Company Registration No. SC239599
ABELON SYSTEMS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
PAGES FOR FILING WITH REGISTRAR
ABELON SYSTEMS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
ABELON SYSTEMS LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2022
31 December 2022
- 1 -
2022
2021
Notes
£
£
£
£
Fixed assets
Tangible assets
4
1,728
4,356
Current assets
Stocks
50,163
25,609
Debtors
5
121,891
135,699
Cash at bank and in hand
21,252
36,896
193,306
198,204
Creditors: amounts falling due within one year
6
(262,770)
(242,085)
Net current liabilities
(69,464)
(43,881)
Total assets less current liabilities
(67,736)
(39,525)
Provisions for liabilities
(328)
(828)
Net liabilities
(68,064)
(40,353)
Capital and reserves
Called up share capital
7
8,100
8,100
Share premium account
366
366
Profit and loss reserves
(76,530)
(48,819)
Total equity
(68,064)
(40,353)
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 2022 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.
The 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.
ABELON SYSTEMS LIMITED
BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2022
31 December 2022
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 19 September 2023 and are signed on its behalf by:
Adrian McKie
Director
Company Registration No. SC239599
ABELON SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
- 3 -
1
Accounting policies
Company information
Abelon Systems Limited is a private company limited by shares incorporated in Scotland. The registered office is Building 4, Quantum Court, Research Avenue South, Heriot-Watt University Research Park, Edinburgh, EH14 4AP.
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 amounts 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
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, but is dependent on the financial support of the Directors. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover represents amounts receivable for goods and services net of VAT and trade discounts.
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.
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.
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:
Patents
10% Straight Line
1.6
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.
ABELON SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
1
Accounting policies
(Continued)
- 4 -
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:
Land and buildings Leasehold
25% straight line
Fixtures, fittings & equipment
25% straight line
Computer equipment
10% straight line
1.7
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
1.8
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks.
1.9
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.
Basic financial assets
Basic financial assets, which include stock, debtors and cash and bank balances, 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.
1.10
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.
1.11
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.
ABELON SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
1
Accounting policies
(Continued)
- 5 -
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2022
2021
Number
Number
Total
10
11
3
Intangible fixed assets
Other
£
Cost
At 1 January 2022 and 31 December 2022
1,000
Amortisation and impairment
At 1 January 2022 and 31 December 2022
1,000
Carrying amount
At 31 December 2022
At 31 December 2021
ABELON SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 6 -
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 January 2022
6,938
63,704
70,642
Disposals
(9,259)
(9,259)
At 31 December 2022
6,938
54,445
61,383
Depreciation and impairment
At 1 January 2022
6,938
59,348
66,286
Depreciation charged in the year
2,628
2,628
Eliminated in respect of disposals
(9,259)
(9,259)
At 31 December 2022
6,938
52,717
59,655
Carrying amount
At 31 December 2022
1,728
1,728
At 31 December 2021
4,356
4,356
5
Debtors
2022
2021
Amounts falling due within one year:
£
£
Trade debtors
67,692
98,665
Corporation tax recoverable
27,605
21,653
Other debtors
26,594
15,381
121,891
135,699
6
Creditors: amounts falling due within one year
2022
2021
£
£
Trade creditors
6,069
5,561
Taxation and social security
47,889
77,262
Other creditors
208,812
159,262
262,770
242,085
Other Creditors is made up of £204,061 of Director Loans. While the balance sheet is in an insolvent position the directors are classifying their loans as subordinate loans.
ABELON SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 7 -
7
Called up share capital
2022
2021
£
£
Ordinary share capital
Issued and fully paid
6,000 Ordinary A Shares of £1 each
6,000
6,000
2,100 Ordinary B Shares of £1 each
2,100
2,100
8,100
8,100
8
Directors' transactions
Interest free loans have been granted by the directors to company as follows:
I Smith: £202,728 (2021: £151,737)
D Walker: £667 (2021: £667)
A Mckie: £667 (2021: £667)
While the balance sheet is in an insolvent position the directors' loans are subordinate loans.