Moneynetint Ltd Cover |
Company No. 05246578 | |||||||||
Moneynetint Ltd Contents |
Pages | |||||||||
Company Information | 2 | ||||||||
Strategic Report | 3 to 4 | ||||||||
Directors' Report | 5 | ||||||||
Auditor's Report | 6 to 8 | ||||||||
Statement of Comprehensive Income | 9 | ||||||||
Statement of Financial Position | 10 | ||||||||
Statement of Changes in Equity | 11 | ||||||||
Statement of Cash Flows | 12 | ||||||||
Notes to the Financial Statements | 13 to 23 | ||||||||
Moneynetint Ltd Company Information |
Directors | |||||||||
Registered Office | |||||||||
Auditors | |||||||||
Gordon Levy Limited | |||||||||
Statutory Auditors | |||||||||
Suite 5, 4th floor | |||||||||
3 Universal Square | |||||||||
Devonshire Street North | |||||||||
Manchester | |||||||||
M12 6JH | |||||||||
Statutory Auditor | |||||||||
Gordon Levy BA, FCA | |||||||||
Accountants | |||||||||
2nd Floor | |||||||||
201 Haverstock Hill | |||||||||
London | |||||||||
NW3 4QG | |||||||||
Moneynetint Ltd Strategic Report |
The Directors present their strategic report for the year ended 31 December 2024. | |||||||
Business Review | |||||||
In 2024, the company continued to provide currency exchange services to customers. The Statement of Comprehensive Income shows a pre-tax loss of £1,041,730 (2023: £862,336), reflecting lower turnover and reduced interest income. Turnover for the year was £1,639,192 (2023: £3,090,249), a decrease of 47% primarily driven by restrictions imposed by the FCA, which limited the onboarding of new clients until November 2024 and significantly reduced transaction activity. Net assets decreased to £963,696 (2023: £1,951,560), a reduction of £987,864 consistent with the reported loss. Cash and cash equivalents at year end stood at £11,868,191 (2023: £12,377,770); although affected by operating losses, balances remained sufficient to meet liquidity and regulatory requirements. | |||||||
During the year, the Financial Conduct Authority imposed restrictions which prevented the onboarding of new clients until November 2024. These restrictions adversely affected revenues and contributed to the losses reported for the year. Following their removal, the directors implemented cost reduction measures and are now focused on rebuilding the customer base. The directors expect these measures to reduce the cost base and support recovery. | |||||||
Business Model | |||||||
The company operates as an electronic money institution (EMI), providing currency exchange and related financial services to customers. | |||||||
The business model is based on generating income through transaction fees and foreign exchange margins. The company seeks to maintain secure and efficient payment infrastructure to support customer confidence, while attracting and retaining customers through competitive pricing, service reliability, and regulatory compliance. A disciplined approach to managing operational and regulatory risks underpins the sustainability of the business. | |||||||
Key Performance Indicators | |||||||
The financial performance of the company is discussed in the Business Review above. The directors also monitor a range of non-financial KPIs to assess the company’s operational effectiveness and regulatory compliance. | |||||||
1 | Transaction volume and value — representing the number and total value of customer transactions processed during the year. This declined in 2024, reflecting the impact of regulatory restrictions on customer acquisition. | ||||||
2 | Customer acquisition cost (CAC) — measuring the average cost of acquiring a new customer, rose during the year as onboarding activity was constrained. | ||||||
3 | Regulatory compliance — following enhancements to AML and KYC controls, the company maintained full compliance with FCA requirements, and the restrictions were lifted in November 2024. | ||||||
The directors consider that these KPIs provide a balanced assessment of the company’s operational effectiveness and regulatory compliance. | |||||||
Principal Risks and Uncertainties | |||||||
1 | Regulatory changes — The company operates in a highly regulated sector and is subject to evolving legislation such as PSD2 and the Payment Services Regulations 2017. Non-compliance could lead to fines, restrictions on operations, reputational damage, and reduced growth. The FCA restrictions in 2024 demonstrated the impact of regulatory supervision. To mitigate this risk, the company has strengthened its compliance framework, including enhanced AML and KYC procedures, and continues to engage proactively with regulators to ensure adherence to all requirements. | ||||||
2 | Cybersecurity threats — As an electronic money institution, the company is a potential target for cyberattacks, including data breaches and fraud. A successful attack could result in financial losses, operational disruption, regulatory sanctions, and reputational damage. The company has invested in IT security, conducts regular penetration testing, and provides ongoing staff training in information security awareness. | ||||||
3 | Competition and Cost Management — The electronic money and payments sector is highly competitive, with both new entrants and established providers competing on price, service quality, and innovation. Increased competition could lead to margin pressure, reduced market share, and slower growth. In response, the company has implemented cost reduction measures, including headcount reductions, which have lowered its operating base and may support improved competitiveness going forward. While the directors expect these measures to be sufficient, failure to deliver the requisite cost savings could impact the company’s ability to sustain operations as a going concern. | ||||||
4 | Reputational risk — The company’s reputation could be damaged by regulatory breaches, system failures, or negative publicity linked to financial crime or customer dissatisfaction. Loss of reputation could result in customer attrition, difficulty attracting new clients, and greater regulatory scrutiny. To address this, the company maintains robust governance arrangements, has enhanced monitoring for financial crime, and places strong emphasis on customer service and transparent communications. | ||||||
Future Developments | |||||||
The company plans to expand its range of financial solutions and increase customer acquisition activity following the lifting of FCA restrictions. Operational efficiency programmes, including restructuring measures, are aimed at reducing the cost base and supporting growth while managing costs. | |||||||
Signed on behalf of the board | |||||||
Y. Trif | |||||||
Director | |||||||
22 September 2025 | |||||||
Moneynetint Ltd Directors Report |
The Directors present their report and the financial statements for the year ended 31 December 2024. | |||||||||
Principal activities | |||||||||
Directors | |||||||||
The Directors who served at any time during the year were as follows: | |||||||||
Statement of directors' responsibilities | |||||||||
The Directors are responsible for preparing the Directors' report and the accounts in accordance with applicable law and regulations. | |||||||||
Company law requires the directors to prepare accounts for each financial year. Under that law the directors have elected to prepare the accounts in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the accounts unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. | |||||||||
In preparing these accounts, the directors are required to: | |||||||||
- | select suitable accounting policies and then apply them consistently; | ||||||||
- | make judgements and estimates that are reasonable and prudent; | ||||||||
- | state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statments; and | ||||||||
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. | ||||||||
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. | |||||||||
Auditors | |||||||||
The auditors Gordon Levy Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006. | |||||||||
Statement of disclosure of information to auditor | |||||||||
Signed on behalf of the board | |||||||||
Y. Trif | |||||||||
Director | |||||||||
22 September 2025 | |||||||||
Moneynetint Ltd Audit Report Unqualified |
Independent Auditor's Report to the members of Moneynetint Ltd | |||||||||
Opinion | |||||||||
We have audited the financial statements of Moneynetint Ltd (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity, the Statement of Cash Flows and the Notes to the Financial Statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). | |||||||||
In our opinion the financial statements: | |||||||||
for the year then ended; • have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and • have been prepared in accordance with the requirements of the Companies Act 2006. | |||||||||
Basis for opinion | |||||||||
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. | |||||||||
Conclusions relating to going concern | |||||||||
In auditing the accounts, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the accounts is appropriate. | |||||||||
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the accounts are authorised for issue. | |||||||||
Our responsibilities and the responsibillities of the directors with respect to going concern are described in the relevant sections of this report. | |||||||||
Other information | |||||||||
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. | |||||||||
We have nothing to report in this regard. | |||||||||
Opinion on other matters prescribed by the Companies Act 2006 | |||||||||
In our opinion, based upon the work undertaken in the course of the audit: | |||||||||
• the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and • the strategic report and the directors' report have been prepared in accordance with applicable legal requirements. | |||||||||
Matters on which we are required to report by exception | |||||||||
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report. | |||||||||
• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or | |||||||||
• the financial statements are not in agreement with the accounting records and returns; or | |||||||||
• certain disclosures of directors’ remuneration specified by law are not made; or | |||||||||
• we have not received all the information and explanations we require for our audit. | |||||||||
Responsibilities of directors | |||||||||
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. | |||||||||
Auditor's responsibilities for the audit of the financial statements | |||||||||
Our objectives are to obtain reasonable assurance about whether the accounts as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. | |||||||||
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. | |||||||||
As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism through the audit. We also: | |||||||||
• As part of our audit, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error. We design and perform audit procedures responsive to those risks and obtain sufficient and appropriate audit evidence to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. | |||||||||
• We obtain an understanding of internal control relevant to the audit in order to design appropriate audit procedures, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control. | |||||||||
• We evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. | |||||||||
• We conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, determine whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. | |||||||||
• We evaluate the overall presentation, structure, and content of the financial statements, including the disclosures, and assess whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. | |||||||||
• We obtain sufficient appropriate audit evidence regarding the financial information of the company’s business activities to express an opinion on the financial statements. We are responsible for the direction, supervision, and performance of the audit and remain solely responsible for our audit opinion. | |||||||||
• We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. | |||||||||
Irregularities, including fraud, represent instances of non-compliance with laws and regulations. As part of our audit responsibilities, we design procedures to detect material misstatements arising from such irregularities. We applied professional scepticism throughout the audit and found no evidence of fraud. | |||||||||
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of the auditors report. | |||||||||
Use of this report | |||||||||
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. | |||||||||
Senior Statutory Auditor | |||||||||
For and on behalf of Gordon Levy Limited | |||||||||
Statutory Auditors | |||||||||
Suite 5, 4th floor | |||||||||
3 Universal Square | |||||||||
Devonshire Street North | |||||||||
Manchester | |||||||||
M12 6JH | |||||||||
Moneynetint Ltd Statement of Comprehensive Income |
for the year ended 31 December 2024 | |||||||||||
Notes | 2024 | 2023 | |||||||||
£ | £ | ||||||||||
Revenue | 4 | ||||||||||
Cost of sales | ( | ( | |||||||||
Gross profit | |||||||||||
Distribution costs and selling expenses | ( | ( | |||||||||
Administrative expenses | ( | ( | |||||||||
Operating loss | 5 | ( | ( | ||||||||
Income from investments | 312,965 | 321,141 | |||||||||
Other interest receivable | 8 | ||||||||||
Loss on ordinary activities before taxation | ( | ( | |||||||||
Taxation | 9 | ( | |||||||||
Loss for the financial year after taxation | ( | ( | |||||||||
Other comprehensive income | |||||||||||
Unrealised deficit on revaluation | 16 | ( | ( | ||||||||
Total comprehensive income/(loss) | ( | ( | |||||||||
The notes form part of these financial statements. | |||||||||||
Moneynetint Ltd Statement of Financial Position |
at | ||||||||||
Company No. | Notes | 2024 | 2023 | |||||||
£ | £ | |||||||||
Fixed assets | ||||||||||
Intangible assets | 10 | |||||||||
Tangible assets | 11 | |||||||||
Investments | 12 | |||||||||
Current assets | ||||||||||
Debtors | 13 | |||||||||
Cash at bank and in hand | ||||||||||
Creditors: Amount falling due within one year | 14 | ( | ( | |||||||
Net current liabilities | ( | ( | ||||||||
Total assets less current liabilities | ||||||||||
Net assets | ||||||||||
Capital and reserves | ||||||||||
Called up share capital | 15 | |||||||||
Revaluation reserve | 16 | |||||||||
Profit and loss account | 16 | ( | ( | |||||||
Total equity | ||||||||||
Approved by the board on 22 September 2025 and signed on its behalf by: | ||||||||||
Y. Trif | ||||||||||
Director | ||||||||||
22 September 2025 | ||||||||||
The notes form part of these financial statements. | ||||||||||
Moneynetint Ltd Statement of Changes in Equity |
for the year ended 31 December 2024 | ||||||||||||
Share Capital | Other Reserves | Retained earnings | Total equity | |||||||||
£ | £ | £ | £ | |||||||||
At 1 January 2023 | 40,200 | 3,685,439 | 32,691 | 3,758,330 | ||||||||
Unrealised surplus on revaluation | ( | ( | ||||||||||
Loss for the period | ( | (1,448,525) | ||||||||||
At 31 December 2023 and 1 January 2024 | ( | |||||||||||
Unrealised surplus on revaluation | ( | ( | ||||||||||
Loss for the period | ( | ( | ||||||||||
At 31 December 2024 | ( | |||||||||||
The notes form part of these financial statements. | ||||||||||||
Moneynetint Ltd Statement of Cash Flows |
for the year ended 31 December 2024 | ||||||
2024 | 2023 | |||||
£ | £ | |||||
Cash flows from operating activities | ||||||
Operating loss | (2,196,423) | (2,534,946) | ||||
Adjustments for: | ||||||
Depreciation of property, plant and equipment | 17,485 | 21,857 | ||||
Impairment losses | 195,482 | 189,190 | ||||
Increase in trade and other receivables | (46,297) | (1,448,256) | ||||
Decrease in trade and other payables | (309,102) | (11,191,607) | ||||
Net cash used in operations | (2,338,855) | (14,963,762) | ||||
Income taxes paid | ( | |||||
Net cash used in operating activities | ( | ( | ||||
Cash flows from investing activities | ||||||
Payments for intangible assets | ( | ( | ||||
Interest received | ||||||
Investment income received | ||||||
Net cash from investing activities | ||||||
Net decrease in cash and cash equivalents | ( | ( | ||||
Cash and cash equivalents at the beginning of the year | 12,377,770 | 26,649,034 | ||||
Cash and cash equivalents at the end of the year | 11,868,191 | 12,377,770 | ||||
Components of cash and cash equivalents | ||||||
Cash and bank balances | ||||||
11,868,191 | 12,377,770 | |||||
The notes form part of these financial statements. | ||||||
Moneynetint Ltd Notes to the Financial Statements |
for the year ended 31 December 2024 | ||||||||||||||||
1 | General information | |||||||||||||||
Moneynetint Ltd is a private company limited by shares and incorporated in England and Wales. | ||||||||||||||||
The company's registered number is: 05246578 | ||||||||||||||||
The address of the company's registered office is: | ||||||||||||||||
The functional and presentational currency of the company is Sterling. The accounts are rounded to the nearest pound. | ||||||||||||||||
The financial statements have been prepared in accordance with FRS 102 - The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006. | ||||||||||||||||
Going concern | ||||||||||||||||
These financial statements have been prepared on a going concern basis. The directors, having considered the financial position of the company for a period of at least twelve months from the date of signing these financial statements, have no reason to believe that a material uncertainty exists that may cast doubt on the company’s ability to continue as a going concern. Accordingly, the directors have a reasonable expectation that the company will continue in operational existence and therefore continue to adopt the going concern basis of accounting in preparing the financial statements. | ||||||||||||||||
5 | ||||||||||||||||
2 | Accounting policies | |||||||||||||||
Revenue recognition | ||||||||||||||||
The Company also charges a fee based on the principal amount of non-cross-border business payment transactions. This fee revenue is recognised on the transaction date. | ||||||||||||||||
Valuation of investments | ||||||||||||||||
Investments in subsidiaries are measured at fair value. | ||||||||||||||||
Taxation | ||||||||||||||||
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The Company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period. | ||||||||||||||||
Intangible assets | ||||||||||||||||
Expenditure on research and development are initially capitalised at cost. They are subsequently carried at cost less accumulated amortisation and accumulated impairment losses. These costs are amortised to profit or loss using the straight line method over their useful lives of ten years. | ||||||||||||||||
Tangible fixed assets and depreciation | ||||||||||||||||
Any revaluation increase or decrease on land and buildings is credited to the property revaluation reserve. Depreciation on revalued buildings is charged to profit or loss so as to write off their value, less residual value, over their estimated useful lives, using the straight-line method. Once a revalued property is sold or retired any attributable revaluation surplus that is remaining in the property revaluation reserve is transferred to retained earnings. No transfer is made from the revaluation reserve to retained earnings unless an asset is derecognised. | ||||||||||||||||
losses. Depreciation on plant and equipment is charged to profit or loss so as to write off their value, over their estimated useful lives, using the straight-line method. Assets held under finance leases are depreciated in the same manner as owned assets. At each balance sheet date, the Company reviews the carrying amounts of its property, plant and equipment to determine whether there is any indication that any items of property, plant and equipment have suffered an impairment loss. If any such indication exists, the recoverable amount of an 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 the asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. Impairment loss is recognised as an expense immediately. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, to the extent that the increased carrying amount does not exceed the carrying amount that would have been determined (net of depreciation) had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised as income immediately. | ||||||||||||||||
Leasehold land and buildings | ||||||||||||||||
Plant and machinery | ||||||||||||||||
Trade and other debtors | ||||||||||||||||
Cash and cash equivalents | ||||||||||||||||
In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management. | ||||||||||||||||
Financial instruments | ||||||||||||||||
(i) 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. In such cases, the transaction is measured at the present value of the future receipts discounted at a market rate of interest. These 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 Income and Retained Earnings. Financial assets are derecognised when: (a) the contractual rights to the cash flows from the asset expire or are settled; (b) substantially all the risks and rewards of 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. (ii) 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. In those cases, 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 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; otherwise, 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. | ||||||||||||||||
Trade and other creditors | ||||||||||||||||
Operating leases: as lessee | ||||||||||||||||
Related parties | ||||||||||||||||
For the purposes of these financial statements, a party is considered to be related to the Company if: • the party has the ability, directly or indirectly, through one or more intermediaries, to control the Company or exercise significant influence over the company in making financial and operating policy decisions, or has joint control over the Company; • the Company and the party are subject to common control; • the party is an associate of the Company or a joint venture in which the Company is a venturer; • the party is a member of key management personnel of the Company or the Company’s parent, or a close family member of such an individual, or is an entity under the control, joint control or significant influence of such individuals; • the party is a close family member of a party referred to in (i) or is an entity under the control, joint control or significant influence of such individuals; or • the party is a post-employment benefit plan which is for the benefit of employees of the Company or of any entity that is a related party of the Company. Close family members of an individual are those family members who may be expected to influence, or be influenced by, that individual in their dealings with the entity. | ||||||||||||||||
Foreign currencies | ||||||||||||||||
Defined contribution pensions | ||||||||||||||||
The contributions are recognised as an expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds. | ||||||||||||||||
Provisions | ||||||||||||||||
Provisions are charged as an expense to the Income Statement in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the Statement of Financial Position 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 Statement of Financial position. | ||||||||||||||||
3 | Critical accounting judgements and key sources of estimation uncertainty | |||||||||||||||
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements: | ||||||||||||||||
(i) Investments are measured at fair value. Where fair value cannot be measured reliably, the group estimate the value at cost less impairment, (ii) Useful economic lives of tangible assets The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. | ||||||||||||||||
(iii) In preparing these financial statements the directors have made the following judgements: - Determine whether there are indicators of impairment of the group’s intangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset and where it is a component of a larger cash-generating unit, the viability and expected future performance of that unit. - Determine the expected useful life of each class of intangible asset. This has been determined using both judgement and in comparison to similar assets held by other companies operating in the same or similar industries. Amortisation policies are reviewed annually to ensure their accuracy. - Management have exercised judgement in recognising a receivable of €4.3m in respect of funds stolen in a prior period. Based on legal advice and a binding guarantee arrangement, management considers the full balance to be recoverable. While a portion remains subject to litigation, recovery is considered highly probable. | ||||||||||||||||
4 | Revenue Analysis | |||||||||||||||
The company has not broken down turnover by geographical location as the directors consider it prejudicial to the interests of the company. | ||||||||||||||||
Revenue, analysed by category, was as follows: | ||||||||||||||||
2024 | 2023 | |||||||||||||||
£ | £ | |||||||||||||||
Income from conversions | 354,609 | 1,644,131 | ||||||||||||||
Income from fees | 1,284,583 | 1,446,118 | ||||||||||||||
1,639,192 | 3,090,249 | |||||||||||||||
5 | Operating Loss | |||||||||||||||
2024 | 2023 | |||||||||||||||
This is stated after charging: | £ | £ | ||||||||||||||
Auditor's remuneration | 25,000 | 25,000 | ||||||||||||||
Depreciation of owned fixed assets | ||||||||||||||||
Amortisation of intangible fixed assets | 195,482 | 189,190 | ||||||||||||||
Operating lease rentals: | ||||||||||||||||
Land and buildings | 158,163 | 205,506 | ||||||||||||||
6 | Staff costs | |||||||||||||||
2024 | 2023 | |||||||||||||||
Staff costs during the year (including directors) were as follows: | £ | £ | ||||||||||||||
Wages and salaries | ||||||||||||||||
Social security costs | ||||||||||||||||
Other pension costs | ||||||||||||||||
Total in company | 1,963,568 | 5 | 2,194,502 | |||||||||||||
Costs in respect of defined contribution schemes | ||||||||||||||||
The average monthly number of employees (including directors) during the year was: | Number | Number | ||||||||||||||
Administration | ||||||||||||||||
Sales and marketing | ||||||||||||||||
Management | ||||||||||||||||
Total in company | ||||||||||||||||
7 | Directors' remuneration | |||||||||||||||
2024 | 2023 | |||||||||||||||
Remuneration included within staff costs - Note 6 - in respect of directors was as follows: | £ | £ | ||||||||||||||
Aggregate remuneration in respect of qualifying services | ||||||||||||||||
Total remuneration | 1 | |||||||||||||||
Number of directors accruing benefits under pension schemes: | Number | Number | ||||||||||||||
Defined contribution pension schemes | ||||||||||||||||
The amounts of aggregate remuneration in respect of directors set out above include remuneration in respect of the highest paid director as follows: | £ | £ | ||||||||||||||
Remuneration in respect of qualifying services | ||||||||||||||||
Company contributions to defined contribution pension schemes | ||||||||||||||||
8 | Interest receivable | |||||||||||||||
2024 | 2023 | |||||||||||||||
£ | £ | |||||||||||||||
Other interest receivable | ||||||||||||||||
9 | Taxation | |||||||||||||||
(a) Tax on profit on ordinary activities | 2024 | 2023 | ||||||||||||||
The tax charge is made up as follows: | £ | £ | ||||||||||||||
UK corporation tax | ||||||||||||||||
Credit for the period | ( | |||||||||||||||
Total corporation tax | ( | |||||||||||||||
Tax on profit on ordinary activities | ( | |||||||||||||||
(b) Factors affecting the total tax charge for the period | ||||||||||||||||
The tax assessed for the year is higher than the standard rate of corporation tax in the UK of 25% (2023: 25%). The differences are reconciled below: | ||||||||||||||||
Higher | 2024 | 2023 | ||||||||||||||
260433 | £ | £ | ||||||||||||||
Loss on ordinary activities before tax | ( | () | ||||||||||||||
Standard rate of corporation tax in the United Kingdom | % | |||||||||||||||
Deferred tax 2024 | ( | () | ||||||||||||||
Deferred tax 2023 | ( | |||||||||||||||
Movement in deferred tax | (44,849) | 586,189 | ||||||||||||||
10 | Intangible fixed assets | |||||||||||||||
Develop- ment costs | Total | |||||||||||||||
£ | £ | |||||||||||||||
Cost | ||||||||||||||||
At 1 January 2024 | ||||||||||||||||
Additions | ||||||||||||||||
At 31 December 2024 | ||||||||||||||||
Amortisation and impairment | ||||||||||||||||
At 1 January 2024 | ||||||||||||||||
Impairment loss | ||||||||||||||||
At 31 December 2024 | ||||||||||||||||
Net book values | ||||||||||||||||
At 31 December 2024 | ||||||||||||||||
At 31 December 2023 | ||||||||||||||||
11 | Tangible fixed assets | |||||||||||||||
Land and buildings | Total | |||||||||||||||
£ | £ | |||||||||||||||
Cost or revaluation | ||||||||||||||||
At 1 January 2024 | ||||||||||||||||
At 31 December 2024 | ||||||||||||||||
Depreciation and impairment | ||||||||||||||||
At 1 January 2024 | ||||||||||||||||
Charge for the year | ||||||||||||||||
At 31 December 2024 | ||||||||||||||||
Net book values | ||||||||||||||||
At 31 December 2024 | ||||||||||||||||
At 31 December 2023 | ||||||||||||||||
12 | Investments | |||||||||||||||
Subsidiaries | Total | |||||||||||||||
£ | £ | |||||||||||||||
Cost or valuation | ||||||||||||||||
At 1 January 2024 | 3,751,880 | |||||||||||||||
At 31 December 2024 | 3,751,880 | |||||||||||||||
Accumulated impairment | ||||||||||||||||
Revaluation | 185,623 | |||||||||||||||
At 31 December 2024 | 185,623 | |||||||||||||||
Net book values | ||||||||||||||||
At 31 December 2024 | 3,566,257 | |||||||||||||||
At 31 December 2023 | 3,751,880 | |||||||||||||||
Investment in Subsidiaries | ||||||||||||||||
The company has the following subsidiary undertakings: | ||||||||||||||||
Name of company and nature of business | Country of incorporation (if not UK) | Class of shares held | % age of shares held | Capital and reserves at end of the relevant year | Profit/(loss) for the relevant year | |||||||||||
% | £ | £ | ||||||||||||||
USA | Ordinary shares | 100 | 3,467,814 | 136,146 | ||||||||||||
13 | Debtors | |||||||||||||||
2024 | 2023 | |||||||||||||||
£ | £ | |||||||||||||||
Amounts owed by group undertakings | ||||||||||||||||
Corporation tax recoverable | ||||||||||||||||
Other debtors | ||||||||||||||||
14 | Creditors: | |||||||||||||||
amounts falling due within one year | ||||||||||||||||
2024 | 2023 | |||||||||||||||
£ | £ | |||||||||||||||
Amounts owed to group undertakings | ||||||||||||||||
Corporation tax | ||||||||||||||||
Other taxes and social security | ||||||||||||||||
Other creditors | ||||||||||||||||
15 | Share Capital | |||||||||||||||
Called-up share capital represents the nominal value of shares that have been issued. | Nominal value | 2024 | 2024 | 2023 | ||||||||||||
£ | Number | £ | £ | |||||||||||||
Allotted, called up and fully paid: | ||||||||||||||||
16 | Reserves | |||||||||||||||
Other reserves | Revaluation Reserve | Total other reserves | ||||||||||||||
£ | £ | |||||||||||||||
At 1 January 2023 | ||||||||||||||||
Movement on revaluation reserve | ( | ( | ||||||||||||||
At 31 December 2023 and 1 January 2024 | ||||||||||||||||
Movement on revaluation reserve | ( | ( | ||||||||||||||
At 31 December 2024 | ||||||||||||||||
17 | Reconciliation of net debt | |||||||||||||||
At 1 January 2024 | Cash flows | New HP/Finance leases | At 31 December 2024 | |||||||||||||
£ | £ | £ | £ | |||||||||||||
Cash and cash equivalents | ( | |||||||||||||||
12,377,770 | (509,579) | - | 11,868,191 | |||||||||||||
Net debt | (509,579) | - | ||||||||||||||
18 | Advances and credits to directors | |||||||||||||||
2024 | ||||||||||||||||
£ | ||||||||||||||||
At 1 January 2024 | ||||||||||||||||
Amounts repaid in the period | ( | |||||||||||||||
At 31 December 2024 | ||||||||||||||||
Included in other debtors at the year end is an amount of £909.00 owed by R. Golan which has been repaid within 9 months of the year end. | ||||||||||||||||
19 | Related party disclosures | |||||||||||||||
Ibn Gvirol Ltd facilitates transfers on behalf of Moneynetint Ltd, and M-Net International Ltd provides funding support where required. The remaining related party balances largely comprise unsecured, interest-bearing loans at 6% per annum, repayable on demand. | ||||||||||||||||
Amounts owed from group undertakings is made up of: | ||||||||||||||||
Negrate Holding Ltd, a company with a significant shareholder who is a close family member of a director of Moneynetint Ltd | 584,139 | 2,625,033 | ||||||||||||||
222 Hendon Way Ltd, a company with a common director | 205,372 | 105,889 | ||||||||||||||
Triff Holdings Ltd, a company with a common director | 103,118 | 1,129,000 | ||||||||||||||
Golan Holdings Ltd, a company with a common director | 494,056 | 474,545 | ||||||||||||||
724 Holloway Road Ltd, a company with a common director | 4,727,213 | 2,429,228 | ||||||||||||||
6,113,898 | 6,763,695 | |||||||||||||||
Amounts owed to group undertakings is made up of: | ||||||||||||||||
M-Net International Inc (Florida), a subsidiary | 5,216,727 | 2,497,729 | ||||||||||||||
Dizengoff 138 Tel Aviv Ltd, a company with a common significant shareholder | 87,421 | 87,726 | ||||||||||||||
Globalnet Int Ltd, a company with a significant shareholder who is a close family member of a director of Moneynetint Ltd | - | 256,363 | ||||||||||||||
5,304,148 | 2,841,818 | |||||||||||||||
Controlling party | ||||||||||||||||
Ultimate controlling party: | ||||||||||||||||