Company Registration No. 09221291 (England and Wales)
CRYPTO COMPOSITE LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2020
PAGES FOR FILING WITH REGISTRAR
CRYPTO COMPOSITE LIMITED
CONTENTS
Page
Accountants' report
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 9
CRYPTO COMPOSITE LIMITED
ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF CRYPTO COMPOSITE LIMITED FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Crypto Composite Limited for the year ended 30 September 2020 which comprise the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
This report is made solely to the Board of Directors of Crypto Composite Limited, as a body. Our work has been undertaken solely to prepare for your approval the financial statements of Crypto Composite Limited
and state those matters that we have agreed to state to the Board of Directors of Crypto Composite Limited, as a body. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Crypto Composite Limited and its Board of Directors as a body, for
our work or for this report.
It is your duty to ensure that Crypto Composite Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets,
liabilities, financial position and loss
of Crypto Composite Limited. You consider that Crypto Composite Limited is exempt from the statutory audit
requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Crypto Composite Limited. For this reason, we have not verified the accuracy or completeness of the
accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Kirk Rice LLP
24 May 2021
Victoria House
178-180 Fleet Road
Fleet
Hampshire
GU51 4DA
CRYPTO COMPOSITE LIMITED
BALANCE SHEET
AS AT
30 SEPTEMBER 2020
30 September 2020
- 2 -
2020
2019
as restated
Notes
£
£
£
£
Fixed assets
Intangible assets
3
141,715
120,277
Tangible assets
4
272
4,253
Investments
5
30,221
172,208
124,530
Current assets
Debtors
6
46,475
40,237
Cash at bank and in hand
422,836
39,707
469,311
79,944
Creditors: amounts falling due within one year
7
(71,907)
(69,379)
Net current assets
397,404
10,565
Total assets less current liabilities
569,612
135,095
Capital and reserves
Called up share capital
14
11
Share premium account
877,326
247,599
Revaluation reserve
221
Profit and loss reserves
(307,949)
(112,515)
Total equity
569,612
135,095
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 30 September 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.
CRYPTO COMPOSITE LIMITED
BALANCE SHEET (CONTINUED)
AS AT
30 SEPTEMBER 2020
30 September 2020
- 3 -
The financial statements were approved by the board of directors and authorised for issue on 24 May 2021 and are signed on its behalf by:
Mr C Morris
Director
Company Registration No. 09221291
CRYPTO COMPOSITE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 4 -
1
Accounting policies
Company information
Crypto Composite Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Kells, Burnt Oak, East Bergholt, Suffolk, CO7 6TL.
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, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover relates to
cryptocurrency services
provided and is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Turnover is recognised in line with the performance of these services.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that
it is probable will be
recover
ed
.
1.3
Research and development expenditure
Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated
. In this case the development is expected to create a lasting asset which will generate future revenues.
1.4
Intangible fixed assets other than goodwill
Intangible assets are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Development costs are recognised as an intangible asset when it can be demonstrated that the costs are incurred in generating software that can be used to generate future income.
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 costs
5 year straight line
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.
CRYPTO COMPOSITE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
1
Accounting policies
(Continued)
- 5 -
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:
Computers
3 year straight line
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
Fixed asset investments
Investments
are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Transaction costs are expensed to profit or loss as incurred. Changes in fair value are recognised in other comprehensive income except to the extent that a gain reverses a loss previously recognised in profit or loss, or a loss exceeds the accumulated gains recognised in equity
;
such gains and loss are recognised in profit or loss.
1.7
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.
1.8
Financial instruments
Financial assets and financial liabilities are recognised when the company becomes a party to the contractual provisions of the financial instrument.
Basic financial liabilities
Creditors are not interest bearing and are included at their nominal value.
1.9
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.
1.10
Taxation
The tax expense represents the tax currently payable or reclaimable.
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.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
CRYPTO COMPOSITE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 6 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2020
2019
Number
Number
Total
3
2
3
Intangible fixed assets
Development costs
£
Cost
At 1 October 2019
183,608
Additions - internally developed
72,699
At 30 September 2020
256,307
Amortisation and impairment
At 1 October 2019
63,331
Amortisation charged for the year
51,261
At 30 September 2020
114,592
Carrying amount
At 30 September 2020
141,715
At 30 September 2019
120,277
CRYPTO COMPOSITE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 7 -
4
Tangible fixed assets
Computers
£
Cost
At 1 October 2019
12,756
Additions
315
Disposals
(776)
At 30 September 2020
12,295
Depreciation and impairment
At 1 October 2019
8,503
Depreciation charged in the year
4,296
Eliminated in respect of disposals
(776)
At 30 September 2020
12,023
Carrying amount
At 30 September 2020
272
At 30 September 2019
4,253
5
Fixed asset investments
2020
2019
£
£
Other investments other than loans
30,221
Cryptocurrencies are treated as an intangible asset investment as it is separable and arises from contractual rights of ownership. The assets are not intended to be used in the ordinary course of business and are instead held for capital appreciation. The revaluation model is used because there is an active market for the assets.
Movements in fixed asset investments
Other
£
Cost or valuation
At 1 October 2019
-
Additions
30,000
Valuation changes
221
At 30 September 2020
30,221
Carrying amount
At 30 September 2020
30,221
At 30 September 2019
CRYPTO COMPOSITE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 8 -
6
Debtors
2020
2019
Amounts falling due within one year:
£
£
Trade debtors
5,000
Other debtors
41,475
40,237
46,475
40,237
7
Creditors: amounts falling due within one year
2020
2019
£
£
Trade creditors
686
Taxation and social security
2,072
Other creditors
71,221
67,307
71,907
69,379
8
Directors' transactions
Interest free loans have been granted by the company to its directors
and are repayable on demand. These are
as follows:
These loans have been repaid by the director within 9 months of the year end.
Description
% Rate
Opening balance
Amounts repaid
Closing balance
£
£
£
Mr C Morris -
-
997
(997)
-
997
(997)
-
9
Prior period adjustment
Adjustments to equity
1 October
30 September
2018
2019
£
£
Adjustments to prior year
Reduced carried forward depreciation
628
1,255
CRYPTO COMPOSITE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
9
Prior period adjustment
(Continued)
- 9 -
Notes to adjustments
The company became VAT registered as of 1 September 2020 and made a claim for input VAT on the assets still held at this date. The prior period has been restated to show the assets at their net value and reduce the depreciation accordingly. If the assets had not been restated, the cost as at 1 October 2019 would have been £14,638 and the depreciation as at 1 October 2019 would have been £9,759.