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Registered number: 03799095









FORTRESS (GB) LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
FORTRESS (GB) LIMITED
 
 
COMPANY INFORMATION


Directors
U Apple 
A Eshet-Vago 
A M D Klimt 
J Naggar 
G Vago 




Registered number
03799095



Registered office
Tavistock House, Tavistock Square

London

WC1H 9LG




Independent auditors
Harris & Trotter LLP

1st Floor South

101 New Cavendish Street

London

W1W 6XH





 
FORTRESS (GB) LIMITED
 

CONTENTS



Page
Group Strategic Report
1 - 2
Directors' Report
3 - 5
Independent Auditors' Report
6 - 9
Consolidated Statement of Comprehensive Income
10
Consolidated Statement of Financial Position
11
Company Statement of Financial Position
12 - 13
Consolidated Statement of Changes in Equity
14
Company Statement of Changes in Equity
15
Consolidated Statement of Cash Flows
16 - 17
Consolidated Analysis of Net Debt
18
Notes to the Financial Statements
19 - 38


 
FORTRESS (GB) LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The directors present their Group Strategic Report for the year ended 31 December 2023. The Group comprises Fortress (GB) Limited and its subsidiaries, Fortress Applications Limited and Fortress US Inc.

Business review
 
Fortress (GB) Limited is a private company, limited by shares and incorporated in England and Wales. The company continued to provide enterprise level Customer Management Solutions to the Sports, Leisure and Entertainment sector. This year's financial outcomes are detailed on pages 10 to 18 of the financial statements. 
The directors report significant year on year improvements in both Group turnover and profitability for the year ended 31st December 2023. Operating profit increased by 82.8% reaching £1,339,966 compared to £733,031 for the previous year. 
The Group continues to enjoy successful growth across all its products and geographical markets, particularly in the USA.

Principal risks and uncertainties
 
The company faces several strategic and operational risks:
1) The Board are acutely aware of the Competitive environment in the markets in which the Group operates. To safeguard and enhance its' market position, the Group continuously invests in the design and development of new products and tailors services to meet evolving customer expectations.
2) Breaches of Cyber and information security present reputational and marketing risks which are mitigated by:
• specific training of all personnel commensurate with their roles;
• systems designed to deliver security analytics, detection and threat visibility;
• use of external consultants to undertake regular penetration testing; and
• ISO 27001 certification of the major Group trading entities (Fortress (GB) Ltd and Fortress US Inc.).
3) As a service orientated Group, retaining and motivating skilled personnel at all levels of the organisation, is key to the long-term success of the Group.  The Board are proud of the minimal staff turnover achieved by:
• offering hybrid work from home policy;
• holding monthly company wide open forum meetings;
• regular performance and appraisal reviews;
• ensuring pay and benefits are competitive; and
• ensuring a Board member has responsibility for employment engagement.

Page 1

 
FORTRESS (GB) LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Financial key performance indicators
 
The Group reports on several financial and non-financial performance indicators on a monthly basis. These include both operational and commercial statistics relating to sales invoiced, stock, debtors and liquidity. The following are considered to be key indicators of performance for 2023:
• Growth in Turnover: Increased to £15.6 million from £12.5 million, driven by new contracts and expanded business with existing clients;
• Gross Margin: Increased to 67.6% from 65.5%, reflecting stable profitability under current trading conditions;and
• Bank balances: Year-end bank balances stood at £5.8 million, up from £2.9 million, indicating strong liquidity and financial resilience.
 


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



................................................
A Eshet-Vago
Director

Date: 18 November 2024

Page 2

 
FORTRESS (GB) LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

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

Directors

The directors who served during the year were:

U Apple 
A Eshet-Vago 
A M D Klimt 
J Naggar 
G Vago 

Principal activity

The Group's principal activity during the year continued to be the provision of enterprise level Customer Management Solutions to the Sports, Leisure and Entertainment sector. 

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 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 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 profit for the year, after taxation, amounted to £1,850,254 (2022 - £1,242,659).

No dividends have been declared or paid in the year. 

Page 3

 
FORTRESS (GB) LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Financial Risk Management

• Price Risk
The directors do not believe the group is exposed to significant price risks as material costs are reflected in new contract terms.
• Credit Risk
The group is exposed to the normal business risk from trade debtors defaulting. However, the risk is considered low due to the spread of customers and by the provision of contracted critical infrastructure services to them.
The adoption of rigorous credit control measures has reduced the trade debtors days outstanding at the 31st December 2023 to 38 days from 119 days for the previous year.
• Foreign currency exchange risk
The company undertakes foreign exchange transactions with its subsidiary undertakings whose principal operating currency is US Dollars. It does not seek to mitigate its Dollar exchange risk.
• Liquidity risk
The Group does not foresee any risks associated with liquidity as adequate cash reserves are maintained, supported by a rigorous credit control policy over its receivables.

Future developments

The Group is committed to continuous innovation and strategic growth. Future developments will focus on expanding our technological capabilities and exploring new market opportunities to enhance shareholder value and customer satisfaction.

Qualifying third party indemnity provisions

During the year, and at the date of this report, the Company has in place qualifying third party indemnity provisions for the benefit of the directors. 

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

There have been no significant events affecting the Group since the year end.

Auditors

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

Page 4

 
FORTRESS (GB) LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

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





................................................
A Eshet-Vago
Director
Date: 18 November 2024

Page 5

 
FORTRESS (GB) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FORTRESS (GB) LIMITED
 

Opinion


We have audited the financial statements of Fortress (GB) Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 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 December 2023 and of the Group's profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


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 6

 
FORTRESS (GB) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FORTRESS (GB) 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 year 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.


Page 7

 
FORTRESS (GB) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FORTRESS (GB) LIMITED (CONTINUED)


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 3, 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.


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:

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud
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

 
FORTRESS (GB) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FORTRESS (GB) 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
 
1st Floor South
101 New Cavendish Street
London
W1W 6XH

18 November 2024
Page 9

 
FORTRESS (GB) LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
15,564,034
12,465,223

Cost of sales
  
(5,036,485)
(4,301,572)

Gross profit
  
10,527,549
8,163,651

Administrative expenses
  
(9,219,808)
(7,466,212)

Other operating income
  
32,225
35,592

Operating profit
 6 
1,339,966
733,031

Interest receivable and similar income
  
23,570
288

Interest payable and similar expenses
 11 
(41,937)
(29,886)

Other finance income
  
(1,265)
(3,986)

Profit before tax
  
1,320,334
699,447

Tax on profit and tax credit
 12 
529,920
543,212

Profit for the financial year
  
1,850,254
1,242,659

Other comprehensive income for the year
  

Exchange differences on consolidation of foreign operations
  
(7,175)
(321)

Other comprehensive income for the year
  
(7,175)
(321)

Total comprehensive income for the year
  
1,843,079
1,242,338

Profit for the year attributable to:
  

Owners of the parent company
  
1,850,254
1,242,659

  
1,850,254
1,242,659

The notes on pages 19 to 38 form part of these financial statements.

Page 10

 
FORTRESS (GB) LIMITED
REGISTERED NUMBER: 03799095

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 14 
107,987
122,616

  
107,987
122,616

Current assets
  

Stocks
 16 
1,706,060
1,222,800

Debtors: amounts falling due within one year
 17 
2,743,554
6,280,539

Cash at bank and in hand
 18 
5,818,363
2,904,452

  
10,267,977
10,407,791

Creditors: amounts falling due within one year
 19 
(3,718,253)
(5,433,826)

Net current assets
  
 
 
6,549,724
 
 
4,973,965

Total assets less current liabilities
  
6,657,711
5,096,581

Creditors: amounts falling due after more than one year
 20 
(237,286)
(519,235)

  

Net assets
  
6,420,425
4,577,346


Capital and reserves
  

Called up share capital 
 22 
68,383
68,383

Share premium account
 23 
8,543,045
8,543,045

Foreign exchange reserve
 23 
(7,496)
(321)

Profit and loss account
 23 
(2,183,507)
(4,033,761)

  
6,420,425
4,577,346


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
A Eshet-Vago
Director

Date: 18 November 2024

The notes on pages 19 to 38 form part of these financial statements.

Page 11

 
FORTRESS (GB) LIMITED
REGISTERED NUMBER: 03799095

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 14 
88,282
102,703

Investments
 15 
220
220

  
88,502
102,923

Current assets
  

Stocks
 16 
798,395
822,210

Debtors: amounts falling due within one year
 17 
3,890,054
3,931,311

Cash at bank and in hand
 18 
2,914,066
1,900,747

  
7,602,515
6,654,268

Creditors: amounts falling due within one year
 19 
(1,448,202)
(1,805,691)

Net current assets
  
 
 
6,154,313
 
 
4,848,577

Total assets less current liabilities
  
6,242,815
4,951,500

  

Creditors: amounts falling due after more than one year
 20 
(237,287)
(395,479)

  

Net assets excluding pension asset
  
6,005,528
4,556,021

Net assets
  
6,005,528
4,556,021


Capital and reserves
  

Called up share capital 
 22 
68,383
68,383

Share premium account
 23 
8,543,045
8,543,045

Profit and loss account brought forward
 23 
(4,055,407)
(5,086,277)

Profit for the year

  

1,449,507
1,030,870

Profit and loss account carried forward
  
(2,605,900)
(4,055,407)

  
6,005,528
4,556,021


Page 12

 
FORTRESS (GB) LIMITED
REGISTERED NUMBER: 03799095
    
COMPANY STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 DECEMBER 2023

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 


................................................
A Eshet-Vago
Director

Date: 18 November 2024

The notes on pages 19 to 38 form part of these financial statements.

Page 13
 

 
FORTRESS (GB) LIMITED


 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023



Called up share capital
Share premium account
Foreign exchange reserve
Profit and loss account
Equity attributable to owners of parent Company
Total equity


£
£
£
£
£
£



At 1 January 2022
68,383
8,543,045
-
(5,276,420)
3,335,008
3,335,008



Comprehensive income for the year


Profit for the year
-
-
-
1,242,659
1,242,659
1,242,659


Exchange differences on consolidation of foreign operations
-
-
(321)
-
(321)
(321)





At 1 January 2023
68,383
8,543,045
(321)
(4,033,761)
4,577,346
4,577,346



Comprehensive income for the year


Profit for the year
-
-
-
1,850,254
1,850,254
1,850,254


Exchange differences on consolidation of foreign operations
-
-
(7,175)
-
(7,175)
(7,175)



At 31 December 2023
68,383
8,543,045
(7,496)
(2,183,507)
6,420,425
6,420,425



The notes on pages 19 to 38 form part of these financial statements.

Page 14
 
FORTRESS (GB) LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


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

£
£
£
£


At 1 January 2022
68,383
8,543,045
(5,086,277)
3,525,151


Comprehensive income for the year

Profit for the year
-
-
1,030,870
1,030,870



At 1 January 2023
68,383
8,543,045
(4,055,407)
4,556,021


Comprehensive income for the year

Profit for the year
-
-
1,449,507
1,449,507


At 31 December 2023
68,383
8,543,045
(2,605,900)
6,005,528


The notes on pages 19 to 38 form part of these financial statements.

Page 15

 
FORTRESS (GB) LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
1,850,254
1,242,659

Adjustments for:

Amortisation of intangible assets
8,263
-

Depreciation of tangible assets
52,370
40,762

Interest paid
41,937
29,886

Interest received
(23,570)
(288)

Taxation credit
(529,920)
(543,212)

(Increase) in stocks
(483,260)
(160,338)

Decrease/(increase) in debtors
3,539,298
(3,443,066)

(Decrease)/increase in creditors
(1,855,541)
1,417,585

Corporation tax received
582,086
529,432

Foreign exchange
66,988
38,236

Net cash generated from operating activities

3,248,905
(848,344)


Cash flows from investing activities

Purchase of intangible fixed assets
(8,263)
-

Purchase of tangible fixed assets
(26,875)
(65,205)

Sale of tangible fixed assets
459
-

Interest received
23,570
288

Net cash from investing activities

(11,109)
(64,917)
Page 16

 
FORTRESS (GB) LIMITED
 

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


2023
2022

£
£



Cash flows from financing activities

Repayment of loans
(158,192)
(160,859)

Repayment of other loans
(123,756)
-

Interest paid
(41,937)
(29,886)

Net cash used in financing activities
(323,885)
(190,745)

Net increase/(decrease) in cash and cash equivalents
2,913,911
(1,104,006)

Cash and cash equivalents at beginning of year
2,904,452
4,008,458

Cash and cash equivalents at the end of year
5,818,363
2,904,452


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
5,818,363
2,904,452

5,818,363
2,904,452


The notes on pages 19 to 38 form part of these financial statements.

Page 17

 
FORTRESS (GB) LIMITED
 

CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2023





At 1 January 2023
Cash flows
Other non-cash changes
At 31 December 2023
£

£

£

£

Cash at bank and in hand

2,904,452

2,913,911

-

5,818,363

Debt due after 1 year

(519,235)

123,756

158,192

(237,287)

Debt due within 1 year

(158,193)

158,193

(158,192)

(158,192)


2,227,024
3,195,860
-
5,422,884

The notes on pages 19 to 38 form part of these financial statements.

Page 18

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

Fortress (GB) Limited is a private company, limited by shares, incorporated in England & Wales under the Companies Act 2006 (registered number: 03799095). The registered address and trading address of the company is Tavistock House, Tavistock Square, London, WC1H 9LG. 
The group consists of Fortress (GB) Limited and all of its subsidiaries. The Group's principal activities are set out in the directors' report. 

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 judgment 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.
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.

Page 19

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.3

Going concern

In determining the appropriate basis of preparation of the accounts, the directors are required to consider whether the Group has adequate resources to continue in operational existence for the foreseeable future, being at least twelve months from the date of the approval of the accounts. 
The Group's business activities, together with factors that are likely to affect its future development, financial performance and financial position, and the main financial risks that impact the Group's performance are set out in the Strategic and Directors Report. 
The directors have prepared forecasts and have a reasonable expectation that the Group has adequate resources to continue operational existence for the foreseeable future. For this reason, the going concern assumption has been adopted when preparing the financial statements. 

 
2.4

Foreign currency translation

Functional and presentation currency

The Group's presentational currency is GBP. The functional currency of each Group entity is the local currency in the country where the entity is registered. 

Transactions and balances

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

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

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

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Consolidated Statement of Comprehensive Income within 'interest receivable or payable'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

On consolidation, the results of overseas operations are translated into GBP at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income.

Page 20

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.5

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. 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 Group has transferred the significant risks and rewards of ownership to the buyer;
the Group 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 Group 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 Group 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.

 
2.6

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.

 
2.7

Research and development

All research and development costs are written off to the P&L in full when incurred. None of these costs are capitalised. 

 
2.8

Interest income

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

Page 21

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

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.

 
2.10

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

 
2.11

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.

 
2.12

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.

 
2.13

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.

 
2.14

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.

At each reporting date the Group assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Page 22

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.14
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 straight-line method.

Depreciation is provided on the following basis:

Long-term leasehold property
-
10%
Plant and machinery
-
7%
Motor vehicles
-
15%
Fixtures and fittings
-
20%
Office equipment
-
20%
Computer equipment
-
20%

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.

 
2.15

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.16

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 weighted average basis.

At each reporting 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.

 
2.17

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.

 
2.18

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 form an integral part of the Group's cash management.

Page 23

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.19

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.

 
2.20

Financial instruments

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

The Group 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 Group's Statement of Financial Position when the Group 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 Group'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 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
Page 24

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.20
Financial instruments (continued)

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 instrument is any contract that evidences a residual interest in the assets of the Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans, other loans and loans due to fellow group companies 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 payments 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.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

Page 25

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the Group's accounting policies, which are described in Note 2, management is required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected in future periods. 
Estimates and assumptions
There are no critical estimation uncertainties or assumptions in the preparation of these financial statements. 


4.


Turnover

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


2023
2022
£
£

Sale of goods
7,698,820
5,917,295

Services rendered
7,845,778
6,505,414

Other income
19,436
42,514

15,564,034
12,465,223


Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
4,740,197
4,925,546

Rest of Europe
1,770,055
2,392,233

Rest of the world
9,053,782
5,147,444

15,564,034
12,465,223



5.


Other operating income

2023
2022
£
£

Other operating income
32,225
35,592

32,225
35,592


Page 26

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Hotels, travel and subsistence
732,649
644,315

Other operating lease rentals
343,477
226,736

Depreciation and amortisation
60,633
40,762


7.


Auditors' remuneration

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


2023
2022
£
£

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements
85,000
-


8.


Employees

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


Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£


Wages and salaries
6,037,535
5,271,524
3,851,441
3,551,222

Social security costs
566,344
518,188
418,097
403,619

Cost of defined contribution scheme
211,651
178,432
165,850
149,984

6,815,530
5,968,144
4,435,388
4,104,825


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



Group
Group
Company
Company
        2023
        2022
        2023
        2022
            No.
            No.
            No.
            No.









Employees
95
93
64
64

Page 27

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
522,033
451,659

Group contributions to defined contribution pension schemes
28,015
16,377

550,048
468,036


During the year retirement benefits were accruing to 3 directors (2022 - 3) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £259,415 (2022 - £204,217).

The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £9,837 (2022 - £10,390).


10.


Interest receivable

2023
2022
£
£


Other interest receivable
23,570
288

23,570
288


11.


Interest payable and similar expenses

2023
2022
£
£


Bank interest payable
41,937
29,886

41,937
29,886

Page 28

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year and tax credit
(529,920)
(543,212)


(529,920)
(543,212)


Total current tax and tax credit
(529,920)
(543,212)

Deferred tax

Total deferred tax
-
-


Tax on profit and tax credit
(529,920)
(543,212)
Page 29

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 23.5% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
1,320,334
699,447


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2022 - 19%)
310,278
132,895

Effects of:


Capital allowances for year in excess of depreciation
2,930
(9,596)

Expenses not deductible for tax purposes
4,448
137

Utilisation of tax losses
(193,160)
(75,810)

R&D tax credit
(658,943)
(582,087)

Difference in tax rates in foreign subsidiaries
9,576
(8,751)

Other differences leading to an increase (decrease) in the tax charge
(5,049)
-

Total tax charge for the year
(529,920)
(543,212)

A deferred tax asset has not been recognised in these financial statements on the basis of the uncertainty over the timing and extent of the generation of taxable profits to enable recognition. 


Factors that may affect future tax charges

The corporation tax main rate increased from 19% to 25% from 1 April 2023. The rate applied in the note above is therefore a weighted average of the two rates for the year. The main rate in future years will be 25%.

Page 30

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

13.


Intangible assets

Group 





Computer software

£



Cost


Additions
8,263



At 31 December 2023

8,263



Amortisation


Charge for the year on owned assets
8,263



At 31 December 2023

8,263



Net book value



At 31 December 2023
-



At 31 December 2022
-



Page 31

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

14.


Tangible fixed assets

Group






Long-term leasehold property
Plant and machinery
Motor vehicles
Fixtures and fittings
Office equipment
Total

£
£
£
£
£
£



Cost or valuation


At 1 January 2023
18,106
22,937
21,776
155,793
561,129
779,741


Additions
1,959
-
-
-
24,916
26,875


Disposals
-
-
-
-
(459)
(459)


Exchange adjustments
(1,340)
(1,697)
(1,611)
(1,564)
667
(5,545)



At 31 December 2023

18,725
21,240
20,165
154,229
586,253
800,612



Depreciation


At 1 January 2023
4,773
27,596
21,776
121,709
481,271
657,125


Charge for the year
1,736
2,033
-
25,033
23,568
52,370


Exchange adjustments
(2,090)
(1,543)
(1,611)
(3,541)
(8,085)
(16,870)



At 31 December 2023

4,419
28,086
20,165
143,201
496,754
692,625



Net book value



At 31 December 2023
14,306
(6,846)
-
11,028
89,499
107,987



At 31 December 2022
13,333
(4,659)
-
34,084
79,858
122,616

Page 32

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

           14.Tangible fixed assets (continued)


Company






Fixtures and fittings
Computer equipment
Total

£
£
£

Cost or valuation


At 1 January 2023
132,161
405,050
537,211


Additions
-
24,916
24,916



At 31 December 2023

132,161
429,966
562,127



Depreciation


At 1 January 2023
101,982
332,526
434,508


Charge for the year on owned assets
18,030
21,307
39,337



At 31 December 2023

120,012
353,833
473,845



Net book value



At 31 December 2023
12,149
76,133
88,282



At 31 December 2022
30,179
72,524
102,703






Page 33

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

15.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2023
220



At 31 December 2023
220





Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Registered office

Class of shares

Holding

Fortress Applications Limited
Hagoren 6 Unit 1, Omer, 8469500, Israel
Ordinary
100%
Fortress US Inc
365 W. Passaic Street Suite 310, Rochelle Park, NJ 07662, USA
Ordinary
100%

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

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

Fortress Applications Limited
(175,942)
72,722

Fortress US Inc
570,430
307,396


16.


Stocks

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Finished goods and goods for resale
1,706,060
1,222,800
798,395
822,210

1,706,060
1,222,800
798,395
822,210


Page 34

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

17.


Debtors

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£


Trade debtors
1,722,469
4,046,950
1,100,846
1,808,647

Amounts owed by group undertakings
-
-
2,291,700
357,403

Other debtors
246,490
32,685
15,239
3,366

Prepayments and accrued income
774,595
2,200,904
482,269
1,761,895

2,743,554
6,280,539
3,890,054
3,931,311



18.


Cash and cash equivalents

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Cash at bank and in hand
5,818,363
2,904,452
2,914,066
1,900,747

5,818,363
2,904,452
2,914,066
1,900,747



19.


Creditors: Amounts falling due within one year

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loans
158,193
158,193
158,193
158,193

Trade creditors
414,855
743,622
193,213
293,959

Corporation tax
140,185
213
-
-

Other taxation and social security
394,336
418,078
295,187
364,447

Other creditors
584,494
1,678,180
31,989
-

Accruals and deferred income
2,026,190
2,435,540
769,620
989,092

3,718,253
5,433,826
1,448,202
1,805,691


Page 35

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

20.


Creditors: Amounts falling due after more than one year

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loans
237,286
395,479
237,287
395,479

Other loans
-
123,756
-
-

237,286
519,235
237,287
395,479


On 18 May 2020, the Company entered a CBIL facility of £800,000 with NatWest Bank for a period of 6 years. The facility accrues interest at 2.17% per annum over the base rate and is secured by a fixed and floating charge on the assets of the Company. The principal is being repaid monthly and interest paid quarterly. 


21.


Financial instruments

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Financial assets

Financial assets measured at amortised cost
1,969,159
4,079,635
3,407,785
2,169,416

Financial assets measured at fair value through profit and loss
5,818,363
2,904,452
2,914,066
1,900,747

7,787,522
6,984,087
6,321,851
4,070,163


Financial liabilities

Financial liabilities measured at amortised cost
3,421,018
5,534,768
1,390,302
1,836,724


Financial assets measured at amortised cost comprise of trade debtors, amounts due from group companies and other debtors. 


Financial assets measured at fair value through profit or loss comprise of cash at bank.


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

Page 36

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

22.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



6,656,983 (2022 - 6,656,983) Ordinary voting shares of £0.01 each
66,570
66,570
181,285 (2022 - 181,285) Ordinary non-voting shares of £0.01 each
1,813
1,813

68,383

68,383


There is two classes of ordinary shares being voting and non-voting shares. There are no restrictions on dividends and the repayment of capital. 


23.


Reserves

Share premium account

The share premium account comprises of all amounts paid for issued shares above their nominal value. 

Foreign exchange reserve

Comprises exchange differences arising from the translation of financial statements of the Group's foreign entities into GBP.  

Profit and loss account

The profit and loss reserve comprises of the current and previous years retained profits and losses. This is a fully distributable reserve.


24.


Pension commitments

The Group operates defined contributions pension schemes. The assets of the schemes are held separately from those of the Group in independently administered funds. The pension cost charge represents contributions payable by the Group to the funds and amounted to £211,651 (2022 - £178,432). The were no outstanding contributions at year end. 


25.


Commitments under operating leases

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

2023
2022
Group
£
£


Not later than 1 year
235,244
221,290

Later than 1 year and not later than 5 years
25,210
250,929

260,454
472,219

Page 37

 
FORTRESS (GB) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

26.


Related party transactions

The Company has taken advantage of the exemption contained in FRS 102 paragraph 33.1A not to
disclose transactions entered into between two or more members of a group where subsidiaries party to
the transactions are wholly owned by such a member.


27.


Post balance sheet events

There have been no significant events affecting the Group since the year end. 


28.


Controlling party

The Company's immediate and ultimate holding company is Andoma Investment Holdings Limited, a company incorporated in the British Virgin Islands. In the opinion of the directors, there is no ultimate controlling party. The registered address of Andoma Investment Holdings Limited is Wickhams Cay, PO Box 146, Road Town, Tortola, British Virgin Islands. 

 
Page 38