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Registration number: SC205314

Codify Ltd.

Annual Report and Financial Statements

for the Year Ended 31 December 2021

Brebners
Chartered Accountants & Statutory Auditor
130 Shaftesbury Avenue
London
W1D 5AR

 

Codify Ltd.

Contents

Company Information

1

Directors' Report

2

Statement of Directors' Responsibilities

3

Independent Auditor's Report

4 to 7

Statement of Income and Retained Earnings

8

Statement of Financial Position

9

Notes to the Financial Statements

10 to 20

 

Codify Ltd.

Company Information

Directors

P Norgate

D Bruce

J F Mottard

Registered office

Johnstone House
52-54 Rose Street
Aberdeen
AB10 1UD

Auditor

Brebners
Chartered Accountants & Statutory Auditor
130 Shaftesbury Avenue
London
W1D 5AR


 

 

Codify Ltd.

Directors' Report for the Year Ended 31 December 2021

The directors present their report and the financial statements for the year ended 31 December 2021.

Directors of the company

The directors who held office during the year were as follows:

P Norgate

D Bruce

J F Mottard

Disclosure of information to the auditor

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Small companies provision statement

This report has been prepared in accordance with the small companies regime under the Companies Act 2006.

Approved by the director on 13 September 2022 and signed by:



 

.........................................
P Norgate
Director

 

Codify Ltd.

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

 

Codify Ltd.

Independent Auditor's Report to the Members of Codify Ltd.
for the Year Ended 31 December 2021

Opinion

We have audited the financial statements of Codify Ltd. (the 'company') for the year ended 31 December 2021, which comprise the Statement of Income and Retained Earnings, Statement of Financial Position, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the company's affairs as at 31 December 2021 and of its profit for the year then ended;

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

 

Codify Ltd.

Independent Auditor's Report to the Members of Codify Ltd.
for the Year Ended 31 December 2021

Opinion on other matter prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

the information given in the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Directors' Report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of directors' remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit.

the directors were not entitled to take advantage of the small companies' exemption in preparing the Directors' Report and from the requirement to prepare a Strategic Report.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities (set out on page 3), the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

 

Codify Ltd.

Independent Auditor's Report to the Members of Codify Ltd.
for the Year Ended 31 December 2021

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the company and the industry in which it operates, we determined that the principle risks of non-compliance with laws and regulations related to the reporting framework (FRS 102 and the Companies Act 2006), UK corporate taxation laws, health and safety legislation and data protection legislation. These risks were communicated to our audit team and we remained alert to any indications of non-compliance throughout our audit.

We understood how the company is complying with relevant legislation by making enquiries of management. We also considered the results of our audit procedures and to what extent these corroborate this understanding and assessed the susceptibility of the company's financial statements to material misstatement. This included consideration of how fraud might occur and evaluation of management's incentives and opportunities for fraudulent manipulation of the financial statements.

We designed our audit procedures to identify any non-compliance with laws and regulations. Such procedures included, but were not limited to, inspection of any regulatory or legal correspondence; challenging assumptions and judgements made by management; identifying and testing journal entries with a focus on large or unusual transactions as determined based on our understanding of the business; and identifying and assessing the effectiveness of controls in place to prevent and detect fraud.

Owing to the inherent limitations of an audit, there remains a risk that a material misstatement may not have been detected, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance with laws and regulations and cannot be expected to detect all instances of non-compliance.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

The primary responsibility for the detection and prevention of fraud rests with those responsible for governance and management. The further removed non-compliance with laws and regulations is from the events reflected in the financial statements, the less likely the auditor will become aware of it.

The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment, collusion, omission, misrepresentation or forgery.

 

Codify Ltd.

Independent Auditor's Report to the Members of Codify Ltd.
for the Year Ended 31 December 2021

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

......................................
Darren Bond (Senior Statutory Auditor)
For and on behalf of

Brebners, Statutory Auditor
130 Shaftesbury Avenue
London
W1D 5AR

 

14 September 2022

 

Codify Ltd.

Statement of Income and Retained Earnings for the Year Ended 31 December 2021

Note

2021
£

2020
£

Turnover

3

2,049,868

1,487,415

Cost of sales

 

(916,646)

(705,346)

Gross profit

 

1,133,222

782,069

Administrative expenses

 

(679,534)

(829,905)

Other operating income

4

-

42,957

Operating profit/(loss)

5

453,688

(4,879)

Profit/(loss) before tax

 

453,688

(4,879)

Taxation

9

(87,461)

1,300

Profit/(loss) for the financial year

 

366,227

(3,579)

Retained earnings brought forward

 

630,621

634,200

Retained earnings carried forward

 

996,848

630,621

 

Codify Ltd.

Statement of Financial Position as at 31 December 2021

Note

2021
£

2020
£

Fixed assets

 

Tangible assets

11

20,810

28,026

Current assets

 

Debtors

12

592,846

304,940

Cash at bank and in hand

 

803,178

578,475

 

1,396,024

883,415

Creditors: Amounts falling due within one year

13

(321,899)

(275,271)

Net current assets

 

1,074,125

608,144

Total assets less current liabilities

 

1,094,935

636,170

Provisions for liabilities

14

(97,987)

(5,449)

Net assets

 

996,948

630,721

Capital and reserves

 

Called up share capital

75

75

Capital redemption reserve

25

25

Profit and loss account

996,848

630,621

Shareholders' funds

 

996,948

630,721

Company registration number: SC205314

Approved and authorised by the Board on 13 September 2022 and signed on its behalf by:

 

......................................................................

P Norgate

Director

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

1

General information

The company is a private company limited by share capital, incorporated in Scotland.

The address of its registered office is:
Johnstone House
52-54 Rose Street
Aberdeen
AB10 1UD
Scotland

The principal activity of the company is that of providing IT consultancy services and software development

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except any items disclosed in the accounting policies as being shown at fair value and are presented in sterling, which is the functional currency of the entity.

Summary of disclosure exemptions

The entity satisfied the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of Sword Group SE, which can be obtained from www.sword-group.com/en/investors. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102.

(a) No cash flow statement has been presented for the company.
(b) Disclosures in respect of financial instruments have not been presented.
(c) Disclosure in respect of aggregate remuneration of key management personnel has not been presented.
(d) Disclosure in respect of share capital has not been presented.

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

Going concern

The company made a profit for the year ended 31 December 2021 and had net assets of £996,948 at that date.

As we have now moved out of the COVID crisis we are fortunate to be able to report that over the past year business has been robust and the financial performance of the business has remained strong in spite of the challenging economic climate.

Our business to date has proven resilient and maintained profitability. As Codify Ltd. is a project based business, we have seen the deferral of certain pieces of work, however we are now seeing the pent up demand coming back to the market and our pipeline for future work is looking strong.

As such, having made enquiries, the directors have a reasonable expectation that the company has adequate resources to continue operating for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual income. Key assumptions and other estimation uncertainty may have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Judgements and estimates that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows:

Useful economic lives of tangible assets

Tangible fixed assets are depreciated to their estimated residual values over their estimated useful lives. The company exercises judgement to determine these useful lives and residual values.

Deferred tax

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other 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. The company exercises judgement to estimate such recoverability.

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

Revenue recognition

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. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as income.

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 recovered.

Government grants

Government grants have been recognised when there is reasonable assurance that the entity will comply with the conditions attaching to them and that the grants will be received. The grants have been recognised based on the accrual model as a grant relating to revenue, which has been recognised in other operating income in the period in which it becomes receivable.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively.

Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Fixtures, fittings and equipment

33 % straight line

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class

Amortisation method and rate

Development costs

33% straight line

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade and other debtors are initially recognised at the transaction price and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less impairment losses for bad and doubtful debts.

Trade creditors

Trade and other creditors are initially recognised at the transaction price and are thereafter stated at amortised cost using the effective interest method unless the effect of discounting would be immaterial, in which case they are stated at cost.

Provisions

Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

Finance leases

Assets held under hire purchase contracts are capitalised at the lesser of fair value or present value of minimum lease payments in the statement of financial position. The present value of the minimum lease payments is calculated using the interest rate implicit in the lease. A corresponding liability is recognised at the same value in the statement of financial position. The asset is then depreciated over its useful life.

The minimum lease payments are apportioned between the finance charge recognised in the income statement and the reduction of the outstanding liability using the effective interest method. The finance charge in each period is allocated so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3

Revenue

The analysis of the company's revenue for the year from continuing operations is as follows:

2021
 £

2020
 £

Rendering of services

2,049,868

1,487,415

4

Other operating income

The analysis of the company's other operating income for the year is as follows:

2021
 £

2020
 £

Government grants

-

42,957

5

Operating profit/(loss)

Arrived at after charging/(crediting)

2021
 £

2020
 £

Depreciation expense

21,525

27,144

Foreign exchange losses

7

-

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

6

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2021
£

Unaudited
2020
£

Wages and salaries

997,586

923,777

Social security costs

106,971

86,809

Pension costs, defined contribution scheme

106,023

92,924

Other employee expense

22,628

17,209

1,233,208

1,120,719

The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:

2021
No.

Unaudited
2020
No.

Production

17

17

Administration and support

9

7

26

24

7

Directors' remuneration

The directors' remuneration for the year was as follows:

2021
 £

2020
 £

Remuneration

-

26,700

Directors remuneration is paid by other members within the group.

8

Auditor's remuneration

2021
 £

2020
 £

Audit of the financial statements

15,250

15,250


 

9

Taxation

Tax charged/(credited) in the income statement

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

2021
£

2020
£

Current taxation

UK corporation tax

86,201

(630)

UK corporation tax adjustment to prior periods

3,722

-

89,923

(630)

Deferred taxation

Arising from origination and reversal of timing differences

(2,462)

(670)

Tax expense/(receipt) in the income statement

87,461

(1,300)

The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2020 - higher than the standard rate of corporation tax in the UK) of 19% (2020 - 19%).

The differences are reconciled below:

2021
£

2020
£

Profit/(loss) before tax

453,688

(4,879)

Corporation tax at standard rate

86,201

(927)

Deferred tax credit from unrecognised tax loss or credit

(2,462)

(670)

Increase in UK and foreign current tax from adjustment for prior periods

3,722

-

Tax increase from other short-term timing differences

-

297

Total tax charge/(credit)

87,461

(1,300)

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

Deferred tax

Deferred tax assets and liabilities

2021

Liability
£

Accelerated capital allowances

4,452

Pension accrual

(1,466)

Other movements

1

2,987

2020

Liability
£

Accelerated capital allowances

4,452

Pension accrual

(1,466)

Other movements

2,463

5,449

10

Intangible assets

Other intangible assets
 £

Total
£

Cost or valuation

At 1 January 2021

131,269

131,269

At 31 December 2021

131,269

131,269

Amortisation

At 1 January 2021

131,269

131,269

At 31 December 2021

131,269

131,269

Carrying amount

At 31 December 2021

-

-

At 31 December 2020

-

-

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

11

Tangible assets

Furniture, fittings and equipment
 £

Total
£

Cost or valuation

At 1 January 2021

173,694

173,694

Additions

14,309

14,309

Disposals

(10,977)

(10,977)

At 31 December 2021

177,026

177,026

Depreciation

At 1 January 2021

145,668

145,668

Charge for the year

21,525

21,525

Eliminated on disposal

(10,977)

(10,977)

At 31 December 2021

156,216

156,216

Carrying amount

At 31 December 2021

20,810

20,810

At 31 December 2020

28,026

28,026

12

Debtors

2021
 £

2020
 £

Trade debtors

396,017

150,893

Prepayments

196,829

153,417

Corporation tax asset

-

630

Total current trade and other debtors

592,846

304,940

 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

13

Creditors

Note

2021
 £

2020
 £

Due within one year

 

Trade creditors

 

15,420

17,994

Amounts due to related parties

5,592

-

Social security and other taxes

 

128,618

80,769

Other payables

 

13,073

11,776

Accrued expenses

 

96,995

164,732

Corporation tax liability

 

62,201

-

 

321,899

275,271

14

Provisions for liabilities

Deferred tax
£

Other provisions
£

Total
£

At 1 January 2021

5,449

-

5,449

Additional provisions

-

95,000

95,000

Increase/(decrease) in existing provisions

(2,462)

-

(2,462)

At 31 December 2021

2,987

95,000

97,987

Other provisions relate to a dilapidations provision to cover the costs of restoring the Migvie House property at the end of the lease agreement

15

Pension and other schemes

Defined contribution pension scheme

The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £106,023 (2020: £92,924).

Contributions totalling £Nil (2020: £Nil) were payable to the scheme at the end of the year and are included in creditors.

16

Share capital

Allotted, called up and fully paid shares

 

2021

2020

 

No.

£

No.

£

Ordinary A shares of £1 each

75

75

75

75

         
 

Codify Ltd.

Notes to the Financial Statements for the Year Ended 31 December 2021

17

Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

2021
£

2020
£

Not later than one year

76,266

76,266

Later than one year and not later than five years

45,760

102,959

122,026

179,225

The amount of non-cancellable operating lease payments recognised as an expense during the year was £76,266 (2020: £76,266).

18

Parent and ultimate parent undertaking

The company's immediate parent is Codify Holdings Limited, incorporated in Scotland.

 The ultimate parent is Sword Group S.E., incorporated in Luxembourg.

 The most senior parent entity producing publicly available financial statements is Sword Group S.E..

Sword Group SE, whose registered office is located at Route d'Arlon 2-4, L-8399 Windhof, Luxembourg, is the parent of the smallest and largest group preparing consolidated financial statements incorporating the results of the company.