Company No: 14312216 (England and Wales)

Contents

• Statement of Financial Position
• Notes to the Financial Statements

	Note	30.06.2025		31.08.2024
		£		£
Fixed assets
Intangible assets	3	6,278		45,932
Tangible assets	4	0		4,921
Investments	5	0		50
		6,278		50,903
Current assets
Debtors	6	3,958		222
Cash at bank and in hand		358,503		132,528
		362,461		132,750
Creditors: amounts falling due within one year	7	( 14,057)		( 76,108)
Net current assets		348,404		56,642
Total assets less current liabilities		354,682		107,545
Net assets		354,682		107,545
Capital and reserves
Called-up share capital	8	2		2
Profit and loss account		354,680		107,543
Total shareholders' funds		354,682		107,545

For the financial period ending 30 June 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the company to obtain an audit of its financial statements for the financial period in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Comprehensive Income has not been delivered.

The financial statements of Divergence Tech Ltd (registered number: 14312216) were approved and authorised for issue by the Board of Directors. They were signed on its behalf by:

A Thomas Director

02 September 2025

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial period and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Divergence Tech Ltd (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the company's registered office is 35 Ballards Lane, London, N3 1XW, United Kingdom.

The principal activity of the company is that of software creation, sales and consultancy.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Going concern

In 2024, the directors made the decision that the company would cease trading on 30 June 2025. The directors have included in the financial statements any provision for future costs of terminating the business, which were committed to at the balance sheet date, and where appropriate the company's assets have been written down to their net realisable value.

Reporting period length

The reporting period length has been extended to 30 June 2025, as such the prior year figures cannot be used as a basis for comparison.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Statement of Financial Position date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Statement of Comprehensive Income in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Statement of Financial Position date.

Intangible assets

Intangible assets are stated at cost or valuation, net of amortisation and any provision for impairment. Amortisation is provided on all intangible assets at rates to write off the cost or valuation of each asset over its expected useful life as follows:

Other intangible assets

10 years straight line

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Plant and machinery etc.

25 % reducing balance

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

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.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Statement of Financial Position date. If there is objective evidence of impairment, an impairment loss is recognised in the Statement of Comprehensive Income as described below.

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 creditors: amounts falling due within one year.

Financial instruments

The Company only enters into basic financial instruments and transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to and from related parties and investments in non-puttable ordinary shares.

Financial assets
Basic financial assets, including trade and other debtors, and amounts due from related companies, are initially recognised at transaction price, 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.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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 the Statement of Comprehensive Income.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial liabilities
Basic financial liabilities, including trade and other creditors and accruals, 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 receipts discounted at a market rate of interest.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

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.

Investments
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through the Statement of Comprehensive Income. Where fair value cannot be measured reliably, investments are measured at cost less impairment.

Ordinary share capital

The ordinary share capital of the company is presented as equity.

2. Employees

	Period from 01.09.2024 to 30.06.2025		Year ended 31.08.2024
	Number		Number
Monthly average number of persons employed by the company during the period, including directors	2		2

3. Intangible assets

	Other intangible assets		Total
	£		£
Cost/Valuation
At 01 September 2024	51,037		51,037
Additions	4,913		4,913
Disposals	( 38,262)		( 38,262)
	0		0
At 30 June 2025	17,688		17,688
Accumulated amortisation
At 01 September 2024	5,105		5,105
Charge for the financial period	614		614
Impairment losses	5,691		5,691
At 30 June 2025	11,410		11,410
Net book value
At 30 June 2025	6,278		6,278
At 31 August 2024	45,932		45,932

4. Tangible assets

	Plant and machinery etc.		Total
	£		£
Cost
At 01 September 2024	8,112		8,112
Disposals	( 8,112)		( 8,112)
At 30 June 2025	0		0
Accumulated depreciation
At 01 September 2024	3,191		3,191
Charge for the financial period	718		718
Disposals	( 3,909)		( 3,909)
At 30 June 2025	0		0
Net book value
At 30 June 2025	0		0
At 31 August 2024	4,921		4,921

5. Fixed asset investments

Investments in subsidiaries

	30.06.2025
	£
Cost
At 01 September 2024	50
Disposals	( 50)
At 30 June 2025	0
Carrying value at 30 June 2025	0
Carrying value at 31 August 2024	50

6. Debtors

	30.06.2025		31.08.2024
	£		£
Other debtors	3,958		222

7. Creditors: amounts falling due within one year

	30.06.2025		31.08.2024
	£		£
Amounts owed to group undertakings	0		18,463
Taxation and social security	9,257		35,295
Other creditors	4,800		22,350
	14,057		76,108

8. Called-up share capital

	30.06.2025		31.08.2024
	£		£
Allotted, called-up and fully-paid
2 Ordinary shares of £ 1.00 each	2		2