REGISTERED NUMBER: 09790615 (England and Wales)

Financial Statements

for the Year Ended 31 December 2024

for

Splitit UK Ltd

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTOR:

Mr N Sheth

REGISTERED OFFICE:

1-2 Charterhouse Mews

London

EC1M 6BB

REGISTERED NUMBER:

09790615 (England and Wales)

AUDITORS:

Anstey Bond LLP

Statutory Auditors &

Chartered Accountants

1-2 Charterhouse Mews

London

EC1M 6BB

BANKERS:

HSBC Bank

8 Canada Square

London

E14 5HQ

CURRENT ASSETS

Debtors

4

4,098,784

4,861,879

Cash at bank

3,053,627

3,152,049

7,152,411

8,013,928

CREDITORS

Amounts falling due within one year

5

(2,164,714

)

(2,671,537

)

NET CURRENT ASSETS

4,987,697

5,342,391

TOTAL ASSETS LESS CURRENT LIABILITIES

4,987,697

5,342,391

CAPITAL AND RESERVES

Called up share capital

6,574,302

6,574,302

Retained earnings

(1,586,605

)

(1,231,911

)

SHAREHOLDERS' FUNDS

4,987,697

5,342,391

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the director and authorised for issue on 3 December 2025 and were signed by:

Mr N Sheth - Director

1.	STATUTORY INFORMATION

Splitit UK Ltd is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The presentation currency of Splitit UK Ltd is considered to be pounds sterling because that is the currency of the primary economic environment in which the Company operates. The functional currency is that of the Parent Company, Splitit Ltd, United States Dollar.

Going Concern

The company is reliant for its working capital on funds provided to it by the other Companies within the Group, Splitit Ltd the ultimate parent undertaking, and Splitit Capital Inc a subsidiary of Splitit Ltd, who have confirmed that they will continue to make such funds available to the Company for a period of 12 months from the date of approval of these financial statements and, in particular, will not seek repayment of the amounts currently made available. This should enable the company to continue in operational existence for the foreseeable future by meeting its liabilities as they fall due. 60% of the total creditors at the balance sheet date is due to related parties.

The company would have a positive balance sheet if not for the Intercompany balances outstanding at the date of these financial statements. As with any company placing reliance on other group entities for financial support, the directors acknowledges that there can be no certainty that this support will continue although, at the date of approval of these financial statements, they have no reason to believe that it will not do so. On this basis, the directors consider it appropriate to prepare the financial statements on a going concern basis.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the Company's accounting policies, which are described in note 2, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 the accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue Recognition

Portfolio income from funded plans

Portfolio income is the difference between the consumer’s underlying order value processed on the company’s platform and the amount paid to the merchant by the company, also referred to as Merchant fees. The company generally pays merchants the net amount of the order value less the merchant fees, which consists of fixed and variable rates. Portfolio income is recognised in the Profit or Loss using the Effective Interest Rate (EIR) method, accreting the Merchant fees over the average period from initial payment to the merchant by the company to the final instalment paid by consumer to the company. EIR adjustment is calculated based on the estimated future cash receipts over the expected life of the financial asset. In making their judgement of the estimated future cash flows and the expected life of the customer funded receivable balance, the Directors have considered the historical repayment pattern of the funded receivables on a portfolio basis. These estimates require significant judgment and will be reviewed on an ongoing basis and where required, appropriate adjustments to the recognition of Portfolio income will be made. The adjustment is referred as unearned future income and is recorded as a reduction in the portfolio receivable balance.

Transaction revenue from non-funded plans

The company generates Transaction revenue via transaction fees for delivery of completed transactions. The company received a fee from the merchant, either fixed or a percentage of the transaction value and revenue is recognised on completion of a successful transaction when instalment payment is collected from consumers or when products are delivered and activated by end-customers. Revenue from instalment payment is considered a distinct service and recognised by reference to the stage of completion of a contract or contracts in progress at balance date. The company does not have contracts where the period between the transfer of the promised goods or services to the customer and payment by the customer exceeds one year. Therefore, the company does not adjust any of the transaction prices for the time value of money.

Transaction revenue from services

Turnover from the supply of services represents the value of services provided to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a service has only been partially completed at the balance sheet date turnover represents the fair value of the service provided to date based on the stage of completion of the activity at the balance sheet date.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

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 of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents

Cash and cash equivalents in the Statement of Financial Position comprises cash at bank and in hand, cash in transit and cash in escrow for daily receipts and settlements. Cash and cash equivalents also comprise short-term deposits with an original maturity of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

Trade and other receivables

For Trade and other receivables, the company has applied the standard’s simplified approach and has calculated expected credit losses (ecl) based on lifetime expected credit losses. The company has established a provision matrix that is based on the company’s historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. Portfolio receivables are amounts due from consumers for outstanding instalment payments from funded plans on orders processed on the company’s platform. The company’s business model is to hold the receivables with the objectives to collect contractual cash flows. Portfolio receivables are measured at amortised cost using the Effective Interest Rate (EIR) method.

The company uses ageing of portfolio receivables as the basis for ECL measurement. At each reporting date, the company assesses impairment risk on initial recognition of the portfolio receivables and movements in the ageing of outstanding instalment payments to estimate the ECL. Judgement is applied in measuring the Provision for expected credit losses and determining whether the risk of default has increased significantly since initial recognition of the Portfolio receivables. The company considers both quantitative and qualitative information, including historical loss experience, internal expert risk assessment and data examination, and forward-looking information and analysis.

The company considers forward looking adjustments, including macro-economic seasonality trends that not captured within the base expected credit loss calculations. The inclusion of forward-looking information increases the degree of judgement required to assess effects on the company’s ECL. The company’s collections subsequent to year end have not deteriorated relative to past experience.

Trade and other payables

Trade and other payables for goods and services provided to the company prior to the end of the financial reporting period and that are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition. Trade payables are carried at amortised cost and are not discounted due to their short-term nature. At 31 December 2024, the carrying value of payables and other financial liabilities approximated their fair value.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 3 (2023 - 3 ) .

4.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

£

Trade debtors

839,446

187,567

Amounts owed by group undertakings

2,364,944

4,082,219

Other debtors

894,394

592,093

4,098,784

4,861,879

Debtors are due for payment within one year.

5.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

£

Bank loans and overdrafts

9

6

Trade creditors

10,087

231,010

Amounts owed to group undertakings

1,291,089

1,045,461

Taxation and social security

305,198

230,282

Other creditors

558,331

1,164,778

2,164,714

2,671,537

Terms of the inter-company loan balance is detailed in Note 7 - Related Party Disclosures

6.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Colin Ellis FCCA CF (Senior Statutory Auditor)

for and on behalf of Anstey Bond LLP

7.	RELATED PARTY DISCLOSURES

The company had transactions and balances with related parties that are part of the Group as follows:

Group balances at year end

Company due to

Company due from

Terms

Dec 2024

Dec 2023

Splitit Ltd

Splitit UK Ltd

On demand

-

-

Splitit UK Ltd

Splitit USA Inc

On demand

-

-

Splitit UK Ltd

Splitit Treasury Europe

On demand

32,957

30,983

Splitit UK Ltd

Splitit Treasury Europe BF/BV

On demand

2,084,099

3,585,686

Splitit USA Inc

Splitit UK Ltd

On demand

1,043,201

579,912

Group transactions in the period

Charged from

Charged to

Nature

Dec 2024

Dec 2023

Splitit USA Inc

Splitit UK Ltd

Expenditure

3,828,945

698,560

Splitit Treasury Europe

Splitit UK Ltd

Expenditure

2,181,429

1,762,150

Splitit UK Ltd

Australia Pty Ltd

Sales

(7,429

)

(7,952

)

Splitit UK Ltd

Splitit USA Inc

Sales

579,912

(561,727

)

Splitit UK Ltd

Splitit Treasury Europe

Sales

155,896

226,109

8.	ULTIMATE CONTROLLING PARTY

The controlling party is Splitit Limited.

The immediate and ultimate parent undertaking of Splitit UK Limited is Splitit Limited, a company registered in Israel.The registered address is 30 Ha'arbaa Street, Tel Aviv, Israel 6473926.