1. Accounting policies

Basis of measurement and preparation of accounts

The company continues to develop its product and services, and as such incurred a profit on ordinary activities before taxation of £9,767 (£166,953) for the year. This and last year’s profits were generated through the write back of accrued unpaid salaries following arrangements put in place with staff to receive a commission on future product sales. In order to trade profitably and generate cash inflow from operations, the company must continue this development and continue to focus attention on its potential customer base. The financial statements have been prepared under the historical cost convention and in accordance with applicable United Kingdom law and accounting standards.

Turnover policy

Turnover represents amounts receivable for goods and services provided in the normal course of business, net of trade discounts, value added tax and other sales-related taxes. Segmental analysis of turnover has not been provided as, in the opinion of the directors, this would be seriously prejudicial to the interests of the company.

Tangible fixed assets depreciation policy

Tangible fixed assets are stated at cost, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost of each asset on a straight-line balance basis over its expected useful life, as follows: computer equipment 3 years

Intangible fixed assets amortisation policy

Development costs are written off as incurred except where the directors are satisfied as to the technical, commercial and financial viability of individual projects in which case the asset is written off over 3 years on a straight line basis.

Other accounting policies

Going concern The financial statements are prepared under the historical cost convention and under the going concern basis. The company made a profit of £9,767 (£166,953) for the year and would have made losses but for the write back of accrued unpaid salaries and would have continued to make losses up to the date of signing these financial statements. The directors have prepared cash flow forecasts which show that the company will be able to generate income and cash and accordingly that the company will be able to meet its liabilities as and when they fall due for a period at least twelve months from the date on which these accounts were approved. In the event that increases in income and cash generation do not arise, the directors believe that it is possible for the company to obtain further, as yet unidentified, funding. The unidentified nature of this funding gives rise to a material uncertainty which may cast significant doubt as to the company's ability to continue as a going concern and therefore it may be unable to realise its assets and discharge its liabilities in the normal course of business. Therefore, the directors consider that it is appropriate to prepare the financial statements on a going concern basis and hence the financial statements do not include any adjustments that would result from a failure to achieve the anticipated growth in revenue and cash receipts.

2. Tangible assets

3. Debtors

4. Creditors: amounts falling due within one year

5. Creditors: amounts falling due after more than one year

Other creditors comprise subscriptions for shares amounting to £259,998 awaiting allotment pending the establishment of a third party price for the ordinary shares of the business

6. Called up share capital

Allotted, called up and paid