REGISTERED NUMBER: 04635154 (England and Wales)

Financial Statements

for the Year Ended 31st December 2025

for

Northern Balance Ltd

Page

Company Information

1

Abridged Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

N. A. Bewell

J. J. R. Chapman

I. A. Roulstone

P. J. Moran

REGISTERED OFFICE:

3 Bamburgh Court

Team Valley Trading Estate

Gateshead

NE11 0TX

REGISTERED NUMBER:

04635154 (England and Wales)

AUDITORS:

Sadofskys

Statutory Auditors

Princes House

Wright Street

Hull

East Yorkshire

HU2 8HX

BANKERS:

Natwest Bank

1 Victoria Place

Holbeck

Leeds

LS11 5AN

FIXED ASSETS

Intangible assets

4

128,200

127,955

Tangible assets

5

370,665

407,739

498,865

535,694

CURRENT ASSETS

Stocks

118,107

92,310

Debtors

696,087

716,415

Cash at bank

260,383

346,200

1,074,577

1,154,925

CREDITORS

Amounts falling due within one year

686,804

671,070

NET CURRENT ASSETS

387,773

483,855

TOTAL ASSETS LESS CURRENT LIABILITIES

886,638

1,019,549

CREDITORS

Amounts falling due after more than one year

(153,003

)

(183,711

)

PROVISIONS FOR LIABILITIES

(41,793

)

(58,077

)

NET ASSETS

691,842

777,761

CAPITAL AND RESERVES

Called up share capital

7

100

100

Retained earnings

691,742

777,661

SHAREHOLDERS' FUNDS

691,842

777,761

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

All the members have consented to the preparation of an abridged Balance Sheet for the year ended 31st December 2025 in accordance with Section 444(2A) of the Companies Act 2006.

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

The financial statements were approved by the Board of Directors and authorised for issue on 8th May 2026 and were signed on its behalf by:

N. A. Bewell - Director

1.	STATUTORY INFORMATION

Northern Balance 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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 directors have made the decision to close the company in the next year end 31 December 2026 and therefore the financial statements have been prepared on a basis other than that of the going concern basis. This basis includes, where applicable, writing the company's assets down to net realisable value. No provision has been made for future costs of terminating the business unless such costs were committed at the reporting date.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Turnover

Turnover represents the total invoice value, excluding value added tax, of sales made during the year.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2022, is being amortised evenly over its estimated useful life of ten years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Website costs are being amortised evenly over their estimated useful life of five years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery etc

-

25% on cost, 20% on cost and 10% on cost

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

At each reporting date, and assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

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 statements.

Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

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, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

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 if payment is due within one year or less. If not, 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.

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

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.

Hire purchase and leasing commitments

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

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 are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 25 (2024 - 25 ) .

4.	INTANGIBLE FIXED ASSETS

Totals

£

COST

At 1st January 2025

159,945

Additions

16,240

At 31st December 2025

176,185

AMORTISATION

At 1st January 2025

31,990

Amortisation for year

15,995

At 31st December 2025

47,985

NET BOOK VALUE

At 31st December 2025

128,200

At 31st December 2024

127,955

5.	TANGIBLE FIXED ASSETS

Totals

£

COST

At 1st January 2025

642,565

Additions

137,169

Disposals

(62,000

)

At 31st December 2025

717,734

DEPRECIATION

At 1st January 2025

234,826

Charge for year

129,243

Eliminated on disposal

(17,000

)

At 31st December 2025

347,069

NET BOOK VALUE

At 31st December 2025

370,665

At 31st December 2024

407,739

The net book value of tangible fixed assets includes £ 270,484 (2024 - £ 284,119 ) in respect of assets held under hire purchase contracts.

6.	SECURED DEBTS

The following secured debts are included within creditors:

2025

2024

£

£

Hire purchase

242,323

259,431

The hire purchase liability is secured over the assets to which it relates.

7.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2025

2024

value:

£

£

100

Ordinary

£1

100

100

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

The Report of the Auditors was unqualified.

Alan Brocklehurst (Senior Statutory Auditor)

for and on behalf of Sadofskys

9.	EVENTS SINCE THE YEAR END

The company trade will be transferred to another company in the next year end 31 December 2026. The company, then being surplus to requirements, will be closed. All reserves within this company will be transferred to the company's immediate parent company, Gem Scientific (2024) Ltd (Reg. No. 09304255).

10.	ULTIMATE PARENT AND CONTROLLING PARTY