Company Registration No. 06517726 (England and Wales)
Reason Digital Limited
Unaudited accounts
for the year ended 31 January 2023
Reason Digital Limited
Unaudited accounts
Contents
Reason Digital Limited
Company Information
for the year ended 31 January 2023
Directors
Edward Cox
Matthew Haworth
Benjamin White
Company Number
06517726 (England and Wales)
Registered Office
26 LEVER STREET
GROUND FLOOR
MANCHESTER
M1 1DW
ENGLAND
Accountants
Accounts and Legal Consultants Ltd
Suite 1-3
The Hop Exchange
24 Southwark Street
London
SE1 1TY
Reason Digital Limited
Accountants' report
Accountants' report to the board of directors of Reason Digital Limited on the preparation of the unaudited statutory accounts for the year ended 31 January 2023
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of
Reason Digital Limited for the year ended
31 January 2023 as set out on pages
5 -
8 from the company's accounting records and from information and explanations you have given us.
This report is made solely to the Board of Directors of Reason Digital Limited, as a body, in accordance with the terms of our engagement. Our work has been undertaken solely to prepare for your approval the accounts of Reason Digital Limited and state those matters that we have agreed to state to them, as a body, in this report. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Reason Digital Limited and its Board of Directors as a body for our work or for this report.
It is your duty to ensure that Reason Digital Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and loss of Reason Digital Limited. You consider that Reason Digital Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the accounts of Reason Digital Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.
Accounts and Legal Consultants Ltd
Suite 1-3
The Hop Exchange
24 Southwark Street
London
SE1 1TY
15 September 2023
Reason Digital Limited
Statement of financial position
as at 31 January 2023
Tangible assets
39,523
53,410
Cash at bank and in hand
455,243
609,625
Creditors: amounts falling due within one year
(454,724)
(321,448)
Net current assets
375,888
573,294
Total assets less current liabilities
485,614
696,907
Creditors: amounts falling due after more than one year
(94,248)
(146,521)
Net assets
391,366
550,386
Called up share capital
2
2
Profit and loss account
391,364
550,384
Shareholders' funds
391,366
550,386
For the year ending 31 January 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with the provisions of FRS 102 Section 1A - Small Entities. The profit and loss account has not been delivered to the Registrar of Companies.
The financial statements were approved by the Board of Directors and authorised for issue on 31 October 2023 and were signed on its behalf by
Edward Cox
Director
Company Registration No. 06517726
Reason Digital Limited
Notes to the Accounts
for the year ended 31 January 2023
Reason Digital Limited is a private company, limited by shares, registered in England and Wales, registration number 06517726. The registered office is 26 LEVER STREET, GROUND FLOOR, MANCHESTER, M1 1DW, ENGLAND.
2
Compliance with accounting standards
The accounts have been prepared in accordance with the provisions of FRS 102 Section 1A Small Entities. There were no material departures from that standard.
The principal accounting policies adopted in the preparation of the financial statements are set out below and have remained unchanged from the previous year, and also have been consistently applied within the same accounts.
The accounts have been prepared under the historical cost convention as modified by the revaluation of certain fixed assets.
The accounts are presented in £ sterling.
Tangible fixed assets and depreciation
Tangible assets are included at cost less depreciation and impairment. Depreciation has been provided at the following rates in order to write off the assets over their estimated useful lives:
Plant & machinery
25% on cost
Fixtures & fittings
20% on cost
Computer equipment
33% on cost
The accounts have been prepared on the going concern basis. The company have made losses in the current year despite being profitable previously. The company have employed financial advisors to assist with cash flow planning and forecasting. The company has obtained several large projects in Q4 of the 2023 year end and anticipate this will return them to running profitably.
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.
Deferred tax has been removed recognition because the client has more than enough losses to offset against future profits in the current accounting.
Deferred tax assets and liabilities are not discounted.
Expenditure on research and development is written off in the year in which it is incurred.
Reason Digital Limited
Notes to the Accounts
for the year ended 31 January 2023
Government grants in relation to tangible fixed assets are credited to profit and loss account over the useful lives of the related assets, whereas those in relation to expenditure are credited when the expenditure is charged to profit and loss.
Investments in shares are included at cost.
The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are recognised in the profit and loss account when due.
4
Tangible fixed assets
Plant & machinery
Fixtures & fittings
Computer equipment
Total
Cost or valuation
At cost
At cost
At cost
At 1 February 2022
30,603
54,577
149,764
234,944
Additions
201
-
8,283
8,484
Disposals
(1,904)
-
(11,772)
(13,676)
At 31 January 2023
28,900
54,577
146,275
229,752
At 1 February 2022
26,518
35,107
119,909
181,534
Charge for the year
1,078
3,894
16,861
21,833
On disposals
(1,366)
-
(11,772)
(13,138)
At 31 January 2023
26,230
39,001
124,998
190,229
At 31 January 2023
2,670
15,576
21,277
39,523
At 31 January 2022
4,085
19,470
29,855
53,410
5
Investments
Other investments
Valuation at 1 February 2022
70,203
Valuation at 31 January 2023
70,203
Amounts falling due within one year
Trade debtors
217,293
157,806
Deferred tax asset
29,654
50,173
Accrued income and prepayments
15,763
19,140
Other debtors
112,659
57,998
Reason Digital Limited
Notes to the Accounts
for the year ended 31 January 2023
7
Creditors: amounts falling due within one year
2023
2022
Bank loans and overdrafts
57,078
57,078
Trade creditors
12,296
60,063
Amounts owed to group undertakings and other participating interests
3
3
Taxes and social security
49,780
40,286
Other creditors
6,714
7,585
Loans from directors
34,372
49,689
Deferred income
146,998
27,101
8
Creditors: amounts falling due after more than one year
2023
2022
9
Average number of employees
During the year the average number of employees was 43 (2022: 43).
