Company No:
Contents
31.12.2022 | 30.06.2021 | |||
£ | £ | |||
Current assets | ||||
Debtors | 3 |
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Cash at bank and in hand |
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957,421 | 101,170 | |||
Creditors: amounts falling due within one year | 4 | (
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Net current assets/(liabilities) | 421,971 | (1,872) | ||
Total assets less current liabilities | 421,971 | (1,872) | ||
Net assets/(liabilities) |
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Capital and reserves | ||||
Called-up share capital | 5 |
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Profit and loss account |
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Total shareholder's funds/(deficit) |
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Director's responsibilities:
The financial statements of 3rd Resource Limited (registered number:
R Ritchie
Director |
The principal accounting policies are summarised below. They have all been applied consistently throughout the financial period and to the preceding financial period, unless otherwise stated.
3rd Resource Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in Scotland. The address of the Company's registered office is Evolution View Wellheads Crescent, Wellheads Industrial Estate, Dyce, AB21 7GA, Scotland, United Kingdom.
The financial statements have been prepared under the historical cost convention, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.
The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.
At the balance sheet date, the company had net current assets of £421,971 (2021: net current liabilities £1,872), which includes amounts owed to related entities of £100,000 (2021: £32,991). The amounts owed to related parties have not been settled to the detriment of external creditors. During the financial period, the company made use of government support in terms of grant funding.
The company has improved its trading position resulting in sufficient reserves to meet ongoing obligations and will continue to do so for the next twelve months from approval of the financial statements.
In conclusion, the financial statements have been prepared on a going concern basis.
Reporting period length is 18 months from 1 July 2021 to 31 December 2022. Therefore, comparatives are not entirely comparable.
Short term benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Defined contribution schemes
The Company operates a defined contribution scheme. The amount charged to the Profit and Loss Account in respect of pension costs and other post-retirement benefits is the contributions payable in the financial period. Differences between contributions payable in the financial period and contributions actually paid are included as either accruals or prepayments in the Balance Sheet.
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.
Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.
Non-financial assets
If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Financial assets
Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.
Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and bank balances, are initially measured at transaction price including transaction costs.
Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Basic financial liabilities
Basic financial liabilities, including creditors and loans from fellow group companies that are classified as debt, are initially recognised at transaction price.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.
Government grants are recognised based on the performance model and are measured at the fair value of the asset received or receivable when there is reasonable assurance that the company will comply with conditions attaching to them and the grants will be received.
A grant that specifies performance conditions is recognised in income only when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the grant proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
Period from 01.07.2021 to 31.12.2022 |
Period from 19.06.2020 to 30.06.2021 |
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Number | Number | ||
Monthly average number of persons employed by the Company during the period, including the director |
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31.12.2022 | 30.06.2021 | ||
£ | £ | ||
Trade debtors |
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Amounts owed by related parties |
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Deferred tax asset |
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Corporation tax |
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Other debtors |
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31.12.2022 | 30.06.2021 | ||
£ | £ | ||
Trade creditors |
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Amounts owed to related parties |
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Taxation and social security |
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Other creditors |
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31.12.2022 | 30.06.2021 | ||
£ | £ | ||
Allotted, called-up and fully-paid | |||
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Transactions with the entity's director
31.12.2022 | 30.06.2021 | ||
£ | £ | ||
Amount owed by director | 208,000 | 0 |
The amounts noted above are interest free and have no fixed terms of repayment.
Other related party transactions
31.12.2022 | 30.06.2021 | ||
£ | £ | ||
Amounts owed to related parties | (100,000) | (32,991) | |
Amounts owed by related parties | 567,268 | 8,513 |
The amounts owed to related parties are interest free and have no fixed terms of repayment. The related parties are companies operating under the control or significant influence of the director.