Old Mill Financial Planning 2021 LLP - LLP accounts 23.2

REGISTERED NUMBER: OC320853 (England and Wales)

Report of the Members and

Financial Statements for the Year Ended 30 June 2023

for

Old Mill Financial Planning 2021 LLP

Page

General Information

1

Report of the Members

2

Report of the Independent Auditors

4

Statement of Comprehensive Income

7

Balance Sheet

9

Reconciliation of Members' Interests

10

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

15

DESIGNATED MEMBERS:

S M H Cole

P J Hodge

Old Mill Jackson Limited

J R G Stonehouse

K C Whitmarsh

I Carlson

A M Vickery

REGISTERED OFFICE:

Maltravers House

Petters Way

Yeovil

Somerset

BA20 1SH

REGISTERED NUMBER:

OC320853 (England and Wales)

AUDITORS:

Kirk Hills

Chartered Accountants and Statutory Auditors

5 Barnfield Crescent

Exeter

Devon

EX1 1QT

The members present their report with the financial statements of the LLP for the year ended 30 June 2023.

CESSATION OF TRADING

The LLP ceased trading on 25 October 2021.

PRINCIPAL ACTIVITY

The principal activity of the LLP (whilst trading in the year to 30 June 2022) was that of independent financial advisers.

DESIGNATED MEMBERS

The designated members during the year under review were:

S M H Cole

P J Hodge

Old Mill Jackson Limited

J R G Stonehouse

K C Whitmarsh

I Carlson

A M Vickery

RESULTS FOR THE YEAR AND ALLOCATION TO MEMBERS

The profit for the year before members' remuneration and profit shares was £NIL (2022 - £8,253,185 profit).

MEMBERS' INTERESTS

The LLP has equity classes of members as defined by the members' agreement. Equity members are required to contribute capital to the LLP, the amount of which is determined by their position on the equity scale.

Equity members receive an allocation of the residual profits earned, which are allocated on a discretionary basis.

POLICY ON MEMBERS' DRAWINGS

Members are permitted to make drawings in anticipation of profits which will be allocated to them. The amount of such drawings is set at the beginning of each financial year, taking into account anticipated working capital requirements of the LLP.

New members are required to subscribe for a minimum level of capital and in subsequent years members are invited to subscribe for further capital, the amounts of which is determined by the performance and seniority of those members. On retirement, capital is repaid to members.

STATEMENT OF MEMBERS' RESPONSIBILITIES

The members are responsible for preparing the Report of the Members and the financial statements in accordance with applicable law and regulations.

Legislation applicable to limited liability partnerships requires the members to prepare financial statements for each financial year. Under that law the members have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under legislation applicable to limited liability partnerships the members 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 LLP and of the profit or loss of the LLP for that period. In preparing these financial statements, the members are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	state whether applicable 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 LLP will continue in business.

The members are responsible for keeping adequate accounting records that are sufficient to show and explain the LLP's transactions and disclose with reasonable accuracy at any time the financial position of the LLP and enable them to ensure that the financial statements comply with the Companies Act 2006 as applied to LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008. They are also responsible for safeguarding the assets of the LLP 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 members are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the LLP's auditors are unaware, and each member has taken all the steps that he or she ought to have taken as a member in order to make himself or herself aware of any relevant audit information and to establish that the LLP's auditors are aware of that information.

ON BEHALF OF THE MEMBERS:

I Carlson - Designated member

11 March 2024

Opinion

We have audited the financial statements of Old Mill Financial Planning 2021 LLP (the 'LLP') for the year ended 30 June 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Reconciliation of Members' Interests, 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 LLP's affairs as at 30 June 2023;

-	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 as applied to LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008.

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 LLP 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

As set out in the financial statements the going concern basis has not been used in preparing the financial statements.

Other information

The members are responsible for the other information. The other information comprises the information in the Report of the Members, 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Companies Act 2006 as applied to LLPs 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

-	we have not received all the information and explanations we require for our audit.

Responsibilities of members

As explained more fully in the Statement of Members' Responsibilities set out on page two, the members 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 members 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 members are responsible for assessing the LLP'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 members either intend to liquidate the LLP or to cease operations, or have no realistic alternative but to do so.

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.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the LLP through discussions with the members and other management, and from our commercial knowledge and experience;

- we assessed the extent of compliance with the laws and regulations identified

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 assessed the susceptibility of the LLP's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected relationships;

- investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- reading the minutes of meetings of those charged with governance;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing correspondence with the LLP's legal advisors.

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 members and other management and the inspection of regulatory and legal correspondence, if any.

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 LLP's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 as applied to LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008. Our audit work has been undertaken so that we might state to the LLP'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 LLP and the LLP's members as a body, for our audit work, for this report, or for the opinions we have formed.

Adrian Hills BFP ACA (Senior Statutory Auditor)

for and on behalf of Kirk Hills

Chartered Accountants and Statutory Auditors

5 Barnfield Crescent

Exeter

Devon

EX1 1QT

18 March 2024

TURNOVER

3

-

-

-

OPERATING PROFIT

5

-

-

-

PROFIT FOR THE FINANCIAL YEAR BEFORE MEMBERS' REMUNERATION AND PROFIT SHARES AVAILABLE FOR DISCRETIONARY DIVISION AMONG MEMBERS

-

-

-

PROFIT FOR THE FINANCIAL YEAR BEFORE MEMBERS' REMUNERATION AND PROFIT SHARES

-

Members' remuneration charged as an expense

7

-

PROFIT FOR THE FINANCIAL YEAR AVAILABLE FOR DISCRETIONARY DIVISION AMONG MEMBERS

-

OTHER COMPREHENSIVE INCOME

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

-

TURNOVER

3

-

2,416,060

2,416,060

Cost of sales

-

(640,562

)

(640,562

)

GROSS PROFIT

-

1,775,498

1,775,498

Administrative expenses

-

6,487,027

6,487,027

OPERATING PROFIT

5

-

8,262,525

8,262,525

Interest receivable and similar income

-

82

82

Interest payable and similar expenses

6

-

(9,422

)

(9,422

)

PROFIT FOR THE FINANCIAL YEAR BEFORE MEMBERS' REMUNERATION AND PROFIT SHARES AVAILABLE FOR DISCRETIONARY DIVISION AMONG MEMBERS

-

8,253,185

8,253,185

PROFIT FOR THE FINANCIAL YEAR BEFORE MEMBERS' REMUNERATION AND PROFIT SHARES

8,253,185

Members' remuneration charged as an expense

7

(787,010

)

PROFIT FOR THE FINANCIAL YEAR AVAILABLE FOR DISCRETIONARY DIVISION AMONG MEMBERS

7,466,175

OTHER COMPREHENSIVE INCOME

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

7,466,175

CURRENT ASSETS

Debtors

9

998,245

7,582,140

Cash at bank

1,837

58,509

1,000,082

7,640,649

CREDITORS

Amounts falling due within one year

10

116,749

173,421

NET CURRENT ASSETS

883,333

7,467,228

TOTAL ASSETS LESS CURRENT LIABILITIES

and

NET ASSETS ATTRIBUTABLE TO MEMBERS

883,333

7,467,228

LOANS AND OTHER DEBTS DUE TO MEMBERS

11

882,280

7,466,175

MEMBERS' OTHER INTERESTS

Other reserves

1,053

1,053

883,333

7,467,228

TOTAL MEMBERS' INTERESTS

Loans and other debts due to members

11

882,280

7,466,175

Members' other interests

1,053

1,053

Amounts due from members

9

-

(6,158,084

)

883,333

1,309,144

The financial statements were approved by the members of the LLP and authorised for issue on 11 March 2024 and were signed by:

I Carlson - Designated member

EQUITY

DEBT

TOTAL

Members'

Loans and other debts due to

MEMBERS'

other

members less any amounts due

INTERESTS

interests

from members in debtors

Other

Other

reserves

amounts

Total

£

£

£

Amount due to members

7,466,175

Amount due from members

(6,158,084

)

Balance at 1 July 2022

1,053

1,308,091

1,309,144

Profit for the financial year available for discretionary division among members

-

-

-

Members' interests after profit for the year

1,053

1,308,091

1,309,144

Drawings on account and distributions of profit

-

(425,811

)

(425,811

)

Amount due to members

882,280

Amount due from members

-

Balance at 30 June 2023

1,053

882,280

883,333

EQUITY

DEBT

TOTAL

Members'

Loans and other debts due to

MEMBERS'

other

members less any amounts due

INTERESTS

interests

from members in debtors

Other

Other

reserves

amounts

Total

£

£

£

Amount due to members

2,664,705

Amount due from members

-

Balance at 1 July 2021

1,053

2,664,705

2,665,758

Members' remuneration charged as an expense, including employment and retirement benefit costs

-

787,010

787,010

Profit for the financial year available for discretionary division among members

7,466,175

-

7,466,175

Members' interests after profit for the year

7,467,228

3,451,715

10,918,943

Other divisions of profit

(7,466,175

)

7,466,175

-

Drawings on account and distributions of profit

-

(9,609,799

)

(9,609,799

)

Amount due to members

7,466,175

Amount due from members

(6,158,084

)

Balance at 30 June 2022

1,053

1,308,091

1,309,144

Cash flows from operating activities

Cash generated from operations

2

369,139

551,273

Interest paid

-

(8,321

)

Interest element of hire purchase or finance lease rental payments paid

-

(1,101

)

Net cash from operating activities

369,139

541,851

Cash flows from investing activities

Sale of intangible fixed assets

-

7,401,540

Sale of tangible fixed assets

-

10,134

Interest received

-

82

Net cash from investing activities

-

7,411,756

Transactions with members and former

members

Payments to members

(425,811

)

(9,609,799

)

Cash flows from other financing activities

Capital repayments in year

-

(11,078

)

Net cash from financing activities

(425,811

)

(9,620,877

)

Decrease in cash and cash equivalents

(56,672

)

(1,667,270

)

Cash and cash equivalents at beginning of year

3

58,509

1,725,779

Cash and cash equivalents at end of year

3

1,837

58,509

1.	CLASSIFICATION OF SHARE OF PROFITS IN THE CASH FLOW STATEMENT

Profit distributions are automatically classified as operating cash flows as they are derived from revenue generating activities.

Further information in respect of this policy is set out in Members' participation rights below.

2.	RECONCILIATION OF PROFIT FOR THE FINANCIAL YEAR AVAILABLE FOR DISCRETIONARY DIVISION AMONG MEMBERS TO CASH GENERATED FROM OPERATIONS

30.6.23

30.6.22

£

£

Profit for the financial year available for discretionary division among members

-

7,466,175

Members' remuneration charged as an expense

-

787,010

Depreciation charges

-

19,115

Profit on disposal of fixed assets

-

(7,208,830

)

Finance costs

-

9,422

Finance income

-

(82

)

-

1,072,810

Decrease/(increase) in trade and other debtors

425,811

(266,275

)

Decrease in trade and other creditors

(56,672

)

(255,262

)

Cash generated from operations

369,139

551,273

3.	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 30 June 2023

30.6.23

1.7.22

£

£

Cash and cash equivalents

1,837

58,509

Year ended 30 June 2022

30.6.22

1.7.21

£

£

Cash and cash equivalents

58,509

1,725,779

4.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 1.7.22

Cash flow

changes

At 30.6.23

£

£

£

£

Net cash

Cash at bank

58,509

(56,672

)

1,837

58,509

(56,672

)

1,837

Net funds (before

members' debt)

58,509

(56,672

)

-

1,837

Loans and other debts

due to members

Other amounts

due to members

(7,466,175

)

425,811

6,158,084

(882,280

)

Net debt

(7,407,666

)

369,139

6,158,084

(880,443

)

1.	STATUTORY INFORMATION

Old Mill Financial Planning 2021 LLP is registered in England and Wales. The LLP's registered number and registered office address can be found on the General Information page.

On 10 October 2022, Old Mill Financial Planning LLP changed its name to Old Mill Financial Planning 2021 LLP.

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" and the requirements of the Statement of Recommended Practice, Accounting by Limited Liability Partnerships 2021 and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The presentation currency of the financial statements is the Pound Sterling (£). Monetary amounts in these financial statements are rounded to the nearest £.

The LLP ceased to trade on the 25 October 2021 and consequently the financial statements are not prepared on a going concern basis.The financial statements have been prepared on a basis other than going concern.

Turnover

Fee income represents revenue earned under a wide variety of contracts to provide professional services. Revenue is recognised as earned when, and to the extent that, the firm obtains the right to consideration in exchange for its performance under these contracts. It is measured at the fair value of the right to consideration, which represents amounts chargeable to clients, including expenses and disbursements but excluding value added tax.

Revenue is generally recognised as contract activity progresses so that for incomplete contracts it reflects the partial performance of the contractual obligations. For such contracts the amount of revenue reflects the accrual of the right to consideration by reference to the value of work performed. Revenue not billed to clients is included in debtors and payments on account in excess of the relevant amount of revenue are included in creditors.

Financial instruments

(i) Financial assets

Basic financial assets, including trade and other debtors are initially recognised at the transaction price and therefore stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the debtors are stated at cost less impairment losses for bad and doubtful debts.

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 creditors, bank loans and other loans are initially recognised at transaction price, unless the arrangement constitutes a financing transaction.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Creditors are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors 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.

Members' participation rights

Members' participation rights are the right of a member against the LLP that arises under the members' agreement (for example, in respect of amounts subscribed or otherwise contributed, remunerated and profits). Profits are defined in the income statement.

Members' participation rights in the earnings or assets of the LLP are analysed between those that are, from the LLP's perspective either a financial liability or equity. A members' participation right results in a liability unless the right to any payment is discretionary on the part of the LLP.

Amounts subscribed or otherwise contributed by members, for example members' capital, are classed as equity if the LLP has an unconditional right to refuse payment to members. If the LLP does not have such an unconditional right, such amounts are classified as liabilities.

Where profits are automatically divided as they arise, so the LLP does not have an unconditional right to refuse payment, the amounts arising that are due to members are in the nature of liabilities. They are therefore treated as an expense in the Income Statement in the relevant year. To the extent that they remain unpaid at the period end, they are shown as liabilities in the Balance Sheet.

Conversely, where profits are divided only after a decision by the LLP or its representative, so that the LLP has an unconditional right to refuse payment, such profits are classed as an appropriation of equity rather than an expense. They are therefore shown as a residual amount available for discretionary division among members in the Income Statement and are equity appropriations in the Balance Sheet.

Other amounts applied to members, for example remuneration paid under an employment contract and interest on capital balances, are treated in the same way as all other divisions of profits, as described above, according to whether the LLP has, in each case, an unconditional right to refuse payment.

All amounts due to members that are classified as liabilities are presented in the Balance Sheet within 'Loans and other debts due to members' and are charged to the Income Statement within 'Members' remuneration charged as an expense'. Amounts due to members that are classified as equity are shown in the Balance Sheet within 'Members' other interests'.

Profits are defined consistently from period to period as set out in the income statement and cash flow statement.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less.

3.

TURNOVER

The turnover and profit for the financial year before members' remuneration and profit shares are attributable to the one principal activity of the LLP.

An analysis of turnover by geographical market for the year ended 30 June 2022 is given below:

£

United Kingdom

2,410,516

Europe

1,716

North America

194

Other

3,634

2,416,060

This analysis is not considered to be applicable to the year ended 30 June 2023.

4.	EMPLOYEE INFORMATION

30.6.23

30.6.22

£

£

Wages and salaries

-

392,862

Social security costs

-

42,180

Other pension costs

-

44,162

-

479,204

The average number of employees during the year was as follows:

30.6.23

30.6.22

Productive staff

-

18

Administrative staff

-

29

-

47

The employee numbers are proportionate for the trading period.

5.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

30.6.23

30.6.22

£

£

Depreciation - owned assets

-

7,147

Profit on disposal of fixed assets

-

(7,208,830

)

Goodwill amortisation

-

11,970

Amortisation is included in administrative expenses within the financial statements.

6.

INTEREST PAYABLE AND SIMILAR EXPENSES

30.6.23

30.6.22

£

£

Other interest

-

8,321

Hire purchase

-

1,101

-

9,422

7.	INFORMATION IN RELATION TO MEMBERS

30.6.23

30.6.22

£

£

Members' remuneration charged as an expense

Other payments

-

787,010

30.6.23

30.6.22

The average number of members during the year was

41

41

8.	EXCEPTIONAL ITEMS

Administrative expenses for the year ended 30 June 2022 totalled £(6,487,027), this includes the profit on sale of the trade and assets of £7,208,830.