PENNEY FINANCIAL PARTNERS LIMITED
Company registration number 09964340 (England and Wales)
UNAUDITED FINANCIAL STATEMENTS
FOR THE PERIOD ENDED
10 MARCH 2023
10 March 2023
PAGES FOR FILING WITH REGISTRAR
PENNEY FINANCIAL PARTNERS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
PENNEY FINANCIAL PARTNERS LIMITED
BALANCE SHEET
AS AT
10 MARCH 2023
10 March 2023
- 1 -
10 March 2023
31 December 2021
Notes
£
£
£
£
Fixed assets
Intangible assets
3
1,135,221
1,361,080
Tangible assets
4
73,555
148,121
1,208,776
1,509,201
Current assets
Debtors
5
23,605
222,151
Cash at bank and in hand
210,690
242,861
234,295
465,012
Creditors: amounts falling due within one year
6
(282,700)
(398,711)
Net current (liabilities)/assets
(48,405)
66,301
Total assets less current liabilities
1,160,371
1,575,502
Creditors: amounts falling due after more than one year
7
(887,494)
(1,017,479)
Provisions for liabilities
(18,159)
(28,143)
Net assets
254,718
529,880
Capital and reserves
Called up share capital
8
100
100
Profit and loss reserves
254,618
529,780
Total equity
254,718
529,880
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 period ended 10 March 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 period in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
PENNEY FINANCIAL PARTNERS LIMITED
BALANCE SHEET (CONTINUED)
AS AT
10 MARCH 2023
10 March 2023
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 5 September 2023 and are signed on its behalf by:
Mr W R F Harrison
Director
Company Registration No. 09964340
PENNEY FINANCIAL PARTNERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 10 MARCH 2023
- 3 -
1
Accounting policies
Company information
Penney Financial Partners Limited is a private company limited by shares incorporated in England and Wales. The registered office is Kensington House, Knights Way, Battlefield Enterprise Park, Shrewsbury, Shropshire, SY1 3AB.
1.1
Reporting period
The period length of the current period and prior year are not entirely comparable . The current period was extended so that the company has an accounting reference date of the 10 March.
1.2
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 are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.4
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.
1.5
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
PENNEY FINANCIAL PARTNERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 10 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Intangible assets
10 years straight line
1.6
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings
25% Reducing balance
Computers
25% Reducing balance
Motor vehicles
25% Reducing balance
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.
1.7
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.8
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.9
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 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.
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.
1.10
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.
PENNEY FINANCIAL PARTNERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 10 MARCH 2023
1
Accounting policies
(Continued)
- 5 -
1.11
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.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
1.12
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense.
1.13
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.14
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.
1.15
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2023
2021
Number
Number
Total
19
20
PENNEY FINANCIAL PARTNERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 10 MARCH 2023
- 6 -
3
Intangible fixed assets
Goodwill
Intangible assets
Total
£
£
£
Cost
At 1 January 2022 and 10 March 2023
1,264,821
671,113
1,935,934
Amortisation and impairment
At 1 January 2022
368,906
205,948
574,854
Amortisation charged for the period
147,562
78,297
225,859
At 10 March 2023
516,468
284,245
800,713
Carrying amount
At 10 March 2023
748,353
386,868
1,135,221
At 31 December 2021
895,915
465,165
1,361,080
4
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 January 2022
347,251
Additions
403
Disposals
(84,540)
At 10 March 2023
263,114
Depreciation and impairment
At 1 January 2022
199,130
Depreciation charged in the period
42,397
Eliminated in respect of disposals
(51,968)
At 10 March 2023
189,559
Carrying amount
At 10 March 2023
73,555
At 31 December 2021
148,121
PENNEY FINANCIAL PARTNERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 10 MARCH 2023
- 7 -
5
Debtors
2023
2021
Amounts falling due within one year:
£
£
Trade debtors
12,884
166,510
Other debtors
10,721
55,641
23,605
222,151
6
Creditors: amounts falling due within one year
2023
2021
£
£
Bank loans and overdrafts
110,275
110,129
Trade creditors
14,736
26,798
Corporation tax
91,856
93,205
Other taxation and social security
36,889
28,575
Other creditors
28,944
140,004
282,700
398,711
The bank loan is secured by way of a personal guarantee from the directors.
The HP liability is secured over the asset, to which it relates.
7
Creditors: amounts falling due after more than one year
2023
2021
£
£
Bank loans and overdrafts
844,322
972,806
Other creditors
43,172
44,673
887,494
1,017,479
8
Called up share capital
2023
2021
2023
2021
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary A Shares of £1 each
70
70
30
70
Ordinary B Shares of £1 each
30
30
70
30
100
100
100
100