Q.E.D. Advanced Systems Limited - Period Ending 2023-03-31
Q.E.D. Advanced Systems Limited - Period Ending 2023-03-31
Registration number:
Q.E.D. Advanced Systems Limited
for the Year Ended 31 March 2023
Q.E.D. Advanced Systems Limited
Contents
Balance Sheet |
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Notes to the Unaudited Financial Statements |
Q.E.D. Advanced Systems Limited
(Registration number: 02624408)
Balance Sheet as at 31 March 2023
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2023 |
2022 |
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Fixed assets |
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Intangible assets |
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Tangible assets |
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Investments |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
( |
( |
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Provisions for liabilities |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
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Capital redemption reserve |
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Profit and loss account |
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Total equity |
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Q.E.D. Advanced Systems Limited
(Registration number: 02624408)
Balance Sheet as at 31 March 2023
For the financial year ending 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Director's responsibilities:
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The director acknowledges his 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 director has not delivered to the registrar a copy of the Profit and Loss Account.
Approved and authorised by the
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Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
UK
These financial statements were authorised for issue by the
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 - '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 that as disclosed in the accounting policies certain items are shown at fair value.
The financial statements are prepared in sterling, which is the functional currency of the company, and rounded to the nearest £.
Going concern
The directors are confident that the business, through the bank reserves of the company, has adequate resources to continue trading and accordingly the company has continued to prepare its financial statements on a going concern basis.
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 value added tax, returns, rebates and discounts.
The Company recognises revenue when all of the following conditions are satisfied:
- the amount of revenue can be reliably measured;
- all of the significant risks and rewards of ownership have been transferred to the customer;
- the entity retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
- the costs incurred or to be incurred in respect of the transaction can be measured reliably;
- 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.
Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Government grants
Government grants are accrued on a systematic basis over the period that the related costs have been recognised. Where the costs have already been incurred then government grants are credited to the profit and loss account in full.
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tax
The tax expense for the period comprises of current and 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.
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Development costs
Development expenditure incurred on software is carried forward as an intangible asset only when its future recoverability can reasonably be regarded as assured. Any expenditure carried forward is amortised in line with the expected future use of the related software.
Expenditure incurred on pure and applied research is written off as it is incurred.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Asset class |
Amortisation method and rate |
Goodwill |
straight line over 10 years |
Development costs |
straight line over 3 - 5 years |
Tangible assets
Tangible assets are stated in the balance sheet 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 |
Leasehold property improvements |
straight line over the life of the lease |
Land and buildings |
2-5% straight line |
Other property, plant and equipment |
25% reducing balance |
Motor vehicles |
25% reducing balance |
Office equipment |
25% reducing balance |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
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.
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.
Creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
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.
Dividends
Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Financial instruments
Classification
Recognition and measurement
Impairment
Staff numbers |
The average number of persons employed by the company (including the director) during the year was
Intangible assets |
Goodwill |
Development costs |
Total |
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Cost |
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At 1 April 2022 |
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Additions |
- |
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At 31 March 2023 |
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Amortisation |
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At 1 April 2022 |
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Amortisation charge |
- |
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At 31 March 2023 |
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Carrying amount |
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At 31 March 2023 |
- |
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At 31 March 2022 |
- |
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Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Tangible assets |
Freehold property |
Plant and machinery |
Office equipment |
Motor vehicles |
Total |
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Cost or valuation |
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At 1 April 2022 |
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Additions |
- |
- |
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- |
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Disposals |
( |
- |
- |
- |
( |
At 31 March 2023 |
- |
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Depreciation |
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At 1 April 2022 |
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Charge for the year |
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Eliminated on disposal |
( |
- |
- |
- |
( |
At 31 March 2023 |
- |
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Carrying amount |
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At 31 March 2023 |
- |
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At 31 March 2022 |
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Investments |
2023 |
2022 |
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Investments in subsidiaries |
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Subsidiaries |
£ |
Cost |
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At 1 April 2022 |
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At 31 March 2023 |
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Carrying amount |
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At 31 March 2023 |
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At 31 March 2022 |
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Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
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2023 |
2022 |
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Subsidiary undertakings |
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70 West Madison Street
United States of America |
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Subsidiary undertakings |
ResourceXpress Inc The principal activity of ResourceXpress Inc is |
Stocks |
2023 |
2022 |
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Finished goods and goods for resale |
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Debtors |
2023 |
2022 |
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Trade debtors |
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Amounts owed by group undertakings |
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- |
Other debtors |
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Prepayments |
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Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Creditors |
Due within one year |
Note |
2023 |
2022 |
Trade creditors |
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Social security and other taxes |
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- |
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Other creditors |
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Accruals |
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Corporation tax liability |
89,889 |
54,393 |
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Due after one year |
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Deferred income |
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Financial commitments, guarantees and contingencies |
Amounts not provided for in the balance sheet
The total amount of financial commitments not included in the balance sheet is £
Related party transactions |
Summary of transactions with other related parties
Loans to related parties
2023 |
Other related parties |
Total |
Advanced |
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Repaid |
( |
( |
At end of period |
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Q.E.D. Advanced Systems Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 March 2023
Share-based payments |
The company runs an Enterprise Management Incentive (“EMI”) share option scheme for certain key employees. Options are exercisable at a price equivalent to the market value of the company’s shares at the date of grant, as agreed with HM Revenue and Customs Shares and Assets Valuation Division.
At 31 March 2023, the company had issued 2,400 share options to 4 employees all at an exercise price of £7.875 per share. In each case, the exercisable number of shares is limited to 50% of the company’s issued share capital at maximum dilution. Options are exercisable only in the event of a company takeover, sale or flotation and are settled in equity once exercised. At the point of a company takeover, sale or flotation, the right to exercise options remains at the discretion of the Managing Director.
If unexercised after a period of ten years from the date of grant, the options expire. Options will lapse if an employee leaves the company before the options vest. At the discretion of the directors, options may be exercised upon an employee ceasing employment.
There is no fair value adjustment to make in respect of goods or services received by the company.