| Pax Bands Limited |
| Notes to the Accounts |
| for the year ended 31 December 2020 |
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| 1 |
Accounting policies |
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Basis of preparation |
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The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard). |
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The accounts present information about Pax Bands Ltd as an individual undertaking and not about its group. As per FRS 102 1A.21 As Pax Bands is the parent company of "small" entities and therefore is not required to prepare consolidated financial statements |
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Investments |
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Investments in subsidiaries, associates and joint ventures are measured at cost less any accumulated impairment losses. Listed investments are measured at fair value. Unlisted investments are measured at fair value unless the value cannot be measured reliably, in which case they are measured at cost less any accumulated impairment losses. Changes in fair value are included in the profit and loss account. |
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Going Concern |
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At the balance sheet date, the companies liabilities exceeded its assets. The company has received assurance from the shareholders that they will continue to give financial support to the company for a period of at least twelve months from the date of approval of these financial statements sufficient to enable the company to meet its liabilities as and when they fall due for the foreseeable future and defer repayment of its loans in favour of other creditors. |
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On this basis, the directors consider it appropriate to prepare the financial statements on the going concern basis. However, should the financial support mentioned above not be forthcoming, the going concern basis used in preparing the company's financial statements may be invalid and adjustments would have to be made necessary should this basis not continue to be appropriate. |
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Debtors |
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Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
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Creditors |
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Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
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Foreign currency translation |
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Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss. |
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| 2 |
Employees |
2020 |
|
2019 |
| Number |
Number |
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Average number of persons employed by the company |
0 |
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0 |
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| 3 |
Investments |
| Investments in |
| subsidiary |
| undertakings |
| £ |
|
Cost |
|
At 1 January 2020 |
781 |
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At 31 December 2020 |
781 |
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| 4 |
Subsidiary Undertakings |
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The following are subsidiary undertakings of the company: |
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Name |
Country of Incorporation |
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Class of Share |
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Holding |
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Principle Activity |
|
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The Ellu Company LLC |
United States of America |
|
Ordinary |
100% |
Product Manufacturing |
|
Ellu Company 2019 S.L. |
Spain |
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Ordinary |
100% |
Product Manufacturing |
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The aggregate of the share capital and reserves as at 31 December 2020 and of the profit or loss for the year ended on that date for the subsidiary undertakings was as follows: |
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Aggregate of Share Capital and Reserves |
Profit (loss) |
| £ |
£ |
|
The Ellu Company LLC |
(131,247) |
|
(2,463) |
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Ellu Company 2019 S.L. |
(19,665) |
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(216,601) |
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| 5 |
Debtors |
2020 |
|
2019 |
| £ |
£ |
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Amounts owed by group undertakings and undertakings in which the company has a participating interest |
|
2,353,447 |
|
1,366,047 |
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Other debtors |
4,675 |
|
95,435 |
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2,358,122 |
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1,461,482 |
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| 6 |
Creditors: amounts falling due within one year |
2020 |
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2019 |
| £ |
£ |
|
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Trade creditors |
20,412 |
|
2,250 |
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Other creditors |
4,133,585 |
|
3,674,374 |
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4,153,997 |
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3,676,624 |
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| 7 |
Related party transactions |
2020 |
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2019 |
| £ |
£ |
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Director's Loan Balance Outstanding |
4,127,596 |
|
3,598,179 |
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During the year the company received two further loans from a director, who is also a shareholder, totalling £531,170 (2019 : £1,600,000) and the loan balance was reduced by £1,753, being the nominal value of shares issued to the director during the year. This brings the total owed by the company to the director-shareholder to £4,127,596 (2019 : £3,598,179), as shown above. These loans are interest free and repayable on demand. |
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During the year 4,105 new shares were issued at par value to existing shareholders, all of whom are also directors, pursuant to an agreement signed in 2015. Of the 4,105 shares issued, 1,753 were issued for consideration (the consideration being a reduction of the loan owed to the shareholder concerned) and 2,352 were issued pursuant to an incentivisation agreement. |
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| 8 |
Other information |
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Pax Bands Limited is a private company limited by shares and incorporated in England. Its registered office is: |
|
10 Old Burlington Street |
|
Mayfair |
|
London |
|
W1S 3AG |
