RQ Ratings Ltd

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

1. General Information

RQ Ratings Ltd is a private company, limited by shares, incorporated in England & Wales, registered number 13202073 . The registered office is 1-45 Durham Street Unit V117, Vox Studios 1-45 Durham Street, London, SE11 5AP.

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 cover the period from 1 November 2024 to 31 December 2025. Comparative figures are for the year ended 31 October 2024 and are therefore not directly comparable.

2.2. Going Concern Disclosure

The financial statements have been prepared on a going concern basis.

The company is in an early stage of growth and has incurred losses since incorporation, including a loss of £1,124,168 in the period ended 31 December 2025, resulting in an accumulated deficit of £2,794,684. The directors have reviewed cash flow projections and the company's financial position. At the period end the company held cash of £897,600. The company has to date been funded through equity investment and the directors are in active discussions with existing and new investors regarding further fundraising to support the company's continued growth.

Having considered these factors, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for at least twelve months from the date of approval of these financial statements. Accordingly, these financial statements have been prepared on a going concern basis.

2.3. Turnover

Turnover comprises subscription income and fee-sharing income. Subscription income is recognised over the subscription period, and fee-sharing income is recognised when the related services have been provided and the Company's entitlement to the income arises.Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

2.4. Intangible Fixed Assets and Amortisation - Other Intangible

Other intangible assets are computer software. It is amortised to profit and loss account over its estimated economic life of three years.

2.5. Research and Development

Development costs are being amortised evenly over their estimated useful life of three years.

2.6. Intangible Fixed Assets and Amortisation - Intellectual Property

Intellectual property assets are Patent and licences. It is amortised to the profit and loss account over its estimated economic life of three years.

2.7. 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:

Computer Equipment

Straight Line 3 years

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RQ Ratings Ltd

Notes to the Financial Statements (continued)

For the Period 1 November 2024 to 31 December 2025

2.8. 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.

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

Basic financial assets, which include debtors and cash and bank balances, 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 if the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial instruments

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

2.9. 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 operating profit.

2.10. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current and deferred tax are recognised in profit or loss for the period, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case current and deferred tax are recognised in other comprehensive income or directly in equity respectively.

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RQ Ratings Ltd

Notes to the Financial Statements (continued)

For the Period 1 November 2024 to 31 December 2025

2.11. Research and development

Research expenditure is written off against profits in the year in which it is incurred.

3. Average Number of Employees

Average number of employees, including directors, during the period was: 7 (2024: 5)

4. Intangible Assets

	Other	Development Costs	Intellectual Property	Total
	£	£	£	£
Cost
As at 1 November 2024	17,000	509,056	1,110	527,166
Additions	-	165,163	2,000	167,163

As at 31 December 2025	17,000	674,219	3,110	694,329

Amortisation
As at 1 November 2024	17,000	259,180	1,110	277,290
Provided during the period	-	193,698	778	194,476

As at 31 December 2025	17,000	452,878	1,888	471,766

Net Book Value
As at 31 December 2025	-	221,341	1,222	222,563

As at 1 November 2024	-	249,876	-	249,876

5. Tangible Assets

	Computer Equipment
	£
Cost
As at 1 November 2024	-
Additions	2,986

As at 31 December 2025	2,986

Depreciation
As at 1 November 2024	-
Provided during the period	669

As at 31 December 2025	669

Net Book Value
As at 31 December 2025	2,317

As at 1 November 2024	-

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RQ Ratings Ltd

Notes to the Financial Statements (continued)

For the Period 1 November 2024 to 31 December 2025

6. Debtors

	31 December 2025	31 October 2024 as restated
	£	£
Due within one year
Trade debtors	8,647	11,975
Other debtors	31,583	14,891

	40,230	26,866

7. Creditors: Amounts Falling Due Within One Year

	31 December 2025	31 October 2024 as restated
	£	£
Trade creditors	4,919	9,504
Other creditors	18,931	594,776
Taxation and social security	26,892	16,953

	50,742	621,233

8. Share Capital

	31 December 2025	31 October 2024 as restated
	£	£
Allotted, Called up and fully paid	324	285

During the period, the Company issued 39,591 ordinary shares of £0.001 each for cash consideration of £1,816,351. The nominal value of the shares issued, amounting to £39, has been credited to share capital and the balance of £1,816,312 has been credited to the share premium account.

9. Ultimate Controlling Party

There is no ultimate controlling party.

10. Share-based payment

The company operates equity-settled share option schemes comprising both Enterprise Management Incentive ("EMI") options and unapproved share options. Options are granted to selected employees and service providers and are subject to service-based vesting conditions. The maximum contractual life of an option is 12 years from grant. Options are settled through the issue or transfer of ordinary shares in the company.

The fair value of options granted during the year was determined at the grant date using the Black-Scholes option pricing model. The resulting share-based payment charge is recognised over the vesting period, with a corresponding credit recognised within equity.

EMI share options

	2025	2025	2024	2024
	No.	WAEP £	No.	WAEP £
Outstanding as at 1 January	29,975	0.001	29,453	0.001
Granted during the year	-	-	522	0.001

...CONTINUED

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RQ Ratings Ltd

Notes to the Financial Statements (continued)

For the Period 1 November 2024 to 31 December 2025

Lapsed during the year	-	-	-	-
Options outstanding at end of year	29,975	0.001	29,975	0.001
Options Exercisable at end of year	25,548	0.001	18,056	0.001

Unapproved shares options

	2025	2025	2024	2024
	No.	£ WAEP	No.	£ WAEP
Outstanding as at 1 January	27,356	0.001	27,356	0.001
Granted during the year	-	-	-	-
Lapsed in the year	-	-	-	-
Outstanding at 31 December	27,356	0.001	27,356	0.001
Exercisable at 31 December	25,018	0.001	18,464	0.001

The total share-based payment expense recognised in the profit and loss account for the year ended 31 December 2025 was £98,805 (2024: £100,097).

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		31 December 2025		31 October 2024 as restated
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	4		222,563		249,876
Tangible Assets	5		2,317		-

			224,880		249,876
CURRENT ASSETS
Debtors	6	40,230		26,866
Cash at bank and in hand		897,600		665,471

		937,830		692,337
Creditors: Amounts Falling Due Within One Year	7	(50,742 )		(621,233 )

NET CURRENT ASSETS (LIABILITIES)			887,088		71,104

TOTAL ASSETS LESS CURRENT LIABILITIES			1,111,968		320,980

NET ASSETS			1,111,968		320,980

CAPITAL AND RESERVES
Called up share capital	8		324		285
Share premium account			3,579,873		1,763,561
Other reserves			326,455		227,650
Profit and Loss Account			(2,794,684 )		(1,670,516 )

SHAREHOLDERS' FUNDS			1,111,968		320,980