Company registration number 02251240 (England and Wales)
KINGSWOOD CORPORATE FINANCE LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
KINGSWOOD CORPORATE FINANCE LIMITED
COMPANY INFORMATION
Directors
J F Massing
G S Wilder
R S Massing
R Behan
Secretary
R S Massing
Company number
02251240
Registered office
3 Coldbath Square
London
EC1R 5HL
Auditor
Stephen Iseman & Co
30 Oakridge Avenue
Radlett
Hertfordshire
Wd7 8ER
KINGSWOOD CORPORATE FINANCE LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2 - 3
Independent auditor's report
4 - 6
Statement of comprehensive income
7
Statement of financial position
8
Statement of changes in equity
9
Statement of cash flows
10
Notes to the financial statements
11 - 15
KINGSWOOD CORPORATE FINANCE LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

The directors present their strategic report for the year ended 31 March 2024.

Review of the business

The company is authorised and regulated by the Financial Conduct Authority ("FCA"). In accordance with good governance and with reference to its FCA requirements the company closely monitors its performance and liquidity risks; and continued to maintain its liquidity position. The exposure to any currency or credit risk for the company is almost non-existent.

Key performance indicators

The directors consider turnover, profit before tax and net assets as Key Performance Indicators, details of which are set out in the Statement of Comprehensive Income and Statement of Financial Position on pages 7 and 8.

Other performance indicators

The turnover during the year decreased slightly following a significant increase in the corresponding year reflecting the nature of its transaction based business which may fluctuate year by year.

 

During the year the company only transacted with related parties and had no employees other than the directors. The directors did not receive any remuneration from the company.

 

The company made a profit for the year. The directors are optimistic about future performance and expect the company to maintain a solid financial position.

Section 172(1) Statement

The board of directors of Kingswood Corporate Finance Limited considers that they have acted in the way they consider, in good faith, would be most likely to promote the success of the Company having regard to the stakeholders and matters set out in S172(1)(a-f) of the Act) in the decisions taken during the financial year ended on 31 March 2023.

 

As board of directors we aim to act responsibly and fairly in how the Company engages with suppliers, service providers and in an open and cooperative way with its regulatory body, the FCA.

 

The impact of the Company’s operations on the community and environment is minimal due to the nature of its activities.

 

The Company has implemented compliance policies and provided sufficient training to ensure that management understand their obligation to act with integrity, due skill, care and diligence as well as paying due regard to the interests of clients and the requirement to treat them fairly.

 

The board of directors believes it is of utmost importance to behave responsibly, to operate with high standards of business conduct and lead by example.

On behalf of the board

J F Massing
Director
17 June 2024
KINGSWOOD CORPORATE FINANCE LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
The directors present their report and financial statements for the year ended 31 March 2024.
Principal activities

The principal activity of the company continued to be that of a company regulated by the Financial Conduct Authority for investment business.

Results and dividends

The results for the year are set out on page 7.

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

Directors

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

J F Massing
G S Wilder
R P Bernstein
(Resigned 5 June 2023)
R S Massing
R Behan
Financial instruments

The company has almost non-existent currency and credit risk and does not enter into any formal hedging arrangements.

Future developments

The directors believe that the company is in a sound financial position and remain confident that the company’s performance will improve in the near future.

Auditor

In accordance with the company's articles, a resolution proposing that Stephen Iseman & Co be reappointed as auditor of the company will be put at a General Meeting.

KINGSWOOD CORPORATE FINANCE LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -
Statement of directors' responsibilities

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

 

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

 

 

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 of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

On behalf of the board
J F Massing
Director
17 June 2024
KINGSWOOD CORPORATE FINANCE LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF KINGSWOOD CORPORATE FINANCE LIMITED
- 4 -
Opinion

We have audited the financial statements of Kingswood Corporate Finance Limited (the 'company') for the year ended 31 March 2024 which comprise the statement of comprehensive income, the statement of financial position, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the 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 our audit:

KINGSWOOD CORPORATE FINANCE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBER OF KINGSWOOD CORPORATE FINANCE LIMITED
- 5 -
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 in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

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 company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

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

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

 

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

 

KINGSWOOD CORPORATE FINANCE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBER OF KINGSWOOD CORPORATE FINANCE LIMITED
- 6 -

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

 

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

This report is made solely to the company's member 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 member those matters we are required to state to the member 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 member, for our audit work, for this report, or for the opinions we have formed.

Stephen Iseman FCA (Senior Statutory Auditor)
For and on behalf of Stephen Iseman & Co
17 June 2024
Chartered Accountants
Statutory Auditor
30 Oakridge Avenue
Radlett
Hertfordshire
Wd7 8ER
KINGSWOOD CORPORATE FINANCE LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
- 7 -
2024
2023
Notes
£
£
Revenue
2
272,744
321,435
Cost of sales
(258,719)
(263,680)
Gross profit
14,025
57,755
Administrative expenses
(16,398)
(13,996)
Operating (loss)/profit
3
(2,373)
43,759
Investment income
5
4,333
114
Finance costs
6
(827)
(968)
Profit before taxation
1,133
42,905
Tax on profit
7
(215)
(8,152)
Profit for the financial year
918
34,753

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

KINGSWOOD CORPORATE FINANCE LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 MARCH 2024
31 March 2024
- 8 -
2024
2023
Notes
£
£
Current assets
Trade and other receivables
8
347,319
194,302
Cash and cash equivalents
111,942
108,418
459,261
302,720
Current liabilities
9
(309,657)
(149,464)
Net current assets
149,604
153,256
Non-current liabilities
10
(25,969)
(30,539)
Net assets
123,635
122,717
Equity
Called up share capital
12
44,500
44,500
Retained earnings
79,135
78,217
Total equity
123,635
122,717
The financial statements were approved by the board of directors and authorised for issue on 17 June 2024 and are signed on its behalf by:
J F Massing
Director
Company Registration No. 02251240
KINGSWOOD CORPORATE FINANCE LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 9 -
Share capital
Retained earnings
Total
£
£
£
Balance at 1 April 2022
44,500
43,464
87,964
Year ended 31 March 2023:
Profit and total comprehensive income
-
34,753
34,753
Balance at 31 March 2023
44,500
78,217
122,717
Year ended 31 March 2024:
Profit and total comprehensive income
-
918
918
Balance at 31 March 2024
44,500
79,135
123,635
KINGSWOOD CORPORATE FINANCE LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
16
12,628
(246,307)
Interest paid
(827)
(968)
Income taxes paid
(8,038)
(5,536)
Net cash inflow/(outflow) from operating activities
3,763
(252,811)
Investing activities
Interest received
4,219
-
Net cash generated from/(used in) investing activities
4,219
-
Financing activities
Repayment of bank loans
(4,458)
(7,892)
Net cash used in financing activities
(4,458)
(7,892)
Net increase/(decrease) in cash and cash equivalents
3,524
(260,703)
Cash and cash equivalents at beginning of year
108,418
369,121
Cash and cash equivalents at end of year
111,942
108,418
KINGSWOOD CORPORATE FINANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
1
Accounting policies
Company information

Kingswood Corporate Finance Limited is a private company limited by shares incorporated in England and Wales. The business and registered office address is 3 Coldbath Square, London, EC1R 5HL.

1.1
Accounting convention

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. The principal accounting policies adopted are set out below.

1.2
Going concern

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Revenue

Turnover represents amounts receivable for services provided net of VAT. Revenue is recognised in the period in which services are provided.

1.4
Financial instruments

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

 

Financial assets and liabilities are offset, with 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.

Other financial assets

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

Trade and other receivables

Trade and other receivables are initially measured at transaction price and are subsequently carried at amortised cost using the effective interest method less impairment losses for bad and doubtful debts.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting end date. The impairment loss is recognised in profit or loss.

KINGSWOOD CORPORATE FINANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 12 -
Derecognition of financial assets

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

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

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

Trade and other payables

Trade and other payables are initially recognised at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

1.5
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received.

1.6
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement 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 company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

2
Revenue

An analysis of the company's revenue, all of which is generated in the United Kingdom, is as follows:

2024
2023
£
£
Revenue analysed by class of business
Advisory fees
272,744
321,435
KINGSWOOD CORPORATE FINANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
2
Revenue
(Continued)
- 13 -
2024
2023
£
£
Other revenue
Interest income
4,333
114
3
Operating (loss)/profit
2024
2023
Operating (loss)/profit for the year is stated after charging:
£
£
Fees payable to the company's auditor for the audit of the company's financial statements
1,750
1,750
4
Employees

There were no employees during the current and previous year apart from the directors. The directors did not receive any remuneration from the company in either year.

5
Investment income
2024
2023
£
£
Interest income
Interest on bank deposits
2,208
-
0
Other interest income
2,125
114
Total income
4,333
114
6
Finance costs
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank loans
827
968
7
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
215
8,152

There were no factors that affected the tax charge for the period which has been calculated on the profit on ordinary activities before tax at the small profit rate of corporation tax in the UK of 19% (2023 – 19%).

KINGSWOOD CORPORATE FINANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
8
Trade and other receivables
2024
2023
Amounts falling due within one year:
£
£
Trade receivables
246,719
78,702
Other receivables
100,600
115,600
347,319
194,302

 

9
Current liabilities
2024
2023
Notes
£
£
Bank loans
11
4,572
4,460
Trade payables
-
0
78,702
Corporation tax
215
8,152
Accruals and deferred income
304,870
58,150
309,657
149,464
10
Non-current liabilities
2024
2023
Notes
£
£
Bank loans
11
25,969
30,539
11
Borrowings
2024
2023
£
£
Bank loans
30,541
34,999
Payable within one year
4,572
4,460
Payable after one year
25,969
30,539
12
Share capital
2024
2023
£
£
Ordinary share capital
Issued and fully paid
44,500 Ordinary Shares of €1.15 each
44,500
44,500
44,500
44,500
KINGSWOOD CORPORATE FINANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 15 -
13
Related party transactions

The company's turnover and cost of sales for the current and preceding year arose from transactions with related parties in which J F Massing has an interest.

14
Ultimate controlling party

The ultimate parent company is Kingswood Holdings Limited, a company registered in England and Wales, and which is under the ultimate control of the director, J F Massing.

15
Analysis of changes in net funds
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
108,418
3,524
111,942
Borrowings excluding overdrafts
(34,999)
4,458
(30,541)
73,419
7,982
81,401
16
Cash generated from/(absorbed by) operations
2024
2023
£
£
Profit for the year after tax
918
34,753
Adjustments for:
Taxation charged
215
8,152
Finance costs
827
968
Investment income
(4,333)
(114)
Movements in working capital:
(Increase)/decrease in trade and other receivables
(153,017)
115,709
Increase/(decrease) in trade and other payables
168,018
(405,775)
Cash generated from/(absorbed by) operations
12,628
(246,307)
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