Biz2Mobile Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 04474324 (England and Wales)

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021

FOR

BIZ2MOBILE LIMITED

Page

Company Information

1

Balance Sheet

2

Statement of Changes in Equity

3

Notes to the Financial Statements

4

DIRECTORS:

Ms J H Purves

K J Lomax

W J Flind

J D G Savage

Dolphin Head Property Limited

SECRETARY:

M A Linas

REGISTERED OFFICE:

Bee House, 140 Eastern Avenue

Milton Park

Abingdon

Oxfordshire

OX14 4SB

REGISTERED NUMBER:

04474324 (England and Wales)

AUDITORS:

Stein Richards

Chartered Accountants and Statutory Auditor

10 London Mews

Paddington

London

W2 1HY

FIXED ASSETS

Intangible assets

4

8,418,295

7,535,622

Tangible assets

5

12,152

17,725

8,430,447

7,553,347

CURRENT ASSETS

Debtors

6

3,744,393

3,013,289

Cash at bank and in hand

909,666

683,168

4,654,059

3,696,457

CREDITORS

Amounts falling due within one year

7

409,048

419,267

NET CURRENT ASSETS

4,245,011

3,277,190

TOTAL ASSETS LESS CURRENT LIABILITIES

12,675,458

10,830,537

CREDITORS

Amounts falling due after more than one year

8

(974,379

)

(979,378

)

ACCRUALS AND DEFERRED INCOME

(1,051,235

)

(826,278

)

NET ASSETS

10,649,844

9,024,881

CAPITAL AND RESERVES

Called up share capital

3,769,824

2,106,769

Share premium

11,851,744

11,851,744

Retained earnings

(4,971,724

)

(4,933,632

)

SHAREHOLDERS' FUNDS

10,649,844

9,024,881

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 Board of Directors and authorised for issue on 27 June 2022 and were signed on its behalf by:

Ms J H Purves - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 January 2020

2,106,769

(5,161,247

)

11,851,744

8,797,266

Prior year adjustment

-

155,635

-

155,635

As restated

2,106,769

(5,005,612

)

11,851,744

8,952,901

Changes in equity

Total comprehensive income

-

71,980

-

71,980

Balance at 31 December 2020

2,106,769

(4,933,632

)

11,851,744

9,024,881

Changes in equity

Issue of share capital

1,663,055

-

-

1,663,055

Total comprehensive income

-

(38,092

)

-

(38,092

)

Balance at 31 December 2021

3,769,824

(4,971,724

)

11,851,744

10,649,844

1.	STATUTORY INFORMATION

Biz2Mobile 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 Company 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.

Going Concern

The financial statements have been prepared on the going concern basis as the directors believe that adequate cash resources will be available to cover the company's requirements for working capital and capital expenditure for at least the next twelve months. This statement has been made after a review of the impact of Covid-19 on the company's trading activities. The directors have concluded, due to the nature of the company's business and continued support of investors, the current economic environment has not given rise to any material uncertainty which would cast doubt on the company's ability to continue as a going concern for the next twelve months.

Preparation of consolidated financial statements

The company and its subsidiary form a small group. The company is therefore not required to produce consolidated financial statements and has not done so. These financial statements present information about the company as a single entity.

Related party exemption

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.

Turnover

Turnover is measured as the fair value of consideration received or receivable, excluding value added tax. The following criteria must also be met before revenue is recognised.

Rendering of services

Revenue from a contract to provide services is recognised in the period to which the services are provided in accordance with the stage of completion of the contract when all the following conditions are satisfied:

- the amount of revenue can be measured reliably;

- it is probable the Company will receive the consideration due under the contract; and

- the stage of completion of the contract at the end of the reporting period can be measured reliably;

Provision of goods

Revenue from sale of goods are recognised in respect of invoiced goods which have been invoiced and supplied in the period.

Royalty income

This is invoiced as a percentage of turnover (both services and goods) in the company's subsidiary with the overall recognition policy consistent across the group.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less accumulated amortisation and any accumulated impairment losses.

Development costs are written off against income arising.

Financial instruments

The Company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors and loans to related parties.

The basic financial debtors and liabilities as listed above are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future payments/receipts discounted at a market rate of interest. Such instruments are subsequently carried at amortised costs using the effective interest method, less any impairment. An impairment review is undertaken annually at the balance sheet date.

Taxation

Taxation for the year comprises current 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 that have been enacted or substantively enacted by the balance sheet date. Tax credits are recognised in accordance with current tax legislation.

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.

Research and development

Development costs have been capitalised until such time that the software is complete and available for sale, when it will be written off against arising income.

Research costs are written off in the year in which they are incurred.

Foreign currencies

Monetary 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.

Leasing commitments

Rentals payable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Share options

For transactions with employees, the fair value of the equity instruments shall be measured at grant date. Any share based payment charge arising from the measurement at fair value and the actual grant price will be charged to the Income Statement over the applicable vesting period.

For equity-settled share based payment transactions, an entity shall measure the services received and the corresponding increase in equity, at the fair value of services received, unless that fair value cannot be estimated reliably.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 29 (2020 - 28 ) .

4.	INTANGIBLE FIXED ASSETS

Other

intangible

assets

£

COST

At 1 January 2021

9,266,833

Additions

984,252

At 31 December 2021

10,251,085

AMORTISATION

At 1 January 2021

1,731,211

Charge for year

101,579

At 31 December 2021

1,832,790

NET BOOK VALUE

At 31 December 2021

8,418,295

At 31 December 2020

7,535,622

5.	TANGIBLE FIXED ASSETS

Office

Computer

Equipment

equipment

Totals

£

£

£

COST

At 1 January 2021

11,767

118,774

130,541

Additions

14

4,780

4,794

At 31 December 2021

11,781

123,554

135,335

DEPRECIATION

At 1 January 2021

10,166

102,650

112,816

Charge for year

923

9,444

10,367

At 31 December 2021

11,089

112,094

123,183

NET BOOK VALUE

At 31 December 2021

692

11,460

12,152

At 31 December 2020

1,601

16,124

17,725

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Trade debtors

127,060

33,769

Amounts owed by group undertakings

3,206,555

2,568,552

Other debtors

410,778

410,968

3,744,393

3,013,289

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Trade creditors

16,970

10,094

Taxation and social security

299,443

361,709

Other creditors

92,635

47,464

409,048

419,267

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.21

31.12.20

£

£

Other creditors

974,379

979,378

Amounts falling due in more than five years:

Repayable by instalments

Other loans more 5yrs instal

292,254

530,223

9.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.21

31.12.20

£

£

Loan

935,212

935,212

The loan with Innovate UK Loans Limited is secured against the assets of the company.

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

R. Hyams (Senior Statutory Auditor)

for and on behalf of Stein Richards

11.	SHARE OPTION SCHEME

The company's share option scheme is an Enterprise Management Incentive (EMI) scheme with the first grant made on 14 January 2015. Under the EMI scheme employees are eligible to participate on the successful completion of their probationary period with the company. Share options are issued at the directors' discretion up to a maximum of 2,537,332. There is no specified vesting period, the exercise is dependent on limited circumstances namely the sale of Biz2Mobile Limited or its assets or on the company being listed on the London Stock Exchange or AIM. Two types of share options exist; fixed and variable. The variable share options increase in line with the value achieved at company exit in £5 million bands between £20 million and £100 million, no incremental increase arises on the fixed share options. The share options are automatically cancelled on cessation of employment.

Options were valued using the balance sheet valuation method with the proviso that the valuation could not be lower than the nominal value of £0.1.

As at 1 January 2021 the following share options were in existence with an exercise price of £0.1;

486,233 Fixed

822,378 Variable

During the period 137,213 fixed share options and 94,039 variable share options were forfeited and 35,400 fixed share options and 67,825 variable share options were granted.

12.	OTHER FINANCIAL COMMITMENTS

Operating lease commitments for lease expiring in less than one year amount to £42,963 (2020: :£56,182).