REGISTERED NUMBER: |
UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021 |
FOR |
VOLUTION MUSIC LIMITED |
REGISTERED NUMBER: |
UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021 |
FOR |
VOLUTION MUSIC LIMITED |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
CONTENTS OF THE FINANCIAL STATEMENTS |
for the Year Ended 30 NOVEMBER 2021 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
VOLUTION MUSIC LIMITED |
COMPANY INFORMATION |
for the Year Ended 30 NOVEMBER 2021 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
ACCOUNTANTS: |
Chartered Accountants |
and Statutory Auditor |
61 Queen Square |
Bristol |
BS1 4JZ |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
BALANCE SHEET |
30 NOVEMBER 2021 |
2021 | 2020 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 4 |
CURRENT ASSETS |
Debtors | 5 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 6 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 7 |
Share premium |
Retained earnings | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS |
The directors acknowledge their responsibilities for: |
(a) | ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
BALANCE SHEET - continued |
30 NOVEMBER 2021 |
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 and authorised for issue on |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
NOTES TO THE FINANCIAL STATEMENTS |
for the Year Ended 30 NOVEMBER 2021 |
1. | STATUTORY INFORMATION |
Volution Music Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Intangible assets |
Software development costs are capitalised as incurred, and are amortised from the date the software product becomes viable and is available for sale. Amortisation is calculated to write off the cost less residual value of each asset over its expected useful life, as follows: |
Software development - 5 years straight line |
Financial instruments |
Financial assets and liabilities are recognised in the balance sheet when the company becomes party to the contractual provisions of the instrument. |
Trade and other debtors and creditors are classified as basic financial instruments and are measured on initial recognition at transaction price. Debtors and creditors are subsequently measured at amortised cost using the effective interest rate method. A provision is established when there is objective evidence that the company not be able to collect all amounts due. |
Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank. |
Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of any direct issue costs. |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 30 NOVEMBER 2021 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
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. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
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 timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Going concern |
The directors have reviewed the going concern status of the business for the foreseeable future as best they can given the current situation with COVID-19. |
The financial statements have been prepared on a going concern basis which assumes that the company will continue in operational existence for the foreseeable future. |
The validity of this assumption depends on the support of the company's directors and shareholders, as required, and the successful raising of additional funding to enable the company to meet the costs to complete the development of its software products. This process has been delayed by COVID-19. |
The company incurred a loss for the year ended 30 November 2021 of £2,576 (2020 - £2,057) and has net current liabilities at 30 November 2021 of £43,293 (2020 - £40,717). The directors and shareholders have personally provided loan funding to ensure the company is able to meet these liabilities as they fall due since the year end, and have confirmed this financial support will continue to be provided until additional equity investment is in place. |
The directors believe that the company will be able to raise the necessary finance to meet its liabilities as they fall due for the foreseeable future and to complete development of the software products, and therefore consider that the going concern assumption remains appropriate. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 30 NOVEMBER 2021 |
4. | INTANGIBLE FIXED ASSETS |
Other |
intangible |
assets |
£ |
COST |
At 1 December 2020 |
and 30 November 2021 |
NET BOOK VALUE |
At 30 November 2021 |
At 30 November 2020 |
No amortisation has been charged on software development costs incurred to date as the software product is still in development and is not currently commercially available for sale at the year end. |
5. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2021 | 2020 |
£ | £ |
Other debtors |
VAT liability |
6. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2021 | 2020 |
£ | £ |
Other creditors |
Accruals and deferred income |
7. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2021 | 2020 |
value: | £ | £ |
Ordinary | £1.00 | 126 | 126 |
VOLUTION MUSIC LIMITED (REGISTERED NUMBER: 05300020) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 30 NOVEMBER 2021 |
8. | RELATED PARTY DISCLOSURES |
During the year Swallet Management Solutions Limited, a related company by virtue of common directorship of D L Parfitt and G E Coles, settled costs on behalf of the company totalling £290 (2020 - £7,785) and at 30 November 2021 the company owed £17,090 (2020 - £16,800) to Swallet Management Solutions Limited. |
During the year The Emotional Intelligence Company Limited, a related company by virtue of common directorship of D L Parfitt and G E Coles, settled costs on behalf of the company totalling £Nil (2020 - £60) and at 30 November 2021 the company owed £60 (2020 - £60) to The Emotional Intelligence Company Limited. |
9. | ULTIMATE CONTROLLING PARTY |
The company is under the control of its G E Coles, J Docherty, W McTaggart, D L Parfitt and M S Hanlin, who, throughout the year, held 17.5% each of the company's issued equity share capital. |