Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-242023-12-24truetruefalse1282022-12-26No description of principal activity138truefalsefalse 10828526 2022-12-26 2023-12-24 10828526 2021-12-26 2022-12-25 10828526 2023-12-24 10828526 2022-12-25 10828526 2021-12-26 10828526 c:Exceptional 2022-12-26 2023-12-24 10828526 c:Exceptional 2021-12-26 2022-12-25 10828526 d:Director1 2022-12-26 2023-12-24 10828526 d:Director2 2022-12-26 2023-12-24 10828526 d:Director3 2022-12-26 2023-12-24 10828526 d:Director4 2022-12-26 2023-12-24 10828526 d:RegisteredOffice 2022-12-26 2023-12-24 10828526 c:Buildings c:ShortLeaseholdAssets 2022-12-26 2023-12-24 10828526 c:Buildings c:ShortLeaseholdAssets 2023-12-24 10828526 c:Buildings c:ShortLeaseholdAssets 2022-12-25 10828526 c:FurnitureFittings 2022-12-26 2023-12-24 10828526 c:FurnitureFittings 2023-12-24 10828526 c:FurnitureFittings 2022-12-25 10828526 c:FurnitureFittings c:OwnedOrFreeholdAssets 2022-12-26 2023-12-24 10828526 c:OfficeEquipment 2022-12-26 2023-12-24 10828526 c:OfficeEquipment 2023-12-24 10828526 c:OfficeEquipment 2022-12-25 10828526 c:OfficeEquipment c:OwnedOrFreeholdAssets 2022-12-26 2023-12-24 10828526 c:ComputerEquipment 2022-12-26 2023-12-24 10828526 c:ComputerEquipment 2023-12-24 10828526 c:ComputerEquipment 2022-12-25 10828526 c:ComputerEquipment c:OwnedOrFreeholdAssets 2022-12-26 2023-12-24 10828526 c:OwnedOrFreeholdAssets 2022-12-26 2023-12-24 10828526 c:CurrentFinancialInstruments 2023-12-24 10828526 c:CurrentFinancialInstruments 2022-12-25 10828526 c:CurrentFinancialInstruments c:WithinOneYear 2023-12-24 10828526 c:CurrentFinancialInstruments c:WithinOneYear 2022-12-25 10828526 e:UnitedKingdom 2022-12-26 2023-12-24 10828526 e:UnitedKingdom 2021-12-26 2022-12-25 10828526 c:UKTax 2022-12-26 2023-12-24 10828526 c:UKTax 2021-12-26 2022-12-25 10828526 c:ShareCapital 2023-12-24 10828526 c:ShareCapital 2022-12-25 10828526 c:ShareCapital 2021-12-26 10828526 c:RetainedEarningsAccumulatedLosses 2022-12-26 2023-12-24 10828526 c:RetainedEarningsAccumulatedLosses 2023-12-24 10828526 c:RetainedEarningsAccumulatedLosses 2021-12-26 2022-12-25 10828526 c:RetainedEarningsAccumulatedLosses 2022-12-25 10828526 c:RetainedEarningsAccumulatedLosses 2021-12-26 10828526 c:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2023-12-24 10828526 c:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2022-12-25 10828526 c:AcceleratedTaxDepreciationDeferredTax 2023-12-24 10828526 c:AcceleratedTaxDepreciationDeferredTax 2022-12-25 10828526 c:TaxLossesCarry-forwardsDeferredTax 2023-12-24 10828526 c:TaxLossesCarry-forwardsDeferredTax 2022-12-25 10828526 d:OrdinaryShareClass1 2022-12-26 2023-12-24 10828526 d:OrdinaryShareClass1 2023-12-24 10828526 d:OrdinaryShareClass1 2022-12-25 10828526 d:FRS102 2022-12-26 2023-12-24 10828526 d:Audited 2022-12-26 2023-12-24 10828526 d:FullAccounts 2022-12-26 2023-12-24 10828526 d:PrivateLimitedCompanyLtd 2022-12-26 2023-12-24 10828526 c:WithinOneYear 2023-12-24 10828526 c:WithinOneYear 2022-12-25 10828526 c:BetweenOneFiveYears 2023-12-24 10828526 c:BetweenOneFiveYears 2022-12-25 10828526 c:MoreThanFiveYears 2023-12-24 10828526 c:MoreThanFiveYears 2022-12-25 10828526 2 2022-12-26 2023-12-24 10828526 4 2022-12-26 2023-12-24 10828526 f:PoundSterling 2022-12-26 2023-12-24 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 10828526









SWINGERS 2 LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 24 DECEMBER 2023

 
SWINGERS 2 LIMITED
 
 
COMPANY INFORMATION


Directors
J D Simmonds 
M R Grech-Smith 
A J Taylor 
J S Goldstein 




Registered number
10828526



Registered office
101 New Cavendish Street
1st Floor South

London

United Kingdom

W1W 6XH




Independent auditors
Harris & Trotter LLP
Chartered Accountants & Statutory Auditors

101 New Cavendish Street

1st Floor South

London

W1W 6XH





 
SWINGERS 2 LIMITED
 

CONTENTS



Page
Strategic Report
1 - 3
Directors' Report
4 - 5
Independent Auditors' Report
6 - 9
Statement of Comprehensive Income
10
Balance Sheet
11
Statement of Changes in Equity
12
Notes to the Financial Statements
13 - 26

 
SWINGERS 2 LIMITED
 
 
STRATEGIC REPORT
FOR THE PERIOD ENDED 24 DECEMBER 2023

Introduction
 
The directors present their report and financial statements for the period ended 24 December 2023.

Business review
 
The principal activity remains that of experiential leisure in the hospitality market.
The Company traded strongly in 2023 despite macroeconomic pressures and is trading inline with expectations in 2024.
 



December 2023
December 2022
        £
        £

Turnover

9,221,935

9,856,223

Gross profit / (loss)

3,846,755

4,775,530

Profit / (loss) before taxation

(1,782,372)

(716,720)

Profit / (loss) pre exceptional items

(1,613,039)

(656,983)

Shareholders' funds

(3,723,606)

(2,215,859)


Page 1

 
SWINGERS 2 LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 24 DECEMBER 2023

Principal risks and uncertainties
 
Financial instruments
 
The Company's principal financial instruments comprise bank balances, rent deposits, trade creditors and other creditors. The main purpose of these instruments is to raise funds for the Company's operations and to finance the Company's operations.
Due to the nature of the financial instruments used by the Company there is no exposure to price risk. The Company's approach to managing other risks applicable to the financial instruments concerned is shown below.
Liquidity risk
In respect of bank balances the liquidity risk is managed by maintaining a balance between the continuity of funding and the flexibility through the use of bank loans. The Company does not make use of money market facilities.
Trade creditor liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.
Competition
 
The market in which the Company operates is becoming increasingly competitive through the introduction of new entrants as well as the expansion of established players. The directors believe that the Company maintains a strong position, in terms of the location of the sites, the brand recognition and the quality of the experience provided.
These factors are expected to ensure continued growth and profitability.
 
Employee involvement
 
The Company is committed to providing equality of opportunity to all employees without discrimination and applied fair and equitable employment policies which ensure entry and progression within the Company. Appointments are determined solely by application of job criteria and competency.











 
Page 2

 
SWINGERS 2 LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 24 DECEMBER 2023

Environmental policy
 
The Company will seek to minimise adverse impacts on the environment from its activities where possible, whilst continuing to address health, safety and economic issues. The Company has complied with all applicable legislation and regulations.


This report was approved by the board on 13 June 2024 and signed on its behalf.



M R Grech-Smith
Director
Page 3

 
SWINGERS 2 LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE PERIOD ENDED 24 DECEMBER 2023

The directors present their report and the financial statements for the period ended 24 December 2023.

Directors

The directors who served during the period were:

J D Simmonds 
M R Grech-Smith 
A J Taylor 
J S Goldstein 

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, 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 elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The loss for the period, after taxation, amounted to £1,507,747 (2022 - loss £430,510).

No dividend was declared or paid during the period.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

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

Page 4

 
SWINGERS 2 LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 24 DECEMBER 2023

Post balance sheet events

There have been no significant events affecting the Company since the period end.

Auditors

The auditorsHarris & Trotter LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 13 June 2024 and signed on its behalf.
 





M R Grech-Smith
Director
Page 5

 
SWINGERS 2 LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SWINGERS 2 LIMITED
 

Opinion


We have audited the financial statements of Swingers 2 Limited (the 'Company') for the period ended 24 December 2023, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity 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 Company's affairs as at 24 December 2023 and of its loss for the period 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.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 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.


Page 6

 
SWINGERS 2 LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SWINGERS 2 LIMITED (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 directors are responsible for the other information contained within the Annual ReportOur 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.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Strategic Report and the Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.


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:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 4, 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.


Page 7

 
SWINGERS 2 LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SWINGERS 2 LIMITED (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:

The objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud or error; and to respond appropriately to those risks. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK).
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:
• We obtained an understanding of the legal and regulatory frameworks applicable to the Company and the industry in which it operates. We determined that the following laws and regulations were most significant: FRS 102 and the Companies Act 2006.
• We obtained an understanding of how the Company is complying with those legal and regulatory frameworks by making enquiries of management.
• We challenged assumptions and judgments made by management in its significant accounting estimates.
We did not identify any key audit matters relating to irregularities, including fraud.


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 8

 
SWINGERS 2 LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SWINGERS 2 LIMITED (CONTINUED)


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an 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 Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Daniel Walters (Senior Statutory Auditor)
  
for and on behalf of
Harris & Trotter LLP
 
Chartered Accountants
Statutory Auditors
  
101 New Cavendish Street
1st Floor South
London
W1W 6XH

13 June 2024
Page 9

 
SWINGERS 2 LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 24 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
9,221,935
9,856,223

Cost of sales
  
(5,375,180)
(5,080,693)

Gross profit
  
3,846,755
4,775,530

Administrative expenses
  
(5,113,762)
(4,887,769)

Exceptional administrative expenses
  
(169,333)
(59,737)

Operating loss
 5 
(1,436,340)
(171,976)

Interest receivable and similar income
 9 
3,798
5,441

Interest payable and similar expenses
 10 
(349,830)
(550,185)

Loss before tax
  
(1,782,372)
(716,720)

Tax on loss
 11 
274,625
286,210

Loss for the financial period
  
(1,507,747)
(430,510)

Other comprehensive income for the period
  

Total comprehensive income for the period
  
(1,507,747)
(430,510)

The notes on pages 13 to 26 form part of these financial statements.
Page 10

 
SWINGERS 2 LIMITED
REGISTERED NUMBER: 10828526

BALANCE SHEET
AS AT 24 DECEMBER 2023

24 December
25 December
2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 13 
4,228,973
4,410,514

  
4,228,973
4,410,514

Current assets
  

Stocks
 14 
90,322
109,882

Debtors: amounts falling due within one year
 15 
3,347,414
2,965,079

Cash at bank and in hand
 16 
67,519
101,070

  
3,505,255
3,176,031

Creditors: amounts falling due within one year
 17 
(11,457,834)
(9,802,404)

Net current liabilities
  
 
 
(7,952,579)
 
 
(6,626,373)

Total assets less current liabilities
  
(3,723,606)
(2,215,859)

  

Net liabilities
  
(3,723,606)
(2,215,859)


Capital and reserves
  

Called up share capital 
 20 
1
1

Profit and loss account
  
(3,723,607)
(2,215,860)

  
(3,723,606)
(2,215,859)


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 13 June 2024.




M R Grech-Smith
Director

The notes on pages 13 to 26 form part of these financial statements.
Page 11

 
SWINGERS 2 LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 24 DECEMBER 2023


Called up share capital
Profit and loss account
Total equity

£
£
£


At 26 December 2021
1
(1,785,350)
(1,785,349)



Loss for the period
-
(430,510)
(430,510)



At 25 December 2022
1
(2,215,860)
(2,215,859)



Loss for the period
-
(1,507,747)
(1,507,747)


At 26 December 2023
1
(3,723,607)
(3,723,606)


The notes on pages 13 to 26 form part of these financial statements.
Page 12

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

1.


General information

Swingers 2 Limited is a private company, limited by shares, incorporated in the United Kingdom and registered in England and Wales (registered number: 10828526). 
The principal activity of the Company continued to be that of the provision of experiential leisure in the hospitality market.
The Company's registered office address is 101 New Cavendish Street, First Floor South, London, W1W 6XH. The principal place of business is 15 John Prince's Street, Marylebone, London, W1G 0AB.

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.

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 Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d).

This information is included in the consolidated financial statements of Competitive Socialising Group Limited as at 24 December 2023 and these financial statements may be obtained from 116 Upper Street, London N1 1QP.

 
2.3

Going concern

The financial statements have been prepared on the going concern basis. The company is dependent on the group companies and shareholders for financial support, which the directors are confident will continue for a period of at least another 12 months following the approval of these financial statements.
As at 24 December 2023, the Company had net liabilities of £3,723,606 (2022: £2,215,859). The group, companies and shareholders have indicated their present intention to provide adequate finance to enable the company to continue in operational existence.
The financial statements do not reflect any adjustments that would result from a withdrawal of financial support by the directors and shareholder, and accordingly the directors have continued to prepare the financial statements on the going concern basis.

Page 13

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 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 Company 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:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

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 Company 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 Company as lessee

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
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.

Page 14

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

2.Accounting policies (continued)

 
2.8

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

 
2.9

Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

 
2.10

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Company but are presented separately due to their size or incidence.

 
2.11

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.

Page 15

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

2.Accounting policies (continued)


2.11
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the following methods.

Depreciation is provided on the following basis:

Short-term leasehold property
-
Over the life of the lease
Fixtures and fittings
-
25% straight line method
Equipment
-
25% straight line method
Computer equipment
-
25% straight line method

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.

 
2.12

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.13

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.

 
2.14

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.

 
2.15

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.

Page 16

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

2.Accounting policies (continued)

 
2.16

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.17

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Company's Balance Sheet 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.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The
Page 17

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

2.Accounting policies (continued)


2.17
Financial instruments (continued)

impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Page 18

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the Company's accounting policies, which are described in note 2, management is required to make judgments, estimates and assumptions about the carrying values of assets and the liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revisions affect only that period, or in the period of the revisions and future periods if the revision affects both current and future periods.


4.


Turnover

The whole of the turnover is attributable to the Company's principal activity.

Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
9,221,935
9,856,223

9,221,935
9,856,223


5.


Operating loss

The operating loss is stated after charging:

2023
2022
£
£

Other operating lease rentals
878,026
936,630


6.


Auditors' remuneration

2023
2022
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
20,701
15,526

Page 19

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

7.


Employees

Staff costs, including directors' remuneration, were as follows:


2023
2022
£
£

Wages and salaries
3,607,378
2,534,830

Social security costs
279,311
296,271

Cost of defined contribution scheme
19,035
108,283

3,905,724
2,939,384


The average monthly number of employees, including the directors, during the period was as follows:


        2023
        2022
            No.
            No.







Employees
128
138


8.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
215,608
173,296

Company contributions to defined contribution pension schemes
1,271
1,218

216,879
174,514


During the period retirement benefits were accruing to 1 director (2022 - 1) in respect of defined contribution pension schemes.

Details of the highest paid director can be found in the parent company consolidated accounts.


9.


Interest receivable

2023
2022
£
£


Other interest receivable
3,798
5,441

3,798
5,441

Page 20

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

10.


Interest payable and similar expenses

2023
2022
£
£


Bank interest payable
205,053
236,931

Other loan interest payable
144,777
313,254

349,830
550,185


11.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the period
911
-


911
-


Total current tax
911
-

Deferred tax


Origination and reversal of timing differences
(275,536)
(286,210)

Total deferred tax
(275,536)
(286,210)


Tax on loss
(274,625)
(286,210)
Page 21

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023
 
11.Taxation (continued)


Factors affecting tax charge for the period

The tax assessed for the period is the same as (2022 - the same as) the standard rate of corporation tax in the UK of 19% (2022 - 19%) as set out below:

2023
2022
£
£


Loss on ordinary activities before tax
(1,782,372)
(716,720)


Loss on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2022 - 19%)
(338,651)
(179,180)

Effects of:


Utilisation of tax losses
338,651
-

Unrelieved tax losses carried forward
(274,625)
(107,030)

Total tax charge for the period
(274,625)
(286,210)


Factors that may affect future tax charges

There were no factors that may affect future tax charges.


12.


Exceptional items

2023
2022
£
£


Restructuring costs
169,333
59,737

169,333
59,737

Page 22

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

13.


Tangible fixed assets







Short-term leasehold property
Fixtures and fittings
Equipment
Computer equipment
Total

£
£
£
£
£



Cost or valuation


At 26 December 2022
4,720,494
991,410
530,651
377,947
6,620,502


Additions
92,570
393,073
35,905
23,468
545,016



At 24 December 2023

4,813,064
1,384,483
566,556
401,415
7,165,518



Depreciation


At 26 December 2022
1,049,777
387,079
508,021
265,111
2,209,988


Charge for the period on owned assets
353,438
321,717
8,527
42,875
726,557



At 24 December 2023

1,403,215
708,796
516,548
307,986
2,936,545



Net book value



At 24 December 2023
3,409,849
675,687
50,008
93,429
4,228,973



At 25 December 2022
3,670,717
604,331
22,630
112,836
4,410,514


14.


Stocks

24 December
25 December
2023
2022
£
£

Finished goods and goods for resale
90,322
109,882

90,322
109,882


Page 23

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

15.


Debtors

24 December
25 December
2023
2022
£
£


Trade debtors
109,398
115,668

Amounts owed by group undertakings
1,173,350
1,323,827

Other debtors
763,683
763,068

Prepayments and accrued income
467,884
204,953

Deferred taxation
833,099
557,563

3,347,414
2,965,079



16.


Cash and cash equivalents

24 December
25 December
2023
2022
£
£

Cash at bank and in hand
67,519
101,070

67,519
101,070



17.


Creditors: Amounts falling due within one year

24 December
25 December
2023
2022
£
£

Trade creditors
415,353
528,730

Amounts owed to group undertakings
9,102,199
7,108,065

Other taxation and social security
90,074
84,963

Other creditors
1,018,619
1,068,898

Accruals and deferred income
831,589
1,011,748

11,457,834
9,802,404


The other group companies have confirmed that they will not seek repayment of the inter-company loans for a period of at least 12 months following the date the sign off of these accounts.

Page 24

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

18.


Financial instruments

24 December
25 December
2023
2022
£
£

Financial assets


Financial assets measured at fair value through profit or loss
67,519
101,070




Financial assets measured at fair value through profit or loss comprise cash at bank and in hand.


Financial assets that are debt instruments measured at amortised cost comprise trade and other debt


Financial liabilities measured at amortised cost comprise trade and other creditors and accruals.


19.


Deferred taxation






2023


£






At beginning of period
557,563


Charged to profit or loss
275,536



At end of period
833,099

The deferred tax asset is made up as follows:

25 December
24 December
2023
2022
£
£


Accelerated capital allowances
(276,830)
(74,000)

Tax losses carried forward
1,109,929
631,563

833,099
557,563

Page 25

 
SWINGERS 2 LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 24 DECEMBER 2023

20.


Share capital

24 December
25 December
2023
2022
£
£
Allotted, called up and fully paid



1 (2022 - 1) Ordinary share of £1.00
1
1



21.


Commitments under operating leases

At 24 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

24 December
25 December
2023
2022
£
£


Not later than 1 year
761,324
900,000

Later than 1 year and not later than 5 years
2,235,895
3,600,000

Later than 5 years
3,791,177
5,237,678

6,788,396
9,737,678


22.


Related party transactions

FRS 102 does not require disclosure of transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member.


23.


Controlling party

The smallest group to consolidate these financial statements is Competitive Socialising Group Limited, a private company incorporated in England & Wales (registered number: 13420604). The registered office of Competitive Socialising Group Limited is 116 Upper Street, London N1 1QP.

Page 26