Page 71 - Beeks Financial Cloud Group Annual Report 2021

Beeks Financial Cloud Group PLC
Notes to the Consolidated Financial Statements For the year ended 30 June 2021

value for recognition or disclosure The options are expensed in the period the financial period in which they are
purposes, the fair value is based on over which the share based payment incurred.
the price that would be received vests. A corresponding increase
to sell an asset or paid to transfer to the share option reserve under Depreciation on IT infranstructure
a liability in an orderly transaction shareholder’s funds is recognised. and fixtures and fittings is
between market participants at the calculated using the straight line
measurement date; and assumes When share options are exercised, method to allocate their cost or
that the transaction will take place the company issues new shares. revalued amounts, net of their
either: in the principal market; or in The nominal share value from the residual values, over their estimated
the absence of a principal market, in proceeds received are credited useful lives, as follows:
the most advantageous market. to share capital and proceeds / Leasehold property and
received above nominal value, net improvements
Fair value is measured using of attributable transaction costs, over the lease period
the assumptions that market are credited to the share premium / Computer Equipment
participants would use when pricing when the options are exercised. 5 years and over the length
the asset or liability, assuming they When share options are forfeited, of lease FINANCE
act in their economic best interests. cancelled or expire, the corresponding / Office equipment 5 years
For non-financial assets, the fair fair value is transferred to the
value measurement is based on accumulated losses reserve. The residual values, useful lives and
its highest and best use. Valuation depreciation methods are reviewed,
techniques that are appropriate in The Group has no legal or and adjusted if appropriate, at each
the circumstances and for which constructive obligation to repurchase reporting date.
sufficient data are available to or settle the options in cash.
measure fair value, are used, Leasehold improvements and
maximising the use of relevant Property, plant plant and equipment under lease
observable inputs and minimising and equipment (PPE) are depreciated over the unexpired
the use of unobservable inputs. PPE is stated at historical cost period of the lease or the estimated
less accumulated depreciation. useful life of the assets, whichever
Share based payments Historical cost includes expenditure is shorter.
The Group operates equity-settled that is directly attributable to the
share based remuneration plans for acquisition of the items. Subsequent An item of property, plant and
its employees Options are measured costs are included in the asset’s equipment is derecognised upon
at fair value at grant date using the carrying amount or recognised as disposal or when there is no
Black Scholes model. The fair value a separate asset, as appropriate, future economic benefit to The
is expensed on a straight line basis only when it is probable that future Group. Gains and losses between
over the vesting period, based on an economic benefits associated with the carrying amount and the
estimate of the number of options the item will flow to Beeks Financial disposal proceeds are taken to
that will eventually vest. Cloud Group PLC and the cost of the profit or loss. Any revaluation
Under The Group’s share option item can be measured reliably. All surplus reserve relating to the item
scheme, share options are granted other repairs and maintenance are disposed of is transferred directly
to directors and selected employees. charged to profit or loss during to retained profits.
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