Company Registration No. 06509875 (England and Wales)
SCALABLE SOFTWARE LTD
ANNUAL REPORT AND UNAUDITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 MARCH 2024
PAGES FOR FILING WITH REGISTRAR
SCALABLE SOFTWARE LTD
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
SCALABLE SOFTWARE LTD
Company Registration No. 06509875
BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 1 -
2024
2023
Notes
US$
US$
US$
US$
Fixed assets
Investments
4
100
100
Current assets
Debtors
6
370,911
2,915,959
Cash at bank and in hand
168,470
1,166,085
539,381
4,082,044
Creditors: amounts falling due within one year
7
(25,850,295)
(26,671,398)
Net current liabilities
(25,310,914)
(22,589,354)
Net liabilities
(25,310,814)
(22,589,254)
Capital and reserves
Called up share capital
8
765
765
Share premium account
1,379,613
1,379,613
Profit and loss reserves
(26,691,192)
(23,969,632)
Total equity
(25,310,814)
(22,589,254)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 March 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
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 20 November 2024 and are signed on its behalf by:
M J Cresswell
Director
SCALABLE SOFTWARE LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
1
Accounting policies
Company information
Scalable Software Ltd is a private company limited by shares incorporated in England and Wales. The registered office is The Old Rectory, Church Street, Weybridge, Surrey, KT13 8DE. The principal activities of the company during the year continued to be the development and sale of enterprise software applications.
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 US Dollars, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest US$.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
The company is the parent undertaking of a small group and as such is not required by the Companies Act 2006 to prepare group accounts. These financial statements therefore present information about the company as an individual undertaking and not about its group.
1.2
Going concern
During the year the company operated at a net loss and at the balance sheet date had net current liabilities of $25,310,814. The company is reliant upon the continued support of its major loan noteholders to provide the financing and working capital requirements of the company. The directors are not aware of any reasons why the loan noteholders will not continue to support the company for the foreseeable future. Accordingly the accounts have been prepared on a going concern basis.
1.3
Turnover
Turnover comprises revenue recognised by the company in respect of development and sale of enterprise software applications supplied during the year, exclusive of Value Added Tax and trade discounts.
Income is recognised in the period it relates to. The company sells subscriptions, licences and maintenance that span over a number of accounting periods and any such revenue is included as deferred income and recognised over the respective period.
1.4
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:
Patents
5 years
SCALABLE SOFTWARE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 3 -
1.5
Fixed asset investments
Investments held as fixed assets are shown at cost less provision for impairment.
1.6
Cash at bank and in hand
Cash at bank and in hand 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.
1.7
Financial instruments
Basic financial assets
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
Basic financial liabilities
Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
1.8
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.
1.9
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.
1.10
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.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Total
34
33
SCALABLE SOFTWARE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -
3
Intangible fixed assets
Patents
US$
Cost
At 1 April 2023 and 31 March 2024
4,367,400
Amortisation and impairment
At 1 April 2023 and 31 March 2024
4,367,400
Carrying amount
At 31 March 2024
At 31 March 2023
4
Fixed asset investments
2024
2023
US$
US$
Shares in group undertakings and participating interests
100
100
5
Subsidiaries
Details of the company's subsidiaries at 31 March 2024 are as follows:
Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Scalable Software Inc
United States of America
Ordinary
100.00
6
Debtors
2024
2023
Amounts falling due within one year:
US$
US$
Trade debtors
10,771
82,846
Amounts owed by group undertakings
258,856
2,626,621
Other debtors
101,284
206,492
370,911
2,915,959
SCALABLE SOFTWARE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -
7
Creditors: amounts falling due within one year
2024
2023
US$
US$
Debenture loans
21,925,893
20,726,350
Trade creditors
181,816
189,512
Other creditors
3,642,848
5,594,650
Accruals and deferred income
99,738
160,886
25,850,295
26,671,398
Included within debenture loans is an amount of $19,660,330 (2023 - $14,766,422) which is secured by a fixed and floating charge over the company's assets.
8
Called up share capital
2024
2023
US$
US$
Ordinary share capital
Issued and fully paid
28,592 Ordinary shares of 1c each
368
368
368
368
Preference share capital
Issued and fully paid
5,385 Preference share of 1c each
67
67
26,553 B Preference share of 1c each
330
330
397
397
9
Parent company
JMI Services LLC (a company incorporated in the United States of America) is the registered holder of 74.9% of the share capital of the company. JMI Services LLC is wholly owned by John J Moores, who is the controlling party.