Company registration number 04380777 (England and Wales)
MORTGAGE SUPPORT NETWORK LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
MORTGAGE SUPPORT NETWORK LIMITED
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 5
MORTGAGE SUPPORT NETWORK LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
3
2,905
3,514
Current assets
Trade and other receivables
4
74,038
116,969
Cash and cash equivalents
388,161
345,419
462,199
462,388
Current liabilities
5
(118,567)
(195,940)
Net current assets
343,632
266,448
Total assets less current liabilities
346,537
269,962
Provisions for liabilities
6
(16,353)
(16,353)
Net assets
330,184
253,609
Equity
Called up share capital
7
80
80
Capital redemption reserve
20
20
Retained earnings
330,084
253,509
Total equity
330,184
253,609
The directors of the company have elected not to include a copy of the income statement within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 22 July 2024 and are signed on its behalf by:
Mr C M Tanner
Director
Company registration number 04380777 (England and Wales)
MORTGAGE SUPPORT NETWORK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
1
Accounting policies
Company information
Mortgage Support Network Limited is a private company limited by shares incorporated in England and Wales. The registered office is 6 Merus Court, Meridian Business Park, Leicester, LE19 1RJ.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £1.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, The directors have considered relevant information, including the company's principal risks and uncertainties and the impact of subsequent events in making their assessment. Based on these assessments and having regard to the resources available to the entity, the directors have concluded that there is no material uncertainty and that they can continue to adopt the going concern basis in preparing the annual report and financial statements.true
1.3
Revenue
Revenue is recognised in respect of commission receivable, and services rendered, to the company's network and is shown net of VAT and other sales related taxes. Commission receivable is recognised on approval of a broker's loan application.
1.4
Property, plant and equipment
Property, plant and equipment are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings
10% per annum on a straight line basis
Computer equipment
20% per annum on a straight line basis
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include deposits held at call with banks.
MORTGAGE SUPPORT NETWORK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 3 -
1.6
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position 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.
The company enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other receivables and payables and loans from fellow group undertakings.
Debt instruments like loans from fellow group undertakings and accounts receivable and payable are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments that are payable or receivable within one year are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received.
1.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.8
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
1.9
Provision for commission clawback
Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation.
The provision for the clawback of commission represents a modelled estimate of the value of commissions reclaimable by product providers in respect of policies cancelled either from outset or which lapsed, based on the past experience of such claims.
2
Employees
The average monthly number of persons employed by the company during the year was 0 (2022 - 0).
MORTGAGE SUPPORT NETWORK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -
3
Property, plant and equipment
Fixtures and fittings
Computer equipment
Total
£
£
£
Cost
At 1 January 2023 and 31 December 2023
6,891
62,255
69,146
Depreciation and impairment
At 1 January 2023
3,377
62,255
65,632
Depreciation charged in the year
609
609
At 31 December 2023
3,986
62,255
66,241
Carrying amount
At 31 December 2023
2,905
2,905
At 31 December 2022
3,514
3,514
4
Trade and other receivables
2023
2022
Amounts falling due within one year:
£
£
Trade receivables
7,746
9,260
Amounts owed by group undertakings
505
Other receivables
66,292
107,204
74,038
116,969
5
Current liabilities
2023
2022
£
£
Trade payables
54,054
93,920
Other payables
64,513
102,020
118,567
195,940
6
Provisions for liabilities
2023
2022
£
£
Clawback provision
15,853
15,853
Deferred tax liabilities
500
500
16,353
16,353
MORTGAGE SUPPORT NETWORK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
6
Provisions for liabilities
(Continued)
- 5 -
The provision for clawbacks on indemnified commissions has been estimated by applying an industry average rate of clawback to the value of commissions potentially reclaimable by product providers during the remaining indemnity period.
7
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
80
80
80
80
8
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
Senior Statutory Auditor:
Robin Evans BA FCA CTA
Statutory Auditor:
Sumer Audit
Date of audit report:
21 August 2024
Sumer Audit is the trading name of Sumer Auditco Limited
9
Parent company
The immediate and ultimate parent company is Josewin Limited, a company incorporated in England and Wales. The registered office is 6 Merus Court, Meridian Business Park, Leicester, England, LE19 1RJ.
Josewin Limited prepares consolidated financial statements and copies can be obtained from Companies House.