The Sigma Financial Group Limited - Accounts to registrar (filleted) - small 17.3

REGISTERED NUMBER: 07299903 (England and Wales)

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2017

FOR

THE SIGMA FINANCIAL GROUP LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

G E Gilburd

M J Harfield

SECRETARY:

Industrial & Commercial Consultancy Ltd

REGISTERED OFFICE:

Grosvenor House

Prospect Hill

Redditch

Worcestershire

B97 4DL

REGISTERED NUMBER:

07299903 (England and Wales)

INDEPENDENT AUDITORS:

Barrow LLP

Jackson House

Station Road

Chingford

London

E4 7BU

BANKERS:

Natwest Bank

Chesterfield Commercial Office

3rd Floor, 5 Market Place

Chesterfield

S40 1TY

FIXED ASSETS

Investments

4

2,775,000

-

CURRENT ASSETS

Debtors

5

29,393

20,742

Cash at bank

171

52

29,564

20,794

CREDITORS

Amounts falling due within one year

6

42,198

33,428

NET CURRENT LIABILITIES

(12,634

)

(12,634

)

TOTAL ASSETS LESS CURRENT LIABILITIES

2,762,366

(12,634

)

CAPITAL AND RESERVES

Called up share capital

7

3,835,611

1,060,611

Share premium

8

2,872,748

2,872,748

Retained earnings

8

(3,945,993

)

(3,945,993

)

SHAREHOLDERS' FUNDS

2,762,366

(12,634

)

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

In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors on 24 November 2017 and were signed on its behalf by:

G E Gilburd - Director

1.	STATUTORY INFORMATION

The Sigma Financial Group 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.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

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.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Turnover

Turnover represents the value, net of value added tax and discounts, of work carried out in respect of services provided to

group companies. It is recognised in line with the provision of the service.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the

instruments.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes, in effect, a

financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of

interest for a similar debt instrument.

Debt instruments are subsequently measured at amortised cost.

Other financial instruments are initially recognised at fair value, unless payment for an asset is deferred beyond normal

business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present

value of the future payments discounted at a market rate of interest for a similar debt instrument. Financial assets that are

measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If

there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.

Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a

carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not

previously been recognised

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, except to the

extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively

enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in

which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted

or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be

recovered against the reversal of deferred tax liabilities or other future taxable profits.

Investments

Fixed asset investments are stated at cost less provision for any diminution in value.

Impairment

At each reporting date, tangible fixed assets and investments are assessed to determine whether there is an indication that

the carrying amount of an asset may be more than its recoverable amount and that the asset should be impaired. If there is

an indication of possible impairment, the recoverable amount of an asset, which is the higher of its value in use and its net

realisable value, is estimated and compared with its carrying amount. If the recoverable amount is lower, the carrying amount

of the asset is written down to its estimated recoverable amount and an impairment loss is recognised in profit and loss.

Going concern

The Sigma Financial Group Limited's wholly owned subsidiary Clanchatton Birmingham Limited incurred operating losses of

£620,034 for the year to 30 April 2017. In considering the appropriateness of the going concern basis for the preparation of

these financial statements, the directors have considered the working capital requirements of the company for the short,

medium and longer term. They have reviewed the cash flow forecasts and considered the future funding requirements which

show that the company may require further financing to support near term trading performance. Based on continued support

from the immediate parent undertaking and the capacity to raise external funding in the form of discount finance, the directors

have formed a judgement that the business has access to adequate resources to continue in operation for the foreseeable

future. For this reason, the Directors continue to adopt the going concern basis in preparing the financial statements.

4.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

Additions

2,775,000

At 30 April 2017

2,775,000

NET BOOK VALUE

At 30 April 2017

2,775,000

The company's investments at the Balance Sheet date in the share capital of companies include the following:

Sigma Financial Limited

Registered office: Grosvenor House, Prospect Hill, Redditch, Worcestershire, B97 4DL

Nature of business: Dormant

%

Class of shares:

holding

Ordinary

100.00

30.4.17

30.4.16

£

£

Aggregate capital and reserves

(19,169

)

(19,169

)

Sigma Red Limited

Registered office: Grosvenor House, Prospect Hill, Redditch, Worcestershire, B97 4DL

Nature of business: Dormant

%

Class of shares:

holding

Ordinary

100.00

30.4.17

30.4.16

£

£

Aggregate capital and reserves

(8,913,030

)

(8,913,030

)

Recodebt Limited

Registered office: Grosvenor House, Prospect Hill, Redditch, Worcestershire, B97 4DL

Nature of business: Holding company

%

Class of shares:

holding

1000 Ordinary shares class "A"

100.00

3 Ordinary shares class "B"

100.00

30.4.17

30.4.16

£

£

Aggregate capital and reserves

94,863

(36,207

)

Profit/(loss) for the year/period

131,070

(1,233,355

)

Clanchatton Birmingham Limited

Registered office: Grosvenor House, Prospect Hill, Redditch, Worcestershire, B97 4DL

Nature of business: Provision of credit management services

%

Class of shares:

holding

Ordinary

100.00

30.4.17

30.4.16

£

£

Aggregate capital and reserves

1,532,503

(18,589,793

)

Profit/(loss) for the year/period

17,347,296

(6,198,532

)

The investments includes carrying value of £2,775,000 for Clanchatton Birmingham Limited wholly owned subsidiary of The

Sigma Financial Group Limited arising from the new investment made by the immediate parent undertaking Sanclare (UK)

Limited. After the application of the equity method, the company determines whether it is necessary to impair the investments

in the wholly owned subsidiary. As explained in the Directors' report that the investment should not be impaired and reported

on its carrying value.

Commercial Credit Services Limited

Registered office: Grosvenor House, Prospect Hill, Redditch, Worcestershire, B97 4DL

Nature of business: Dormant

%

Class of shares:

holding

Ordinary

100.00

30.4.17

30.4.16

£

£

Aggregate capital and reserves

209

209

Advanced Tracing Services Limited

Registered office:

Nature of business: Dormant

%

Class of shares:

holding

Ordinary

100.00

30.4.17

30.4.16

£

£

Aggregate capital and reserves

105

105

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.4.17

30.4.16

£

£

Prepayments and accrued income

29,393

20,742

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.4.17

30.4.16

£

£

Trade creditors

30,219

15,159

Amounts owed to group undertakings

11,597

11,135

Other creditors

382

7,134

42,198

33,428

7.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

30.4.17

30.4.16

value:

£

£

239,333

Ordinary A

£1

239,333

239,333

3,596,278

Ordinary B

£1

3,596,278

821,278

3,835,611

1,060,611

2,775,000 Ordinary B shares of £1 each were allotted and fully paid for cash at par during the year.

8.

RESERVES

Retained

Share

earnings

premium

Totals

£

£

£

At 1 May 2016

(3,945,993

)

2,872,748

(1,073,245

)

Profit for the year

-

-

-

At 30 April 2017

(3,945,993

)

2,872,748

(1,073,245

)

9.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Trevor Curtis (Senior Statutory Auditor)

for and on behalf of Barrow LLP

10.	RELATED PARTY DISCLOSURES

Clanchatton Birmingham Limited

Subsidiary

At 30 April 2017 the company had an amount owed to Clanchatton Birmingham Limited of £11,597 (2016: £11,135) relating to

recharge of costs.

During the year the company has waived the indebtedness of £17,956,451 through a deed of waiver in favour of wholly owned

subsidiary Clanchatton Birmingham Limited.

11.	ULTIMATE CONTROLLING PARTY

The controlling party is Sanclare (UK) Limited.

The ultimate controlling party is Digicall Holdings (Pty) Ltd.

12.	FIRST YEAR ADOPTION

The transition to FRS 102 has been implemented by the company in respect of the prior financial periods with no significant

impact on the comparative financial statement's results. Therefore no changes have been recognised in the comparative

information of these financial statements as a result of the transition to FRS 102.