Company registration number 00214373 (England and Wales)
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2022
PAGES FOR FILING WITH REGISTRAR
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 8
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
30 NOVEMBER 2022
30 November 2022
- 1 -
2022
2021
Notes
£
£
£
£
Fixed assets
Intangible assets
4
20,000
Tangible assets
5
2,447,897
2,459,249
2,447,897
2,479,249
Current assets
Stocks
12,000
106,070
Debtors
6
527,361
428,329
Cash at bank and in hand
1,343,283
1,386,627
1,882,644
1,921,026
Creditors: amounts falling due within one year
7
(3,219,885)
(3,273,323)
Net current liabilities
(1,337,241)
(1,352,297)
Total assets less current liabilities
1,110,656
1,126,952
Creditors: amounts falling due after more than one year
8
(1,534,446)
(783,933)
Net (liabilities)/assets
(423,790)
343,019
Capital and reserves
Called up share capital
50,000
50,000
Share premium account
130,396
130,396
Revaluation reserve
9
2,268,809
2,268,809
Profit and loss reserves
(2,872,995)
(2,106,186)
Total equity
(423,790)
343,019
The directors of the company have elected not to include a copy of the income statement within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 18 July 2023 and are signed on its behalf by:
M Grattan
Director
Company Registration No. 00214373
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2022
- 2 -
1
Accounting policies
Company information
Castleford Rugby League Football Club Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Mend A Hose Jungle, Wheldon Road, Castleford, West Yorkshire, WF10 2SD.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
1.2
Going concern
The balance sheet as at 30 November 2022 shows that the company has net current liabilities of £1,337,241 and net liabilities of £423,790, which include loans from directors and former directors which amounted to £2,360,375.
The directors have confirmed that they will continue to support the company and will not withdraw their support to the detriment of the third party creditors.
On this basis, the directors concluded it appropriate to prepare the financial statements on a going concern basis.
1.3
Turnover
Turnover comprises the value of income from Rugby League games, sponsorship deals, merchandise sales, bar and restaurant sales and other ancillary activities excluding Value Added Tax and trade discounts.
Merchandise income from shop and internet sales is accounted for on a receivable basis.
Gate receipts relate to the proceeds taken at the turnstiles for each game and the season ticket sales for the season they relate to.
Sponsorship, advertising, hospitality and executive box sales are accounted for the in the season to which they relate.
Lottery income is accounted for on a receipts basis.
Income received prior to the year end in respect of future seasons is treated as deferred income.
1.4
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2022
1
Accounting policies
(Continued)
- 3 -
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Player transfer fees
over the period of the player's contract
Player registrations are assessed on an annual basis and impairment losses arising are charged to the profit and loss account in the period in which they arise.
1.5
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold buildings
2% straight line
Plant and equipment
20% and 25% reducing balance
Freehold land is not depreciated.
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
Included in land and buildings are alterations to leasehold property which are being depreciated over the remaining term of the lease.
1.6
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.7
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2022
1
Accounting policies
(Continued)
- 4 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.8
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.9
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with 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.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts 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 creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.10
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2022
1
Accounting policies
(Continued)
- 5 -
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.12
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
1.13
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2022
2021
Number
Number
Total
80
84
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2022
- 6 -
4
Intangible fixed assets
Player transfer fees
£
Cost
At 1 December 2021
110,000
Disposals
(50,000)
At 30 November 2022
60,000
Amortisation and impairment
At 1 December 2021
90,000
Amortisation charged for the year
20,000
Disposals
(50,000)
At 30 November 2022
60,000
Carrying amount
At 30 November 2022
At 30 November 2021
20,000
Players' transfer fees are capitalised as intangible fixed assets and amortised over the period of the player's contract.
Amortisation has been accelerated where players have left the club before their contract term expired.
5
Tangible fixed assets
Freehold buildings
Plant and equipment
Total
£
£
£
Cost or valuation
At 1 December 2021
2,452,810
548,556
3,001,366
Additions
11,839
11,839
At 30 November 2022
2,452,810
560,395
3,013,205
Depreciation and impairment
At 1 December 2021
61,539
480,578
542,117
Depreciation charged in the year
4,266
18,925
23,191
At 30 November 2022
65,805
499,503
565,308
Carrying amount
At 30 November 2022
2,387,005
60,892
2,447,897
At 30 November 2021
2,391,271
67,978
2,459,249
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2022
5
Tangible fixed assets
(Continued)
- 7 -
Included in the cost or valuation of land and buildings is freehold land of £2,230,696 (2020: £2,230,696) which is not depreciated.
Land and buildings were valued in 1999 at £652,371. A subsequent revaluation of £1,616,438 was carried out in December 2007 which has been elected as its deemed cost at that date. The total cost of land and buildings also includes additions at cost of £184,001.
Land and buildings are carried at valuation. If land and buildings were measured using the cost model, the carrying amounts would have been approximately £99,228 (2021 - £100,126), being cost £251,864 (2021 - £251,864) and depreciation £155,636 (2021 - £151,738).
6
Debtors
2022
2021
Amounts falling due within one year:
£
£
Trade debtors
402,627
340,149
Other debtors
124,734
88,180
527,361
428,329
7
Creditors: amounts falling due within one year
2022
2021
£
£
Bank loans
10,000
10,000
Trade creditors
27,170
77,897
Taxation and social security
102,444
111,872
Other creditors
3,080,271
3,073,554
3,219,885
3,273,323
8
Creditors: amounts falling due after more than one year
2022
2021
£
£
Bank loans and overdrafts
27,500
37,500
Other creditors
1,506,946
746,433
1,534,446
783,933
Creditors which fall due after five years are as follows:
2022
2021
£
£
Payable by instalments
744,767
189,666
CASTLEFORD RUGBY LEAGUE FOOTBALL CLUB LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2022
- 8 -
9
Revaluation reserve
2022
2021
£
£
At the beginning and end of the year
2,268,809
2,268,809
10
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
We have considered the adequacy of the disclosures made in the accounting policies on page 9 concerning the continuation of the support of the company's directors, its bankers and other providers of finance. In view of the significance of this uncertainty, we consider that it should be drawn to your attention but our opinion is not qualified in this respect.
Senior Statutory Auditor:
Brett Davis
Statutory Auditor:
Henton & Co LLP
11
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2022
2021
£
£
24,041
12
Directors' transactions
The directors made available loans to the company which are repayable on demand. Interest is being accrued at 2% over base rate. At the balance sheet date the total balance owed to the directors was £120,000 (2021: £120,000).