REGISTERED NUMBER: |
Unaudited Financial Statements |
for the Year Ended 31st December 2021 |
for |
FinanceWell Limited |
REGISTERED NUMBER: |
Unaudited Financial Statements |
for the Year Ended 31st December 2021 |
for |
FinanceWell Limited |
FinanceWell Limited (Registered number: 11721660) |
Contents of the Financial Statements |
for the Year Ended 31st December 2021 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
FinanceWell Limited |
Company Information |
for the Year Ended 31st December 2021 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
ACCOUNTANTS: |
Chartered Accountants |
Stag House |
Old London Road |
Hertford |
Hertfordshire |
SG13 7LA |
FinanceWell Limited (Registered number: 11721660) |
Balance Sheet |
31st December 2021 |
31.12.21 | 31.12.20 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 5 |
Tangible assets | 6 |
CURRENT ASSETS |
Debtors | 7 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 8 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital |
Share premium |
Retained earnings | ( |
) | ( |
) |
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. |
FinanceWell Limited (Registered number: 11721660) |
Balance Sheet - continued |
31st December 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 |
FinanceWell Limited (Registered number: 11721660) |
Notes to the Financial Statements |
for the Year Ended 31st December 2021 |
1. | STATUTORY INFORMATION |
FinanceWell Limited is a company limited by shares, incorporated in England and Wales. The registered office is Stag House, Old London Road, Hertford, Hertfordshire. SG13 7LA. |
2. | STATEMENT OF COMPLIANCE |
These financial statements have been prepared in accordance with the provisions of Section 1A"Small Entities of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and with the Companies Act 2006. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared under the historical cost convention. The financial statements are prepared in sterling which is the functional currency of the company. |
Going concern |
The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. In making this assessment the directors have considered the impact of the coronavirus pandemic ("COVID-19") on the company, its stakeholders and third-parties. |
While there is continued uncertainty about the long term impact that the COVID-19 will have on the global economy, and the influences it may have on the company's financial position, the directors do not believe that it will impact the use of the going concern basis for the preparation of these financial statements nor does it cast significant doubt on the company's ability to continue as a going concern for a period of twelve months from the date of the financial statements being authorised for issue. |
The company therefore continues to adopt the going concern basis in preparing its financial statements. |
First year adoption of Financial Reporting Standard 102 ( FRS 102) Section 1A |
These financial statements for the year ended 31st December 2021 are the first that are prepared in accordance with FRS 102 Section 1A. The previous financial statements were prepared in accordance with FRS 105, the date of transition to FRS 102 Section 1A is 1st January 2020. |
Significant judgements and estimates |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. The nature of estimation means that actual outcomes could differ from those estimates. |
The only area where management judgement has had a significant effect on the amounts recognised in the financial statements is on the annual depreciation charge for all assets which is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. |
FinanceWell Limited (Registered number: 11721660) |
Notes to the Financial Statements - continued |
for the Year Ended 31st December 2021 |
3. | ACCOUNTING POLICIES - continued |
Revenue recognition |
Revenue is measured at the fair value of the consideration received or receivable, from the provision of services rendered, net of discounts and value added tax. |
Revenue is received in the form of brokerage fees and is recognised once the company has successfully placed a lender with a borrower, after contracts have been signed and any advance or draw down facility has been made available. Income is recognised once revenue can be measured reliably, and it is probable that economic benefit associated with the transaction will flow to the entity. |
For arrangements that are jointly undertaken with a third-party broker, where fees are shared, revenue is recognised in line with the entity's legal entitlement, net of any payment or deduction made to the third-party. |
Expenses |
Expenses incurred have been recognised on an accruals basis. |
Cash and cash equivalents |
Cash and cash equivalents are represented by cash in hand, deposits held at call with financial institutions, and other short-term 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. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Plant and machinery etc | - |
Government grants |
Grants received are recognised at the transaction's fair value on an accruals basis and are recorded as income within the profit and loss account in the period to which they relate and are recognised once all associated conditions have been met by the company. |
FinanceWell Limited (Registered number: 11721660) |
Notes to the Financial Statements - continued |
for the Year Ended 31st December 2021 |
3. | ACCOUNTING POLICIES - continued |
Financial instruments |
The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. |
Debt instruments like loans and other accounts receivable and payable are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method; Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. |
However if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an outright short-term loan not at market rate, the financial asset or liability is measured, initially and subsequently, at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
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 profit and loss account. |
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 the best estimate, 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 balance sheet 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. |
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. |
FinanceWell Limited (Registered number: 11721660) |
Notes to the Financial Statements - continued |
for the Year Ended 31st December 2021 |
3. | ACCOUNTING POLICIES - continued |
Pension costs and other post-retirement benefits |
The company operated a defined contribution plan which was available to all employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown as accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds. |
4. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
5. | INTANGIBLE FIXED ASSETS |
Other |
intangible |
assets |
£ |
COST |
At 1st January 2021 |
and 31st December 2021 |
AMORTISATION |
At 1st January 2021 |
Charge for year |
At 31st December 2021 |
NET BOOK VALUE |
At 31st December 2021 |
At 31st December 2020 |
6. | TANGIBLE FIXED ASSETS |
Plant and |
machinery |
etc |
£ |
COST |
At 1st January 2021 |
and 31st December 2021 |
DEPRECIATION |
At 1st January 2021 |
Charge for year |
At 31st December 2021 |
NET BOOK VALUE |
At 31st December 2021 |
At 31st December 2020 |
FinanceWell Limited (Registered number: 11721660) |
Notes to the Financial Statements - continued |
for the Year Ended 31st December 2021 |
7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.12.21 | 31.12.20 |
£ | £ |
Amounts owed by group undertakings |
Other debtors |
Prepayments and accrued income |
8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.12.21 | 31.12.20 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Accruals and deferred income |
9. | CONTINGENT LIABILITIES |
The company has entered into a facility agreement which is secured by fixed and floating charges registered against the company's assets. |
10. | FIRST YEAR ADOPTION |
The company has adopted the provisions of FRS 102 Section 1A for the first time in its financial statements for the year ended 31st December 2021. The comparative disclosures have been updated to reflect the change in framework from FRS 105, however this has had no material effect on the figures in the financial statements. As such, no reconciliation for the effect of the transition to FRS 102 Section 1A has been provided. |