Page 61 - Annual Review 2015-2016
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Notes to the Financial Statements FINANCIAL REVIEW
Year ended 30 April 2016
12. ACQUISITIONS
ACQUISITION OF TRADE AND ASSETS
On 15 May 2015 the LLP acquired the business and assets of Watmores Solicitors Ltd., a company whose primary activity is
Law services, for consideration comprising £1,089,000. The fair value of the assets acquired was £1,022,000.
The useful life of goodwill on acquisition is 5 years. The acquisition has been accounted for under the acquisition method.
The following table sets out the book values of the identifiable assets and liabilities acquired and their fair value to the Group:
Fair value to
Book value Group
£’000 £’000
Fixed assets
Current assets
Amounts recoverable from clients in respect of unbilled work performed 703 703
Debtors 778 778
Cash 33 33
Total assets 1,514 1,514
Creditors
Other creditors (492) (492)
Total liabilities (492) (492)
Net assets 1,022 1,022
Goodwill 67
1,089
Satisfied by
Cash consideration 480
Deferred consideration due within one year 609
1,089
