| REGISTERED NUMBER: |
| STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 AUGUST 2024 |
| FOR |
| SEARCHABILITY (UK) LTD |
| REGISTERED NUMBER: |
| STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 AUGUST 2024 |
| FOR |
| SEARCHABILITY (UK) LTD |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| CONTENTS OF THE FINANCIAL STATEMENTS |
| for the Year Ended 31 August 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Report of the Directors | 6 |
| Report of the Independent Auditors | 8 |
| Income Statement | 12 |
| Other Comprehensive Income | 13 |
| Balance Sheet | 14 |
| Statement of Changes in Equity | 15 |
| Cash Flow Statement | 16 |
| Notes to the Cash Flow Statement | 17 |
| Notes to the Financial Statements | 18 |
| SEARCHABILITY (UK) LTD |
| COMPANY INFORMATION |
| for the Year Ended 31 August 2024 |
| DIRECTORS: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| SENIOR STATUTORY AUDITOR: |
| AUDITORS: |
| Statutory Auditors |
| 3 Mellor Road |
| Cheadle Hulme |
| Stockport |
| SK8 5AT |
| SOLICITORS: |
| 378 - 380 Deansgate |
| Manchester |
| M3 4LY |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| STRATEGIC REPORT |
| for the Year Ended 31 August 2024 |
| The directors present their strategic report for the year ended 31 August 2024. |
| Searchability (UK) Limited is a leading Tech Digital recruitment company headquartered in Chester, England, specialising in matching top tech talent with innovative companies across the UK. Our mission is to bridge the gap between skilled professionals and businesses seeking to harness technology to drive growth and innovation. We have an outrageous ambition to be the global authority on technical recruitment. We have expanded our operations by opening new entities in the USA (Austin, TX), Australia (Sydney, NSW), Klickstarters (Chester, UK) and National Security & Defence (NSD) based out of Manchester, UK. |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| STRATEGIC REPORT |
| for the Year Ended 31 August 2024 |
| REVIEW OF BUSINESS |
| Review of Business: |
| Our business model is centred around three primary services: |
| 1. Permanent Recruitment: Placing high-calibre permanent employees in tech roles across various industries. |
| 2. Contract Recruitment: Providing skilled contract professionals for short-term projects and temporary staffing needs. |
| 3. Retained Projects: Providing a complete package from strategy to campaign planning and technology, we help companies attract, engage and retain talented candidates through their employer brand paired with placing permanent employees through our sub brand; Scalability. |
| Market Analysis: |
| Industry Overview - Over the past year, economic conditions combined with geopolitical uncertainty have impacted client confidence, leading to the deferment of investment decisions that has created a softer demand for permanent placements. However, with the advancement of artificial intelligence, the demand for technology professionals is expected to remain resilient and return to growth when once the economic conditions improve. |
| Competitive Landscape: |
| The recruitment industry, particularly within the tech sector, is highly competitive. Searchability distinguishes itself through deep industry expertise, personalised service through sub-brands to tailor to the exact need of its clients, and an extensive network of tech professionals and companies and even further now in 2023/4, Searchability benefits from completely autonomous business units in graduate tech (Klickstarters Ltd) and across the globe in US & Sydney coupled with our niche vertical in Manchester concentrating on National Security & Defence. |
| Strategic Objectives: |
| Our strategic objectives focus on capitalising on our recent expansions and improving overall performance: |
| Market Penetration - Establish a strong presence in our new locations Texas, Sydney, and Manchester by leveraging local market knowledge and building strategic partnerships. |
| Service Diversification - Enhance our service offerings to include employer branding consultancy and comprehensive talent market insights. |
| Technology Integration - Adopt advanced AI and machine learning tools to optimize candidate matching and streamline recruitment processes. |
| Relationship Building - Strengthen relationships with tech companies, educational institutions, and professional networks to support our recruitment activities. |
| Operational Performance: |
| New Offices / Business Units: |
| Searchability USA Ltd: Texas - Launched to assist in the placement of professional tech talent within the growing demand for tech in the United States. |
| Searchability AUS Ltd: Sydney - Opened up to expand our global presence mirroring the setup of our business here in the UK focusing on both startups and established firms. |
| Searchability NSD Ltd: Manchester - Strengthened our UK presence by expanding into National, Security and Defence. |
| Klickstarters Ltd: Chester - Capitalising on UKs need for tech skills in a post Europe era by promoting Junior / Grad Tech Digital candidates from our UK universities & schools. |
| Revenue and Profitability: |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| STRATEGIC REPORT |
| for the Year Ended 31 August 2024 |
| The main driver of the decrease in revenue for Searchability UK was the migration of contract placements to Searchability NS&D. In addition, the economic and geopolitical pressures experienced during FY24 created a softness in new business for Permanent placements and so the business took steps to manage the cost base to reduce the impact on profitability. This leaner structure will put the business in the best possible position to capitalise on the expected growth when the economic conditions improve. |
| Financial Review: |
| Whilst the Turnover of Searchability (UK) decreased to £6.3m (FY23: £11.6m), down 45.2%, much of this reduction was offset by growth across new business units, reinforcing the success of our strategy to retain high performing individuals by supporting them to grow within the Searchability network of businesses. This migration also helped to improve Gross Profit Margins to 17.8% (FY23 17.5%). |
| However, with the rapid development of AI, the future for the tech sector is very positive, and so the business is confident that both revenue and margin will return to growth in 2024/25. |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| The key risks and uncertainties facing Searchability include: |
| Economic Volatility - Economic downturns in key markets may reduce hiring activity and demand for recruitment services. |
| Talent Shortage - A persistent shortage of skilled tech professionals could challenge our ability to meet client demands. |
| Operational Risks - Challenges associated with managing new international offices and ensuring consistent service quality. |
| Credit Risk - The Company's credit risk is primarily associated with its trade debtors. The amounts presented in the balance sheet are net of allowances for doubtful debts where applicable. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows. The directors monitor credit risk but consider that the company has minimal exposure. |
| Liquidity and Cash Flow Risk - Liquidity and cash flow risk is the risk that an entity will encounter difficulty in meeting obligations associated with financial liabilities. The directors aim to mitigate liquidity risk and cash flow risk by managing working capital and, as a result, they continue to closely monitor the Company's working capital requirements. To ensure that the company has adequate working capital the Company utilises a mixture of short and long-term finance. |
| CORPORATE SOCIAL RESPONSIBILITY (CSR) |
| Searchability is committed to CSR through various initiatives: |
| Diversity and Inclusion - Promoting diversity in tech by partnering with organisations focused on underrepresented groups. |
| Community Engagement - Supporting local tech communities through sponsorships, events, and mentorship programs. |
| Sustainability - Implementing eco-friendly office practices and reducing our carbon footprint. |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| STRATEGIC REPORT |
| for the Year Ended 31 August 2024 |
| FUTURE OUTLOOK |
| Looking ahead, Searchability anticipates: |
| Revenue Growth - A forecasted revenue increase next year, driven by refocussing of our efforts on areas of the business that have lost key personnel to set up new entities as part of the group combined with our expanded service offerings, expected to hit 2021/22 levels by 2024/25 absolute latest. Combined group revenues predicted to rise at least 15% YOY. |
| Profit Recovery - Expected improvement in profitability as initial setup costs diminish and revenue from new markets begins to flow. |
| Innovation - Continued investment in technology to enhance recruitment processes and improve client satisfaction including a new AI tool bespoke to Searchability and it's associated companies. |
| CONCLUSION |
| Searchability (UK) Limited remains well-positioned for future growth. The recent decline in profit from our UK entity is due to a calculated strategy & strategic investments in our new ventures will be reinstated by end of August 2025 latest whilst the wider group shall continue to grow YOY. With a clear focus on market expansion, service enhancement, and technological innovation, we are optimistic about our prospects for the coming year and are committed to delivering exceptional value to our stakeholders. |
| This strategic report provides a detailed overview of Searchability (UK) Limited's current status, strategic initiatives, and future outlook, tailored to reflect its recent expansions and financial performance. |
| ON BEHALF OF THE BOARD: |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| REPORT OF THE DIRECTORS |
| for the Year Ended 31 August 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 August 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of personnel recruitment. |
| DIVIDENDS |
| The total distribution of dividends for the year ended 31 August 2024 will be £175,000 (2023 - £699,999) |
| EVENTS SINCE THE END OF THE YEAR |
| Information relating to events since the end of the year is given in the notes to the financial statements. |
| DIRECTORS |
| Other changes in directors holding office are as follows: |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Strategic Report, the Report of the Directors 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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
| - | select suitable accounting policies and then apply them consistently; |
| - | make judgements 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. |
| STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
| So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the 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 auditors are aware of that information. |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| REPORT OF THE DIRECTORS |
| for the Year Ended 31 August 2024 |
| AUDITORS |
| The auditors, Moss & Williamson Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
| ON BEHALF OF THE BOARD: |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| SEARCHABILITY (UK) LTD |
| Opinion |
| We have audited the financial statements of Searchability (Uk) Ltd (the 'company') for the year ended 31 August 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 company's affairs as at 31 August 2024 and of its loss 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 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 directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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 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. |
| 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| SEARCHABILITY (UK) LTD |
| 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 Report of the Directors. |
| 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, 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 Statement of Directors' Responsibilities set out on page six, 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 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. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| SEARCHABILITY (UK) LTD |
| 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 a Report of the Auditors 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: |
| 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 the audit was considered capable of detecting irregularities including fraud is detailed below: |
| As a part of our audit in accordance with United Kingdom Generally Accepted Accounting Practice; and requirements of the Companies Act 2006 we exercise professional judgement and maintain professional scepticism throughout the audit. Based on our understanding and accumulated knowledge of the Company and the sector in which it operates we considered the risk of acts by the Company which were contrary to applicable laws and regulations, including fraud and whether such actions or non-compliance might have a material impact on the financial statements. These included but were not limited to those that relate to the form and content of the financial statements, such as the accounting policies, United Kingdom Generally Accepted Accounting Practice, the UK Companies Act 2006, compliance with regulations that relate to the payment of employees. All team members were briefed to ensure they were aware of any relevant regulations in relation to their work. |
| We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting inappropriate journal entries, management bias in accounting estimates and improper revenue recognition. Our audit procedures included, but were not limited to: |
| - Agreement of the financial statement disclosures to underlying supporting documentation; |
| - Challenging assumptions and judgements made by management in their significant accounting estimates, in particular in relation to revenue recognition, useful life of fixed assets, fair value of property assets and completeness of accruals and provisions; |
| - Revenue year end cut-off procedures; |
| - Identifying and testing journal entries, in particular any journal entries posted with specific unusual narrative, manual journals to revenue and cash, and review of journals posted to least used accounts; |
| - Discussions with management; including consideration of known or suspected instances of non-compliance with laws and regulation and fraud; |
| - Obtaining an understanding of how the Company is complying with its legal and regulatory frameworks by making enquiries with management and those responsible for legal and compliance procedures. We corroborated our enquiries through our review of legal correspondence received and interactions with regulators. |
| - Obtaining 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. |
| - Evaluating 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. |
| There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| SEARCHABILITY (UK) LTD |
| Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
| 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 Report of the Auditors. |
| 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 a Report of the Auditors 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. |
| for and on behalf of |
| Statutory Auditors |
| 3 Mellor Road |
| Cheadle Hulme |
| Stockport |
| SK8 5AT |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| INCOME STATEMENT |
| for the Year Ended 31 August 2024 |
| 2024 | 2023 |
| Notes | £   | £   |
| TURNOVER | 4 |
| Cost of sales | ( |
) | ( |
) |
| GROSS PROFIT |
| Administrative expenses | ( |
) | ( |
) |
| OPERATING (LOSS)/PROFIT | 6 | ( |
) |
| Interest receivable and similar income |
| (181,362 | ) | 572,918 |
| Interest payable and similar expenses | 8 | ( |
) | ( |
) |
| (LOSS)/PROFIT BEFORE TAXATION | ( |
) |
| Tax on (loss)/profit | 9 | ( |
) |
| (LOSS)/PROFIT FOR THE FINANCIAL YEAR |
( |
) |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| OTHER COMPREHENSIVE INCOME |
| for the Year Ended 31 August 2024 |
| 2024 | 2023 |
| Notes | £   | £   |
| (LOSS)/PROFIT FOR THE YEAR | ( |
) |
| OTHER COMPREHENSIVE INCOME | - | - |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
( |
) |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| BALANCE SHEET |
| 31 August 2024 |
| 2024 | 2023 |
| Notes | £   | £   |
| FIXED ASSETS |
| Intangible assets | 11 |
| Tangible assets | 12 |
| CURRENT ASSETS |
| Debtors | 13 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 14 | ( |
) | ( |
) |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| PROVISIONS FOR LIABILITIES | 18 | ( |
) | ( |
) |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 19 |
| Retained earnings | 20 |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| STATEMENT OF CHANGES IN EQUITY |
| for the Year Ended 31 August 2024 |
| Called up |
| share | Retained | Total |
| capital | earnings | equity |
| £   | £   | £   |
| Balance at 1 September 2022 |
| Changes in equity |
| Dividends | - | ( |
) | ( |
) |
| Total comprehensive income | - |
| Balance at 31 August 2023 |
| Changes in equity |
| Dividends | - | ( |
) | ( |
) |
| Total comprehensive income | - | ( |
) | ( |
) |
| Balance at 31 August 2024 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| CASH FLOW STATEMENT |
| for the Year Ended 31 August 2024 |
| 2024 | 2023 |
| Notes | £   | £   |
| Cash flows from operating activities |
| Cash generated from operations | 1 | ( |
) |
| Interest paid | ( |
) | ( |
) |
| Tax paid | ( |
) | ( |
) |
| Net cash from operating activities | ( |
) |
| Cash flows from investing activities |
| Purchase of intangible fixed assets | ( |
) | ( |
) |
| Purchase of tangible fixed assets | ( |
) | ( |
) |
| Sale of tangible fixed assets | ( |
) |
| Sale of fixed asset investments |
| Interest received |
| Net cash from investing activities | ( |
) | ( |
) |
| Cash flows from financing activities |
| Loan repayments in year | ( |
) | ( |
) |
| Amount introduced by directors | - | 50,000 |
| Amount withdrawn by directors | (55,000 | ) | - |
| Equity dividends paid | ( |
) | ( |
) |
| Net cash from financing activities | ( |
) | ( |
) |
| (Decrease)/increase in cash and cash equivalents | ( |
) |
| Cash and cash equivalents at beginning of year |
2 |
376,993 |
| Cash and cash equivalents at end of year |
2 |
180,662 |
499,338 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE CASH FLOW STATEMENT |
| for the Year Ended 31 August 2024 |
| 1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
| 2024 | 2023 |
| £   | £   |
| (Loss)/profit before taxation | ( |
) |
| Depreciation charges |
| Loss on disposal of fixed assets |
| Finance costs | 72 | 4,655 |
| Finance income | (3,745 | ) | - |
| (137,536 | ) | 638,457 |
| Decrease in trade and other debtors |
| Decrease in trade and other creditors | ( |
) | ( |
) |
| Cash generated from operations | ( |
) |
| 2. | CASH AND CASH EQUIVALENTS |
| The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
| Year ended 31 August 2024 |
| 31.8.24 | 1.9.23 |
| £   | £   |
| Cash and cash equivalents | 180,662 | 499,338 |
| Year ended 31 August 2023 |
| 31.8.23 | 1.9.22 |
| £   | £   |
| Cash and cash equivalents | 499,338 | 376,993 |
| 3. | ANALYSIS OF CHANGES IN NET FUNDS |
| At 1.9.23 | Cash flow | At 31.8.24 |
| £   | £   | £   |
| Net cash |
| Cash at bank and in hand | 499,338 | (318,676 | ) | 180,662 |
| 499,338 | ( |
) | 180,662 |
| Debt |
| Debts falling due within 1 year | (9,375 | ) | 9,375 | - |
| (9,375 | ) | 9,375 | - |
| Total | 489,963 | (309,301 | ) | 180,662 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS |
| for the Year Ended 31 August 2024 |
| 1. | STATUTORY INFORMATION |
| Searchability (Uk) Ltd is a |
| 2. | STATEMENT OF COMPLIANCE |
| 3. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Revenue recognition |
| Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised: |
| Revenues earned under permanent contracts are recognised at the inception of the assignment. Revenues earned under temporary contracts are recognised in the accounting year in which the service is provided. |
| Intangible assets |
| Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
| Tangible fixed assets |
| Improvements to property | - |
| Plant and machinery | - |
| Computer equipment | - |
| Investments in subsidiaries |
| Investments in subsidiary undertakings are recognised at cost. |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 3. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| The Company only enters Into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditor and, loans from banks. |
| Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash rows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that Is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt Instrument and subsequently at amortised cost, unless it qualifies as a ban from a director in the case of a small company, or a public benefit entity concessionary loan. |
| Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the statement of comprehensive income. |
| For financial assets measured at amortized cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the assets original effective interest rate. If a financial asset has a variable Interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. |
| For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the reporting date. |
| Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an 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. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
| Current or deferred taxation assets and liabilities are not discounted. |
| Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
| Deferred tax |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 3. | ACCOUNTING POLICIES - continued |
| Foreign currencies |
| Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
| Leasing commitments |
| Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
| Pension costs and other post-retirement benefits |
| The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
| Going concern |
| The company considered the outcome of the management's review of the current and forecasted financial position. Following a review of the risk and potential impact of unforeseen events, the company confirmed that the application of the going concern basis for the preparation of the financial statements continues to be appropriate. |
| Judgments in applying accounting policies and estimation uncertainty |
| Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
| The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. There are no estimates or assumptions that have a significant risk or causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. |
| 4. | TURNOVER |
| The turnover and loss (2023 - profit) before taxation are attributable to the one principal activity of the company. |
| An analysis of turnover by class of business is given below: |
| 2024 | 2023 |
| £   | £   |
| An analysis of turnover by geographical market is given below: |
| 2024 | 2023 |
| £   | £   |
| United Kingdom |
| Europe |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 5. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £   | £   |
| Wages and salaries | 2,123,046 | 3,281,983 |
| Social security costs | 231,905 | 303,969 |
| Other pension costs | 67,832 | 79,958 |
| 2,422,783 | 3,665,910 |
| The average number of employees during the year was as follows |
| 2024 | 2023 |
| Sales and Administration | 56 | 75 |
| 2024 | 2023 |
| £   | £   |
| Directors' remuneration | 278,217 | 325,848 |
| The number of directors to whom retirement benefits were accruing was as follows |
| 2024 | 2023 |
| Money purchase schemes | 3 | 3 |
| Information regarding the highest paid director is as follows |
| 2024 | 2023 |
| £   | £   |
| Emoluments etc | 145,744 | 145,119 |
| 6. | OPERATING (LOSS)/PROFIT |
| The operating loss (2023 - operating profit) is stated after charging: |
| 2024 | 2023 |
| £   | £   |
| Hire of plant and machinery |
| Depreciation - owned assets |
| Loss on disposal of fixed assets |
| Patents and licences amortisation |
| Computer software amortisation |
| Foreign exchange differences |
| 7. | AUDITORS' REMUNERATION |
| 2024 | 2023 |
| £   | £   |
| Fees payable to the company's auditors for the audit of the company's financial statements |
11,550 |
11,000 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 2024 | 2023 |
| £   | £   |
| Bank loan interest |
| 9. | TAXATION |
| Analysis of the tax (credit)/charge |
| The tax (credit)/charge on the loss for the year was as follows: |
| 2024 | 2023 |
| £   | £   |
| Current tax: |
| UK corporation tax | ( |
) |
| Corporation tax fines |
| Total current tax | ( |
) |
| Deferred tax | ( |
) |
| Tax on (loss)/profit | ( |
) |
| UK corporation tax was charged at 21.52%) in 2023. |
| Reconciliation of total tax (credit)/charge included in profit and loss |
| The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
| 2024 | 2023 |
| £   | £   |
| (Loss)/profit before tax | ( |
) |
| (Loss)/profit multiplied by the standard rate of corporation tax in the UK of |
| Effects of: |
| Expenses not deductible for tax purposes |
| Capital allowances in excess of depreciation | - | ( |
) |
| enhanced deduction |
| Deferred tax movement | ( |
) |
| Corporation tax losses carried back | ( |
) |
| Corporation tax fines |
| Total tax (credit)/charge | (43,746 | ) | 122,324 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 10. | DIVIDENDS |
| 2024 | 2023 |
| £   | £   |
| A Ordinary shares of 1p each |
| Interim | 73,684 | 302,763 |
| B Ordinary shares of 1p each |
| Interim | 35,000 | 135,500 |
| C Ordinary shares of 1p each |
| Interim | 33,158 | 128,368 |
| D Ordinary shares of 1p each |
| Interim | 33,158 | 128,368 |
| E Ordinary shares of 1p each |
| Interim | - | 5,000 |
| 11. | INTANGIBLE FIXED ASSETS |
| Patents |
| and | Computer |
| licences | software | Totals |
| £   | £   | £   |
| COST |
| At 1 September 2023 |
| Additions |
| At 31 August 2024 |
| AMORTISATION |
| At 1 September 2023 |
| Amortisation for year |
| At 31 August 2024 |
| NET BOOK VALUE |
| At 31 August 2024 |
| At 31 August 2023 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 12. | TANGIBLE FIXED ASSETS |
| Improvements |
| to | Plant and | Computer |
| property | machinery | equipment | Totals |
| £   | £   | £   | £   |
| COST |
| At 1 September 2023 |
| Additions |
| At 31 August 2024 |
| DEPRECIATION |
| At 1 September 2023 |
| Charge for year |
| At 31 August 2024 |
| NET BOOK VALUE |
| At 31 August 2024 |
| At 31 August 2023 |
| 13. | DEBTORS |
| 2024 | 2023 |
| £   | £   |
| Amounts falling due within one year: |
| Trade debtors |
| Other debtors |
| Searchability Inc | 455,332 | 269,992 |
| Senitor Associates Limited | 223 | 223 |
| Searchability (NS&D) Ltd | - | 301,438 |
| Searchability PTY Limited | - | 91,509 |
| Klickstarters Ltd | - | 25,115 |
| Directors' current accounts | 5,000 | - |
| Tax |
| Prepayments |
| Amounts falling due after more than one year: |
| Deposit fund - new lease | 31,657 | 31,657 |
| Aggregate amounts |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £   | £   |
| Other loans (see note 15) |
| Trade creditors |
| Tax |
| Social security and other taxes |
| Net wages creditor | - | 2,411 |
| VAT | 124,668 | 219,424 |
| Other creditors |
| Pension creditor | 30,218 | 27,752 |
| Searchability (NS&D) Ltd | 35,094 | - |
| Directors' current accounts | 188 | 50,188 |
| Accrued expenses |
| 15. | LOANS |
| An analysis of the maturity of loans is given below: |
| 2024 | 2023 |
| £   | £   |
| Amounts falling due within one year or on demand: |
| CBILS loan | - | 9,375 |
| 16. | LEASING AGREEMENTS |
| Minimum lease payments under non-cancellable operating leases fall due as follows: |
| 2024 | 2023 |
| £   | £   |
| Within one year |
| Between one and five years |
| In more than five years |
| 17. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| 2024 | 2023 |
| £   | £   |
| Bank loans | - | 9,375 |
| The company has a Bounce Bank Loan, entered into with HSBC Bank PLC, in accordance with the Coronavirus Bounce Back Loan Scheme.The loan is repayable over three years by monthly instalments and a fixed rate of interest of 2.5%. |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 18. | PROVISIONS FOR LIABILITIES |
| 2024 | 2023 |
| £   | £   |
| Deferred tax | 14,872 | 30,104 |
| Deferred |
| tax |
| £   |
| Balance at 1 September 2023 |
| Movement | (15,232 | ) |
| Balance at 31 August 2024 |
| Deferred taxation has been recognised at its future enacted rate of 25%, utilising the expected prevailing rate when the timing differences are expecting to reverse. |
| 19. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £   | £   |
| 4,000 | A Ordinary | 1p | 40 | 40 |
| 1,900 | B Ordinary | 1p | 19 | 19 |
| 1,800 | C Ordinary | 1p | 18 | 18 |
| 1,800 | D Ordinary | 1p | 18 | 18 |
| 500 | E Ordinary | 1p | 5 | 5 |
| 100 | 100 |
| 20. | RESERVES |
| Retained |
| earnings |
| £   |
| At 1 September 2023 |
| Deficit for the year | ( |
) |
| Dividends | ( |
) |
| At 31 August 2024 |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 21. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
| The following advances and credits to directors subsisted during the years ended 31 August 2024 and 31 August 2023: |
| 2024 | 2023 |
| £   | £   |
| Balance outstanding at start of year | ( |
) | ( |
) |
| Amounts advanced | ( |
) |
| Amounts repaid |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year | ( |
) | ( |
) |
| Balance outstanding at start of year | ( |
) |
| Amounts advanced | ( |
) |
| Amounts repaid |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year | ( |
) |
| Balance outstanding at start of year | ( |
) |
| Amounts advanced | ( |
) |
| Amounts repaid |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year | ( |
) |
| Balance outstanding at start of year | ( |
) |
| Amounts advanced | ( |
) |
| Amounts repaid |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year | ( |
) |
| Balance outstanding at start of year | ( |
) |
| Amounts advanced | ( |
) |
| Amounts repaid |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year | ( |
) |
| SEARCHABILITY (UK) LTD (REGISTERED NUMBER: 07977871) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the Year Ended 31 August 2024 |
| 22. | RELATED PARTY DISCLOSURES |
| Associated company transactions and balances |
| The following related parties are associated by way on common directors or shareholders. |
| All transactions have been at open market rates and as determined by management. |
| No guarantees have been given or received. |
| 2024 | 2023 |
Sales (Purchases | ) | Year End Debtor (Creditor | ) | Sales (Purchases | ) | Year End Debtor (Creditor | ) |
| Searchability (NS&D) Limited | 299,908 | -35,094 | 339,235 | 301,438 |
| -275,986 | -340,801 |
| Klickstarters Limited | 111,950 | 0 | 50,122 | 25,115 |
| -57,055 | -6,084 |
| Senitor Associates Limited | 23,367 | 223 | 12,516 | 223 |
| -62,248 | -62,195 |
| Seachability Inc | 470,664 | 455,332 | 90,272 | 269,992 |
| Searchability PTY | 274,162 | 0 | 11,996 | 91,509 |
| -2,329 |
| In Technology Group Limited | 7,462 | 0 | 5,196 | 0 |
| -12,725 |
| ITECCO Limited | 960 | 0 | 5,292 | 0 |
| No other related parties to disclose. |
| 23. | POST BALANCE SHEET EVENTS |
| On 7 April 2025 the entire share capital of the company was sold to an Employee Ownership Trust (EOT). This transaction does not affect the financial position or performance of the company as at 31 August 2024 and, therefore, no adjustments have been made to the financial statements as a result of this event. |