Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31The tax expense for the year comprises current and deferred tax. 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 reporting 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 reporting 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. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.truetruetruetruetruefalsefalsetrueprovision of management and adminstration services to fellow subsidiary companies and third parties.2023-01-013433 01880666 2023-01-01 2023-12-31 01880666 2022-01-01 2022-12-31 01880666 2023-12-31 01880666 2022-12-31 01880666 2022-01-01 01880666 6 2023-01-01 2023-12-31 01880666 6 2022-01-01 2022-12-31 01880666 d:Director1 2023-01-01 2023-12-31 01880666 d:Director2 2023-01-01 2023-12-31 01880666 d:Director3 2023-01-01 2023-12-31 01880666 d:Director4 2023-01-01 2023-12-31 01880666 d:Director5 2023-01-01 2023-12-31 01880666 d:RegisteredOffice 2023-01-01 2023-12-31 01880666 e:PlantMachinery 2023-01-01 2023-12-31 01880666 e:PlantMachinery 2023-12-31 01880666 e:PlantMachinery 2022-12-31 01880666 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 01880666 e:FurnitureFittings 2023-01-01 2023-12-31 01880666 e:FurnitureFittings 2023-12-31 01880666 e:FurnitureFittings 2022-12-31 01880666 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 01880666 e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 01880666 e:CurrentFinancialInstruments 2023-12-31 01880666 e:CurrentFinancialInstruments 2022-12-31 01880666 e:Non-currentFinancialInstruments 2023-12-31 01880666 e:Non-currentFinancialInstruments 2022-12-31 01880666 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 01880666 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 01880666 e:UKTax 2023-01-01 2023-12-31 01880666 e:UKTax 2022-01-01 2022-12-31 01880666 e:ShareCapital 2023-12-31 01880666 e:ShareCapital 2022-12-31 01880666 e:ShareCapital 2022-01-01 01880666 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 01880666 e:RetainedEarningsAccumulatedLosses 2023-12-31 01880666 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 01880666 e:RetainedEarningsAccumulatedLosses 2022-12-31 01880666 e:RetainedEarningsAccumulatedLosses 2022-01-01 01880666 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 01880666 e:AcceleratedTaxDepreciationDeferredTax 2022-12-31 01880666 d:OrdinaryShareClass1 2023-01-01 2023-12-31 01880666 d:OrdinaryShareClass1 2023-12-31 01880666 d:FRS102 2023-01-01 2023-12-31 01880666 d:Audited 2023-01-01 2023-12-31 01880666 d:FullAccounts 2023-01-01 2023-12-31 01880666 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 01880666 e:WithinOneYear 2023-12-31 01880666 e:WithinOneYear 2022-12-31 01880666 e:BetweenOneFiveYears 2023-12-31 01880666 e:BetweenOneFiveYears 2022-12-31 01880666 2 2023-01-01 2023-12-31 01880666 f:PoundSterling 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure
Registered number: 01880666














SOLAI SERVICES LIMITED
 FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

 
SOLAI SERVICES LIMITED
 
 
COMPANY INFORMATION


Directors
Bhupendra S Kansagra 
Rajni S Kansagra 
Ramesh S Kansagra 
Rishi R Kansagra 
Sunil R Kansagra 




Registered number
01880666



Registered office
Portland House
69-71 Wembley Hill Road

Wembley

Middlesex

HA9 8BU




Independent auditors
Sopher + Co LLP
Chartered Accountants & Statutory Auditors

5 Elstree Gate

Elstree Way

Borehamwood

Hertfordshire

WD6 1JD





 
SOLAI SERVICES LIMITED
 

CONTENTS



Page
Directors' Report
 
1 - 2
Independent Auditors' Report
 
3 - 6
Statement of Comprehensive Income
 
7
Statement of Financial Position
 
8
Statement of Changes in Equity
 
9
Notes to the Financial Statements
 
10 - 20


 
SOLAI SERVICES LIMITED
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report and the financial statements for the year ended 31 December 2023.

Directors

The directors who served during the year were:

Bhupendra S Kansagra 
Rajni S Kansagra 
Ramesh S Kansagra 
Rishi R Kansagra 
Sunil R Kansagra 

Directors' responsibilities statement

The directors are responsible for preparing the Directors' Report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Page 1

 
SOLAI SERVICES LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023


Auditors

Sopher + Co LLP were appointed as the statutory auditors during the year. Under section 487(2) of the Companies Act 2006, Sopher + Co LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

Small companies note

In preparing this report, the directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

This report was approved by the board on 29 August 2024 and signed on its behalf.
 





Bhupendra S Kansagra
Director

Page 2

 
SOLAI SERVICES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOLAI SERVICES LIMITED
 

Opinion


We have audited the financial statements of Solai Services Limited (the 'Company') for the year ended 31 December 2023, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Company's affairs as at 31 December 2023 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.


Page 3

 
SOLAI SERVICES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOLAI SERVICES LIMITED (CONTINUED)

Other information


The directors are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Auditors' Report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.


In connection with our audit of the financial statementsour responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Directors' Report has been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors' Report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 1, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.


Page 4

 
SOLAI SERVICES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOLAI SERVICES LIMITED (CONTINUED)

Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: 
 
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; 
we identified the laws and regulations applicable to the Company through discussions with directors and other management, and from our commercial knowledge and experience of the sector; 
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and 
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. 

We assessed the susceptibility of the Company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: 
 
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; 
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations; and 
understanding the design of the Company’s remuneration policies. 

To address the risk of fraud through management bias and override of controls, we: 
 
performed analytical procedures to identify any unusual or unexpected relationships; 
tested journal entries to identify unusual transactions; 
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and 
investigated the rationale behind significant or unusual transactions. 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: 
 
agreeing financial statement disclosures to underlying supporting documentation;
enquiring of management as to actual and potential litigation and claims; and 
reviewing correspondence with HMRC, relevant regulators and the Company’s legal advisors. 

 
Page 5

 
SOLAI SERVICES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOLAI SERVICES LIMITED (CONTINUED)

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. 
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Martyn Atkinson FCA (Senior statutory auditor)
  
for and on behalf of
Sopher + Co LLP
 
Chartered Accountants
Statutory Auditors
  
5 Elstree Gate
Elstree Way
Borehamwood
Hertfordshire
WD6 1JD

29 August 2024
Page 6

 
SOLAI SERVICES LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
5,181,381
5,327,570

Administrative expenses
  
(4,939,443)
(5,058,812)

Operating profit
  
241,938
268,758

Interest receivable and similar income
 9 
39,895
14,110

Profit before tax
  
281,833
282,868

Tax on profit
 10 
(11,278)
23,280

Profit for the financial year
  
270,555
306,148

The notes on pages 10 to 20 form part of these financial statements.

Page 7

 
SOLAI SERVICES LIMITED
REGISTERED NUMBER:01880666

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 11 
90,861
97,676

Current assets
  

Debtors: amounts falling due after more than one year
 12 
70,088
30,939

Debtors: amounts falling due within one year
 12 
1,089,259
876,227

Cash at bank and in hand
 13 
275,311
255,765

  
1,434,658
1,162,931

Current liabilities
  

Creditors: amounts falling due within one year
 14 
(272,539)
(279,463)

Net current assets
  
 
 
1,162,119
 
 
883,468

Total assets less current liabilities
  
1,252,980
981,144

Provisions for liabilities
  

Deferred tax
 16 
(9,114)
(7,833)

Net assets
  
1,243,866
973,311


Capital and reserves
  

Called up share capital 
 17 
2
2

Profit and loss account
 18 
1,243,864
973,309

  
1,243,866
973,311


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 29 August 2024.




Bhupendra S Kansagra
Director

The notes on pages 10 to 20 form part of these financial statements.

Page 8

 
SOLAI SERVICES LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 January 2022
2
667,161
667,163



Profit for the year
-
306,148
306,148



At 1 January 2023
2
973,309
973,311



Profit for the year
-
270,555
270,555


At 31 December 2023
2
1,243,864
1,243,866


The notes on pages 10 to 20 form part of these financial statements.

Page 9

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

Solai Services Limited is a private limited liability company registered in England and Wales. The registered address is at Portland House, 69-71 Wembley Hill Road, Wembley, Middlesex, HA9 8BU.
The principal activity of the company is the provision of management and administration services to group companies.
The company's functional and presentational currency is £ Sterling.

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 (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Solai Holdings Limited as at 31 December 2023 and these financial statements may be obtained from Companies House.

 
2.3

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 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.

Page 10

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Turnover

Turnover comprises the recharge of costs to group companies in the form of management charges, measured at the fair value of consideration receivable excluding VAT and trade discounts. 
Management charges are recognised in the period when the costs being recharged were incurred.

 
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.

 
2.6

Interest income

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

 
2.7

Pensions

The Company contributes to 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 Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.8

Taxation

The tax expense for the year comprises current and deferred tax. 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 reporting 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 reporting 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. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

Page 11

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

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.

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following basis:

Plant and machinery
-
20%
Reducing balance
Fixtures and fittings
-
20%
Reducing balance

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.

Page 12

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.10

Basic financial instruments

Basic financial instruments include trade and other debtors, trade and other creditors, cash and cash equivalents, and related party loans.
Trade and other debtors are recognised initially at the transaction price less attributable transaction costs. Trade and other creditors are recognised initially at transaction price plus attributable transaction costs. Subsequent to initial recognition they are measured at amortised cost using the effective interest method, less any impairment losses in the case of trade and other debtors. If the arrangement constitutes a financing transaction, for example if payment is deferred beyond normal business terms, then it is measured at the present value of future payments discounted at a market rate of interest.
Interest bearing borrowings classified as basic financial instruments are recognised initially at the present value of future payments discounted at a market rate of interest. Subsequent to initial recognition, they are stated at amortised cost using the effective interest method. 
Cash and cash equivalents comprise cash balances and call deposits.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In preparing these financial statements, the members have made the following judgments:
a) Determining whether there are indicators of impairment of the company's tangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset.
In preparing these financial statements, the members have considered the following key sources of
estimation uncertainty:
a) Tangible assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and estimated disposal values.


4.


Turnover

All turnover was derived from the company's principal activity and arose within the United Kingdom.

Page 13

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

5.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Depreciation
20,974
24,518

(Profit)/loss on disposal of fixed assets
2,939
(10,674)

Exchange differences
1,855
(1,109)

Other operating lease rentals
403,590
360,833


6.


Auditors' remuneration

2023
2022
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
12,500
4,375


7.


Employees

The average monthly number of employees, including directors, during the year was 34 (2022 - 33).


2023
2022
£
£

Wages and salaries
3,458,082
3,477,219

Social security costs
443,373
461,425

Cost of defined contribution scheme
110,574
144,523

4,012,029
4,083,167


Page 14

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

8.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
2,240,392
2,260,160

Company contributions to defined contribution pension schemes
17,000
8,000

2,257,392
2,268,160


During the year retirement benefits were accruing to 3 directors (2022 - 3) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £614,778 (2022 - £615,293).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £NIL (2022 - £NIL).


9.


Interest receivable

2023
2022
£
£


Interest receivable from group companies
39,895
14,110


10.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
9,997
7,125

Adjustments in respect of previous periods
-
(35,450)

9,997
(28,325)


Deferred tax


Origination and reversal of timing differences
1,281
5,045


Tax on profit
11,278
(23,280)
Page 15

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
10.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the effective rate of corporation tax in the UK of 23.52% (2022 -19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
281,833
282,868


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
66,287
53,745

Effects of:


Expenses not deductible for tax purposes
6,277
5,327

Capital allowances for year in excess of depreciation
(1,940)
(2,045)

Adjustments to tax charge in respect of prior periods
-
(35,450)

Group relief
(60,627)
(49,902)

Deferred tax
1,281
5,045

Total tax charge for the year
11,278
(23,280)


Factors that may affect future tax charges

From 1 April 2023 the rate of corporation tax will remain at 19% for companies with an annual profit of £50,000 or less, increase to 25% for companies with an annual profit of £250,000 or more, and increase to a marginal rate for companies with profits between £50,000 and £250,000. These thresholds are divided by the number of associated companies.

Page 16

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

11.


Tangible fixed assets





Plant and machinery
Fixtures and fittings
Total

£
£
£



Cost or valuation


At 1 January 2023
1,484
419,261
420,745


Additions
-
17,098
17,098


Disposals
-
(13,286)
(13,286)



At 31 December 2023

1,484
423,073
424,557



Depreciation


At 1 January 2023
1,053
322,016
323,069


Charge for the year on owned assets
86
20,888
20,974


Disposals
-
(10,347)
(10,347)



At 31 December 2023

1,139
332,557
333,696



Net book value



At 31 December 2023
345
90,516
90,861



At 31 December 2022
431
97,245
97,676


12.


Debtors

2023
2022
£
£

Due after more than one year

Other debtors
70,088
30,939


2023
2022
£
£

Due within one year

Trade debtors
555,965
65,859

Amounts owed by group undertakings
355,406
629,038

Other debtors
9,501
7,430

Prepayments and accrued income
168,387
173,900

1,089,259
876,227


Page 17

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.Debtors (continued)

Amounts owed by group undertakings includes a loan of £354,807 (2022 - £628,832) to Solai Holdings Limited, the company's parent undertaking. The loan is unsecured and bears interest at 2.25% above the Bank of England base rate. 


13.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
275,311
255,765



14.


Creditors: Amounts falling due within one year

2023
2022
£
£

Trade creditors
16,430
26,637

Corporation tax
9,996
7,124

Other taxation and social security
134,756
156,897

Other creditors
29,679
28,765

Accruals and deferred income
81,678
60,040

272,539
279,463



15.


Financial instruments

The company only enters into transactions that result in the recognition of basic financial assets and basic financial liabilities. It does not have financial assets and liabilities measured at fair value.


16.


Deferred taxation




2023
2022


£

£






At beginning of year
7,833
2,788


Charged to profit or loss
1,281
5,045



At end of year
9,114
7,833

Page 18

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
16.Deferred taxation (continued)

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Accelerated capital allowances
9,114
7,833


17.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



2 Ordinary shares of £1.00 each
2
2



18.


Reserves

Profit and loss account

The profit and loss reserve contains the cumulative balance of retained profit and losses since the company started trading. It is a distributable reserve.


19.


Pension commitments

The company contributes to a defined pension scheme. The assets of the scheme are held seperately from those of the company in an independent administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £110,574 (2022 - £144,523). Contributions totalling £3,769 (2022 - £11,667) were payable to the fund at the reporting date and are included in creditors.


20.


Commitments under operating leases

At 31 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£
£


Not later than 1 year
407,940
407,940

Later than 1 year and not later than 5 years
1,048,648
1,456,589

1,456,588
1,864,529

Page 19

 
SOLAI SERVICES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

21.


Related party transactions

The company has taken advantage of the exemption not to disclose transactions entered into between group entities where both entities are wholly owned within the group.


22.


Controlling party

The company's immediate parent undertaking is Solai Holdings Limited, a company incorporated in England and Wales with its registered office address at Portland House, 69-71 Wembley Hill Road, Wembley, Middlesex, HA9 8BU. 
The ultimate parent company is Matel Limited, a company incorporated in Jersey with its registered office address at Oriel House, York Lane, St Helier, Jersey, JE2 4YH.
The ultimate controlling party is The Pavel Trust.
Solai Holdings Limited is the largest and smallest group which includes the company and for which group accounts are prepared. The consolidated accounts are available from Companies House.

 
Page 20