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Registration number: 07396808

Keychoc Limited

Annual Report and Financial Statements

for the Year Ended 30 June 2023

 

Keychoc Limited

Contents

Company Information

1

Balance Sheet

2

Statement of Changes in Equity

3

Notes to the Financial Statements

4 to 14

 

Keychoc Limited

Company Information

Directors

Mrs S Ramchandani

SP Ramchandani

S J Case

Company secretary

SP Ramchandani

Registered office

9 Berners Place
London
W1T 3AD

Holding company

Keylink Limited

Auditors

Mehta & Tengra
Chartered Accountants - Statutory Auditors
9 Berners Place
London
W1T 3AD

 

Keychoc Limited

(Registration number: 07396808)
Balance Sheet as at 30 June 2023

Note

2023
£

2022
£

Fixed assets

 

Tangible assets

5

77,925

91,243

Investments

6

-

1

 

77,925

91,244

Current assets

 

Stocks

7

192,395

161,914

Debtors

8

39,206

48,932

Cash at bank and in hand

 

1,867

265

 

233,468

211,111

Creditors: Amounts falling due within one year

9

(284,608)

(507,665)

Net current liabilities

 

(51,140)

(296,554)

Total assets less current liabilities

 

26,785

(205,310)

Creditors: Amounts falling due after more than one year

9

(19,141)

(25,369)

Provisions for liabilities

(19,110)

(16,815)

Net liabilities

 

(11,466)

(247,494)

Capital and reserves

 

Called up share capital

10

40,000

10,000

Share premium reserve

210,000

-

Retained earnings

(261,466)

(257,494)

Shareholders' deficit

 

(11,466)

(247,494)

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 11 March 2024 and signed on its behalf by:
 

.........................................
SP Ramchandani
Company secretary and director

 

Keychoc Limited

Statement of Changes in Equity for the Year Ended 30 June 2023

Share capital
£

Share premium
£

Retained earnings
£

Total
£

At 1 July 2022

10,000

-

(257,494)

(247,494)

Loss for the year

-

-

(3,972)

(3,972)

New share capital subscribed

30,000

210,000

-

240,000

At 30 June 2023

40,000

210,000

(261,466)

(11,466)

Share capital
£

Retained earnings
£

Total
£

At 1 July 2021

10,000

(181,486)

(171,486)

Loss for the year

-

(76,008)

(76,008)

At 30 June 2022

10,000

(257,494)

(247,494)

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

1

General information

The company is a private company limited by share capital, incorporated in UK.

The address of its registered office is:
9 Berners Place
London
W1T 3AD
United Kingdom

The principal place of business is:
Unit 2a Delphwood Drive
Sherdley Road Industrial Estate
St. Helens
Merseyside
WA9 5JE

These financial statements were authorised for issue by the Board on 11 March 2024.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Going concern

The financial statements have been prepared on a going concern basis.

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

Audit report

The Independent Auditor's Report was unqualified. . The name of the Senior Statutory Auditor who signed the audit report on 11 March 2024 was P Tengra, who signed for and on behalf of Mehta & Tengra.

.........................................

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Plant and machinery

10% on cost

Fixtures and fittings

10% on cost

Computer equipment

10% on cost

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.


Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are valued at the lower of cost and estimated selling price less costs to complete and sell.
Stocks represent machinery, part assembled machinery and confectionery accessories.
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Research and Development
Expenditure on Research and Development is written off in the year in which it is incurred.
Tax credits on Research and Development are recognised when received and shown in the income statement as a credit under corporation tax.

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was 12 (2022 - 13).

4

Taxation

Tax charged/(credited) in the profit and loss account

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

2023
£

2022
£

Current taxation

UK corporation tax adjustment to prior periods

(16,538)

-

Deferred taxation

Arising from changes in tax rates and laws

2,295

4,351

Tax (receipt)/expense in the income statement

(14,243)

4,351

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

5

Tangible assets

Fixtures and fittings
£

Plant and machinery
£

Office equipment
£

Total
£

Cost or valuation

At 1 July 2022

24,126

149,407

10,944

184,477

Additions

-

964

540

1,504

At 30 June 2023

24,126

150,371

11,484

185,981

Depreciation

At 1 July 2022

18,701

65,755

8,778

93,234

Charge for the year

800

13,634

388

14,822

At 30 June 2023

19,501

79,389

9,166

108,056

Carrying amount

At 30 June 2023

4,625

70,982

2,318

77,925

At 30 June 2022

5,425

83,652

2,166

91,243

6

Investments

2023
£

2022
£

Investments in associates

-

1

Associates

£

Cost

At 1 July 2022

1

Disposals

(1)

At 30 June 2023

-

Provision

Carrying amount

At 30 June 2023

-

At 30 June 2022

1

7

Stocks

2023
£

2022
£

Machinery & confectionery accessories

192,395

161,914

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

8

Debtors

Current

2023
£

2022
£

Trade debtors

12,523

2,760

Prepayments

26,683

38,099

Amounts owed by associates

-

8,073

 

39,206

48,932

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

9

Creditors

Creditors: amounts falling due within one year

Note

2023
£

2022
£

Due within one year

 

Loans and borrowings

11

66,059

131,228

Trade creditors

 

101,704

138,733

Accruals

 

25,833

4,260

Loan from parent company

 

68,000

175,238

Pension contributions unpaid

 

2,560

1,256

Other creditors

 

6,784

8,160

Social security and other taxes

 

2,448

4,873

VAT

 

11,220

1,951

Amount received in advance

 

-

14,124

Trade creditors - related company

 

-

27,842

 

284,608

507,665

Creditors: amounts falling due after more than one year

Note

2023
£

2022
£

Due after one year

 

Loans and borrowings

11

19,141

25,369

10

Share capital

Allotted, called up and fully paid shares

 

2023

2022

 

No.

£

No.

£

Ordinary Shares of £1 each

40,000

40,000

10,000

10,000

         

11

Loans and borrowings

2023
£

2022
£

Non-current loans and borrowings

Bank borrowings

19,141

25,369

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

2023
£

2022
£

Current loans and borrowings

Bank borrowings

7,001

8,027

Bank overdrafts

27,058

91,201

Shareholders' loans

32,000

32,000

66,059

131,228

Bank borrowings

The company has commercial card and overdraft facilities totalling £112,000.
Flexible business loan facility of £32,368 with monthly repayment of £653.

Debenture including fixed charge over all present freehold and leasehold property.First fixed charge over book and other debts, chattels, goodwill and uncalled capital, both present and future and floating charge over all assets and undertaking both present and future dated 28 March 2013.
Composite company unlimited multi guarantee dated 01 April 2011 by Keylink limited and KeyChoc limited.

12

Related party transactions

Directors' remuneration

The directors' remuneration for the year was as follows:

2023
£

2022
£

Remuneration

48,033

47,500

Contributions paid to money purchase schemes

1,252

1,237

49,285

48,737

Summary of transactions with parent

Loans from the parent company, Keylink Limited
 

Loans from related parties

2023

Parent
£

Total
£

At start of period

175,238

175,238

Repaid

(107,238)

(107,238)

At end of period

68,000

68,000

2022

Parent
£

Total
£

At start of period

95,237

95,237

Advanced

80,001

80,001

At end of period

175,238

175,238

 

Keychoc Limited

Notes to the Financial Statements for the Year Ended 30 June 2023

13

Pension commitments

The company operates a defined contribution scheme for its staff under "auto enrolment" Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.
The company's pension cost for the year was £5,141 (2022: £5,803) The amount outstanding at the balance sheet date was £2,560 (2022: £1,256).

14

Ultimate controlling party

The controlling party is SP Ramchandani.The company is 75% owned by Keylink Limited, a company registered in England & Wales.

15

Going concern

The holding company has agreed to support the company for the next twelve months from the date the balance sheet was signed.