Caseware UK (AP4) 2022.0.179 2022.0.179 2022-12-312022-12-31true442022-01-01falseThe company's principal activity continued to be that of research, development and manufacture of special purpose laser micro-machining tools.24false 05292712 2022-01-01 2022-12-31 05292712 2022-12-31 05292712 2021-01-01 2021-12-31 05292712 2021-12-31 05292712 1 2022-01-01 2022-12-31 05292712 d:Director1 2022-01-01 2022-12-31 05292712 c:Buildings c:ShortLeaseholdAssets 2022-01-01 2022-12-31 05292712 c:Buildings c:ShortLeaseholdAssets 2022-12-31 05292712 c:Buildings c:ShortLeaseholdAssets 2021-12-31 05292712 c:LandBuildings 2022-12-31 05292712 c:LandBuildings 2021-12-31 05292712 c:PlantMachinery 2022-01-01 2022-12-31 05292712 c:PlantMachinery 2022-12-31 05292712 c:PlantMachinery 2021-12-31 05292712 c:PlantMachinery c:OwnedOrFreeholdAssets 2022-01-01 2022-12-31 05292712 c:OfficeEquipment 2022-01-01 2022-12-31 05292712 c:OfficeEquipment 2022-12-31 05292712 c:OfficeEquipment 2021-12-31 05292712 c:OfficeEquipment c:OwnedOrFreeholdAssets 2022-01-01 2022-12-31 05292712 c:OwnedOrFreeholdAssets 2022-01-01 2022-12-31 05292712 c:CurrentFinancialInstruments 2022-12-31 05292712 c:CurrentFinancialInstruments 2021-12-31 05292712 c:Non-currentFinancialInstruments 2022-12-31 05292712 c:Non-currentFinancialInstruments 2021-12-31 05292712 c:CurrentFinancialInstruments c:WithinOneYear 2022-12-31 05292712 c:CurrentFinancialInstruments c:WithinOneYear 2021-12-31 05292712 c:Non-currentFinancialInstruments c:AfterOneYear 2022-12-31 05292712 c:Non-currentFinancialInstruments c:AfterOneYear 2021-12-31 05292712 c:Non-currentFinancialInstruments c:BetweenOneTwoYears 2022-12-31 05292712 c:Non-currentFinancialInstruments c:BetweenOneTwoYears 2021-12-31 05292712 c:Non-currentFinancialInstruments c:BetweenTwoFiveYears 2022-12-31 05292712 c:Non-currentFinancialInstruments c:BetweenTwoFiveYears 2021-12-31 05292712 c:Non-currentFinancialInstruments c:MoreThanFiveYears 2022-12-31 05292712 c:Non-currentFinancialInstruments c:MoreThanFiveYears 2021-12-31 05292712 c:ShareCapital 2022-12-31 05292712 c:ShareCapital 2021-12-31 05292712 c:RetainedEarningsAccumulatedLosses 2022-12-31 05292712 c:RetainedEarningsAccumulatedLosses 2021-12-31 05292712 d:FRS102 2022-01-01 2022-12-31 05292712 d:Audited 2022-01-01 2022-12-31 05292712 d:FullAccounts 2022-01-01 2022-12-31 05292712 d:PrivateLimitedCompanyLtd 2022-01-01 2022-12-31 05292712 d:SmallCompaniesRegimeForAccounts 2022-01-01 2022-12-31 05292712 2 2022-01-01 2022-12-31 05292712 6 2022-01-01 2022-12-31 05292712 7 2022-01-01 2022-12-31 iso4217:GBP xbrli:pure
Registered number: 05292712


M-SOLV LTD








UNAUDITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

 
M-SOLV LTD
REGISTERED NUMBER: 05292712

BALANCE SHEET
AS AT 31 DECEMBER 2022

2022
2021
Note
£
£

Fixed assets
  

Tangible assets
 4 
1,260,887
686,990

Investments
 5 
2
499,287

  
1,260,889
1,186,277

Current assets
  

Stocks
 6 
980,527
1,579,422

Debtors: amounts falling due after more than one year
 7 
405,247
-

Debtors: amounts falling due within one year
 7 
606,151
631,232

Cash at bank and in hand
 8 
484,172
120,666

  
2,476,097
2,331,320

Creditors: amounts falling due within one year
 9 
(12,283,672)
(13,729,477)

Net current liabilities
  
 
 
(9,807,575)
 
 
(11,398,157)

Total assets less current liabilities
  
(8,546,686)
(10,211,880)

Creditors: amounts falling due after more than one year
 10 
(33,206)
(42,892)

  

Net liabilities
  
(8,579,892)
(10,254,772)


Capital and reserves
  

Called up share capital 
  
85,000
85,000

Profit and loss account
  
(8,664,892)
(10,339,772)

  
(8,579,892)
(10,254,772)


Page 1

 
M-SOLV LTD
REGISTERED NUMBER: 05292712
    
BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2022

The company's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The company has opted not to file the statement of income and retained earnings in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
Dr Philip Rumsby
Director

Date: 30 September 2023

The notes on pages 3 to 17 form part of these financial statements.

Page 2

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

1.


General information

M-Solv Ltd is a private limited company registered in England and Wales.
The company's registered address is 6 Stanton Harcourt Road, Eynsham, Witney, England, OX29 4TP.
The company's registered number is 05292712.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies.

The following principal accounting policies have been applied:

 
2.2

Going concern

The financial statements have been prepared on a going concern basis on the assumption that the company will continue to trade for at least 12 months from the balance sheet date. The validity of this basis is dependent on the continued support from its parent and fellow group companies. The Directors have no reason to believe that this support will not continue or that group companies will seek early repayment of debts and the Directors have received written confirmation of this from it's parent company. 

Page 3

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)

 
2.3

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of income and retained earnings within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

Page 4

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the company has transferred the significant risks and rewards of ownership to the buyer;
the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Operating leases: the company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

Page 5

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)

 
2.6

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

  
2.7

Government grants

Grants are accounted for under the accruals model as permitted by FRS 102. 
Grants relating to revenue are initially recognised in deferred income and the related costs for which the grant is intended to compensate are recognised in work in progress. The grant is later recognised in income on a systematic basis in the same periods in which the company recognises the related costs.
Grants and related expenditure from UK institutions of a revenue nature are recognised in the Statement of income and retained earnings every 3 months, over the life of the project.
Grants and related expenditure from non-UK institutions of a revenue nature are recognised in the Statement of income and retained earnings upon completion of the grant project.
Grants relating to expenditure on tangible fixed assets are credited to the Statement of income and retained earnings at the same rate as the depreciation on the assets to which the grant relates.

 
2.8

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.9

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.10

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 6

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)

 
2.11

Pensions

Defined contribution pension plan

The company contributes into a defined contribution plan for its 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 in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the company in independently administered funds.

 
2.12

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

 
2.13

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 7

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)


2.13
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Short-term leasehold property
-
over the lease term
Plant and machinery
-
14.29% and 20%
Office equipment
-
14.29% and 33%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.14

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.15

Associates and joint ventures

Associates and Joint Ventures are held at cost less impairment.

 
2.16

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.17

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.18

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are 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.

Page 8

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)

 
2.19

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.20

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

 
2.21

Financial instruments

The company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

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 trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Page 9

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)


2.21
Financial instruments (continued)

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the company will continue to recognise the value of the portion of the
Page 10

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

2.Accounting policies (continued)


2.21
Financial instruments (continued)

risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled.


3.


Employees

2022
2021
£
£

Wages and salaries
939,852
1,396,685

Social security costs
109,366
145,579

Cost of defined contribution scheme
89,077
117,816

1,138,295
1,660,080


The average monthly number of employees, including the directors, during the year was as follows:


        2022
        2021
            No.
            No.







Employees
20
40



Directors
4
4

24
44

Page 11

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

4.


Tangible fixed assets





Short-term leasehold property
Plant and machinery
Office equipment
Total

£
£
£
£



Cost or valuation


At 1 January 2022
27,140
1,545,227
177,411
1,749,778


Additions
99,772
602,141
30,759
732,672


Disposals
(26,095)
(395,657)
(101,404)
(523,156)



At 31 December 2022

100,817
1,751,711
106,766
1,959,294



Depreciation


At 1 January 2022
26,732
863,481
172,575
1,062,788


Charge for the year on owned assets
5,315
142,808
7,601
155,724


Disposals
(25,928)
(393,631)
(100,546)
(520,105)



At 31 December 2022

6,119
612,658
79,630
698,407



Net book value



At 31 December 2022
94,698
1,139,053
27,136
1,260,887



At 31 December 2021
408
681,746
4,836
686,990




The net book value of land and buildings may be further analysed as follows:


2022
2021
£
£

Short leasehold
94,699
408

94,699
408


Page 12

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

5.


Fixed asset investments





Investments in subsidiary companies
Investments in associates
Total

£
£
£



Cost or valuation


At 1 January 2022
499,285
2
499,287


Disposals
(499,285)
-
(499,285)



At 31 December 2022
-
2
2




On 2 February 2022 the company disposed of its 100% shareholding in M-Solv Manufacturing Limited. The profit on disposal of the investment is included within other operating income.


6.


Stocks and Work in Progress

2022
2021
£
£

Raw materials and consumables
13,791
52,518

Work in progress (goods to be sold)
966,736
1,526,904

980,527
1,579,422


The carrying value of stocks and Work in Progress are stated net of impairment losses totaling £100,522 (2021 - £143,745). Impairment loss reversals totaling £Nil (2021 - £Nil) were recognised in the  profit and loss account.

Page 13

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

7.


Debtors

2022
2021
£
£

Due after more than one year

Other debtors
405,247
-

405,247
-


2022
2021
£
£

Due within one year

Trade debtors
81,674
317,315

Amounts owed by group undertakings
139,207
114,512

Other debtors
368,862
141,145

Prepayments and accrued income
16,408
58,260

606,151
631,232



8.


Cash and cash equivalents

2022
2021
£
£

Cash at bank and in hand
484,172
120,666

Less: bank overdrafts
-
(85,294)

484,172
35,372


Page 14

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

9.


Creditors: Amounts falling due within one year

2022
2021
£
£

Bank overdrafts
-
85,294

Bank loans
9,687
7,108

Trade creditors
457,485
876,885

Amounts owed to group undertakings
11,162,197
11,280,849

Amounts owed to associates
1,435
-

Other taxation and social security
46,350
393,690

Other creditors
543,557
703,683

Accruals and deferred income
62,961
381,968

12,283,672
13,729,477


The following liabilities were secured:

2022
2021
£
£



Bank overdraft
-
85,294

-
85,294

Details of security provided:

The amounts above are secured by way of financial guarantee from the company's parent, CN Innovations Holdings Limited, in favour of HSBC Bank PLC.


10.


Creditors: Amounts falling due after more than one year

2022
2021
£
£

Bank loans
33,206
42,892

33,206
42,892


Page 15

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

11.


Loans


Analysis of the maturity of loans is given below:


2022
2021
£
£

Amounts falling due within one year

Bank loans
9,687
7,108


9,687
7,108

Amounts falling due 1-2 years

Bank loans
9,932
9,687


9,932
9,687

Amounts falling due 2-5 years

Bank loans
23,274
30,555


23,274
30,555

Amounts falling due after more than 5 years

Bank loans
-
2,651

-
2,651

42,893
50,001



12.


Pension commitments

The company contributes into a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £78,834 (2021 - £117,816). Contributions totaling £18,440 (2021 - £6,855) were payable to the fund at the balance sheet date and are included in creditors.

Page 16

 
M-SOLV LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022

13.


Related party transactions

The  company  has  taken  advantage  of  the  exemption  under  FRS102  section  33  paragraph 1A  and therefore  has  not  reported  transactions  between  fellow  wholly-owned  group  companies.
On 2 February 2022 M-Solv Ltd disposed of its investment in M-Solv Manufacturing Ltd, thus ceasing to be a related party from this date.
The following balances were due from/(owed to) related parties as at 31 December 2022:


2022
2021
£
£

Winsky Technology Hong Kong Ltd
70,505
-
Winsky Industry Hong Kong Ltd
65,799
23,543
TouchTurns LLC
2,903
-
Q5D Technologies Limited
(1,593)
-
CN Innovations Co. Ltd
(118,616)
-
M-Solv (HK) Ltd
(937,950)
(954,361)
M-SOLV Holding Ltd
(10,105,631)
(10,346,727)
M-Solv Manufacturing Ltd
-
90,969
(11,024,583)
(11,186,576)


14.


Post balance sheet events

There are no significant subsequent events that need to be disclosed or reflected in the annual accounts.


15.


Controlling party

The parent company is M-Solv Holdings Limited, a company registered in the British Virgin Islands. The ultimate holding company is CN Innovations Holdings Limited, based in the Cayman Islands.  The  company  is  included  in  the  consolidated  financial  statements  of  CN Innovations Holdings Limited which are available upon request.
The company is dependent upon the continuing financial support of the parent company during the research and development phase of investigative work. The parent company has confirmed its intention to continue its financial support and this is monitored by the local directors on a regular basis.


16.


Auditors' information

The auditors' report on the financial statements for the year ended 31 December 2022 was unqualified.

The audit report was signed on 30 September 2023 by Ms Christina Nawrocki, FCCA (Senior statutory auditor) on behalf of Wellers.

 
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