Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31falsefalsetruetruetruetruetrue2302022-12-26No description of principal activity221true 07836110 2022-12-26 2023-12-31 07836110 2021-12-27 2022-12-25 07836110 2023-12-31 07836110 2022-12-25 07836110 1 2022-12-26 2023-12-31 07836110 1 2021-12-27 2022-12-25 07836110 d:CompanySecretary1 2022-12-26 2023-12-31 07836110 d:Director1 2022-12-26 2023-12-31 07836110 d:Director2 2022-12-26 2023-12-31 07836110 d:RegisteredOffice 2022-12-26 2023-12-31 07836110 e:Buildings e:LongLeaseholdAssets 2022-12-26 2023-12-31 07836110 e:Buildings e:LongLeaseholdAssets 2023-12-31 07836110 e:Buildings e:LongLeaseholdAssets 2022-12-25 07836110 e:MotorVehicles 2022-12-26 2023-12-31 07836110 e:MotorVehicles 2023-12-31 07836110 e:MotorVehicles 2022-12-25 07836110 e:MotorVehicles e:OwnedOrFreeholdAssets 2022-12-26 2023-12-31 07836110 e:FurnitureFittings 2022-12-26 2023-12-31 07836110 e:FurnitureFittings 2023-12-31 07836110 e:FurnitureFittings 2022-12-25 07836110 e:FurnitureFittings e:OwnedOrFreeholdAssets 2022-12-26 2023-12-31 07836110 e:ComputerEquipment 2022-12-26 2023-12-31 07836110 e:ComputerEquipment 2023-12-31 07836110 e:ComputerEquipment 2022-12-25 07836110 e:ComputerEquipment e:OwnedOrFreeholdAssets 2022-12-26 2023-12-31 07836110 e:OwnedOrFreeholdAssets 2022-12-26 2023-12-31 07836110 e:PatentsTrademarksLicencesConcessionsSimilar 2023-12-31 07836110 e:PatentsTrademarksLicencesConcessionsSimilar 2022-12-25 07836110 e:Goodwill 2022-12-26 2023-12-31 07836110 e:Goodwill 2023-12-31 07836110 e:Goodwill 2022-12-25 07836110 e:CurrentFinancialInstruments 2023-12-31 07836110 e:CurrentFinancialInstruments 2022-12-25 07836110 e:Non-currentFinancialInstruments 2023-12-31 07836110 e:Non-currentFinancialInstruments 2022-12-25 07836110 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 07836110 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-25 07836110 e:Non-currentFinancialInstruments e:AfterOneYear 2023-12-31 07836110 e:Non-currentFinancialInstruments e:AfterOneYear 2022-12-25 07836110 e:Non-currentFinancialInstruments e:BetweenOneTwoYears 2023-12-31 07836110 e:Non-currentFinancialInstruments e:BetweenOneTwoYears 2022-12-25 07836110 e:Non-currentFinancialInstruments e:BetweenTwoFiveYears 2023-12-31 07836110 e:Non-currentFinancialInstruments e:BetweenTwoFiveYears 2022-12-25 07836110 e:Non-currentFinancialInstruments e:MoreThanFiveYears 2023-12-31 07836110 e:Non-currentFinancialInstruments e:MoreThanFiveYears 2022-12-25 07836110 e:ReportableOperatingSegment1 2022-12-26 2023-12-31 07836110 e:ReportableOperatingSegment1 2021-12-27 2022-12-25 07836110 e:UKTax 2022-12-26 2023-12-31 07836110 e:UKTax 2021-12-27 2022-12-25 07836110 e:ShareCapital 2023-12-31 07836110 e:ShareCapital 2022-12-25 07836110 e:RetainedEarningsAccumulatedLosses 2022-12-26 2023-12-31 07836110 e:RetainedEarningsAccumulatedLosses 2023-12-31 07836110 e:RetainedEarningsAccumulatedLosses 2021-12-27 2022-12-25 07836110 e:RetainedEarningsAccumulatedLosses 2022-12-25 07836110 e:RetainedEarningsAccumulatedLosses 2021-12-27 07836110 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 07836110 e:AcceleratedTaxDepreciationDeferredTax 2022-12-25 07836110 d:OrdinaryShareClass1 2022-12-26 2023-12-31 07836110 d:OrdinaryShareClass1 2023-12-31 07836110 d:OrdinaryShareClass1 2022-12-25 07836110 d:FRS102 2022-12-26 2023-12-31 07836110 d:Audited 2022-12-26 2023-12-31 07836110 d:FullAccounts 2022-12-26 2023-12-31 07836110 d:PrivateLimitedCompanyLtd 2022-12-26 2023-12-31 07836110 e:Subsidiary1 2022-12-26 2023-12-31 07836110 e:Subsidiary1 1 2022-12-26 2023-12-31 07836110 e:WithinOneYear 2023-12-31 07836110 e:WithinOneYear 2022-12-25 07836110 e:BetweenOneFiveYears 2023-12-31 07836110 e:BetweenOneFiveYears 2022-12-25 07836110 e:MoreThanFiveYears 2023-12-31 07836110 e:MoreThanFiveYears 2022-12-25 07836110 6 2022-12-26 2023-12-31 07836110 e:Goodwill e:OwnedIntangibleAssets 2022-12-26 2023-12-31 07836110 e:PatentsTrademarksLicencesConcessionsSimilar e:OwnedIntangibleAssets 2022-12-26 2023-12-31 iso4217:GBP xbrli:shares xbrli:pure
Company registration number: 07836110







ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE PERIOD ENDED
31 DECEMBER 2023


HOUSE SPECIAL LIMITED






































   img5b27.png              

 


HOUSE SPECIAL LIMITED
 


 
COMPANY INFORMATION


Directors
Mr B Shedden 
Mr J Shedden 




Company secretary
Mrs C Shedden



Registered number
07836110



Registered office
2nd Floor, Magna House
18-32 London Road

Staines-Upon-Thames

Surrey

TW18 4BP




Independent auditors
Menzies LLP
Chartered Accountants & Statutory Auditor

Magna House

18-32 London Road

Staines-Upon-Thames

TW18 4BP





 


HOUSE SPECIAL LIMITED
 



CONTENTS



Page
Strategic Report
1 - 2
Directors' Report
3 - 4
Independent Auditors' Report
5 - 8
Statement of Income and Retained Earnings
9
Statement of Financial Position
10
Notes to the Financial Statements
11 - 25


 


HOUSE SPECIAL LIMITED
 


 
STRATEGIC REPORT
FOR THE PERIOD ENDED 31 DECEMBER 2023

Introduction
 
The directors present the Strategic Report for the period ended 31 December 2023.

Business review
 
The company continued its existing strategy of identifying and investing in new stores where there is potential for growth, to supplement its current sites.
There continued to be a strategy of identifying and investing in new stores, and whilst no new stores were opened in the period, a new store has been identified for opening in 2025 in Cranleigh.
Revenue remained broadly consistent at £8.7m (2022 - £7.7m) and gross margins fell to 27.7% (2022 - 31.5%), resulting in a reduced profit before tax of £1.1m (2022 - £1.4m). The net assets at the year-end were £1.1m (2022 - £1.3m). The directors remain satisfied with the company's financial position at the year-end and believe it is well placed to meet any challenges ahead.

Principal risks and uncertainties
 
The company, as part of the Full House Restaurant Holdings Group continuously reviews risks and uncertainties.
Management mitigated the risk of aggregators within the marketplace by partnering with the ‘Just Eat’ platform during the year, which has been working well and contributed to maintaining a higher market share during the period. Management continue to monitor these risks and have entered into an agreement shortly after the year-end with the ‘Uber Eats’ platform.
The company continues to be subject to variable wholesale food prices, anticipated to continue in the medium term. It is working closely to manage these costs and related supply chain issues, actively switching to UK based suppliers where feasible.
There is a continued threat of higher energy prices, which was a global issue throughout 2023, although most sites are currently under fixed terms.
As the company continues to grow and open new sites – there are increased resourcing challenges for both store staff and delivery drivers. The management are actively recruiting and training staff to optimally run the operations.

Financial key performance indicators
 
Retaining market share continues to be the key KPI – and this is tracked by growth in revenue, by individual site and region. The company's revenue increase by 12.2% (2022 - decreased by 1.5%) from prior year due to the use of third party platform ‘Just Eat’ as well as the franchisor investigating and ultimately investing in a more focused advertisement campaign. The directors were pleased with the revenue’s continued growth whilst the industry saw a slight decline year-on-year.
The gross margin is monitored and was 27.7% (2022 – 31.5%) for the year. The fall in gross margin as anticipated due to the higher cost on ingredient within the sector. The franchisor has continued to provide good deals to customers to maintain market share. 

Other key performance indicators
 
The directors are committed to ensuring the highest standards and regularly monitors customer feedback and where
arising customer complaints are tracked and appropriately followed up.

Page 1

 


HOUSE SPECIAL LIMITED
 



STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 DECEMBER 2023


This report was approved by the board and signed on its behalf.



................................................
Mr B Shedden
Director
Date: 22 August 2024

Page 2

 


HOUSE SPECIAL LIMITED
 


 
DIRECTORS' REPORT
FOR THE PERIOD ENDED 31 DECEMBER 2023

The Directors present their report and the financial statements for the period ended 31 December 2023.

Directors' responsibilities statement

The Directors are responsible for preparing the Strategic Report, the Directors' Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 for the Company's financial statements and then apply them consistently;

make judgments 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.

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the period, after taxation, amounted to £1,011,254 (2022 - £1,303,137).

A final dividend for 2022 of £600,000 plus an interim dividend for 2023 of £600,000 were paid during the financial year. A final dividend has been proposed and paid on 8 April 2024 of £600,000 (2022 - £600,000).

Directors

The Directors who served during the period were:

Mr B Shedden 
Mr J Shedden 

Future developments

The overall business outlook remains positive; the directors are experienced in the takeaway business and are well aware of the challenges that require consistently applied, high quality procedures to minimise risks. The company continues to invest in its operations and maintains high standards in product quality and staff training.

Engagement with employees

The company's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests.
Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the company's performance.
There is no employee share scheme at present.

Page 3

 


HOUSE SPECIAL LIMITED
 


 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 DECEMBER 2023

Disabled employees

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the company continues and that the appropriate training is arranged. It is the policy of the company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees..

Disclosure of information to auditors

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:

Post balance sheet events

There have been no significant events affecting the company since the year end.

Auditors

The auditorsMenzies LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





................................................
Mr B Shedden
Director

Date: 22 August 2024

Page 4

 


HOUSE SPECIAL LIMITED
 

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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HOUSE SPECIAL LIMITED

Opinion


We have audited the financial statements of House Special Limited (the 'Company') for the period ended 31 December 2023, which comprise the Statement of Income and Retained Earnings, the Statement of Financial Position and the related notes, including a summary of significant accounting policiesThe 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 December 2023 and of its profit for the period 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 United Kingdom, including the Financial Reporting Council'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 other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Page 5

 


HOUSE SPECIAL LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HOUSE SPECIAL LIMITED (CONTINUED)

Opinion 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 Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report 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 Directors' Report.


We have nothing to report in respect of the following matters in relation to which 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.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 3, 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 is 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.


Page 6

 


HOUSE SPECIAL LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HOUSE SPECIAL LIMITED (CONTINUED)

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 an Auditors' Report 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.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

The Company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation. We determined that the following laws and regulations were most significant including UK Companies Act, employment law and tax legislation. We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

We understood how the Company is complying with those legal and regulatory frameworks by, making inquiries to management, those responsible for legal and compliance procedures and the company secretary. 

The engagement partner assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. The assessment did not identify any issues in this area.

We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

°Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;

°Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process; and

°Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations.

As a result of the above procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:

°Posting of unusual journals, and;

°Risk of fictitious employees.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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 Auditors' Report.


Page 7

 


HOUSE SPECIAL LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HOUSE SPECIAL LIMITED (CONTINUED)

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 2006Our 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 an Auditors' Report 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.



Andrew Cook FCA (Senior Statutory Auditor)
  
for and on behalf of
Menzies LLP
 
Chartered Accountants
Statutory Auditor
  
Magna House
18-32 London Road
Staines-Upon-Thames
TW18 4BP

22 August 2024
Page 8

 


HOUSE SPECIAL LIMITED
 


 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE PERIOD ENDED 31 DECEMBER 2023

Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£

  

Turnover
 4 
8,657,215
7,718,963

Cost of sales
  
(6,262,821)
(5,285,553)

Gross profit
  
2,394,394
2,433,410

Administrative expenses
  
(2,101,938)
(1,914,653)

Operating profit
 5 
292,456
518,757

Income from fixed assets investments
  
800,000
900,000

Interest payable and similar expenses
 10 
(3,111)
(18,806)

Profit before tax
  
1,089,345
1,399,951

Tax on profit
 11 
(78,091)
(96,814)

Profit after tax
  
1,011,254
1,303,137

  

  

Retained earnings at the beginning of the period
  
1,314,705
1,361,568

  
1,314,705
1,361,568

Profit for the period
  
1,011,254
1,303,137

Dividends declared and paid
  
(1,200,000)
(1,350,000)

Retained earnings at the end of the period
  
1,125,959
1,314,705
The notes on pages 11 to 25 form part of these financial statements.

Page 9

 


HOUSE SPECIAL LIMITED
REGISTERED NUMBER:07836110



STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

31 December 2023
25 December 2022
Note
£
£

Fixed assets
  

Intangible assets
 13 
675,989
717,989

Tangible assets
 14 
700,451
767,583

Investments
 15 
2,068,041
2,068,041

  
3,444,481
3,553,613

Current assets
  

Stocks
 16 
52,169
49,642

Debtors: amounts falling due within one year
 17 
6,455,753
5,216,309

  
6,507,922
5,265,951

Creditors: amounts falling due within one year
 18 
(8,700,347)
(7,328,818)

Net current liabilities
  
 
 
(2,192,425)
 
 
(2,062,867)

Total assets less current liabilities
  
1,252,056
1,490,746

Creditors: amounts falling due after more than one year
 19 
(59,410)
(84,402)

Provisions for liabilities
  

Deferred tax
 21 
(65,687)
(90,639)

Net assets
  
1,126,959
1,315,705


Capital and reserves
  

Called up share capital 
 22 
1,000
1,000

Profit and loss account
 23 
1,125,959
1,314,705

  
1,126,959
1,315,705


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
Mr B Shedden
Director

Date:22 August 2024

The notes on pages 11 to 25 form part of these financial statements.

Page 10

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

1.


General information

House Special Limited is a private company limited by shares and incorporated in England Wales. The address of the registered office is given in the company information page of these financial statements. The trading address is Unit 5, The Forum, Hanworth Lane, Chertsey, Surrey, KT16 9JX.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The financial statements are presented in sterling GBP which is the functional currency of the company and rounded to the nearest £.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Full House Restaurants Holdings Limited as at 31 December 2023 and these financial statements may be obtained from Companies House.

 
2.3

Exemption from preparing consolidated financial statements

The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.

 
2.4

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Turnover is generated via the operation of fast food outlets and is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. 

 
2.5

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Page 11

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.6

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.7

Intangible assets

Goodwill

Goodwill arising on the acquisition of subsidiary undertakings and branches, represents any excess of the fair value of the consideration given over the fair value of the identifiable assets and liabilities acquired. 
Goodwill is being written off over twenty years on the basis that the company has the option, as stipulated in its franchise agreements, to renew the existing franchises for further ten year terms at the end of the initial ten year term. As the directors are likely to take up the option and due to the company being in a good standing with regards to the terms of the franchise agreement, the directors believe amortisation over the full 20 years reflects the likely consumption of economic benefits. 

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Franchise rights                         -  10 years straight line

 
2.8

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 12

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.8
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Long-term leasehold property
-
10 years straight line
Motor vehicles
-
4 years straight line
Fixtures and fittings
-
10 years straight line
Computer equipment
-
5 years straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.9

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.10

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is 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.

 
2.11

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial
assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans
to related parties and investments in ordinary shares.

Page 13

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.12

Current and deferred taxation

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

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 income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

 
2.13

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3.


Estimates and Judgements

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Key sources of estimation uncertainty

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows:

Management reviews the useful lives, depreciation methods, and residual values of the tangible fixed assets on a regular basis. During the financial period, the directors determined no significant changes in the useful lives and residual values. The carrying amounts of tangible fixed assets are disclosed in note 14.

Page 14

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

4.


Turnover

An analysis of turnover by class of business is as follows:


Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£

Sale of Pizzas
8,657,215
7,718,963

8,657,215
7,718,963


All turnover arose within the United Kingdom.


5.


Operating profit

The operating profit is stated after charging:

Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£

Depreciation of tangible fixed assets
187,954
187,157

Other operating lease rentals
235,195
217,196

Amortisation of intangible assets
42,000
20,333


6.


Auditors' remuneration

Auditor's remuneration is paid by Full House Restaurants Holdings Limited, the Company's immediate parent company. The company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent company.

Page 15

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

7.


Employees

Staff costs were as follows:


Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£

Wages and salaries
2,451,481
2,119,602

Social security costs
102,629
97,466

Cost of defined contribution scheme
24,616
20,316

2,578,726
2,237,384


The average monthly number of employees during the period was as follows:


Period from 26 December 2022 to
31 December
Restated 
Period from 27 December 2021 to
25 December
        2023
        2022
            No.
            No.







Employees
230
221

The prior period average number of employees has been recalculated and restated from 229 to 221.


8.


Directors' remuneration

The directors of the company are remunerated through the parent company, Full House Restaurants Holdings Limited. Their remuneration is disclosed in the consolidated financial statements.


9.


Income from investments

Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£

Dividends received from subsidary
800,000
900,000

800,000
900,000




Page 16

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

10.


Interest payable and similar expenses

Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£


Bank interest payable
3,111
18,806

3,111
18,806


11.


Taxation


Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£

Corporation tax


Current tax on profits for the year
103,312
102,024

Adjustments in respect of previous periods
(269)
-


Total current tax
103,043
102,024

Deferred tax


Origination and reversal of timing differences
(24,939)
(3,959)

Changes to tax rates
-
(1,251)

Adjustments in respect of previous periods
(13)
-

Total deferred tax
(24,952)
(5,210)


Taxation on profit on ordinary activities
78,091
96,814
Page 17

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023
 
11.Taxation (continued)


Factors affecting tax charge for the period

The tax assessed for the period is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19%). The differences are explained below:

Period from 26 December 2022 to
31 December
Period from 27 December 2021 to
25 December
2023
2022
£
£


Profit on ordinary activities before tax
1,089,345
1,399,951


Profit on ordinary activities multiplied by the standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
251,515
265,991

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
2,596
171

Capital allowances for period in excess of depreciation
-
(4,210)

Inelligible differences on fixed assets
13,902
7,113

Non-taxable income
(188,164)
(171,000)

Effect of change in deferred tax rates
(1,476)
(1,251)

Adjustments to tax charge in respect of prior periods
(282)
-

Total tax charge for the period
78,091
96,814


12.


Dividends

Period from 26 December 2022 to 
31 December 2023
Period from 27 December 2021 to
 25 December 2022
£
£


Final dividend for prior period
600,000
750,000

Interim dividend
600,000
600,000

1,200,000
1,350,000

A final dividend has been proposed and paid on 8 April 2024 of £600,000.

Page 18

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

13.


Intangible assets






Franchise rights
Goodwill
Total

£
£
£



Cost


At 26 December 2022
15,000
809,997
824,997



At 31 December 2023

15,000
809,997
824,997



Amortisation


At 26 December 2022
7,500
99,508
107,008


Charge for the period on owned assets
1,500
40,500
42,000



At 31 December 2023

9,000
140,008
149,008



Net book value



At 31 December 2023
6,000
669,989
675,989



At 25 December 2022
7,500
710,489
717,989



Page 19

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

14.


Tangible fixed assets







Land and buildings
Motor vehicles
Fixtures and fittings
Computer equipment
Total

£
£
£
£
£



Cost or valuation


At 26 December 2022
250,000
1,910
1,747,025
130,419
2,129,354


Additions
-
-
105,631
15,191
120,822


Disposals
-
-
(226,280)
(1,284)
(227,564)



At 31 December 2023

250,000
1,910
1,626,376
144,326
2,022,612



Depreciation


At 26 December 2022
125,000
1,433
1,118,421
116,917
1,361,771


Charge for the period on owned assets
25,000
477
156,726
5,751
187,954


Disposals
-
-
(226,280)
(1,284)
(227,564)



At 31 December 2023

150,000
1,910
1,048,867
121,384
1,322,161



Net book value



At 31 December 2023
100,000
-
577,509
22,942
700,451



At 25 December 2022
125,000
477
628,604
13,502
767,583

Page 20

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

15.


Fixed asset investments








Investments in subsidiary companies

£



Cost or valuation


At 26 December 2022
2,068,041



At 31 December 2023
2,068,041





Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Class of shares

Holding

The Woodpecker Inn Limited
Ordinary
100%


16.


Stocks

31 December
25 December
2023
2022
£
£

Raw materials and consumables
52,169
49,642

52,169
49,642



17.


Debtors

31 December
25 December
2023
2022
£
£


Amounts owed by group undertakings
5,741,181
4,941,181

Other debtors
290,382
22,313

Called up share capital not paid
1,000
1,000

Prepayments and accrued income
423,190
251,815

6,455,753
5,216,309


Page 21

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

18.


Creditors: Amounts falling due within one year

31 December
25 December
2023
2022
£
£

Other loans
25,000
25,000

Trade creditors
283,594
212,747

Amounts owed to group undertakings
8,228,438
6,960,916

Accruals and deferred income
163,315
130,155

8,700,347
7,328,818



19.


Creditors: Amounts falling due after more than one year

31 December
25 December
2023
2022
£
£

Other loans
59,410
84,402

59,410
84,402





20.


Loans


Analysis of the maturity of loans is given below:


31 December
25 December
2023
2022
£
£

Amounts falling due within one year
25,000
25,000

Amounts falling due 1-2 years
25,000
25,000

Amounts falling due 2-5 years
34,410
48,958

Amounts falling due after more than 5 years
-
10,444

84,410
109,402


Page 22

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

21.


Deferred taxation






2023


£






At beginning of year
(90,639)


Charged to profit or loss
24,952



At end of year
(65,687)

The provision for deferred taxation is made up as follows:

31 December
25 December
2023
2022
£
£


Accelerated capital allowances
65,687
90,639

65,687
90,639


22.


Share capital

31 December
25 December
2023
2022
£
£
Allotted, called up and fully paid



1,000 (2022 - 1,000) ordinary shares of £1.00 each
1,000
1,000

The Company has one class of ordinary share which carry no right to fixed income.



23.


Reserves

Profit and loss account

This reserve records retained earnings and accumulated losses.

Page 23

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

24.


Capital commitments


At 31 December 2023 the Company had capital commitments as follows:

31 December
25 December
2023
2022
£
£


Contracted for but not provided in these financial statements
34,324
-

34,324
-


25.


Commitments under operating leases

At 31 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

31 December
25 December
2023
2022
£
£


Not later than 1 year
260,450
260,450

Later than 1 year and not later than 5 years
1,041,800
1,041,800

Later than 5 years
1,707,754
1,970,038

3,010,004
3,272,288


26.


Guarantees

There is in place a Composite Company Unlimited Unilateral Guarantee in place, dated 7 February 2012, given to 
HSBC plc by this company, Full House Restaurants Holdings Limited, Full House Restaurants Limited, Classic Crust Limited, The Woodpecker Inn Limited, Sunmead Limited, Sherston Limited, JJE Enterprises Limited and Surrey Pizzas Limited.


27.


Related party transactions

During the period the company entered into the following transactions with related parties:
At the year end this company owed the Franchisor, Dominos Pizza UK & Ireland Limited who own 49% of share capital in Full House Restaurant Holdings Limited, £164,586 (2022: £150,648) in relation to trading activities. The total amount paid to Dominos Pizza UK & Ireland Limited and its fellow group entity, DP Realty Limited, in relation to trading activities was £4,015,119 (2022: £3,334,123). Trading activities are comprised of the following; cost of sales, store development, rent and service charges, advertising, administration costs and loan interest payments.
Historically House Special Limited entered into a deferred payment agreement with DP Realty Limited, a fellow related company through Dominos Pizza UK & Ireland Limited. The agreements related to funding of lease premium
for 2 new store premises. The applicable interest rates are 0% and 3% per annum above the GBP 3 months LIBOR
on 28 April 2016 and the loans are repayable monthly over 10 years. The total amount owing at the period end in total was £84,410 of which £25,000 is due within 1 year. These loans are shown within 'other loans'.

Page 24

 


HOUSE SPECIAL LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2023

28.


Controlling Party

The parent of the Company is Full House Restaurants Holdings Limited, which owns 100% of the issued share capital of the Company. The registered office of Full House Restaurants Holdings Limited is 2nd Floor, Magna House, 18-32 London Road, Staines-upon-Thames, Surrey, TW18 4BP. The ultimate controlling parties are J Shedden and B Shedden.

 
Page 25