Talk:Freetrade

'Freetrade' word trademark

Freetrade was unsuccessful in its 'Freetrade' word application in the EU. Does this mean that Freetrade has to pay the trademark holder a fee to use the 'Freetrade' word in the EU? If so, what's the estimated cost per year?

Series B funding amount

In March 2021, the company said that it raised £50 million in an oversubscribed Series B.

The company annual report financial statements shows that in the year ended 30th September 2021, the total amount raised in the period is £35 million, a difference of £15 million from the £50 million. Is the main reason for the difference becasue the raised amount is based on certain milestones being achieved? If so, what's the milestones? If not, what's the reason?

Groupship Consulting Limited

In 2017, the company wrote, "[t]he Company...has a consultancy agreement with Groupship in relation to book keeping, accounting and general administration. Adam Dodds, a director of the Company, is also a director of Groupship. The fee under the current agreement is for £6,000 per quarter."

£6k per quarter seems materially above the market rate. How was the rate determined, and why was the agreement subsequently terminated? If the reason is because of a

Freetrade's proprietary brokerage system

The Crowdcube Freetrade campaign page details that Tim is the original architect of the company's proprietary brokerage system, the Freetrade Cloud Platform.

It's reasonable to assume that the CTO of the company when the brokerage system was first released is the original architect of the system.

Is there any evidence to confirm the actual architect?

London Stock Exchange member

Freetrade details that it's a member of the London Stock Exchange.

I think the main benefit of being a LSE member is direct trading access to the LSE, which I assume means that members can buy and sell securities listed on the exchange, ultimately leading to reduced brokerage fees and commission. Please confirm that reduced brokerage fees and commissions is the main benefit? If so, what's the fee difference relatively to not being a member?

Work-in-Progress

Year	1	2	3	4	5	6
Year end date	30/09/2016	30/09/2017	30/09/2018	30/09/2019	30/09/2020	30/09/2021
	Historic	Historic	Historic	Historic	Historic	Historic
Revenue breakdown
Transaction revenue (£'000)					1,323	9,048
Recurring revenue (£'000)					338	3,274
Transaction revenue as a proportion of total revenue (%)					80	74
Recurring revenue as a proportion of total revenue (%)					20	26
Operating loss
Operating loss is stated after charging:
Depreciation of plant, property and equipment					84	116
Depreciation of right-of-use assets					0	215
Amortisation of intangible assets					592	1,143
Share-based payments					2,022	818
Auditor's remuneration
For the audit of Freetrade Limited and the consolidated financial statements					65	81
Audit related assurance services					138	96
Non-audited related services					0	30
Total					203	207
Employee costs
Staff costs (including Directors) comprise:
Wages and salaries					3,983	8,769
Social security costs					455	1,044
Pension costs					188	355
Share-based payments					2,022	818
Total					6,648	10,986
The number of permanent employees (excluding Directors) was:
As at 30 September					80	201
Monthly average for the financial year					61	118
Taxation
Current tax:
Current period
Adjustments in respect of prior periods
Total current tax
Deferred tax:
Origination and reversal of temporary differences
Adjustment in respect of prior periods
Total deferred tax
Total income tax expense
Profit before tax
Current corporation tax of 19%
Prior year adjustment
Share-based payments
Non-deductible expenses
Difference in overseas tax rates
Deferred tax not recognised
R&D tax credit
Other
Total income tax credit
Investments:
Investment in Freetrade Europa AB					0	544
Property, plant and equipment
Cost:
Computer equipment					203	432
Office equipment					38	127
Right-of-use assets					0	5,499
Total					241	6,058
Accumulate depreciation:
Computer equipment					121	226
Office equipment					26	37
Right-of-use assets					0	215
Total					147	478
Net book value:
Computer equipment					82	206
Office equipment					12	90
Right-of-use assets					0	5,284
Total					94	5,580
Intangible assets
Cost
Accumulated amortisation
Net book value
Trade and other receivables
Trade receivables					127	397
Less: provision for impairment of trade receivables					(87)	(309)
Prepayment and accrued income					409	5,476
Amounts due from subsdiary undertakings.					0	300
Other receivables					2,312	3,017
Total					2,761	8,881
Current					2,761	8,150
Non-current					0	731
Trade and other payables
Trade payables					421	1,880
Accruals					965	2,960
Deferred revenue					0	183
Other taxation and social security					0	99
Other payables					75	109
Total					1,461	5,231
Key management personnel
Salary, benefits and bonus					447	377
Defined contribution pension cost					24	16
Share-based payments					1,585	411
Total					2,056	804
Directors' emoluments for the year included in staff costs are as follows:
Salary, benefits and bonus					297	356
Defined contribution pension cost					16	16
Share-based payments					960	610
Total					1,273	982
In respect of the highest paid Director
Salary, benefits and bonus					130	151
Defined contribution pension cost					7	7
Share-based payments					756	411
Total					893	569
Other related parties
Blacher Limited					19	36