Company No: 02087035 (England and Wales)

Contents

• Company Information
• Balance Sheet
• Notes to the Financial Statements

DIRECTORS	A A Boreh
	C Boreh

REGISTERED OFFICE	Flat 2 103 Eaton Square
	London
	SW1W 9AA
	United Kingdom

COMPANY NUMBER

02087035 (England and Wales)

CHARTERED ACCOUNTANTS	Dixon Wilson
	22 Chancery Lane
	London
	WC2A 1LS

	Note	2024		2023
		€		€
				Restated - note 3
Fixed assets
Tangible assets	5	1,278,924		1,365,749
Investment property	6	9,000,000		9,000,000
Investments	7	924,629		923,890
		11,203,553		11,289,639
Current assets
Debtors	8	7,103		114,714
Cash at bank and in hand		1,601,504		2,150,559
		1,608,607		2,265,273
Creditors: amounts falling due within one year	9	( 8,971,707)		( 9,244,367)
Net current liabilities		(7,363,100)		(6,979,094)
Total assets less current liabilities		3,840,453		4,310,545
Creditors: amounts falling due after more than one year	10	( 6,000,000)		( 6,000,000)
Net liabilities		( 2,159,547)		( 1,689,455)
Capital and reserves
Called-up share capital	11	93		93
Profit and loss account		( 2,159,640 )		( 1,689,548 )
Total shareholders' deficit		( 2,159,547)		( 1,689,455)

For the financial year ending 31 December 2024 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 year 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 Profit and Loss Account has not been delivered.

The financial statements of Afshar Limited (registered number: 02087035) were approved and authorised for issue by the Board of Directors on 20 September 2025. They were signed on its behalf by:

A A Boreh Director

1. Accounting policies

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

General information and basis of accounting

Afshar Limited (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 Flat 2 103 Eaton Square, London, SW1W 9AA, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include investment properties and 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 Euros which is the functional currency of the Company and rounded to the nearest Euro (€).

Prior year adjustment

A prior year restatement has been made to recognise historic movements on a bank account held by the company which had not previously been accounted for but has since been closed. The restatement has been made to recognise income and expenses, as well as balance sheet adjustments, relating to previous periods. This has increased tangible assets by €835,465 to €1,365,749 (previously reported - €530,284), increased creditors: amounts falling due within one year by €6,419,012 to (€9,244,367) (previously reported - (€2,825,355)) and decreased the profit and loss account by €5,583,547 to (€1,689,548) (previously reported - €3,893,999).

Foreign currency

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

All foreign exchange gains and losses are presented in profit or loss within 'administrative expenses'.

Interest income

Interest income is recognised in profit or loss using the effective interest method.

Finance costs

Finance costs are charged to profit or loss 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.

Taxation

Current tax
The tax expense for the year comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

Current tax is the amount of income tax payable in respect of taxable profit for the year or prior years.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income.

Deferred tax
Deferred tax arises from timing differences that are differences between taxable profits and total comprehensive income as stated in the financial statements. These timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

- The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
- Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Fixtures and fittings

10 years straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Investment property

Investment property is carried at fair value determined annually by the directors on an open market basis. The value is derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

Fixed asset investments

Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through profit or loss.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, liabilities or equity instruments.

Ordinary share capital

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

2. Critical accounting judgements and key sources of estimation uncertainty

In the application of the company'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 directors have identified the following key sources of estimation uncertainty and judgements:

Investment properties are revalued annually using an open market basis, but there is there is an inevitable degree of judgement involved in that each property is unique and value can only ultimately be reliably tested in the market itself.

3. Prior year adjustment

		As previously reported		Adjustment		As restated
Year ended 31 December 2023		€		€		€
Tangible fixed assets		530,284		835,465		1,365,749
Creditors: amounts falling due within one year		(2,825,355)		(6,419,012)		(9,244,367)
Profit and loss account		3,893,999		(5,583,547)		(1,689,548)

4. Employees

	2024		2023
	Number		Number
Monthly average number of persons employed by the Company during the year.	0		1

5. Tangible assets

	Fixtures and fittings		Total
	€		€
Cost
At 01 January 2024	1,703,710		1,703,710
At 31 December 2024	1,703,710		1,703,710
Accumulated depreciation
At 01 January 2024	337,961		337,961
Charge for the financial year	86,825		86,825
At 31 December 2024	424,786		424,786
Net book value
At 31 December 2024	1,278,924		1,278,924
At 31 December 2023	1,365,749		1,365,749

6. Investment property

	Investment property
	€
Valuation
As at 01 January 2024	9,000,000
Additions	15,000
Fair value movement	(15,000)
As at 31 December 2024	9,000,000

The investment property consists of a villa in France. The property was valued on 31 December 2024 by the directors on an open market basis.

7. Fixed asset investments

	Other investments		Total
	€		€
Cost or valuation before impairment
At 01 January 2024	923,890		923,890
Additions	85,075		85,075
Disposals	( 77,772)		( 77,772)
Movement in fair value	( 6,564)		( 6,564)
At 31 December 2024	924,629		924,629
Carrying value at 31 December 2024	924,629		924,629
Carrying value at 31 December 2023	923,890		923,890

8. Debtors

	2024		2023
	€		€
Prepayments	7,103		6,613
Other debtors	0		108,101
	7,103		114,714

9. Creditors: amounts falling due within one year

	2024		2023
	€		€
Trade creditors	4,200		8,126
Amounts owed to related parties (note 12)	8,723,643		8,917,109
Other loans	200,000		200,000
Accruals	6,600		12,570
Taxation and social security	36,634		9,358
Other creditors	630		97,204
	8,971,707		9,244,367

10. Creditors: amounts falling due after more than one year

	2024		2023
	€		€
Bank loans (secured)	6,000,000		6,000,000

The bank loan is secured by a fixed charge over the company's assets and the personal assets of a shareholder.

11. Called-up share capital

	2024		2023
	€		€
Allotted, called-up and fully-paid
100 Ordinary shares of US $ 1.00 each	93		93

The share capital of the company comprises 100 ordinary shares of US $1.00 each, converted at the original foreign exchange rate at the date of issue.

12. Related party transactions

During the year ended 31 December 2024, the investment property was used by the directors and shareholders of the company on a rent-free basis. Based on the occupation by the directors and shareholders during the year, the estimated rental value on an open market basis was €97,644 (2023 - €72,493).

At 31 December 2024, the company owed €8,723,643 (2023: €8,917,109) to shareholders and connected parties. This balance is interest-free and repayable on demand.