REGISTERED NUMBER: 04897210 (England and Wales)

CLARITY CAPITAL PARTNERS LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

M S Anselm

S K Datta

J J Davis

REGISTERED OFFICE:

10 Slingsby Place

St Martin's Courtyard

The Yards

London

WC2E 9AB

REGISTERED NUMBER:

04897210 (England and Wales)

AUDITORS:

Duncan & Toplis Audit Limited, Statutory Auditor

3rd Floor

Marlborough House

298 Regents Park Road

Finchley

London

N3 2SZ

FIXED ASSETS

Tangible assets

5

371,178

507,742

Investments

6

-

62

371,178

507,804

CURRENT ASSETS

Debtors

7

193,662

448,202

Cash at bank

3,281,669

3,142,613

3,475,331

3,590,815

CREDITORS

Amounts falling due within one year

8

1,143,444

1,079,023

NET CURRENT ASSETS

2,331,887

2,511,792

TOTAL ASSETS LESS CURRENT LIABILITIES

2,703,065

3,019,596

PROVISIONS FOR LIABILITIES

10

24,037

27,870

CAPITAL AND RESERVES

Called up share capital

11

75,000

75,000

Capital redemption reserve

15,000

15,000

Other reserves

50,439

-

Retained earnings

2,538,589

2,901,726

SHAREHOLDERS' FUNDS

2,679,028

2,991,726

2,703,065

3,019,596

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 23 April 2025 and were signed on its behalf by:

M S Anselm - Director

S K Datta - Director

1.	STATUTORY INFORMATION

Clarity Capital Partners Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Key source of estimation, uncertainty and judgement

The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period.

There is estimation uncertainty in calculating depreciation. A full line by line review of fixed assets is carried out by management regularly. Whilst every attempt is made to ensure that the depreciation policy is as accurate as possible, there remains a risk that the policy does not match the useful life of the assets.

There is estimation uncertainty in calculating deferred tax. A full line by line review of deferred tax is carried out by management regularly. Whilst every attempt is made to ensure that the deferred tax is as accurate as possible, there remains a risk that the provisions do not match the actual tax liability when asset is disposed of.

There is estimation uncertainty in calculating bad debt provisions. A full line by line review of trade debtors is carried out at the end of each month. Whilst every attempt is made to ensure that the bad debt provisions are as accurate as possible, there remains a risk that the provisions do not match the level of debts which ultimately prove to be uncollectable.

Turnover

Turnover comprises revenue recognised by the company in respect of services during the year, exclusive of sales related taxes and trade discounts.

Success fees from merger and acquisition projects are recognised when projects have been completed and contract obligations have been met. Project retainer fees are recognised in the month they are due under the project agreement. Earn outs are recognised when the right to receive the earn outs are established. Consultancy fees are recognised in the period when the services are performed.

Tangible fixed assets

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

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

Depreciation is provided at the following annual rates in order to write off each asset over its useful life:

Short-term leasehold equipment

- over the term of the lease

Fixtures and Fittings

- 20% straight line

Office Equipment

- 33% straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Consolidated Profit or Loss Statement.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Financial instruments

Financial assets and financial liabilities are recognised in the balance sheet when the company becomes a party to the contractual provisions of the instrument.

Trade and other debtors and creditors are classified as basic financial instruments and measured at initial recognition at transaction price. Debtors and creditors are subsequently measured at amortised cost using the effective interest rate method. A provision is established when there is objective evidence that the company will not be able to collect all amounts due.

Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank and bank overdrafts.

Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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.

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.

Hire purchase and 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.

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the Statement of Financial Position date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the Statement of Financial Position date.

Share-based payment transactions

The company issues share options to certain employees which are measured at fair value, recognised as share-based payments and expensed in the Statement of Comprehensive Income, with a corresponding increase in equity. The fair values of equity-settled payments re measured at the dates of grant using option-pricing models, taking into account the terms and conditions upon which the awards are granted.

The fair value is recognised over the period during which employees become unconditionally entitled to the awards, subject to the company's estimate of the number of awards which will be forfeited, either due to employees leaving the company prior to vesting or due to non-market based performance conditions not being met. Where an award has market-based performance conditions, the fair value of the award is adjusted for the profitability of achieving these via the option pricing model. The total amount recognised in the Profit or Loss Statement as an expense is adjusted to reflect the actual number of awards that vest, except where forfeiture is due to the failure to meet market based performance measures. In the event of a cancellation, whether by the company or by a participating employee, the compensation expense that would have been recognised over the remainder of the vesting period is recognised immediately in the Profit or Loss Statement.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 22 (2023 - 20 ) .

4.	AUDITORS' REMUNERATION

2024

2023

£

£

Fees payable to the company's auditors for the audit of the company's financial statements

11,000

11,000

5.	TANGIBLE FIXED ASSETS

Fixtures

and

Computer

fittings

equipment

Totals

£

£

£

COST

At 1 January 2024

927,612

72,764

1,000,376

Additions

-

2,402

2,402

At 31 December 2024

927,612

75,166

1,002,778

DEPRECIATION

At 1 January 2024

473,880

18,754

492,634

Charge for year

113,943

25,023

138,966

At 31 December 2024

587,823

43,777

631,600

NET BOOK VALUE

At 31 December 2024

339,789

31,389

371,178

At 31 December 2023

453,732

54,010

507,742

6.	FIXED ASSET INVESTMENTS

Shares in

group

undertakin

£

COST

At 1 January 2024

62

Disposals

(62

)

At 31 December 2024

-

NET BOOK VALUE

At 31 December 2024

-

At 31 December 2023

62

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade debtors

11,502

237,312

Amounts owed by group undertakings

-

59,806

Other debtors

182,160

151,084

193,662

448,202

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade creditors

11,242

29,346

Taxation and social security

125,294

182,446

Other creditors

1,006,908

867,231

1,143,444

1,079,023

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

2024

2023

£

£

Within 1 year

333,920

321,076

Between one and five years

583,443

917,362

917,363

238,438

10.	PROVISIONS FOR LIABILITIES

2024

2023

£

£

Deferred tax

24,037

27,870

Deferred

tax

£

Balance at 1 January 2024

27,870

Provided during year

(3,833

)

Balance at 31 December 2024

24,037

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2024

2023

value:

£

£

75,000

Ordinary

£1

75,000

75,000

12.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Hassan Behcet (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Audit Limited, Statutory Auditor

13.	PENSION COMMITMENTS

The company contributes to a defined contribution pension scheme. The assets of the schemes are held separately from those of the group in independently administered funds. The pension cost charge represents contributions payable by the company to the fund amounted to £24,348 (2023 - £23,902). Contributions totalling £5,109 (2023 - £10,523) were payable to the fund at the reporting date.

14.	ULTIMATE CONTROLLING PARTY

The directors consider the Trustees of the Clarity Employee Ownership Trust as the controlling party.