Mega Brain Investments Limited

Contents

Statement of Financial Position	1 to 2
Notes to the Unaudited Financial Statements	3 to 8

Mega Brain Investments Limited

(Registration number: 06074122)
Statement of Financial Position as at 31 December 2024

	Note	2024 £	2023 £
Fixed assets
Tangible assets	4	2,074,133	2,394,360
Current assets
Debtors	5	10,597	15,955
Cash at bank and in hand		38,471	60,165
		49,068	76,120
Creditors: Amounts falling due within one year	6	(1,659,023)	(1,526,667)
Net current liabilities		(1,609,955)	(1,450,547)
Total assets less current liabilities		464,178	943,813
Creditors: Amounts falling due after more than one year	6	(5,208,182)	(5,033,681)
Net liabilities		(4,744,004)	(4,089,868)
Capital and reserves
Called up share capital		2	2
Profit and loss account		(4,744,006)	(4,089,870)
Shareholders' deficit		(4,744,004)	(4,089,868)

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 accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Statement of Comprehensive Income.

Approved and authorised by the Board on 29 September 2025 and signed on its behalf by:
 

Mega Brain Investments Limited

(Registration number: 06074122)
Statement of Financial Position as at 31 December 2024 (continued)

W H Yip Director

P K B Chan Director

Mega Brain Investments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2024

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
7 Castle Street
Bridgwater
Somerset
TA6 3DD

Principal activity

The principal activity of the company is the provision of educational supplies and ancillary accommodation.

2	Accounting policies

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

The financial statements are prepared in sterling which is the functional currency of the entity.

Going concern

The financial statements have been prepared on a going concern basis. The company continues to be supporting by the directors.

Mega Brain Investments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2024 (continued)

2	Accounting policies (continued)

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. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

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

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Mega Brain Investments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2024 (continued)

2	Accounting policies (continued)

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Freehold Property	2% - 10% Straight Line
Fixtures and Fittings	10% Straight line
Equipment	20% Straight line
Motor Vehicles	20% Reducing Balance

Impairment

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand, demand deposits with banks, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value. In the statement of financial position, bank overdrafts are shown within borrowing or current liabilities

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the statement of comprehensive income over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Mega Brain Investments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2024 (continued)

2	Accounting policies (continued)

Financial instruments

Recognition and measurement
A financial asset or a financial liability is recognised only when the company becomes party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 15 (2023 - 7).

4	Tangible assets

	Freehold property £	Fixtures and fittings £	Office equipment £	Motor vehicles  £	Total £
Cost or valuation
At 1 January 2024	4,323,326	81,535	239,942	61,089	4,705,892
Additions	-	548	2,164	4,500	7,212
At 31 December 2024	4,323,326	82,083	242,106	65,589	4,713,104
Depreciation
At 1 January 2024	2,004,654	63,845	239,942	3,091	2,311,532
Charge for the year	307,102	7,693	369	12,275	327,439
At 31 December 2024	2,311,756	71,538	240,311	15,366	2,638,971
Carrying amount
At 31 December 2024	2,011,570	10,545	1,795	50,223	2,074,133
At 31 December 2023	2,318,672	17,690	-	57,998	2,394,360

Included within the net book value of land and buildings above is £2,011,570 (2023 - £2,318,672) in respect of freehold land and buildings.
 

5

Debtors

Mega Brain Investments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2024 (continued)

5	Debtors (continued)

	2024 £	2023 £
Trade debtors	-	1,500
Other debtors	10,597	14,455
	10,597	15,955

6

Creditors

Creditors: amounts falling due within one year

	Note	2024 £	2023 £
Due within one year
Loans and borrowings		121,028	120,326
Taxation and social security		7,153	-
Accruals and deferred income		304,051	179,051
Other creditors		1,226,791	1,227,290
		1,659,023	1,526,667

Creditors: amounts falling due after more than one year

	Note	2024 £	2023 £
Due after one year
Loans and borrowings		5,208,182	5,033,681

7	Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

	2024 £	2023 £
Not later than one year	52,800	72,400

The amount of non-cancellable operating lease payments recognised as an expense during the year was £67,100 (2023 - £71,000).

Mega Brain Investments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2024 (continued)

8	Related party transactions

Included within current creditors is an amount owed to International Scholars Exchange Centre Limited of £110,702 (2023 £110,702), a company that has the same ownership structure as that of Mega Brain Investments Limited.

Included in long term liabilities is an amount owed to Yew Wah Education Management Co. Ltd of £5,202,843 (2023 £5,017,522), a company that has the same ownership structure as that of Mega Brain Investments Limited.