iDigital Investments Ltd - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 09238878 (England and Wales)

Unaudited Financial Statements for the Year Ended 31 March 2020

for

iDigital Investments Ltd

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

J H Page

P C Unsworth

H E Page

R R Unsworth

REGISTERED OFFICE:

Unit F2

102 Kirkstall Road

Leeds

West Yorkshire

LS3 1JA

REGISTERED NUMBER:

09238878 (England and Wales)

ACCOUNTANTS:

Haines Watts

Chartered Accountants

Sterling House

1 Sheepscar Court

Meanwood Road

Leeds

West Yorkshire

LS7 2BB

BANKERS:

Natwest Bank PLC

8 Park Row

Leeds

LS1 5HD

FIXED ASSETS

Tangible assets

5

5,297

14,155

Investments

6

1,945,985

1,946,329

1,951,282

1,960,484

CURRENT ASSETS

Debtors

7

751,180

727,873

Cash at bank

193,747

172,376

944,927

900,249

CREDITORS

Amounts falling due within one year

8

616,495

487,238

NET CURRENT ASSETS

328,432

413,011

TOTAL ASSETS LESS CURRENT LIABILITIES

2,279,714

2,373,495

PROVISIONS FOR LIABILITIES

61

180

NET ASSETS

2,279,653

2,373,315

CAPITAL AND RESERVES

Called up share capital

9

1,901,570

1,925,600

Capital redemption reserve

24,030

-

Retained earnings

354,053

447,715

SHAREHOLDERS' FUNDS

2,279,653

2,373,315

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2020 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 and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 17 December 2020 and were signed on its behalf by:

J H Page - Director

1.	STATUTORY INFORMATION

iDigital Investments Ltd 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 Company Information page.

2.	STATEMENT OF COMPLIANCE

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.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Going concern

The financial statements have been prepared on a going concern basis. The Directors have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment. In particular, in response to the COVID-19 pandemic, the Directors have tested their cash flow analysis to take into account the impact on their business of possible scenarios brought on by the impact of COVID-19, alongside the measures that they can take to mitigate the impact. Based on these assessments, given the measures that could be undertaken to mitigate the current adverse conditions, and the current resources available, the Directors have concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts.

Preparation of consolidated financial statements

The financial statements contain information about iDigital Investments Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements.

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Leasehold improvements - 25%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of income and retained earnings.

Investments in subsidiaries

Investments in subsidiaries are measured at cost less accumulated impairment.

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.

Taxation

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

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 income and retained earnings 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.

Interest income

Interest income is recognised in the Statement of income and retained earnings using the effective interest method.

Finance costs

Finance costs are charged to the Statement of income and retained earnings over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

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.

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.

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.

Operating leases

Rentals paid under operating leases are charged to the Statement of income and retained earnings on a straight line basis over the lease term.

Borrowing costs

All borrowing costs are recognised in the Statement of income and retained earnings in the year in which they are incurred.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when fully paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 5 (2019 - 5 ) .

5.	TANGIBLE FIXED ASSETS

Leasehold

improvements

£

COST

At 1 April 2019

and 31 March 2020

37,930

DEPRECIATION

At 1 April 2019

23,775

Charge for year

8,858

At 31 March 2020

32,633

NET BOOK VALUE

At 31 March 2020

5,297

At 31 March 2019

14,155

6.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 April 2019

1,946,329

Exchange differences

(344

)

At 31 March 2020

1,945,985

NET BOOK VALUE

At 31 March 2020

1,945,985

At 31 March 2019

1,946,329

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

574,699

649,401

Amounts owed by group undertakings

160,330

50,000

Other debtors

-

5,662

Prepayments and accrued income

16,151

22,810

751,180

727,873

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade creditors

10,530

77,517

Amounts owed to group undertakings

-

37,322

Tax

457,040

168,572

Social security and other taxes

835

9,152

VAT

133,241

125,531

Other creditors

237

37,316

Accruals and deferred income

14,612

31,828

616,495

487,238

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

190,020,000

Ordinary

0.01

1,900,200

1,900,200

49,000

A Ordinary

0.01

490

9,070

88,000

B Ordinary

0.01

880

16,330

1,901,570

1,925,600

On 4 March 2020 the company redeemed at par 8,580 Ordinary A shares and 15,450 Ordinary B shares. An amount of £24,030 in respect of this transaction has been recognised as a capital redemption reserve.

On 9 March 2020 the Ordinary shares, Ordinary A shares and Ordinary B shares were subdivided by 100, converting them from £1 shares to £0.01 shares.

10.	RELATED PARTY TRANSACTIONS

During the period the company charged an entity under common control £6,700 (2019: £31,900) in respect of management services. Included in trade debtors at the period end is a balance of £Nil (2019: £13,200) due to the company in respect of these charges.

The company has taken advantage of exemption, under the terms of Financial Reporting Standard

102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

No further transactions with related parties were undertaken such as are required to be disclosed under Section 1A of FRS 102.

11.	PARENT COMPANY

The parent company at year end was iDigital Investments Holdings Limited, a company registered in England and Wales, which acquired the entire share capital in March 2020.