Salpo Technologies Limited - Period Ending 2018-03-31

Registration number: 06419096

Prepared for the registrar

Salpo Technologies Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 March 2018

Salpo Technologies Limited

(Registration number: 06419096)
Balance Sheet as at 31 March 2018

	Note	2018  £	2017  £
Fixed assets
Investments	4	10	10
Current assets
Debtors	5	320,895	200,358
Cash at bank and in hand		182,500	171,547
		503,395	371,905
Creditors: Amounts falling due within one year	6	(119,404)	(97,900)
Net current assets		383,991	274,005
Net assets		384,001	274,015
Capital and reserves
Called up share capital		46	32
Share premium reserve		1,359,974	859,988
Profit and loss account		(976,019)	(586,005)
Total equity		384,001	274,015

For the financial year ending 31 March 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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 Board on 1 June 2018 and signed on its behalf by:
 

. D M Ferkin Director

The notes on pages 2 to 6 form an integral part of these financial statements.
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Salpo Technologies Limited

Notes to the Financial Statements for the Year Ended 31 March 2018

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Festival House
Jessop Avenue
Cheltenham
GL50 3SH

2

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 for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Group accounts not prepared

The company is part of a small group. The company has taken advantage of the exemption provided by Section 398 of the Companies Act 2006 and has not prepared group accounts.

Going concern

After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.

Judgements

No significant judgements have been made by management in preparing these financial statements.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing on the initial transaction dates.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current corporation tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

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Salpo Technologies Limited

Notes to the Financial Statements for the Year Ended 31 March 2018

Investments

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.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. All trade debtors are repayable within one year and hence are included at the undiscounted cost of cash expected to be received. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the debtors.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

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.

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Salpo Technologies Limited

Notes to the Financial Statements for the Year Ended 31 March 2018

Financial instruments

Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

 Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

 Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the profit and loss.
 

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was as follows:

	2018  No.	2017  No.
Average number of employees	5	4

4

Investments

	2018 £	2017 £
Investments in subsidiaries	10	10

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking	Registered office	Holding	Proportion of voting rights and shares held
			2018	2017
Subsidiary undertakings
Salpo Technologies (Private) Limited	Level 2, Bartleet House, 65 Braybrook Place Colombo 02	Ordinary	100%	100%
	Sri Lanka

The profit for the financial period of Salpo Technologies (Private) Limited was £38,749 (2017: £6,288) and the aggregate amount of capital and reserves at the end of the period was £63,508 (2017: £6,299).

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Salpo Technologies Limited

Notes to the Financial Statements for the Year Ended 31 March 2018

5

Debtors

	2018  £	2017  £
Trade debtors	143,642	77,455
Other debtors	4,471	15,736
Prepayments	172,782	107,167
	320,895	200,358

6

Creditors

Creditors: amounts falling due within one year

	Note	2018  £	2017  £
Due within one year
Loans and borrowings	7	27,959	27,959
Trade creditors		27,078	2,902
Social security and other taxes		34,124	37,062
Outstanding defined contribution pension costs		198	91
Other creditors		24,010	24,570
Accrued expenses		6,035	5,316
		119,404	97,900

7

Loans and borrowings

	2018 £	2017 £
Current loans and borrowings
Director's loan account	27,959	27,959

8

Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £171,858 (2017 - £42,633).

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Salpo Technologies Limited

Notes to the Financial Statements for the Year Ended 31 March 2018

9

Related party transactions

Transactions with directors

At the year end the company owed the director JAC Brown £27,959 (2017: £27,959) in the form of a director's loan account. The loan is unsecured, repayable on demand and no interest was paid in the year. There is £24,000 (2017: £24,000) of accrued interest not paid, owed to JAC Brown, included within other creditors.

Transactions with other related parties

Within other debtors is £4,471 (2017: £15,736) owed from its subsidiary Salpo Technologies (Private) Limited PV 113171. The loan is unsecured, interest free and repayable on demand.
 

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