Riverlight Limited

Notes to the Financial Statements
for the Year Ended 31 March 2025

1	General information

Riverlight Limited (the 'company') is a private company limited by share capital, registered in England and Wales under the Companies Act. The address of the registered office is given on page 1. The nature of the company’s operations and its principal activities are set out in the directors' report on page 2.

2	Accounting policies

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

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 functional currency of the company is considered to be pound sterling (£) because that is the currency of the primary economic environment in which the company operates. The financial statements are presented in pound sterling (£).

Going concern

The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis in preparing the annual financial statements.

Revenue

Revenue comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the company’s activities and is net of Value Added Tax

Tax

The tax expense for the period comprises current tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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.

Riverlight Limited

Notes to the Financial Statements
for the Year Ended 31 March 2025 (continued)

2	Accounting policies (continued)

Property, plant and equipment

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

The cost of property, plant and equipment includes directly attributable incremental costs incurred in their acquisition and installation.

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
Plant and machinery	33% on cost
Furniture and fittings	20% on cost
Computer equipment	33% on cost

Goodwill

Goodwill is amortised over its useful life of 7 years.

Intangible assets

The costs of acquiring the franchise fee operated by the company is capitalised and amortised evenly over it's life of 5 years.

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and subject to an insignificant risk of change in value.

Receivables

Trade receivables are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of receivable is established when there is objective evidence that the Company will not be
able to collect all amounts due according to the original terms of the receivables.

Inventories

Inventories are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

Payables

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade payables are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Riverlight Limited

Notes to the Financial Statements
for the Year Ended 31 March 2025 (continued)

2	Accounting policies (continued)

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 income statement 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.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

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.

Financial instruments

The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 13 (2024 - 13).

Riverlight Limited

Notes to the Financial Statements
for the Year Ended 31 March 2025 (continued)

4	Intangible assets

	Goodwill  £
Cost
At 1 April 2024	391,466
At 31 March 2025	391,466
Amortisation
At 1 April 2024	73,468
Amortisation charge	16,000
At 31 March 2025	89,468
Carrying amount
At 31 March 2025	301,998
At 31 March 2024	317,998

5	Property, plant and equipment

	Furniture, fittings and equipment  £	Plant and machinery £	Total £
Cost
At 1 April 2024	13,122	22,460	35,582
Additions	3,214	-	3,214
At 31 March 2025	16,336	22,460	38,796
Depreciation
At 1 April 2024	12,746	19,868	32,614
Charge for the year	1,298	1,293	2,591
At 31 March 2025	14,044	21,161	35,205
Carrying amount
At 31 March 2025	2,292	1,299	3,591
At 31 March 2024	376	2,592	2,968

Riverlight Limited

Notes to the Financial Statements
for the Year Ended 31 March 2025 (continued)

6	Inventories

	2025 £	2024 £
Other inventories	4,500	4,500

7	Receivables

	2025 £	2024 £
Trade receivables	9,257	9,256
Prepayments	5,953	5,953
	15,210	15,209

Riverlight Limited

Notes to the Financial Statements
for the Year Ended 31 March 2025 (continued)

8

Payables

	2025 £	2024 £
Due within one year
Loans and borrowings	10,454	9,906
Trade payables	1,261	2,001
Social security and other taxes	24,450	23,469
Other payables	3,157	46,937
Accruals	2,370	7,939
Income tax liability	26,074	26,210
	67,766	116,462
Due after one year
Loans and borrowings	76,875	86,810

9	Share capital and reserves

Allotted, called up and fully paid shares

	2025		2024
	No.	£	No.	£
Ordinary A shares of £1 each	50	50	50	50
Ordinary B shares of £1 each	50	50	50	50
	100	100	100	100

Rights of shares
Different rates of dividends may be declared for each class of share and dividends may be declared for one class of share and not for the other class.

The shares rank pari passu in all other aspects.

Reserves
The retained earnings reserve represents cumulative profit or losses net of dividends paid and other adjustments.