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REGISTERED NUMBER:
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CYDEN LIMITED |
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FINANCIAL STATEMENTS |
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FOR THE YEAR ENDED 31 DECEMBER 2016 |
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REGISTERED NUMBER:
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CYDEN LIMITED |
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FINANCIAL STATEMENTS |
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FOR THE YEAR ENDED 31 DECEMBER 2016 |
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CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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Page |
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Company Information | 1 |
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Balance Sheet | 2 |
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Notes to the Financial Statements | 3 |
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CYDEN LIMITED |
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COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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DIRECTORS: |
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SECRETARY: |
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REGISTERED OFFICE: |
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REGISTERED NUMBER: |
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AUDITORS: |
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Chartered Accountants |
And Statutory Auditors |
Langdon House |
Langdon Road |
SA1 Swansea Waterfront |
Swansea |
SA1 8QY |
CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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BALANCE SHEET |
31 DECEMBER 2016 |
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2016 | 2015 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 4 |
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Tangible assets | 5 |
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Investments | 6 |
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CURRENT ASSETS |
Stocks |
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Debtors | 7 |
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Cash at bank |
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CREDITORS |
Amounts falling due within one year | 8 |
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NET CURRENT LIABILITIES | ( |
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TOTAL ASSETS LESS CURRENT
LIABILITIES |
( |
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( |
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CREDITORS |
Amounts falling due after more than one
year |
9 |
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( |
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PROVISIONS FOR LIABILITIES | ( |
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NET LIABILITIES | ( |
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CAPITAL AND RESERVES |
Called up share capital |
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Share premium |
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Retained earnings |
( |
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( |
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SHAREHOLDERS' FUNDS | ( |
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In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered. |
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The financial statements were approved by the Board of Directors on
behalf by: |
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CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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1. | STATUTORY INFORMATION |
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CyDen Limited is a
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company's registered number and registered office address can be found on the Company Information |
page. |
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2. | ACCOUNTING POLICIES |
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Basis of preparing the financial statements |
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The company is both a parent and subsidiary undertaking of a small group and as such has taken |
advantage of the exemption available under the Companies Act 2006 to prepare consolidated financial |
statements. These financial statements therefore present information about the company as an |
individual undertaking and not about its group. |
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Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 |
'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related |
party transactions with wholly owned subsidiaries within the group. |
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Turnover |
Turnover comprises revenue recognised by the company in respect of goods supplied during the year, |
exclusive of Value Added Tax and trade discounts. Turnover is recognised on despatch of the goods |
to the customer. |
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Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured |
at cost less any accumulated amortisation and any accumulated impairment losses. |
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An impairment loss has been recognised in the Income Statement, following an assessment at the |
Balance Sheet date indicating the recoverable amount was less than its carrying value. |
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CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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2. | ACCOUNTING POLICIES - continued |
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Tangible fixed assets |
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Plant and machinery | - |
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Fixtures and fittings | - |
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Computer equipment | - |
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Impairment |
Tangible and intangible fixed assets are reviewed for impairment if events or changes in |
circumstances indicate that the carrying value may not be recoverable. The review assess the |
recoverable amount by reference to the net present value of expected future cash flows of the relevant |
income generating unit, or disposal value if higher. The discount rate applied for the period was based |
on the company's weighted average cost of capital, after appropriate adjustment for risk. |
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Fixed asset investments |
Fixed asset investments are valued at fair value unless fair value cannot be measured reliably, in |
which case investments are valued at cost less impairment. |
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Stocks |
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete |
and slow moving stocks. Cost includes all direct costs and, where required, an appropriate proportion |
of fixed and variable overheads. In general, cost is determined on a first in first out basis. |
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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. |
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Current or deferred taxation assets and liabilities are not discounted. |
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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. |
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Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at |
the balance sheet date. |
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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. |
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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. |
CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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2. | ACCOUNTING POLICIES - continued |
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External research and development |
Development costs are capitalised within intangible assets where they can be identified with a specific |
product or project anticipated to produce future benefits, and are amortised on the straight line basis |
the anticipated life of the benefits arising from the completed product or project, which typically is |
deemed to be 5 years. |
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Deferred research and development costs are reviewed annually, and where future benefits are |
deemed to have ceased or to be in doubt, the balance of any related research and development is |
written off to the income statement. Expenditure on product research and development is written off to |
the income statement in the year in which it is incurred. |
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R&D tax credits are recognised on an accruals basis and are included as an income tax credit under |
current assets. |
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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 using a monthly |
average exchange rate. If exchange rates fluctuate significantly in the month 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. |
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Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the |
period of the lease. |
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Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the |
company's pension scheme are charged to profit or loss in the period to which they relate. |
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Deferred income |
Contributions received towards development costs are recognised in the period that development |
expenditure is incurred. |
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Warranty Provision |
The company provides a 3 year warranty to account for the cost of the warranty. A range of 2 - 20% of |
turnover is as provided. Once the product is >3 years old the warranty provision is released. |
CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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2. | ACCOUNTING POLICIES - continued |
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Debtors |
Short term debtors are measured at transaction price, less any impairment. |
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Creditors |
Short term creditors are measured at the transaction price. Bank loans are measured initially at fair |
value, net of transaction costs, and are measured subsequently at amortised cost using the effective |
interest method. |
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Provisions for liabilities |
Provisions are recognised when the Company has a present obligation (legal or constructive) as a |
result of a past event, it is probable that an outflow of resources embodying economic benefits will be |
required to settle the obligation and a reliable estimate can be made of the amount of the obligation. |
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Functional and presentation currency |
The company's functional and presentational currency is pounds sterling. |
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Transition to FRS 102 |
These financial statements for the year ended 31 December 2016 are the first financial statements that |
comply with FRS 102 Section 1A small entities. On transition to FRS 102, Computer Software was |
reclassified as intangible assets, with no impact on retained earnings. No other adjustments were |
made to the the opening balances at the date of transition or the comparative year. The transition date |
was 1 January 2015. |
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Going concern |
The financial position of the group, liquidity and borrowing facilities are shown in the financial |
statements on pages 6 to 15. In summary, Cyden Limited has incurred significant losses over a |
number of years as it continues to invest in light based cosmetic devices addressing hair removal and |
other consumer markets, in order to deliver its strategy of commercialising relevant technology. During |
this time Cyden Ltd has required significant financial support from its shareholders through equity |
funding and from a major current customer, P&G, through the deferring repayment of an advance of |
£1,457,561. |
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However, Cyden's recent trading has improved and the company is now profitable. The repayment of |
the advance has been contractually agreed to the satisfaction of both parties and repayment |
commenced in early 2016. |
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This has given the directors confidence that Cyden has adequate resources to continue in operational |
existence for the foreseeable future |
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3. | AUDITORS' REMUNERATION |
2016 | 2015 |
£ | £ |
Fees payable to the company's auditors for the audit of the
company's financial statements |
8,500 |
8,250 |
Total audit fees | 8,500 | 8,250 |
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Auditors' remuneration for non audit work |
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Total non-audit fees | 20,033 | 9,525 |
Total fees payable | 28,533 | 17,775 |
CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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4. | INTANGIBLE FIXED ASSETS |
Patents |
and | Development | Computer |
licences | costs | software | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2016 |
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Additions |
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At 31 December 2016 |
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AMORTISATION |
At 1 January 2016 |
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Amortisation for year |
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At 31 December 2016 |
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NET BOOK VALUE |
At 31 December 2016 |
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At 31 December 2015 |
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5. | TANGIBLE FIXED ASSETS |
Fixtures |
Plant and | and | Computer |
machinery | fittings | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2016 |
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Additions |
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At 31 December 2016 |
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DEPRECIATION |
At 1 January 2016 |
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Charge for year |
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At 31 December 2016 |
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NET BOOK VALUE |
At 31 December 2016 |
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At 31 December 2015 |
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CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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6. | FIXED ASSET INVESTMENTS |
Other |
investments |
£ |
COST |
At 1 January 2016 |
and 31 December 2016 |
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NET BOOK VALUE |
At 31 December 2016 |
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At 31 December 2015 |
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The company's investment is the 100% holding of the ordinary share capital of MC500 Limited, a |
dormant company. |
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7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2016 | 2015 |
£ | £ |
Trade debtors |
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Amounts owed by group undertakings |
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Other debtors |
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8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2016 | 2015 |
£ | £ |
Bank loans and overdrafts |
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Trade creditors |
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Amounts owed to group undertakings |
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Taxation and social security |
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Other creditors |
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Included in other creditors is an advance from Proctor and Gamble of £1,457,561 (2015: £1,557,910). |
The advance is interest free and repayable on demand in full. However, under the agreement the |
company will repay $4 per unit sold to Proctor and Gamble and the advance must be repaid no later |
than 01/09/2018. |
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9. |
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR |
2016 | 2015 |
£ | £ |
Bank loans |
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CYDEN LIMITED (REGISTERED NUMBER: 04470941) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2016 |
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10. | LEASING AGREEMENTS |
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Minimum lease payments under non-cancellable operating leases fall due as follows: |
2016 | 2015 |
£ | £ |
Within one year |
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Between one and five years |
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11. | SECURED DEBTS |
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The following secured debts are included within creditors: |
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2016 | 2015 |
£ | £ |
Bank overdraft |
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Bank loans |
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Amounts owed to group | 1,289,063 | 1,795,366 |
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The bank loan has an interest charged at 3.2% above base rate per annum and is secured by a charge |
over the assets of the company dated 15/03/2012. Repayments are made monthly and the loan will be |
fully repaid in April 2017. |
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Bank Securities |
Fixed and floating charge over the undertaking and all property and assets present and future dated |
28/09/2011. |
Limited guarantee of £87,833 dated 15/03/2012. |
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Amounts owed to group undertakings |
A fixed and floating charge over all intellectual property rights now or in the future belonging to the |
company or undertaking of the company. |
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12. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
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The Report of the Auditors was unqualified. |
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for and on behalf of
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13. | CAPITAL COMMITMENTS |
2016 | 2015 |
£ | £ |
Contracted but not provided for in the |
financial statements |
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14. | ULTIMATE CONTROLLING PARTY |
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There is considered by the directors to be no ultimate controlling party of Cyden Ltd. |