Phundex UK Ltd - Period Ending 2022-12-31

Phundex UK Ltd

Contents

Balance Sheet	1 to 2
Notes to the Unaudited Financial Statements	3 to 7

Phundex UK Ltd

(Registration number: 12207772)
Balance Sheet as at 31 December 2022

	Note	2022 £	2021 £
Fixed assets
Intangible assets	4	547,038	480,417
Current assets
Debtors		1,452	61,120
Cash at bank and in hand		50,708	246
		52,160	61,366
Creditors: Amounts falling due within one year		(718,764)	(526,690)
Net current liabilities		(666,604)	(465,324)
Total assets less current liabilities		(119,566)	15,093
Provisions for liabilities		-	(25,058)
Net liabilities		(119,566)	(9,965)
Capital and reserves
Called up share capital	7	100	100
Retained earnings		(119,666)	(10,065)
Shareholders' deficit		(119,566)	(9,965)

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.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 22 November 2023 and signed on its behalf by:
 

Phundex UK Ltd

(Registration number: 12207772)
Balance Sheet as at 31 December 2022

......................................... Heather-Anne Hubbell Company secretary and director

Phundex UK Ltd

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:
128 City Road
London
EC1V 2NX
United Kingdom

These financial statements were authorised for issue by the Board on 22 November 2023.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Going concern

The directors have reviewed the company's plans for a period of 12 months from the date of the signing of the accounts and are satisfied they can continue to adopt the going concern basis in preparing these financial statements. The company is a pre-revenue start up and benefits from the ongoing support of its parent, Phundex Ltd, shareholders and primary creditor.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Phundex UK Ltd

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

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Development costs

Costs directly attributable to product development are capitalised as intangible assets only when the technical feasibility of the project is demonstrated, there is an intention and ability to complete the development activities and the costs can be measured reliably. Costs relating to research are written off in the period in which they are incurred.

Development costs are amortised on a straight line basis over 5 years.

.

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.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Phundex UK Ltd

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

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

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.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 0 (2021 - 0).

4	Intangible assets

	Internally generated software development costs  £	Total £
Cost or valuation
Additions internally developed	480,417	480,417
Additions acquired separately	184,194	184,194
At 31 December 2022	664,611	664,611
Amortisation
Amortisation charge	117,573	117,573
At 31 December 2022	117,573	117,573
Carrying amount
At 31 December 2022	547,038	547,038
At 31 December 2021	480,417	480,417

The aggregate amount of research and development expenditure recognised as an expense during the period is £3,215 (2021 - £25,381).
 

Phundex UK Ltd

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

5

Debtors

	2022 £	2021 £
Trade debtors	412	-
Other debtors	-	58,239
VAT Control account	1,040	2,881
	1,452	61,120

6

Creditors

Creditors: amounts falling due within one year

	Note	2022 £	2021 £
Due within one year
Trade creditors		441,822	309,153
Amounts owed to associates	8	5,390	6,390
Other related parties		9,300	6,600
Accruals and deferred income		1,625	2,000
Other creditors		260,627	202,547
		718,764	526,690

7	Share capital

Allotted, called up and fully paid shares

	2022		2021
	No.	£	No.	£
Ordinary shares of £1 each	100	100	100	100

Phundex UK Ltd

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

8	Related party transactions

Loans from related parties

2022	Parent £	Entities with joint control or significant influence £	Key management £	Total £
At start of period	6,390	202,547	6,600	215,537
Advanced	-	67,838	2,800	70,638
Repaid	(1,000)	(10,000)	(100)	(11,100)
At end of period	5,390	260,385	9,300	275,075

2021	Parent £	Entities with joint control or significant influence £	Key management £	Total £
At start of period	-	3,033	-	3,033
Advanced	6,390	199,514	6,600	212,504
At end of period	6,390	202,547	6,600	215,537

Terms of loans from related parties

The amount owed to the company's parent is non interest bearing and repayable on demand.
 Hubbell Ventures UK Limited (a subsidiary company of Hubbell Ventures Jersey Limited) has provided working capital funding to Phundex UK Ltd. The amounts advanced are non interest bearing and repayable on demand.
 Loans from key management are advances from directors. These are non interest bearing and repayable on demand.
 

9	Parent and ultimate parent undertaking

The company's immediate parent is Phundex Ltd, incorporated in Jersey.