1Accounting Policies

Basis of measurement and preparation of accounts
The accounts have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities effective April 2008.

Turnover policy
Turnover is the revenue arising from the sale of software, installations and ongoing support services. It is stated at the fair value of the consideration receivable, net of value added tax and discounts. Revenue from the sale of software and installations is recognised upon completion of the installation or the product being ready for delivery, based on specific contract terms. Revenue for support services is recognised with reference to the time period covered by the agreement.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Office equipment - 25% straight line method
Computer equipment - 100% straight line method

Intangible assets amortisation policy
Deferred taxation
Full provision is made for deferred tax assets and liabilities arising from all timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation. A net deferred tax asset is recognised only if it can be regarded as 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 tax assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse.
Deferred tax assets and liabilities are not discounted.
Foreign currencies
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at 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 gains and losses are recognised in the Profit and loss account.
Research and development
Research and development expenditure is written off in the year in which it is incurred.
Pensions
The company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year.
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 entity after deducting all of its financial liabilities. Where the contractual obligations of financial instruments (including share capital) are equivalent to a
similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability. Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.

Valuation information and policy
Investments
Investments held as fixed assets are shown at cost less provision for impairment.

Other accounting policies
Going concern
Notwithstanding net liabilities of £37,455 at the balance sheet date, the directors have prepared the
financial statements on a going concern basis. The company owed £800,000 at the balance sheet date to the directors. The directors of the company confirm that they will continue to support the company to enable it to continue to pay its liabilities as they fall due for a period of not less than twelve months from the approval of these financial statements.

2Fixed assets Investments
Investments held as fixed assets are shown at cost less provision for impairment. The company had no fixed asset investments at the balance sheet date.