Registration number:
Capital Group London Limited
for the Year Ended 31 August 2024
Capital Group London Limited
Contents
Company Information |
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Strategic Report |
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Director's Report |
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Statement of Director's Responsibilities |
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Independent Auditor's Report |
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Consolidated Profit and Loss Account |
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Consolidated Balance Sheet |
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Balance Sheet |
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Consolidated Statement of Changes in Equity |
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Statement of Changes in Equity |
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Consolidated Statement of Cash Flows |
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Notes to the Financial Statements |
Capital Group London Limited
Company Information
Director |
Mr. Paul McCreesh |
Registered office |
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Auditors |
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Capital Group London Limited
Strategic Report for the Year Ended 31 August 2024
The director presents his strategic report for the year ended 31 August 2024.
Principal activity
The principal activity of the group is that of construction and renovation of buildings.
Fair review of the business
The company continues to trade but has significantly decreased turnover in the period in comparison to the prior year.
The group's key financial and other performance indicators during the year were as follows:
Financial KPIs |
Unit |
2024 |
2023 |
Turnover |
£ |
11,268,236 |
16,263,647 |
Gross Profit |
£ |
2,019,903 |
3,309,286 |
Net profit before taxation |
£ |
966,081 |
2,267,393 |
Gross profit margin |
% |
18 |
20 |
Net profit margin |
% |
9 |
14 |
Principal risks and uncertainties
Principle risks and uncertainties have been disclosed in the Directors report.
Approved and authorised by the
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Capital Group London Limited
Director's Report for the Year Ended 31 August 2024
The director presents his report and the financial statements for the year ended 31 August 2024.
Director of the group
The director who held office during the year was as follows:
Financial instruments
Objectives and policies
The company uses various financial instruments. These include finance lease agreements and cash. Items such as
trade debtors and trade creditors, that arise directly from its operations, are also used. The main purpose of these
financial instruments is to raise finance for the company's operations.
The main risks arising from the company's financial instruments are liquidity risk, interest rate risk and credit risk.
- The company's principal financial asset, and therefore its principal risk, is cash. Liquidity risk is managed by ensuring sufficient liquidity is available to meet forseeable needs and to invest cash assets safely and profitably.
- Interest rate risk is managed by using fixed rate facilities, therefore reducing exposure to rate fluctuations.
- The comany's principal credit risk is trade debtors. Trade debts are monitored closely and the company does not have a history of impairments
Price risk, credit risk, liquidity risk and cash flow risk
The business' principal financial statements comprise bank balances, bank overdrafts, trade debtors, trade creditors, loans to the business and finance lease agreements. The main purpose of these instruments
are to finance the business' operations.
In respect of bank balances, the liquidity risk is managed by maintaining a balance between the continuity
of funding and flexibility through the use of overdrafts at floating rates of interest. All of the business' cash
balances are held in such a way that achieves a competitive rate of interest.
Trade debtors are managed in respect of credit and cash flow by policies concerning the credit offered to
customers and the regular monitoring of amounts outstanding for both time and credit limits. The amounts
presented in the balance sheet are net of allowances for doubtful debts.
Trade creditors' liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.
Loans comprise loans from financial institutions. The interest rates and monthly repayments are fixed.
The business manages the liquidity risk by ensuring there are enough funds to meet the payments.
Capital Group London Limited
Director's Report for the Year Ended 31 August 2024
Going concern
The Group prepares its financial statements on a going concern basis. The directors have, at the time of approving the financial statements, a reasonable expectation that the Group have adequate resources to continue in operational existence for the foreseeable future.
Disclosure of information to the auditor
The director has taken steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditor is aware of that information. The director confirms that there is no relevant information that he knows of and of which he knows the auditor is unaware.
Reappointment of auditors
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of The Moffatts Partnership LLP as auditors of the company is to be proposed at the forthcoming Annual General Meeting.
Principal activity
The principal activity of the company is construction and renovation of buildings.
Approved and authorised by the
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Capital Group London Limited
Statement of Director's Responsibilities
The director acknowledges his responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Capital Group London Limited
Independent Auditor's Report to the Members of Capital Group London Limited
Opinion
We have audited the financial statements of Capital Group London Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, and Notes to the Financial Statements, 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 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 the parent company's affairs as at 31 August 2024 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 auditor 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 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 director's 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 ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.
Other information
The director are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.
Capital Group London Limited
Independent Auditor's Report to the Members of Capital Group London Limited
We have nothing to report in this regard.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our 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 and the Director's Report.
We have nothing to report in respect of the following matters where 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 director's remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of the director
As explained more fully in the Statement of Director's Responsibilities [set out on page 5], the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
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Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations. |
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Auditing the risk of management override of controls, including thoroughly testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business. |
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Capital Group London Limited
Independent Auditor's Report to the Members of Capital Group London Limited
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As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also: |
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Identify and assess the risks of material misstatement of the financial statememts, 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 one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. |
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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 company's internal control. |
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Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. |
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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. |
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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. |
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Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the company to express an opinion on the financial statements. We are responsible for the direction, supervision and performance of the company audit. We remain solely responsible for our audit opinion. |
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
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.
Capital Group London Limited
Independent Auditor's Report to the Members of Capital Group London Limited
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For and on behalf of
Suite 1.1, First Floor
Jackson House
Sibson Road
M33 7RR
Capital Group London Limited
Consolidated Profit and Loss Account for the Year Ended 31 August 2024
Note |
2024 |
2023 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Operating profit |
|
|
|
Other interest receivable and similar income |
|
|
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Interest payable and similar expenses |
( |
( |
|
28,548 |
32,869 |
||
Profit before tax |
|
|
|
Tax on profit |
( |
( |
|
Profit for the financial year |
|
|
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Profit/(loss) attributable to: |
|||
Owners of the company |
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The group has no recognised gains or losses for the year other than the results above.
Capital Group London Limited
(Registration number: 09827673)
Consolidated Balance Sheet as at 31 August 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
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Total assets less current liabilities |
|
|
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Provisions for liabilities |
( |
( |
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Net assets |
|
|
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Capital and reserves |
|||
Called up share capital |
200 |
200 |
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Other reserves |
806,415 |
806,415 |
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Retained earnings |
6,115,755 |
5,693,885 |
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Equity attributable to owners of the company |
6,922,370 |
6,500,500 |
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Shareholders' funds |
6,922,370 |
6,500,500 |
Approved and authorised by the
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Capital Group London Limited
(Registration number: 09827673)
Balance Sheet as at 31 August 2024
Note |
2024 |
2023 |
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Fixed assets |
|||
Investments |
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Current assets |
|||
Cash at bank and in hand |
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|
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Net assets |
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|
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Capital and reserves |
|||
Called up share capital |
200 |
200 |
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Other reserves |
806,415 |
806,415 |
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Retained earnings |
100,000 |
100,000 |
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Shareholders' funds |
906,615 |
906,615 |
The company made a profit after tax for the financial year of £303,000 (2023 - profit of £407,573).
Approved and authorised by the
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Capital Group London Limited
Consolidated Statement of Changes in Equity for the Year Ended 31 August 2024
Equity attributable to the parent company
Share capital |
Other reserves |
Retained earnings |
Total |
Total equity |
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At 1 September 2023 |
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Profit for the year |
- |
- |
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Dividends |
- |
- |
( |
( |
( |
At 31 August 2024 |
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Share capital |
Other reserves |
Retained earnings |
Total |
Total equity |
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At 1 September 2022 |
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Profit for the year |
- |
- |
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Dividends |
- |
- |
( |
( |
( |
At 31 August 2023 |
200 |
806,415 |
5,693,885 |
6,500,500 |
6,500,500 |
Capital Group London Limited
Statement of Changes in Equity for the Year Ended 31 August 2024
Share capital |
Other reserves |
Retained earnings |
Total |
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At 1 September 2023 |
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Profit for the year |
- |
- |
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Dividends |
- |
- |
( |
( |
At 31 August 2024 |
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Share capital |
Other reserves |
Retained earnings |
Total |
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At 1 September 2022 |
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Profit for the year |
- |
- |
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Dividends |
- |
- |
( |
( |
At 31 August 2023 |
200 |
806,415 |
100,000 |
906,615 |
Capital Group London Limited
Consolidated Statement of Cash Flows for the Year Ended 31 August 2024
Note |
2024 |
2023 |
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Cash flows from operating activities |
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Profit for the year |
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Adjustments to cash flows from non-cash items |
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Depreciation and amortisation |
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Finance income |
( |
( |
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Finance costs |
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Income tax expense |
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Working capital adjustments |
|||
Decrease/(increase) in stocks |
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( |
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Increase in trade debtors |
( |
( |
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(Decrease)/increase in trade creditors |
( |
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Cash generated from operations |
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Income taxes paid |
( |
( |
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Net cash flow from operating activities |
( |
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Cash flows from investing activities |
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Interest received |
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Acquisitions of tangible assets |
( |
( |
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Net cash flows from investing activities |
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Cash flows from financing activities |
|||
Interest paid |
( |
( |
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Dividends paid |
( |
( |
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Net cash flows from financing activities |
( |
( |
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Net (decrease)/increase in cash and cash equivalents |
( |
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Cash and cash equivalents at 1 September |
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Cash and cash equivalents at 31 August |
5,299,500 |
5,721,078 |
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
United Kingdom
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 August 2024.
No Profit and Loss Account is presented for the company as permitted by section 408 of the Companies Act 2006.
The company made a profit after tax for the financial year of £Nil (2023 - £Nil).
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for amounts recoverable on contracts in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group.
Turnover is measured based on the consideration specified in a contract with a customer and excludes amounts collected on behalf of third parties. Where consideration is not specified within the contract and therefore subject to variability, the group estimates the amount of consideration to be received from its customer. The consideration recognised is the amount which is highly probably not to result in a significant reversal in future periods.
The group recognises revenue when:
• The amount of revenue can be reliably measured using a percentage of completion method;
• it transfers control over a service to it’s customer;
• it is probable that future economic benefits will flow to the entity;
• and specific criteria have been met for each of the group's activities.
The group does not expect to have any contracts where the period between the transfer of the services to the customer and payment by the customer exceeds one year. As a consequence, the group does not adjust its transaction price for the time value of money.
Included within Turnover is amounts of Accrued income which represents amounts recoverable on contracts for which work has been completed but no invoice has been raised or cash received at the year end.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
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 group operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Office Equipment |
25% Reducing Balance Basis |
Plant and machinery |
25% Reducing Balance Basis |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for amounts receivable on contracts in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Retention Debtor
Retentions are a percentage of amounts withheld from interim payments to a contractor under a construction contract. Retention amounts are released after the contractor completes all obligations, including fixing any defects.
The group typically has retention held on construction contracts of 3 - 5%.
The group recognises retention on Revenue in line with the Group Revenue Recognition policy.
The group carries out an impairment review on Retentions held by the customer periodically.
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Accrued Income
Accrued income represents amounts recoverable on contracts for which no invoice has been raised or cash received at the year end.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are 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.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Retention Creditor
Retentions are a percentage of amounts withheld from interim payments from a subcontractor under a construction contract. Retention amounts are released after the subcontractor completes all obligations, including fixing any defects.
The group applies the same retention percentage on a construction contract to any subcontractors engaged on the contract, which is typically 3 - 5%.
The group recognises retention on Costs when:
• The amount of costs can be reliably measured;
• There is a liability and obligation to pay the retentions in the future.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Financial instruments
Classification
Recognition and measurement
Impairment
Revenue |
The analysis of the group's Turnover for the year from continuing operations is as follows:
2024 |
2023 |
|
Rendering of services |
|
|
Operating profit |
Arrived at after charging/(crediting)
2024 |
2023 |
|
Depreciation expense |
|
|
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Other interest receivable and similar income |
2024 |
2023 |
|
Interest income on bank deposits |
|
|
Interest payable and similar expenses |
2024 |
2023 |
|
Interest expense on other finance liabilities |
|
|
Staff numbers |
The aggregate payroll costs (including director's remuneration) were as follows:
2024 |
2023 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
|
|
Other employee expense |
|
|
|
|
The average number of persons employed by the group (including the director) during the year, analysed by category was as follows:
2024 |
2023 |
|
Administration and support |
|
|
|
|
Director's remuneration |
The director's remuneration for the year was as follows:
2024 |
2023 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
13,162 |
12,761 |
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Auditors' remuneration |
2024 |
2023 |
|
Audit of these financial statements |
14,000 |
13,200 |
Other fees to auditors |
||
All other non-audit services |
|
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
2024 |
2023 |
|
Current taxation |
||
UK corporation tax |
|
|
Deferred taxation |
||
Arising from origination and reversal of timing differences |
|
|
Tax expense in the income statement |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2024 |
2023 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Tax decrease from effect of capital allowances and depreciation |
( |
( |
Decrease from effect of different UK tax rates on some earnings |
- |
( |
Tax increase from other short-term timing differences |
|
|
Total tax charge |
|
|
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Deferred tax
Group
Deferred tax assets and liabilities
2024 |
Liability |
Accelerated Capital Allowances |
|
|
2023 |
Liability |
Accelerated Capital Allowances |
|
|
Tangible assets |
Group
Furniture, fittings and equipment |
Total |
|
Cost or valuation |
||
At 1 September 2023 |
|
|
Additions |
|
|
At 31 August 2024 |
|
|
Depreciation |
||
At 1 September 2023 |
|
|
Charge for the year |
|
|
At 31 August 2024 |
|
|
Carrying amount |
||
At 31 August 2024 |
|
|
At 31 August 2023 |
|
|
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Investments |
Group
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the group holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
||||
2024 |
2023 |
||||||
Subsidiary undertakings |
|||||||
|
Unit 2, 1st Floor,
|
|
|
|
|||
England and Wales |
|||||||
|
Unit 2, 1st Floor,
|
|
|
|
|||
England and Wales |
* indicates direct investment of the company
Subsidiary undertakings
Capital Construction Company (London) Limited The principal activity of Capital Construction Company (London) Limited is |
Capital Shopfitters Limited The principal activity of Capital Shopfitters Limited is |
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Company
2024 |
2023 |
|
Investments in subsidiaries |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 September 2023 |
|
Provision |
|
Carrying amount |
|
At 31 August 2024 |
|
At 31 August 2023 |
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
||||
2024 |
2023 |
||||||
Subsidiary undertakings |
|||||||
|
Unit 2, 1st Floor,
England |
|
|
|
|||
|
Unit 2, 1st Floor,
England |
|
|
|
Subsidiary undertakings |
Capital Shopfitters Limited The principal activity of Capital Shopfitters Limited is |
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Capital Construction Company (London) Limited The principal activity of Capital Construction Company (London) Limited is |
Debtors |
Group |
Company |
||||
Current |
Note |
2024 |
2023 |
2024 |
2023 |
Trade debtors |
|
|
- |
- |
|
Other debtors |
|
|
- |
- |
|
Prepayments |
|
|
- |
- |
|
Accrued income |
|
|
- |
- |
|
Income tax asset |
|
- |
- |
- |
|
|
|
- |
- |
Cash and cash equivalents |
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Cash on hand |
- |
|
- |
- |
Cash at bank |
|
|
|
|
Short-term deposits |
|
|
|
|
|
|
|
|
Creditors |
Group |
Company |
||||
Note |
2024 |
2023 |
2024 |
2023 |
|
Due within one year |
|||||
Trade creditors |
|
|
- |
- |
|
Amounts due to related parties |
|
|
- |
- |
|
Social security and other taxes |
|
|
- |
- |
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
Other payables |
|
- |
- |
- |
|
Accruals |
|
|
- |
- |
|
Income tax liability |
- |
487,488 |
- |
- |
|
|
|
- |
- |
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Provisions for liabilities |
Group
Deferred tax |
Total |
|
At 1 September 2023 |
|
|
Additional provisions |
|
|
At 31 August 2024 |
|
|
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
Share capital |
Allotted, called up and fully paid shares
2024 |
2023 |
|||
No. |
£ |
No. |
£ |
|
|
|
200 |
|
200 |
Capital Group London Limited
Notes to the Financial Statements for the Year Ended 31 August 2024
Reserves |
Group
Share Capital
Share capital represents the nominal value of shares that have been issued.
Merger Reserve
Merger reserve is a non-statutory reserve into which the share premium of the bidder consideration shares is credited which is not subject to the restrictions of the share premium account.
Profit and loss account
Profit and loss account includes all current and prior period retained profit and losses.
Company
Share capital
Share capital represents the nominal value of shares that have been issued.
Share premium
Share premium is the excess money received for issued shares above the par value.
Profit and loss account
Profit and loss account includes all current and prior period retained profit and losses.