ACCOUNTS - Final Accounts preparation

BREATHABLOK LIMITED - Company Information

Caseware UK (AP4) 2021.0.152 2021.0.152 2021-07-312021-07-31false0true2020-07-24No description of principal activity0trueThe members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006. 12768117 2020-07-23 12768117 2020-07-24 2021-07-31 12768117 2019-07-24 2020-07-23 12768117 2021-07-31 12768117 c:Director1 2020-07-24 2021-07-31 12768117 c:Director4 2020-07-24 2021-07-31 12768117 d:PlantMachinery 2020-07-24 2021-07-31 12768117 d:PlantMachinery 2021-07-31 12768117 d:PlantMachinery 2020-07-23 12768117 d:DevelopmentCostsCapitalisedDevelopmentExpenditure 2021-07-31 12768117 d:DevelopmentCostsCapitalisedDevelopmentExpenditure 2020-07-23 12768117 d:CurrentFinancialInstruments 2021-07-31 12768117 d:CurrentFinancialInstruments d:WithinOneYear 2021-07-31 12768117 d:ShareCapital 2021-07-31 12768117 d:SharePremium 2021-07-31 12768117 d:RetainedEarningsAccumulatedLosses 2021-07-31 12768117 c:FRS102 2020-07-24 2021-07-31 12768117 c:AuditExemptWithAccountantsReport 2020-07-24 2021-07-31 12768117 c:FullAccounts 2020-07-24 2021-07-31 12768117 c:PrivateLimitedCompanyLtd 2020-07-24 2021-07-31 12768117 d:DevelopmentCostsCapitalisedDevelopmentExpenditure d:InternallyGeneratedIntangibleAssets 2020-07-24 2021-07-31 iso4217:GBP xbrli:pure

Registered number: 12768117

BREATHABLOK LIMITED

UNAUDITED

FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 JULY 2021

BREATHABLOK LIMITED

CONTENTS

	Page
Accountants' report	1
Balance sheet	2
Notes to the financial statements	3 - 7

BREATHABLOK LIMITED

CHARTERED ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF BREATHABLOK LIMITED
FOR THE PERIOD ENDED 31 JULY 2021

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Breathablok Limited for the period ended 31 July 2021 which comprise the Balance sheet 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 https://www.icaew.com /regulation.

This report is made solely to the Board of directors of Breathablok Limited, as a body, in accordance with the terms of our engagement letter dated 6 August 2020. Our work has been undertaken solely to prepare for your approval the financial statements of Breathablok Limited and state those matters that we have agreed to state to the Board of directors of Breathablok Limited, as a body, in this report in accordance with ICAEW Technical Release TECH07/16AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Breathablok Limited and its Board of directors, as a body, for our work or for this report.

It is your duty to ensure that Breathablok 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 Breathablok Limited. You consider that Breathablok Limited is exempt from the statutory audit requirement for the period.

We have not been instructed to carry out an audit or review of the financial statements of Breathablok 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.

BAGINSKY COHEN

CHARTERED ACCOUNTANTS

930 HIGH ROAD

LONDON

N12 9RT

24 July 2022

Page 1

BREATHABLOK LIMITED

REGISTERED NUMBER: 12768117

BALANCE SHEET

AS AT 31 JULY 2021

	2021	2021
Note	£	£

FIXED ASSETS
Intangible assets	4		751,844
Tangible assets	5		21,353
			773,197
CURRENT ASSETS
Debtors: amounts falling due within one year	6	408,778
Cash at bank and in hand	7	2,166,063
		2,574,841
Creditors: amounts falling due within one year	8	(3,100)
NET CURRENT ASSETS			2,571,741

NET ASSETS			3,344,938

CAPITAL AND RESERVES
Called up share capital			1,040
Share premium account			3,334,759
Profit and loss account			9,139
			3,344,938

The directors consider that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the period in question in accordance with section 476 of the Companies Act 2006.

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 financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

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

The Company has opted not to file the statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 24 July 2022.

A. I. SPRAGUE	R. M. BERELOWITZ
Director	Director

Page 2

BREATHABLOK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 JULY 2021

1.ACCOUNTING POLICIES

1.1

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 2).

The following principal accounting policies have been applied:

1.2

FOREIGN CURRENCY TRANSLATION

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

1.3

RESEARCH AND DEVELOPMENT

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if the following specific criteria are met:
• an asset is created that can be identified (such as software and new processes);
• the project from which the asset arises meets the company's criteria for assessing technical feasibility;
• it is probable that the asset created will generate future economic benefits; and
• the development cost of the asset can be measured reliably.
The capitalised development costs are subsequently amortised on a straight line basis over their useful economic lives. At the period ended 31 July 2021, the development phase was ongoing and therefore the asset has not been amortised and the expected life of the project has not been determined.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

Page 3

BREATHABLOK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 JULY 2021

1.ACCOUNTING POLICIES (CONTINUED)

1.4

FINANCE COSTS

Finance costs are charged to profit or loss 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.

1.5

TAXATION

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

1.6

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:

Plant and machinery

10%

per annum

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 profit or loss.

1.7

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.

1.8

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.

1.9

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.

Page 4

BREATHABLOK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 JULY 2021

1.ACCOUNTING POLICIES (CONTINUED)

1.10

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 ordinary shares.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of comprehensive income.

2.	JUDGMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the Company's accounting policies, which are described in note 1, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from those estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods.

EMPLOYEES

The Company has no employees other than the directors, who did not receive any remuneration.

Page 5

BREATHABLOK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 JULY 2021

4.	INTANGIBLE ASSETS

		Development expenditure
		£
	COST
	At 24 July 2020	-
	Additions - internal	751,844
	At 31 July 2021	751,844

	NET BOOK VALUE
	At 31 July 2021	751,844

5.	TANGIBLE FIXED ASSETS

		Plant and machinery
		£
	COST OR VALUATION
	At 24 July 2020	-
	Additions	21,353
	At 31 July 2021	21,353

	NET BOOK VALUE
	At 31 July 2021	21,353

DEBTORS

					2021
					£


	Other debtors	467
	Prepayments and accrued income	245,330
	Corporation tax - provisional R&D tax credit	162,981
		408,778

Page 6

BREATHABLOK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 JULY 2021

7.	CASH AND CASH EQUIVALENTS
		2021
		£

	Cash at bank and in hand	2,166,063

8.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
		2021
		£

	Accruals and deferred income	3,100

Page 7