52
false
false
false
false
true
false
false
false
false
false
false
true
false
false
false
false
false
false
No description of principal activity
2023-07-01
Sage Accounts Production Advanced 2024 - FRS102_2024
9,277
350,113
4,985,044
383,578
5,368,622
3,102,717
807,354
3,910,071
1,458,551
1,882,327
129,576
83,327
46,249
xbrli:pure
xbrli:shares
iso4217:GBP
08450163
2023-07-01
2024-06-30
08450163
2024-06-30
08450163
2023-06-30
08450163
2022-07-01
2023-06-30
08450163
2023-06-30
08450163
2022-06-30
08450163
core:DevelopmentCostsCapitalisedDevelopmentExpenditure
2023-07-01
2024-06-30
08450163
core:LandBuildings
2023-07-01
2024-06-30
08450163
core:FurnitureFittings
2023-07-01
2024-06-30
08450163
bus:RegisteredOffice
2023-07-01
2024-06-30
08450163
bus:OrdinaryShareClass1
2023-07-01
2024-06-30
08450163
bus:OrdinaryShareClass2
2023-07-01
2024-06-30
08450163
bus:LeadAgentIfApplicable
2023-07-01
2024-06-30
08450163
bus:Director5
2023-07-01
2024-06-30
08450163
bus:Director4
2023-07-01
2024-06-30
08450163
core:WithinOneYear
2024-06-30
08450163
core:WithinOneYear
2023-06-30
08450163
core:DevelopmentCostsCapitalisedDevelopmentExpenditure
2023-06-30
08450163
core:DevelopmentCostsCapitalisedDevelopmentExpenditure
2024-06-30
08450163
core:LandBuildings
2023-06-30
08450163
core:FurnitureFittings
2023-06-30
08450163
core:LandBuildings
2024-06-30
08450163
core:FurnitureFittings
2024-06-30
08450163
core:RetainedEarningsAccumulatedLosses
2023-06-30
08450163
core:RetainedEarningsAccumulatedLosses
2022-06-30
08450163
core:RetainedEarningsAccumulatedLosses
2024-06-30
08450163
core:RetainedEarningsAccumulatedLosses
2023-06-30
08450163
core:ShareCapital
2024-06-30
08450163
core:ShareCapital
2023-06-30
08450163
core:SharePremium
2024-06-30
08450163
core:SharePremium
2023-06-30
08450163
1
2023-07-01
2024-06-30
08450163
1
2022-07-01
2023-06-30
08450163
core:BetweenOneFiveYears
2023-06-30
08450163
core:UKTax
2022-07-01
2023-06-30
08450163
core:DeferredTaxation
2023-07-01
2024-06-30
08450163
core:DevelopmentCostsCapitalisedDevelopmentExpenditure
2023-06-30
08450163
core:AcceleratedTaxDepreciationDeferredTax
2024-06-30
08450163
core:AcceleratedTaxDepreciationDeferredTax
2023-06-30
08450163
core:TaxLossesCarry-forwardsDeferredTax
2024-06-30
08450163
core:TaxLossesCarry-forwardsDeferredTax
2023-06-30
08450163
core:LandBuildings
2023-06-30
08450163
core:FurnitureFittings
2023-06-30
08450163
core:DeferredTaxation
2023-06-30
08450163
core:DeferredTaxation
2024-06-30
08450163
bus:LeadAgentIfApplicable
2022-07-01
2023-06-30
08450163
bus:Director1
2023-07-01
2024-06-30
08450163
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2023-07-01
2024-06-30
08450163
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2023-07-01
2024-06-30
08450163
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2023-07-01
2024-06-30
08450163
bus:PrivateLimitedCompanyLtd
2023-07-01
2024-06-30
08450163
bus:FullAccounts
2023-07-01
2024-06-30
08450163
bus:OrdinaryShareClass1
2024-06-30
08450163
bus:OrdinaryShareClass1
2023-06-30
08450163
bus:OrdinaryShareClass2
2024-06-30
08450163
bus:OrdinaryShareClass2
2023-06-30
08450163
bus:AllOrdinaryShares
2024-06-30
08450163
bus:AllOrdinaryShares
2023-06-30
08450163
core:AmortisationDeferredTax
2023-06-30
08450163
core:OfficeEquipment
2023-07-01
2024-06-30
08450163
core:OfficeEquipment
2023-06-30
08450163
core:OfficeEquipment
2024-06-30
08450163
core:SharePremium
2023-07-01
2024-06-30
COMPANY REGISTRATION NUMBER:
08450163
Year ended 30 June 2024
Independent auditor's report to the members |
5 |
|
|
Statement of income and retained earnings |
9 |
|
|
Statement of financial position |
10 |
|
|
Statement of cash flows |
11 |
|
|
Notes to the financial statements |
12 |
|
|
Year ended 30 June 2024
The directors present their strategic report together with the financial statements for the period ended 30th June 2024. Principal activity The Company's principal activity during the period continued to be the provision of technological solutions for solicitors completing the conveyancing process and the offer of new data-based products to improved turnaround times in information provision. Business Review The company generated revenue for the twelve-month period to 30 June 2024 of £22,147,512. The comparative amount for the corresponding period from 1 July 2022 to 30 June 2023 was £20,193,661.
Phoenix Searches Limited
sales revenues increased by 9.6% from 2023 to 2024. This uplift in sales is partly due to improvement in the property market and growth in commercial customers. Phoenix Searches Ltd has throughout 2023 and 2024 continued to develop bespoke innovative products that embrace the advancement in technologies focusing on emerging AI technology. The key financial and other performance indicators for the period were as follows:
|
|
2024 |
2023 |
|
|
£ |
£ |
|
Revenue |
22,148 |
20,194 |
|
Gross profit |
5,813 |
4,883 |
|
Profit/(loss) before tax |
74 |
480 |
|
Equity shareholders' funds |
1,511 |
1,520 |
|
Average number of employees (No's) |
52 |
63 |
|
|
|
|
Gross profit improved in 2024 by 20% in comparison to 2023. The increase in product offering from changing order platforms has contributed to this gross profit growth. Phoenix Searches Ltd made a profit of £74k in 2024 and profits are expected to increase in 2025 due to 2024 including some large one-off costs. Principal of Risk and uncertainties The principal risks and uncertainties facing the company are summarised as follows: (a) Financial instrument risk (Liquidity risk, credit risk and foreign currency exchange risk) Liquidity risk describes the company's ability to meet its liabilities as and when they fall due. Phoenix Searches Limited has no gearing. Historically the organisation has had no liquidity issues. Cashflow is managed very closely and there are processes in place to forecast short term and long-term cash flow requirements. The company holds a cash balance that is higher than the forecast cash requirement for its operations. Credit risk is the risk that one party to a financial instrument will cause a financial loss to that other party by failing to discharge an obligation. Polices are implemented to minimise this risk. The organisation operates on upfront payment term. Customer are invoiced on order and 99% of the customer base pay by direct debit on seven day terms. Foreign currency exchange risk arises due to fluctuation in foreign currency exchange rates. The company has minimum exposure to this risk. (b) Competitive risk Phoenix Searches Limited competitive advantage has improved post-acquisition due to collaboration with other group members, which has meant additional product offerings and innovation. Phoenix Searches continues to provide bespoke solutions to their customer base and has a strong presence in the commercial market. Phoenix Searches Limited continues to have a strong brand in the industry which gives the organization a competitive advantage. (c) Economic risk The major economic risk is the current downturn in the housing market and the potential ongoing recession. The increase in interest rates may impact property transactions in England and Wales adversely.
This report was approved by the board of directors on 20 December 2024 and signed on behalf of the board by:
Registered office: |
The Maidstone Studios |
Vinters Business Park |
New Cut Road |
Maidstone |
Kent |
United Kingdom |
ME14 5NZ |
|
Year ended 30 June 2024
The directors present their report and the financial statements of the company for the year ended
30 June 2024
.
Directors
The directors who served the company during the year were as follows:
Dividends
The directors do not recommend the payment of a dividend.
Directors' responsibilities statement
The directors are responsible for preparing the strategic report, directors' report and the financial statements in accordance with applicable law and regulations. Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: - select suitable accounting policies and then apply them consistently; - make judgments and accounting estimates that are reasonable and prudent; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
-
so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
This report was approved by the board of directors on
20 December 2024
and signed on behalf of the board by:
Registered office: |
The Maidstone Studios |
Vinters Business Park |
New Cut Road |
Maidstone |
Kent |
United Kingdom |
ME14 5NZ |
|
Independent Auditor's Report to the Members of
Phoenix Searches Limited |
|
Year ended 30 June 2024
Opinion
We have audited the financial statements of Phoenix Searches Limited (the 'company') for the year ended 30 June 2024 which comprise the statement of income and retained earnings, statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: - give a true and fair view of the state of the company's affairs as at 30 June 2024 and of its loss for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the 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 strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of directors' remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit.
Responsibilities of directors
As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 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: We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we have considered; the nature of the industry, control environment and business performance. We also consider the results of our enquiries of management and the Audit Committee, relating to their own identification and assessment of the risks of irregularities and possible related fraud. This includes reviewing available documentation on their policies and procedures and performing tests of controls to evidence their effectiveness. Throughout the audit testing we are considering the incentives that may exist within the organisation for fraud. Key areas include timing of recognising income around the year end, posting of unusual journals and manipulating the Company's performance measures to meet remuneration targets and bank covenants. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. We ensure we have an understanding of the relevant laws and regulations and remain alert to possible non-compliance throughout the audit. Despite proper planning and audit work in accordance with auditing standards there are inherent limitations and unavoidable risk that we may not detect some irregularities and material misstatements in the financial statements. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
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 2006. Our 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 auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Roderick Archibald |
(Senior Statutory Auditor) |
|
For and on behalf of |
Burgess Hodgson LLP |
Chartered accountants & statutory auditor |
Camburgh House |
27 New Dover Road |
Canterbury |
Kent |
CT1 3DN |
|
9 January 2025
Statement of Income and Retained Earnings |
|
Year ended 30 June 2024
|
2024 |
2023 |
Note |
£ |
£ |
Turnover |
4 |
22,147,512 |
20,193,661 |
|
|
|
|
Cost of sales |
16,335,012 |
15,310,497 |
|
------------- |
------------- |
Gross profit |
5,812,500 |
4,883,164 |
|
|
|
Administrative expenses |
5,753,664 |
5,383,586 |
Other operating income |
5 |
15,214 |
20,733 |
|
|
------------ |
------------ |
Operating profit/(loss) |
6 |
74,050 |
(
479,689) |
|
|
|
|
|
------------ |
------------ |
Profit/(loss) before taxation |
74,050 |
(
479,689) |
|
|
|
Tax on profit/(loss) |
9 |
83,327 |
(
129,576) |
|
-------- |
--------- |
Loss for the financial year and total comprehensive income |
(
9,277) |
(
350,113) |
|
-------- |
--------- |
|
|
|
|
Retained earnings at the start of the year |
806,848 |
1,156,961 |
|
--------- |
------------ |
Retained earnings at the end of the year |
797,571 |
806,848 |
|
--------- |
------------ |
|
|
|
All the activities of the company are from continuing operations.
Statement of Financial Position |
|
30 June 2024
Fixed assets
Intangible assets |
10 |
|
1,458,551 |
1,882,327 |
Tangible assets |
11 |
|
11,181 |
19,491 |
|
|
------------ |
------------ |
|
|
1,469,732 |
1,901,818 |
|
|
|
|
|
Current assets
Debtors |
12 |
1,942,791 |
|
1,696,114 |
Cash at bank and in hand |
1,891,808 |
|
1,478,549 |
|
------------ |
|
------------ |
|
3,834,599 |
|
3,174,663 |
|
|
|
|
|
Creditors: amounts falling due within one year |
13 |
3,839,461 |
|
3,685,661 |
|
------------ |
|
------------ |
Net current liabilities |
|
4,862 |
510,998 |
|
|
------------ |
------------ |
Total assets less current liabilities |
|
1,464,870 |
1,390,820 |
|
|
|
|
|
Provisions
Taxation including deferred tax |
14 |
|
(
46,249) |
(
129,576) |
|
|
------------ |
------------ |
Net assets |
|
1,511,119 |
1,520,396 |
|
|
------------ |
------------ |
|
|
|
|
|
Capital and reserves
Called up share capital |
18 |
|
1,096 |
1,096 |
Share premium account |
19 |
|
712,452 |
712,452 |
Profit and loss account |
19 |
|
797,571 |
806,848 |
|
|
------------ |
------------ |
Shareholders funds |
|
1,511,119 |
1,520,396 |
|
|
------------ |
------------ |
|
|
|
|
|
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.
These financial statements were approved by the
board of directors
and authorised for issue on
20 December 2024
, and are signed on behalf of the board by:
Company registration number:
08450163
Year ended 30 June 2024
Cash flows from operating activities
Loss for the financial year |
(
9,277) |
(
350,113) |
|
|
|
Adjustments for: |
|
|
Depreciation of tangible assets |
8,710 |
14,237 |
Amortisation of intangible assets |
807,354 |
719,912 |
Tax on profit/(loss) |
83,327 |
(
129,576) |
Accrued income |
(
146,364) |
(
139,809) |
|
|
|
Changes in: |
|
|
Trade and other debtors |
(
279,471) |
70,914 |
Trade and other creditors |
332,894 |
365,541 |
|
--------- |
--------- |
Cash generated from operations |
797,173 |
551,106 |
|
--------- |
--------- |
Net cash from operating activities |
797,173 |
551,106 |
|
--------- |
--------- |
|
|
|
Cash flows from investing activities
Purchase of tangible assets |
(
400) |
(
5,276) |
Purchase of intangible assets |
(
383,578) |
(
1,020,551) |
|
--------- |
------------ |
Net cash used in investing activities |
(
383,978) |
(
1,025,827) |
|
--------- |
------------ |
|
|
|
Cash flows from financing activities
Proceeds from loans from group undertakings |
64 |
2,348 |
|
--------- |
------------ |
Net cash from financing activities |
64 |
2,348 |
|
--------- |
------------ |
|
|
|
Net increase/(decrease) in cash and cash equivalents |
413,259 |
(
472,373) |
Cash and cash equivalents at beginning of year |
1,478,549 |
1,950,922 |
|
------------ |
------------ |
Cash and cash equivalents at end of year |
1,891,808 |
1,478,549 |
|
------------ |
------------ |
|
|
|
Notes to the Financial Statements |
|
Year ended 30 June 2024
1.
General information
The company is a private company limited by shares, registered in England and Wales. The address of the registered office is The Maidstone Studios, Vinters Business Park, New Cut Road, Maidstone, Kent, ME14 5NZ, United Kingdom.
2.
Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.
3.
Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant judgements The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: - Purchase recognition - Directors recognise the purchases when significant risks and rewards of ownership are passed to them as buyer. They consider this has taken place on delivery and therefore record all deliveries not yet invoiced as accruals at the year end. Key sources of estimation uncertainty Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows: - Useful economic life of fixed and intangible assets - The annual depreciation and amortisation charges are based upon management's assessment of the useful economic lives and residual values of the company's tangible assets. These are re-assessed annually and amended where necessary. - Bad debts - Directors have included bad debt provisions for items due from customers in administration and any other debts which are in dispute have been reviewed and a proportion has been provided based on expected outcome.
Revenue recognition
Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for services rendered, stated net of discounts and of Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer, usually on despatch of the goods, the amount of revenue can be measured reliably, it is probable that the associated economic benefits will flow to the entity, and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
Income tax
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Foreign currencies
Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the profit and loss account.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Intangible assets
Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses. Any intangible assets carried at revalued amounts, are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses.
Amortisation
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:
|
Website |
- |
25% straight line |
|
|
|
|
If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.
Research and development
Research expenditure is written off in the period in which it is incurred. Development expenditure incurred is capitalised as an intangible asset only when all of the following criteria are met: - It is technically feasible to complete the intangible asset so that it will be available for use or sale; - There is the intention to complete the intangible asset and use or sell it; - There is the ability to use or sell the intangible asset; - The use or sale of the intangible asset will generate probable future economic benefits; - There are adequate technical, financial and other resources available to complete the development and to use or sell the intangible asset; and - The expenditure attributable to the intangible asset during its development can be measured reliably. Expenditure that does not meet the above criteria is expensed as incurred.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
|
Leasehold property improvements |
- |
20% straight line |
|
Fixtures and fittings |
- |
20% straight line |
|
Equipment |
- |
20% straight line |
|
|
|
|
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.
Provisions
Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.
Financial instruments
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses. Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided.
4.
Turnover
Turnover arises from:
|
2024 |
2023 |
|
£ |
£ |
Sale of goods |
22,147,512 |
20,193,661 |
|
------------- |
------------- |
|
|
|
The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.
5.
Other operating income
|
2024 |
2023 |
|
£ |
£ |
Commission receivable |
15,214 |
20,733 |
|
-------- |
-------- |
|
|
|
6.
Operating profit/(loss)
Operating profit or loss is stated after charging/crediting:
|
2024 |
2023 |
|
£ |
£ |
Amortisation of intangible assets |
807,354 |
719,912 |
Depreciation of tangible assets |
8,710 |
14,237 |
Impairment of trade debtors |
3,960 |
(1,242) |
Foreign exchange differences |
428 |
– |
|
--------- |
--------- |
|
|
|
7.
Auditor's remuneration
|
2024 |
2023 |
|
£ |
£ |
Fees payable for the audit of the financial statements |
5,850 |
5,500 |
|
------- |
------- |
|
|
|
8.
Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
|
2024 |
2023 |
|
No. |
No. |
Administrative staff |
52 |
63 |
|
---- |
---- |
|
|
|
The aggregate payroll costs incurred during the year, relating to the above, were:
|
2024 |
2023 |
|
£ |
£ |
Wages and salaries |
3,654,757 |
2,756,305 |
Other pension costs |
96,740 |
262,159 |
|
------------ |
------------ |
|
3,751,497 |
3,018,464 |
|
------------ |
------------ |
|
|
|
9.
Tax on profit/(loss)
Major components of tax expense/(income)
Deferred tax:
Origination and reversal of timing differences |
83,327 |
(
129,576) |
|
-------- |
--------- |
Tax on profit/(loss) |
83,327 |
(
129,576) |
|
-------- |
--------- |
|
|
|
Reconciliation of tax expense/(income)
The tax assessed on the profit/(loss) on ordinary activities for the year is higher than (2023: lower than) the
standard rate of corporation tax in the UK
of
25
% (2023:
20.50
%).
|
2024 |
2023 |
|
£ |
£ |
Profit/(loss) on ordinary activities before taxation |
74,050 |
(
479,689) |
|
-------- |
--------- |
Profit/(loss) on ordinary activities by rate of tax |
18,513 |
(
98,336) |
Adjustment to tax charge in respect of prior periods |
– |
(
9,095) |
Effect of expenses not deductible for tax purposes |
6,145 |
2,374 |
Effect of capital allowances and depreciation |
101,694 |
(
22,029) |
Utilisation of tax losses |
(
126,352) |
– |
Deferred tax not recognised |
83,327 |
(
2,490)
|
|
--------- |
--------- |
Tax on profit/(loss) |
83,327 |
(
129,576) |
|
--------- |
--------- |
|
|
|
10.
Intangible assets
|
Website |
|
£ |
Cost |
|
At 1 July 2023 |
4,985,044 |
Additions |
383,578 |
|
------------ |
At 30 June 2024 |
5,368,622 |
|
------------ |
Amortisation |
|
At 1 July 2023 |
3,102,717 |
Charge for the year |
807,354 |
|
------------ |
At 30 June 2024 |
3,910,071 |
|
------------ |
Carrying amount |
|
At 30 June 2024 |
1,458,551 |
|
------------ |
At 30 June 2023 |
1,882,327 |
|
------------ |
|
|
11.
Tangible assets
|
Leasehold property improvements |
Fixtures and fittings |
Equipment |
Total |
|
£ |
£ |
£ |
£ |
Cost |
|
|
|
|
At 1 July 2023 |
19,929 |
29,557 |
71,858 |
121,344 |
Additions |
– |
– |
400 |
400 |
|
-------- |
-------- |
-------- |
--------- |
At 30 June 2024 |
19,929 |
29,557 |
72,258 |
121,744 |
|
-------- |
-------- |
-------- |
--------- |
Depreciation |
|
|
|
|
At 1 July 2023 |
18,779 |
27,433 |
55,641 |
101,853 |
Charge for the year |
– |
3,368 |
5,342 |
8,710 |
|
-------- |
-------- |
-------- |
--------- |
At 30 June 2024 |
18,779 |
30,801 |
60,983 |
110,563 |
|
-------- |
-------- |
-------- |
--------- |
Carrying amount |
|
|
|
|
At 30 June 2024 |
1,150 |
(
1,244) |
11,275 |
11,181 |
|
-------- |
-------- |
-------- |
--------- |
At 30 June 2023 |
1,150 |
2,124 |
16,217 |
19,491 |
|
-------- |
-------- |
-------- |
--------- |
|
|
|
|
|
12.
Debtors
|
2024 |
2023 |
|
£ |
£ |
Trade debtors |
1,028,157 |
719,118 |
Prepayments and accrued income |
246,544 |
420,284 |
Other debtors |
668,090 |
556,712 |
|
------------ |
------------ |
|
1,942,791 |
1,696,114 |
|
------------ |
------------ |
|
|
|
13.
Creditors:
amounts falling due within one year
|
2024 |
2023 |
|
£ |
£ |
Trade creditors |
1,698,690 |
1,672,459 |
Amounts owed to group undertakings |
2,412 |
2,348 |
Accruals and deferred income |
1,664,236 |
1,617,213 |
Social security and other taxes |
416,054 |
303,502 |
Other creditors |
58,069 |
90,139 |
|
------------ |
------------ |
|
3,839,461 |
3,685,661 |
|
------------ |
------------ |
|
|
|
14.
Provisions
|
Deferred tax (note 15) |
|
£ |
At 1 July 2023 |
(
129,576) |
Charge against provision |
83,327 |
|
--------- |
At 30 June 2024 |
(
46,249) |
|
--------- |
|
|
15.
Deferred tax
The deferred tax included in the statement of financial position is as follows:
|
2024 |
2023 |
|
£ |
£ |
Included in provisions (note 14) |
(
46,249) |
(
129,576) |
|
-------- |
--------- |
|
|
|
The deferred tax account consists of the tax effect of timing differences in respect of:
|
2024 |
2023 |
|
£ |
£ |
Accelerated capital allowances |
138,747 |
116,456 |
Unused tax losses |
(
184,996) |
(
232,841) |
Deferred tax - Other temporary differences |
– |
(
13,191)
|
|
--------- |
--------- |
|
(46,249) |
(129,576) |
|
--------- |
--------- |
|
|
|
16.
Employee benefits
Defined contribution plans
The amount recognised in profit or loss as an expense in relation to defined contribution plans was £
96,740
(2023: £
262,159
).
17.
Financial instruments
The carrying amount for each category of financial instrument is as follows:
Financial assets measured at fair value through profit or loss
Trade debtors |
1,028,157 |
719,117 |
|
------------ |
--------- |
|
|
|
Financial liabilities measured at fair value through profit or loss
Trade creditors |
1,698,690 |
1,672,459 |
|
------------ |
------------ |
|
|
|
18.
Called up share capital
Issued, called up and fully paid
|
2024 |
2023 |
|
No. |
£ |
No. |
£ |
Ordinary shares of £ 0.01 each |
100,000 |
1,000.00 |
100,000 |
1,000.00 |
A Ordinary shares of £ 0.01 each |
9,600 |
96.00 |
9,600 |
96.00 |
|
--------- |
---------- |
--------- |
---------- |
|
109,600 |
1,096.00 |
109,600 |
1,096.00 |
|
--------- |
---------- |
--------- |
---------- |
|
|
|
|
|
As a result of the EMI options being exercised, 9,550 A Ordinary shares of £0.01 each were issued. For presentation purposes this has been rounded to the nearest £1 in the table above.
19.
Reserves
Share premium account - This reserve records the amount above the nominal value received for shares sold, less transaction costs. Profit and loss account - This reserve records retained earnings and accumulated losses.
20.
Analysis of changes in net debt
|
At 1 Jul 2023 |
Cash flows |
At 30 Jun 2024 |
|
£ |
£ |
£ |
Cash at bank and in hand |
1,478,549 |
413,259 |
1,891,808 |
Debt due within one year |
(2,348) |
(64) |
(2,412) |
|
------------ |
--------- |
------------ |
|
1,476,201 |
413,195 |
1,889,396 |
|
------------ |
--------- |
------------ |
|
|
|
|
21.
Operating leases
The total future minimum lease payments under non-cancellable operating leases are as follows:
|
2024 |
2023 |
|
£ |
£ |
Not later than 1 year |
– |
88,688 |
Later than 1 year and not later than 5 years |
– |
16,125 |
|
---- |
--------- |
|
– |
104,813 |
|
---- |
--------- |
|
|
|
Notes to the Financial Statements (continued) |
|
Year ended 30 June 2024
22.
Controlling party
The immediate parent company is Legal Searches (UK) Pty Limited, a company incorporated in Australia. Previously this was InfoTrack Pty Limited. The smallest group to consolidate the company financial statements is ATI Holdings Co Pty Limited and the largest group to consolidate the company financial statements is ATI Global Limited. Copies of the ATI Holdings Co Pty Limited and ATI Global Limited financial statements are publicly available and can be obtained from the Australian Securities & Investments Commission (ASIC), at asic.gov.au. "or" from the ATI Global Limited registered office Level 8, 135 King Street, Sydney, 2000, NSW, Australia. The Company's ultimate parent is
ATI Global Limited
, a company registered in Australia, which is controlled by C M Beck, who is regarded as the ultimate controlling party.