Landy Tech Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 11666126 (England and Wales)

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 NOVEMBER 2021

FOR

LANDY TECH LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

G H M Chouette

J Costa

M W R Dobson

B D G Moute

REGISTERED OFFICE:

136 Sloane Street

4th Floor

London

SW1X 9AY

REGISTERED NUMBER:

11666126 (England and Wales)

SENIOR STATUTORY AUDITOR:

Andrew Green LLB FCA

AUDITORS:

THP Limited

Chartered Accountants

and Statutory Auditors

34-40 High Street

Wanstead

London

E11 2RJ

FIXED ASSETS

Tangible assets

5

69,428

28,055

CURRENT ASSETS

Debtors

6

248,986

186,065

Cash at bank

2,848,346

863,387

3,097,332

1,049,452

CREDITORS

Amounts falling due within one year

7

274,024

155,027

NET CURRENT ASSETS

2,823,308

894,425

TOTAL ASSETS LESS CURRENT LIABILITIES

2,892,736

922,480

CREDITORS

Amounts falling due after more than one year

8

45,094

-

NET ASSETS

2,847,642

922,480

CAPITAL AND RESERVES

Called up share capital

171

135

Share premium

11

5,591,518

1,275,029

Other reserves

11

-

848,935

Share option reserve

11

18,488

-

Retained earnings

11

(2,762,535

)

(1,201,619

)

SHAREHOLDERS' FUNDS

2,847,642

922,480

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 5 May 2022 and were signed on its behalf by:

B D G Moute - Director

1.	STATUTORY INFORMATION

Landy Tech 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.

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

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 and going concern

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

Due to the significant investment in research and development costs in the past 2 years the Company has incurred losses and has a deficit in retained earnings of £2,762,535 (2020: £1,201,619). However, due to funds introduced by investors the Company has cash at bank of £2,848,346 and a surplus of shareholders funds of £2,847,642 at 30 November 2021.

The Directors have produced cash flow forecasts that show that the Company will have sufficient funds for at least the next 24 months and are confident that a further round of funding will be achieved during 2022.

On this basis the accounts have been prepared on a going concern basis.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue is recognised from effective date on subscription contract, subject to the commencement of client on-boarding.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Fixtures and fittings

-

33% on cost

Motor vehicles

-

25% on cost

Computer equipment

-

50% on cost

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 balance sheet date.

Research and development tax credits are recognised on a receipts basis, as this is the point that HMRC recognises the validity of the claim.

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

Expenditure on research and development is written off in the year in which it is incurred.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss 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 based payments

The fair value of options offered under equity settled share based payment schemes is determined at grant date and expensed in the profit and loss account over the vesting period with a corresponding credit to retained earnings.

Where vesting conditions apply, the expense is allocated over the vesting period, based on the best available estimate of the number of share options expected to vest. Non-market vesting conditions are included in assumptions about the number of options that are expected to become exercisable.

Estimates are subsequently revised if there is any indication that the number of share options expected to vest differs from previous estimates. Any adjustment to cumulative share-based compensation resulting from a revision is recognised in the current period.

The number of vested options ultimately exercised by holders does not impact the expense recorded in any period.

Upon exercise of share options, the proceeds received, net of any directly attributable transaction costs, are allocated to share capital up to the nominal value of the shares issued with any difference allocated to the share premium account.

Share-based payments

The Company issues equity-settled share options to certain employees. Equity-settled share-based payment transactions are measured at fair value (excluding the effect of non market-based vesting conditions) at the date of grant. The fair value determined at the grant date of the equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the Company's estimate of shares that will eventually vest and adjusted for the effect of non market-based vesting conditions.

Fair value is measured by use of the Black Scholes pricing model which is considered by management to be the most appropriate method of valuation. The expected life used in the model has been adjusted, based on management's best estimate, for the effects of non-transferability, exercise restrictions, and behavioural considerations.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 26 (2020 - 11 ) .

5.	TANGIBLE FIXED ASSETS

Fixtures

and

Motor

Computer

fittings

vehicles

equipment

Totals

£

£

£

£

COST

At 1 December 2020

23,110

-

20,555

43,665

Additions

-

55,511

2,694

58,205

At 30 November 2021

23,110

55,511

23,249

101,870

DEPRECIATION

At 1 December 2020

8,960

-

6,650

15,610

Charge for year

7,680

-

9,152

16,832

At 30 November 2021

16,640

-

15,802

32,442

NET BOOK VALUE

At 30 November 2021

6,470

55,511

7,447

69,428

At 30 November 2020

14,150

-

13,905

28,055

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Motor

vehicles

£

COST

Additions

55,511

At 30 November 2021

55,511

NET BOOK VALUE

At 30 November 2021

55,511

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade debtors

21,199

21,500

Other debtors

75,154

74,485

VAT

-

74

Prepayments and accrued income

152,633

90,006

248,986

186,065

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Hire purchase contracts (see note 9)

8,138

-

Trade creditors

48,950

91,152

Social security and other taxes

76,013

42,372

VAT

6,712

-

Other creditors

5,870

5,807

Accrued expenses

128,341

15,696

274,024

155,027

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2021

2020

£

£

Hire purchase contracts (see note 9)

45,094

-

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts

2021

2020

£

£

Net obligations repayable:

Within one year

8,138

-

Between one and five years

45,094

-

53,232

-

Non-cancellable

operating leases

2021

2020

£

£

Within one year

61,369

83,352

Between one and five years

-

69,460

61,369

152,812

10.	SECURED DEBTS

The following secured debts are included within creditors:

2021

2020

£

£

Hire purchase contracts

53,232

-

11.

RESERVES

Share

Retained

Share

Other

option

earnings

premium

reserves

reserve

Totals

£

£

£

£

£

At 1 December 2020

(1,201,619

)

1,275,029

848,935

-

922,345

Deficit for the year

(1,560,916

)

(1,560,916

)

Credit to equity for equity settled share-based payment

-

-

-

18,488

18,488

Cash share issue

-

4,316,489

-

-

4,316,489

Release of other reserve

-

-

(848,935

)

-

(848,935

)

At 30 November 2021

(2,762,535

)

5,591,518

-

18,488

2,847,471

Other Reserves in the prior year of £848,935 related to funds received in advance of the issue of shares by the Company. The shares were issued in the period and the other reserve was therefore released.

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

The Report of the Auditors was unqualified.

Andrew Green LLB FCA (Senior Statutory Auditor)

for and on behalf of THP Limited

13.	ULTIMATE CONTROLLING PARTY

The controlling party is B D G Moute.

14.	SHARE-BASED PAYMENT TRANSACTIONS

The Company has a share option scheme for all certain employees. The number of employees of the Company that share options have been granted to is 3 (2020: 3).

In certain circumstances the options may lapse if the relevant individual ceases to be a employee of the Company.

Details of the share options outstanding during the year are as follows:

Number of share options

Weighted average exercise price (£)

Outstanding at 30 November 2021

25,028

4.072

There were no options that were issued or lapsed in the year. None of the options above were fully vested at the year end.

Options are generally exercisable at a price equal to the estimated fair value of the Company's shares on the date of grant. The vesting period is four years. If the options remain unexercised after a period of ten years from the date of grant, the options expire.

The fair value of the share options at the grant date was calculated using the Black Scholes model, which is considered to be the most appropriate generally accepted valuation method of measuring fair value.

The Company recognised total expenses of £18,488 related to equity-settled share-based payment transactions in 2021 (2020: £nil).