Abbreviated Company Accounts - FUTURE ENERGY(SUPPLY) LTD

1Accounting Policies

Basis of measurement and preparation of accounts
The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015).

The directors confirm that despite the current trading position, the company is on track in delivering its five year business plan targets through to 2020. The current trading losses relate to attracting initial market share and investing in the company's operational capability. The business plan is supported by three further rounds of fundraising (£2.25m in total) during 2017/18.

Current trading will remain loss making for the year 2016/17 with the company being profitable in 2017/18.

Therefore, the directors consider it appropriate to believe the going concern basis of accounting is appropriate in preparing the annual financial statements.

The financial statements are prepared in accordance with applicable United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), which have been applied consistently (except as otherwise stated).

The financial statements present information about the company as an individual undertaking and not about its group. The company and its subsidiary undertakings comprise a small-sized group. The company has therefore taken advantage of the exemptions provided by section 399 of the Companies Act 2006 not to prepare group accounts.

Turnover policy
Turnover represents amounts receivable for goods and services net of VAT and trade discounts.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows: -

Land and buildings (leasehold) - 20% straight line;
Computer equipment - 20% straight line;
Fixtures, fittings & equipment - 20% straight line; and
Motor vehicles - 33% straight line.

Intangible assets amortisation policy
Licences are valued at cost less amortisation. The OFGEM licence is amortised over 10 years.

Other accounting policies
Fixed asset investments are stated at cost less provision for diminution in value.

4Fixed assets Investments
Fixed asset investments

The company holds 100% of the share capital of Future Energy Utilities Limited and Future Energy (Services) Limited. Both companies are registered in the United Kingdom and in each case Future Energy (Supply) Limited held 100% of the issued share capital being one £1 ordinary share.

The aggregate amount of capital and reserves for both Future Energy Utilities Limited and Future Energy (Services) Limited was £1 at the last relevant financial year end and the results of these undertakings for the last relevant financial year were that both companies had a nil result.

The principal activity of Future Energy Utilities Limited is that of "electricity supplier" and Future Energy (Services) Limited is that of "combined facilities support" although both companies were dormant throughout the year.

Between 8 February 2016 and 23 June 2016, 115,637 ordinary shares of £0.00004 each were allotted and fully paid at par plus a premium of £4.99996 per share.