Untold Studios Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 11410955 (England and Wales)

Financial Statements for the Year Ended 31 December 2020

for

Untold Studios Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

J W Irwin

C S Dorfman

D O'Kelly

N Davies

M B Wolfson

P Joseph

K M Glazer

REGISTERED OFFICE:

White Collar Factory

Old Street Yard

London

EC1Y 8AF

REGISTERED NUMBER:

11410955 (England and Wales)

SENIOR STATUTORY AUDITOR:

J D Bregman BSc FCA FCCA

AUDITORS:

J.D. Bregman & Co Limited (Statutory Auditor)

First Floor

Spitalfields House

Stirling Way

Borehamwood

Hertfordshire

WD6 2FX

FIXED ASSETS

Property, plant and equipment

4

257,797

434,817

CURRENT ASSETS

Debtors

5

2,665,223

1,394,766

Cash at bank

3,563,168

647,310

6,228,391

2,042,076

CREDITORS

Amounts falling due within one year

6

(5,065,727

)

(2,003,030

)

NET CURRENT ASSETS

1,162,664

39,046

TOTAL ASSETS LESS CURRENT LIABILITIES

1,420,461

473,863

CREDITORS

Amounts falling due after more than one year

7

(4,816,744

)

(3,384,870

)

PROVISIONS FOR LIABILITIES

(90,000

)

-

NET LIABILITIES

(3,486,283

)

(2,911,007

)

CAPITAL AND RESERVES

Called up share capital

10

8,929

8,058

Share premium

1,291,067

489,301

Retained earnings

(4,786,279

)

(3,408,366

)

SHAREHOLDERS' FUNDS

(3,486,283

)

(2,911,007

)

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 25 March 2021 and were signed on its behalf by:

M B Wolfson - Director

1.	STATUTORY INFORMATION

Untold Studios 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.	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.

Significant judgements and estimates

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. Judgements in respect of deferred income, accrued income and cut-off of costs and estimation of costs to complete projects have had the most significant effects on amounts recognised in the financial statements.

Turnover

Revenue 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

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

Short leasehold

-

in accordance with the property

Fixtures and fittings

-

20% on cost

Computer equipment

-

33% on cost

Government grants

Government grants are recognised in income when they are received.

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset , with the net amounts presented in the financial statements , when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at

transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and

preference shares that are classified as debt, are initially recognised at transaction price unless the

arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled.

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.

Foreign currencies

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.

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.

Going concern

In our opinion, on the basis of information and enquiries that are pertinent to the company's circumstances and which we believe to be adequate, it is appropriate to continue to treat the company as a going concern. In particular we believe that adequate cash resources will be available to cover the company's requirements for working capital for at least twelve months from the date of signing the financial statements.

Share based payments

The Company operates a shared-based payment scheme for certain employees of the company.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 86 (2019 - 54 ) .

4.	PROPERTY, PLANT AND EQUIPMENT

Fixtures

Short

and

Computer

leasehold

fittings

equipment

Totals

£

£

£

£

COST

At 1 January 2020

178,115

106,257

384,975

669,347

Additions

-

4,159

48,428

52,587

At 31 December 2020

178,115

110,416

433,403

721,934

DEPRECIATION

At 1 January 2020

89,024

24,854

120,652

234,530

Charge for year

71,246

22,083

136,278

229,607

At 31 December 2020

160,270

46,937

256,930

464,137

NET BOOK VALUE

At 31 December 2020

17,845

63,479

176,473

257,797

At 31 December 2019

89,091

81,403

264,323

434,817

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.20

31.12.19

£

£

Trade debtors

1,575,137

782,709

Other debtors

1,090,086

612,057

2,665,223

1,394,766

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.20

31.12.19

£

£

Bank loans and overdrafts (see note 8)

72,783

-

Trade creditors

1,491,528

591,279

Taxation and social security

1,400,448

511,837

Other creditors

2,100,968

899,914

5,065,727

2,003,030

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.20

31.12.19

£

£

Bank loans (see note 8)

927,217

-

Other creditors

3,889,527

3,384,870

4,816,744

3,384,870

8.

LOANS

An analysis of the maturity of loans is given below:

31.12.20

31.12.19

£

£

Amounts falling due within one year or on demand:

Bank loans

72,783

-

Amounts falling due between two and five years:

Bank loans - 2-5 years

927,217

-

Other loans - 2-5 years

3,889,527

3,384,870

4,816,744

3,384,870

9.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.20

31.12.19

£

£

Bank loans

1,000,000

-

Coronavirus Business Interruption Loan Scheme (CBILS)

The Company received a CBILS loan of £1,000,000 during the year. It is a government backed-guarantee loan which is repayable in 60 months, and carries an interest rate of 6% per annum. There is no capital and interest repayment in the first 12 months by the Company. Loan interest incurred in the year amounted to £15,000.

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.20

31.12.19

value:

£

£

678,571

Ordinary A

0.001

679

500

750,000

Ordinary B

0.001

750

745

750,000

Ordinary C

0.01

7,500

6,813

8,929

8,058

The following shares were allotted and fully paid for cash at par during the year:

178,571 Ordinary A shares of 0.001 each

68,749 Ordinary C shares of 0.01 each

5,000 Ordinary B shares of 0.001 each were allotted as fully paid at a premium of 0.389 per share during the year.

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

The Report of the Auditors was unqualified.

J D Bregman BSc FCA FCCA (Senior Statutory Auditor)

for and on behalf of J.D. Bregman & Co Limited (Statutory Auditor)

12.	RELATED PARTY DISCLOSURES

13.	SHARE-BASED PAYMENT TRANSACTIONS

The company has an EMI Option Scheme, granting options over B Ordinary shares of £0.001 each. 50,001 options were granted in the period ended 31 December 2018. A further 37,503 options were granted in the year ended 31 December 2019 and 12,501 options were granted in the year ended 31 December 2020. None of the options had vested by 31 December 2020.

14.

COVID-19

The COVID-19 pandemic occurred during the year. The company furloughed certain staff for a short period of time but the staff have since returned to work. The directors have carefully considered the likely effect of the pandemic on the future performance of the company and whilst it may have an impact on the future trading performance of the business, the directors consider that the company has sufficient resources to enable it to remain in business for the foreseeable future.