Caseware UK (AP4) 2023.0.135 2023.0.135 2023-10-312023-10-312023-10-3132023-01-01falseThe principal activity of the company remains a holding company for the group whose principal activity is solely as a discretionary management service provider and investment manager. Assets in that activity are raised through professional advisers and other intermediaries and a direct to market product offering.5falsefalse 08082749 2023-01-01 2023-10-31 08082749 2022-01-01 2022-12-31 08082749 2023-10-31 08082749 2022-12-31 08082749 2022-01-01 08082749 1 2023-01-01 2023-10-31 08082749 d:Director1 2023-01-01 2023-10-31 08082749 d:Director2 2023-01-01 2023-10-31 08082749 d:Director2 2023-10-31 08082749 d:Director3 2023-01-01 2023-10-31 08082749 d:Director4 2023-01-01 2023-10-31 08082749 d:Director4 2023-10-31 08082749 d:Director5 2023-01-01 2023-10-31 08082749 d:Director5 2023-10-31 08082749 d:Director6 2023-01-01 2023-10-31 08082749 d:Director6 2023-10-31 08082749 d:Director7 2023-01-01 2023-10-31 08082749 d:Director7 2023-10-31 08082749 d:RegisteredOffice 2023-01-01 2023-10-31 08082749 c:MotorVehicles 2023-01-01 2023-10-31 08082749 c:FurnitureFittings 2023-01-01 2023-10-31 08082749 c:ComputerEquipment 2023-01-01 2023-10-31 08082749 c:Goodwill 2023-01-01 2023-10-31 08082749 c:Goodwill 2023-10-31 08082749 c:Goodwill 2022-12-31 08082749 c:OtherResidualIntangibleAssets 2023-01-01 2023-10-31 08082749 c:CurrentFinancialInstruments 2023-10-31 08082749 c:CurrentFinancialInstruments 2022-12-31 08082749 c:CurrentFinancialInstruments c:WithinOneYear 2023-10-31 08082749 c:CurrentFinancialInstruments c:WithinOneYear 2022-12-31 08082749 c:ShareCapital 2023-01-01 2023-10-31 08082749 c:ShareCapital 2023-10-31 08082749 c:ShareCapital 2022-01-01 2022-12-31 08082749 c:ShareCapital 2022-12-31 08082749 c:ShareCapital 2022-01-01 08082749 c:SharePremium 2023-01-01 2023-10-31 08082749 c:SharePremium 2023-10-31 08082749 c:SharePremium 2022-01-01 2022-12-31 08082749 c:SharePremium 2022-12-31 08082749 c:SharePremium 2022-01-01 08082749 c:CapitalRedemptionReserve 2023-01-01 2023-10-31 08082749 c:CapitalRedemptionReserve 2023-10-31 08082749 c:CapitalRedemptionReserve 2022-01-01 2022-12-31 08082749 c:CapitalRedemptionReserve 2022-12-31 08082749 c:CapitalRedemptionReserve 2022-01-01 08082749 c:RetainedEarningsAccumulatedLosses 2023-01-01 2023-10-31 08082749 c:RetainedEarningsAccumulatedLosses 2023-10-31 08082749 c:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 08082749 c:RetainedEarningsAccumulatedLosses 2022-12-31 08082749 c:RetainedEarningsAccumulatedLosses 2022-01-01 08082749 d:OrdinaryShareClass1 2023-01-01 2023-10-31 08082749 d:OrdinaryShareClass1 2023-10-31 08082749 d:OrdinaryShareClass1 2022-12-31 08082749 d:FRS102 2023-01-01 2023-10-31 08082749 d:Audited 2023-01-01 2023-10-31 08082749 d:FullAccounts 2023-01-01 2023-10-31 08082749 d:PrivateLimitedCompanyLtd 2023-01-01 2023-10-31 08082749 c:Subsidiary1 2023-01-01 2023-10-31 08082749 c:Subsidiary1 2023-01-01 2023-10-31 08082749 c:Subsidiary1 1 2023-01-01 2023-10-31 08082749 c:Subsidiary2 2023-01-01 2023-10-31 08082749 c:Subsidiary2 1 2023-01-01 2023-10-31 08082749 c:Subsidiary3 2023-01-01 2023-10-31 08082749 c:Subsidiary3 1 2023-01-01 2023-10-31 08082749 c:Subsidiary4 2023-01-01 2023-10-31 08082749 c:Subsidiary4 1 2023-01-01 2023-10-31 08082749 c:Subsidiary5 2023-01-01 2023-10-31 08082749 c:Subsidiary5 1 2023-01-01 2023-10-31 08082749 c:Subsidiary6 2023-01-01 2023-10-31 08082749 c:Subsidiary6 1 2023-01-01 2023-10-31 08082749 c:Subsidiary7 2023-01-01 2023-10-31 08082749 c:Subsidiary7 1 2023-01-01 2023-10-31 08082749 c:Subsidiary8 2023-01-01 2023-10-31 08082749 c:Subsidiary8 1 2023-01-01 2023-10-31 08082749 d:Consolidated 2023-10-31 08082749 d:ConsolidatedGroupCompanyAccounts 2023-01-01 2023-10-31 08082749 2 2023-01-01 2023-10-31 08082749 6 2023-01-01 2023-10-31 08082749 c:Goodwill c:OwnedIntangibleAssets 2023-01-01 2023-10-31 xbrli:shares iso4217:GBP xbrli:pure
Registered number: 08082749


TAM FINANCIAL LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

 
TAM FINANCIAL LIMITED
 
 
COMPANY INFORMATION


Directors
L Petch 
L W Oram (resigned 31 December 2023
C Wickert 
M H Baines (appointed 22 April 2024)
M B McIntyre (appointed 3 November 2023)
J A Wilson (appointed 22 April 2024)
S Brunt (appointed 3 November 2023, resigned 22 April 2024)




Registered number
08082749



Registered office
City Tower
40 Basinghall Street

London

EC2V 5DE




Independent auditors
Xeinadin Audit Limited
Chartered Accountants & Statutory Auditors

8th Floor

Becket House

36 Old Jewry

London

EC2R 8DD





 
TAM FINANCIAL LIMITED
 

CONTENTS



Page
Group strategic report
1 - 7
Directors' report
8 - 10
Independent auditors' report
11 - 14
Consolidated statement of comprehensive income
15
Consolidated statement of financial position
16
Company statement of financial position
17
Consolidated statement of changes in equity
18 - 19
Company statement of changes in equity
20
Consolidated statement of cash flows
21 - 22
Consolidated analysis of net debt
23
Notes to the financial statements
24 - 45


 
TAM FINANCIAL LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE PERIOD ENDED 31 OCTOBER 2023

Introduction
 
The directors present their report and financial statements for the period ended 31 October 2023.

Page 1

 
TAM FINANCIAL LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

Business review
 
The principal activity of the Group remains that of provider of model portfolio management and ancillary services. 
The Board of Directors, after a thorough review, offered shareholders the opportunity to sell shares to the fast growing independent financial advisory group, Amber River Group Limited.. The deal was concluded to sell a majority shareholding to Amber River, with senior existing shareholders retaining the balance. Amber River retains an option to acquire the balance in two years’ time. This deal allows TAM to become an operating part of the Group’s central investment proposition (along with other market participants). Although TAM will need to earn asset flows from Amber River on merit, as a robust competitor, the cautious and low-volatility nature of TAM’s service offering gives the directors confidence that this provides a strong base for expansion. The financial year was amended to a 10-month period, ending October 2023, in recognition of the timing of this change in majority ownership. As a result, the revenue, gross profit and operating numbers detailed below reflect only 10 months of the calendar year.
On a business front the rise in interest rates and subsequent impact on the global economy we would have anticipated to have created a deleterious effect on operating conditions. With continued troubles in the Ukraine and a poor economic and interest rate environment the effects were felt through the accounting period.  Against this negative backdrop markets were depressed and did not pick up until post this Balance sheet date.  Nonetheless TAM achieved an increase in its assets under management (AuM) compared with 2022 of some 12% - reaching a total of £605mn (2022 - £540mn) – thanks in large part to a continued drive for “Value for Money” pricing and a steady investment performance profile.  In the period Consumer Duty obligations were an additional consumption of time but having begun the process early in the year TAM has been in a position to fulfil its requirements. Steady progress in growing AuM - against the market trend - combined with the unfolding of our longer-term plans and relationship with the Amber River Group is laying the foundations for enhanced growth in the years ahead.  At the time of writing TAM has further increased its asset growth to just over £1bn (+40%) supported also by market gains post October 2023.
As in recent years the industry continues to feel ongoing pricing pressure on the services it provides to its clients. TAM took the initiative back in 2021 to cut its annual management charges and has continued to work tirelessly on the underlying ‘overall cost figure’ (OCF) to clients. This remains possibly more valid today than in 2022. We remain, even in the current environment, in the forefront on price amongst our competitors and continue to look at ways of reducing the cost of the services we provide to our clients. We reiterate that this is not, of course, a race to the bottom. We pride ourselves on the fact that our drive to achieve enhanced value for our clients has had no detriment on our operational efficiency, investment performance or indeed on any aspect of our customer service and as confirmation of this, we would highlight our performance in the prestigious sector-wide independent survey published by Defaqto in February 2023.
In financial markets, investment returns were flat to October 2023 but positive for all clients for calendar year 2023. The year was punctuated with periods of significant volatility which has begun to quieten towards year end.  The rise of markets and performance was driven by a narrow subset of high tech US stocks causing dislocation in investment return for many managers. TAM client investment performance is good against peers but continues to struggle against broad benchmarks given the narrow growth market prevailing.  
TAM Group investment entities retained an active approach to investment management throughout 2023, providing portfolios with some defensive attributes at times of crisis and elements of protection in portfolios where required.
The market challenge of 2023/2024 is already proving to pre-empt when the current high inflation/high-interest rate environment subsides and its impact on Bond and Equity Markets. However, as we have said many times before, difficult markets are conditions in which we believe TAM will thrive.
Our plans for 2024 and beyond continue to include the ongoing development of our UK distribution capability and deals are progressing to add assets to the TAM UK portfolios. We are intending to make significant strides in the UK Platform market which is already beginning to bear fruit as we grow materially in this area.
There continue to be significant consumer related changes in the UK regulatory landscape and with the most
Page 2

 
TAM FINANCIAL LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

significant protection for clients evident in the Consumer Duty initiatives from the FCA which we see as a radical rethink for UK investment firms of their duty of care with a focus on customer outcomes and the avoidance of foreseeable harm to clients.  TAM continues to drive and review its position and review.  We are confident in the progress made and we reiterate our firmly held belief that a strong compliance culture is paramount.
The Group continues to make a concerted effort to increase efficiency and we have focused on providing services specifically to quality distributors. As a result, the number of model portfolio client accounts has increased in line with assets under management (AuM). At the same time, auto-enrolment clients and AuM continue to grow.
The group’s investment philosophy remains unaltered other than platform development aspirations and executive management’s energies remain focused on business development both inside the group and external.
The directors continue to feel that post acquisition the group is in a solid financial position. It retains its profitability and cash flow positive attributes. Its present product offerings after review continue to be fit for purpose in current market conditions and its historic diversification into ESG and Sharia investment management provide significant niches where we can demonstrate long-term performance against market competition.
The directors are confident that the group’s business model is such that the business can continue to achieve long-term growth, and this is being ably supported by new shareholders with significant distribution power. We are comfortable with the robust performance in the past year - a difficult operating environment. The group having reset its position post-acquisition can achieve its plans with current cash flow and retained earnings. The group remains cash generative and is anticipating increased profits again in 2024 notwithstanding the operating environment.
The key performance indicators below in 2023 reflect. 
a) only the 10-month period v’s 12 months in 2022
b) a negative net operating profit and loss account as a completion balance sheet adjusted at acquisition to support shareholder sale enhancements and retention of core staff. 
c) The removal of “members managed” in workplace pensions as product amendment to a unitised rather than member-based version does not allow for data availability. 
d) Expansion of IFA’s and accounts represents TAM efforts in the Platform market and new interactions   

         Key performance indicators
 


31 October
31 December
Group
2023
Group
2022
       £m
       £m
Assets under management

603

541
 
Turnover

3,695

6,825
 
Gross profit

2,957

3,847
 
(Loss)/Profit before tax bonus and dividends

(1,220)

400
 
(Loss)/Profit after tax bonus and dividends

(1,217)

347
 



Page 3

 
TAM FINANCIAL LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

31 October
31 December
Group
2023
Group
2022
        %
        %
         Gross Profit Margin

84.0

56.4
 
         Return on Capital Employed

(40.1)

7.9
 

Page 4

 
TAM FINANCIAL LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

         Other performance indicators
 


31 October
31 December
2023
2022
         
         
Number of IFAs with accounts open

87

66
 
Number of accounts

3,445

2,835
 



Principal risks and uncertainties
 
Market/business risk: being the risk that markets collapse or that the company’s investment management performance is consistently poor – resulting in a decline in revenues and loss of profitability. The company has an experienced investment management team with many years accumulated experience at managing client investments and navigating difficult markets. Appropriate systems and controls are in place and performance against benchmarks is constantly monitored.
Concentration risk: being the risk attributable to dealing with limited distribution lines. The company’s highest exposure to a single professional introducer equates to approximately 21% of assets under management. All other exposures to single distributors are substantially lower. The company’s strategy is to provide a ‘best in class’ level of service and client satisfaction is carefully monitored. The directors continue to work to diversify distributor concentration and are confident that as assets under management grow this risk will gradually reduce.
Credit risk: being the risk that the group suffers a financial loss when a counterparty in a trading transaction does not meet its obligations. This risk has been effectively removed by the company’s Model B clearing structure.
Liquidity risk: being the risk that the group cannot meet its financial obligations as they fall due. The risk is managed by monitoring cash balances and forecast cash flows and maintaining capital and liquidity resources comfortably more than regulatory requirements. This risk is significantly mitigated by the group’s business model and the regular revenue flows arising from client portfolios under management and held with custodian and administrator Pershing Securities Limited.

Page 5

 
TAM FINANCIAL LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

Directors' statement of compliance with duty to promote the success of the Group
 
Section 172 Statement 
We, as Directors of the Company, acknowledge our responsibilities as set out in section 172(1) of the Companies Act 2006 ('Section 172'). Section 172 requires us, in good faith, to promote the success of the company for the benefit of its members as a whole, and in doing so to have regard (amongst other matters) to:  
•The likely consequences of any decision in the long term.
•The interests of the Company's employees.
•The need to foster the Company's business relationships with suppliers, customers, and all other external and internal stakeholders.
•The impact of the Company's operations on the wider community and the environment.
•The necessity of the Company to maintain a reputation for high standards of business conduct at all times.
•The requirement to act fairly with, and between, owners of the Company.
We set out below how we believe we are fulfilling our responsibilities under Section 172.
The likely consequences of any decision in the long term
The strategic management of the Company is the responsibility of its Board of Directors. Our Board consists of both the Company’s senior executive management and two independent non-executive directors. All strategic decision making considers the long-term impact on the success of the Company’s business and thence on its members. 
As a company that operates in a regulated sector which is responsible for managing money for clients TAM has in place a robust Risk Management Framework which, in relation to the Board’s decision making, assesses the risk and potential to cause harm. The Risk Management Framework and associated Risk Appetite Statement are integrated into the Company’s decision making processes. 
The interests of the company's employees
We strive to create a workplace with fair and compliant employment practices. We encourage employees to improve their skills and develop their careers through training and on the job experience. We are committed to complying with all applicable labour and employment laws in all areas of our business. We believe people should be able to earn a living wage through freely chosen work, and we believe a happy and successful work force is likely to be diverse and to be operating in a work environment that is safe, healthy, and fulfilling. 
Key Initiatives:
 
• Equal Employment Opportunities: We are committed to the principles of equal employment and complying with Equal Employment Opportunities (EEO) legislation. 
• Remuneration Policy: Our remuneration policy is designed to attract, retain, reward, and motivate all our staff. Remuneration packages are aligned with the market so as to be fair and competitive and to take account of current macro-economic conditions.
• Safe and Healthy Workplace: We value the safety of our employees and provide a safe and healthy workplace for them, compliant with applicable safety and health laws, regulations, and policies.
The need to foster the group's business relationships with suppliers, customers, and others
Our clients are at the heart of everything we do and our relationship with them is vital.  As a regulated firm we are required to treat our clients fairly and this obligation is embedded in our processes and procedures. Recent initiatives include our successful efforts to improve the value of our investment proposition.  We endeavour to build positive and constructive business relationships with all our service providers as we believe this is an important component in ensuring we deliver the right outcomes for our key stakeholders.
 
Page 6

 
TAM FINANCIAL LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

The impact of the company's operations on the community and the environment
The impact of our operations on the community and the environment is very important. We have  made a commitment to make our business carbon neutral and have provided our clients with an easy to use service that allows them to do the same.
We are also very aware of the need for successful businesses to contribute to society and give something back and our unique You Give We Give program allows clients to gift aid a share of the investment profits they make with TAM to a charity of their choice. TAM will match this by donating the same share of their fees to the same charity, whilst also extending the opportunity to match the donation to the client’s financial adviser. We have raised over £296,000 for a range of charities in this way.
In the office, we promote waste reduction and we purchase, as far as possible, sustainable and recyclable supplies. We also make every effort to separate waste into recyclables such as bottles, plastics and paper and other waste which cannot be recycled. We are members of the UK Sustainable Investment and Finance Association, a collaborative association assisting firms with their projects  to  be environmentally sustainable businesses and to promote the transition to a decarbonised economy. 
 
The desirability of the company maintaining a reputation for high standards of business conduct and the requirement to act fairly with, and between, owners of the Company
Maintaining its good reputation is vital for the Company. The business is run in a way that is designed to ensure that its good reputation is retained. This drives how we treat our clients and how we treat our staff. Well trained and motivated staff are the most likely to provide the high-quality service that TAM’s clients expect. Our core values are the foundations of our business and our desire to be best in class. We reflect on our performance in industry sector surveys as an indicator of whether we are succeeding in maintaining a high reputation and meeting those core values.
In the same way TAM’s management team deals with the Company’s members in an open, fair and transparent manner.


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



L Petch
Director

Date: 22 October 2024

Page 7

 
TAM FINANCIAL LIMITED
 
 
DIRECTORS' REPORT
FOR THE PERIOD ENDED 31 OCTOBER 2023

The directors present their report and the financial statements for the period ended 31 October 2023.

Directors' responsibilities statement

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated 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 the Group and of the profit or loss of the Group for that period.

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


select suitable accounting policies for the Group's financial statements 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 Group 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 the Group 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 the Group 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 and minority interests, amounted to £1,217,587 (2022 - profit £254,841).

The Company has paid a dividend amounting £325,000 (2022: £nil) for the financial year.

Directors

The directors who served during the period were:

L Petch 
L W Oram (resigned 31 December 2023)
C Wickert 
S Brunt (appointed 3 November 2023, resigned 22 April 2024)

Future developments

The company is now integrated into the Amber River Group, a major consolidator within the UK financial wealth sector. As such, its models are now available to a large pool of Amber River clients through their Independent Financial Advisors and significant growth in Assets Under Management is anticipated in the coming months. 

Page 8

 
TAM FINANCIAL LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

Engagement with suppliers, customers and others

The Board is responsible for establishing and overseeing the company’s values, strategy and purpose, all of which centre around the interests of key stakeholders and other factors as set out in the Section 172 report during the period.
The directors are conscious that their decisions and actions have an impact on stakeholder, including employees, customers, suppliers, communities and investors and they have regard to stakeholder considerations and other factors as set out in Section 172 during the period.
Regular engagement with stakeholders, both directly and indirectly has continued to be an important focus for the board and had ensured that the directors are aware of and have effective regards to the matters set out in Section 172. The board has ensured that stakeholder considerations were taken into account in the board’s deliberations and decision-making.
Whilst the board acknowledges that, sometimes, it may have to take decisions that affect one or  more stakeholder groups differently, it seeks to treat impacted groups fairly and with regards to its duty to act in a way that it considers would be most likely to promote the success of the company to the benefit of its members as a whole, having regard to the balance of factors set out in the Section 172 report.

Greenhouse gas emissions, energy consumption and energy efficiency action

The Group has not disclosed information in respect of greenhouse gas emissions, energy consumption and energy efficiency action as its energy consumption in the United Kingdom for the period is 40,000kWh or lower.

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 and the Group'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 and the Group's auditors are aware of that information.

Post balance sheet events

On 7 February 2023 the shareholders entered into an agreement to sell 65% of the issued share capital of TAM Financial Limited to Amber River Group Limited. This agreement was confirmed on the 3rd November 2023 with an effective date of the 31st October 2023 following regulatory approval from the Financial Conduct Authority

Auditors

The auditorsXeinadin Audit Limitedwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Page 9

 
TAM FINANCIAL LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023

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





L Petch
Director

Date: 22 October 2024

Page 10

 
TAM FINANCIAL LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TAM FINANCIAL LIMITED
 

Opinion


We have audited the financial statements of TAM Financial Limited (the 'parent Company') and its subsidiaries (the 'Group') for the period ended 31 October 2023, which comprise the Consolidated statement of comprehensive income, the Consolidated statement of financial position, the Company statement of financial position, the Consolidated statement of cash flows, the Consolidated statement of changes in equity, the Company 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 Group's and of the parent Company's affairs as at 31 October 2023 and of the Group's 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 Group 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 Group's or the parent 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 11

 
TAM FINANCIAL LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TAM FINANCIAL 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 Group 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 Group 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 Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent Company 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 8, 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 Group's and the parent 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 Group or the parent Company or to cease operations, or have no realistic alternative but to do so.


Page 12

 
TAM FINANCIAL LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TAM FINANCIAL 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 Group 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:

• Enquiry of management and those charged with governance around actual and potential litigation and claims;
• Enquiry of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations;
• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations
• Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.
The potential effect of these laws and regulations on the financial statements varies considerably.
Firstly, the Group is subject to laws and regulations that directly affect the financial statements including financial reporting legislation (including related companies legislation), distributable profits legislation and taxation legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. 
Secondly, the Group is subject to many other laws and regulations where the consequence of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance the imposition of
fines or litigation or the loss of the FCA registration for a company within the group. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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


Other matters 
 

The financial statements are prepared for 10 months period ending 31st October 2023. Comparatives are for 12 months period to 31st December 2022. Consequently, comparative amounts for the Income Statement and the related notes are not entirely comparable. 


Page 13

 
TAM FINANCIAL LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TAM FINANCIAL 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.





Ian Palmer FCA (Senior statutory auditor)
  
for and on behalf of
Xeinadin Audit Limited
 
Chartered Accountants
Statutory Auditors
  
8th Floor
Becket House
36 Old Jewry
London
EC2R 8DD

23 October 2024
Page 14

 
TAM FINANCIAL LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 31 OCTOBER 2023

10 month period ended
31 October
31 December
2023
2022
Note
 £
£

  

Turnover
 4 
3,694,829
6,824,932

Cost of sales
  
(737,489)
(2,977,812)

Gross profit
  
2,957,340
3,847,120

Administrative expenses
  
(3,617,534)
(3,608,048)

Operating (loss)/profit
 5 
(660,194)
239,072

Loss on investment disposal
 9 
(722,450)
(239)

Interest receivable and similar income
 10 
164,284
162,253

Interest payable and similar expenses
 11 
(1,358)
(1,409)

(Loss)/profit before taxation
  
(1,219,718)
399,677

Tax on (loss)/profit
 12 
2,960
(52,866)

(Loss)/profit for the financial period
  
(1,216,758)
346,811

(Loss)/profit for the period attributable to:
  

Non-controlling interests
  
829
91,970

Owners of the parent Company
  
(1,217,587)
254,841

  
(1,216,758)
346,811

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

The notes on pages 24 to 45 form part of these financial statements.

Page 15

 
TAM FINANCIAL LIMITED
REGISTERED NUMBER:08082749

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 OCTOBER 2023

31 October
31 December
2023
2022
Note
£
£

Fixed assets
  

Intangible assets
 14 
163,899
593,112

Tangible assets
 15 
8,926
20,253

Investments
 16 
-
24,999

  
172,825
638,364

Current assets
  

Debtors: amounts falling due within one year
 17 
740,688
1,166,236

Cash at bank and in hand
 18 
1,671,869
2,321,296

  
2,412,557
3,487,532

Creditors: amounts falling due within one year
 19 
(1,354,197)
(1,108,395)

Net current assets
  
 
 
1,058,360
 
 
2,379,137

Total assets less current liabilities
  
1,231,185
3,017,501

Net assets
  
1,231,185
3,017,501


Capital and reserves
  

Called up share capital 
 20 
120,347
120,347

Share premium account
 21 
2,028,487
2,028,487

Capital redemption reserve
 21 
4,250
4,250

Profit and loss account
 21 
(921,899)
680,810

Equity attributable to owners of the parent Company
  
1,231,185
2,833,894

Non-controlling interests
  
-
183,607

  
1,231,185
3,017,501


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 22 October 2024.




L Petch
Director

The notes on pages 24 to 45 form part of these financial statements.

Page 16

 
TAM FINANCIAL LIMITED
REGISTERED NUMBER:08082749

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 OCTOBER 2023

31 October
31 December
2023
2022
Note
£
£

Fixed assets
  

Intangible assets
 14 
-
220,743

Investments
 16 
1,468,588
1,886,087

  
1,468,588
2,106,830

Current assets
  

Debtors: amounts falling due within one year
 17 
134,926
174,396

Cash at bank and in hand
 18 
61,696
142,868

  
196,622
317,264

Creditors: amounts falling due within one year
 19 
(102,476)
(26,181)

Net current assets
  
 
 
94,146
 
 
291,083

Total assets less current liabilities
  
1,562,734
2,397,913

  

  

Net assets
  
1,562,734
2,397,913


Capital and reserves
  

Called up share capital 
 20 
120,347
120,347

Share premium account
 21 
2,028,487
2,028,487

Capital redemption reserve
 21 
4,250
4,250

Profit and loss account
 21 
(590,350)
244,829

  
1,562,734
2,397,913


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 22 October 2024.


L Petch
Director

The notes on pages 24 to 45 form part of these financial statements.

Page 17

 

TAM FINANCIAL LIMITED
 
 
 


CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 OCTOBER 2023



Called up share capital
Share premium account
Capital redemption reserve
Profit and loss account
Equity attributable to owners of parent Company
Non-controlling interests
Total equity


£
£
£
£
£
£
£


At 1 January 2023
120,347
2,028,487
4,250
680,810
2,833,894
183,607
3,017,501



Comprehensive income for the period


Loss for the period
-
-
-
(1,217,587)
(1,217,587)
(183,607)
(1,401,194)


Currency translation differences
-
-
-
(6,497)
(6,497)
-
(6,497)



Other comprehensive income for the period
-
-
-
(6,497)
(6,497)
-
(6,497)



Total comprehensive income for the period
-
-
-
(1,224,084)
(1,224,084)
(183,607)
(1,407,691)



Contributions by and distributions to owners


Dividends: Equity capital
-
-
-
(378,625)
(378,625)
-
(378,625)



Total transactions with owners
-
-
-
(378,625)
(378,625)
-
(378,625)



At 31 October 2023
120,347
2,028,487
4,250
(921,899)
1,231,185
-
1,231,185



The notes on pages 24 to 45 form part of these financial statements.

Page 18

 

TAM FINANCIAL LIMITED
 
 
 


CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 DECEMBER 2022



Called up share capital
Share premium account
Capital redemption reserve
Profit and loss account
Equity attributable to owners of parent Company
Non-controlling interests
Total equity


£
£
£
£
£
£
£


At 1 January 2022
120,347
2,028,487
4,250
414,697
2,567,781
91,637
2,659,418



Comprehensive income for the year


Profit for the year

-
-
-
254,841
254,841
91,970
346,811


Currency translation differences
-
-
-
11,272
11,272
-
11,272



Other comprehensive income for the year
-
-
-
11,272
11,272
-
11,272



Total comprehensive income for the year
-
-
-
266,113
266,113
91,970
358,083



Total transactions with owners
-
-
-
-
-
-
-



At 31 December 2022
120,347
2,028,487
4,250
680,810
2,833,894
183,607
3,017,501



The notes on pages 24 to 45 form part of these financial statements.

Page 19

 
TAM FINANCIAL LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 OCTOBER 2023


Called up share capital
Share premium account
Capital redemption reserve
Profit and loss account
Total equity

£
£
£
£
£


At 1 January 2022
120,347
2,028,487
4,250
37,247
2,190,331


Comprehensive income for the year

Profit for the year
-
-
-
207,582
207,582


Other comprehensive income for the year
-
-
-
-
-


Total comprehensive income for the year
-
-
-
207,582
207,582


Total transactions with owners
-
-
-
-
-



At 1 January 2023
120,347
2,028,487
4,250
244,829
2,397,913


Comprehensive income for the year

Loss for the period
-
-
-
(510,179)
(510,179)


Other comprehensive income for the period
-
-
-
-
-


Total comprehensive income for the period
-
-
-
(510,179)
(510,179)


Contributions by and distributions to owners

Dividends: Equity capital
-
-
-
(325,000)
(325,000)


Total transactions with owners
-
-
-
(325,000)
(325,000)


At 31 October 2023
120,347
2,028,487
4,250
(590,350)
1,562,734


The notes on pages 24 to 45 form part of these financial statements.

Page 20

 
TAM FINANCIAL LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 31 OCTOBER 2023

10 month period ended
31 October
31 December
2023
2022
£
£

Cash flows from operating activities

(Loss)/profit for the financial period
(1,216,758)
346,811

Adjustments for:

Amortisation of intangible assets
42,948
67,131

Depreciation of tangible assets
10,262
13,298

Loss on disposal of tangible assets
407
-

Interest paid
1,358
1,409

Interest received
(164,284)
(162,253)

Taxation charge
(2,960)
52,866

Decrease/(increase) in debtors
425,548
(1,503)

Increase/(decrease) in creditors
288,227
(395,169)

Impact of group restructure
220,331
-

Corporation tax (paid)/received
(39,465)
6,801

Net cash generated from operating activities

(434,386)
(70,609)


Cash flows from investing activities

Purchase of tangible fixed assets
(4,284)
(11,103)

Sale of tangible fixed assets
4,942
-

Sale of unlisted and other investments
-
2,772

Interest received
164,284
162,253

Net cash from investing activities

164,942
153,922

Cash flows from financing activities

Dividends paid
(378,625)
-

Interest paid
(1,358)
(1,409)

Net cash used in financing activities
(379,983)
(1,409)

Net (decrease)/increase in cash and cash equivalents
(649,427)
81,904

Cash and cash equivalents at beginning of period
2,321,296
2,239,392

Cash and cash equivalents at the end of period
1,671,869
2,321,296


Cash and cash equivalents at the end of period comprise:

Cash at bank and in hand
1,671,869
2,321,296

1,671,869
2,321,296


Page 21

 
TAM FINANCIAL LIMITED
 
The notes on pages 24 to 45 form part of these financial statements.

Page 22

 
TAM FINANCIAL LIMITED
 

CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE PERIOD ENDED 31 OCTOBER 2023




At 1 January 2023
Cash flows
At 31 October 2023
£

£

£

Cash at bank and in hand

2,321,296

(649,427)

1,671,869

Debt due within 1 year

-

-

-


2,321,296
(649,427)
1,671,869

The notes on pages 24 to 45 form part of these financial statements.

Page 23

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

1.


General information

TAM Financial Ltd. is a private company limited by shares incorporated in England and Wales, United Kingdom. The address of the registered company is given on the Company Information page of these financial statements.
The principal activity of the company is as the holding company of the TAM Group. The Group’s principal activity is provider of discretionary investment management and ancillary services. Assets in that activity are raised through professional advisers and other intermediaries and a direct to market product offering.

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 Group management to exercise judgement in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of financial position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
In accordance with the transitional exemption available in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102.

  
2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group 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.
Total revenue comprises commissions, fees, dividend income and other charges derived from asset management.

Page 24

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

2.Accounting policies (continued)

 
2.4

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Consolidated statement of comprehensive income over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 Amortisation is provided on the following bases:

Website and software
-
33%
straight line

 
2.5

Tangible fixed assets

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

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

Depreciation is provided on the following basis:

Motor vehicles
-
20% straight line
Fixtures and fittings
-
33% straight line
Computer equipment
-
33% straight line

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.

Page 25

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

2.Accounting policies (continued)

 
2.6

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted  shares, whose market value can be reliably determined, are remeasured to market value at each reporting date. Gains and losses on remeasurement are recognised in the Consolidated statement of comprehensive income for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

 
2.7

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.

 
2.8

Cash and cash equivalents

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

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

Page 26

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

2.Accounting policies (continued)

 
2.9

Financial instruments

The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investment in ordinary shares.
Debt instruments (other than those wholly repayable or recivable within one year), including loans and other amounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term intrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate of interest for a similar debt instrument and subsequently at amoritised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.
Financial assets that are measured at cost and amoritised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Consolidated statement of comprehensive income.

 
2.10

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.11

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

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

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

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

Page 27

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

2.Accounting policies (continued)

 
2.12

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.

  
2.13

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved. Dividends on shares recognised as liabilities are recognised as expenses and classified within interest payable.

  
2.14

Share based payments

Where share options are awarded to employees, the fair value of the options at the date of grant is charged to the Consolidated statement of comprehensive income over the vesting period. Non-market vesting conditions are taken into account by adjusting the number of equity instruments expected to vest at each Statement of financial position date so that, ultimately, the cumulative amount recognised over the vesting period is based on the number of options that eventually vest. Market vesting conditions are factored into the fair value of the options granted. The cumulative expense is not adjusted for failure to achieve a market vesting condition.
Upon exercise of share options, the proceeds received net of attributable transaction costs are credited to share capital and where appropriate share premium account.

 
2.15

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

 
2.16

Operating leases: the Group 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.

The Group has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard 01 January 2014 to continue to be charged over the period to the first market rent review rather than the term of the lease

Page 28

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

2.Accounting policies (continued)

 
2.17

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group 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 Statement of financial position. The assets of the plan are held separately from the Group in independently administered funds.

 
2.18

Interest income

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

 
2.19

Taxation

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 reporting date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting 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;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

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 reporting date.

Page 29

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

2.Accounting policies (continued)

 
2.20

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

In the application of the Group's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are recognised 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 statement of comprehensive income in the period in which the estimate is revised where the revision affects only that period, or in the period of revision and future periods where the revision affects both current and future periods.

Page 30

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

4.


Turnover

An analysis of turnover by class of business is as follows:


10 month period ended
31 October
31 December
2023
2022
£
£

Sales
3,694,829
6,824,932

3,694,829
6,824,932


Analysis of turnover by country of destination:

10 month period ended
31 October
31 December
2023
2022
£
£

United Kingdom
2,896,289
4,576,163

Rest of the world
798,540
2,248,769

3,694,829
6,824,932



5.


Operating (loss)/profit

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

10 month period ended
31 October
31 December
2023
2022
£
£

Exchange differences
2,112
(1,440)

Defined contribution pension cost
86,987
77,416

Depreciation of tangible fixed assets
10,262
13,298

Amortisation of intangible assets, including goodwill
42,948
67,131

Page 31

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

6.


Auditors' remuneration

During the period, the Group obtained the following services from the Company's auditors and their associates:


10 month period ended
31 October
31 December
2023
2022
£
£

Fees payable to the Company's auditors and their associates in respect of:

Audit-related assurance services
20,593
27,465

Non-audit services
4,550
11,771


7.


Employees

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


Group
10 month period ended 31 October
Group
31 December
Company
10 month period ended 31 October
Company
31 December
2023
2022
2023
2022
£
£
£
£


Wages and salaries
2,023,639
1,892,786
162,499
79,249

Social security costs
224,277
159,085
9,879
-

Cost of defined contribution scheme
86,987
77,416
7,031
-

2,334,903
2,129,287
179,409
79,249


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



Group
Group
Company
Company
10 month period ended
      31 October
      31 December
10 month period ended
      31 October
      31 December
        2023
        2022
        2023
        2022
            No.
            No.
            No.
            No.









Sales and administration
24
32
5
3

In 2019, 1 director was granted 2,563 EMI Share Options at an exercise price that varies from £50 to £200 per share at the date of grant (see note 21).
Key management includes the directors and senior management.  The compensation paid or payable to key management personnel of the Group for employee services carried out during the year  amounted to £689,584 (2022: £409,028).

Page 32

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

8.


Directors' remuneration

10 month period ended
31 October
31 December
2023
2022
£
£

Directors' emoluments
105,832
20,000

105,832
20,000


IDuring the year retirement benefits were accruing to 2 directors (2022 - 2) in respect of defined contribution pension schemes.
The highest paid director received remuneration of £38,340 (2022 - £171,458).
The value of the group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £18,299 (2022 - £8,349).


9.


Loss on disposal of investments

10 month period ended
31 October
31 December
2023
2022
£
£

Loss on disposal of investments
722,450
239

722,450
239







10.


Interest receivable

10 month period ended
31 October
31 December
2023
2022
£
£


Other interest receivable
164,284
162,253

164,284
162,253

Page 33

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

11.


Interest payable and similar expenses

10 month period ended
31 October
31 December
2023
2022
£
£


Interest payable
1,358
1,409

1,358
1,409


12.


Taxation


10 month period ended
31 October
31 December
2023
2022
£
£

Corporation tax


Current tax on profits for the year
-
52,775

Adjustments in respect of previous periods
(2,960)
91


(2,960)
52,866


Total current tax
(2,960)
52,866
Page 34

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023
 
12.Taxation (continued)


Factors affecting tax charge for the period/year

The tax rate assessed for the period/year is higher than (2022 - the same as) the standard rate of corporation tax in the UK of 25% (2022 - 19%). The differences are explained below:

10 month period ended
31 October
31 December
2023
2022
£
£


(Loss)/profit on ordinary activities before tax
(1,219,718)
399,677


(Loss)/profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2022 - 19%)
(304,930)
75,940

Effects of:


Fixed asset differences
(441)
(589)

Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
139,151
1,128

Adjustments to tax charge in respect of prior periods
(24,286)
(11,984)

Exempt distribution income
(54,131)
(61,750)

Adjustments to tax charge in respect of deferred tax
124,572
(17,765)

Other differences leading to an increase (decrease) in the tax charge
117,105
67,886

Total tax charge for the period/year
(2,960)
52,866


Factors that may affect future tax charges

The Group has UK trading losses carried forward of £327,794 (2022: £60,882).
At the end of the 10 month period ended 31 October the Group has a UK deferred tax asset of £547,718 (2022: £149,731) which has not been provided for in these financial statements in accordance with the accounting policy noted above. 
Factors that may affect future tax charges
There were no factors that may affect future tax charges.


13.


Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. The loss after tax of the parent Company for the period/year was £510,179 (2022 - profit £207,582).

Page 35

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

14.


Intangible assets

Group







Website and software
Goodwill
Total

£
£
£



Cost


At 1 January 2023
29,089
973,402
1,002,491


Disposals
(2,250)
(621,006)
(623,256)



At 31 October 2023

26,839
352,396
379,235



Amortisation


At 1 January 2023
20,888
388,491
409,379


Charge for the period on owned assets
8,201
34,747
42,948


On disposals
(2,250)
(234,741)
(236,991)



At 31 October 2023

26,839
188,497
215,336



Net book value



At 31 October 2023
-
163,899
163,899



At 31 December 2022
8,201
584,911
593,112



Page 36

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023
 
           14.Intangible assets (continued)

Company






Goodwill

£





At 1 January 2023
266,415


Disposals
(266,415)



At 31 October 2023

-





At 1 January 2023
45,672


Charge for the year
17,127


On disposals
(62,799)



At 31 October 2023

-



Net book value



At 31 October 2023
-



At 31 December 2022
220,743

Page 37

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

15.


Tangible fixed assets

Group








Motor vehicles
Fixtures and fittings
Computer equipment
Total

£
£
£
£



Cost or valuation


At 1 January 2023
-
41,390
120,339
161,729


Additions
3,525
499
260
4,284


Disposals
-
(40,789)
(100,799)
(141,588)



At 31 October 2023

3,525
1,100
19,800
24,425



Depreciation


At 1 January 2023
-
38,616
102,860
141,476


Charge for the period on owned assets
450
1,017
8,795
10,262


Disposals
-
(38,947)
(97,292)
(136,239)



At 31 October 2023

450
686
14,363
15,499



Net book value



At 31 October 2023
3,075
414
5,437
8,926



At 31 December 2022
-
2,774
17,479
20,253


16.


Fixed asset investments

Group








Unlisted investments

£





At 1 January 2023
24,999


Disposals
(24,999)



At 31 October 2023
-




Page 38

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023
Company








Investments in subsidiary companies

£



Cost or valuation


At 1 January 2023
1,886,087


Additions
468,781


Disposals
(886,278)



At 31 October 2023
1,468,590



Impairment


Charge for the period
2



At 31 October 2023

2


Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Principal activity

Class of shares

Holding

You Give We Give Ltd
Dormant
Ordinary
100%
TAM (Nominees) Ltd
Dormant/Nominees
Ordinary
100%
*TAM Asset Management Ltd
Discretionary management service provider
Ordinary
100%
*TAM Asset Management Int. Ltd
Asset & investment management services
Ordinary
0%
*TAM Ethical Ltd
Dormant
Ordinary
100%
*TAM Work Place Pensions Ltd
Information delivery
Ordinary
0%
*Finchtech Ltd
Distribution support
Ordinary
100%
*TAM Europe Asset Management AV SA.
Asset & investment management services
Ordinary
0%

*On 31st March 2023 the company disposed of its 53.7% shareholding in TAM Asset Management International Ltd. On 31st October 2023 the company disposed of its 100% shareholding in TAM Europe Asset Management AV SA. TAM Ethical Ltd, a dormant subsidiary, was dissolved on 4th April 2023. Finchtech Ltd was dissolved on 25 July 2023. In the year the Company increased its shareholding in TAM Work Place Pensions Limited to 100%. The trade in TAM Work Place Pensions Limited was subsequently transferred to TAM Asset Management Limited.

Page 39

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023
Subsidiary undertakings (continued)

The aggregate of the share capital and reserves as at 31 October 2023 and the profit or loss for the period ended on that date for the subsidiary undertakings were as follows:

Name
Aggregate of share capital and reserves
Profit/(Loss)
£
£

You Give We Give Ltd
1
-

TAM (Nominees) Ltd
4
-

TAM Asset Management Ltd
1,026,751
(356,210)

TAM Work Place Pensions Ltd
1
4,250

-
-

Page 40

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

17.


Debtors

Group
10 month period ended 31 October
Group
31 December
Company
10 month period ended 31 October
Company
31 December
2023
2022
2023
2022
£
£
£
£


Trade debtors
122,082
262,049
-
-

Amounts owed by group undertakings
-
-
96,037
169,017

Other debtors
162,364
171,267
38,889
-

Prepayments and accrued income
456,242
732,920
-
5,379

740,688
1,166,236
134,926
174,396



18.


Cash and cash equivalents

Group
10 month period ended 31 October
Group
31 December
Company
10 month period ended 31 October
Company
31 December
2023
2022
2023
2022
£
£
£
£

Cash at bank and in hand
1,671,869
2,321,296
61,696
142,868

1,671,869
2,321,296
61,696
142,868


Included within cash at bank and in hand amount of £1,671,869 (2022: £2,321,296) as shown on the balance sheet are amounts of £Nil (2022: £Nil) which relate to monies held on behalf of clients in accordance with the Financial Conduct Authority (FCA) Client Assets Sourcebook and £Nil (2022: £214,428) which relates to monies held in accordance with the regulatory requirements of the Financial Services Commission of Mauritius.

Page 41

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

19.


Creditors: Amounts falling due within one year

Group
10 month period ended 31 October
Group
31 December
Company
10 month period ended 31 October
Company
31 December
2023
2022
2023
2022
£
£
£
£

Trade creditors
7,237
263,859
-
589

Corporation tax
9,250
51,675
-
-

Other taxation and social security
110,941
98,686
3,759
-

Other creditors
129,666
218,743
1,071
-

Accruals and deferred income
1,097,103
475,432
97,646
25,592

1,354,197
1,108,395
102,476
26,181


Included in other creditors above are amounts of £Nil (2022: £Nil) which relate to monies held on behalf of clients in accordance with the Financial Conduct Authority (FCA) Client Assets Sourcebook and £Nil (2022: £214,428) which relates to monies held in accordance with the regulatory requirements of the Financial Services Commission of Mauritius.


20.


Share capital

10 month period ended 31 October
31 December
2023
2022
£
£
Allotted, called up and fully paid



120,347 (2022 - 120,347) Ordinary shares of £1.00 each
120,347
120,347



21.


Reserves

Share premium account

Includes all current and prior period share premium payments.

Capital redemption reserve

Capital redemption reserve records the nominal value of shares repurchased by the Group.

Profit and loss account

Includes all current and prior period retained profit and losses.

Page 42

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

22.


Share-based payments

10 month period ended 31 October
10 month period ended 31 October
31 December
31 December
Weighted average exercise price (pence)
2023
Number
2023
Weighted average exercise price
(pence)
2022
Number
2022

Outstanding at the beginning of the year

12,448

6,701

12448
 
6,701
 
Outstanding at the end of the year

6,701

 
6,701
 

On the 3rd November 2023 a total of 1838 Management Options were issued at the excise price of £50 and immediately sold at a market value price of £67.59288. On the 3rd November 2023 a total of 200 Long Service Options were issued at the excise price of £50 and immediately sold at the market value price of £67.59288.On the 3rd November 2023, a total of 4,663 options expired, being 3,675 Management Options, 788 Sales Options and 200 Long Service options.
The scheme was closed after the above transactions.





23.


Pension commitments

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £86,987 (2022: £77,416). Contributions totalling £8,741 (2022: £3,939) were payable to the fund at the reporting date.

Page 43

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

24.


Commitments under operating leases

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


Group
10 month period ended 31 October
Group
31 December
2023
2022
£
£

Not later than 1 year
122,166
126,481

Later than 1 year and not later than 5 years
4,800
106,625

126,966
233,106

The Group's largest commitment under operating leases is the obligation for its London office premises.

Page 44

 
TAM FINANCIAL LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023

25.


Related party transactions

During the period Mr L Petch incurred business expenses on behalf of the Company in the sum of £25,461 (2022: £15,141) and was reimbursed £29,912 (2022: £13,770). At the period end Mr L Petch was owed a balance of £6,281 (2022: £1,830).
During the period Mr L Oram incurred business expenses on behalf of the Company in the sum of £22,866 (2022: £205) and was reimbursed £22,866 (2022: £205). At the period end Mr L Oram was owed a balance of £Nil (2022: £Nil).
During the period Mrs C Wickert incurred business expenses on behalf of the Company in the sum of £2,389 (2022: £133) and was reimbursed £2,477 (2022: £133). At the period end Mrs C Wickert was owed a balance of £89 (2022: £Nil).
During the period Mr R Sutherland incurred business expenses on behalf of the Company in the sum of £37,500 (2022: £Nil) and was reimbursed £30,000 (2022: £22,500). At the period end Mr R Sutherland was owed a balance of £Nil (2022: £7,500).
During the period Mr J Penny incurred business expenses on behalf of the Company in the sum of £1,942 (2022: £1,032) and was reimbursed £2,629 (2022: £499). At the period end Mr J Penny was owed a balance of £1,220 (2022: £533).
TAM Work Place Pensions Limited,  was owed £Nil (2022: £22,643) by TAM Asset Management as at the period end.
The Company, was owed £96,037 (2022: £121,854) by TAM Asset Management Limited. .
TAM Asset Management International Limited, based in Mauritius, owed TAM Asset Management Limited £Nil (2022: £5,427) as at the period end.
TAM Europe Asset Management AV SA, a company formally within the group, was owed £Nil (2022: £34,725) by TAM Asset Management Limited as at the period end.
TAM Europe Asset Management AV SA,  a company formally within the group,  owed TAM Financial Limited £Nil (2022: £22,643), as at the period end.
The Group has taken the exemption available to not disclose transactions within the period, between wholly owned subsidiaries and fellow group companies.


26.


Post balance sheet events

On 7 February 2023 the shareholders entered into an agreement to sell 65% of the issued share capital of TAM Financial Limited to Amber River Group Limited. This agreement was confirmed on the 3rd November 2023 with an effective date of the 31st October 2023 following regulatory approval from the Financial Conduct Authority.


27.


Controlling party

TAM Financial Limited is the largest and smallest group for which group accounts are prepared.
The group is controlled by its shareholders.

 
Page 45