Notes to the Company Financial Statements

For the year ended 31 March 2023

A. General information

Cambridge Innovation Capital Limited (the ‘Company’) is incorporated in England and Wales and is domiciled in the UK, the address of its registered office being 22 Station Road, Cambridge, CB1 2JD.

B. Statement of compliance

The Company meets the definition of a qualifying entity under Financial Reporting Standard (‘FRS’) 100 issued by the Financial Reporting Council (‘FRC’). The financial statements have, therefore, been prepared in compliance with UK Accounting Standards including FRS 102, ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’ and the Companies Act 2006.

C. Significant accounting policies

Basis of preparation

These financial statements are prepared on a going concern basis, under the historical cost convention, as modified by the revaluation of certain assets and liabilities measured at fair value through profit or loss.

The principal accounting policies adopted in the preparation of these financial statements have been consistently applied to all the years presented, unless otherwise stated.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price and costs directly attributable to bringing the asset to its working condition for its intended use.

Depreciation on assets is calculated, using the straight-line method, to allocate the cost to their residual values over their estimated useful lives, as follows: leasehold improvements, five years;

• furniture and equipment, three years; and computer equipment, three years.

Investments

Investments in subsidiary and associate undertakings are held at cost, less any accumulated impairment losses. An impairment review is performed to assess the carrying value of subsidiaries and associates at each reporting date.

Investments, which are not subsidiaries or associates, are held as financial assets at fair value through profit or loss. These financial assets are initially recognised at fair value, which is normally the transaction price, and thereafter any changes in fair value are recognised in profit or loss in the year in which they arise. The Company measures the fair value of these investments in line with International Private Equity and Venture Capital Valuation 2018 Guidelines, endorsed by the British Venture Capital Association.

Financial instruments

The Company has adopted the provisions of Section 11 and Section 12 of FRS 102 in respect of financial instruments.

The Company does not have any financial instruments other than investments, cash, debtors and creditors. The accounting policy for investments is discribed above. Cash, debtors and creditors are all measured at cost on the date the transaction was entered into and financial assets are subsequently reviewed for possible impairment.