22 01/05/2023 30/04/2024 2024-04-30 false false false false false false false true false false true false false false false false true false No description of principal activities is disclosed 2023-05-01 Sage Accounts Production 23.0 - FRS102_2023 xbrli:pure xbrli:shares iso4217:GBP 11492275 2023-05-01 2024-04-30 11492275 2024-04-30 11492275 2023-04-30 11492275 2022-05-01 2023-04-30 11492275 2023-04-30 11492275 2022-04-30 11492275 core:NetGoodwill 2023-05-01 2024-04-30 11492275 core:FurnitureFittingsToolsEquipment 2023-05-01 2024-04-30 11492275 bus:RegisteredOffice 2023-05-01 2024-04-30 11492275 bus:LeadAgentIfApplicable 2023-05-01 2024-04-30 11492275 bus:Director1 2023-05-01 2024-04-30 11492275 bus:Director2 2023-05-01 2024-04-30 11492275 bus:Director3 2023-05-01 2024-04-30 11492275 core:IntangibleAssetsOtherThanGoodwill 2023-04-30 11492275 core:IntangibleAssetsOtherThanGoodwill 2024-04-30 11492275 core:PlantMachinery 2023-04-30 11492275 core:FurnitureFittingsToolsEquipment 2023-04-30 11492275 core:PlantMachinery 2024-04-30 11492275 core:FurnitureFittingsToolsEquipment 2024-04-30 11492275 core:WithinOneYear 2024-04-30 11492275 core:WithinOneYear 2023-04-30 11492275 core:ShareCapital 2022-05-01 2023-04-30 11492275 core:SharePremium 2022-05-01 2023-04-30 11492275 core:RetainedEarningsAccumulatedLosses 2022-05-01 2023-04-30 11492275 core:SharePremium 2023-05-01 2024-04-30 11492275 core:RetainedEarningsAccumulatedLosses 2023-05-01 2024-04-30 11492275 core:AfterOneYear 2024-04-30 11492275 core:AfterOneYear 2023-04-30 11492275 core:ShareCapital 2024-04-30 11492275 core:ShareCapital 2023-04-30 11492275 core:SharePremium 2024-04-30 11492275 core:SharePremium 2023-04-30 11492275 core:RetainedEarningsAccumulatedLosses 2024-04-30 11492275 core:RetainedEarningsAccumulatedLosses 2023-04-30 11492275 core:ShareCapital 2022-04-30 11492275 core:SharePremium 2022-04-30 11492275 core:RetainedEarningsAccumulatedLosses 2022-04-30 11492275 core:PreviouslyStatedAmount core:ShareCapital 2024-04-30 11492275 core:IntangibleAssetsOtherThanGoodwill 2023-05-01 2024-04-30 11492275 core:PlantMachinery 2023-05-01 2024-04-30 11492275 core:IntangibleAssetsOtherThanGoodwill 2023-04-30 11492275 core:PlantMachinery 2023-04-30 11492275 core:FurnitureFittingsToolsEquipment 2023-04-30 11492275 bus:Director1 2023-04-30 11492275 bus:Director1 2024-04-30 11492275 bus:Director1 2023-04-30 11492275 bus:Director1 2022-05-01 2023-04-30 11492275 bus:SmallEntities 2023-05-01 2024-04-30 11492275 bus:AuditExemptWithAccountantsReport 2023-05-01 2024-04-30 11492275 bus:SmallCompaniesRegimeForAccounts 2023-05-01 2024-04-30 11492275 bus:PrivateLimitedCompanyLtd 2023-05-01 2024-04-30 11492275 bus:FullAccounts 2023-05-01 2024-04-30
Company registration number: 11492275
Litigationware Limited
Trading as Finlegal
Unaudited filleted financial statements
30 April 2024
Litigationware Limited
Contents
Directors and other information
Accountants report
Statement of financial position
Statement of changes in equity
Notes to the financial statements
Litigationware Limited
Directors and other information
Directors Mr S. Shinn
Mr A. S. Harriss
Mr. J. Lester
Company number 11492275
Registered office Unit 8, Acorn Business Park
Woodseats Close
Sheffield
S8 0TB
Accountants Henry Bramall & Co Limited
Unit 8, Acorn Business Park
Woodseats Close
Sheffield
S8 0TB
Bankers National Westminster Bank
Hunters Bar
669 Ecclesall Road
Sheffield
S11 8PW
Litigationware Limited
Report to the board of directors on the preparation of the
unaudited statutory financial statements of Litigationware Limited
Year ended 30 April 2024
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Litigationware Limited for the year ended 30 April 2024 which comprise the statement of financial position, statement of changes in equity and related notes from the company's accounting records and from information and explanations you have given us.
As a practising member firm of the Association of Chartered Certified Accountants , we are subject to its ethical and other professional requirements which are detailed at http://www.accaglobal.com/en/member/ professional-standards/ rules-standards/acca-rulebook.html.
This report is made solely to the board of directors of Litigationware Limited, as a body, in accordance with the terms of our engagement letter dated 14 November 2019. Our work has been undertaken solely to prepare for your approval the financial statements of Litigationware Limited and state those matters that we have agreed to state to the board of directors of Litigationware Limited as a body, in this report in accordance with the requirements of the Association of Chartered Certified Accountants as detailed at http://www.accaglobal.com/content/dam/ACCA_Global /Technical/fact/technical-factsheet-163.pdf. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Litigationware Limited and its board of directors as a body for our work or for this report.
It is your duty to ensure that Litigationware Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Litigationware Limited. You consider that Litigationware Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Litigationware Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Henry Bramall & Co Limited
Chartered Certifiefd Accountants
Unit 8, Acorn Business Park
Woodseats Close
Sheffield
S8 0TB
4 November 2024
Litigationware Limited
Statement of financial position
30 April 2024
2024 2023
Note £ £ £ £
Fixed assets
Intangible assets 5 81,159 176,545
Tangible assets 6 8,684 14,511
_______ _______
89,843 191,056
Current assets
Debtors 7 986,960 631,948
Cash at bank and in hand 241,327 130,968
_______ _______
1,228,287 762,916
Creditors: amounts falling due
within one year 8 ( 860,664) ( 519,925)
_______ _______
Net current assets 367,623 242,991
_______ _______
Total assets less current liabilities 457,466 434,047
Creditors: amounts falling due
after more than one year 9 ( 25,676) ( 25,816)
_______ _______
Net assets 431,790 408,231
_______ _______
Capital and reserves
Called up share capital 10 183 183
Share premium account 3,570,170 3,070,169
Profit and loss account ( 3,138,563) ( 2,662,121)
_______ _______
Shareholders funds 431,790 408,231
_______ _______
For the year ending 30 April 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors responsibilities:
- 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;
- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with Section 1A of FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In accordance with section 444 of the Companies Act 2006, the statement of comprehensive income has not been delivered.
These financial statements were approved by the board of directors and authorised for issue on 04 November 2024 , and are signed on behalf of the board by:
Mr S. Shinn
Director
Company registration number: 11492275
Litigationware Limited
Statement of changes in equity
Year ended 30 April 2024
Called up share capital Share premium account Profit and loss account Total
£ £ £ £
At 1 May 2022 168 2,270,212 ( 1,598,787) 671,593
Loss for the year ( 1,063,334) ( 1,063,334)
_______ _______ _______ _______
Total comprehensive income for the year - - ( 1,063,334) ( 1,063,334)
Issue of shares 15 799,957 799,972
_______ _______ _______ _______
Total investments by and distributions to owners 15 799,957 - 799,972
_______ _______ _______ _______
At 30 April 2023 and 1 May 2023 183 3,070,170 ( 2,662,121) 408,232
Loss for the year ( 476,442) ( 476,442)
_______ _______ _______ _______
Total comprehensive income for the year - - ( 476,442) ( 476,442)
Conversion of debt to equity - 500,000 - 500,000
_______ _______ _______ _______
Total investments by and distributions to owners - 500,000 - 500,000
_______ _______ _______ _______
At 30 April 2024 183 3,570,170 ( 3,138,563) 431,790
_______ _______ _______ _______
Litigationware Limited
Notes to the financial statements
Year ended 30 April 2024
1. General information
The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Unit 8, Acorn Business Park, Woodseats Close, Sheffield, S8 0TB.
2. Statement of compliance
These financial statements have been prepared in compliance with the provisions of FRS 102, Section 1A, 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
The business grew claims automation annual recurring revenue (ARR) by 87% in the year as forecast in the prior year. On account of good performance, the business is in the process of receiving £1.5m investment which will be at bank targeting June 24. The investment will be deployed to product development to tighten the company's product market fit, and then increase international sales activity. The business will be loss-making through FY25 on account of the investment but targets a return to profit in early FY26.
Turnover
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
Taxation
Corporation tax losses sustained and carried forward have not been valued as a deferred asset. The company is in the process of submitting a Research and Development claim which will be used to obtain a tax credit.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Intangible assets
Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses. Any intangible assets carried at a revalued amount, are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses. Intangible assets acquired as part of a business combination are only recognised separately from goodwill when they arise from contractual or other legal rights, are separable, the expected future economic benefits are probable and the cost or value can be measured reliably.
Amortisation
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:
Software developed - 20 % straight line
If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.
Tangible assets
tangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in capital and reserves, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess shall be recognised in profit or loss.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Fittings fixtures and equipment - 33 % straight line
If there is an indication that there has been a significant change in depreciation rate, useful life or residual value of tangible assets, the depreciation is revised prospectively to reflect the new estimates.
Impairment
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. When it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets.
Financial instruments
A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised in finance costs in profit or loss in the period in which it arises.
4. Employee numbers
The average number of persons employed by the company during the year amounted to 22 (2023: 18 ).
5. Intangible assets
Other intangible assets Total
£ £
Cost
At 1 May 2023 and 30 April 2024 476,931 476,931
_______ _______
Amortisation
At 1 May 2023 300,386 300,386
Charge for the year 95,386 95,386
_______ _______
At 30 April 2024 395,772 395,772
_______ _______
Carrying amount
At 30 April 2024 81,159 81,159
_______ _______
At 30 April 2023 176,545 176,545
_______ _______
6. Tangible assets
Plant and machinery Fixtures, fittings and equipment Total
£ £ £
Cost
At 1 May 2023 1,330 25,685 27,015
Additions - 3,921 3,921
_______ _______ _______
At 30 April 2024 1,330 29,606 30,936
_______ _______ _______
Depreciation
At 1 May 2023 332 12,172 12,504
Charge for the year 443 9,305 9,748
_______ _______ _______
At 30 April 2024 775 21,477 22,252
_______ _______ _______
Carrying amount
At 30 April 2024 555 8,129 8,684
_______ _______ _______
At 30 April 2023 998 13,513 14,511
_______ _______ _______
7. Debtors
2024 2023
£ £
Trade debtors 645,084 386,112
Other debtors 341,876 245,836
_______ _______
986,960 631,948
_______ _______
Other debtors includes a Research and Development tax credit equating to £274,086. This is disclosed as receivable under one year.
8. Creditors: amounts falling due within one year
2024 2023
£ £
Bank loans and overdrafts 22,697 9,860
Trade creditors 108,141 145,949
Social security and other taxes 115,527 37,401
Other creditors 614,299 326,715
_______ _______
860,664 519,925
_______ _______
9. Creditors: amounts falling due after more than one year
2024 2023
£ £
Other creditors 25,676 25,816
_______ _______
10. Called up share capital
Issued, called up and fully paid
2024 2023
No £ No £
Ordinary A Shares at £0.0001 each 750,000 75 750,000 75
_______ _______ _______ _______
Amounts presented in liabilities:
Ordinary B Shares at £0.0001 each 1,075,430 108 1,075,430 108
_______ _______ _______ _______
The company has issued, 146,636 EMI options in respect of the ordinary B shares. These have a total value, amounting to £588,960. No option has been exercised during the period.
11. Events after the end of the reporting period
During the year, the company received £500,000 as contracted for Advance Subscription Agreements. Part of this debt, £465,00, has now been converted to equity. It is anticipated that the remaining £35,000 will be converted in due course.
12. Directors advances, credits and guarantees
During the year the directors entered into the following advances and credits with the company:
2024
Balance brought forward Advances /(credits) to the directors Amounts repaid Balance o/standing
£ £ £ £
Mr S. Shinn 4,352 16,292 ( 4,230) 16,414
_______ _______ _______ _______
2023
Balance brought forward Advances /(credits) to the directors Amounts repaid Balance o/standing
£ £ £ £
Mr S. Shinn - 4,352 - 4,352
_______ _______ _______ _______
The loan is in respect of an advancement of potential expenses to be incurred. No interest is being charged on this advance.