The Rainbow Networks Group Ltd

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—7

1. General Information

The Rainbow Networks Group Ltd is a private company, limited by shares, incorporated in England & Wales, registered number 10419375 . The registered office is Raleigh House 9A Wellsway, Keynsham, Bristol, BS31 1HS.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Turnover

Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover is reduced for estimated customer returns, rebates and other similar allowances.

Sale of goods

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

Rendering of services

Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.

2.3. Intangible Fixed Assets and Amortisation - Goodwill

Goodwill is the difference between amounts paid on the acquisition of a business and the fair value of the separable net assets. It is amortised to profit and loss account over its estimated economic life of 10 years.

2.4. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & Machinery	25% Straight Line
Motor Vehicles	25% Straight Line

2.5. Leasing and Hire Purchase Contracts

Assets obtained under finance leases are capitalised as tangible fixed assets. Assets acquired under finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in the creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to profit and loss account as incurred.

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The Rainbow Networks Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.6. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other year and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and asset reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

3. Average Number of Employees

Average number of employees, including directors, during the year was: NIL (2023: 9)

4. Intangible Assets

	Goodwill
	£
Cost
As at 1 January 2024	191,000

As at 31 December 2024	191,000

Amortisation
As at 1 January 2024	68,442
Provided during the period	19,100

As at 31 December 2024	87,542

Net Book Value
As at 31 December 2024	103,458

As at 1 January 2024	122,558

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The Rainbow Networks Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

5. Tangible Assets

	Plant & Machinery	Motor Vehicles	Total
	£	£	£
Cost
As at 1 January 2024	88,445	26,602	115,047
Additions	357	-	357

As at 31 December 2024	88,802	26,602	115,404

Depreciation
As at 1 January 2024	65,287	23,790	89,077
Provided during the period	12,026	937	12,963

As at 31 December 2024	77,313	24,727	102,040

Net Book Value
As at 31 December 2024	11,489	1,875	13,364

As at 1 January 2024	23,158	2,812	25,970

6. Investments

	Subsidiaries
	£
Cost
As at 1 January 2024	300

As at 31 December 2024	300

Provision
As at 1 January 2024	-

As at 31 December 2024	-

Net Book Value
As at 31 December 2024	300

As at 1 January 2024	300

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the

company holds 20% or more of the nominal value of any class of share capital are as follows:

Subsidiary undertaking: Protel Data Services Ltd

Registered office: Raleigh House 9a Wellsway, Keynsham, Bristol, England, BS31 1HS

Holding: Ordinary

Proportion of voting rights and shares held: 100%

Subsidiary undertaking: Rainbow Communications (Bristol) Ltd

Registered office: Raleigh House 9a Wellsway, Keynsham, Bristol, England, BS31 1HS

Holding: Ordinary

Proportion of voting rights and shares held: 100%

...CONTINUED

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The Rainbow Networks Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

6. Investments - continued

Subsidiary undertaking: Magic Tech Support Ltd

Registered office: Raleigh House 9a Wellsway, Keynsham, Bristol, England, BS31 1HS

Holding: Ordinary

Proportion of voting rights and shares held: 100%

7. Debtors

	2024	2023
	£	£
Due within one year
Trade debtors	-	24,771
Other debtors	2,000	2,000
Other taxes and social security	1,973	-
Amounts owed by group undertakings	261,795	150,898

	265,768	177,669

8. Creditors: Amounts Falling Due Within One Year

	2024	2023
	£	£
Net obligations under finance lease and hire purchase contracts	3,816	3,816
Trade creditors	1,593	1,914
Other taxes and social security	-	59,712
Other creditors	4,844	2,019

	10,253	67,461

9. Creditors: Amounts Falling Due After More Than One Year

	2024	2023
	£	£
Net obligations under finance lease and hire purchase contracts	5,406	9,222

10. Obligations Under Finance Leases and Hire Purchase

	2024	2023
	£	£
The future minimum finance lease payments are as follows:
Not later than one year	3,816	3,816
Later than one year and not later than five years	5,406	9,222

	9,222	13,038

	9,222	13,038

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The Rainbow Networks Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

11. Share Capital

	2024	2023
	£	£
Allotted, Called up and fully paid	100	100

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		2024		2023
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	4		103,458		122,558
Tangible Assets	5		13,364		25,970
Investments	6		300		300

			117,122		148,828
CURRENT ASSETS
Debtors	7	265,768		177,669
Cash at bank and in hand		513,228		388,751

		778,996		566,420
Creditors: Amounts Falling Due Within One Year	8	(10,253 )		(67,461 )

NET CURRENT ASSETS (LIABILITIES)			768,743		498,959

TOTAL ASSETS LESS CURRENT LIABILITIES			885,865		647,787

Creditors: Amounts Falling Due After More Than One Year	9		(5,406 )		(9,222 )

NET ASSETS			880,459		638,565

CAPITAL AND RESERVES
Called up share capital	11		100		100
Profit and Loss Account			880,359		638,465

SHAREHOLDERS' FUNDS			880,459		638,565