Zayndu Ltd

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—7

1. General Information

Zayndu Ltd is a private company, limited by shares, incorporated in England & Wales, registered number 11795698 . The registered office is Atic, Oakwood Drive, Loughborough, LE11 3QF.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

Disclosure of long or short period

The previous financial period was shortened from 31 January 2024 to 31 December 2023 therefore the comparative amounts presented in the financial statements (including the related notes) are not entirely comparable.

2.2. Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

2.3. Intangible Fixed Assets and Amortisation - Other Intangible

Other intangible assets represents patent costs. They are amortised to the profit and loss account over its estimated economic life of 20 years.

2.4. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & Machinery	25% Straight line basis
Computer Equipment	33% Straight line basis

2.5. Stocks and Work in Progress

Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. Work-in-progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.

2.6. Cash and Cash Equivalents

Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.

2.7. Financial Instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include debtors and bank balances, are measured at transaction price including transaction costs.

Classification of financial liabilities

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.

Basic financial liabilities

Basic financial liabilities, including creditors, are recognised at transaction price including transaction costs.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities.

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Zayndu Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.8. Foreign Currencies

Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange differences are taken into account in arriving at the profit / loss before taxation.

2.9. Taxation

Tax is recognised in profit or loss except that a charge is attributable to an item of income and expense recognised as other comphrehensive income or to an item recognised directly in equity is also recognised in other comphrehensive income or directly in equity respectively.

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.

2.10. Pensions

The company operates a defined pension contribution scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.

2.11. Research and Development

In the research phase of an internal project, it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives.

If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

2.12. Share Based Payments

The company operates an equity-settled, share-based compensation plan, under which the entity received services from employees as consideration for equity instruments (options) of the entity. The fair value of the employee services received is measured by reference to the estimated fair value at the grant date of equity instruments granted and is recognised as an expense over the vesting period. The estimated fair value of the option granted is calculated using the Black Scholes option pricing model. The total amount expensed is recognised over the vesting period, which is the period over which all of the specified vesting conditions are to be satisfied.

The proceeds received net of any directly attributable transaction costs are credited to share capital (nominal value) and share premium when the options are exercised.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 18 (2023: 12)

4. Intangible Assets

	Other
	£
Cost
As at 1 January 2024	41,878

As at 31 December 2024	41,878

Amortisation
As at 1 January 2024	4,404
Provided during the period	2,094

As at 31 December 2024	6,498

Net Book Value
As at 31 December 2024	35,380

As at 1 January 2024	37,474

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Zayndu Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

5. Tangible Assets

	Plant & Machinery	Computer Equipment	Total
	£	£	£
Cost
As at 1 January 2024	30,411	5,979	36,390
Additions	-	2,091	2,091

As at 31 December 2024	30,411	8,070	38,481

Depreciation
As at 1 January 2024	18,020	3,785	21,805
Provided during the period	7,467	1,731	9,198

As at 31 December 2024	25,487	5,516	31,003

Net Book Value
As at 31 December 2024	4,924	2,554	7,478

As at 1 January 2024	12,391	2,194	14,585

6. Stocks

	31 December 2024	31 December 2023
	£	£
Stock	221,875	-

7. Debtors

	31 December 2024	31 December 2023
	£	£
Due within one year
Trade debtors	46,260	-
Prepayments and accrued income	144,900	19,166
Other debtors	1,027	-
Corporation tax recoverable assets	122,066	-
VAT	15,861	52,409

	330,114	71,575

8. Creditors: Amounts Falling Due Within One Year

	31 December 2024	31 December 2023
	£	£
Trade creditors	46,573	148,748
Bank loans and overdrafts	6,024	9,600
Other loans	173,919	26,250
Other taxes and social security	41,441	53,317
Other creditors	8,072	4,556
Accruals and deferred income	34,139	1,300

	310,168	243,771

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Zayndu Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

9. Loans

An analysis of the maturity of loans is given below:

	31 December 2024	31 December 2023
	£	£
Amounts falling due within one year or on demand:
Bank loans	6,024	9,600
Other loans	173,919	26,250

	179,943	35,850

	31 December 2024	31 December 2023
	£	£
Amounts falling due between one and five years:
Bank loans	26,606	29,055
Other loans	694,283	785,172

	720,889	814,227

Within other loans there is a loan from Innovate UK of £756,190 (2023: £700,922) and a loan from Loughborough University of £112,012 (2023: £110,500).

The Innovate UK loan is repayable from March 2023. The repayments are to be made quarterly for 20 quarters. The interest on this loan is 3.7% until December 2022. From January 2023 it increases to 7.4%. This loan has a fixed and floating charge over the company, including intellectual property. The balance of £173,919 (2023: £26,250) is due within one year and £582,271 (2023: £674,672) is due in 2-5 years.

The loan from Loughborough University was taken on 12th August 2019. This may be repaid at any time at the discretion of the directors. However, all or part of the loan is repayable upon receipt of a written demand from the lender. This may be served at any time following the accounts showing a positive distributable balance. The first 3 years of this loan are interest free and then it increases to 1.5%. This is due for payment in over 5 years.

The bank loan represents a bounce back loan from Santander of £48,000 taken on the 20th May 2020. The balance of £6,024 (2023: £9,600) is due within one year and £26,606 (2023: £29,055) is due in 2 - 5 years.

10. Share Capital

	31 December 2024	31 December 2023
	£	£
Allotted, Called up and fully paid	338	321

On 5 April 2024 251,328 new Ordinary B shares were issued at a price of £0.222816 per share.

On 25th June 2024 1,327,120 new Ordinary B shares were issued at a price of £0.222816 per share.

On 25th June 2024 158,277 new Ordinary B shares were issued at a price of £0.00001 per share.

Each share has a nominal value of £0.00001.

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Zayndu Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

11. Other Commitments

The total of future minimum lease payments under non-cancellable operating leases are as following:

	31 December 2024	31 December 2023
	£	£
Not later than one year	100,615	98,828
Later than one year and not later than five years	58,692	159,307

	159,307	258,135

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		31 December 2024		31 December 2023
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	4		35,380		37,474
Tangible Assets	5		7,478		14,585

			42,858		52,059
CURRENT ASSETS
Stocks	6	221,875		-
Debtors	7	330,114		71,575
Cash at bank and in hand		412,063		1,717,286

		964,052		1,788,861
Creditors: Amounts Falling Due Within One Year	8	(310,168 )		(243,771 )

NET CURRENT ASSETS (LIABILITIES)			653,884		1,545,090

TOTAL ASSETS LESS CURRENT LIABILITIES			696,742		1,597,149

Creditors: Amounts Falling Due After More Than One Year			(720,889 )		(814,227 )

NET (LIABILITIES)/ASSETS			(24,147 )		782,922

CAPITAL AND RESERVES
Called up share capital	10		338		321
Share premium account			3,596,792		3,245,104
Other reserves			261,811		-
Profit and Loss Account			(3,883,088 )		(2,462,503 )

SHAREHOLDERS' FUNDS			(24,147)		782,922