REGISTERED NUMBER: |
Strategic Report, |
Report of the Directors and |
Financial Statements |
for the Year Ended 31 July 2023 |
for |
Lawrence Stephens Limited |
REGISTERED NUMBER: |
Strategic Report, |
Report of the Directors and |
Financial Statements |
for the Year Ended 31 July 2023 |
for |
Lawrence Stephens Limited |
Lawrence Stephens Limited (Registered number: 12165148) |
Contents of the Financial Statements |
for the Year Ended 31 July 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Statement of Income and Retained Earnings | 8 |
Statement of Financial Position | 9 |
Statement of Cash Flows | 10 |
Notes to the Statement of Cash Flows | 11 |
Notes to the Financial Statements | 12 |
Lawrence Stephens Limited |
Company Information |
for the Year Ended 31 July 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Registered Auditor |
28 Church Road |
Stanmore |
Middlesex |
HA7 4XR |
Lawrence Stephens Limited (Registered number: 12165148) |
Strategic Report |
for the Year Ended 31 July 2023 |
The directors present their strategic report for the year ended 31 July 2023. |
REVIEW OF BUSINESS |
In accordance with The Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 the directors set out the following review of the business. |
The profit for the year after taxation is £2,642,227 (2022 - £3,322,681). |
The group's key financial performance indicators are as follows: |
2023 | 2022 | Change |
£'000 | £'000 | % |
Turnover | 16,577 | 12,379 | 33.91 |
Operating profit | 3,921 | 4,410 | (11.10 | ) |
EBITDA | 5,130 | 5,547 | (7.52 | ) |
Post tax profit for the financial year | 2,642 | 3,323 | (20.49 | ) |
Shareholder's equity | 2,780 | 2,457 | 13.14 |
Net cash | 381 | 1,088 | (64.98 | ) |
Debt | 1,548 | 1,646 | (5.95 | ) |
During the year the company continued to expand, and opened new legal departments offering different legal services eg in sports and entertainment. As a result the company increased its workforce significantly through a successful process of strategic recruitment. This led the company to expand their London office onto a second floor. The company's continued success is driven by increasing it's turnover and client base whilst recognising the financial challenges that this brings. |
The ongoing strategic and operational changes which started in 2021 have continued to benefit the company into 2023 with turnover increasing month on month and an annual increase of 33.91% from 2022. This allowed the company to record a post tax profit of £2.642m in the year. |
The Directors are proud of what the company has achieved and would like to thank our customers, suppliers and employees for their loyalty. We remain optimistic that we are well placed to adapt to the challenges that lie ahead in the coming months and years. |
Lawrence Stephens Limited (Registered number: 12165148) |
Strategic Report |
for the Year Ended 31 July 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The directors regularly review and evaluate various risks applicable to the company. |
Market and Competitive Risk |
The directors believe that the principal risks and uncertainties which the business faces result from the changing nature of the market in which it operates and the associated and continuing price and cost pressures in the economy generally. |
Liquidity risks |
The company's principal financial risk is cash. The company manages its cash and borrowing requirements daily to ensure it has sufficient working capital resources to meet the operating needs of its business.Where necessary the Company looks to its bankers, other lenders and Directors for support as appropriate. |
Taxation risk |
The company is exposed to financial risks from increases in tax rates and changes to the basis of taxation including corporation tax and VAT. |
Credit risk |
All customers who wish to trade on credit terms are subject to credit verification procedures. Receivable balances are monitored on an on-going basis and provision is made for doubtful debts where necessary. |
Cyber risk |
With a growing reliance on the IT infrastructure to manage the business operations there is a risk of cyber-attack. |
The company has robust systems in place to deal with this threat and staff are regularly reminded to be vigilant to reduce the chances of an attack taking place and the Company has adequate insurance in place should it fall victim to such an event. |
Recruitment, development and retention of a quality team |
The company continues to maintain its positive and vibrant culture , promoting diversity and inclusion and an ethos that helps engender a quality workplace whilst nurturing an entrepreneurial spirit that will enable our staff to meet the challenges ahead. The company's staff are an integral part of our success story. |
ON BEHALF OF THE BOARD: |
Lawrence Stephens Limited (Registered number: 12165148) |
Report of the Directors |
for the Year Ended 31 July 2023 |
The directors present their report with the financial statements of the company for the year ended 31 July 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of the provision of professional services as a firm of solicitors. |
DIVIDENDS |
During the year the company paid total dividends of £2,319,047 (2022:£1,858,426) on all classes of shares. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 August 2022 to the date of this report. |
Other changes in directors holding office are as follows: |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
Lawrence Stephens Limited (Registered number: 12165148) |
Report of the Directors |
for the Year Ended 31 July 2023 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Parker Cavendish, are deemed to be reappointed under Section 487(2) of the Companies Act 2006. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Lawrence Stephens Limited |
Opinion |
We have audited the financial statements of Lawrence Stephens Limited (the 'company') for the year ended 31 July 2023 which comprise the Statement of Income and Retained Earnings, Statement of Financial Position, Statement of Cash Flows and Notes to the Statement of Cash Flows, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 July 2023 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Report of the Independent Auditors to the Members of |
Lawrence Stephens Limited |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on pages four and five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
· Performing audit work over the risk of management override of controls, including testing of large or otherwise unusual joumal entries and other adjustments for appropriateness; |
· Reviewing financial statement disclosures and testing to supporting documentation to assess compliance wtth the applicable laws and regulations; |
· Review of legal and professional nominal accounts for indications of any actual or potential litigation; |
· Reviewing correspondence and discussing with those charged with govemance for evidence of any actual or potential litigation or non-compliance with laws or regulations; |
· Review of accounting estimates for indications of management bias. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Registered Auditor |
28 Church Road |
Stanmore |
Middlesex |
HA7 4XR |
Lawrence Stephens Limited (Registered number: 12165148) |
Statement of Income and Retained Earnings |
for the Year Ended 31 July 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 3 |
Administrative expenses | ( |
) | ( |
) |
OPERATING PROFIT | 5 |
Interest receivable and similar income |
3,921,100 | 4,437,415 |
Interest payable and similar expenses | 6 | ( |
) | ( |
) |
PROFIT BEFORE TAXATION |
Tax on profit | 7 | ( |
) | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
Retained earnings at beginning of year |
Dividends | 8 | ( |
) | ( |
) |
RETAINED EARNINGS AT END OF YEAR |
Lawrence Stephens Limited (Registered number: 12165148) |
Statement of Financial Position |
31 July 2023 |
2023 | 2022 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
CURRENT ASSETS |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 | ( |
) | ( |
) |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
13 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Lawrence Stephens Limited (Registered number: 12165148) |
Statement of Cash Flows |
for the Year Ended 31 July 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Tax paid | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
New loans in year |
Loan repayments in year | ( |
) |
Amount withdrawn by directors | (1,952,591 | ) | (2,578,239 | ) |
Share issue |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Decrease in cash and cash equivalents | ( |
) | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
1,204,534 |
Cash and cash equivalents at end of year | 2 | 381,227 | 1,087,546 |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Statement of Cash Flows |
for the Year Ended 31 July 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation |
Depreciation charges |
Finance costs | 238,605 | 62,412 |
Finance income | (65,153 | ) | (27,578 | ) |
5,026,182 | 5,547,101 |
Increase in trade and other debtors | ( |
) | ( |
) |
Increase in trade and other creditors |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Year ended 31 July 2023 |
31.7.23 | 1.8.22 |
£ | £ |
Cash and cash equivalents | 381,227 | 1,087,546 |
Year ended 31 July 2022 |
31.7.22 | 1.8.21 |
£ | £ |
Cash and cash equivalents | 1,087,546 | 1,204,534 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.8.22 | Cash flow | At 31.7.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,087,546 | (706,319 | ) | 381,227 |
1,087,546 | ( |
) | 381,227 |
Debt |
Debts falling due within 1 year | (417,699 | ) | (202,842 | ) | (620,541 | ) |
Debts falling due after 1 year | (1,228,790 | ) | 301,381 | (927,409 | ) |
(1,646,489 | ) | 98,539 | (1,547,950 | ) |
Total | (558,943 | ) | (607,780 | ) | (1,166,723 | ) |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements |
for the Year Ended 31 July 2023 |
1. | STATUTORY INFORMATION |
Lawrence Stephens Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Significant judgements and estimates |
The preparation of financial statements in conformity with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the accounting policies selected by the Company. When preparing the Financial Statements management is required to make certain estimates and assumptions which affect reported income, expenses, assets and liabilities. Use of available information and application of judgement are inherent in the formation of estimates, together with management's expectations of future events that are believed to be reasonable under the circumstances. The Directors consider that the significant estimates included in the financial statements concern the recognition of revenue on unbilled contracts and the amortisation of goodwill. |
Revenue |
Revenue represents amounts recoverable from clients for professional services provided during the year. It is measured at the fair value of consideration received or receivable on each client assignment, including expenses and disbursements but excluding Value Added Tax. Revenue is recognised when earned and when a right to consideration has been obtained through performance under each contract. Consideration accrues as contract activity progresses by reference to the value of the work performed. |
Unbilled revenue is included within debtors as "Amounts recoverable on contracts". |
Revenue is only recognised where the amount of revenue can be measured reliably and it is probable that the economic benefits will be received. |
Goodwill |
Goodwill arising on the acquisition of a business on 1 October 2020 is carried at cost less accumulated amortisation and impairment losses, if any. Amortisation is calculated on a straight line basis and goodwill is being amortised over its expected useful life of ten years. Amortisation charges are reported within operating expenses in the Statement of Comprehensive Income and Retained Earnings. Goodwill is reviewed annually by the Directors for impairment. |
Tangible fixed assets |
Short leasehold | - |
Fixtures and fittings | - |
Financial instruments |
Trade and other debtors |
Trade and other debtors are measured at transation price, less any impairment. |
Cash and cash equivalents |
Cash and cash equivalents include cash at bank and in hand and deposits with financial institutions which are subject to an insignificant risk of change in value. |
Trade and other creditors |
Trade and other creditors are initially recorded at the transaction price. Other financial liabilities, inluding bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements - continued |
for the Year Ended 31 July 2023 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme for the Directors and staff.Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Going concern |
When assessing going concern the Board of Directors has considered the firm's cost base and short-term liquidity. Forecasts have been prepared to cover a period of at least 12 months from the date of approval of the financial statements. These have been stress tested by the Board of Directors and they remain confident that the company has adequate resources to continue trading. In addition daily cash flow is also reviewed in order to ensure that the cash position of the company is monitored in real time. |
The company remains profitable and is currently trading within its existing banking facilities. |
Since the balance sheet date the company has secured additional funding from the equity Directors which has been injected into the company to help support its working capital requirements. |
The equity Directors have also confirmed that they will not seek immediate repayment of loans introduced and they will continue to support the company and introduce further funding if required for additional working capital |
Based on the above the financial statements have been prepared on a going concern basis. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries |
Other pension costs |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements - continued |
for the Year Ended 31 July 2023 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2023 | 2022 |
Accounts and administration | 18 | 18 |
Professional | 81 | 60 |
2023 | 2022 |
£ | £ |
Directors' remuneration |
Information regarding the highest paid director for the year ended 31 July 2023 is as follows: |
2023 |
£ |
Emoluments etc |
5. | OPERATING PROFIT |
The operating profit is stated after charging: |
2023 | 2022 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Goodwill amortisation |
Auditors' remuneration |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Loan interest payable |
Interest on overdue tax |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax |
Deferred tax |
Tax on profit |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements - continued |
for the Year Ended 31 July 2023 |
7. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2022 - |
Effects of: |
Expenses not deductible for tax purposes |
Depreciation in excess of capital allowances |
Deferred tax | 16,543 | 1,773 |
Total tax charge | 1,040,268 | 1,052,322 |
8. | DIVIDENDS |
31.7.23 | 31.7.22 |
£ | £ |
Ordinary A shares | 500,000 | 500,000 |
Ordinary B shares | 103,122 | - |
Ordinary C shares | 1,715,925 | 1,358,426 |
-------------- | --------------- |
Total | 2,319,047 | 1,858,426 |
-------------- | --------------- |
9. | INTANGIBLE FIXED ASSETS |
Goodwill |
£ |
COST |
At 1 August 2022 |
and 31 July 2023 |
AMORTISATION |
At 1 August 2022 |
Amortisation for year |
At 31 July 2023 |
NET BOOK VALUE |
At 31 July 2023 |
At 31 July 2022 |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements - continued |
for the Year Ended 31 July 2023 |
10. | TANGIBLE FIXED ASSETS |
Fixtures |
Short | and |
leasehold | fittings | Totals |
£ | £ | £ |
COST |
At 1 August 2022 |
Additions |
At 31 July 2023 |
DEPRECIATION |
At 1 August 2022 |
Charge for year |
At 31 July 2023 |
NET BOOK VALUE |
At 31 July 2023 |
At 31 July 2022 |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade debtors |
Amounts recoverable on |
contracts |
Other debtors |
Prepayments and accrued income |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Bank loans and overdrafts (see note 14) |
Other loans (see note 14) |
Trade creditors |
Tax |
Social security and other taxes |
VAT | 755,548 | 769,856 |
Directors' current accounts | 6,390,116 | 8,342,707 |
Accruals and deferred income |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2023 | 2022 |
£ | £ |
Bank loans (see note 14) |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements - continued |
for the Year Ended 31 July 2023 |
14. | LOANS |
An analysis of the maturity of loans is given below: |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Other loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans more 5 yr by instal | - | 181,554 |
15. | LEASING AGREEMENTS |
At 31 July 2023, the company had total rental commitments under non-cancellable operating leases over the remaining life of those leases of £4,215,935 (2022:£3,117,026). |
16. | SECURED DEBTS |
The following secured debts are included within creditors: |
2023 | 2022 |
£ | £ |
Bank loans |
The company's bank loans are secured by a first debenture over the assets of the company. |
In the previous financial year under review the company borrowed £1,000,000 under the Government Recovery Loan Scheme. The BEIS have provided a guarantee for 70% of the company's post-recovery liabilities up to the loan amount. In addition the senior directors of the company have given a joint and several personal guarantee in respect of the loan which is limited to £200,000. At the balance sheet date the sum of £962,698 was outstanding. |
17. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
£ | £ |
Deferred tax | 22,745 | 6,202 |
Deferred |
tax |
£ |
Balance at 1 August 2022 |
Provided during year |
Balance at 31 July 2023 |
Lawrence Stephens Limited (Registered number: 12165148) |
Notes to the Financial Statements - continued |
for the Year Ended 31 July 2023 |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary A | £1 | 1,000 | 1,000 |
Ordinary B | £.01 | 100 | 100 |
Ordinary C | £.01 | 240 | 240 |
1,340 | 1,340 |
19. | RESERVES |
Retained |
earnings |
£ |
At 1 August 2022 |
Profit for the year |
Dividends | ( |
) |
At 31 July 2023 |
20. | ULTIMATE CONTROLLING PARTY |
The company is not under the control of any one individual. |