REGISTERED NUMBER: |
Financial Statements for the Year Ended 31 December 2022 |
for |
Northstar Research Partners (UK) Limited |
REGISTERED NUMBER: |
Financial Statements for the Year Ended 31 December 2022 |
for |
Northstar Research Partners (UK) Limited |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Contents of the Financial Statements |
for the Year Ended 31 December 2022 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
Northstar Research Partners (UK) Limited |
Company Information |
for the Year Ended 31 December 2022 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITOR: |
Statutory Auditor |
PO Box 27075 |
London |
N2 0FZ |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Balance Sheet |
31 December 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 4 |
CURRENT ASSETS |
Stocks | 5 |
Debtors | 6 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 7 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 8 |
Retained earnings |
SHAREHOLDERS' FUNDS |
In accordance with Section 444 of the Companies Act 2006, the Statement of Income and Retained Earnings has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Notes to the Financial Statements |
for the Year Ended 31 December 2022 |
1. | STATUTORY INFORMATION |
Northstar Research Partners (UK) Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Turnover |
Turnover represents income from projects ongoing from previous year and those entered into during the year , whether completed or incomplete at the balance sheet date. Turnover is calculated by accounting for the value of the work done which incorporates recoverable third party cost and value of professional research and analysis on all of the projects. |
Tangible fixed assets |
Leasehold improvements | - |
Office equipment | - |
Fixtures and fittings | - |
Computer equipment | - |
Capitalised software - 33% on cost starting from the day software becomes operational |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax |
Current tax is recognised at the amount of tax payable using the tax rates and laws that that have been enacted or substantively enacted by the balance sheet date. |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2022 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Transactions in a foreign currency are recorded at the average exchange rate for the month in which the transaction is recognised in the accounting records. |
Pension costs and other post-retirement benefits |
The Company operates a defined contribution plan. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate fund. Under defined contribution plans, the company has no legal or constructive obligations to pay further contributions if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods. |
For defined contribution plans, the company pays contributions to privately administered pension plans on a contractual or voluntary basis. The company has no further payment obligations once the contributions have been paid. The contributions are recognised as employee benefit expense when they are due. Prepaid contributions are recognised as an asset to the extent that a cash refund or a reduction in the future payments is available. |
Work in progress |
Work in progress represents the cost of project work completed at the year end not yet billed to clients. |
Amounts recoverable on work in progress is third party expenditure incurred on projects that does not fall to be included in work in progress. This amount is included in Debtors. |
Operating lease |
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases (net of any incentives received from the lessor) are charged to profit or loss on a straight-line basis over the period of the lease. |
Incentives received to enter into an operating lease are credited to the profit and loss account, to reduce the lease expense, on a straight-line basis over the period of the lease. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2022 |
4. | TANGIBLE FIXED ASSETS |
Fixtures |
Leasehold | Office | and |
improvements | equipment | fittings |
£ | £ | £ |
COST |
At 1 January 2022 |
Additions |
Disposals |
Reclassification/transfer | ( |
) |
At 31 December 2022 |
DEPRECIATION |
At 1 January 2022 |
Charge for year |
Eliminated on disposal |
Reclassification/transfer | ( |
) |
At 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
Capitalised | Computer |
software | equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2022 |
Additions |
Disposals | ( |
) | ( |
) |
Reclassification/transfer | ( |
) | ( |
) |
At 31 December 2022 |
DEPRECIATION |
At 1 January 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
Reclassification/transfer | ( |
) | ( |
) |
At 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2022 |
5. | STOCKS |
2022 | 2021 |
£ | £ |
Work-in-progress |
6. | DEBTORS |
2022 | 2021 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Amounts recoverable on |
work in progress | 81,582 | 1,031 |
Amounts owed by group undertakings |
Other debtors |
Tax |
VAT |
Prepayments |
Amounts falling due after more than one year: |
Other debtors |
Aggregate amounts |
Debtors over more than one year related to the rent deposit. |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2021 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Tax |
Social security and other taxes |
VAT | 190,964 | - |
Other creditors |
Accrued expenses |
Deferred income | 610,546 | 121,543 |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2022 |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR - continued |
The company entered into a lease on 26 June 2020 for a period of 3 years at an annual rental of £125,752. The total commitment at 31 December 2022 is £62,876. |
Amounts owed to group undertakings in 2021 included £811,975 in respect of a loan for working capital and accumulated interest from MDC Partners Inc. - see Note 8 below. |
Amounts owed to group undertakings include £13,239 owed re share compensation (2021 £14,057). |
8. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2021 |
value: | £ | £ |
Ordinary A | 10p | 812,152 | 177 |
Ordinary B | 10p | 100 | 100 |
Deferred | £1 | 1,723 | 1,723 |
813,975 | 2,000 |
Allotted called up and partly paid |
Non-equity interests |
311,600 Preference shares class A of £1 | 202,540 | 202,540 |
16,400 Preference shares class B of £1 each | 10,660 | 10,660 |
----------- | ----------- |
213,200 | 213,200 |
======= | ======= |
In 2021 the company borrowed £800,000 working capital from MDC Partners Inc. Interest accrued on the loan amounted to £11,975 at 31 December 2021. In June 2022 the total sum of £811,975 was converted to 8,119,750 new Ordinary Class A shares in the company. |
The A and B Preference Shares shall be separate classes of shares and shall not receive a dividend unless the Board recommends a payment of a dividend. They can be redeemed at any time at the Company's discretion as outlined in the Memorandum and Articles and Association. |
Total share capital £1,027,175 (2021 £215,200) |
9. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditor was unqualified. |
Statutory Auditor |
Northstar Research Partners (UK) Limited (Registered number: 04131126) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2022 |
10. | RELATED PARTY DISCLOSURES |
Northstar Research Partners Inc. |
Parent company until 26 July 2021 |
Transactions during the year: |
Net salaries recharged to UK subsidiary £22,896 (2021 £101,694). Net revenue received £15,930 (2021 £39,122). |
Balances at year end: £13,239 owed re share compensation (£2021 £14,057); £4,396 owed re purchase transactions (2021 £177,251). |
MDC Partners Inc |
Ultimate parent company until 26 July 2021 |
Debit balances at year end: Management fee repayable by MDC £36,915 (2021 £Nil) |
Credit balances at year end: Capital paid in by MDC outstanding £79,131 less equity offset re long term minority interest £16,247 (2021 £Nil) |
Stagwell Inc |
Ultimate controlling party from 27 July 2021 |
Credit balance at year end: £2,765 re purchase transactions (2021: £nil). |
11. | ULTIMATE CONTROLLING PARTY |
The controlling party is Stagwell Inc. |
The ultimate controlling party Stagwell Inc. which merged with the parent company MDC Partners Inc. in 2021 |
Stagwell Inc - One World Trade Center, Floor 65 New York NY10007 |
a company incorporated in USA |
The parent company consolidates this subsidiary in its accounts. |