Isotropic Systems Ltd - Accounts to registrar (filleted) - small 18.1

REGISTERED NUMBER: 08706503 (England and Wales)

ISOTROPIC SYSTEMS LTD

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

R Dooner

J Finney

J W Dick

REGISTERED OFFICE:

20-22 Wenlock Road

London

N1 7GU

REGISTERED NUMBER:

08706503 (England and Wales)

ACCOUNTANTS:

DSJ Partners (UK) Limited

1 Bell Street

2nd Floor

London

NW1 5BY

FIXED ASSETS

Tangible assets

3

7,592

1,312

Investments

4

1

-

7,593

1,312

CURRENT ASSETS

Debtors

5

811,163

92,022

Cash at bank and in hand

1,207,729

156,810

2,018,892

248,832

CREDITORS

Amounts falling due within one year

6

(135,681

)

(55,615

)

NET CURRENT ASSETS

1,883,211

193,217

TOTAL ASSETS LESS CURRENT LIABILITIES

1,890,804

194,529

CAPITAL AND RESERVES

Called up share capital

7

29

16

Share premium

126,153

599,996

Other reserves

1,818,065

-

Retained earnings

(53,443

)

(405,483

)

SHAREHOLDERS' FUNDS

1,890,804

194,529

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2017.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2017 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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 Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 30 August 2018 and were signed on its behalf by:

J Finney - Director

1.	STATUTORY INFORMATION

Isotropic Systems Ltd 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.

Turnover

Turnover is recognised when goods and services are sold during the year.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Computer equipment

-

25% on reducing balance

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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.

Research and development

Research and development expenditure is charged to the profit and loss account in the period in which it is

incurred. Development expenditure is capitalised when the criteria for recognising an asset are met.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the

balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at

the date of transaction. Exchange differences are taken into account in arriving at the operating result.

3.	TANGIBLE FIXED ASSETS

Computer

equipment

£

COST

At 1 January 2017

1,749

Additions

8,810

At 31 December 2017

10,559

DEPRECIATION

At 1 January 2017

437

Charge for year

2,530

At 31 December 2017

2,967

NET BOOK VALUE

At 31 December 2017

7,592

At 31 December 2016

1,312

4.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

Additions

1

At 31 December 2017

1

NET BOOK VALUE

At 31 December 2017

1

The Company has a wholly owned subsidiary, Isotropic Systems Inc. The Company is registered in USA and its

registered address is1302 Concourse Drive, Suite 204, Linthicum, Maryland, 21090, USA .The nature of

business is that of develop antennas for the satellite industry.

The financial information relating to the company is as follows:

$

Aggregate capital and reserves at 31 December 2017

51,089

Profit for the period

51,089

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade debtors

579,094

-

Amounts owed by group undertakings

39,124

-

Other debtors

94,714

1

Directors' current accounts

-

9,210

Tax

98,231

82,811

811,163

92,022

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade creditors

120,352

37,519

Social security and other taxes

393

-

Other creditors

6,000

18,096

Directors' current accounts

8,936

-

135,681

55,615

7.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2017

2016

value:

£

£

11,724

Ordinary shares

.001

12

12

17,010

Preferred shares

.001

17

4

29

16

Both Ordinary and Preferred shares carry one right to vote each at shareholder meetings. Preferred shares rank

pari passu with Ordinary shares for dividend. However Preferred shares have priority over Ordinary shares for

payment of an amount equal to the subscription price plus accrued dividends on a liquidation, capital reduction

or similar transaction and on a share sale which gives third party controlling interest.

During the year 9,195 Preference shares were allotted at a premium of £100.72 and 3,505 Preference shares were

allotted at par. Also during the year share premium account was reduced by £1,400,000 and the amount was

credited to the Company's distributable reserves.

8.	CONTINGENT LIABILITIES

The company has provided guarantee for all the obligations of Isotropic Systems Inc, subsidiary, under its

Finance lease agreement.At the year end the net indebtedness was $187,073.

9.	ULTIMATE CONTROLLING PARTY

The controlling party is J Finney.

10.	CONVERTIBLE LOAN NOTES

During the year Convertible loan notes were issued in advance of the proposed "Series A Preferred Share" fund

raising. The loan notes will be converted into Preferred shares.