ACCOUNTS - Final Accounts preparation

ALGO42 LIMITED - Company Information

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Registered number: 10160700

ALGO42 LIMITED

UNAUDITED

FINANCIAL STATEMENTS

INFORMATION FOR FILING WITH THE REGISTRAR

FOR THE YEAR ENDED 31 DECEMBER 2018

ALGO42 LIMITED

REGISTERED NUMBER: 10160700

BALANCE SHEET

AS AT 31 DECEMBER 2018

		2018		2017
Note		£		£


Current assets
Debtors: amounts falling due within one year	4	39,983		-
Cash at bank and in hand	5	9,018		1,000
		49,001		1,000
Creditors: amounts falling due within one year	6	(294,208)		-
Net current (liabilities)/assets			(245,207)		1,000
Total assets less current liabilities			(245,207)		1,000

Net (liabilities)/assets			(245,207)		1,000

Capital and reserves
Called up share capital	1,000	1,000
Profit and loss account	(246,207)	-
	(245,207)	1,000

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ALGO42 LIMITED

REGISTERED NUMBER: 10160700

BALANCE SHEET (CONTINUED)

AS AT 31 DECEMBER 2018

The directors consider that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The Company has opted not to file the statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 23 December 2019.

P C G Witheridge

Director

The notes on pages 3 to 6 form part of these financial statements.

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ALGO42 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

1.	General information

ALGO42 Limited is a private company limited by shares incorporated in England and Wales (no. 10160700). The registered office is 32 Portland Terrrace, Newcastle upon Tyne, NE2 1QP.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The following principal accounting policies have been applied:

2.2

Going concern

The financial statements have been prepared on a going concern basis, notwithstanding that the company had net liabilities of £245,207, on the basis that the company has the continued financial support of its ultimate parent company, Grove Solutions Limited.

2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

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ALGO42 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

2.Accounting policies (continued)

2.4

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in the Statement of Comprehensive Income when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

2.5

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.6

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.7

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.8

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

Employees

The average monthly number of employees, including directors, during the year was 6 (2017 - 0).

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ALGO42 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

Debtors

					2018	2017
					£	£


Trade debtors	6,000	-
Other debtors	2,712	-
Prepayments and accrued income	31,271	-
	39,983	-

5.	Cash and cash equivalents
		2018	2017
		£	£

Cash at bank and in hand	9,018	1,000
	9,018	1,000

6.	Creditors: Amounts falling due within one year
		2018	2017
		£	£

Amounts owed to group undertakings	280,494	-
Other taxation and social security	13,614	-
Other creditors	100	-
	294,208	-

7.	Financial instruments
		2018	2017
		£	£

	Financial assets
	Financial assets measured at fair value through profit or loss	9,018	1,000

Financial assets measured at fair value through profit or loss comprise cash at bank and in hand.

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ALGO42 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

8.	Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £906 (2017 - £Nil) . Contributions totalling £Nil (2017 - £Nil) were payable to the fund at the balance sheet date and are included in creditors.

9.	Controlling party

The ultimate parent company is Grove Solutions Limited a private company limited by shares incorporated in England and Wales (no. 03786249). The registered office is 32 Portland Terrrace, Newcastle upon Tyne, NE2 1QP.

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