Tuesday, 9 February 2016
Crowdcube pitch has £3.5m fixed assets
Left Shoe Co has £3.5m on its balance sheet as a fixed asset. When asked what this was, the CEO stated that it was 'mainly' made up of good will from the consolidation of 3 operating companies.
Well most of us know that goodwill is not a fixed asset - its an intangible asset and is also highly dubious in value in a balance sheet for a such a small company. It also appears to be being amortised at a very slow rate given that its goodwill.
All very odd but no doubt given the OK by the Crowdcube OTL Dept.
This industry needs a more professional approach - clearly.