PMJ Risk Solutions Limited - Period Ending 2022-12-31

PMJ Risk Solutions Limited

Statement of Financial Position as at 31 December 2022

	Note	2022 £	2021 £
Fixed assets
Tangible assets	4	11,462	10,870
Current assets
Debtors	5	4,161	2,717
Cash at bank and in hand		222,656	76,041
		226,817	78,758
Creditors: Amounts falling due within one year	6	(11,176)	(8,707)
Net current assets		215,641	70,051
Net assets		227,103	80,921
Capital and reserves
Called up share capital		100	100
Share premium reserve		309,900	309,900
Retained earnings		(82,897)	(229,079)
Shareholders' funds		227,103	80,921

For the financial year ending 31 December 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006 and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Statement of Income and Retained Earnings has been taken.

PMJ Risk Solutions Limited

Statement of Financial Position as at 31 December 2022

Approved and authorised by the Board on 4 September 2023 and signed on its behalf by:
 

.........................................

Mr I Munden

Director

.........................................

Mr D W Jones

Director

.........................................

Mr R G Parker

Director

Company registration number: 12007355

PMJ Risk Solutions Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2022

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Office 6-05 One Croydon
12-16 Addiscombe Road
Croydon
CR0 0XT

The principal activity of the company is that of insurance brokers acting as agents.

2	Accounting policies

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except any items disclosed in the accounting policies as being shown at fair value and are presented in sterling, which is the functional currency of the entity.

Going concern

The company made a profit for the year ended 31 December 2022 and had net assets at that date amounting to £227,103 including cash at bank of £222,656.

The directors have considered the Covid-19 pandemic and with all restrictions lifted believe there will be no further effects. The company's cash flow forecasts indicate that the company has sufficient working capital to continue to operate.

On the basis of the above, and after making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.

Revenue recognition

Turnover consists of brokerage, commission and fees receivable for the arrangement of insurance in the normal course of the company's activities and is stated net of IPT and discounts or rebates.

The company recognises commission and fees arising from insurance broking activities on the effective date that the insurance policy commences.

Government grants

Grants are accounted for under the accruals model. Grants of a revenue nature are recognised in other income in the same period as related expenditure.

PMJ Risk Solutions Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2022

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Furniture, fittings and equipment	25% straight line

Insurance broking assets and liabilities

The company, in the course of carrying on insurance broking activities, handles client money in accordance with the Financial Authority Client Asset Sourcebook rules. Under these rules, the company co-mingles monies defined as belonging to clients and monies defined as belonging to insurers (known as risk transfer monies) in segregated bank accounts that are subject to a statutory trust.

In addition to economic benefit derived from the retention of investment income, the company also has control over the operation of the bank accounts in relation to the settlement of accounts with other intermediaries, clients, insurers and market settlement bureaux.

Given the nature of the trust arrangements under which monies are held and the control that the company exerts over the operation of the segregated bank accounts, the Directors consider it appropriate to disclose only the net balance of insurance broking assets and liabilities as an asset of the company itself, representing income due and payable to the company for its own bank account to be transferred from the segregated bank accounts at the appropriate time in accordance with FCA Client Asset Sourcebook rules.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

PMJ Risk Solutions Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2022

3	Staff numbers

The average number of persons employed by the company during the year, was 7 (2021 - 4).

4	Tangible assets

	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 January 2022	18,047	18,047
Additions	4,384	4,384
At 31 December 2022	22,431	22,431
Depreciation
At 1 January 2022	7,177	7,177
Charge for the year	3,792	3,792
At 31 December 2022	10,969	10,969
Carrying amount
At 31 December 2022	11,462	11,462
At 31 December 2021	10,870	10,870

5

Debtors

	2022 £	2021 £
Trade debtors	1,444	-
Other debtors	2,717	2,717
	4,161	2,717

PMJ Risk Solutions Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2022

At 31 December 2022 the company held the following amounts as agent in respect of insurance broking which are not reflected in the statement of financial position.

	2022		2021
	£		£
Amounts receivable from clients	241,971		257,300
Segregated bank accounts related to insurance broking	332,062		125,891
Amounts due to Insurance companies	(574,033)		(383,191)
	-		-

6

Creditors

Creditors: amounts falling due within one year

	2022 £	2021 £
Taxation and social security	11,068	8,599
Other creditors	108	108
	11,176	8,707