Company Registration No. SC374446 (Scotland)
FLEXLAW LTD.
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2018
PAGES FOR FILING WITH REGISTRAR
FLEXLAW LTD.
COMPANY INFORMATION
Director
Mr M Harrison
Company number
SC374446
Registered office
6 St Colme Street
Edinburgh
EH3 6AD
Accountants
Geoghegans Accountancy Limited
Chartered Accountants
6 St Colme Street
Edinburgh
EH3 6AD
FLEXLAW LTD.
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
FLEXLAW LTD.
BALANCE SHEET
AS AT
31 MARCH 2018
31 March 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Intangible assets
69,000
74,750
Tangible assets
4
16,368
19,043
Current assets
Work in progress
48,894
19,648
Debtors
5
27,700
27,904
Cash at bank and in hand
110,282
106,183
186,876
153,735
Creditors: amounts falling due within one year
6
(83,616)
(71,138)
Net current assets
103,260
82,597
Total assets less current liabilities
188,628
176,390
Creditors: amounts falling due after more than one year
7
(100,000)
(130,000)
Provisions for liabilities
(15)
(94)
Net assets
88,613
46,296
Capital and reserves
Called up share capital
8
100
100
Profit and loss reserves
88,513
46,196
Total equity
88,613
46,296
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 March 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The director acknowledges his responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime.
The financial statements were approved and signed by the director and authorised for issue on 11 December 2018
Mr M Harrison
Director
Company Registration No. SC374446
FLEXLAW LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2018
- 2 -
1
Accounting policies
Company information
Flexlaw Ltd. is a private company limited by shares incorporated in Scotland. The registered office is 6 St Colme Street, Edinburgh, EH3 6AD.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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 financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover represents amounts receivable for services net of VAT.
1.3
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 20years.
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Land and buildings - Freehold
10% Straight Line
Plant and machinery
33% on Cost
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Work in progress
Work in progress is valued at the lower of cost and net realisable value.
FLEXLAW LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
1
Accounting policies
(Continued)
- 3 -
1.6
Cash at bank and in hand
Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Debtors
Debtors with no stated interest rate or receivable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account.
Creditors
Creditors with no stated interest rate and payable within one year are recorded at transaction price.
All interest bearing loans and borrowings which are basic financial instruments are initially recorded at the present value of cash payable. After initial recognition they are measured at amortised cost.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
FLEXLAW LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
1
Accounting policies
(Continued)
- 4 -
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 2 (2017 - 1).
3
Intangible fixed assets
Goodwill
£
Cost
At 1 April 2017 and 31 March 2018
115,000
Amortisation and impairment
At 1 April 2017
40,250
Amortisation charged for the year
5,750
At 31 March 2018
46,000
Carrying amount
At 31 March 2018
69,000
At 31 March 2017
74,750
FLEXLAW LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
- 5 -
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 April 2017 and 31 March 2018
22,114
4,166
26,280
Depreciation and impairment
At 1 April 2017
3,626
3,612
7,238
Depreciation charged in the year
2,211
463
2,674
At 31 March 2018
5,837
4,075
9,912
Carrying amount
At 31 March 2018
16,277
91
16,368
At 31 March 2017
18,489
554
19,043
5
Debtors
2018
2017
Amounts falling due within one year:
£
£
Trade debtors
24,747
24,952
Other debtors
2,953
2,952
27,700
27,904
6
Creditors: amounts falling due within one year
2018
2017
£
£
Corporation tax, other taxation and social security
27,515
30,201
Other creditors
56,101
40,937
83,616
71,138
7
Creditors: amounts falling due after more than one year
2018
2017
£
£
Other creditors
100,000
130,000
FLEXLAW LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
- 6 -
8
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
100 Ordinary of £1 each
100
100
100
100
9
Related party transactions
Included in other creditors is an amount of £122,705 (2017: £151,870) due by the company to Mr M Harrison, director of the company. There are no fixed terms for repayment and no interest is due. However, the director considers £100,000 (2017: £130,000) to be of a long-term nature.
The directors are of the opinion that all other related party transactions are conducted under normal market conditions and on an arm's length basis and therefore do not need to be disclosed under FRS 102 section 1A appendix C.
2018-03-312017-04-01falseCCH SoftwareCCH Accounts Production 2018.220No description of principal activity11 December 2018Mr M HarrisonSC3744462017-04-012018-03-31SC374446bus:Director12017-04-012018-03-31SC374446bus:RegisteredOffice2017-04-012018-03-31SC3744462018-03-31SC3744462017-03-31SC374446core:NetGoodwill2018-03-31SC374446core:NetGoodwill2017-03-31SC374446core:LandBuildings2018-03-31SC374446core:OtherPropertyPlantEquipment2018-03-31SC374446core:LandBuildings2017-03-31SC374446core:OtherPropertyPlantEquipment2017-03-31SC374446core:CurrentFinancialInstruments2018-03-31SC374446core:CurrentFinancialInstruments2017-03-31SC374446core:Non-currentFinancialInstruments2018-03-31SC374446core:Non-currentFinancialInstruments2017-03-31SC374446core:ShareCapital2018-03-31SC374446core:ShareCapital2017-03-31SC374446core:RetainedEarningsAccumulatedLosses2018-03-31SC374446core:RetainedEarningsAccumulatedLosses2017-03-31SC374446core:ShareCapitalOrdinaryShares2018-03-31SC374446core:ShareCapitalOrdinaryShares2017-03-31SC374446core:Goodwill2017-04-012018-03-31SC374446core:LandBuildingscore:OwnedOrFreeholdAssets2017-04-012018-03-31SC374446core:PlantMachinery2017-04-012018-03-31SC374446core:NetGoodwill2017-03-31SC374446core:NetGoodwill2017-04-012018-03-31SC374446core:LandBuildings2017-03-31SC374446core:OtherPropertyPlantEquipment2017-03-31SC3744462017-03-31SC374446core:LandBuildings2017-04-012018-03-31SC374446core:OtherPropertyPlantEquipment2017-04-012018-03-31SC374446bus:OrdinaryShareClass12017-04-012018-03-31SC374446bus:OrdinaryShareClass12018-03-31SC374446bus:PrivateLimitedCompanyLtd2017-04-012018-03-31SC374446bus:FRS1022017-04-012018-03-31SC374446bus:AuditExemptWithAccountantsReport2017-04-012018-03-31SC374446bus:SmallCompaniesRegimeForAccounts2017-04-012018-03-31SC374446bus:FullAccounts2017-04-012018-03-31xbrli:purexbrli:sharesiso4217:GBP