The directors present their annual report and financial statements for the year ended 30 June 2024.
The results for the year are set out on page 3.
No ordinary dividends were paid. The directors do not recommend payment of a further dividend.
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Eximius 2.0 Limited for the year ended 30 June 2024 which comprise the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at http://www.icaew.com/en/members/regulations-standards-and-guidance.
This report is made solely to the Board of Directors of Eximius 2.0 Limited, as a body, in accordance with the terms of our engagement letter dated 31 March 2023. Our work has been undertaken solely to prepare for your approval the financial statements of Eximius 2.0 Limited and state those matters that we have agreed to state to the Board of Directors of Eximius 2.0 Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Eximius 2.0 Limited and its Board of Directors as a body, for our work or for this report.
It is your duty to ensure that Eximius 2.0 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 profit of Eximius 2.0 Limited. You consider that Eximius 2.0 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 Eximius 2.0 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.
For the financial year ended 30 June 2024 the group was entitled to exemption from audit under section 477 of the Companies Act 2006.
As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s loss for the year was £73,770 (2023 - £79,115 loss).
Eximius 2.0 Limited (“the company”) is a private company limited by shares incorporated in England and Wales. The registered office is 5th Floor 107 Leadenhall Street, London, United Kingdom, EC3A 4AA.
The group consists of Eximius 2.0 Limited and all of its subsidiaries.
One of the subsidiaries, Eximius Group Limited, has three permanent establishments, Eximius Luxembourg (located in Luxembourg), Acumai Consulting (located in France) and Accenian (located in The Netherlands. The results of these permanent establishments are included in the single entity accounts of Eximius Group Limited for the year ended 30 June 2024 and thus the consolidated group accounts of Eximius 2.0 Limited for the year ended 30 June 2024.
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.
The consolidated financial statements incorporate those of Eximius 2.0 Limited and all of its subsidiaries (ie entities that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits). Subsidiaries acquired during the year are consolidated using the purchase method. Their results are incorporated from the date that control passes.
All financial statements are made up to 30 June 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.
All financial statements are made up to 30 June 2024. The transactions of foreign entities being consolidated have been translated into the Group's functional currency using the exchange rates prevailing at the dates of the transactions or valuation where items are re-measured. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the group statement of comprehensive income.
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
The directors have considered the going concern status of the group. The directors have reviewed the cash flow forecasts for the next 12 months and have concluded that the group will have sufficient cash flow for the foreseeable future. As the company does not generate its own income, support is provided by its subsidiary Eximius Group Limited for a period of 12 months from balance sheet date. Accordingly, at the time of approving the financial statements, the directors have a reasonable expectation that, the company and group will have sufficient resources to meet their liabilities for at least the next 12 months. Thus the directors have continued to adopt the going concern basis in preparing these financial statements.
Revenue is recognised to the extent that the group obtains the right to consideration in exchange for the placement of a candidate in the perm business and in the contract services business on a time and material basis. Revenue is measured at the fair value of the consideration received or receivable for the supply of services, excluding discounts, rebates, VAT and other sales taxes or duty.
Revenue arising from the placement of permanent candidates is recognised at the time the candidate commences full time employment.
Revenue arising from temporary candidates is recognised over the period that temporary staff are provided.
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 recognised in the profit and loss account.
Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
At each reporting period end date, the group 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). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset and 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, 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.
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, 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.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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.
Equity instruments issued by the group 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 group.
The 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 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 group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
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 if, and only if, there is 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.
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.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.
At 30 June 2024 the company has investments in subsidiaries of £2,614,201 (2023: £2,614,201). The directors believe that this valuation remains appropriate based on the asset position of the group below and future trading potential.
The average monthly number of persons (including directors) employed by the group and company during the year was:
Details of the company's subsidiaries at 30 June 2024 are as follows:
Registered Office Addresses:
1 5th Floor 107 Leadenhall Street, London, United Kingdom, EC3A 4AA.
2 Office 25, Floor 30, Reef Tower, PO Box 115, Dubai, UAE.
3 Office F20, Building 2A, Knowledge Village, PO Box 7300, Dubai, UAE.
4 Level 6, Champion Tower, 3 Garden Road, Central, Hong Kong.
Included in bank loans are amounts due to invoice discounting providers of £228,124 (2023: £267,062) for which there are fixed and floating charges placed over all the company's assets.
All liabilities due to invoice discounting providers are secured by a guarantee given by a director of up to £250,000.
Included within other creditors due within one year and after one year are amounts due to the shareholders of the company of £1,061,244 (2023: £1,227,474) for which there are fixed and floating charges placed over the property and undertaking of the company.
In the opinion of the directors, Nick Harrington is the ultimate controlling party.
During the year ended 30 June 2024 total repayments of £240,000 (2023: £20,000) were made to the loan from N and E Stevens, directors of the company. At 30 June 2024, £1,260,000 (2023: £1,500,000) remained outstanding. The net present value of the balance of £1,061,244 (2023: £1,227,474) is included within other creditors.
At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows: