Registered number |
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Sparta Promotions Limited | |
Report and accounts | |
Contents | |
Page | |
Company information | 1 |
Director's report | 2 - 3 |
Strategic report | 4 - 7 |
Independent auditor's report | 8 - 11 |
Group income statement | 12 |
Group statement of comprehensive income | 13 |
Group statement of financial position | 14 |
Company statement of financial position | 15 |
Group statement of changes in equity | 16 |
Company statement of changes in equity | 17 |
Group statement of cash flows | 18 |
Notes to the group financial statements | 19 - 30 |
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Company Information |
Director |
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Auditors |
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Churchill House, Suite 112 - 118 |
120 Bunns Lane |
Mill Hill |
London |
NW7 2AS |
Registered office |
Churchill House, Suite 112 - 118 |
120 Bunns Lane |
Mill Hill |
London |
NW7 2AS |
Registered number |
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Registered number: 08214183 | |||||||
Director's Report | |||||||
The director presents his report and financial statements for the year ended |
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Principal activities | |||||||
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Dividends | |||||||
The director recommends a final dividend of £ |
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Director | |||||||
The following person served as director during the year: | |||||||
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Director's responsibilities | |||||||
The director is responsible for preparing the Annual Report and 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 group and company financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (Financial Reporting Standard 102 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 company and of the profit or loss of the group and company for that period. In preparing these financial statements, the director is required to: |
● | select suitable accounting policies and then apply them consistently; |
● | make judgements and estimates that are reasonable and prudent; |
● | state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
● | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the group and company's transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. | |||||||
The director is responsible for the maintenance and integrity of the corporate and financial information included on the company's website. It is important to bear in mind that legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. | |||||||
Disclosure of information to auditors | |||||||
The director confirms that: | |||||||
● | so far as he is aware, there is no relevant audit information of which the group and company's auditor is unaware; and | ||||||
● | he 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 group and company's auditor is aware of that information. |
This report was approved by the board on |
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Mr A O O Joshua | |||||||
Director | |||||||
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Strategic Report | |||||||||
The director presents his strategic report on the group for the year ended 28 February 2021. | |||||||||
Business review | |||||||||
The group has two service divisions: the first service division is the provision of professional boxing services, from which bout income is generated. The second service division, is marketing services for sponsorships and endorsements. The director considers that the key financial performance indicators are those that monitor the performance in respect of each of these divisions. The turnover of the group from the provision of its services analysed by division is as follows: | |||||||||
£ | £ | ||||||||
2021 | 2020 | ||||||||
Territory | UK | EU | Non-EU | UK | EU | Non-EU | |||
Bouts | 7,208,115 | - | - | - | 57,353,651 | ||||
Sponsorships | 3,477,958 | 1,398,833 | 3,576,787 | 3,070,706 | 1,303,231 | 2,246,194 | |||
The bouts division has declined due to the restrictions of COVID-19, which is line with the director's expectations. The sponsorships and endorsements division turnover has increased by 28% from 2020 to 2021. Turnover on a like for like, 12 month basis period, has in fact increased and is in line with expectations. The group faces a number of risks and uncertainties and the director believes the key business risks are in respect of competition from both within the UK and international markets. In view of this risk and uncertainty, the director is aware that the development of the group may be affected by factors outside its control. |
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Principal risks and uncertainties | |||||||||
Risk | Impact on Group | Mitigation | |||||||
Anti-Doping Testing | Failure of participation is deemed a doping violation for a fighter and may result in immediate suspension for up to three years and additional fines. | The group has taken an active approach to anti-doping testing by encouraging and ensuring the fighter to voluntarily take part in random testing. The fighter also ensures that they are always readily available for mandatory testing which occurs without prior notice. | |||||||
Boxing Licence | If a boxer does not hold a boxing licence or is not under the umbrella of a licenced promoter, then in normal circumstances, the fighter would not be able to compete in a professional fight. | The group has an agreement in place with a promoter that is licenced by the BBBoC. The promotor is the authorised representative that is obligated to communicate with boxing bodies to obtain appropriate permissions and sanctions for any bout. The promoter is also able to collect a fighter's purse on their behalf. | |||||||
Advertising | The group must ensure that the fighter's image rights are not used in a negative manner. | The group ensures that it does not enter into contracts that may harm the image of the fighter. The fighter has also built a very good image of themselves to the public through various media outlets such as YouTube and Instagram. | |||||||
COVID-19 | The pandemic has had an impact on spectators ability to attend live matches and on the boxer's ability to train and fight. | The group has worked closely with its key stakeholder, the boxing promoter, to ensure live matches are within the governments guidelines by investing in measures to ensure the risk of COVID-19 is minimised. The boxer trains within a self-contained bubble and the boxer, including those within the boxer's 'bubble' are routinely tested for COVID-19. | |||||||
The director has considered the effect of 'Brexit' on the group specifically and there is no direct or immediate impact envisaged by the director, on the group. The director does acknowledge that there may be contingent liabilities, such as the potential impact on profitability of non-recoverable VAT for companies which currently incur and recover input VAT in other EU states. |
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Future developments | |||||||||
The director anticipates the business environment will remain competitive. The director believes that the group is in a good financial position and that the risks that have been identified are being well managed. The director is confident in the group's ability to maintain and build on this position, albeit with cautious growth expectations. | |||||||||
Financial Instruments | |||||||||
The group has a normal level of exposure to price, credit, liquidity and cash flow risks arising from trading activities which are conducted in sterling. The group does not enter into any formally designated hedging arrangements. | |||||||||
Research and development | |||||||||
The group is currently undertaking research and development to improve its bout income and sponsorship income from the provision of the fighter's professional boxing services and image rights. | |||||||||
Statement by the director in performance of their statutory duties in accordance with 172(1) Companies Act 2006 | |||||||||
During the year, the Board of Sparta Promotions Limited considers, as individuals and collectively, that it has acted in a way it considers, in good faith, would most likely promote the success of the company for the benefit of its members as a whole, by having regard, among other matters, to the: | |||||||||
● | likely long-term consequences of any decision; | ||||||||
● | interests of the company’s employees; | ||||||||
● | need to foster the company's relationships with its customers, suppliers and others; | ||||||||
● | impact of the company's operations on the community and the environment; | ||||||||
● | desirability of the company maintaining its reputation for high standards of business conduct; and | ||||||||
● | need to act fairly as between members of the company. | ||||||||
The Board considers the interest of a range of stakeholders impacted by our business and recognises that valuable stakeholder engagement underpins our ability to achieve our purpose and strategic aims. Key stakeholder relationships are regularly reviewed, including how we engage with them and whether any improvements can be made. | |||||||||
The relevance of each stakeholder group will depend on the particular matter requiring Board decision. All decisions we make, will unfortunately not benefit all stakeholders; by taking a consistent approach to decision making and being guided by our purpose and our strategic aims, we hope that our decisions are understandable. | |||||||||
Stakeholder engagement | |||||||||
It is important to the Board that we develop strong and positive relationships with our employees, customers, suppliers and investors. We also strive to make a positive contribution to the environment and local communities in which we operate. | |||||||||
Details of how the Board is informed about stakeholder engagement are outlined below. Following the annual stakeholder review, it was agreed to treat regulators and government as a key stakeholder group due to the increasing interaction. | |||||||||
Employees | The Board promotes effective engagement with the workforce by implementing a range of measures to facilitate workforce engagement, including, daily staff meetings and briefings and anonymous communication channels. Usual channels have been supported the regular commination of information and guidance which has taken place employees throughout the COVID-19 pandemic supplemented by weekly emails and Q&A sessions. Working groups were established to review, revise and implement updated policies to provide a safe working environment for our workforce whom could not work from home. Risk assessments, training and support were provided to those working from home. |
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Customers | The board engages with customers indirectly through the Managing Director whom provides information about key customer relationships. During the year, the Board has reviewed plans to enhance our customers' experience, material customer contracts have also been reviewed and approved. Our Managing Director has remained in close contact directly and indirectly with key customers to understand their concerns and support their needs, minimising and potential disruption from the COVID-19 pandemic. |
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Suppliers | Information about key suppliers is provided to the Board by the Managing Director when relevant to Board deliberations. This year, the Board has reviewed and approved certain supplier contracts, as well as reviewing service sourcing strategies. The board is committed to the fair treatment and payment of suppliers. Our Managing Director has remained in close contact with key suppliers indirectly to understand their concerns and support their needs, minimising any potential disruption from the COVID-19 pandemic. |
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Investors | The company is owned by one shareholder whom is also a director of the company. | ||||||||
Communities and environment | The Board recognises its impact on locals communities and its responsibility to the environment and society as a whole. | ||||||||
This report was approved by the board on 16 November 2021 and signed on its behalf. | |||||||||
Mr A O O Joshua | |||||||||
Director | |||||||||
Sparta Promotions Limited | ||
Independent auditor's report | ||
to the member of Sparta Promotions Limited | ||
Opinion | ||
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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 28 February 2021 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 of opinion | ||
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the 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 entity'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 director with respect to going concern are described in the relevant sections of this report. | ||
Other information | ||
The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. The director is responsible for the other information contained within the annual report. 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. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. | ||
We have nothing to report in this regard. | ||
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 director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and | |
● | the strategic report and the 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 the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's report. | ||
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: | ||
● | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or | |
● | the parent company financial statements are not in agreement with the accounting records and returns; or | |
● | certain disclosures of director's remuneration specified by law are not made; or | |
● | we have not received all the information and explanations we require for our audit; or | |
● | the director was not entitled to prepare the financial statements in accordance with the small companies regime and take full advantage of the small companies' exemptions in preparing the director's report and from the requirement to prepare a strategic report. | |
Responsibilities of directors | ||
As explained more fully in the director's responsibilities statement, 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 group's and parent company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the group or parent company or to cease operations, or have no realistic alternative but to do so. | ||
Auditor’s responsibilities for the audit of the financial statements | ||
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. | ||
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. | ||
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, through discussion with the director and other management (as required by auditing standards), and from inspection of the group’s regulatory and legal correspondence and discussed with the director and other management the policies and procedures regarding compliance with laws and regulations. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. This included communication from the group to component audit teams of relevant laws and regulations identified at group level. | ||
The potential effect of these laws and regulations on the financial statements varies considerably. | ||
Firstly, the group is subject to laws and regulations that directly affect the financial statements including financial reporting legislation (including related companies legislation), distributable profits legislation, taxation legislation and pension legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. | ||
Secondly, the group is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation or the loss of the group’s licences to operate. We identified the following areas as those most likely to have such an effect: anti-bribery, regulations affecting professional boxing services, and certain aspects of company legislation recognising the financial and regulated nature of the group’s activities. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the director and other management and inspection of regulatory and legal correspondence, if any. Through these procedures, we became aware of actual or suspected non-compliance and considered the effect as part of our procedures on the related financial statement items. | ||
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 revenue recognition. We performed the following procedures over this risk area: | ||
● | We performed walkthroughs to understand the key processes and identify key controls; | |
● | We performed procedures to test on a sample basis the appropriateness of journal entries recorded in the general ledger by correlating sales postings with cash receipts throughout the year; | |
● | We tested whether revenue was recorded in the correct period by testing whether a sample of marketing services rendered within 1 month either side of the year end had legally completed in the period in which it was accounted; | |
● | We tested all material manual journals to assess for any evidence of management bias by checking supporting documentation; and | |
● | We assessed the adequacy of the related disclosures in the Financial Statements. | |
Based on our audit procedures we have concluded that revenue is appropriately recognised and that there was no evidence of management bias. | ||
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. | ||
As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: | ||
● | Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. | |
● | Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group’s internal control. | |
● | Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. | |
● | Conclude on the appropriateness of the director's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. | |
● | Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. | |
● | Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion. | |
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. | ||
Use of our report | ||
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. | ||
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For and on behalf of Platts (Statutory Auditor) | ||
Churchill House, Suite 112 - 118 | ||
120 Bunns Lane | ||
Mill Hill | ||
London | ||
NW7 2AS | ||
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Group Income Statement | ||||||||
For the year ended |
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Notes | 2021 | 2020 | ||||||
£ | £ | |||||||
Turnover | 3 |
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Cost of sales | ( |
( |
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Gross profit |
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Administrative expenses | ( |
( |
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Operating profit | 4 |
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Gain on revaluation of investments |
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Interest receivable |
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Interest payable | 7 | ( |
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Profit on ordinary activities before taxation |
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Tax on profit on ordinary activities | 8 | ( |
( |
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Profit for the financial year |
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Group Statement of comprehensive income | |||||||
For the year ended |
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Notes | 2021 | 2020 | |||||
£ | £ | ||||||
Profit for the financial year |
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Other comprehensive income | |||||||
Total comprehensive income for the year |
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Group Statement of Financial Position | |||||||
As at |
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Notes | 2021 | 2020 | |||||
£ | £ | ||||||
Fixed assets | |||||||
Intangible assets | 9 |
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Tangible assets | 10 |
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Investments | 11 |
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Current assets | |||||||
Debtors | 13 |
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Cash at bank and in hand |
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Creditors: amounts falling due within one year | 14 | ( |
( |
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Net current assets |
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Net assets |
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Capital and reserves | |||||||
Called up share capital | 15 |
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Capital redemption reserve | 15 | 15 | |||||
Profit and loss account | 97,931,845 |
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Total equity |
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Mr A O O Joshua | |||||||
Director | |||||||
Approved by the board on |
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Sparta Promotions Limited | |||||||
Company Statement of Financial Position | |||||||
As at 28 February 2021 | |||||||
Notes | 2021 | 2020 | |||||
£ | £ | ||||||
Fixed assets | |||||||
Intangible assets | 9 | 1 | 1 | ||||
Tangible assets | 10 | 16,766 | 20,654 | ||||
Investments | 11 | 1 | 1 | ||||
16,768 | 20,656 | ||||||
Current assets | |||||||
Debtors | 13 | 19,980,599 | 36,040,674 | ||||
Cash at bank and in hand | 59,868,231 | 58,905,521 | |||||
79,848,830 | 94,946,195 | ||||||
Creditors: amounts falling due within one year | 14 | (1,207,891) | (17,168,252) | ||||
Net current assets | 78,640,939 | 77,777,943 | |||||
Net assets | 78,657,707 | 77,798,599 | |||||
Capital and reserves | |||||||
Called up share capital | 15 | 86 | 86 | ||||
Capital redemption reserve | 15 | 15 | |||||
Profit and loss account | 78,657,606 | 77,798,498 | |||||
Total equity | 78,657,707 | 77,798,599 | |||||
Mr A O O Joshua | |||||||
Director | |||||||
Approved by the board on 16 November 2021 | |||||||
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Group Statement of Changes in Equity | ||||||||
For the year ended |
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Share | Capital | Profit | Total | |||||
capital | redemption | and loss | ||||||
reserve | account | |||||||
£ | £ | £ | ||||||
At 1 March 2019 |
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15 |
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Profit for the financial year | - | - | 46,116,304 | 46,116,304 | ||||
Dividends | - | - | ( |
( |
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At 29 February 2020 | 86 | 15 | 91,332,945 | 91,333,046 | ||||
At 1 March 2020 |
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15 |
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Profit for the financial year | - | - |
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Dividends | - | - | ( |
( |
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At 28 February 2021 |
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15 |
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Sparta Promotions Limited | ||||||||
Company Statement of Changes in Equity | ||||||||
For the year ended 28 February 2021 | ||||||||
Share | Capital | Profit | Total | |||||
capital | redemption | and loss | ||||||
reserve | account | |||||||
£ | £ | £ | ||||||
At 1 March 2019 | 86 | 15 | 36,893,312 | 36,893,413 | ||||
Profit for the financial year | - | - | 41,435,436 | 41,435,436 | ||||
Dividends | - | - | (530,250) | (530,250) | ||||
At 29 February 2020 | 86 | 15 | 77,798,498 | 77,798,599 | ||||
At 1 March 2020 | 86 | 15 | 77,798,498 | 77,798,599 | ||||
Profit for the financial year | - | - | 4,025,244 | 4,025,244 | ||||
Dividends | - | - | (3,166,136) | (3,166,136) | ||||
At 28 February 2021 | 86 | 15 | 78,657,606 | 78,657,707 | ||||
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Group Statement of Cash Flows | |||||
For the year ended |
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Notes | 2021 | 2020 | |||
£ | £ | ||||
Operating activities | |||||
Profit for the financial year | 9,765,036 | 46,116,304 | |||
Adjustments for: | |||||
Gain on revaluation of investments | (42) | (162) | |||
Interest receivable | (130,196) | (182,733) | |||
Interest payable | 30,562 | - | |||
Tax on profit on ordinary activities | 2,289,822 | 10,821,976 | |||
Depreciation | 7,340 | 6,884 | |||
Decrease/(increase) in debtors | 17,036,184 | (26,220,554) | |||
(Decrease)/increase in creditors | (8,149,424) | 7,307,239 | |||
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Interest received |
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Interest paid | ( |
- | |||
Corporation tax paid | ( |
( |
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Cash generated by operating activities |
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Investing activities | |||||
Payments to acquire tangible fixed assets | ( |
( |
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Cash used in investing activities | ( |
( |
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Financing activities | |||||
Equity dividends paid | ( |
( |
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Cash used in financing activities | ( |
( |
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Net cash generated | |||||
Cash generated by operating activities |
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Cash used in investing activities | ( |
( |
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Cash used in financing activities | ( |
( |
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Net cash generated |
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Cash and cash equivalents at 1 March | 71,795,227 | 37,939,051 | |||
Cash and cash equivalents at 28 February | 79,819,909 | 71,795,227 | |||
Cash and cash equivalents comprise: | |||||
Cash at bank |
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Sparta Promotions Limited | ||||||||||||
Notes to the Group Financial Statements | ||||||||||||
For the year ended 28 February 2021 | ||||||||||||
1 | Summary of significant accounting policies | |||||||||||
General information | ||||||||||||
Sparta Promotions Limited (‘the company’) and its subsidiary (together ‘the group’) operate from one UK based head office site. The company is a private company limited by shares and is incorporated in England. The address of its registered office is Churchill House, Suite 112 - 118, 120 Bunns Lane, Mill Hill, London, NW7 2AS. |
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Statement of compliance | ||||||||||||
The group and individual financial statements of Sparta Promotions Limited have been prepared in compliance with United Kingdom Accounting Standards, including Financial Reporting Standard 102, ‘The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland’ (‘FRS 102’) and the Companies Act 2006. | ||||||||||||
Basis of preparation | ||||||||||||
The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the group and company accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2. The company has taken advantage of the exemption in section 408 of the Companies Act from presenting its individual profit and loss account. |
||||||||||||
Going concern | ||||||||||||
The group meets its day-to-day working capital requirements through its cash reserves. Given the group's cash reserves, the director has a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. The group therefore continues to adopt the going concern basis in preparing its financial statements. |
||||||||||||
Exemptions for qualifying entities under FRS 102 | ||||||||||||
FRS 102 allows a qualifying entity certain disclosure exemptions, subject to conditions. The company has taken advantage of the following exemptions in its individual financial statements: from preparing a statement of cash flows, on the basis that it is a qualifying entity and the consolidated statement of cash flows, included in these financial statements, includes the company’s cash flows; from the financial instrument disclosures, required under FRS 102 paragraphs 11.41(b), 11.41(c), 11.4 (e), 11.41(f), 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b), 11.48(c), 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A, as the information is provided in the consolidated financial statement disclosures and; from disclosing the company key management personnel compensation, as required by FRS 102 paragraph 33.7. |
||||||||||||
Basis of consolidation | ||||||||||||
The group consolidated financial statements include the financial statements of the company and its subsidiary undertaking made up to 28 February. A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. All intra-group transactions, balances, income and expenses are eliminated on consolidation. Adjustments are made to eliminate the profit or loss arising on transactions with associates to the extent of the group’s interest in the entity. |
||||||||||||
Foreign currency (Functional and presentation currency) | ||||||||||||
The group’s functional and presentation currency is the pound sterling. | ||||||||||||
Revenue recognition | ||||||||||||
Revenue is measured at the fair value of the consideration received or receivable and represents the amount receivable for goods supplied or services rendered, net of returns, discounts and rebates allowed by the group and value added taxes. Turnover includes revenue mainly earned from the rendering of boxing promotion services and sales from endorsements and sponsorship deals. The group bases its estimate of returns on historical results, taking into consideration the type of customer, the type of transaction and the specifics of each arrangement. The group recognises revenue when (a) the significant risks and rewards of ownership have been transferred to the buyer; (b) the group retains no continuing involvement or control over the goods; (c) the amount of revenue can be measured reliably; (d) it is probable that future economic benefits will flow to the entity and (e) when the specific criteria relating to each of the group’s sales channels have been met, as described below. |
||||||||||||
i. Sales – boxing promotion Turnover from the rendering of boxing promotion services is recognised when the service is provided and can be reliably measured. Turnover from boxing services is net of costs, incurred by the promoter, which are outside the group's control. ii. Sales – endorsement and sponsorship deals Turnover from the rendering of endorsement and sponsorship deals is recognised as the contract progresses. Turnover from endorsement and sponsorship income is recognised in accordance with the specific endorsement or sponsorship agreement in place. For each agreement, certain obligations have to be fulfilled and conditions met prior to recognition by reference to stage of completion of an agreement. iii. Interest income Interest income is recognised using the effective interest rate method. iv. Dividend income Dividend income is recognised when the right to receive payment is established. |
||||||||||||
Employee benefits | ||||||||||||
The group provides a range of benefits to employees, including annual bonus arrangements, paid holiday arrangements and defined contribution pension plans. i. Short term benefits Short term benefits, including holiday pay and other similar non-monetary benefits, are recognised as an expense in the period in which the service is received. ii. Defined contribution pension plans The group operates a UK defined contribution plan for its employees. A defined contribution plan is a pension plan under which the group pays fixed contributions into a separate entity. Once the contributions have been paid the group has no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the group in independently administered funds. iii. Annual bonus plan The group operates an annual bonus plan for employees. An expense is recognised in the profit and loss account when the group has a legal or constructive obligation to make payments under the plans as a result of past events and a reliable estimate of the obligation can be made. |
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Taxation | ||||||||||||
Current or deferred taxation assets and liabilities are not discounted. i. Current tax Current tax is the amount of income tax payable in respect of the taxable profit for the year or prior years. Tax is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the period end. Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities. ii. Deferred tax Deferred tax arises from timing differences that are differences between taxable profits and total comprehensive income as stated in the financial statements. These 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 recognised on all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are only 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 tax rates and laws that have been enacted or substantively enacted by the period end and that are expected to apply to the reversal of the timing difference. |
||||||||||||
Business combinations and goodwill | ||||||||||||
Business combinations are accounted for by applying the purchase method. The cost of a business combination is the fair value of the consideration given, liabilities incurred or assumed and of equity instruments issued plus the costs directly attributable to the business combination. Where control is achieved in stages the cost is the consideration at the date of each transaction. Contingent consideration is initially recognised at estimated amount where the consideration is probable and can be measured reliably. Where (i) the contingent consideration is not considered probable or cannot be reliably measured but subsequently becomes probable and measureable or (ii) contingent consideration previously measured is adjusted, the amounts are recognised as an adjustment to the cost of the business combination. On acquisition of a business, fair values are attributed to the identifiable assets, liabilities and contingent liabilities unless the fair value cannot be measured reliably, in which case the value is incorporated in goodwill. Where the fair value of contingent liabilities cannot be reliably measured they are disclosed on the same basis as other contingent liabilities. Goodwill recognised represents the excess of the fair value and directly attributable costs of the purchase consideration over the fair values to the group’s interest in the identifiable net assets, liabilities and contingent liabilities acquired. On acquisition, goodwill is allocated to cash-generating units (‘CGU’s’) that are expected to benefit from the combination. Negative goodwill relating to monetary assets arising on the purchase of a business in 2017 was recognised in the group profit and loss in the year of acquisition. |
||||||||||||
Intangible assets | ||||||||||||
Section 18 of FRS 102 considers intangible assets other than goodwill and section 19 considers business combinations and goodwill. Intangible assets represents image rights which are not amortised as the cost is of a peppercorn amount, hence, not material. |
||||||||||||
Tangible fixed assets |
Tangible assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use, dismantling and restoration costs. i. Fixtures, fittings, tools and equipment Fixtures, fittings, tools and equipment are stated at cost less accumulated depreciation and accumulated impairment losses. ii. Depreciation and residual values Depreciation on other assets is calculated, using the reducing balance method, to allocate the depreciable amount to their residual values over their estimated useful lives, as follows: |
||||||||||||
Fixtures, fittings, tools and equipment | 15% reducing balance |
The assets’ residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively. iii. Derecognition Tangible assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying amount is recognised in profit or loss and included in ‘Other operating (losses)/gains’. |
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Borrowing costs | ||||||||||||
All borrowing costs are recognised in profit or loss in the period in which they are incurred. | ||||||||||||
Impairment of non-financial assets | ||||||||||||
At each balance sheet date non-financial assets not carried at fair value are assessed to determine whether there is an indication that the asset (or asset’s cash generating unit) may be impaired. If there is such an indication the recoverable amount of the asset (or asset’s cash generating unit) is compared to the carrying amount of the asset (or asset’s cash generating unit). The recoverable amount of the asset (or asset’s cash generating unit) is the higher of the fair value less costs to sell and value in use. Value in use is defined as the present value of the future cash flows before interest and tax obtainable as a result of the asset’s (or asset’s cash generating unit’s) continued use. These cash flows are discounted using a pre-tax discount rate that represents the current market risk-free rate and the risks inherent in the asset. If the recoverable amount of the asset (or asset’s cash generating unit) is estimated to be lower than the carrying amount, the carrying amount is reduced to its recoverable amount. An impairment loss is recognised in the profit and loss account, unless the asset has been revalued when the amount is recognised in other comprehensive income to the extent of any previously recognised revaluation. Thereafter any excess is recognised in profit or loss. If an impairment loss is subsequently reversed, the carrying amount of the asset (or asset’s cash generating unit) is increased to the revised estimate of its recoverable amount, but only to the extent that the revised carrying amount does not exceed the carrying amount that would have been determined (net of depreciation or amortisation) had no impairment loss been recognised in prior periods. A reversal of an impairment loss is recognised in the profit and loss account. Goodwill is allocated on acquisition to the cash generating unit expected to benefit from the synergies of the combination. Goodwill is included in the carrying value of cash generating units for impairment testing. |
||||||||||||
Investments - company | ||||||||||||
i. Investment in subsidiary company Investment in a subsidiary company is held at cost less accumulated impairment losses. ii. Investment in other investments Investments in other investments represents listed shares held at market value. |
||||||||||||
Cash and cash equivalents | ||||||||||||
Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown within borrowings in current liabilities. | ||||||||||||
Provisions | ||||||||||||
Provisions are recognised when the group has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount of the obligation can be estimated reliably. Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations might be small. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as a finance cost. ii. Contingencies Contingent liabilities are not recognised, except those acquired in a business combination. Contingent liabilities arise as a result of past events when (i) it is not probable that there will be an outflow of resources or that the amount cannot be reliably measured at the reporting date or (ii) when the existence will be confirmed by the occurrence or non-occurrence of uncertain future events not wholly within the group’s control. Contingent liabilities are disclosed in the financial statements unless the probability of an outflow of resources is remote. Contingent assets are not recognised. Contingent assets are disclosed in the financial statements when an inflow of economic benefits is probable. |
||||||||||||
Financial instruments | ||||||||||||
i. Financial assets Basic financial assets, including trade and other receivables, cash and bank balances and investments in commercial paper, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method. At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
||||||||||||
ii. Financial liabilities Basic financial liabilities, including trade and other payables, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates. Trade payables 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 payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. iii. Offsetting Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
||||||||||||
Share capital | ||||||||||||
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds. | ||||||||||||
Distributions to equity holders | ||||||||||||
Dividends and other distributions to the group’s shareholders are recognised as a liability in the financial statements in the period in which the dividends and other distributions are approved by the shareholders. These amounts are recognised in the statement of changes in equity. | ||||||||||||
Related party transactions | ||||||||||||
The group discloses transactions with related parties which are not wholly owned within the same group. Where appropriate, transactions of a similar nature are aggregated unless, in the opinion of the director, separate disclosure is necessary to understand the effect of the transactions on the group financial statements. | ||||||||||||
2 | Critical accounting estimates and judgements | |||||||||||
|
||||||||||||
The group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below. | ||||||||||||
(i) Fair values on acquisition of 258 Marketing Limited The fair value of tangible and intangible assets acquired on the acquisition of 258 Marketing Limited involved the use of valuation techniques and the estimation of future cash flows to be generated over a number of years. In addition the estimation of the contingent consideration payable required estimation of the level of profitability of the business acquired. The estimation of the fair values requires the combination of assumptions. The parent company, Sparta Promotions Limited, has undertaken a fair value exercise and does not identify any fair value adjustments to the recognised net assets of 258 Marketing Limited. |
||||||||||||
(ii) Useful economic lives of tangible assets The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 9 for the carrying amount of the property plant and equipment, and note 1 for the useful economic lives for each class of assets. |
||||||||||||
(iii) Impairment of debtors The group makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. |
||||||||||||
(iv) Loans due after more than one year The director estimates the market rate of interest to be 2.5%. When using 2.5% as the discount factor to calculate the net present value of the loan, the measurement difference, i.e. the difference between the present value of the loan and the fair value of the loan is not material, hence, the loan has not been discounted. |
||||||||||||
3 | Analysis of turnover | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Services rendered |
|
|
7,208,115 | 57,353,651 | ||||||||
|
|
7,208,115 | 57,353,651 | |||||||||
By geographical market: | ||||||||||||
UK |
|
|
7,208,115 | - | ||||||||
Europe |
|
|
- | - | ||||||||
Rest of world |
|
|
- | 57,353,651 | ||||||||
|
|
7,208,115 | 57,353,651 | |||||||||
4 | Operating profit | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
This is stated after charging: | ||||||||||||
Depreciation of owned fixed assets |
|
|
5,588 | 6,884 | ||||||||
Auditors' remuneration for audit services |
|
|
15,000 | 15,000 | ||||||||
Auditors' remuneration for other services |
|
|
60,115 | 26,570 | ||||||||
Key management personnel compensation (including directors' emoluments) |
|
|
- | - | ||||||||
5 | Director's emoluments | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Emoluments |
|
|
- | - | ||||||||
Company contributions to defined contribution pension plans |
|
|
- | - | ||||||||
|
|
- | - | |||||||||
Group | Company | |||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Highest paid director: | ||||||||||||
Emoluments |
|
|
- | - | ||||||||
Company contributions to defined contribution pension plans |
|
|
- | - | ||||||||
|
|
- | - | |||||||||
Group | Company | |||||||||||
Number of directors to whom retirement benefits accrued: | 2021 | 2020 | 2021 | 2020 | ||||||||
Number | Number | Number | Number | |||||||||
Defined contribution plans |
|
|
- | - | ||||||||
6 | Staff costs | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Wages and salaries |
|
|
119,668 | - | ||||||||
Social security costs |
|
|
14,379 | - | ||||||||
Other pension costs |
|
|
1,727 | - | ||||||||
|
|
135,774 | - | |||||||||
Average number of employees during the year | Group | Company | ||||||||||
Number | Number | Number | Number | |||||||||
Administration |
|
|
2 | 2 | ||||||||
|
|
2 | 2 | |||||||||
7 | Interest payable | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Bank loans and overdrafts |
|
- | 30,562 | - | ||||||||
8 | Taxation | Group | ||||||||||
2021 | 2020 | |||||||||||
£ | £ | |||||||||||
Analysis of charge in period | ||||||||||||
Current tax: | ||||||||||||
UK corporation tax on profits of the period | 2,289,822 | 10,821,976 | ||||||||||
Deferred tax: | ||||||||||||
Tax on profit on ordinary activities | 2,289,822 | 10,821,976 | ||||||||||
Factors affecting tax charge for period | ||||||||||||
The differences between the tax assessed for the period and the standard rate of corporation tax are explained as follows: | ||||||||||||
Group | ||||||||||||
2021 | 2020 | |||||||||||
£ | £ | |||||||||||
Profit on ordinary activities before tax | 12,054,858 | 56,938,280 | ||||||||||
|
19.0% | 19.0% | ||||||||||
£ | £ | |||||||||||
Profit on ordinary activities multiplied by the standard rate of corporation tax | 2,290,423 | 10,818,273 | ||||||||||
Effects of: | ||||||||||||
Income not subject to tax | (59,288) | (7,631) | ||||||||||
Expenses not deductible for tax purposes | (209,859) | 7,005 | ||||||||||
Capital allowances for period in excess of depreciation | (593) | (3,302) | ||||||||||
Current tax charge for period | 2,289,822 | 10,821,976 | ||||||||||
9 | Intangible fixed assets | Group | Company | |||||||||
£ | £ | |||||||||||
Image Rights: | ||||||||||||
Cost | ||||||||||||
At 1 March 2020 |
|
1 | ||||||||||
At 28 February 2021 |
|
1 | ||||||||||
Amortisation | ||||||||||||
At 28 February 2021 | - | - | ||||||||||
Carrying amount | ||||||||||||
At 28 February 2021 |
|
1 | ||||||||||
At 29 February 2020 |
|
1 | ||||||||||
|
||||||||||||
10 | Tangible fixed assets | |||||||||||
Fixtures, fittings, tools and equipment | Group Total |
Fixtures, fittings, tools and equipment | Company Total |
|||||||||
At cost | At cost | At cost | At cost | |||||||||
Cost | £ | £ | £ | £ | ||||||||
At 1 March 2020 |
|
|
38,792 | 38,792 | ||||||||
Additions |
|
|
1,700 | 1,700 | ||||||||
At 28 February 2021 |
|
|
40,492 | 40,492 | ||||||||
Depreciation | ||||||||||||
At 1 March 2020 |
|
|
18,138 | 18,138 | ||||||||
Charge for the year |
|
|
5,588 | 5,588 | ||||||||
At 28 February 2021 |
|
|
23,726 | 23,726 | ||||||||
Carrying amount | ||||||||||||
At 28 February 2021 |
|
|
16,766 | 16,766 | ||||||||
At 29 February 2020 |
|
|
20,654 | 20,654 | ||||||||
11 | Investments | Group | Company | |||||||||
Investments in | ||||||||||||
Other | subsidiary | Other | ||||||||||
investments | undertakings | investments | Total | |||||||||
£ | £ | £ | £ | |||||||||
Cost | ||||||||||||
At 1 March 2020 |
|
1 | - | 1 | ||||||||
Revaluation |
|
- | - | - | ||||||||
At 28 February 2021 |
|
1 | - | 1 | ||||||||
12 | Subsidiaries and related undertakings | |||||||||||
The list of subsidiaries and other related undertakings is as follows: | ||||||||||||
Name | Address of the registered office | Nature of business | Interest | |||||||||
258 Marketing Limited | Churchill House | Marketing services | 100% | |||||||||
120 Bunns Lane, Suite 112 - 118 | ||||||||||||
Mill Hill | ||||||||||||
London | ||||||||||||
NW7 2AS | ||||||||||||
The above subsidiary is included in the consolidation. The company's investment in 258 Marketing Limited is direct ownership. | ||||||||||||
13 | Debtors | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Trade debtors |
|
|
- | 2,171 | ||||||||
Amounts owed by group undertaking | - | - | 736,550 | 184,969 | ||||||||
Other debtors |
|
|
12,680,742 | 10,026,093 | ||||||||
Prepayments and accrued income |
|
|
6,563,307 | 25,827,441 | ||||||||
|
|
19,980,599 | 36,040,674 | |||||||||
Amounts due after more than one year included in: | ||||||||||||
Other debtors |
|
|
10,300,000 | 10,000,000 | ||||||||
14 | Creditors: amounts falling due within one year | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Trade creditors |
|
|
160,797 | 50,633 | ||||||||
Corporation tax |
|
|
- | 7,807,273 | ||||||||
Other taxes and social security costs |
|
|
7,968 | 4,749,372 | ||||||||
Other creditors |
|
|
18,722 | 60 | ||||||||
Accruals and deferred income |
|
|
1,020,404 | 4,560,914 | ||||||||
2,188,536 | 17,797,527 | 1,207,891 | 17,168,252 | |||||||||
15 | Share capital | Group | Company | |||||||||
Nominal | 2021 | 2021 | 2020 | 2021 | 2020 | |||||||
value | Number | £ | £ | £ | £ | |||||||
Allotted, called up and fully paid: | ||||||||||||
|
£ |
|
|
|
86 | 86 | ||||||
16 | Dividends | Group | Company | |||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
£ | £ | £ | £ | |||||||||
Dividends on ordinary shares |
|
|
3,166,136 | 530,250 | ||||||||
17 | Events after the reporting date | |||||||||||
|
||||||||||||
18 | Related party transactions | |||||||||||
Included under Debtors, within Amounts owed by group undertaking is the following: At the balance sheet date, the company was owed an amount in the sum of £736,550 (2020 - £184,969) by 258 Marketing Limited, the company's wholly owned subsidiary undertaking. The balance has arisen due to providing working capital assistance. The receivable is unsecured and repayable on demand. Included under Debtors, within Other Debtors are the following: At the balance sheet date, the group was owed an amount in the sum of £10,300,000 (2020 - £10,000,000) by 258 Investments Limited, a company with a common director and shareholder. The receivable is repayable within 5 years of the balance sheet date. The loan is secured by way of a fixed charge over 258 Investments Limited's real property. The loan is non interest bearing. At the balance sheet date, the group was owed an amount in the sum of £26,093 (2020 - £29,550) by 258 Merchandise Limited, a company with a common director and shareholder. The balance has arisen due to providing working capital assistance. The receivable is repayable on demand and is unsecured. At the balance sheet date, the group was owed an amount in the sum of £Nil (2020 - £12,240) by 258 Management Limited, a company with a common director and shareholder. The balance has arisen due to providing working capital assistance. The receivable is repayable on demand and is unsecured. At the balance sheet date, the group was owed an amount in the sum of £751,689 (2020 - £Nil) by 258 Equity Limited, a company with a common director and shareholder. The balance has arisen due to providing working capital assistance. The receivable is repayable on demand and is unsecured. See note 5 for disclosure of the directors’ remuneration. Key management compensation for the period amounted to £444,406 (2020 - £145,277). |
||||||||||||
19 | Controlling party | |||||||||||
|
||||||||||||
20 | Legal form of entity and country of incorporation | |||||||||||
Sparta Promotions Limited is a private company limited by shares and incorporated in England. | ||||||||||||
21 | Principal place of business | |||||||||||
The address of the company's principal place of business is: | ||||||||||||
Unit 23, Flotilla House | ||||||||||||
Juniper Drive | ||||||||||||
Battersea Reach | ||||||||||||
SW18 1FX |