Acorah Software Products Limited

Contents
	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—8

1. Accounting Policies

1.1. Basis of Preparation of Financial Statements

The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard 102 Section 1A - The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006.

1.2. Going Concern Disclosure

The directors have not identified any material uncertainties related to events or conditions that may cast significant doubt about the company's ability to continue as a going concern.

1.3. Turnover

Turnover comprises the revenue recognised in the period net of Value Added Tax and trade discount.

Product sales are composed of a licence element and future product support element. The licence element is recognised at the point of sale and the product support element is deferred over the length of the licence.

Turnover from all other product sales are recognised at the point of delivery and any prepaid amount is held on the balance sheet.

1.4. Intangible Fixed Assets and Amortisation - Goodwill

Goodwill is the difference between amounts paid on the acquisition of a business and the fair value of the separable net assets. It is amortised to profit and loss account over its estimated economic life of 10 years.

1.5. Research and Development

Expenditure on research and development is written off in the year it is incurred unless it meets the criteria to allow it to be capitalised. Where development costs are recognised as an asset, they are amortised over the period expected to benefit from them. Amortisation begins once the developed product comes into use.

1.6. Intangible Fixed Assets and Amortisation - Intellectual Property

Intellectual property assets are IT development costs. They are amortised to the profit and loss account over their estimated economic life of three years.

1.7. Tangible Fixed Assets and Depreciation

Tangible fixed assets are stated at cost less depreciation. 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:

Leasehold	Straight line over the life of the lease.
Motor Vehicles	25%
Fixtures & Fittings	33%
Computer Equipment	33%

Page 3

Acorah Software Products Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2018

1.8. Leasing and Hire Purchase Contracts

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired under finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in the creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to profit and loss account as incurred.

1.9. 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.

1.10. Taxation

The charge for taxation takes into account taxation deferred as a result of timing differences between the treatment of certain items for taxation and accounting purposes. In general, deferred taxation is recognised in respect of timing differences that have originated but not reversed at the balance sheet date. However, deferred tax assets are recognised only to the extent that the directors consider that it is more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted. Deferred taxation is measured on a non-discounted basis at the tax rates that are expected to apply in periods in which the timing differences reverse, based on tax rates and the law enacted or substantively enacted at the balance sheet date.

1.11. 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.

4. Average Number of Employees

Average number of employees, including directors, during the year was as follows:

	2018	2017
Office and administration	68	49

	68	49

Page 4

Acorah Software Products Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2018

8. Intangible Assets

	Intellectual Property	Development Costs	Total
	£	£	£
Cost
As at 1 April 2017	178,000	150,586	328,586
Additions	-	127,959	127,959

As at 31 March 2018	178,000	278,545	456,545

Amortisation
As at 1 April 2017	178,000	90,213	268,213
Provided during the period	-	-	-

As at 31 March 2018	178,000	90,213	268,213

Net Book Value
As at 31 March 2018	-	188,332	188,332

As at 1 April 2017	-	60,373	60,373

9. Tangible Assets

	Land & Property
	Leasehold	Motor Vehicles	Fixtures & Fittings	Computer Equipment	Total
	£	£	£	£	£
Cost
As at 1 April 2017	137,328	30,296	53,978	385,519	607,121
Additions	-	-	26,287	67,253	93,540
Disposals	(98,438 )	(24,001 )	(7,360 )	(285,627 )	(415,426 )

As at 31 March 2018	38,890	6,295	72,905	167,145	285,235

Depreciation
As at 1 April 2017	137,328	17,243	26,733	338,320	519,624
Provided during the period	-	2,472	21,019	42,098	65,589
Disposals	(98,438 )	(16,436 )	(7,360 )	(285,627 )	(407,861 )

As at 31 March 2018	38,890	3,279	40,392	94,791	177,352

Net Book Value
As at 31 March 2018	-	3,016	32,513	72,354	107,883

As at 1 April 2017	-	13,053	27,245	47,199	87,497

Included above are assets held under finance leases or hire purchase contracts with a net book value as follows:

Page 5

Acorah Software Products Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2018

	2018	2017
	£	£
Plant & Machinery	-	23,624
Fixtures & Fittings	2,369	-
Motor Vehicles	-	8,462
Computer Equipment	17,426	1,234

	19,795	33,320

10. Debtors

	2018	2017
	£	£
Due within one year
Trade debtors	393,341	253,575
Prepayments and accrued income	16,978	33,731
Other debtors	333,005	208,953
Corporation tax recoverable assets	292,315	-
Amounts owed by group undertakings	481,325	401,391

	1,516,964	897,650

11. Creditors: Amounts Falling Due Within One Year

	2018	2017
	£	£
Net obligations under finance lease and hire purchase contracts	34,024	20,069
Trade creditors	273,242	171,981
Corporation tax	-	31,158
Other taxes and social security	125,995	91,477
VAT	335,384	266,945
Other creditors	-	396
Accruals and deferred income	786,653	651,445

	1,555,298	1,233,471

12. Creditors: Amounts Falling Due After More Than One Year

	2018	2017
	£	£
Net obligations under finance lease and hire purchase contracts	39,290	3,720
Accruals and deferred income	-	101,324

	39,290	105,044

Page 6

Acorah Software Products Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2018

13. Secured Creditors

Of the creditors falling due within and after more than one year the following amounts are secured on the underlying assets:-

	2018		2017
	£		£
Net obligations under finance lease and hire purchase contracts	3,634		23,789

14. Obligations Under Finance Leases and Hire Purchase

	2018	2017
	£	£
The maturity of these amounts is as follows:
Amounts Payable:
Within one year	34,024	20,069
Between one and five years	39,290	3,720

	73,314	23,789

	73,314	23,789

15. Deferred Taxation

The provision for deferred taxation is made up of accelerated capital allowances.

	2018	2017
	£	£
Deferred tax	53,388	25,637

	53,388	25,637

16. Share Capital

	2018		2017
Allotted, Called up and fully paid	2		2

17. Other Commitments

At the end of the period the company had commitments under non-cancellable operating leases as follows:

	Land and buildings		Other
	2018	2017	2018	2017
	£	£	£	£
Within 1 year	54,166	-	3,719	8,826
Between 1 and 5 years	-	65,000	126,999	13,257
After 5 years	141,103	92,225	-	-

	195,269	157,225	130,718	22,083

Page 7

Acorah Software Products Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2018

18. Pension Commitments

The company operates a defined contribution pension scheme for its employees.

The charge for the year is £66,931 (2017 - £38,484).

The assets of the scheme are held separately from those of the company in an independently administered fund. At the balance sheet date, there were no unpaid contributions.

19. Dividends

	2018	2017
	£	£
On equity shares:
Final dividend paid	175,009	164,443

	175,009	164,443

20. Related Party Transactions

The company is a wholly owned subsidiary of Acorah Newco Ltd. At the balance sheet date, £480,845 (2017 - £ 401,354 ) was due from Acorah Newco Ltd in the form of a non-trading loan.

21. Exceptional Items

The Exceptional charge in the profit and loss account in the prior year relates to the provsion against an onerous lease for a property. The business moved head office during the year to support the additional space required due to acelerated business growth and subsequent recruitment.

22. General Information

Acorah Software Products Limited Registered number 03948264 is a limited by shares company incorporated in England & Wales. The Registered Office is Rubra One, Mulberry Business Park, Fishponds Road, Wokingham, Berkshire, RG41 2GY.

Page 8

		2018		2017
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	8		188,332		60,373
Tangible Assets	9		107,883		87,497

			296,215		147,870
CURRENT ASSETS
Debtors	10	1,516,964		897,650
Cash at bank and in hand		487,714		829,234

		2,004,678		1,726,884
Creditors: Amounts Falling Due Within One Year	11	(1,555,298 )		(1,233,471 )

NET CURRENT ASSETS (LIABILITIES)			449,380		493,413

TOTAL ASSETS LESS CURRENT LIABILITIES			745,595		641,283

Creditors: Amounts Falling Due After More Than One Year	12		(39,290 )		(105,044 )

PROVISIONS FOR LIABILITIES
Deferred Taxation	15		(53,388 )		(25,637 )

NET ASSETS			652,917		510,602

CAPITAL AND RESERVES
Called up share capital	16		2		2
Profit and Loss Account			652,915		510,600

SHAREHOLDERS' FUNDS			652,917		510,602