Background (Europe) Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 11231346 (England and Wales)

Background (Europe) Limited

Unaudited Financial Statements

for the Year Ended 30 June 2020

Page

Chartered accountants' report

1

Statement of financial position

2

Notes to the financial statements

3

The following reproduces the text of the report prepared for the director in respect of the company's annual unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file a Statement of financial position. Readers are cautioned that the Income statement and certain other primary statements and the Director's report are not required to be filed with the Registrar of Companies.

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Background (Europe) Limited for the year ended 30 June 2020 which comprise the Income statement, Statement of financial position 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 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 director of Background (Europe) Limited in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Background (Europe) Limited and state those matters that we have agreed to state to the director of Background (Europe) Limited 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 Background (Europe) Limited and its director for our work or for this report.

It is your duty to ensure that Background (Europe) 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 Background (Europe) Limited. You consider that Background (Europe) 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 Background (Europe) 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.

Moore Thompson

Unit 7, Swan Court

Forder Way

Hampton

Peterborough

Cambridgeshire

PE7 8GX

25 February 2021

Fixed assets

Tangible assets

5

354

708

Current assets

Debtors

6

8,051

11,378

Cash at bank and in hand

17,863

34,813

25,914

46,191

Creditors

Amounts falling due within one year

7

40,192

31,947

Net current (liabilities)/assets

(14,278

)

14,244

Total assets less current liabilities

(13,924

)

14,952

Capital and reserves

Called up share capital

8

100

100

Retained earnings

(14,024

)

14,852

Shareholders' funds

(13,924

)

14,952

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 June 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 June 2020 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his 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 Income statement has not been delivered.

The financial statements were approved by the director and authorised for issue on 23 February 2021 and were signed by:

Mr S J Philby - Director

1.	Statutory information

Background (Europe) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address are as below:

Registered number:

11231346

Registered office:

Unit 7, Swan Court

Forder Way

Hampton

Peterborough

Cambridgeshire

PE7 8GX

The presentation currency of the financial statements is the Pound Sterling (£).

2.	Statement of compliance

These statements have been prepared in compliance with Section 1A of FRS 102, ' The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3.	Accounting policies

Basis of preparing the financial statements

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

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

Tangible fixed assets are initially recognised at cost , and subsequently stated at cost less any accumulated depreciation and impairment loss. Any tangible fixed assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Office equipment - 3 years straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired. Prior impairment are also reviewed for possible reversal at each reporting date.

For the purpose of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent of cash inflows from other assets or group of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units

4.	Employees and directors

The average number of employees during the year was 2 (2019 - 2 ) .

5.	Tangible fixed assets

Computer

equipment

£

Cost

At 1 July 2019

and 30 June 2020

1,062

Depreciation

At 1 July 2019

354

Charge for year

354

At 30 June 2020

708

Net book value

At 30 June 2020

354

At 30 June 2019

708

6.

Debtors: amounts falling due within one year

2020

2019

£

£

Trade debtors

-

10,835

Other debtors

3,475

275

Inter-company loan

100

100

VAT

2,461

168

Deferred tax asset

2,015

-

8,051

11,378

7.

Creditors: amounts falling due within one year

2020

2019

£

£

Trade creditors

7,086

-

Corporation tax

-

3,475

PAYE & NI

15,148

1,070

Other creditors

72

781

Inter-company creditor

13,916

20,000

Accrued expenses

3,970

6,621

40,192

31,947

8.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

100

Ordinary

£1.00

100

100