Brighter IR Limited |
Notes to the Accounts |
for the year ended 30 June 2024 |
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1 |
Accounting policies |
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Basis of preparation |
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The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard). |
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Turnover |
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Subscription income from customers is recognised initially in deferred income, then recognised as revenue over time as the subscription period is rendered based on a fixed price and performance obligations are satisfied as content is delivered over the subscription period. Contracts are typically for a maximum 12-month period, subscriptions are invoiced in advance at the start of the subscription period and the Company has no obligations to refund subscriptions which are typically due within 30 days of the invoice date. Website development income generated is recognised over the contract period. Invoices are raised on signing of the contract for 50% of the development fee and the final 50% of the development fee is invoiced when the website goes live. The initial 50% raised on signing of the contract is non-refundable. Invoices are due for payment 30 days from the date of the invoice. Other income is recognised when performance obligations have been satisfied and invoices are due for payment 30 days from the date of the invoice. |
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Financial instruments |
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The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans to related parties and investments in ordinary shares. |
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Tangible fixed assets |
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Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: |
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Fixtures, fittings, tools and equipment |
over 3 years |
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Going concern |
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The Company’s ability to continue as a going concern is dependent upon its and the Groups ability to generate sufficient revenues and positive cash flows from its operating activities and/or obtain sufficient funding to meet its obligations. The Groups borrowings are secured on the Company's assets and there can be no assurance that additional funding will be available to the parent, or, if available, that this funding will be on acceptable terms. If sufficient positive operating cash flows are not achieved, or adequate funding is not available, the parent may be required to delay or reduce the scope of any or all of its operations. These conditions indicate the existence of a material uncertainty that may cast significant doubt about the Company’s ability to continue as a going concern. |
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Debtors |
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Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
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Creditors |
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Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
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Taxation |
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A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted. |
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Other operating income |
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The 2021 Government grant relates to compensation of staff costs under the Coronavirus Job Retention Scheme. Income is recognised in the same period as the costs to which it relates to, using the accruals model. |
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Foreign currency translation |
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Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss. |
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Exceptional items |
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Exceptional items are transactions that fall within the ordinary activities of the Company but are presented separately due to their size or incidence. |
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Pensions |
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The Company operates 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 Balance sheet. The assets of the plan are held separately from the Company in independently administered funds. |
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2 |
Employees |
2024 |
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2023 |
Number |
Number |
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Average number of persons employed by the company |
10 |
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14 |
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3 |
Tangible fixed assets |
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Comp Equipment |
£ |
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Cost |
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At 1 July 2023 |
19,988 |
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At 30 June 2024 |
19,988 |
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Depreciation |
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At 1 July 2023 |
15,679 |
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Charge for the year |
3,013 |
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At 30 June 2024 |
18,692 |
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Net book value |
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At 30 June 2024 |
1,296 |
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At 30 June 2023 |
4,309 |
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4 |
Debtors |
2024 |
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2023 |
£ |
£ |
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Trade debtors |
197,749 |
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227,012 |
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Other debtors |
746,108 |
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586,586 |
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943,857 |
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813,598 |
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5 |
Creditors: amounts falling due within one year |
2024 |
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2023 |
£ |
£ |
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Trade creditors |
24,601 |
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10,341 |
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Taxation and social security costs |
44,930 |
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134,381 |
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Other creditors |
651,585 |
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630,934 |
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721,116 |
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775,656 |
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6 |
Judgements in applying accounting policies and key sources of estimation uncertainty |
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The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant judgements The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: Impairment of debtors The Company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers whether there is no reasonable expectation of recovery of the debt, which may include the failure of a debtor to engage in a repayment plan with the Company, and/or a failure to make contractual payments for a period of greater than 180 days past due. |
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7 |
Contingent liabilities |
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Group borrowings are secured on the assets of the company via a fixed and floating charge covering all assets or undertakings of the company. |
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8 |
Controlling party |
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The parent of the smallest group for which consolidated financial statements are drawn up is Proactive Group Holdings Inc. The registered office address is Suite 7210, 100 King Street, West Toronto, Ontario M5X 1E1. |
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9 |
Other information |
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Brighter IR Limited is a private company limited by shares and incorporated in England. Its registered office is: |
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2nd Floor 35 Great St. Helen's |
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London |
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England |
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EC3A 6AP |