MD Affinity Schemes Ltd - Accounts to registrar (filleted) - small 22.3

REGISTERED NUMBER: 08214231 (England and Wales)

Unaudited Financial Statements for the Year Ended 31 December 2021

for

MD Affinity Schemes Ltd

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

A M O'Reilly

S D Worrall

J A Goodman

SECRETARY:

J A Goodman

REGISTERED OFFICE:

2 Shore Lines Building

Shore Road

Birkenhead

Merseyside

CH41 1AU

REGISTERED NUMBER:

08214231 (England and Wales)

ACCOUNTANTS:

Haines Watts

3rd Floor Pacific Chambers

11-13 Victoria Street

Liverpool

Merseyside

L2 5QQ

FIXED ASSETS

Tangible assets

4

23

47

CURRENT ASSETS

Debtors

5

984,633

1,526,799

Cash at bank

460,529

402,692

1,445,162

1,929,491

CREDITORS

Amounts falling due within one year

6

1,127,585

1,572,203

NET CURRENT ASSETS

317,577

357,288

TOTAL ASSETS LESS CURRENT LIABILITIES

317,600

357,335

CAPITAL AND RESERVES

Called up share capital

80

80

Retained earnings

317,520

357,255

SHAREHOLDERS' FUNDS

317,600

357,335

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2021 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 Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 15 December 2022 and were signed on its behalf by:

J A Goodman - Director

A M O'Reilly - Director

1.	STATUTORY INFORMATION

MD Affinity Schemes 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.	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.

Critical accounting judgements and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

There are not considered to be any critical judgements in applying the company's accounting policies.

Turnover

Turnover represents amounts receivable for services, net of VAT, Insurance Premium Tax, and other trade discounts.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Computer Equipment - 25% Straight line

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.

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.

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.

Debtors

Short term debtors are measured at transaction price, less any impairment.

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty or notice of not more than 24 hours.

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, loans from banks and loans to related parties.

Debt instruments (other than those wholly repayable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received.

Financial assets that are measured at cost and amortised 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 income statement and retained earnings.

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2020 - 2 ) .

4.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 January 2021

and 31 December 2021

474

DEPRECIATION

At 1 January 2021

427

Charge for year

24

At 31 December 2021

451

NET BOOK VALUE

At 31 December 2021

23

At 31 December 2020

47

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Trade debtors

973,184

1,519,209

Other debtors

11,449

7,590

984,633

1,526,799

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Trade creditors

1,003,988

1,367,855

Taxation and social security

-

3,034

Other creditors

123,597

201,314

1,127,585

1,572,203

7.	SECURED DEBTS

Barclays Bank holds a cross guarantee between MD Affinity Schemes Limited and MD Insurance Services Limited.

8.	RELATED PARTY DISCLOSURES

MD Insurance Services Limited (MDIS) is deemed to be a related party, as it is controlled by the same shareholders and directors.

MDIS incurred expenses on behalf of the company, which has resulted in a year end loan creditor of £111,914 (2020: £4,007). The trading loan is unsecured, interest free and repayable upon demand.

9.	ULTIMATE CONTROLLING PARTY

As at 31 December 2021 the ultimate controlling party was G Devaney on the basis of his majority shareholding in the company.

On 1st April 2022 HSB Engineering Insurance Limited purchased the entire share capital of the company, and as a result, Munchener Ruckversichrungs-Gesellschaft Aktiengesellschaft (Munich Re), a company incorporated in Germany became the company's ultimate parent company and controlling party.