Company registration number 05789388 (England and Wales)
MILTON SANDFORD WINES LIMITED
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
PAGES FOR FILING WITH REGISTRAR
MILTON SANDFORD WINES LIMITED
CONTENTS
Page
Directors' report
1
Accountants' report
2
Balance sheet
3
Notes to the financial statements
4 - 7
MILTON SANDFORD WINES LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2023
- 1 -
The directors present their annual report and financial statements for the year ended 30 June 2023.
During the normal course of the year in December 2021 we established an Employee Ownership Trust that transferred ownership of the business to and for the benefit of employees. A new trustee board has been established to ensure we step through the opportunities this new ownership model provides to all current and future employees. We look to run the business with our existing management team structure supported by the new Trustee Board. We are now on our journey of employee ownership.
Fair review of the business
Milton Sandford Wines Ltd operates in the 'on trade' segment of the UK wine market. Signs of recovery and optimism following the covid epidemic have been dented by the onset of the cost living crisis felt in most parts of the global economy.
The company continues to work closely with its customers looking to create long term partnerships with likeminded companies. By retaining our market focus purely on hotels, restaurants, pubs and bars, we maintain our skills to assist single and multi-outlet operators attain a high-quality wine and artisan spirits offer as part of their own overall business approach. A full complementary consultancy and training provision is provided to all customers.
Full waste regulatory compliance is undertaken annually and the company is a member of an authorized scheme. Health and Safety risk assessments are undertaken for all processes within the business.
The bonded warehouse operator status provides the company with full operational efficiencies as we own, control and maintain our own inventory management systems reducing product delivery lead-times from the generic wine market 3rd party warehouse operators to the benefits of our customers in reducing stock holding and ordering times. We can deliver same day, every day as required by our customers.
We also decided to commence activities in the wine storage market utilising the 75,000 sq ft unique facilities we operate from in the Berkshire countryside. This strategic direction should help fuel our growth plans in the years ahead. We have applied to join the United Kingdom Warehousing Association (UKWA) to support our focus in this area.
The company remains an equal opportunity to all employer and has implemented the real living wage guidelines to ensure consistency and compliance across both companies in Winchester Wines Group Ltd.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mrs M L Winchester
Mr J H Winchester
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
On behalf of the board
Mr J H Winchester
Director
2 February 2024
MILTON SANDFORD WINES LIMITED
ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF MILTON SANDFORD WINES LIMITED FOR THE YEAR ENDED 30 JUNE 2023
- 2 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Milton Sandford Wines Limited for the year ended 30 June 2023 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
This report is made solely to the Board of Directors of Milton Sandford Wines Limited, as a body. Our work has been undertaken solely to prepare for your approval the financial statements of Milton Sandford Wines Limited and state those matters that we have agreed to state to the Board of Directors of Milton Sandford Wines Limited, as a body. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Milton Sandford Wines Limited and its Board of Directors as a body, for our work or for this report.
It is your duty to ensure that Milton Sandford Wines Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Milton Sandford Wines Limited. You consider that Milton Sandford Wines Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Milton Sandford Wines Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Kirk Rice LLP
6 February 2024
The Courtyard
High Street
Ascot
Berkshire
SL5 7HP
MILTON SANDFORD WINES LIMITED
BALANCE SHEET
- 3 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
107,716
115,293
Current assets
Stocks
328,819
456,134
Debtors
5
418,953
412,330
Cash at bank and in hand
15,485
46,365
763,257
914,829
Creditors: amounts falling due within one year
6
(380,140)
(344,939)
Net current assets
383,117
569,890
Total assets less current liabilities
490,833
685,183
Provisions for liabilities
(23,457)
(23,457)
Net assets
467,376
661,726
Capital and reserves
Called up share capital
2
2
Profit and loss reserves
467,374
661,724
Total equity
467,376
661,726
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 member has 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 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 2 February 2024 and are signed on its behalf by:
Mr J H Winchester
Director
Company registration number 05789388 (England and Wales)
MILTON SANDFORD WINES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
- 4 -
1
Accounting policies
Company information
Milton Sandford Wines Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Old Chalk Mine, Warren Row Road, Knowl Hill, Reading, Berkshire, RG10 8QS.
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.
1.2
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover represents net invoiced sales of goods, excluding value added tax, and is recognised upon delivery to the customer.
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:
Leasehold land and buildings
no depreciation
Plant and equipment
10-25% on cost
Computers
20% on cost
Motor vehicles
25% 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
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible 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 valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.
MILTON SANDFORD WINES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 5 -
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. Bank overdrafts are shown within borrowings in current liabilities.
1.8
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.
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.
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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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.
1.9
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.
MILTON SANDFORD WINES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 6 -
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
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.11
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
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.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
7
6
MILTON SANDFORD WINES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 7 -
4
Tangible fixed assets
Leasehold land and buildings
Plant and equipment
Computers
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 July 2022 and 30 June 2023
102,420
76,543
26,478
78,358
283,799
Depreciation and impairment
At 1 July 2022
76,115
18,535
73,856
168,506
Depreciation charged in the year
428
2,648
4,501
7,577
At 30 June 2023
76,543
21,183
78,357
176,083
Carrying amount
At 30 June 2023
102,420
5,295
1
107,716
At 30 June 2022
102,420
428
7,943
4,502
115,293
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
335,099
318,965
Amounts owed by group undertakings
71,193
71,193
Other debtors
12,661
22,172
418,953
412,330
6
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
289,392
254,462
Taxation and social security
85,518
87,304
Other creditors
5,230
3,173
380,140
344,939
7
Parent company
The immediate and ultimate parent is Winchester Wines EOT, a trust incorporated in England and Wales.
The registered office of the parent company is:
The Old Chalk Mine, Warren Row Road, Knowl Hill, Reading, Berkshire, RG10 8QS
The ultimate controlling parties are Mr J H Winchester, Mr B R Cowl and Ms J Smart, who are the shareholders of the company Winchester Wines EOT Limited, which owns the shares in Winchester Wines EOT.