions with other members of the group, as permitted by FRS102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". |
Spirit Of 1873 Ltd (Registered number: 07511179) |
Notes to the Financial Statements - continued |
for the Year Ended 30 November 2023 |
23. | ULTIMATE CONTROLLING PARTY |
The immediate and ultimate parent company of Spirit of 1873 Ltd is Silkstone Finance Limited. |
Up to 24th October 2023 the company was under the control of J Minards and M Carter. |
On 24th October 2023, Silkstone Finance Limited acquired 100% of Spirit of 1873 Ltd's owner share capital, therefore becoming the ultimate controlling party. |
Silkstone Finance Limited prepare group financial statements into which Spirit of 1873 Ltd is consolidated as at 31 December 2023. Copies of the consolidated financial statements of Silkstone Finance Limited are available from Companies House, Crown Way, Cardiff, CF14 3UZ. |