REGISTERED NUMBER: |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
ELEMENTZ LIMITED |
REGISTERED NUMBER: |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
ELEMENTZ LIMITED |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
CONTENTS OF THE FINANCIAL STATEMENTS |
for the year ended 31 December 2023 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
ELEMENTZ LIMITED |
COMPANY INFORMATION |
for the year ended 31 December 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Business Advisors, Accountants and |
Statutory Auditors |
Q Court |
3 Quality Street |
Edinburgh |
EH4 5BP |
BANKERS: |
The Walbrook Building 8th Floor |
The Walbrook Building |
25 Walbrook |
London |
EC4N 8AF |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
BALANCE SHEET |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 4 |
Tangible assets | 5 |
CURRENT ASSETS |
Debtors | 6 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 7 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
8 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 9 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 10 |
Share premium |
Retained earnings | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS |
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 |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
NOTES TO THE FINANCIAL STATEMENTS |
for the year ended 31 December 2023 |
1. | STATUTORY INFORMATION |
Elementz Limited is a |
2. | ACCOUNTING POLICIES |
BASIS OF PREPARING THE FINANCIAL STATEMENTS |
At the year end the company reported a loss of £751,557 (2022 - a profit of £97,110), and had net current assets of £1,552,004 (2022 - £2,111,069) and net assets of £1,334,901 (2022 - £2,086,458). The company had cash in hand of £823,668 at year end. |
The financial statements have been prepared on a going concern basis. The Directors have reviewed and considered relevant information, including the annual approved budget and future cash flow forecasts of both the company and its direct and indirect parent undertakings in making their assessment. Given that the company is in its early stages and is continuing to invest in the development of software and technology products to create future revenue opportunities, these forecasts are dependent on said parent undertakings continuing to make available additional funds as needed to allow the company to maintain normal business operations and to meet its liabilities as they fall due. The company is therefore ultimately reliant on other group entities for financial support. |
The direct parent undertaking, Aize AS, has indicated its intention to make available such additional funds as are needed by the company for the period covered by the forecasts to allow the company to continue in its ongoing business operations. As with any company placing reliance on other group entities for financial support, the Directors acknowledge that there can be no certainty that this support will continue although, as of the date of signing these financial statements, they have no reason to believe that it will not do so. |
Consequently, the Directors are confident that the company will have sufficient cash resources to continue to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements and therefore have prepared the financial statements on a going concern basis. |
TURNOVER |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover comprises consultancy support provided to customers and revenue arising from the development of a technology platform. Consultancy support income is recognised in the period in which the support/services are rendered to the customer. Revenue generated from the development of a technology platform is recognised in the period in which the services are rendered or based on the underlying contract and recognised on a straight line basis over the contract duration or once specific deliverables are achieved per the underlying contract. |
Income received in advance of services being provided is deferred. |
GOODWILL |
Goodwill is carried at cost less accumulated amortisation and any accumulated impairment losses. Goodwill amortisation is calculated by applying the straight-line method to its estimated useful life. |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
INTANGIBLE ASSETS |
Software and other intangible assets acquired are stated at cost less accumulated amortisation and impairment losses. Subsequent expenditure on capitalised intangible assets is capitalised only when it increases the future economic benefits embodied in the specific asset to which it relates. All other expenditure is expensed as incurred. |
Expenditure on research and development activities is recognised as an expense in the period in which it is incurred. |
AMORTISATION |
Amortisation is charged on a straight-line basis over the estimated useful lives of intangible assets. Software and other intangible assets are amortised from the date they are available for use. The estimated useful lives are as follows: |
- Software and other intangible assets costs over estimated lifespan, currently 3 years. |
TANGIBLE FIXED ASSETS |
Computer equipment | - |
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. |
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. |
FOREIGN CURRENCIES |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
HIRE PURCHASE AND LEASING COMMITMENTS |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
GOVERNMENT GRANT |
Income from government grants is recognised at fair value when there is reasonable assurance that the company will comply with the conditions attached to them and the grants will be received. Income from government grants is in relation to various project work for the development of the company, and is treated as other operating income. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
4. | INTANGIBLE FIXED ASSETS |
Other |
intangible |
Goodwill | assets | Totals |
£ | £ | £ |
COST |
At 1 January 2023 |
and 31 December 2023 |
AMORTISATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
The directors have reviewed the carrying value of the Intangible Assets at the year end, and have concluded that the carrying value is appropriate and that no impairment is required. |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2023 |
5. | TANGIBLE FIXED ASSETS |
Computer |
equipment |
£ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
6. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade debtors |
Other debtors |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade creditors |
Taxation and social security |
Other creditors |
8. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2023 | 2022 |
£ | £ |
Amounts owed to group undertakings |
Other loans represents a drawback loan agreement between Aize AS and Aize Holdings AS and is repayable on 31 December 2025 with an interest of NIBOR+2.45% payable. |
9. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
£ | £ |
Deferred tax | 15,297 | 32,793 |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2023 |
9. | PROVISIONS FOR LIABILITIES - continued |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Provided during year | ( |
) |
Balance at 31 December 2023 |
10. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | 1 | 110,000 | 110,000 |
11. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was unqualified. |
for and on behalf of |
12. | OPERATING LEASE COMMITMENTS |
At the 31 December 2023, the company had the following non-cancellable leases: |
2023 | 2022 |
£ | £ |
Due within 1 year | 482,574 | 435,805 |
482,574 | 435,805 |
13. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
14. | POST BALANCE SHEET EVENTS |
In April 2024 the Company's immediate parent, Aize AS, established a new wholly owned subsidiary in the UK, Aize Operations UK Limited, and successfully executed the restructuring of its UK business pursuant to Aize's "One Product" strategy. As part of this transaction Aize UK Limited acquired the IP relating to the "Integrity Elements" product from Aize AS for a fair value of 1MNOK. Aize UK Limited subsequently transferred certain assets, liabilities and employees relating to Aize's "Workspace" business to Aize Operations UK Limited for total consideration of 36 KGBP. Aize UK Limited was subsequently renamed as Elementz Limited, and Management expects that this entity will focus solely on sales and marketing of the "Integrity Elements" product, with a view to scaling the business organically in line with the Company's business plan. The restructuring was completed on 30 April 2024. |
ELEMENTZ LIMITED (REGISTERED NUMBER: 12464353) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2023 |
15. | ULTIMATE CONTROLLING PARTY |
The immediate parent company is Aize AS, a company registered in Norway, and the ultimate parent company is Aker Capital AS, a company registered in Norway. The ultimate controlling party is Aize Holding AS. |