REGISTERED NUMBER: 10408966 (England and Wales)

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2018

FOR

ISTEIN NEURAL NETWORKS LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

Mr J Martinez

Mr S J Nield

Mr J D Noble

REGISTERED OFFICE:

C/O Ground Floor

St Paul's House

23 Park Square

Leeds

West Yorkshire

LS1 2ND

REGISTERED NUMBER:

10408966 (England and Wales)

FIXED ASSETS

Intangible assets

4

229,180

84,133

Tangible assets

5

114,725

80,056

343,905

164,189

CURRENT ASSETS

Debtors

6

246,639

169,556

Cash at bank and in hand

106,163

58,115

352,802

227,671

CREDITORS

Amounts falling due within one year

7

160,592

328,467

NET CURRENT ASSETS/(LIABILITIES)

192,210

(100,796

)

TOTAL ASSETS LESS CURRENT LIABILITIES

536,115

63,393

CREDITORS

Amounts falling due after more than one year

8

175,951

-

NET ASSETS

360,164

63,393

CAPITAL AND RESERVES

Called up share capital

798

745

Share premium

735,618

199,987

Retained earnings

(376,252

)

(137,339

)

SHAREHOLDERS' FUNDS

360,164

63,393

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 October 2018.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 October 2018 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

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 on 27 March 2019 and were signed on its behalf by:

Mr J Martinez - Director

1.	STATUTORY INFORMATION

Istein Neural Networks Limited 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 principal activity for the period was that of neural networking and artificial intelligence development.

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.

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.

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

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Computer equipment

-

33% on cost

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.

Research and development

Research and development costs are capitalised under intangible assets.

Only costs relating to specific projects of research and development are capitalised and only to the extent that the

directors believe the costs are relevant to future revenues that will be generated as a result.

Amortisation policy is to write off the costs over the length of the project.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the

lease.

Going concern

The directors consider that the company is a going concern and relies on the continued support of the

shareholders and other creditors..

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 5 (2017 - 5 ) .

4.	INTANGIBLE FIXED ASSETS

Development

costs

£

COST

At 1 November 2017

84,133

Additions

145,047

At 31 October 2018

229,180

NET BOOK VALUE

At 31 October 2018

229,180

At 31 October 2017

84,133

5.	TANGIBLE FIXED ASSETS

Computer

equipment

£

COST

At 1 November 2017

119,486

Additions

85,482

At 31 October 2018

204,968

DEPRECIATION

At 1 November 2017

39,430

Charge for year

50,813

At 31 October 2018

90,243

NET BOOK VALUE

At 31 October 2018

114,725

At 31 October 2017

80,056

6.

DEBTORS

31.10.18

31.10.17

£

£

Amounts falling due within one year:

Other debtors

18,512

169,556

Amounts falling due after more than one year:

Other debtors

228,127

-

Aggregate amounts

246,639

169,556

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.10.18

31.10.17

£

£

Trade creditors

13,629

5,567

Taxation and social security

(61,545

)

-

Other creditors

208,508

322,900

160,592

328,467

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.10.18

31.10.17

£

£

Other creditors

175,951

-

9.	RELATED PARTY DISCLOSURES

An interest free loan with no fixed repayment date of £224,377 (2017 - £158,392) has been advanced by the

company to iStein Neural Networks S.L. to cover ongoing expenses of that company.This amount is outstanding

at the 31 October 2018. Subsequent to the year end iStein Neural Networks S.L. became a wholly owned

subsidiary of iStein Neural Networks Limited.

An interest free loan with no fixed repayment date of £50,600 (2017 - £1,100) has been advanced by Waazon

(Holdings) Limited and this amount is outstanding at the year end.

An amount of £12,500 (2017 - £Nil) is owed by Mr P Griffin a shareholder in the company.

An amount of £3,750 (2017 - £Nil) is owed by Mr P Val Baker a shareholder of the company.

An amount of £18,000 (2017 - £Nil) is owed to Mr D Fitzpatrick

An amount of £17,700 (2017 - £Nil) is owed to Mr S Nield a director of the company.