DelAgua Water Testing Limited - Period Ending 2016-12-31
DelAgua Water Testing Limited - Period Ending 2016-12-31
Registration number:
for the Year Ended
DelAgua Water Testing Limited
Contents
Balance Sheet |
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Notes to the Financial Statements |
DelAgua Water Testing Limited
(Registration number: 05940720)
Balance Sheet as at 31 December 2016
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2016 |
(As restated) |
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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 (liabilities)/assets |
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Capital and reserves |
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Called up share capital |
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Profit and loss account |
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Total equity |
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For the financial year ending 31 December 2016 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
Page 1 |
DelAgua Water Testing Limited
(Registration number: 05940720)
Balance Sheet as at 31 December 2016
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 and the option not to file the Profit and Loss Account has been taken.
Approved and authorised by the
.........................................
J S Beaumont
Director
Page 2 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
General information |
The company is a private company limited by share capital incorporated in England and Wales.
The address of its registered office is:
England
The principal place of business is:
Unit 2 The Old Dairy
Church Lane
Lower Fyfield
Marlborough
Wiltshire
SN8 1PY
United Kingdom
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.
Going concern
The financial statements have been prepared on a going concern basis.
The company has £24,689,160 of redeemable preference shares in issue which are redeemable at a future agreed date between the directors and the preference share holders.The directors will not agree to the redemption unless the company is in position to repay the preference share holders. This together with the directors belief that the company will continue to trade profitably (exclusive of the intercompany loan write off this year) mean the directors believe the going concern basis to be appropriate.
Prior period errors
A prior period adjustment has been made to restate £24,689,160 of redeemable preference shares as equity rather than debt on the basis that dividends on the shares are discretionary and the shares are only redeemable with the agreement of the directors of DelAgua Water Testing Limited.
Tangible assets
Tangible assets are stated in the statement of financial position 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.
Page 3 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
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 |
Plant and machinery |
20% straight line |
Office equipment |
33% straight line |
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.
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.
Intangible assets
Separately acquired trademarks and licences are shown at historical cost.
Trademarks, licences (including software) and customer-related intangible assets acquired in a business combination are recognised at fair value at the acquisition date.
Trademarks, licences and customer-related intangible assets have a finite useful life and are carried at cost less accumulated amortisation and any accumulated impairment losses.
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:
Asset class |
Amortisation method and rate |
Research and development |
20% reducing balance |
Intellectual property |
20% reducing balance |
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.
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.
Page 4 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
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.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Page 5 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
Intangible assets |
Goodwill |
Trademarks, patents and licenses |
Other intangibles |
Development costs |
Total |
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Cost or valuation |
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At 1 January 2016 |
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At 31 December 2016 |
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Amortisation |
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At 1 January 2016 |
- |
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Amortisation charge |
- |
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At 31 December 2016 |
- |
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Carrying amount |
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At 31 December 2016 |
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At 31 December 2015 |
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Page 6 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
Tangible assets |
Furniture, fittings and equipment |
Other property, plant and equipment |
Total |
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Cost or valuation |
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At 1 January 2016 |
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At 31 December 2016 |
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Depreciation |
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At 1 January 2016 |
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Charge for the year |
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At 31 December 2016 |
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Carrying amount |
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At 31 December 2016 |
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At 31 December 2015 |
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Investments |
2016 |
2015 |
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Investments in subsidiaries |
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Subsidiaries |
£ |
Cost or valuation |
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At 1 January 2016 |
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Provision |
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Carrying amount |
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At 31 December 2016 |
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At 31 December 2015 |
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Page 7 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
Stocks |
2016 |
2015 |
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Other inventories |
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Debtors |
Note |
2016 |
2015 |
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Trade debtors |
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Amounts owed by group undertakings and undertakings in which the company has a participating interest |
- |
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Other debtors |
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Total current trade and other debtors |
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Debtors includes £nil (2015 - £25,472,898) receivable after more than one year.
Creditors |
Note |
2016 |
2015 |
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Due within one year |
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Loans and borrowings |
- |
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Trade creditors |
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Taxation and social security |
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Other creditors |
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Due after one year |
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Loans and borrowings |
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- |
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Other non-current financial liabilities |
- |
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468,580 |
237,845 |
Page 8 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
Loans and borrowings |
2016 |
2015 |
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Non-current loans and borrowings |
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Other borrowings |
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- |
2016 |
2015 |
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Current loans and borrowings |
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Other borrowings |
- |
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Exceptional items |
During the year, intercompany debtors and creditors totalling £25,369,654 were written off to the profit and loss account reducing the company's profits accordingly.
Page 9 |
DelAgua Water Testing Limited
Notes to the Financial Statements for the Year Ended 31 December 2016
Related party transactions |
Transactions with directors |
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J S Beaumont had a loan with the company. At the balance sheet date the amount due to J S Beaumont was £149,936 (2015: £122,115).
N McDougall had a loan with the company. At the balance sheet date the amount due to N McDougall was £318,644 (2015: £256,157).
Income and receivables from related parties
2016 |
Parent |
Management charges receivable |
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2015 |
Parent |
Entities with joint control or significant influence |
Management charges receivable |
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- |
Amounts receivable from related party |
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Expenditure with and payables to related parties
2016 |
Entities with joint control or significant influence |
Management charges payable |
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2015 |
Entities with joint control or significant influence |
Management charges payable |
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Amounts payable to related party |
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Parent and ultimate parent undertaking |
The ultimate controlling party is
Transition to FRS 102 |
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