HNW LENDING LIMITED - Filleted accounts

Registered number

08739427

HNW LENDING LIMITED

Filleted Accounts

31 March 2025

HNW LENDING LIMITED
Registered number:		08739427
Balance Sheet
as at 31 March 2025

Notes			2025			2024
£				£
Current assets
Cash at bank and in hand		1,593,793			1,622,192

Creditors: amounts falling due within one year	5	(1,331,763)			(1,190,542)

Net current assets			262,030			431,650

Total assets less current liabilities			262,030			431,650

Creditors: amounts falling due after more than one year	6		(153,925)			(328,020)



Net assets			108,105			103,630

Capital and reserves
Called up share capital			25,004			25,004
Capital Redeption Reserve			6			6
Profit and loss account			83,095			78,620

Shareholders' funds			108,105			103,630

The directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit in accordance with section 476 of the Act.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.
The accounts have been prepared and delivered in accordance with the special provisions applicable to companies subject to the small companies regime. The profit and loss account has not been delivered to the Registrar of Companies.




B Shaw		L Shaw
Director		Director
Approved by the board on 20 June 2025

The notes on pages 6 to 10 form part of these financial statements

HNW LENDING LIMITED
Notes to the Accounts
for the year ended 31 March 2025


1	Other information

	HNW LENDING LIMITED is a private company limited by shares and registered in England and Wales, registration number 12531773. Its registered office is:
	72 Charlotte Street
	London
	W1T 4QQ


2	Accounting policies


	2.1 Basis of preparation
	The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
	The financial statements are presented in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £

	The following principal accounting policies have been applied

	2.2 Revenue
	Turnover comprises the income received during the period from the margin that the company earns on interest paid by borrowers on loans that it arranges, as well as arrangement fees and other ancillary income. Income is recognised when a loan that the company has arranged has been paid back in full. The company has committed to lenders that it will pay back any margin it has earned to lenders if lenders do not receive 100% of the capital they have invested.

	2.3 Interest income
	Interest income is recognised in the profit and loss account using the effective interest method

	2.4 Finance Costs
	Finance costs are charged to the profit and loss account over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

	2.5 Borrowing costs
	All borrowing costs are recognised in the profit and loss account in the year in which they are incurred

	2.6 Exceptional items
	Exceptional items are transactions that fall within the ordinary activities of the company but are presented separately due to their size or incidence.

	2.7 Debtors
	Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

	2.8 Cash and cash equivalents
	Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

	2.9 Creditors
	Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method

	2.10 Provisions for liabilities
	Provisions are made where an event has taken place that gives the company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. Provisions are charged as an expense to the profit and loss account in the year that the company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. When payments are eventually made, they are charged to the provision carried in the balance sheet.

	2.11 Financial instruments
	The company has elected to apply Sections 11 and 12 of FRS 102 in respect of financial instruments. Financial assets and financial liabilities are recognised when the company becomes party to the contractual provisions of the instrument. 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 company after deducting all of its liabilities. The company’s policies for its major classes of financial assets and financial liabilities are set out below.
	Financial assets
	Basic financial assets, including trade and other debtors, cash and bank balances, intercompany working capital balances, and intercompany financing 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 for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.
	Financial liabilities
	Basic financial liabilities, including trade and other creditors, bank loans, loans from fellow group companies and preference shares 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 for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
	Impairment of financial assets
	Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account. For financial assets measured at cost less impairment, the impairment loss is measured as the difference between the asset's carrying amount and the best estimate of the amount the company would receive for the asset if it were to be sold at the reporting date. For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If the financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. 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.
	Derecognition of financial assets and financial liabilities
	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) despite having retained some significant risks and rewards of ownership, 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 are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
	Offsetting of financial assets and financial liabilities
	Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an 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.

	2.12 Dividends
	Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3	Employees		2025		2024
Number				Number

	Average number of persons employed by the company		2		2


4	Taxation		2025		2024
£				£
	Current Tax
	UK corporation tax on profits for the current period		144,825		471,881


			144,825		471,881


5	Creditors: amounts falling due within one year		2025		2024
£				£

	Taxation and social security costs		30,556		457,613
	Accruals and deferred income		1,286,772		704,536
	Other creditors		14,435		28,393
			1,331,763		1,190,542


6	Creditors: amounts falling due after one year		2025		2024
£				£

	Other loans		25,000		25,000
	Accruals and deferred income		128,925		303,020
			153,925		328,020


7	Share capital		2025		2024
£				£
	Allotted, called up and fully paid
	25,000 (2024 - 25,000)	Ordinary shares of £1.00 each	25,000		25,000
	40 (2024 - 40)	Ordinary B shares of £0.10 each	4		4

			25,004		25,004


8	Transactions with directors

	At 31 March 2025, there was a balance due to the Director of £14,435 (2024 - £28,393)
	At the year end, included within other creditors due after more than one year is an amount of £25,000 (2024 - £25,000), related to a subordinated loan made by the directors of the company, which bears interest of 10% per month. Interest of £30,000 (2024 - £30,000) was paid during the year and charged to the profit and loss account.