Matchwork UK Limited - Limited company accounts 16.3

REGISTERED NUMBER: 04017582 (England and Wales)

MATCHWORK UK LIMITED

REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2016

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditor

4

Income Statement

6

Balance Sheet

7

Notes to the Financial Statements

8

DIRECTORS:

K S Wigh

H L Jensen

REGISTERED OFFICE:

Weltech Centre

Ridgeway

Welwyn Garden City

Hertfordshire

AL7 2AA

REGISTERED NUMBER:

04017582 (England and Wales)

AUDITOR:

Philip Bryan

Chartered Accountant

Statutory Auditor

Chalfont St Giles

Buckinghamshire

HP8 4AA

The directors present their report with the financial statements of the company for the year ended 31 December 2016.

The Directors' report has been prepared in accordance with the provisions applicable to companies entitled

to small companies exemption.

REVIEW OF BUSINESS

The company is now benefitting from the restructuring completed in 2012 and continues to maintain its UK

customer base with the full support of the Group.

DIRECTORS

K S Wigh has held office during the whole of the period from 1 January 2016 to the date of this report.

Other changes in directors holding office are as follows:

L Andersen - resigned 4 May 2016

H L Jensen - appointed 4 May 2016

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in

accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law

the directors have elected to prepare the financial statements in accordance with United Kingdom Generally

Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company

law the directors must not approve the financial statements unless they are satisfied that they give a true

and fair view of the state of affairs of the company and of the profit or loss of the company for that period.

In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

The directors are responsible for keeping adequate accounting records that are sufficient to show and

explain the company's transactions and disclose with reasonable accuracy at any time the financial position

of the company and enable them to ensure that the financial statements comply with the Companies Act

2006. They are also responsible for safeguarding the assets of the company and hence for taking

reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the

Companies Act 2006) of which the company's auditor is unaware, and each director has taken all the steps

that he ought to have taken as a director in order to make himself aware of any relevant audit information

and to establish that the company's auditor is aware of that information.

AUDITOR

The auditor, Philip Bryan, will be proposed for reappointment at the forthcoming Annual General Meeting.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006

relating to small companies.

ON BEHALF OF THE BOARD:

K S Wigh - Director

10 May 2017

I have audited the financial statements of Matchwork UK Limited for the year ended 31 December 2016 on

pages six to nine. The financial reporting framework that has been applied in their preparation is applicable

law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice),

including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and

Republic of Ireland'.

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of

the Companies Act 2006. My audit work has been undertaken so that I might state to the company's

members those matters I am required to state to them in a Report of the Auditor and for no other purpose.

To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the

company and the company's members as a body, for my audit work, for this report, or for the opinions I

have formed.

Respective responsibilities of directors and auditor

As explained more fully in the Statement of Directors' Responsibilities set out on page two, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. My responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require me to comply with the Auditing Practices Board's Ethical Standards for Auditors.

Scope of the audit of the financial statements

An audit involves obtaining evidence about the amounts and disclosures in the financial statements

sufficient to give reasonable assurance that the financial statements are free from material misstatement,

whether caused by fraud or error. This includes an assessment of: whether the accounting policies are

appropriate to the company's circumstances and have been consistently applied and adequately disclosed;

the reasonableness of significant accounting estimates made by the directors; and the overall presentation

of the financial statements. In addition, I read all the financial and non-financial information in the Report of

the Directors to identify material inconsistencies with the audited financial statements and to identify any

information that is apparently materially incorrect based on, or materially inconsistent with, the knowledge

acquired by me in the course of performing the audit. If I become aware of any apparent material

misstatements or inconsistencies I consider the implications for my report.

Opinion on financial statements

In my opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2016 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Opinion on other matter prescribed by the Companies Act 2006

In my opinion the information given in the Report of the Directors for the financial year for which the financial

statements are prepared is consistent with the financial statements.

Matters on which I am required to report by exception

I have nothing to report in respect of the following matters where the Companies Act 2006 requires me to

report to you if, in my opinion:

-	adequate accounting records have not been kept, or returns adequate for my audit have not been received from branches not visited by me; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	I have not received all the information and explanations I require for my audit; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Philip Bryan

Chartered Accountant

Statutory Auditor

Chalfont St Giles

Buckinghamshire

HP8 4AA

11 May 2017

TURNOVER

409,531

474,559

Cost of sales

384,200

437,426

GROSS PROFIT

25,331

37,133

Administrative expenses

37,827

18,196

OPERATING (LOSS)/PROFIT

(12,496

)

18,937

Interest payable and similar expenses

17,050

20,437

LOSS BEFORE TAXATION

(29,546

)

(1,500

)

Tax on loss

-

LOSS FOR THE FINANCIAL YEAR

(29,546

)

(1,500

)

CURRENT ASSETS

Debtors

3

99,906

70,776

Cash at bank

-

86,015

99,906

156,791

CREDITORS

Amounts falling due within one year

4

496,800

524,139

NET CURRENT LIABILITIES

(396,894

)

(367,348

)

TOTAL ASSETS LESS CURRENT
LIABILITIES

(396,894

)

(367,348

)

CAPITAL AND RESERVES

Called up share capital

1,540,100

Retained earnings

(1,936,994

)

(1,907,448

)

SHAREHOLDERS' FUNDS

(396,894

)

(367,348

)

The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

The financial statements were approved by the Board of Directors on 10 May 2017 and were signed on its
behalf by:

K S Wigh - Director

1.	STATUTORY INFORMATION

Matchwork UK Limited is a private company, limited by shares , registered in England and Wales.

The company's registered number and registered office address can be found on the Company

Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Transition to Financial Reporting Standard 102

These financial statements are the first annual financial statements of the company prepared in

accordance with Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial

Reporting Standard applicable in the UK and Republic of Ireland" (FRS102). The first date at which

this was applied was 1 January 2016. In accordance with FRS102 the comparative information has

been restated on this basis. There is no effect on the accounting policies and the opening equity and

profit for the prior year.

Turnover

Turnover comprises revenue recognised by the company in respect of services supplied, exclusive of

Value Added Tax and trade discounts, in accordance with the partner contracts.

Taxation

Current tax, including UK corporation tax, is provided at amounts expected to be paid (or recovered)

using the tax rates and laws that have been enacted or substantively enacted by the balance sheet

date.

3.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2016

2015

£

Trade debtors

99,906

70,776

4.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2016

2015

£

Amounts owed to group undertakings

479,636

497,362

Taxation and social security

11,659

19,362

Other creditors

5,505

7,415

496,800

524,139

5.	RELATED PARTY DISCLOSURES

During the year, the following amounts were paid to MatchWork World Wide A/S:

2016

2015

£

Distributor fees

384,200

437,426

In addition, the company paid interest totalling £17,050 (2015 - £20,437) on balances due between

the companies. At the year end the company owed MatchWork World Wide A/S £479,637 (2015 -

£497,362).

6.	ULTIMATE CONTROLLING PARTY

The ultimate controlling party is R Bunck, a director of North Media A/S.