Company registration number 06426697 (England and Wales)
INNGOT LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
PAGES FOR FILING WITH REGISTRAR
INNGOT LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
INNGOT LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2021
31 December 2021
- 1 -
2021
2020
Notes
£
£
£
£
Fixed assets
Intangible assets
4
537,801
403,564
Tangible assets
5
150
537,951
403,564
Current assets
Debtors
6
94,519
68,751
Cash at bank and in hand
123,071
217,590
68,751
Creditors: amounts falling due within one year
7
(245,738)
(360,769)
Net current liabilities
(28,148)
(292,018)
Total assets less current liabilities
509,803
111,546
Creditors: amounts falling due after more than one year
8
(359,575)
(73,205)
Net assets
150,228
38,341
Capital and reserves
Called up share capital
9
7,095
6,803
Share premium account
1,908,315
1,416,252
Other reserves
128,000
128,000
Profit and loss reserves
(1,893,182)
(1,512,714)
Total equity
150,228
38,341
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 31 December 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476
.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
INNGOT LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 DECEMBER 2021
31 December 2021
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 21 October 2022 and are signed on its behalf by:
M Brassell
Director
Company Registration No. 06426697
INNGOT LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
- 3 -
1
Accounting policies
Company information
Inngot Limited is a
private
company
limited by shares
incorporated in
England and Wales
.
The registered office is
Urban Village, 221 High Street, Swansea, SA1 1NW.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest
pound.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover represents amounts invoiced to third parties, net of VAT and trade discounts.
1.3
Research and development expenditure
Expenditure on research and development is written off in the year in which it is incurred.
1.4
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date
where
it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the
fair
value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
Intangible assets also comprise software development costs. Such intangible assets are stated at cost less amortisation and are reviewed for impairment whenever there is an indication that the carrying value may be impaired.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Intellectual property and licenses
Useful economic life of five years
1.5
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings
25% straight line basis
Computer equipment
33% straight line basis
INNGOT LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
1
Accounting policies
(Continued)
- 4 -
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and
is credited or charged to profit or loss
.
1.6
Cash and cash equivalents
Cash and cash equivalents
are basic financial assets
and
include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
1.8
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the
profit and loss account
because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The
company’s
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the
balance sheet date.
The company has a deferred tax asset of £
279,216
(20
20
: £
232,930
) resulting from tax losses of
£
1,469,556
(
2020: £1,225,947
). The company has not recognised any deferred tax asset in
respect of the
above due to there being uncertainty of future revenue streams and because the company is
committed to significant investment in R&D.
1.9
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.10
Government grants
Government grants are recognised at the fair value of the asset receive
d
or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred
. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
INNGOT LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
1
Accounting policies
(Continued)
- 5 -
1.11
Foreign exchange
Transactions in currencies other than
pounds sterling
are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation
in the period
are included in profit or loss.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year.
2021
2020
Number
Number
Total
16
15
3
Taxation
2021
2020
£
£
Current tax
UK corporation tax on profits for the current period
(23,107)
(41,154)
Adjustments in respect of prior periods
803
Total current tax
(23,107)
(40,351)
4
Intangible fixed assets
Intellectual property and licenses
£
Cost
At 1 January 2021
546,684
Additions - internally developed
268,872
At 31 December 2021
815,556
Amortisation and impairment
At 1 January 2021
143,120
Amortisation charged for the year
134,635
At 31 December 2021
277,755
Carrying amount
At 31 December 2021
537,801
At 31 December 2020
403,564
INNGOT LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
- 6 -
5
Tangible fixed assets
Fixtures and fittings
Computer equipment
Total
£
£
£
Cost
At 1 January 2021
4,911
31,445
36,356
Additions
4,977
4,977
At 31 December 2021
4,911
36,422
41,333
Depreciation and impairment
At 1 January 2021
4,911
31,445
36,356
Depreciation charged in the year
4,827
4,827
At 31 December 2021
4,911
36,272
41,183
Carrying amount
At 31 December 2021
150
150
At 31 December 2020
6
Debtors
2021
2020
Amounts falling due within one year:
£
£
Trade debtors
37,388
13,559
Other debtors
48,530
50,571
85,918
64,130
2021
2020
Amounts falling due after more than one year:
£
£
Other debtors
8,601
4,621
Total debtors
94,519
68,751
INNGOT LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
- 7 -
7
Creditors: amounts falling due within one year
2021
2020
£
£
Bank loans and overdrafts
9,546
50,976
Trade creditors
38,779
59,826
Taxation and social security
62,328
109,902
Other creditors
65,960
80,603
Accruals and deferred income
69,125
59,462
245,738
360,769
8
Creditors: amounts falling due after more than one year
2021
2020
Notes
£
£
Bank loans and overdrafts
38,886
48,432
Other borrowings
320,689
24,773
359,575
73,205
In March 2021, Inngot Ltd was awarded an Innovation Continuity Loan by Innovate UK to develop its new platform for IP finance, for a total of £435,887. During the year, a total of £315,000 was drawn down, shown above under ‘Other borrowings’.
9
Called up share capital
2021
2020
2021
2020
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of 1p each
709,482
680,300
7,095
6,803
During the year, Inngot Limited issued a total of 22,984 ordinary shares on 26 March 2021, for which £390,728 was received. A further 4,728 ordinary shares were issued on 16 April 2021, for which £80,376 was received. Another 1,470 ordinary shares for which £24,990 was received were issued on 28 June 2021. All these shares were issued with a nominal value of £0.01 each.
10
Events after the reporting date
After the year end, in January 2022, Inngot Ltd drew down a further £120,887 of its Innovation Continuity Loan.
Subsequently, in October 2022 (prior to finalising these accounts), Inngot Ltd issued a further 21,206 shares at a nominal value of £0.01 to a combination of existing and new private investors, raising a total of £360,502.
INNGOT LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
- 8 -
11
Option Agreement
During the financial year ending 31 December 2015
the company
first
entered into an option agreement with nine existing shareholders who
also hold loan notes.
This agreement was extended in 2017 and again in 2020.
The agreement gives the grantees the right to subscribe for ordinary shares within five years from the
date of the agreement.
The number of shares is dependent on the value of the loan notes held and the option price at the time
of exercise.