Company Registration No. 07973969 (England and Wales)
Lavanya Plus Limited
Unaudited financial statements
for the year ended 31 March 2020
Pages for filing with the Registrar
Lavanya Plus Limited
Contents
Page
Statement of financial position
1 - 2
Notes to the financial statements
3 - 9
Lavanya Plus Limited
Statement of financial position
As at 31 March 2020
Page 1
2020
2019
Notes
£
£
£
£
Fixed assets
Intangible assets
3
176,534
147,044
Tangible assets
4
2,448
1,856
Investments
5
153
153
179,135
149,053
Current assets
Debtors
7
6,855
38,976
Cash at bank and in hand
14,300
6,675
21,155
45,651
Creditors: amounts falling due within one year
8
(460,992)
(407,652)
Net current liabilities
(439,837)
(362,001)
Total assets less current liabilities
(260,702)
(212,948)
Capital and reserves
Called up share capital
9
100
100
Profit and loss reserves
(260,802)
(213,048)
Total deficit of shareholder funds
(260,702)
(212,948)
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial year ended 31 March 2020 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.
Lavanya Plus Limited
Statement of financial position (continued)
As at 31 March 2020
Page 2
The financial statements were approved by the board of directors and authorised for issue on 22 January 2021 and are signed on its behalf by:
Rajal Patni
Director
Company Registration No. 07973969
Lavanya Plus Limited
Notes to the financial statements
For the year ended 31 March 2020
Page 3
1
Accounting policies
Company information
Lavanya Plus Limited is a
private
company
limited by shares
incorporated in
England and Wales
.
The registered office is
11 Broadgates Avenue, Barnet, Hertfordshire, EN4 0NU.
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 £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption under section
399
of the
Companies Act 2006 not to prepare consolidated accounts
, on the basis that the group of which this is the parent qualifies as a small group
. The
financial statements
present information about the company as an individual entity and not about its group
.
1.2
Going concern
The company meets its day-to-day working capital requirements through loans from its shareholders, who are also directors. The shareholders have confirmed that they will continue to fund the working capital requirements for the business. The directors therefore have a reasonable expectation that the company has adequate resources to continue operations for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the accounts.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable
for
services provided in the normal course of business
, and
is shown net of VAT and other sales related taxes
.
1.4
Research and development expenditure
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated
.
1.5
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.
Lavanya Plus Limited
Notes to the financial statements (continued)
For the year ended 31 March 2020
1
Accounting policies (continued)
Page 4
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:
Development expenditure
3-5 years
1.6
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings
20% reducing balance
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
.
1.7
Fixed asset investments
Interests in subsidiaries
are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
The investments are assessed for impairment at each reporting date
and
any
impairment
losses or reversals of impairment losses are recognised immediately in
profit
or
loss
.
1.8
Impairment of fixed assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the
company
estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.9
Cash and cash equivalents
Cash at bank and in hand
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.
Lavanya Plus Limited
Notes to the financial statements (continued)
For the year ended 31 March 2020
1
Accounting policies (continued)
Page 5
1.10
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 statement of financial position 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.
Basic financial assets
Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including
creditors
, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities.
Trade creditors
are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
1.11
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
Lavanya Plus Limited
Notes to the financial statements (continued)
For the year ended 31 March 2020
1
Accounting policies (continued)
Page 6
1.12
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
income statement
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.
1.13
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or
fixed assets
.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
1.14
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 4
(2019 - 5).
Lavanya Plus Limited
Notes to the financial statements (continued)
For the year ended 31 March 2020
Page 7
3
Intangible fixed assets
Development expenditure
£
Cost
At 1 April 2019
147,044
Additions
29,490
At 31 March 2020
176,534
Amortisation and impairment
At 1 April 2019 and 31 March 2020
-
Carrying amount
At 31 March 2020
176,534
At 31 March 2019
147,044
As the intangible fixed asset is still in it's development stage, no amortisation has been charged.
4
Tangible fixed assets
Fixtures & Fittings
£
Cost
At 1 April 2019
2,687
Additions
1,014
At 31 March 2020
3,701
Depreciation and impairment
At 1 April 2019
831
Depreciation charged in the year
422
At 31 March 2020
1,253
Carrying amount
At 31 March 2020
2,448
At 31 March 2019
1,856
Lavanya Plus Limited
Notes to the financial statements (continued)
For the year ended 31 March 2020
Page 8
5
Fixed asset investments
2020
2019
£
£
Investments
153
153
Movements in fixed asset investments
Shares in group undertakings
£
Cost or valuation
At 1 April 2019 & 31 March 2020
153
Carrying amount
At 31 March 2020
153
At 31 March 2019
153
6
Subsidiaries
Details of the company's subsidiaries at 31 March 2020 are as follows:
Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Indirect
Lavanya Plus (India) Wema Services Private Limited
India
Technology solutions provider
Ordinary
100.00
0
7
Debtors
2020
2019
Amounts falling due within one year:
£
£
Trade debtors
462
8,168
Research & Development tax credits due
6,393
28,398
Other debtors
-
2,410
6,855
38,976
Lavanya Plus Limited
Notes to the financial statements (continued)
For the year ended 31 March 2020
Page 9
8
Creditors: amounts falling due within one year
2020
2019
£
£
Trade creditors
9,894
9,732
Taxation and social security
3,113
-
Other creditors
447,985
397,920
460,992
407,652
9
Called up share capital
2020
2019
£
£
Ordinary share capital
Issued and fully paid
100 Ordinary shares of £1 each
100
100
The shares have attached to them full voting, dividend and capital distribution (including on winding up) rights; they do not confer any rights of redemption.
10
Related party transactions
At the year end, the company owed the directors' £426,006 (2019: £387,006) in respect of their directors' loan account. Accrued interest on the directors' loan account totalled £7,140 (2019: £nil) in the year.