IRIS Accounts Production
v17.3.0.1062
06712061
Board of Directors
1.1.16
31.12.16
31.12.16
1.12.17
true
false
true
false
false
false
true
false
Auditors Opinion
Ordinary A1, A2 and B1
0.01000
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2015-12-31
06712061
2016-12-31
06712061
2016-01-01
2016-12-31
06712061
2014-12-31
06712061
2015-01-01
2015-12-31
06712061
2015-12-31
06712061
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2016-01-01
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2016-01-01
2016-12-31
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2016-12-31
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2016-01-01
2016-12-31
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06712061
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06712061
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06712061
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2016-12-31
06712061
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2015-12-31
06712061
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2016-12-31
06712061
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2015-12-31
06712061
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2016-12-31
06712061
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2015-12-31
06712061
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2016-12-31
06712061
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2015-12-31
06712061
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2016-01-01
2016-12-31
06712061
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2016-01-01
2016-12-31
06712061
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2016-01-01
2016-12-31
06712061
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2015-12-31
06712061
ns5:IntangibleAssetsOtherThanGoodwill
2016-12-31
06712061
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2015-12-31
06712061
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2015-12-31
06712061
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2016-12-31
06712061
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2015-12-31
06712061
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2015-12-31
06712061
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2016-01-01
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06712061
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2016-12-31
06712061
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2015-12-31
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2015-01-01
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06712061
ns5:Subsidiary2
2016-01-01
2016-12-31
06712061
3
ns5:Subsidiary2
2016-01-01
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06712061
ns5:Subsidiary2
2016-12-31
06712061
ns5:Subsidiary2
2015-12-31
06712061
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2015-01-01
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06712061
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2016-01-01
2016-12-31
06712061
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5
2016-01-01
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06712061
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2016-12-31
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2015-01-01
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06712061
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2016-01-01
2016-12-31
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7
ns5:Subsidiary4
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ns5:Subsidiary4
2016-12-31
06712061
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2015-12-31
06712061
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06712061
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2016-01-01
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2016-12-31
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2015-12-31
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2016-12-31
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2016-12-31
06712061
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2015-12-31
06712061
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2016-12-31
06712061
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2015-12-31
06712061
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2
2014-12-31
06712061
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2
2016-01-01
2016-12-31
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2015-12-31
REGISTERED NUMBER:
06712061
(England and Wales)
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|
FOR THE YEAR ENDED 31 DECEMBER 2016
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|
|
Notes to the Financial Statements
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3
|
|
|
REGISTERED OFFICE:
|
22 Endell Street
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REGISTERED NUMBER:
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06712061 (England and Wales)
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|
AUDITORS:
|
Oury Clark Chartered Accountants
|
Intangible assets
|
4
|
37,770
|
|
42,060
|
|
|
Tangible assets
|
5
|
604,370
|
|
335,088
|
|
|
Investments
|
6
|
20,900
|
|
20,900
|
|
|
Debtors
|
7
|
241,811
|
|
203,238
|
|
|
Cash at bank
|
202,450
|
|
1,232,329
|
|
|
Amounts falling due within one year
|
8
|
6,352,341
|
|
5,712,051
|
|
|
NET CURRENT LIABILITIES
|
(5,908,080
|
) |
(4,276,484
|
) |
|
TOTAL ASSETS LESS CURRENT
LIABILITIES
|
(5,245,040
|
) |
(3,878,436
|
) |
|
Amounts falling due after more than one year
|
9
|
405,000
|
|
-
|
|
|
NET LIABILITIES
|
(5,650,040
|
) |
(3,878,436
|
) |
|
Called up share capital
|
11
|
15,007
|
|
5,605
|
|
|
Share premium
|
10,343,930
|
|
8,446,765
|
|
|
Retained earnings
|
(16,008,977
|
) |
(12,330,806
|
) |
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SHAREHOLDERS' FUNDS
|
(5,650,040
|
) |
(3,878,436
|
) |
|
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
16 November 2017 and were signed on its behalf
by:
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|
Pledgemusic.com Ltd is a
private company, limited by shares , registered in England and Wales. The company's
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|
registered number and registered office address can be found on the Company Information page.
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|
Basis of preparing the financial statements
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|
The financial statements have been prepared on the going concern basis despite the losses incurred in the
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|
company so far. The company has a signed agreement that allows it to draw upon an additional £1 million of
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|
lending for working capital purposes. The directors believe that this additional financing, in conjunction with
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|
several cost cutting measures that are being implemented in the company and increased revenues will be
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|
sufficient for the company to continue as a going concern for a period of at least 12 months and 1 day from the
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|
approval of these financial statements.
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Preparation of consolidated financial statements
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|
The financial statements contain information about Pledgemusic.com Ltd as an individual company and do not
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|
contain consolidated financial information as the parent of a group. The company has taken the option under
|
|
Section 398 of the Companies Act 2006 not to prepare consolidated financial statements.
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|
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The
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|
Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party
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|
transactions with wholly owned subsidiaries within the group.
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|
Turnover represents commission net of value added tax due to the company once pledges are fully funded
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|
according to the terms and conditions of the business.
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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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|
Computer software is being amortised evenly over its estimated useful life of three years. |
|
Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life. |
|
Plant and machinery etc
|
-
|
Between 5 and 20 years |
|
Investments in subsidiaries
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|
Investments in subsidiary undertakings are recognised at cost.
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|
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to
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|
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 is recognised in respect of all timing differences that have originated but not reversed at the balance
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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
|
|
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they
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|
will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
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|
Expenditure on research and development is written off against the profits in the year in which it is incurred.
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|
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance
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|
sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date
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|
of transaction. Exchange differences are taken into account in arriving at the operating result.
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|
Hire purchase and leasing commitments
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|
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the
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Basic Financial Instruments as covered by Section 11 of FRS102 are measured at amortised cost. The company
|
|
does not have any Other Financial Instruments as covered by Section 12 of FRS102.
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3.
|
EMPLOYEES AND DIRECTORS
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|
The average number of employees during the year was
13 .
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4.
|
INTANGIBLE FIXED ASSETS
|
|
At 31 December 2016
|
50,230
|
|
|
|
At 31 December 2016
|
12,460
|
|
|
|
At 31 December 2016
|
37,770
|
|
|
|
At 31 December 2015
|
42,060
|
|
|
|
At 1 January 2016
|
431,253
|
|
|
|
At 31 December 2016
|
929,168
|
|
|
|
At 31 December 2016
|
324,798
|
|
|
|
At 31 December 2016
|
604,370
|
|
|
|
At 31 December 2015
|
335,088
|
|
|
6.
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FIXED ASSET INVESTMENTS
|
|
and 31 December 2016
|
20,900
|
|
|
|
At 31 December 2016
|
20,900
|
|
|
|
At 31 December 2015
|
20,900
|
|
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|
The company's investments at the Balance Sheet date in the share capital of companies include the following:
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|
Pledgemusic Publishing Ltd
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|
Registered office: 22 Endell Street, London, WC2H 9AD |
|
Nature of business:
Publishing company |
|
Aggregate capital and reserves
|
(1,870
|
) |
(3,692
|
) |
|
|
Profit for the year
|
1,823
|
|
57,244
|
|
|
|
Registered office: 22 Endell Street, London, WC2H 9AD |
|
Nature of business:
Retail company |
|
Aggregate capital and reserves
|
(2,272
|
) |
254
|
|
|
|
(Loss)/profit for the year
|
(2,526
|
) |
4,108
|
|
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|
Pledgemusic Recordings Ltd
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|
Registered office: 22 Endell Street, London, WC2H 9AD |
|
Nature of business:
Recording company |
|
Aggregate capital and reserves
|
5,453
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|
7,592
|
|
|
|
(Loss)/profit for the year
|
(2,139
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) |
51,999
|
|
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|
Pledgemusic.com USA, Inc.
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|
Registered office: 265 Canal street, New York, USA |
|
Nature of business:
Music company |
|
Aggregate capital and reserves
|
356,573
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|
186,592
|
|
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|
Profit for the year
|
169,981
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|
90,955
|
|
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|
Registered office: Grünberger Str. 1 10243, Berlin, Germany |
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Nature of business:
Music company |
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Aggregate capital and reserves
|
106,032
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|
104,574
|
|
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|
Profit for the year
|
1,457
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|
3,263
|
|
|
7.
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DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
|
|
|
Amounts owed by group undertakings
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5,236
|
|
-
|
|
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Other debtors
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236,575
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203,238
|
|
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8.
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CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
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|
Trade creditors
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305,717
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|
59,951
|
|
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|
Amounts owed to group undertakings
|
286,900
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|
332,710
|
|
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|
Taxation and social security
|
28,098
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|
16,039
|
|
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Other creditors & accruals
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5,731,626
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|
5,303,351
|
|
|
9.
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CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
|
|
|
Other creditors
|
405,000
|
|
-
|
|
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|
Minimum lease payments under non-cancellable operating leases fall due as follows:
|
|
Within one year
|
31,500
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|
31,500
|
|
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11.
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CALLED UP SHARE CAPITAL
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|
Allotted, issued and fully paid:
|
|
Number:
|
Class:
|
Nominal
|
31.12.16
|
|
31.12.15
|
|
1,500,677
|
Ordinary A1, A2 and B1
|
£0.01
|
15,007 |
|
5,605 |
|
|
|
940,106 Ordinary A1, A2 and B1 shares of £0.01 each were allotted as fully paid during the year.
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The company issued 283,736 £0.01 B1 shares at a premium of £5.26.
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12.
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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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Without qualifying our opinion, we draw attention to Note 16 of the financial statements. This note describes that
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the financial statements have been prepared on the going concern basis as, despite continuing losses, the company
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has put in place cost cutting measures and has access to additional funding if needed.
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However, the current balance sheet position indicates the existence of material uncertainty which may cast
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significant doubt about the Company's ability to continue as a going concern.
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Emma Crowley (Senior Statutory Auditor)
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for and on behalf of
Oury Clark Chartered Accountants |
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We would like to draw your attention to the following statement contained within our audit report as included
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within the full financial statements:-
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"This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the
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Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those
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matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent
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permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's
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members as a body, for our audit work, for this report, or for the opinions we have formed."
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13.
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DIRECTORS' ADVANCES, CREDITS AND GUARANTEES
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The following advances and credits to a director subsisted during the years ended 31 December 2016 and
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Balance outstanding at start of year
|
5,301
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|
5,301
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|
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Balance outstanding at end of year
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5,301
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5,301
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14.
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RELATED PARTY DISCLOSURES
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The company has taken advantage of the exemptions available not to disclose transactions with wholly owned
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subsidiaries. Other related party transactions with non-wholly owned subsidiaries are as follows:
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Pledgemusic Publishing Ltd (a 90% subsidiary of the company) - During the year, Pledgemusic.com Ltd incurred
|
|
expenses on behalf of Pledgemusic Publishing Ltd to the value of £1,963 (2015: £Nil).
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There was a debtor balance of £1,963 outstanding as at 31 December 2016 (2015: £Nil).
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Pledgemusic Recordings Ltd (a 95% subsidiary of the company) - During the year, Pledgemusic.com Ltd incurred
|
|
expenses on behalf of Pledgemusic Recordings Ltd to the value of £1,450 (2015: £Nil).
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There was a debtor balance of £1,450 outstanding as at 31 December 2016 (2015: £Nil).
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15.
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ULTIMATE CONTROLLING PARTY
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In the opinion of the directors, there is no ultimate controlling party.
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16.
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UNCERTAINTY OVER GOING CONCERN AND POST BALANCE SHEET EVENTS
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The directors recognise that the company has continued to make losses in the current financial year and also since
|
|
the balance sheet date. However, the company has a signed agreement that allows it to draw upon an additional
|
|
£1 million of lending for working capital purposes. The directors believe that this additional financing, in
|
|
conjunction with several cost cutting measures that are being implemented within the company and increased
|
|
revenues, will be sufficient for the company to continue as a going concern for a period of at least 12 months and
|
|
1 day from the approval of these financial statements.
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The company adopted FRS102 for the accounting year ended 31 December 2016. There were no adjustments
|
|
arising at the transition date or at the end of the comparative period, therefore there is no difference between
|
|
equity under the previous financial reporting framework and equity under FRS102.
|