REGISTERED NUMBER: |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2024 |
FOR |
IDEA GROUP LIMITED |
REGISTERED NUMBER: |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2024 |
FOR |
IDEA GROUP LIMITED |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
IDEA GROUP LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
Statutory Auditor |
15 West Street Brighton |
Brighton |
East Sussex |
BN1 2RL |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
BALANCE SHEET |
30 NOVEMBER 2024 |
2024 | 2023 |
as restated |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 4 |
CURRENT ASSETS |
Debtors | 5 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 6 | ( |
) | ( |
) |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 7 | ( |
) |
NET LIABILITIES | ( |
) | ( |
) |
CAPITAL AND RESERVES |
Called up share capital | 8 |
Share premium |
Retained earnings | ( |
) | (325,822 | ) |
SHAREHOLDERS' FUNDS | ( |
) | ( |
) |
The financial statements were approved by the Board of Directors and authorised for issue on |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
1. | STATUTORY INFORMATION |
Idea Group Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£) and have been rounded to the nearest pound. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Going Concern |
Idea Group Limited (IGL) is a subsidiary of Fimatix UK Limited (the company) and IGL’s activities and the basis of it continuing as a going concern are reliant on the ongoing support of the Fimatix Group. The statement below relates to the assessment of the Group’s Going concern of which IGL is a part. |
The Directors have assessed the financial position of Fimatix Group of companies (incorporating Fimatix UK Limited, IGL and Semantic Evolution Limited) and noted that there is material uncertainty that may cast significant doubt on the company’s ability to continue as a going concern. While the company has faced short-term pressures due to outstanding tax liabilities, it is awaiting the settlement of a £1.5 million R&D tax credit claim from HMRC. This settlement is expected to significantly reduce its net liabilities to HMRC from £2.14 million to approximately £700,000, making repayment more manageable. The company has demonstrated financial responsibility through ongoing tax payments and a structured £30,000 monthly repayment plan until the R&D claim is processed, at which point a formal Time to Pay (TTP) arrangement will be agreed with HMRC. |
Given that HMRC is both a major creditor and debtor to Fimatix UK Ltd, a winding-up scenario would not yield additional recovery and would instead extinguish a viable business. Furthermore, the company operates in the artificial intelligence sector, aligning with government priorities and demonstrating strong growth potential and is showing a strong cashflow forecast for FY25 as a result of recent additional sales. Based on these factors, whilst there is material uncertainty due to the matters outlined above, the Directors conclude that Fimatix UK Ltd and the group of companies remain a going concern. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be measured reliably. Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised: |
Rendering of services |
Revenue from a contract to provide services is recognised by reference to the stage of completion of the contract when all the following have been satisfied: |
- the amount of revenue can be measured reliably |
- it is probable that future economic benefits will flow to the company |
- the stage of completion of the contract at the end of the reporting period can be measured reliably |
- the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
The company recognises revenue on the following revenue types: |
Licences & support |
Licences and support services are provided consistently over the term of the contract. As a result, turnover is recognised on a straight-line basis over the contract term. |
Usage fees |
Some contracts include revenue for order usage. Turnover is recognised in the period the usage occurred. |
Tangible fixed assets |
Fixtures and fittings | - |
Computer equipment | - |
Tangible fixed assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
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. |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
2. | ACCOUNTING POLICIES - continued |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Financial instruments |
Basic financial assets |
Basic financial assets, which include debtors and cash and cash equivalents, 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. Amortised cost is determined as being the transaction price less any amounts settled and any impairment losses. Financial assets classified as receivable within one year are not amortised. |
A provision for impairment of debtors is established when there is objective evidence that the amounts due will not be collected according to the original terms of the contract. Impairment losses are recognised in profit or loss for the excess of the carrying value of the trade debtor over the present value of the future cash flows discounted using the original effective interest rate. Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised immediately in profit or loss. |
Basic financial liabilities |
Basic financial liabilities, including trade, group and other creditors (including accruals) payable are initially measured at the transaction price and subsequently measured at amortised cost 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 receivable within one year are not amortised. |
3. | EMPLOYEES |
The average number of employees during the year was NIL (2023 - NIL). |
4. | TANGIBLE FIXED ASSETS |
Fixtures |
and | Computer |
fittings | equipment | Totals |
£ | £ | £ |
COST |
At 1 December 2023 |
Disposals | ( |
) | ( |
) | ( |
) |
At 30 November 2024 |
DEPRECIATION |
At 1 December 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) | ( |
) |
At 30 November 2024 |
NET BOOK VALUE |
At 30 November 2024 |
At 30 November 2023 |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
5. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
as restated |
£ | £ |
Trade debtors |
Other debtors |
6. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
as restated |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Taxation and social security |
Other creditors |
7. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
as restated |
£ | £ |
Deferred tax | - | 360 |
Deferred |
tax |
£ |
Balance at 1 December 2023 |
Capital allowances in advance |
of depreciation | (360 | ) |
Balance at 30 November 2024 |
8. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | as restated |
£ | £ |
Ordinary £1.00 | £1.00 | 2,066 | 2,066 |
9. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was unqualified. |
for and on behalf of |
IDEA GROUP LIMITED (REGISTERED NUMBER: 04087001) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2024 |
9. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 - continued |
Material uncertainty related to going concern |
We draw attention to the going concern paragraph in Note 2 to the financial statements. This note explains that the basis of the company continuing as a going concern is reliant on the ongoing support of Fimatix UK Limited, its parent entity. Fimatix UK Limited is currently in negotiation with HM Revenue & Customs to finalise the amount of certain historic liabilities and reach a suitable arrangement to repay these amounts over an acceptable period of time. In addition, the Directors have prepared forecasts as to the Group's ability to generate sufficient cash to meet its' ongoing liabilities as they become due. These events, or conditions, along with other matters set out in Note 2, indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter. |
10. | ULTIMATE CONTROLLING PARTY |
The controlling party is Fimatix UK Ltd. |
The ultimate controlling party is Mr P J D M James. |
11. | OFF-BALANCE SHEET ARRANGEMENTS |
At the year end, the company had non-cancellable operating lease commitments amounting to £28,226 (2023: £35,226). Of these commitments £7,000 was due more than one year (2023: £14,000). No non-cancellable operating lease commitments are pay-able more than 5 years from the year end. |
At the year end, the company had non-cancellable sales contracts amounting to £87,150 (30 November 2023: £48,760). None of these extend beyond a year from the reporting date. |
12. | OTHER FINANCIAL COMMITMENTS |
The company have provided a financial commitment in the form of a fixed and floating charge over its assets to secure loan notes issued by the parent, Fimaxtix UK Limited to a third party. |
At the balance sheet date, the total amount of loan notes subscribed to were £1,000,000 (2023: £1,000,000). |
The company’s liability in respect of this charge is contingent upon the parent company’s obligations under the loan agreement. In the event that the parent company defaults on the loan, the lender may seek to enforce the charge over the company’s assets to recover the outstanding debt. |
The charge does not constitute a direct liability of the company at this time, as it is contingent upon the parent company’s obligations. However, the company is exposed to financial risk if the parent company defaults on the loan note instruments |