Company registration number 10644323 (England and Wales)
OTTERBOURNE RETAIL LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023
PAGES FOR FILING WITH REGISTRAR
OTTERBOURNE RETAIL LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
OTTERBOURNE RETAIL LIMITED
BALANCE SHEET
page 1
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
4
183,750
228,750
Tangible assets
5
203,258
190,547
387,008
419,297
Current assets
Stocks
80,566
73,025
Debtors
6
97,399
112,682
Cash at bank and in hand
113,116
145,734
291,081
331,441
Creditors: amounts falling due within one year
7
(277,906)
(270,361)
Net current assets
13,175
61,080
Total assets less current liabilities
400,183
480,377
Creditors: amounts falling due after more than one year
8
(122,443)
(144,545)
Provisions for liabilities
(7,634)
(1,250)
Net assets
270,106
334,582
Capital and reserves
Called up share capital
9
1
1
Profit and loss reserves
270,105
334,581
Total equity
270,106
334,582
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 3 January 2024 and are signed on its behalf by:
N S A Withers
Director
Company registration number 10644323 (England and Wales)
OTTERBOURNE RETAIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023
page 2
1
Accounting policies
Company information
Otterbourne Retail Limited is a private company limited by shares incorporated in England and Wales. The registered office is 85 Church Road, Hove, East Sussex, BN3 2BB.
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 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.
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;
Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.
The financial statements of the company are consolidated in the financial statements of Culverhill Retail Limited. These consolidated financial statements are available from its registered office.
1.2
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, and is shown net of VAT and other sales related taxes.
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.
1.3
Intangible fixed assets - goodwill
Goodwill is initially measured at cost. After initial recognition, goodwill is measured at cost less any accumulated amortisation and any accumulated impairment losses.
Amortisation is calculated so as to write off the cost of an asset over the useful life of that asset as follows:
Goodwill - 10% on cost
OTTERBOURNE RETAIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
page 3
1.4
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:
Plant and equipment
15% on reducing balance
Computers
33% on reducing balance
Improvements to property
10% on cost
1.5
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.
1.6
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.
Stock is calculated on a first in, first out basis.
1.7
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.
1.8
Financial instruments
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
1.9
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.
OTTERBOURNE RETAIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
page 4
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.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.10
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.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
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.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.12
Leases
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.
1.13
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.
1.14
Deferred development fund contributions
Symbol Group Development Fund contributions towards tangible fixed assets are credited to deferred income and recognised over the life of the tangible fixed asset to which they relate.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
OTTERBOURNE RETAIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
2
Judgements and key sources of estimation uncertainty
(Continued)
page 5
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Amortisation of Goodwill
The useful life and appropriate amortisation rate to use for the goodwill is considered to be a key estimate in the accounts.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was: 26
2023
2022
Number
Number
Total
26
28
4
Intangible fixed assets
Goodwill
£
Cost
At 1 August 2022 and 31 July 2023
450,000
Amortisation and impairment
At 1 August 2022
221,250
Amortisation charged for the year
45,000
At 31 July 2023
266,250
Carrying amount
At 31 July 2023
183,750
At 31 July 2022
228,750
OTTERBOURNE RETAIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
page 6
5
Tangible fixed assets
Plant and equipment
Computers
Improvements to property
Total
£
£
£
£
Cost
At 1 August 2022
337,110
16,651
70,287
424,048
Additions
47,547
2,228
49,775
At 31 July 2023
384,657
18,879
70,287
473,823
Depreciation and impairment
At 1 August 2022
184,460
14,144
34,897
233,501
Depreciation charged in the year
28,656
1,379
7,029
37,064
At 31 July 2023
213,116
15,523
41,926
270,565
Carrying amount
At 31 July 2023
171,541
3,356
28,361
203,258
At 31 July 2022
152,650
2,507
35,390
190,547
6
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
2,615
Other debtors
94,784
112,682
97,399
112,682
7
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
147,863
136,967
Corporation tax
83,038
84,090
Other taxation and social security
20,937
19,619
Other creditors
26,068
29,685
277,906
270,361
8
Creditors: amounts falling due after more than one year
2023
2022
£
£
Other creditors
122,443
144,545
OTTERBOURNE RETAIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
page 7
9
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
1
1
1
1
10
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
Senior Statutory Auditor:
Darren Harding ACA FCCA DChA
Statutory Auditor:
Richard Place Dobson Services Limited
11
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2023
2022
£
£
185,000
205,000
12
Parent company
The parent company of Otterbourne Retail Limited is Culverhill Retail Limited. Its registered office is 85 Church Road, Hove, East Sussex BN3 2BB. The address from which consolidated financial statements can be obtained is the registered address.
The ultimate controlling party are the directors of Culverhill Retail Limited.