Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31false2023-01-0100truefalsefalse 07636270 2023-01-01 2023-12-31 07636270 2022-01-01 2022-12-31 07636270 2023-12-31 07636270 2022-12-31 07636270 c:CompanySecretary1 2023-01-01 2023-12-31 07636270 c:Director1 2023-01-01 2023-12-31 07636270 c:Director1 2023-12-31 07636270 c:Director2 2023-01-01 2023-12-31 07636270 c:Director2 2023-12-31 07636270 c:RegisteredOffice 2023-01-01 2023-12-31 07636270 d:CurrentFinancialInstruments 2023-12-31 07636270 d:CurrentFinancialInstruments 2022-12-31 07636270 d:CurrentFinancialInstruments d:WithinOneYear 2023-12-31 07636270 d:CurrentFinancialInstruments d:WithinOneYear 2022-12-31 07636270 e:UnitedKingdom 2023-01-01 2023-12-31 07636270 e:UnitedKingdom 2022-01-01 2022-12-31 07636270 e:RestEuropeOutsideUK 2023-01-01 2023-12-31 07636270 e:RestEuropeOutsideUK 2022-01-01 2022-12-31 07636270 e:RestWorldOutsideUK 2023-01-01 2023-12-31 07636270 e:RestWorldOutsideUK 2022-01-01 2022-12-31 07636270 d:ShareCapital 2023-12-31 07636270 d:ShareCapital 2022-12-31 07636270 d:OtherMiscellaneousReserve 2023-12-31 07636270 d:OtherMiscellaneousReserve 2022-12-31 07636270 d:RetainedEarningsAccumulatedLosses 2023-12-31 07636270 d:RetainedEarningsAccumulatedLosses 2022-12-31 07636270 c:OrdinaryShareClass1 2023-01-01 2023-12-31 07636270 c:OrdinaryShareClass1 2023-12-31 07636270 c:OrdinaryShareClass1 2022-12-31 07636270 c:FRS102 2023-01-01 2023-12-31 07636270 c:Audited 2023-01-01 2023-12-31 07636270 c:FullAccounts 2023-01-01 2023-12-31 07636270 c:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 07636270 f:PoundSterling 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 07636270









BOATS.COM EUROPE LTD









DIRECTORS' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
BOATS.COM EUROPE LTD
 
 
COMPANY INFORMATION


Directors
Antonino De Sapio 
Patrick Kolek 




Company secretary
Antonino De Sapio



Registered number
07636270



Registered office
Ground Floor, Lakeside North Harbour
Western Road Building 1000

Portsmouth

PO6 3EZ




Independent auditors
PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors

Savannah House

3 Ocean Way

Southampton

SO14 3TJ





 
BOATS.COM EUROPE LTD
 

CONTENTS



Page(s)
Directors' Report
1 - 2
Statement of Directors' Responsibilities in respect of the Financial Statements
3
Independent Auditors' Report
4 - 7
Statement of Comprehensive Income
8
Statement of Financial Position
9
Notes to the Financial Statements
10 - 17

 
BOATS.COM EUROPE LTD
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The Directors present their report and the audited financial statements for the year ended 31 December 2023.

Principal activity

The principal activity of the company throughout the year was the provision of internet based services to boat builders, brokers and end users. 

Results and dividends

The loss for the year, after taxation, amounted to £136,145 (2022 - profit £22,052).

No dividends were paid or proposed during the year (2022: £nil).

Directors

The Directors who served during the year were:

Antonino De Sapio (appointed 1 November 2023)
Patrick Kolek (appointed 7 April 2023)
Samuel Fulton (resigned 7 April 2023)
James Selzer (resigned 1 November 2023)

Principal risks and uncertainties

The company may be impacted by customer credit risk, effects arising from price risk and liquidity risk. The majority of services sold by the company are provided by its own resources or are purchased from related parties. Where services are bought in the costs of these are recharged to customers.  Credit risk management follows normal best practice and includes varying levels of credit assessments according to customer size and active credit performance management through key performance indicators such as days’ sales outstanding.  Price risk is managed by formal contract approval processes and active operational management. 
Liquidity risk is the risk that an entity will encounter difficulty in meeting obligations associated with financial liabilities.
The company aims to mitigate liquidity risk by managing cash generation by its operations, for example through applying cash collection targets throughout the company. The company also manages liquidity risk through its participation in the in-house banking  arrangements of the parent group, including the unsecured loan from the parent company. In the event such support were withdrawn, alternative financial instruments would be sought, but that risk has been minimised by obtaining the assurances referred to in the Going Concern section below. 
The company has no external debt but has borrowings from group companies which bears interest at a rate linked to SONIA. As a result, any significant increase in interest rates will negatively impact the company's profitability as the borrowings from group companies bear interest linked to SONIA. Interest rate risk is managed by the ultimate parent company for the group as a whole and as such no hedging or other mitigation is applied at the individual company level.  
The directors are not aware of any other pending significant financial risks.

Future developments

The directors plan for the company to continue to trade as it has done, with no significant future developments to report.

Page 1

 
BOATS.COM EUROPE LTD
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Disclosure of information to auditors

In the case of each director in office at the date the Directors’ report is approved:
 
so far as the Director is aware, there is no relevant audit information of which the company's auditors are unaware, and

they have taken all the steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information.

Going concern

Notwithstanding net current liabilities at the balance sheet date, the Financial Statements have been prepared on a going concern basis.  The Directors have considered the working capital cycle of the business and recognise the need for ongoing support from their intermediate parent company,  Boats Group Holdings, Inc. Having made enquiries, their intermediate parent company has confirmed in writing their willingness to continue to provide such financial support to the company as necessary to enable it to meet its liabilities as they fall due for a period of not less than 12 months from the date of approval of these financial statements.

Directors' insurance and indemnities

Throughout the year the company has maintained Directors’ and officers’ liability insurance for the benefit of the company, the Directors and its officers. The company has entered into qualifying third party indemnity arrangements for the benefit of all its Directors in a form and scope which comply with the requirements of the Companies Act 2006 and which were in force throughout the year and remain in force. 

Independent Auditors

Under section 487(2) of the Companies Act 2006PricewaterhouseCoopers LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

Small companies note

In preparing this report, the Directors have taken advantage of the small companies exemptions provided by sections 414B and 415A of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





Antonino De Sapio
Director

Date: 17 September 2024
Page 2

 
BOATS.COM EUROPE LTD
 
 
STATEMENT OF DIRECTORS' RESPONSIBILITIES IN RESPECT OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

The Directors are responsible for preparing the Directors' 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 prepared the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law). Under company law, 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;

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 company will continue in business.

The directors are responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The directors are also 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.

Page 3

 
BOATS.COM EUROPE LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BOATS.COM EUROPE LTD
 

Report on the audit of the financial statements
 
Opinion


In our opinion, Boats.com Europe Ltd's financial statements:


give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its loss for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law); and
have been prepared in accordance with the requirements of the Companies Act 2006.


We have audited the financial statements, included within the Directors' report and Financial Statements (the "Annual Report"), which comprise: the Statement of Financial Position as at 31 December 2023; the Statement of Comprehensive Income  and the Statement of Changes in Equity for the year then ended; and the notes to the financial statements, which include a description of the significant accounting policies.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities under ISAs (UK) are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Independence
We remained independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, which includes the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements.


Conclusions relating to going concern


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.


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.


However, because not all future events or conditions can be predicted, this conclusion is not a guarantee as to the company's ability to continue as a going concern.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.


Page 4

 
BOATS.COM EUROPE LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BOATS.COM EUROPE LTD (CONTINUED)


Reporting on other information


The other information comprises all of the information in the Annual Report other than the financial statements and our auditors’ report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except to the extent otherwise explicitly stated in this report, any form of assurance thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify an apparent material inconsistency or material misstatement, we are required to perform procedures to conclude whether there is a material misstatement of the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report based on these responsibilities.
With respect to the Directors' Report, we also considered whether the disclosures required by the UK Companies Act 2006 have been included.

Based on our work undertaken in the course of the audit, the Companies Act 2006 requires us also to report certain opinions and matters as described below.
 

Directors' Report
In our opinion, based on the work undertaken in the course of the audit, the information given in the Directors' Report for the year ended 31 December 2023 is consistent with the financial statements and has been prepared in accordance with applicable legal requirements.
In light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we did not identify any material misstatements in the Directors' Report.
 

Responsibilities for the financial statements and the audit
 

Responsibilities of the directors for the financial statements
As explained more fully in the Statement of directors’ responsibilities in respect of the financial statements, the directors are responsible for the preparation of the financial statements in accordance with the applicable framework and for being satisfied that they give a true and fair view. The directors are also responsible for such internal control as they 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.

Page 5

 
BOATS.COM EUROPE LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BOATS.COM EUROPE LTD (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.
Based on our understanding of the company and industry, we identified that the principal risks of non-compliance with laws and regulations related to tax legislation and the Companies Act 2006, and we considered the extent to which non-compliance might have a material effect on the financial statements. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to increase profit. Audit procedures performed by the engagement team included:


Enquiries of the directors and management to identify any instances of non-compliance including consideration of known or suspected instances of fraud;
Review of meeting minutes, and where applicable, correspondence with relevant regulatory authorities;
• Identifying and testing journal entries, in particular and journal entries posted with unusual account combinations or posted by senior management; and
• Incorporating elements of unpredictability into the audit procedures performed.


There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.


A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors' report.


Page 6

 
BOATS.COM EUROPE LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF BOATS.COM EUROPE LTD (CONTINUED)


 

Use of this report
This report, including the opinions, has been prepared for and only for the company’s members as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and for no other purpose. We do not, in giving these opinions, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.


Other required reporting


Companies Act 2006 exception reporting
Under the Companies Act 2006 we are required to report to you if, in our opinion:
• we have not obtained all the information and explanations we require for our audit; or
• adequate accounting records have not been kept by the company, or returns adequate for our audit have not been received from branches not visited by us; or
• certain disclosures of directors’ remuneration specified by law are not made; or
• the financial statements are not in agreement with the accounting records and returns.
We have no exceptions to report arising from this responsibility.
Entitlement to exemptions
Under the Companies Act 2006 we are required to report to you if, in our opinion, the directors were not entitled to: take advantage of the small companies exemption in preparing the Directors' Report; and take advantage of the small companies exemption from preparing a strategic report. We have no exceptions to report arising from this responsibility.





Kevin Godfrey (Senior Statutory Auditor)
  
for and on behalf of
PricewaterhouseCoopers LLP
 
Chartered Accountants and Statutory Auditors
  
Southampton

17 September 2024
Page 7

 
BOATS.COM EUROPE LTD
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 3 
269,264
216,976

Gross profit
  
269,264
216,976

Administrative expenses
  
(218,879)
(69,471)

Operating profit
 4 
50,385
147,505

Interest payable and similar expenses
 7 
(186,530)
(125,453)

(Loss)/profit before tax
  
(136,145)
22,052

Tax on (loss)/profit
 8 
-
-

(Loss)/profit for the financial year
  
(136,145)
22,052

Other comprehensive income for the year
  

Total comprehensive income for the year
  
(136,145)
22,052

There were no recognised gains and losses for 2023 or 2022 other than those included in the statement of comprehensive income.

The notes on pages 10 to 17 form part of these financial statements.

Page 8

 
BOATS.COM EUROPE LTD
REGISTERED NUMBER: 07636270

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2023
2022
2022
Note
£
£
£
£

  

Current assets
  

Debtors: amounts falling due within one year
 9 
11,441
1,081

Cash at bank and in hand
 10 
73,783
75,009

  
85,224
76,090

Creditors: amounts falling due within one year
 11 
(2,694,982)
(2,549,703)

Net current liabilities
  
 
 
(2,609,758)
 
 
(2,473,613)

Total assets less current liabilities
  
(2,609,758)
(2,473,613)

  

Net liabilities
  
(2,609,758)
(2,473,613)


Capital and reserves
  

Called up share capital 
 13 
100
100

Capital contribution reserve
  
378,313
378,313

Accumulated losses
  
(2,988,171)
(2,852,026)

Total equity
  
(2,609,758)
(2,473,613)


The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 17 September 2024.




Antonino De Sapio
Director

The notes on pages 10 to 17 form part of these financial statements.
Page 9

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

The company provides internet based services to boat builders and brokers to market their goods and services to end users.  Boats.com Europe Ltd is a private company limited by shares incorporated, registered and domiciled in the United Kingdom, registration number 07636270.  The registered office is Ground Floor, Lakeside North Harbour,Western Road Building 1000 Portsmouth PO6 3EZ.
The ultimate controlling party of the company is Bimini Holding LP. The smallest group to consolidate these financial statements is Boats Group Purchaser, Inc, and the ultimate parent undertaking, and the largest group to consolidate these financial statements is Bimini Holding LP.  Copies of the consolidated financial statements are available from 1221 Brickell Ave, Miami FL 33131, USA. 

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 Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

 
2.2

Going concern

The Directors have considered the working capital cycle of the business and recognise the need for ongoing support from their intermediate parent company, Boats Group Holdings, Inc.  Having made enquiries, their parent company have confirmed in writing their willingness to continue to provide such financial support to the company as necessary  to enable it to meet its liabilities as they fall due for a period of not less than 12 months from the date of approval of these financial statements.
The company therefore continues to adopt the going concern basis in preparing its financial statements. 

 
2.3

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction.  All gains and losses on translation and from the settlement of transactions are included in the profit and loss account.

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. 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.

Page 10

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Revenue recognition

The company recognises revenue from the provision of internet based services to boat builders, brokers and end users. Revenue is measured based on the consideration specified in a contract with a customer and is first recognised when a customer obtains control of the services, and will be recognised evenly over the service period. Revenue is stated net of discounts, rebates, refunds and value-added tax, and amounts received in advance of the customer contract service period are carried forward as deferred income, which is included in creditors.

 
2.5

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.

 
2.6

Debtors

Trade and other debtors and amounts owed from other group companies are recognised initially at transaction price less attributable transaction costs.  
Subsequent to initial recognition, they are measured at amortised cost using the effective interest method, less any impairment losses in the case of trade debtors. If the arrangement constitutes a financing transaction, for example if payment is deferred beyond normal business terms, then it is measured at the present value of future payments discounted at a market rate of instrument for a similar debt instrument. 
At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment.  If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate.  The impairment loss is recognised in the profit or loss.
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to settle on a net basis or to realise the asset and settle the liability simultaneously.

 
2.7

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown within borrowings in current liabilities. 

 
2.8

Creditors

Trade and other creditors and amounts owed to other group companies are recognised initially at transaction price plus attributable transaction costs. 
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to settle on a net basis or to realise the asset and settle the liability simultaneously.

Page 11

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

Financial instruments

The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

Financial assets and liabilities are offset and the net amount reported in the Statement of Financial Position when there is an 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.

  
2.10

Related party transactions

The group discloses transactions with related parties which are not wholly owned within the group.  Where appropriate, transactions of a similar nature are aggregated unless, in the opinion of the directors, separate disclosure is necessary to understand the effect of the transactions on the group financial statements.

  
2.11

Taxation

Taxation expense for the period comprises current and deferred tax recognised in the reporting period.  Tax is recognised in the profit and loss account, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case tax is also recognised in other comprehensive income or directly in equity respectively.
Current or deferred taxation assets and liabilities are not discounted.
i) Current tax
Current tax is the amount of income tax payable in respect of the taxable profit for the year or prior years.  Tax is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the period end.
Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities.
ii) Deferred tax
Deferred tax arises from timing differences that are differences between taxable profits and total comprehensive income as stated in the financial statements. These 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 recognised on all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are only recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the period end and that are expected to apply to the reversal of the timing difference.

  
2.12

Share capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Page 12

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

  
2.13

Capital contribution

Capital contributions received are recognised as an increase in equity.


3.


Turnover

Turnover represents the amounts derived from the provision of services which fall within the company's ordinary activities, stated net of discounts, rebates, refunds and value-added tax; and is analysed as follows:

Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
84,912
197,381

Rest of Europe
139,561
19,456

Rest of the world
44,791
139

269,264
216,976



4.


Operating profit

The operating profit is stated after charging/(crediting):

2023
2022
£
£

Exchange differences
66
(78)


5.


Auditors' remuneration

During the year, the company obtained the following services from the company's auditors:


2023
2022
£
£

Fees payable to the company's auditors for the audit of the company's financial statements
21,000
17,675

Compliance taxation services
-
5,750

Page 13

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

6.


Employees

The company has no employees other than the Directors, who did not receive any remuneration (2022 - £NIL).

None of the directors received any remuneration during the year (2022: none) in respect of their services to this company, on the basis that their services to this company are considered incidental to their services to the wider group. No amounts were paid in respect of any retirement benefits (2022: none).  There were no other key management personnel other than the board of directors for the year.
The company does not employ any staff (2022: None). All staff costs are borne by a related company, YachtWorld International Limited, and recharged to this company by a management recharge. The total recharge for staff costs amounted to:

The average monthly number of employees, including directors, during the year was 0 (2022 - 0).



2023
2022

£
£


Staff costs recharged
72,587
21,479

Social security costs recharged
8,967
-

Pension costs recharged
871
-


82,425
21,479


7.


Interest payable and similar expenses

2023
2022
£
£


Interest payable to group undertakings
186,530
125,453

186,530
125,453

Page 14

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

8.


Taxation


2023
2022
£
£



Total current tax
-
-

Deferred tax

Total deferred tax
-
-


Tax on (loss)/profit
-
-

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19%). The differences are explained below:

2023
2022
£
£


(Loss)/profit before tax
(136,145)
22,052


(Loss)/profit  multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
(32,021)
4,190

Effects of:


Expenses not deductible for tax purposes
52
3

Movement in unrecognised deferred tax
31,969
(4,193)

Total tax charge for the year
-
-


Factors that may affect future tax charges

At 31 December 2023 the company had an unrecognised deferred tax asset at 25% of £283,587 (2022: unrecognised at 25% of  £234,104).  The unrecognised deferred tax asset comprises trading losses of £1,033,265 (£936,416) and other temporary differences of £101,085 (2022: £nil).
As the losses can only be utilised in the company and cannot be surrendered to group undertakings, the asset has not been recognised due to uncertainty over the timing of eventual crystallisation.


9.


Debtors

2023
2022
£
£


Trade debtors
1,807
600
Page 15

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

9.Debtors (continued)


Amounts owed by group undertakings
9,634
330

Prepayments and accrued income
-
151

11,441
1,081



10.


Cash at bank and in hand

2023
2022
£
£

Cash at bank and in hand
73,783
75,009

73,783
75,009




11.


Creditors: Amounts falling due within one year

2023
2022
£
£

Amounts owed to group undertakings
2,667,006
2,536,887

Other taxation and social security
1,633
-

Accruals and deferred income
26,343
12,816

2,694,982
2,549,703


Amounts owed to group undertakings are repayable on demand, unsecured and interest is charged at a rate of 4% plus SONIA in 2023 & 2022.


12.
Financial instruments 

Financial assets that are debt instruments measured at amortised cost


2023
2022

£
£


Trade debtors
1,807
600

Amounts owed by group undertakings
9,634
330


11,441
930
Page 16

 
BOATS.COM EUROPE LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.Financial instruments  (continued)


Financial liabilities

Financial liabilities measured at amortised cost


2023
2022

£
£


Accruals 
26,343
12,816

Amounts owed to group companies
2,667,006
2,536,887


2,693,349
2,549,703

The company has no interest rate derivative financial instruments (2022: none).



13.


Called up Share capital

2023
2022
£
£
Authorised, allotted, called up and fully paid



100 (2022 - 100) Ordinary shares of £1.00 each
100
100



14.


Related party transactions

The company has taken advantage of the exemptions in FRS 102 from disclosing transactions with other companies that are wholly owned within the group.  There were no other related party transactions in the year.


15.


Controlling party

The immediate parent undertaking is Boats Group, LLC
The ultimate controlling party of the company is Bimini Holding LP. The smallest group to consolidate these financial statements is Boats Group Purchaser, Inc, and the ultimate parent undertaking, and the largest group to consolidate these financial statements is Bimini Holding LP.  Copies of the consolidated financial statements are available from 1221 Brickell Ave, Miami Florida 33131, U.S.A.

Page 17