Company Registration No. 01201029 (England and Wales)
CHANNELS FOOD AND BEVERAGE LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
PAGES FOR FILING WITH REGISTRAR
CHANNELS FOOD AND BEVERAGE LIMITED
COMPANY INFORMATION
Directors
Mrs SJ Stubbings
RJC Stubbings
SW Orrin
JJ Livens
Secretary
SW Orrin
Company number
01201029
Registered office
Belsteads Farm Lane
Little Waltham
Chelmsford
Essex
CM3 3PT
Accountants
Rickard Luckin Limited
1st Floor
County House
100 New London Road
Chelmsford
Essex
CM2 0RG
Business address
Belsteads Farm Lane
Little Waltham
Chelmsford
Essex
CM3 3PT
CHANNELS FOOD AND BEVERAGE LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
CHANNELS FOOD AND BEVERAGE LIMITED
BALANCE SHEET
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
315,721
379,081
Current assets
Stocks
49,968
59,318
Debtors
4
124,247
2,192,712
Cash at bank and in hand
90,411
314,819
264,626
2,566,849
Creditors: amounts falling due within one year
5
(1,333,266)
(3,673,129)
Net current liabilities
(1,068,640)
(1,106,280)
Total assets less current liabilities
(752,919)
(727,199)
Capital and reserves
Called up share capital
100
100
Profit and loss reserves
(753,019)
(727,299)
Total equity
(752,919)
(727,199)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 30 June 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subjects to the small companies' regime.
The financial statements were approved by the board of directors and authorised for issue on 17 October 2023 and are signed on its behalf by:
SW Orrin
Director
Company Registration No. 01201029
CHANNELS FOOD AND BEVERAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
- 2 -
1
Accounting policies
Company information
Channels Food and Beverage Limited is a private company limited by shares incorporated in England and Wales. The registered office is Belsteads Farm Lane, Little Waltham, Chelmsford, Essex, CM3 3PT.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
At 30 June 2022, the company had net liabilities of £825,456. The Directors have considered a period in excess of 12 months from the date of signing these financial statements when considering the going concern status of the business. The financial statements have been prepared on a going concern basis, which assumes the continued financial support of a related business. It has been confirmed the related business will continue to provide the company with adequate financial support to enable it to continue to trade as a going concern for at least 12 months from the date of these financial statements.
After making appropriate enquiries, the Directors have satisfied themselves that this is sustainable for the medium to long term future, and along with the support available, they have concluded the going concern basis is appropriate.
1.3
Turnover
Turnover represents amounts receivable for goods and services net of VAT and trade discounts. Deposits received for future events are included in turnover at the date the event takes place.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
1.4
Tangible fixed assets
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:
Plant and machinery
15% to 50% on cost
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
CHANNELS FOOD AND BEVERAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 3 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.6
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 Section 1A 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 of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
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 constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.8
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes 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 reporting end date.
CHANNELS FOOD AND BEVERAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 4 -
Deferred tax
Deferred tax is provided in full in respect of taxation deferred by timing differences between the treatment of certain items for taxation and accounting purposes. The deferred tax balance has not been discounted.
1.9
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.10
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.11
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 36 (2022 - 43).
2023
2022
Number
Number
Total
36
43
CHANNELS FOOD AND BEVERAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 5 -
3
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 July 2022
956,917
Additions
60,871
Disposals
(4,035)
At 30 June 2023
1,013,753
Depreciation and impairment
At 1 July 2022
577,836
Depreciation charged in the year
120,196
At 30 June 2023
698,032
Carrying amount
At 30 June 2023
315,721
At 30 June 2022
379,081
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
17,344
20,855
Amounts owed by group undertakings
1,184,805
Other debtors
106,903
987,052
124,247
2,192,712
5
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
140,123
144,199
Amounts owed to group undertakings
752,323
Taxation and social security
110,513
178,466
Other creditors
330,307
3,350,464
1,333,266
3,673,129