Company registration number 11893006 (England and Wales)
FASTPATH SOLUTIONS LTD
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
FASTPATH SOLUTIONS LTD
COMPANY INFORMATION
Directors
Arthur Gilliland
(Appointed 3 May 2024)
Stephanie Reiter
(Appointed 3 May 2024)
Secretary
Oakwood Corporate Secretary Limited
Company number
11893006
Registered office
3rdFloor 1 Ashley Road
Altrincham
Cheshire
United Kingdom
WA14 2DT
Auditor
Royce Peeling Green Limited
The Copper Room
Deva City Office Park
Trinity Way
Manchester
M3 7BG
FASTPATH SOLUTIONS LTD
CONTENTS
Page
Balance sheet
1
Statement of changes in equity
2
Notes to the financial statements
3 - 9
FASTPATH SOLUTIONS LTD
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
4
4,805,090
5,401,150
Other intangible assets
4
1,457,222
1,863,889
Total intangible assets
6,262,312
7,265,039
Tangible assets
-
0
508
6,262,312
7,265,547
Current assets
Debtors
5
174,436
89,643
Cash at bank and in hand
13,989
149,135
188,425
238,778
Creditors: amounts falling due within one year
6
(1,706,701)
(1,066,463)
Net current liabilities
(1,518,276)
(827,685)
Net assets
4,744,036
6,437,862
Capital and reserves
Called up share capital
7
2
2
Share premium account
8
49,999
49,999
Revaluation reserve
9
469,124
600,042
Equity reserve
10
6,039,801
6,039,801
Profit and loss reserves
(1,814,890)
(251,982)
Total equity
4,744,036
6,437,862

The directors of the company have elected not to include a copy of the profit and loss account 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 24 September 2024 and are signed on its behalf by:
Stephanie Reiter
Director
Company registration number 11893006 (England and Wales)
FASTPATH SOLUTIONS LTD
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
Share capital
Share premium account
Revaluation reserve
Equity reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
£
Balance at 1 October 2021
1
-
0
-
0
-
0
(172,662)
(172,661)
Period ended 31 December 2022:
Loss
-
-
-
-
(79,320)
(79,320)
Other comprehensive income:
Revaluation of tangible fixed assets
-
-
654,634
-
-
654,634
Total comprehensive income
-
-
654,634
-
(79,320)
575,314
Issue of share capital
7
1
-
0
-
-
-
1
Other movements
-
49,999
(54,592)
6,039,801
-
6,035,208
Balance at 31 December 2022
2
49,999
600,042
6,039,801
(251,982)
6,437,862
Year ended 31 December 2023:
Loss and total comprehensive income
-
-
-
-
(1,693,826)
(1,693,826)
Other movements
-
-
(130,918)
-
130,918
-
Balance at 31 December 2023
2
49,999
469,124
6,039,801
(1,814,890)
4,744,036
FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
1
Accounting policies
Company information

Fastpath Solutions Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 3rdFloor 1 Ashley Road, Altrincham, Cheshire, United Kingdom, WA14 2DT.

1.1
Reporting period

Following the company's acquisition by Fastpath Solutions LLC in July 2022, the company year end was changed from 30 September to 31 December 2022 to accord with the new parent company. The prior year financial statements therefore cover a 15 month period.

1.2
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.

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 £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.3
Going concern

The company is now part of the Fastpath Solutions group and is currently dependent on the parent undertaking for financial support. The director has been given assurances by Fastpath Solutions LLC that it is its intention to continue to provide this support for no less that 12 months from the date of approval of these financial statements.true

 

On 1 April 2024, Fastpath Solutions LLC was acquired by Delinea Inc, and the legal entities were merged on 1 July 2024. The intention remains to continue to provide support for no less than 12 months from the date of approval of these financial statements.

 

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. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.4
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT trade discounts.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

 

Following acquisition, a critical review of accounting policies was undertaken. The revenue recognition policy has been modified to be consistent with the accounting policies of the new group. In management's opinion the obligations of the company are not extinguished on committal of the licence as there is a commitment to maintain the software throughout the licensed period.

Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.

FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 4 -
1.5
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

1.6
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation 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:

Developed software
5 years
1.7
Tangible fixed assets

Tangible fixed assets 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:

Computers
67% straight line

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.

1.8
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. 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). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 5 -

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.9
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.10
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 balance sheet 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

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.

FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 6 -
Basic financial liabilities

Basic financial liabilities, including creditors and loans from fellow group companies, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

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.

1.11
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.12
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.13
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.14
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.15
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

1.16

Liability limitation agreement

The company has entered into a liability limitation agreement with Royce Peeling Green Limited, the statutory auditor for the year ended 31 December 2023. The proportionate liability agreement follows the standard terms in Appendix B to the FRC's June 2008 Guidance on Auditor Liability Agreements, and has been approved by the shareholders.

FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both periods.

3
Employees

The average monthly number of persons (including directors) employed during the year was:

2023
2022
Number
Number
11
5
4
Intangible fixed assets
Goodwill
Developed software
Total
£
£
£
Cost
At 1 January 2023 and 31 December 2023
5,598,163
2,033,333
7,631,496
Amortisation and impairment
At 1 January 2023
197,013
169,444
366,457
Amortisation charged for the year
596,060
406,667
1,002,727
At 31 December 2023
793,073
576,111
1,369,184
Carrying amount
At 31 December 2023
4,805,090
1,457,222
6,262,312
At 31 December 2022
5,401,150
1,863,889
7,265,039
FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 8 -
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
111,018
70,825
Other debtors
24,653
-
0
Prepayments and accrued income
23,719
18,818
159,390
89,643
Amounts falling due after more than one year:
Other debtors
15,046
-
0
Total debtors
174,436
89,643
6
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
22,607
15,365
Amounts owed to group undertakings
1,059,850
478,442
Taxation and social security
38,709
40,914
Other creditors
-
0
4,454
Accruals and deferred income
585,535
527,288
1,706,701
1,066,463
7
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of 0.001p each
167,384
167,384
2
2

On 4 April 2022 the existing ordinary share of £1 was sub-divided into 100,000 ordinary shares of 0.001 pence each and the company issued 70,000 B ordinary shares of 0.001 pence each for consideration of £50,000 and 1 ordinary share of 0.001 pence each. On the same date 70,000 ordinary shares were redesignated as A ordinary shares and 1 ordinary share was re-designated as A preferred ordinary share. The various share classes had differing rights but this was changed when the company adopted new articles of association on 29 July 2022 and the rights became homogenous.

 

On 27 July 2022 the company repurchased and cancelled 2,617 A ordinary shares of 0.001 pence each. As the total nominal value of these shares was £0.03 no capital redemption reserve is shown in the financial statements.

 

On 31 October 2022 all A ordinary, B ordinary and A preferred ordinary shares were re-designated as ordinary shares of 0.001 pence each.

FASTPATH SOLUTIONS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
8
Share premium account

The share premium reserve contains the premium arising on issue of equity shares, net of issue expenses.

9
Revaluation reserve

The revaluation reserve comprises the cumulative unrealised gains on revaluation of intangible assets being the difference between their fair value included in the financial statements and amortised cost. An adjustment will be made in each accounting period from revaluation to profit and loss reserve as the revaluation surplus is realised through amortisation charged to the Statement of comprehensive income.

10
Equity reserve

The equity reserve comprises a capital contribution made by Fastpath Solutions LLC, the parent undertaking.

11
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:
Martin Chatten
Statutory Auditor:
Royce Peeling Green Limited
Date of audit report:
24 September 2024
12
Related party transactions

The company has taken advantage of the exemption in FRS 102 from the requirement to disclose transactions with other wholly owned group companies and/ or its parent company.

13
Events after the reporting date

On 1 April 2024, Fastpath Solutions LLC was acquired by Delinea Inc, and the legal entities were merged on 1 July 2024.

14
Ultimate controlling party

At 31 December 2023 the company was a wholly owned subsidiary of Fastpath Solutions LLC, a company incorporated and registered in the USA.

The following are the parents of the largest and smallest groups in which this company's results are consolidated:

Largest group
Delinea Inc
Smallest group
Fastpath Solutions LLC
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