We_Are_Nations_Limited - Accounts

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of We are nations limited for the year ended 31 December 2019 which comprise and the related notes from the company’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 at http://www.icaew.com/en/members/regulations-standards-and-guidance/

This report is made solely to the Board of Directors of We Are Nations Limited, as a body, in accordance with the terms of our engagement letter dated 4 April 2018. Our work has been undertaken solely to prepare for your approval the financial statements of We Are Nations Limited and state those matters that we have agreed to state to the Board of Directors of We Are Nations Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than We Are Nations Limited and its Board of Directors as a body, for our work or for this report.

It is your duty to ensure that We Are Nations 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 profit of We Are Nations Limited. You consider that We Are Nations 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 We Are Nations 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.

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 31 December 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

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 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.

We are nations limited is a private company limited by shares incorporated in England and Wales. The registered office is 55 Loudoun, St.John's wood, London, United Kingdom, NW8 0DL.

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. The principal accounting policies adopted are set out below.

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents are basic financial assets that include cash in hand and deposits held at call with banks.

The tax expense represents the sum of the tax currently payable and deferred 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.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation are included in the profit and loss account for the period.

The average monthly number of persons (including directors) employed by the company during the year is 2 (2018: 2).

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

There were no consultancy fees paid to the director during the year. (PE 2018: Consultancy fees to Bright Licensing Limited of £52,000 in which A Romer was also a Director).

During the year the company entered into the following transactions with related parties:

At the reporting date an amount of £43,634 (2018: £63,224) was owed to We Are Nations BVBA, a company wholly owned by We Are Nations Inc, the parent company of We Are Nations Limited and an amount of £89,649 (2018: £78,956) was owed to We Are Nations Inc, US parent company of We Are Nations Limited.

The parent and ultimate controlling party is We Are Nations Inc. a company incorporated in the US.

The director identified an error in the closing stock, cost of sales and royalty charges that had been reported in the financial statements for the period ended 31 December 2018. The comparative figures in these financial statements therefore include a prior year adjustment. These corrections has decreased stock by £54,426, increased cost of sales by £71,521, reduced royalty charges by £43,707 and therefore this has also reduced the corporation tax liability to nil from £5,953. There has been a total £65,567 reduction in the net reserves of the company.