Company registration number SC509285
IDE8 LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
PAGES FOR FILING WITH REGISTRAR
IDE8 LIMITED
CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
IDE8 LIMITED
BALANCE SHEET
- 1 -
2024
2023
as restated
Notes
£
£
£
£
Fixed assets
Intangible assets
3
9,925
11,048
Tangible assets
4
39,421
43,753
49,346
54,801
Current assets
Debtors
5
112,781
110,133
Cash at bank and in hand
65
58,585
112,846
168,718
Creditors: amounts falling due within one year
6
(69,426)
(59,863)
Net current assets
43,420
108,855
Total assets less current liabilities
92,766
163,656
Provisions for liabilities
Deferred tax liability
7
8,643
9,004
(8,643)
(9,004)
Net assets
84,123
154,652
Capital and reserves
Allotted, called up and fully paid share capital
100
100
Profit and loss reserves
84,023
154,552
Total equity
84,123
154,652
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 30 June 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The director acknowledges his 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.
IDE8 LIMITED
BALANCE SHEET (CONTINUED)
- 2 -
The financial statements were approved and signed by the director and authorised for issue on 9 April 2025
Mr D T Howarth
Director
Company Registration No. SC509285
IDE8 LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
- 3 -
1
Accounting policies
Company information
iDE8 Limited is a private company limited by shares incorporated in Scotland. The registered office is The Old Smiddy, Drumsmittal, North Kessock, Inverness, IV1 3XF.
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 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.
1.2
Turnover
The turnover shown in the profit and loss account represents amounts receivable from the provision of medical device quality, regulatory and development research services, excluding Value Added Tax.
Revenue is recognised as earned when, and to the extent that, the company obtains right to consideration in exchange for its performance under its contracts.
For incomplete contracts, an assessment is made to the extent to which revenue has been earned. This assessment takes into account the nature of the work, its stage of completion and the relevant contract terms. Any unbilled revenue is included in debtors as gross amounts owed by contract customers.
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.
1.3
Intangible fixed assets other than goodwill
Intangible assets acquired are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
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:
ISO13485 accreditation and trademarks
10% on cost
Patents
5% on cost
1.4
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.
IDE8 LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
1
Accounting policies (Continued)
- 4 -
Depreciation is recognised so as to write off the cost or valuation of assets over their useful lives on the following bases:
Leasehold improvements
10% on cost
Equipment
20% on cost
Office and computer equipment
33.3% on cost
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.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible 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).
1.6
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.
1.7
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.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans, that are classified as debt, 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.
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.
1.8
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.
IDE8 LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
1
Accounting policies (Continued)
- 5 -
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes 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 reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date 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 is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.10
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.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.12
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Total
8
7
IDE8 LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 6 -
3
Intangible fixed assets
Other
£
Cost
At 1 July 2023
16,730
Additions
550
At 30 June 2024
17,280
Amortisation and impairment
At 1 July 2023
5,682
Amortisation charged for the year
1,673
At 30 June 2024
7,355
Carrying amount
At 30 June 2024
9,925
At 30 June 2023
11,048
4
Tangible fixed assets
Leasehold improvements
Equipment
Office and computer equipment
Total
£
£
£
£
Cost
At 1 July 2023
18,885
38,688
13,522
71,095
Additions
6,578
2,119
8,697
At 30 June 2024
18,885
45,266
15,641
79,792
Depreciation and impairment
At 1 July 2023
10,216
12,882
4,244
27,342
Depreciation charged in the year
1,888
6,838
4,303
13,029
At 30 June 2024
12,104
19,720
8,547
40,371
Carrying amount
At 30 June 2024
6,781
25,546
7,094
39,421
At 30 June 2023
8,669
25,806
9,278
43,753
IDE8 LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 7 -
5
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
98,832
109,036
Gross amounts owed by contract customers
960
Other debtors
12,989
1,097
112,781
110,133
6
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans and overdrafts
35,980
Trade creditors
7,079
Taxation and social security
11,256
29,023
Other creditors
15,111
30,840
69,426
59,863
7
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
8,643
9,004
2024
Movements in the year:
£
Liability at 1 July 2023
9,004
Credit to profit or loss
(361)
Liability at 30 June 2024
8,643
8
Related party transactions
At the balance sheet date, the company owed the director, Mr D T Howarth, £3,012 (2023 - £23,686). This loan is unsecured, interest-free and has no fixed terms of repayment.
IDE8 LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 8 -
9
Prior period adjustment
During the year ended 30 June 2023, £14,130 of costs incurred in obtaining a patent were capitalised as intangible fixed assets. It has subsequently come to light that these costs should have been treated as revenue expenditure and, accordingly, a prior year adjustment has been made to account for this.
The impact this has had on the previously reported profit and loss account and balance sheet is illustrated below.
Changes to the balance sheet
As previously reported
Adjustment
As restated at 30 Jun 2023
£
£
£
Fixed assets
Other intangibles
25,178
(14,130)
11,048
Creditors due within one year
Taxation
(40,285)
11,262
(29,023)
Net assets
157,520
(2,868)
154,652
Capital and reserves
Profit and loss reserves
157,420
(2,868)
154,552
Changes to the profit and loss account
As previously reported
Adjustment
As restated
Period ended 30 June 2023
£
£
£
Administrative expenses
(86,943)
(14,130)
(101,073)
Taxation
(32,315)
11,262
(21,053)
Profit for the financial period
122,673
(2,868)
119,805