Ecell Global Limited - Limited company accounts 20.1

REGISTERED NUMBER: 05446826 (England and Wales)

Ecell Global Limited

Report of the Directors and

Unaudited Consolidated Financial Statements for the Year Ended 31 December 2019

Page

Company Information

1

Report of the Directors

2

Chartered Accountants' Report

3

Consolidated Statement of Income and Retained Earnings

4

Consolidated Balance Sheet

5

Company Balance Sheet

7

Notes to the Consolidated Financial Statements

9

Directors:

Mr C Celikkol

Mr M Celikkol

Mr T Celikkol

Secretary:

Mr M Celikkol

Registered office:

C1, Barrow Close

Whitehills Business Park

Blackpool

Lancashire

FY4 5PS

Registered number:

05446826 (England and Wales)

Accountants:

RfM Fylde Limited

Summerdale

Head Dyke Lane

Pilling

Preston

Lancashire

PR3 6SJ

The directors present their report with the financial statements of the company and the group for the year ended

31 December 2019.

Principal activity

The principal activity of the group in the year under review was that of the sale of telecommunications equipment.

Directors

The directors shown below have held office during the whole of the period from 1 January 2019 to the date of this

report.

Mr C Celikkol

Mr M Celikkol

Mr T Celikkol

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small

companies.

On behalf of the board:

Mr C Celikkol - Director

9 July 2020

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the

financial statements of Ecell Global Limited for the year ended 31 December 2019 which comprise the Consolidated

Statement of Income and Retained Earnings, Consolidated Balance Sheet, Company Balance Sheet and the related notes

from the company's and the group's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject

to its ethical and other professional requirements which are detailed within the ICAEW's regulations and guidance at

http://www.icaew.com/en/membership/regulations-standards-and-guidance.

This report is made solely to the Board of Directors of Ecell Global Limited, as a body, in accordance with our terms of

engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Ecell Global

Limited and state those matters that we have agreed to state to the Board of Directors of Ecell Global Limited, as a body,

in this report in accordance with ICAEW Technical Release 07/16AAF. To the fullest extent permitted by law, we do

not accept or assume responsibility to anyone other than Ecell Global Limited the company and the group and the

company's Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that Ecell Global Limited has kept adequate accounting records and to prepare statutory

financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Ecell Global

Limited. You consider that Ecell Global Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Ecell Global Limited. For

this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations

you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

RfM Fylde Limited

Summerdale

Head Dyke Lane

Pilling

Preston

Lancashire

PR3 6SJ

9 July 2020

Turnover

6,867,120

8,615,655

Cost of sales

2,979,589

3,453,789

Gross profit

3,887,531

5,161,866

Administrative expenses

4,041,896

5,302,062

Operating loss

4

(154,365

)

(140,196

)

Interest receivable and similar income

1

-

(154,364

)

(140,196

)

Interest payable and similar expenses

497

-

Loss before taxation

(154,861

)

(140,196

)

Tax on loss

5

(39,413

)

(3,949

)

Loss for the financial year

(115,448

)

(136,247

)

Retained earnings at beginning of year as previously reported

542,172

766,299

Prior year adjustment - corrections of material errors

7

-

(87,880

)

Retained earnings for the group at end of year

426,724

542,172

Loss attributable to:

Owners of the parent

(115,448

)

(136,247

)

Fixed assets

Tangible assets

8

494,769

717,736

Investments

9

-

-

494,769

717,736

Current assets

Stocks

76,145

84,462

Debtors

10

1,484,293

1,187,545

Cash at bank and in hand

19,843

364,921

1,580,281

1,636,928

Creditors

Amounts falling due within one year

11

1,004,527

1,096,915

Net current assets

575,754

540,013

Total assets less current liabilities

1,070,523

1,257,749

Creditors

Amounts falling due after more than one year

12

(170,602

)

(211,063

)

Provisions for liabilities

14

(2,191

)

(33,514

)

Net assets

897,730

1,013,172

Capital and reserves

Called up share capital

15

471,006

471,000

Retained earnings

426,724

542,172

Shareholders' funds

897,730

1,013,172

The company and the group are entitled to exemption from audit under Section 477 of the Companies Act 2006 for the

year ended 31 December 2019.

The members have not required the company and the group to obtain an audit of its financial statements for the year

ended 31 December 2019 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the group keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company and the group as at the end of each financial year and of the group's profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company and the group.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the

small companies regime.

The financial statements were approved by the Board of Directors and authorised for issue on 9 July 2020 and were

signed on its behalf by:

Mr C Celikkol - Director

Fixed assets

Tangible assets

8

494,770

708,762

Investments

9

120,033

120,033

614,803

828,795

Current assets

Stocks

63,112

58,955

Debtors

10

1,350,196

1,540,363

Cash at bank

-

103,027

1,413,308

1,702,345

Creditors

Amounts falling due within one year

11

1,193,494

1,435,054

Net current assets

219,814

267,291

Total assets less current liabilities

834,617

1,096,086

Creditors

Amounts falling due after more than one year

12

(170,602

)

(211,063

)

Provisions for liabilities

14

(2,191

)

(33,514

)

Net assets

661,824

851,509

Capital and reserves

Called up share capital

15

471,000

471,000

Retained earnings

190,824

380,509

Shareholders' funds

661,824

851,509

Company's loss for the financial year

(189,685

)

(110,002

)

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2019 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

The financial statements were approved by the Board of Directors and authorised for issue on 9 July 2020 and were signed on its behalf by:

Mr C Celikkol - Director

1.	Statutory information

Ecell Global Limited is a private company, limited by shares , registered in England and Wales. The company's

registered number and registered office address can be found on the General Information page.

2.	Accounting policies

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Basis of consolidation

The group financial statements consolidate the accounts of Ecell Global Limited and all its subsidiary

undertakings made up to 31 December each year.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates,

value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost of building

Computer software

-

20-33% on cost

Fixtures and fittings

-

20-33% on cost

Computer equipment

-

10-50% on cost

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow

moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of

Income and Retained Earnings, except to the extent that it relates to items recognised in other comprehensive

income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or

substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance

sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from

those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that

have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the

timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they

will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the

balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at

the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held

under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases

are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element

of the future payments is treated as a liability.

Pension costs and other post-retirement benefits

The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme

are charged to profit or loss in the period to which they relate.

3.	Employees and directors

The average number of employees during the year was 11 (2018 - 13 ) .

The average number of employees by undertakings that were proportionately consolidated during the year was 7

(2018 - 7 ) .

4.	Operating loss

The operating loss is stated after charging/(crediting):

2019

2018

as restated

£

£

Depreciation - owned assets

199,801

236,849

Depreciation - assets on hire purchase contracts

37,438

40,527

Profit on disposal of fixed assets

-

(1,976

)

5.

Taxation

Analysis of the tax credit

The tax credit on the loss for the year was as follows:

2019

2018

as restated

£

£

Current tax:

UK corporation tax

(11,466

)

13,289

Overseas tax

3,376

20,150

Total current tax

(8,090

)

33,439

Deferred tax

(31,323

)

(37,388

)

Tax on loss

(39,413

)

(3,949

)

6.	Individual income statement

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not

presented as part of these financial statements.

7.	Prior year adjustment

The prior year adjustment has arisen as a result of a prior year adjustment in the US subsidiary in 2017 in respect

of additional depreciation provided in their accounts after the finalisation of the 2017 consolidated group

accounts.

8.	Tangible fixed assets

Group

Fixtures

Freehold

Computer

and

Computer

property

software

fittings

equipment

Totals

£

£

£

£

£

Cost

At 1 January 2019

385,805

882,642

139,707

936,188

2,344,342

Additions

-

-

3,437

10,835

14,272

At 31 December 2019

385,805

882,642

143,144

947,023

2,358,614

Depreciation

At 1 January 2019

36,518

651,120

119,220

819,748

1,626,606

Charge for year

19,470

161,342

16,325

40,102

237,239

At 31 December 2019

55,988

812,462

135,545

859,850

1,863,845

Net book value

At 31 December 2019

329,817

70,180

7,599

87,173

494,769

At 31 December 2018

349,287

231,522

20,487

116,440

717,736

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Freehold

Computer

Computer

property

software

equipment

Totals

£

£

£

£

Cost

At 1 January 2019

25,840

71,075

118,638

215,553

Additions

-

-

10,835

10,835

At 31 December 2019

25,840

71,075

129,473

226,388

Depreciation

At 1 January 2019

6,029

31,984

65,730

103,743

Charge for year

2,584

14,215

20,639

37,438

At 31 December 2019

8,613

46,199

86,369

141,181

Net book value

At 31 December 2019

17,227

24,876

43,104

85,207

At 31 December 2018

19,811

39,091

52,908

111,810

Company

Fixtures

Freehold

Computer

and

Computer

property

software

fittings

equipment

Totals

£

£

£

£

£

Cost

At 1 January 2019

373,868

882,642

120,885

830,371

2,207,766

Additions

-

-

3,437

10,835

14,272

At 31 December 2019

373,868

882,642

124,322

841,206

2,222,038

Depreciation

At 1 January 2019

32,078

651,120

101,876

713,930

1,499,004

Charge for year

11,972

161,342

14,847

40,103

228,264

At 31 December 2019

44,050

812,462

116,723

754,033

1,727,268

Net book value

At 31 December 2019

329,818

70,180

7,599

87,173

494,770

At 31 December 2018

341,790

231,522

19,009

116,441

708,762

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Freehold

Computer

Computer

property

software

equipment

Totals

£

£

£

£

Cost

At 1 January 2019

25,840

71,075

118,638

215,553

Additions

-

-

10,835

10,835

At 31 December 2019

25,840

71,075

129,473

226,388

Depreciation

At 1 January 2019

6,029

31,984

65,730

103,743

Charge for year

2,584

14,215

20,639

37,438

At 31 December 2019

8,613

46,199

86,369

141,181

Net book value

At 31 December 2019

17,227

24,876

43,104

85,207

At 31 December 2018

19,811

39,091

52,908

111,810

9.	Fixed asset investments

Company

2019

2018

as restated

£

£

Shares in group undertakings

28,033

28,033

Loans to group undertakings

92,000

92,000

120,033

120,033