Financial Lifetime Ltd
Registered number: 08524731
Information for filing with the Registrar
For the year ended 31 December 2020
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08524731
31 December 2020
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FINANCIAL LIFETIME LTD
REGISTERED NUMBER:
08524731
STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2020
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Debtors: amounts falling due within one year
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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08524731
31 December 2020
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FINANCIAL LIFETIME LTD
REGISTERED NUMBER:
08524731
STATEMENT OF FINANCIAL POSITION
(CONTINUED)
AS AT
31 DECEMBER 2020
The directors consider that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006.
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.
The
financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.
The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The Company has opted not to file the statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.
The financial statements were approved and authorised for issue by the board and were signed on its behalf by
:
................................................
A Wearing
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The notes on pages 3 to 6 form part of these financial statements.
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08524731
31 December 2020
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FINANCIAL LIFETIME LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Financial Lifetime Ltd is a private company (limited by shares) incorporated in England and Wales. Company number 08524731. The address of its principal place of business is Norwest Court, Guildhall Street, Preston, Lancashire, PR1 3NU.
The principal activity of the Company continued to be that of marketing support.
The functional currency of the Company is Pounds Sterling as this is the currency of the primary economic environment in which the Company operates. Monetary amounts in these financial statements are rounded to the nearest £.
2.
Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of
Financial Reporting Standard 102, the Financial Reporting Standard applicable in
the UK and the Republic of Ireland and the Companies Act 2006
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The following principal accounting policies have been applied:
The Company has the continued support of its parent company and investors Smedvig Capital AS, a shareholder of the Company’s parent. The directors have not identified any material uncertainties or events that may cast doubt about the ability of the Company to continue operating over the next 12 months from the date of signing the financial statements. Furthermore, the parent undertaking and Smedvig Capital AS will continue to financially support the Company's working capital as and when required.
Considering all of the above, the directors consider it appropriate to prepare the financial statements on a going concern basis.
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:
Rendering of services
Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
∙
the amount of revenue can be measured reliably;
∙
it is probable that the Company will receive the consideration due under the contract;
∙
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
∙
the costs incurred and the costs to complete the contract can be measured reliably.
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08524731
31 December 2020
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FINANCIAL LIFETIME LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
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Cash and cash equivalents
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Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.
Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and loans to related parties.
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the statement of comprehensive income.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the reporting date.
Financial assets and liabilities are offset and the net amount reported in the statement of financial position when there is an 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.
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The average monthly number of employees, including directors, during the year was
6
(2019 -
4
)
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08524731
31 December 2020
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FINANCIAL LIFETIME LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
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Amounts owed by group undertakings
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Prepayments and accrued income
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Creditors: Amounts falling due within one year
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Amounts owed to group undertakings
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Accruals and deferred income
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Amounts due from group undertakings are unsecured, interest free and have no formal repayment terms.
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Allotted, called up and fully paid
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100
(2019:
100
)
Ordinary shares
shares of £
1.00
each
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Financial commitments, guarantees and contingent liabilities
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The Company is party to cross-company security arrangements in relation to a loan included in the parent company financial statements, of £1,542,259 (2019: £2,208,177). The loan is secured by way of a fixed and floating charge over the assets of the Company's parent, the Company and the Company's fellow subsidiary.
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08524731
31 December 2020
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FINANCIAL LIFETIME LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
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Related party transactions
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During the year £152,980 (2019: £175,006) was paid to a fellow subsidiary for management services provided. At the balance sheet date the Company was owed the sum of £740,809 (2019: £206,727) to the same fellow subsidiary.
At the balance sheet date an amount of £5,430,000 (2019: £5,430,000) was owed to the immediate parent company, in relation to a working capital loan.
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Profile FSH Limited is the immediate parent and ultimate controlling party of the Company, its registered office address is Norwest Court, Guildhall Street, Preston, PR1 3NU.
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