2023-01-012023-12-312023-12-31false13508558Magic Tech Ltd2024-04-09iso4217:GBPxbrli:pure135085582023-01-01135085582023-12-31135085582023-01-012023-12-31135085582021-07-13135085582022-12-31135085582021-07-132022-12-3113508558bus:SmallEntities2023-01-012023-12-3113508558bus:AuditExempt-NoAccountantsReport2023-01-012023-12-3113508558bus:FullAccounts2023-01-012023-12-3113508558bus:PrivateLimitedCompanyLtd2023-01-012023-12-3113508558core:WithinOneYear2023-12-3113508558core:AfterOneYear2023-12-3113508558core:WithinOneYear2022-12-3113508558core:AfterOneYear2022-12-3113508558core:ShareCapital2023-12-3113508558core:SharePremium2023-12-3113508558core:RevaluationReserve2023-12-3113508558core:OtherReservesSubtotal2023-12-3113508558core:RetainedEarningsAccumulatedLosses2023-12-3113508558core:ShareCapital2022-12-3113508558core:SharePremium2022-12-3113508558core:RevaluationReserve2022-12-3113508558core:OtherReservesSubtotal2022-12-3113508558core:RetainedEarningsAccumulatedLosses2022-12-3113508558core:LandBuildings2023-12-3113508558core:PlantMachinery2023-12-3113508558core:Vehicles2023-12-3113508558core:FurnitureFittings2023-12-3113508558core:OfficeEquipment2023-12-3113508558core:NetGoodwill2023-12-3113508558core:IntangibleAssetsOtherThanGoodwill2023-12-3113508558core:ListedExchangeTraded2023-12-3113508558core:UnlistedNon-exchangeTraded2023-12-3113508558core:LandBuildings2022-12-3113508558core:PlantMachinery2022-12-3113508558core:Vehicles2022-12-3113508558core:FurnitureFittings2022-12-3113508558core:OfficeEquipment2022-12-3113508558core:NetGoodwill2022-12-3113508558core:IntangibleAssetsOtherThanGoodwill2022-12-3113508558core:ListedExchangeTraded2022-12-3113508558core:UnlistedNon-exchangeTraded2022-12-3113508558core:LandBuildings2023-01-012023-12-3113508558core:PlantMachinery2023-01-012023-12-3113508558core:Vehicles2023-01-012023-12-3113508558core:FurnitureFittings2023-01-012023-12-3113508558core:OfficeEquipment2023-01-012023-12-3113508558core:NetGoodwill2023-01-012023-12-3113508558core:IntangibleAssetsOtherThanGoodwill2023-01-012023-12-3113508558core:ListedExchangeTraded2023-01-012023-12-3113508558core:UnlistedNon-exchangeTraded2023-01-012023-12-3113508558core:MoreThanFiveYears2023-01-012023-12-3113508558core:Non-currentFinancialInstruments2023-12-3113508558core:Non-currentFinancialInstruments2022-12-3113508558dpl:CostSales2023-01-012023-12-3113508558dpl:DistributionCosts2023-01-012023-12-3113508558core:LandBuildings2023-01-012023-12-3113508558core:PlantMachinery2023-01-012023-12-3113508558core:Vehicles2023-01-012023-12-3113508558core:FurnitureFittings2023-01-012023-12-3113508558core:OfficeEquipment2023-01-012023-12-3113508558dpl:AdministrativeExpenses2023-01-012023-12-3113508558core:NetGoodwill2023-01-012023-12-3113508558core:IntangibleAssetsOtherThanGoodwill2023-01-012023-12-3113508558dpl:GroupUndertakings2023-01-012023-12-3113508558dpl:ParticipatingInterests2023-01-012023-12-3113508558dpl:GroupUndertakingscore:ListedExchangeTraded2023-01-012023-12-3113508558core:ListedExchangeTraded2023-01-012023-12-3113508558dpl:GroupUndertakingscore:UnlistedNon-exchangeTraded2023-01-012023-12-3113508558core:UnlistedNon-exchangeTraded2023-01-012023-12-3113508558dpl:CostSales2021-07-132022-12-3113508558dpl:DistributionCosts2021-07-132022-12-3113508558core:LandBuildings2021-07-132022-12-3113508558core:PlantMachinery2021-07-132022-12-3113508558core:Vehicles2021-07-132022-12-3113508558core:FurnitureFittings2021-07-132022-12-3113508558core:OfficeEquipment2021-07-132022-12-3113508558dpl:AdministrativeExpenses2021-07-132022-12-3113508558core:NetGoodwill2021-07-132022-12-3113508558core:IntangibleAssetsOtherThanGoodwill2021-07-132022-12-3113508558dpl:GroupUndertakings2021-07-132022-12-3113508558dpl:ParticipatingInterests2021-07-132022-12-3113508558dpl:GroupUndertakingscore:ListedExchangeTraded2021-07-132022-12-3113508558core:ListedExchangeTraded2021-07-132022-12-3113508558dpl:GroupUndertakingscore:UnlistedNon-exchangeTraded2021-07-132022-12-3113508558core:UnlistedNon-exchangeTraded2021-07-132022-12-3113508558core:NetGoodwill2023-12-3113508558core:IntangibleAssetsOtherThanGoodwill2023-12-3113508558core:LandBuildings2023-12-3113508558core:PlantMachinery2023-12-3113508558core:Vehicles2023-12-3113508558core:FurnitureFittings2023-12-3113508558core:OfficeEquipment2023-12-3113508558core:AfterOneYear2023-12-3113508558core:WithinOneYear2023-12-3113508558core:ListedExchangeTraded2023-12-3113508558core:UnlistedNon-exchangeTraded2023-12-3113508558core:ShareCapital2023-12-3113508558core:SharePremium2023-12-3113508558core:RevaluationReserve2023-12-3113508558core:OtherReservesSubtotal2023-12-3113508558core:RetainedEarningsAccumulatedLosses2023-12-3113508558core:NetGoodwill2022-12-3113508558core:IntangibleAssetsOtherThanGoodwill2022-12-3113508558core:LandBuildings2022-12-3113508558core:PlantMachinery2022-12-3113508558core:Vehicles2022-12-3113508558core:FurnitureFittings2022-12-3113508558core:OfficeEquipment2022-12-3113508558core:AfterOneYear2022-12-3113508558core:WithinOneYear2022-12-3113508558core:ListedExchangeTraded2022-12-3113508558core:UnlistedNon-exchangeTraded2022-12-3113508558core:ShareCapital2022-12-3113508558core:SharePremium2022-12-3113508558core:RevaluationReserve2022-12-3113508558core:OtherReservesSubtotal2022-12-3113508558core:RetainedEarningsAccumulatedLosses2022-12-3113508558core:NetGoodwill2021-07-1313508558core:IntangibleAssetsOtherThanGoodwill2021-07-1313508558core:LandBuildings2021-07-1313508558core:PlantMachinery2021-07-1313508558core:Vehicles2021-07-1313508558core:FurnitureFittings2021-07-1313508558core:OfficeEquipment2021-07-1313508558core:AfterOneYear2021-07-1313508558core:WithinOneYear2021-07-1313508558core:ListedExchangeTraded2021-07-1313508558core:UnlistedNon-exchangeTraded2021-07-1313508558core:ShareCapital2021-07-1313508558core:SharePremium2021-07-1313508558core:RevaluationReserve2021-07-1313508558core:OtherReservesSubtotal2021-07-1313508558core:RetainedEarningsAccumulatedLosses2021-07-1313508558core:AfterOneYear2023-01-012023-12-3113508558core:WithinOneYear2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:CostValuation2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:AdditionsToInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:RevaluationsIncreaseDecreaseInInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:DisposalsDecreaseInInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:ProvidedReleasedInPeriodProvisionsForImpairmentInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:ImpairmentLossReversalProvisionsForImpairmentInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:AcquisitionsIncreaseInProvisionsForImpairmentInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:DisposalsDecreaseInProvisionsForImpairmentInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:OtherIncreaseDecreaseInProvisionsForImpairmentInvestments2023-01-012023-12-3113508558core:Non-currentFinancialInstrumentscore:CostValuation2023-12-3113508558core:Non-currentFinancialInstrumentscore:AdditionsToInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:RevaluationsIncreaseDecreaseInInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:DisposalsDecreaseInInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:ProvidedReleasedInPeriodProvisionsForImpairmentInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:ImpairmentLossReversalProvisionsForImpairmentInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:AcquisitionsIncreaseInProvisionsForImpairmentInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:DisposalsDecreaseInProvisionsForImpairmentInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:OtherIncreaseDecreaseInProvisionsForImpairmentInvestments2023-12-3113508558core:Non-currentFinancialInstrumentscore:CostValuation2022-12-3113508558core:Non-currentFinancialInstrumentscore:AdditionsToInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:RevaluationsIncreaseDecreaseInInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:DisposalsDecreaseInInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:ProvidedReleasedInPeriodProvisionsForImpairmentInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:ImpairmentLossReversalProvisionsForImpairmentInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:AcquisitionsIncreaseInProvisionsForImpairmentInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:DisposalsDecreaseInProvisionsForImpairmentInvestments2022-12-3113508558core:Non-currentFinancialInstrumentscore:OtherIncreaseDecreaseInProvisionsForImpairmentInvestments2022-12-3113508558bus:Director12023-01-012023-12-31

Magic Tech Ltd

Registered Number
13508558
(England and Wales)

Unaudited Financial Statements for the Year ended
31 December 2023

Magic Tech Ltd
Company Information
for the year from 1 January 2023 to 31 December 2023

Director

V Bhanot

Registered Address

142 High Road
Chigwell
IG7 5BQ

Registered Number

13508558 (England and Wales)
Magic Tech Ltd
Statement of Financial Position
31 December 2023

Notes

2023

2022

£

£

£

£

Fixed assets
Tangible assets45,8028,362
5,8028,362
Current assets
Stocks5-41,081
Debtors6173,50418,389
Cash at bank and on hand332,459760,817
505,963820,287
Creditors amounts falling due within one year7(201,422)(71,586)
Net current assets (liabilities)304,541748,701
Total assets less current liabilities310,343757,063
Net assets310,343757,063
Capital and reserves
Called up share capital11
Share premium1,196,6541,198,193
Other reserves221,926110,000
Profit and loss account(1,108,238)(551,131)
Shareholders' funds310,343757,063
The financial statements were approved and authorised for issue by the Director on 9 April 2024, and are signed on its behalf by:
V Bhanot
Director
Registered Company No. 13508558
Magic Tech Ltd
Notes to the Financial Statements
for the year ended 31 December 2023

1.Accounting policies
Statutory information
The company is a private company limited by shares and registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006.
Basis of preparation
The financial statements have been prepared under the historical cost convention.
Functional and presentation currency
The financial statements are presented in pound sterling (£), which is the company’s functional currency, and figures are rounded to the nearest whole pound.
Going concern
The financial statements have been prepared on the going concern basis. The company incurred losses during the year, however the directors believe that the company has sufficient financial resources to be able to meet its obligations, if and when they become due and that the company can continue in operational existence for a period of at least 12 months from the statement of financial position date. On this basis, the directors are of the opinion that they should continue to adopt the going concern basis in preparing the annual financial statements.
Judgements and key sources of estimation uncertainty
Share-based payments as set out in note 2 have been made to employees of the company. As disclosed in the Share-based payments accounting policy, the fair value of share options is recognised in the income statement. The fair value of share options is calculated using a Black-scholes model to calculate the fair value based on market prices paid for shares close to the time of options being granted. There have been no other significant judgements or estimates applied to the numbers contained within these financial statements.
Turnover policy
Turnover is measured at the fair value of the consideration received or receivable, net of discounts, rebates, value added tax and other sales taxes.
Revenue from sale of goods
Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer.
Revenue from rendering of services
Revenue from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.
Operating leases
Rentals payable under operating leases are charged to the profit and loss account on a straight-line basis over the period of the lease.
Defined contribution pension plan
The company operates a defined contribution pension plan for the benefit of its employees. Contributions are recognised as expenses as they become payable. Differences between contributions payable in the year and those actually paid are recognised as either prepayments or accruals in the balance sheet. The assets of the defined contribution pension scheme are held separately from those of the company in an independently administered fund.
Share-based payments
The company provides share-based payment arrangements to certain employees. Equity-settled arrangements are measured at fair value (excluding the effect of non-market based vesting conditions) at the date of the grant. The fair value is expensed on a straightline basis over the vesting period. The amount recognised as an expense is adjusted to reflect the actual number of shares options that are expected to vest at the statement of financial position date. Where equity-settled arrangements are modified, and are of benefit to the employee, the incremental fair value is recognised over the period from the date of modification to date of vesting. Where a modification is not beneficial to the employee there is no change to the charge for share-based payment. Settlements and cancellations are treated as an acceleration of vesting and the unvested amount is recognised immediately in the income statement.
Foreign currency translation
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions. At each reporting 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 the period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the income statement.
Current taxation
Taxation for the period comprises current 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 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 statement of financial position date. Tax credits shown on the income statement represent tax credits received or receivable from HMRC as a result of claims made under HMRC’s R&D tax relief schemes.
Deferred tax
Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.
Research and development
Revenue expenditure on research and development is written off in the period in which it is incurred. The company makes claims under the SME R&D tax relief scheme. Tax credits arising from claims under the SME R&D tax relief scheme are reflected as a reduction in the Corporation Tax charge or, if loss making, as a Corporation Tax credit. Tax credits received or receivable from R&D claims are recognised in the reporting period in which the qualifying expenditure is incurred.
Tangible fixed assets and depreciation
Tangible assets are stated at cost (or deemed cost), less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use, dismantling and restoration costs. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Straight line (years)
Office Equipment3
Stocks and work in progress
Inventories are valued at the lower of cost and estimated selling price (less any associated costs to enable such sales to complete).
Trade and other debtors
Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.
Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less.
Trade and other creditors
Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.
Financial instruments
The Company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of 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 debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non puttable ordinary shares. Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, 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 out right short term loan not at market rate, the financial asset or liability is measured, initially,at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. Financial assets and liabilities are offset and the net amount reported in the Statement of Financial Position 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.
2.Staff Costs
The company operates an EMI qualifying share option scheme and during the year the company granted 57,079 (2022: nil) EMI qualifying share options to employees at an average weighted exercise price of £0.2581 per share. During the year 27,350 share options vested (2022: nil), 16,308 lapsed (2022: nil) and no options were exercised (2022: nil). At the statement of financial position date, 11,042 vested share options remained exercisable (2022: nil) and 29,729 options had yet to vest (2022: nil). An amount of £29,538 has been charged to the income statement in respect of the EMI qualifying share options (2022: £nil). The share options vest over a 4 year period and are exercisable over the company's Ordinary shares.
3.Average number of employees

20232022
Average number of employees during the year53
4.Tangible fixed assets

Office Equipment

Total

££
Cost or valuation
At 01 January 239,6099,609
Additions699699
At 31 December 2310,30810,308
Depreciation and impairment
At 01 January 231,2471,247
Charge for year3,2593,259
At 31 December 234,5064,506
Net book value
At 31 December 235,8025,802
At 31 December 228,3628,362
5.Stocks

2023

2022

££
Other stocks-41,081
Total-41,081
6.Debtors: amounts due within one year

2023

2022

££
Trade debtors / trade receivables6,575-
Other debtors158,49318,389
Prepayments and accrued income8,436-
Total173,50418,389
7.Creditors: amounts due within one year

2023

2022

££
Trade creditors / trade payables69,58012,177
Taxation and social security66,55117,311
Other creditors65,29142,098
Total201,42271,586
8.Operating lease commitments
Future payments under non-cancellable operating lease agreements fall due as follows: Within 1 year: £nil (2022: £24,670) Between 2 and 5 years: £nil (2022: £nil)