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Registered number: OC309016









NORTH OF SOUTH CAPITAL LLP









FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
NORTH OF SOUTH CAPITAL LLP
 

INFORMATION



Designated Members
M A Linsey
A Van Leeuwen
Members
K M Dimmich
R Holmes
F L Tsai (appointed 1 January 2023)
M G Latham (appointed 1 January 2023)
Pacific Asset Management Services LLP
Commodity Intelligence LLP (resigned 1 January 2023)

LLP registered number
OC309016

Registered office
85-87 Bayham Street
London
NW1 0AG

Independent auditors
Adler Shine LLP
Chartered Accountants
Statutory Auditor
Aston House
Cornwall Avenue
London
N3 1LF

Bankers
Bank of Scotland
Ground floor, Uberior House
11 Earl Grey Street
Edinburgh
EH3 9BN

Solicitors
Schulte Roth & Zabel International LLP
20 Saville Row
London
W1S 3PR


 
NORTH OF SOUTH CAPITAL LLP
 

CONTENTS



Page
Members' report
 
1 - 2
Independent auditors' report
 
3 - 6
Statement of comprehensive income
 
7
Balance sheet
 
8 - 9
Reconciliation of members' interests
 
10
Statement of cash flows
 
11 - 12
Notes to the financial statements
 
13 - 20


 
NORTH OF SOUTH CAPITAL LLP
 
  
MEMBERS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The members present their annual report together with the audited financial statements of North of South Capital LLP (the "LLP") for the ended 31 December 2023
 

Principal activities
 
 
The principal activity of the LLP during the year was that of fund management. The LLP is authorised and regulated by the Financial Conduct Authority ("FCA").
 
 
Designated Members
 
 
M A Linsey and A Van Leeuwen were designated members of the LLP throughout the period.
 

Members


K M Dimmich, R Holmes, F L Tsai, M G Latham and and Pacific Asset Management Services LLP were members of the LLP throughout the period. Commodity Intelligence Limited resigned as a member on 1 January 2023.
 
Members' capital and interests
 
 
Each member's subscription to the capital of the LLP is determined by their share of the profit and is repayable following retirement from the LLP.
 
 
Details of changes in members' capital in the ended 31 December 2023 are set out in the reconciliation of members' interests.
 
 
Members are remunerated from the profits of the LLP and are required to make their own provision for pensions and other benefits. Profits are allocated and divided between members after finalisation of the financial statements. Members draw a proportion of their profit shares monthly during the year in which it is made, with the balance of profits being distributed after the year, subject to the cash requirements of the business.
 

Members' responsibilities statement
 
 
The members are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
 
 
Company law, (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008), requires the members to prepare financial statements for each financial year. Under that law the members have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008) the members must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the LLP and of the profit or loss of the LLP for that period.
In preparing these financial statements, the members are required to:
 
select suitable accounting policies and then apply them consistently;
 
make judgments 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;
 
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the LLP will continue in business.
 
Page 1

 
NORTH OF SOUTH CAPITAL LLP
 
 
MEMBERS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
 
 

The members are responsible for keeping adequate accounting records that are sufficient to show and explain the LLP's transactions and disclose with reasonable accuracy at any time the financial position of the LLP and to enable them to ensure that the financial statements comply with the Companies Act 2006 (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of the Companies Act 2006) Regulations 2008)They are also responsible for safeguarding the assets of the LLP and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
 
Disclosure of information to auditors
 
 
Each of the persons who are members at the time when this members' report is approved has confirmed that:

so far as that member is aware, there is no relevant audit information of which the LLP's auditors are unaware, and

that member has taken all the steps that ought to have been taken as a member in order to be aware of any relevant audit information and to establish that the LLP's auditors are aware of that information.
 

This report was approved by the members and signed on their behalf by: 



................................................
A Van Leeuwen
Designated member


Date: 24 April 2024

24 April 2024
Page 2

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NORTH OF SOUTH CAPITAL LLP
 

Opinion
 

We have audited the financial statements of North of South Capital LLP (the 'LLP') for the year ended 31 December 2023, which comprise the statement of comprehensive income, the balance sheet, the statement of cash flows, the reconciliation of members' interests and the related notes, including a summary of significant accounting policiesThe 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 LLP's affairs as at 31 December 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, as applied to limited liability partnerships by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008.


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 LLP in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern
 

In auditing the financial statements, we have concluded that the members' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the LLP's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the members with respect to going concern are described in the relevant sections of this report.


Page 3

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NORTH OF SOUTH CAPITAL LLP (CONTINUED)


Other information
 

The other information comprises the information included in the Annual Report other than the financial statements and our auditors' report thereon. The members are responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and 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.


Matters on which we are required to report by exception
 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006, as applied to limited liability partnerships, 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
we have not received all the information and explanations we require for our audit.


Responsibilities of members
 

As explained more fully in the members' responsibilities statement set out on page 1, the members are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the members determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the members are responsible for assessing the LLP's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the members either intend to liquidate the LLP or to cease operations, or have no realistic alternative but to do so.


Page 4

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NORTH OF SOUTH CAPITAL LLP (CONTINUED)


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


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. 
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we have:
• considered the nature of the industry and sectors, control environment and business performance;
• made enquires of management about their own identification and assessment of the risk of irregularities; 
• performed audit work over the risk of management override of controls, including testing of journal entries   and other adjustments for appropriateness and reviewing accounting estimates for bias;
• reviewed minutes of meetings;
• undertaken appropriate sample based testing of bank transactions;
• identified and evaluated compliance with relevant laws and regulations and made enquiries of any    instances of non-compliance;
• discussed matters among the audit engagement team regarding how and where fraud might occur in the   financial statements and potential indicators of fraud.


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 auditors' report.


Page 5

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NORTH OF SOUTH CAPITAL LLP (CONTINUED)


Use of our report
 

This report is made solely to the LLP's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, as applied by Part 12 of The Limited Liability Partnerships (Accounts and Audit) (Applications of Companies Act 2006) Regulations 2008Our audit work has been undertaken so that we might state to the LLP's members those matters we are required to state to them in an auditors' 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 LLP and the LLP's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Christopher Taylor FCA (Senior Statutory Auditor)
  
for and on behalf of
Adler Shine LLP
 
Chartered Accountants
Statutory Auditor
  
Aston House
Cornwall Avenue
London
N3 1LF

24 April 2024
Page 6

 
NORTH OF SOUTH CAPITAL LLP
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 3 
3,720,600
2,463,731

Gross profit
  
 
3,720,600
 
2,463,731

Administrative expenses
  
(1,075,687)
(822,143)

Operating profit
 4 
 
2,644,913
 
1,641,588

Income from investments
  
1,603
2,424

Interest receivable and similar income
  
2,169
-

Interest payable and similar expenses
  
(301)
-

Profit before tax
  
 
2,648,384
 
1,644,012

Profit for the year before members' remuneration and profit shares
  
 
2,648,384
 
1,644,012

Profit for the year before members' remuneration and profit shares
  
2,648,384
1,644,012

Members' remuneration charged as an expense
  
-
(115,000)

Profit for the financial year available for discretionary division among members
  
 
2,648,384
 
1,529,012

There was no other comprehensive income for 2023(2022:£NIL).

The notes on pages 13 to 20 form part of these financial statements.

Page 7

 
NORTH OF SOUTH CAPITAL LLP
REGISTERED NUMBER: OC309016

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

  

Current assets
  

Debtors: amounts falling due within one year
 11 
1,054,588
554,597

Current asset investments
 12 
23,957
26,750

Cash at bank and in hand
 13 
612,592
942,309

  
1,691,137
1,523,656

Creditors: amounts falling due within one year
 14 
(229,160)
(215,056)

Net current assets
  
 
 
1,461,977
 
 
1,308,600

Total assets less current liabilities
  
1,461,977
1,308,600

  

Net assets
  
1,461,977
1,308,600


Represented by:
  

Loans and other debts due to members within one year
  

Other amounts
 15 
(1,986,407)
(1,020,412)

Members' other interests
  

Members' capital classified as equity
  
800,000
800,000

Other reserves classified as equity
  
2,648,384
1,529,012

  
 
3,448,384
 
2,329,012

  
1,461,977
1,308,600


Total members' interests
  

Loans and other debts due to members
 15 
(1,986,407)
(1,020,412)

Members' other interests
  
3,448,384
2,329,012

  
1,461,977
1,308,600


Page 8

 
NORTH OF SOUTH CAPITAL LLP
REGISTERED NUMBER: OC309016
    
BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2023

The financial statements were approved and authorised for issue by the members and were signed on their behalf by: 




................................................
A Van Leeuwen
Designated member

Date: 24 April 2024

The notes on pages 13 to 20 form part of these financial statements.

North of South Capital LLP has no equity and, in accordance with the provisions contained within the Statement of Recommended Practice "Accounting by Limited Liability Partnerships", has not presented a Statement of changes in equity.

Page 9

 
NORTH OF SOUTH CAPITAL LLP
 

RECONCILIATION OF MEMBERS' INTERESTS
FOR THE YEAR ENDED 31 DECEMBER 2023






Equity
Members' other interests
Debt
Loans and other debts due to members less any amounts due from members in debtors
Total members' interests
Members' capital (classified as equity)
Other reserves
Total
Other amounts
Total

£
£
£
£
£

Amounts due to members 
313,004


Amounts due from members 

-


Balance at 1 January 2022 
575,000
100,000
675,000
313,004
988,004

Members' remuneration charged as an expense
-
-
-
115,000
115,000

Profit for the year available for discretionary division among members
 
-
1,529,012
1,529,012
-
1,529,012

Members' interests after profit for the year
575,000
1,629,012
2,204,012
428,004
2,632,016

Other division of profits
-
(100,000)
(100,000)
100,000
-

Movement in reserves
-
-
-
-
-

Amounts introduced by members
300,000
-
300,000
-
300,000

Repayment of capital
(75,000)
-
(75,000)
-
(75,000)

Conversion of members' capital to debt
-
-
-
-
-

Drawings on account
-
-
-
(1,548,416)
(1,548,416)

Amounts due to members
(1,020,412)

Balance at 31 December 2022
800,000
1,529,012
2,329,012
(1,020,412)
1,308,600

Profit for the year available for discretionary division among members
 
-
2,648,384
2,648,384
-
2,648,384

Members' interests after profit for the year
800,000
4,177,396
4,977,396
(1,020,412)
3,956,984

Other division of profits
-
(1,529,012)
(1,529,012)
1,529,012
-

Amounts introduced by members
174,313
-
174,313
-
174,313

Repayment of capital
(174,313)
-
(174,313)
-
(174,313)

Drawings on account
-
-
-
(2,495,007)
(2,495,007)

Amounts due to members
(1,986,407)

Balance at 31 December 2023 
800,000
2,648,384
3,448,384
(1,986,407)
1,461,977

The notes on pages 13 to 20 form part of these financial statements.

The ability of the members of the LLP to reduce the amount of members' other interests is restricted by the regulatory capital requirements of the FCA. 

Page 10

 
NORTH OF SOUTH CAPITAL LLP
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
2,648,384
1,529,012

Adjustments for:

Members' remuneration charged as an expense
-
115,000

Depreciation of tangible assets
-
883

Interest paid
301
-

Interest received
(3,772)
(2,424)

(Increase)/decrease in debtors
(499,991)
10,152

Increase in creditors
14,260
125,019

Loss on bond
2,637
-

Net cash generated from operating activities before transactions with members

2,161,819
1,777,642


Members' remuneration charged as an expense
-
(115,000)

Net cash generated from operating activities
2,161,819
1,662,642

Cash flows from investing activities

Purchase of intangible fixed assets
-
(883)

Sale of short-term listed investments
-
(31,756)

Interest received
2,169
-

Dividends received
1,603
2,424

Net cash from investing activities

3,772
(30,215)
Page 11

 
NORTH OF SOUTH CAPITAL LLP
 

STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023


2023
2022

£
£



Cash flows from financing activities

Interest paid
(301)
-

Members' capital contributed
174,313
300,000

Members' capital repaid
(174,313)
(75,000)

Distribution paid to members
(2,495,007)
(1,548,416)

Other transactions with members
-
115,000

Net cash used in financing activities
(2,495,308)
(1,208,416)

Net (decrease)/increase in cash and cash equivalents
(329,717)
424,011

Cash and cash equivalents at beginning of year
942,309
518,298

Cash and cash equivalents at the end of year
612,592
942,309


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
612,592
942,309

612,592
942,309


The notes on pages 13 to 20 form part of these financial statements.

Page 12

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

North of South Capital LLP is a limited liability partnership incorporated in England and Wales. The registered office address is 85-87 Bayham Street, London, NW1 0AG.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006 and the requirements of the Statement of Recommended Practice "Accounting by Limited Liability Partnerships".

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the LLP's accounting policies.

The following principal accounting policies have been applied:

 
2.2

Going concern

The members have considered a period of at least twelve months from the signing of these accounts and have concluded that the LLP will have sufficient resources to meet its liabilities as they fall due over that period. The members of the LLP have indicated their willingness to provide such further financing as may be required for the LLP to meet its liabilities as they fall due and maintain a regulatory surplus. Consequently the members believe that the going concern basis is appropriate and the accounts hve been prepared under this assumption. 

 
2.3

Foreign currency translation

Functional and presentation currency

The LLP's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

Page 13

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the LLP and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the LLP 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 costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Operating leases: the LLP as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.6

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.7

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.8

Division and distribution of profits

A division of profits is the mechanism by which the profits of an LLP become a debt due to members. A division may be automatic or discretionary, may relate to some or all of the profits for a financial period and may take place during or after the end of a financial period.

An automatic division of profits is one where the LLP does not have an unconditional right to avoid making a division of an amount of profits based on the members' agreement in force at the time, whereas a discretionary division of profits requires a decision to be made by the LLP, which it has the unconditional right to avoid making.

The LLP divides profits automatically. Automatic divisions of profits are recognised as 'Members' remuneration charged as an expense' inthe statement of comprehensive income.

Page 14

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Office equipment
-
100%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.10

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.

 
2.11

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the LLP's cash management.

 
2.12

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.

 
2.13

Financial instruments

The LLP only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.

Page 15

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.


Turnover

The turnover and operating profit for the year was all derived from the LLP's principal continuing activity which was carried out wholly within the United Kingdom.


4.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Fees payable to the LLP's auditor for the audit of the LLP's annual financial statements
13,500
12,400

Exchange differences
18,727
(5,319)


5.


Employees

Staff costs were as follows:


2023
2022
£
£

Wages and salaries
394,817
293,606

Social security costs
57,392
49,078

Cost of defined contribution scheme
3,192
3,082

455,401
345,766


The wages and salaries figure above does not include members' remuneration of £nil (2022: £115,000) that was paid as a salary. 

The average monthly number of persons (including members with contracts of employment) employed during the year was as follows:


        2023
        2022
            No.
            No.







Administrative
3
4

Page 16

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

6.


Information in relation to members

2023
2022
Number
Number


The average number of members during the year was
6
6

2023
2022
£
£







The amount of profit attributable to the member with the largest entitlement was
462,902
245,579


The figure presented above relates to the profit allocation for the year ended 31 December 2022. As at the date of approval of the financial statements, the profit figure for the year ended 31 December 2023 had yet to be allocated between the members.  


7.


Income from investments

2023
2022
£
£





Dividends received from unlisted investments
(1,603)
(2,424)

(1,603)
(2,424)



8.


Interest receivable

2023
2022
£
£


Other interest receivable
2,169
-

2,169
-


9.


Interest payable and similar expenses

2023
2022
£
£


Other interest payable
301
-

301
-

Page 17

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

10.


Tangible fixed assets





Office equipment

£



Cost or valuation


Additions
883



At 31 December 2023

883



Depreciation


Charge for the year on owned assets
883



At 31 December 2023

883



Net book value



At 31 December 2023
-



At 31 December 2022
-


11.


Debtors

2023
2022
£
£


Other debtors
6,000
6,000

Prepayments and accrued income
1,048,588
548,597

1,054,588
554,597



12.


Current asset investments

2023
2022
£
£

Listed investments
23,957
26,750

23,957
26,750


Page 18

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

13.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
612,592
942,309

612,592
942,309



14.


Creditors: Amounts falling due within one year

2023
2022
£
£

Other taxation and social security
214,995
93,106

Other creditors
665
30,784

Accruals and deferred income
13,500
91,166

229,160
215,056



15.


Loans and other debts due (from)/ to members


2023
2022
£
£



Other amounts due (from)/ to members
(1,986,407)
(1,020,412)

(1,986,407)
(1,020,412)



Loans and other debts due to members rank equally with debts due to ordinary creditors in the event of a winding up.


16.


Commitments under operating leases

At 31 December 2023 the LLP had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£
£


Not later than 1 year
30,526
28,084

30,526
28,084

Page 19

 
NORTH OF SOUTH CAPITAL LLP
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

17.


Related party transactions

During the year management fees of £15,735 (2022: £16,978) and performance fees of £nil (2022: £nil) became due to the LLP from North of South Capital (Cayman) Limited, an entity with key management personnel in common. An amount of £15,735 (2022: £16,978) remained outstanding at the balance sheet date.
During the year, management fees of £2,973,126 (2022: £1,561,064) became due to the LLP from an entity under common control with one of the members. At the year end, £696,898 (2022: £301,845) was due from this entity. 


18.


Controlling party

At the balance sheet date, there was no single ultimate controlling party.

 
Page 20