Company registration number 07107427 (England and Wales)
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
COMPANY INFORMATION
Directors
Mr C A Lea
Mr H J G Field
Company number
07107427
Registered office
Brooks House 1
Albion Place
Maidstone
Kent
ME14 5DY
Auditor
HJS (Reading) Limited
3 Richfield Place
Richfield Avenue
Reading
Berkshire
RG1 8EQ
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 7
Group statement of comprehensive income
8
Group balance sheet
9
Company balance sheet
10 - 11
Group statement of changes in equity
12
Company statement of changes in equity
13
Group statement of cash flows
14
Notes to the financial statements
15 - 30
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -

The principal activity of the Group during the year continued to be that of wine merchants, importing and selling fine wines, both to wholesale and retail customers.

Fair review of the business

In 2023, the Group returned to a more normal balance of sales through its various channels namely the five shops, private customers, on-trade sales and website.

 

The Directors consider the underlying trading results to be very satisfactory, having regard to the prevailing economic and market conditions. Group revenue was slightly ahead of 2022 at £15.46m (2022: £15.19m) and gross profit of the Group increased by £0.69m to £5.07m (2022: £4.38m). As a result of the continuing pressure on staff costs and overheads, operating profit of the Group increased by £0.35m to £0.98m (2022: £0.63m).

 

Inventory levels rose to £6.0m at the year-end (2022: £4.8m) as a result of the expansion of the portfolio of wines and champagnes offered and in order to ensure the continuity of supply to all our customers.

 

The Directors are very grateful to the dedication and hard work of all our staff through this very challenging period and to their continued commitment and flexibility in dealing with events outside the Company’s control.

Principal risks and uncertainties

 

The objective of the Group in managing its liquidity risk is to ensure that the Group can meet its financial obligations as and when they fall due. The Group finances its operations through a mixture of retained profit, bank overdraft, trade invoice discounting, loans and hire purchase agreements in relation to motor vehicles. The control of risk and efficient working capital management are integral to the Group's business and the directors regularly review such risks and performance. The Group has no significant concentration of credit risk, with exposure spread over many counter parties and customers.

 

The Group is exposed to currency exchange rate fluctuations due to a significant portion of its trade payables being denominated in non-sterling currencies. Purchases of wines are principally denominated in Euros and to a significantly lesser extent in Sterling, New Zealand dollars, US dollars and Australian dollars. Sales of wines are denominated in Sterling. The exposure to exchange rate fluctuations is managed by the conservative use of forward foreign exchange rate contracts.

 

The Group is exposed to commodity price risk on the price of wines. The Group does not manage its exposure to commodity price risk.

 

The Group's exposure to interest rate fluctuations is managed by review with the Group's bankers.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
Key performance indicators

 

The Directors closely monitor sales and market trends as well as the stock levels and lines required to support future sales.

 

The key performance indicators include turnover, gross profit, gross profit margin and inventory levels. These are discussed as part of the business review.

On behalf of the board

Mr C A Lea
Director
29 August 2024
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -

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

Principal activities

The principal activity of the Group continues to be that of wine merchants, importing and selling fine wines, both to wholesale and retail customers.

Directors

The Directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mr C A Lea
Mr H J G Field
Auditor

In accordance with the Company's articles, a resolution proposing that HJS (Reading) Limited be reappointed as auditor of the Group will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the Company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the Company is aware of that information.

Disclosure in the strategic report

In accordance with s414C(11) of the Companies Act 2006, the Company has prepared a strategic report for the year ended 31 December 2023. This includes a review of business, post balance sheet events and future developments and a description of the principal risks and uncertainties facing the Company.

On behalf of the board
Mr C A Lea
Director
29 August 2024
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -

The Directors are responsible for preparing the Annual 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 Group and Company, and of the profit or loss of the Group for that period. In preparing these financial statements, the Directors are required to:

 

 

The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Group’s and Company’s transactions and disclose with reasonable accuracy at any time the financial position of the Group and 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 Group and Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF LEA & SANDEMAN GROUP OF COMPANIES LIMITED
- 5 -
Opinion

We have audited the financial statements of Lea & Sandeman Group of Companies Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including 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:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 group's and parent 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 auditor’s report thereon. The Directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 our audit:

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF LEA & SANDEMAN GROUP OF COMPANIES LIMITED
- 6 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and their 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:

Responsibilities of Directors

As explained more fully in the Directors' responsibilities statement, 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 parent 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 auditor's 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.

Based on our understanding of the group and industry, we identified that the principal risks of non-compliance with laws and regulations related to breaches of UK regulatory principles, such as those governed by the relevant alcohol licencing authorities within the UK. We also considered the laws and regulations which have a direct impact on the financial statements such as the Companies Act 2006.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to management bias in accounting estimates and judgemental areas of the financial statements.

Audit procedures performed by the audit engagement team included:

 

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF LEA & SANDEMAN GROUP OF COMPANIES LIMITED
- 7 -

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or though collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 an auditor's 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.

Mark Rogers FCCA (Senior Statutory Auditor)
For and on behalf of HJS (Reading) Limited
30 August 2024
Chartered Accountants and Statutory Auditor
3 Richfield Place
Richfield Avenue
Reading
Berkshire
RG1 8EQ
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 8 -
2023
2022
Notes
£
£
Turnover
3
15,462,096
15,192,017
Cost of sales
(10,396,226)
(10,811,501)
Gross profit
5,065,870
4,380,516
Administrative expenses
(4,089,017)
(3,754,530)
Operating profit
4
976,853
625,986
Interest payable and similar expenses
8
(11,635)
(2,871)
Profit before taxation
965,218
623,115
Tax on profit
9
(331,194)
(60,005)
Profit for the financial year
634,024
563,110
Profit for the financial year is all attributable to the owners of the parent company.
Total comprehensive income for the year is all attributable to the owners of the parent company.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
GROUP BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 9 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
11
1,111,852
1,181,949
Tangible assets
12
202,102
162,003
1,313,954
1,343,952
Current assets
Stocks
16
6,049,475
4,881,781
Debtors
17
1,218,975
1,237,241
Cash at bank and in hand
4,882
2,104
7,273,332
6,121,126
Creditors: amounts falling due within one year
18
(4,761,363)
(4,241,951)
Net current assets
2,511,969
1,879,175
Total assets less current liabilities
3,825,923
3,223,127
Creditors: amounts falling due after more than one year
19
(43,670)
(36,498)
Net assets
3,782,253
3,186,629
Capital and reserves
Called up share capital
23
1,349,060
1,332,440
Share premium account
48,460
43,480
Capital redemption reserve
7,880
7,880
Profit and loss reserves
2,376,853
1,802,829
Total equity
3,782,253
3,186,629
The financial statements were approved by the board of directors and authorised for issue on 29 August 2024 and are signed on its behalf by:
Mr C A Lea
Director
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
COMPANY BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 10 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
11
105,930
111,815
Investments
13
2,500,000
2,500,000
2,605,930
2,611,815
Current assets
-
-
Creditors: amounts falling due within one year
18
(1,083,273)
(1,104,873)
Net current liabilities
(1,083,273)
(1,104,873)
Net assets
1,522,657
1,506,942
Capital and reserves
Called up share capital
23
1,349,060
1,332,440
Share premium account
48,460
43,480
Capital redemption reserve
7,880
7,880
Profit and loss reserves
117,257
123,142
Total equity
1,522,657
1,506,942
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
COMPANY BALANCE SHEET (CONTINUED)
AS AT
31 DECEMBER 2023
31 December 2023
- 11 -

As permitted by s408 Companies Act 2006, the Company has not presented its own profit and loss account and related notes. The Company’s profit for the year was £54,115 (2022 - £54,115 profit).

The financial statements were approved by the board of directors and authorised for issue on 29 August 2024 and are signed on its behalf by:
Mr C A Lea
Director
Company registration number 07107427 (England and Wales)
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 12 -
Share capital
Share premium account
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 January 2022
1,310,840
43,480
7,880
1,299,719
2,661,919
Year ended 31 December 2022:
Profit and total comprehensive income
-
-
-
563,110
563,110
Issue of share capital
23
21,600
-
0
-
-
21,600
Dividends
10
-
-
-
(60,000)
(60,000)
Balance at 31 December 2022
1,332,440
43,480
7,880
1,802,829
3,186,629
Year ended 31 December 2023:
Profit and total comprehensive income
-
-
-
634,024
634,024
Issue of share capital
23
16,620
4,980
-
-
21,600
Dividends
10
-
-
-
(60,000)
(60,000)
Balance at 31 December 2023
1,349,060
48,460
7,880
2,376,853
3,782,253
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 13 -
Share capital
Share premium account
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 January 2022
1,310,840
43,480
7,880
129,027
1,491,227
Year ended 31 December 2022:
Profit and total comprehensive income for the year
-
-
-
54,115
54,115
Issue of share capital
23
21,600
-
0
-
-
21,600
Dividends
10
-
-
-
(60,000)
(60,000)
Balance at 31 December 2022
1,332,440
43,480
7,880
123,142
1,506,942
Year ended 31 December 2023:
Profit and total comprehensive income
-
-
-
54,115
54,115
Issue of share capital
23
16,620
4,980
-
-
21,600
Dividends
10
-
-
-
(60,000)
(60,000)
Balance at 31 December 2023
1,349,060
48,460
7,880
117,257
1,522,657
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 14 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
46,232
58,176
Interest paid
(11,635)
(2,871)
Income taxes paid
(139,976)
(68,627)
Net cash outflow from operating activities
(105,379)
(13,322)
Investing activities
Purchase of tangible fixed assets
(34,239)
-
Net cash used in investing activities
(34,239)
-
Financing activities
Proceeds from issue of shares
21,600
21,600
Repayment of bank loans
(20,845)
(18,978)
Payment of finance leases obligations
37,608
(39,099)
Dividends paid to equity shareholders
(60,000)
(60,000)
Net cash used in financing activities
(21,637)
(96,477)
Net decrease in cash and cash equivalents
(161,255)
(109,799)
Cash and cash equivalents at beginning of year
(473,334)
(363,535)
Cash and cash equivalents at end of year
(634,589)
(473,334)
Relating to:
Cash at bank and in hand
4,882
2,104
Bank overdrafts included in creditors payable within one year
(639,471)
(475,438)
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 15 -
1
Accounting policies
Company information

Lea & Sandeman Group of Companies Limited (“the Company”) is a private company, limited by shares, domiciled and incorporated in England and Wales. The registered office is Brooks House 1, Albion Place, Maidstone, Kent, ME14 5DY.

 

The Group consists of Lea & Sandeman Group of Companies Limited and all of its subsidiaries.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the Group. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The Company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The Company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:

 

1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 16 -
1.3
Basis of consolidation

The consolidated financial statements incorporate those of Lea & Sandeman Group of Companies Limited and all of its subsidiaries (ie entities that the Group controls through its power to govern the financial and operating policies so as to obtain economic benefits). Subsidiaries acquired during the year are consolidated using the purchase method. Their results are incorporated from the date that control passes.

 

All financial statements are made up to 31 December 2023. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the Group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Entities in which the Group holds an interest and which are jointly controlled by the Group and one or more other venturers under a contractual arrangement are treated as joint ventures. In the Group financial statements, joint ventures are accounted for using the equity method.

1.4
Going concern

At the time of approving the financial statements, the Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus the Directors continue to adopt the going concern basis of accounting in preparing the financial statements.

As at the point of authorising the accounts, and for the foreseeable future, the directors consider the going concern assumption to still be appropriate. The directors acknowledge that given the currently rapidly changing business and social environment, there are likely to be significant unknown factors which may present themselves. Such factors are considered by the directors to represent a general inherent level of risk in relation to the going concern assumption albeit not quantifiable at this time.

1.5
Turnover

Turnover represents the amount invoiced by the Company for goods provided in the normal course of business, excluding value added tax. Turnover is recognised at the point when substantially all of the risks and rewards of ownership are transferred to the customer; normally this is when a sales invoice is raised.

 

Goods sold on En Primeur are recognised when the sale is made, as this is considered to be when the risks and rewards of ownership are transferred, as the customer is committed to the wine being purchased at that point.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 17 -
1.6
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 25 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

1.7
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following basis:

Leasehold Property
5% Straight Line
Fixtures & Fittings
15% Straight Line
Motor Vehicles
20% Straight Line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

1.8
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the Group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 18 -

An associate is an entity, being neither a subsidiary nor a joint venture, in which the Company holds a long-term interest and where the Company has significant influence. The Group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the Group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.9
Impairment of fixed assets

At each reporting period end date, the Group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 19 -
1.10
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.11
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.12
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the Group's balance sheet when the Group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 20 -
1.13
Equity instruments

Equity instruments issued by the Group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Group.

1.14
Derivatives

Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. The resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.

 

A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.

1.15
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The Group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.16
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the Company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.17
Retirement benefits

The Company operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the Company. The annual contributions payable are charged to the profit and loss account.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 21 -
1.18
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

1.19
Foreign exchange

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.

2
Judgements and key sources of estimation uncertainty

In the application of the Group’s accounting policies, the Directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Impairment of stock

Stocks are valued at the lower cost and net realisable value. Net realisable value includes, where necessary, provisions for slow moving and obsolete stocks. Due to the nature of the company's stock being bottles of wine, which have aged over a number of years, there is a provision for corkage of the bottle. Calculation of these provisions requires judgements to be made, which include forecast consumer demand, the promotional, competitive and economic environment and stock loss trends.

3
Turnover and other revenue

An analysis of the Group's turnover is as follows:

2023
2022
£
£
Turnover analysed by class of business
Wine Merchant
15,462,096
15,192,017
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 22 -
4
Operating profit
2023
2022
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange losses/(gains)
7,444
(12,233)
Depreciation of owned tangible fixed assets
24,100
41,398
Depreciation of tangible fixed assets held under finance leases
24,930
19,700
Loss on disposal of tangible fixed assets
1,386
-
Amortisation of intangible assets
70,097
70,097
Operating lease charges
558,865
612,240
5
Auditor's remuneration
2023
2022
Fees payable to the Company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the Group and Company
-
-
Audit of the financial statements of the Company's subsidiaries
18,861
17,028
6
Employees

The average monthly number of persons (including directors) employed by the Group and Company during the year was:

Group
Company
2023
2022
2023
2022
Number
Number
Number
Number
Head office
10
9
-
-
Sales
9
8
-
-
Warehouse
11
11
-
-
Retail shops
15
14
-
-
Total
45
42
-
0
-
0

Their aggregate remuneration comprised:

Group
Company
2023
2022
2023
2022
£
£
£
£
Wages and salaries
2,118,852
1,860,368
-
0
-
0
Social security costs
231,602
197,397
-
-
Pension costs
43,992
32,276
-
0
-
0
2,394,446
2,090,041
-
0
-
0
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 23 -
7
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
120,647
108,457
Company pension contributions to defined contribution schemes
6,500
2,436
127,147
110,893

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 0 (2022 - 1).

8
Interest payable and similar expenses
2023
2022
£
£
Other finance costs:
Interest on finance leases and hire purchase contracts
3,035
2,871
Other interest
8,600
-
Total finance costs
11,635
2,871
9
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
242,615
139,420
Adjustments in respect of prior periods
88,579
(79,415)
Total current tax
331,194
60,005

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2023
2022
£
£
Profit before taxation
965,218
623,115
Expected tax charge based on the standard rate of corporation tax in the UK of 23.52% (2022: 19.00%)
227,019
118,392
Tax effect of expenses that are not deductible in determining taxable profit
21,072
30,841
Change in unrecognised deferred tax assets
(21,956)
(656)
Effect of change in corporation tax rate
16,487
-
Under/(over) provided in prior years
88,572
(88,572)
Taxation charge
331,194
60,005
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 24 -
10
Dividends
2023
2022
Recognised as distributions to equity holders:
£
£
Interim paid
60,000
60,000
11
Intangible fixed assets
Group
Goodwill
£
Cost
At 1 January 2023 and 31 December 2023
1,760,294
Amortisation and impairment
At 1 January 2023
578,345
Amortisation charged for the year
70,097
At 31 December 2023
648,442
Carrying amount
At 31 December 2023
1,111,852
At 31 December 2022
1,181,949
Company
Goodwill
£
Cost
At 1 January 2023 and 31 December 2023
147,125
Amortisation and impairment
At 1 January 2023
35,310
Amortisation charged for the year
5,885
At 31 December 2023
41,195
Carrying amount
At 31 December 2023
105,930
At 31 December 2022
111,815
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 25 -
12
Tangible fixed assets
Group
Leasehold Property
Fixtures & Fittings
Motor Vehicles
Total
£
£
£
£
Cost
At 1 January 2023
169,863
325,081
245,979
740,923
Additions
-
0
-
0
90,515
90,515
Disposals
-
0
-
0
(55,812)
(55,812)
At 31 December 2023
169,863
325,081
280,682
775,626
Depreciation and impairment
At 1 January 2023
102,871
319,611
156,438
578,920
Depreciation charged in the year
4,030
2,080
42,920
49,030
Eliminated in respect of disposals
-
0
-
0
(54,426)
(54,426)
At 31 December 2023
106,901
321,691
144,932
573,524
Carrying amount
At 31 December 2023
62,962
3,390
135,750
202,102
At 31 December 2022
66,992
5,470
89,541
162,003
The company had no tangible fixed assets at 31 December 2023 or 31 December 2022.

The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.

Group
Company
2023
2022
2023
2022
£
£
£
£
Motor Vehicles
131,160
65,575
-
0
-
0
13
Fixed asset investments
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Investments in subsidiaries
14
-
0
-
0
2,500,000
2,500,000
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
13
Fixed asset investments
(Continued)
- 26 -
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 January 2023 and 31 December 2023
2,500,000
Carrying amount
At 31 December 2023
2,500,000
At 31 December 2022
2,500,000
14
Subsidiaries

Details of the Company's subsidiaries at 31 December 2023 are as follows:

Name of undertaking
Address
Class of
% Held
shares held
Direct
Lea & Sandeman Company Limited
1
Ordinary
100.00
The Barnes Wine Company Limited
1
Ordinary
100.00
The Gate Wine Company Limited
1
Ordinary
100.00
1
170 Fulham Road, London, UK, SW10 9PR
15
Financial instruments
Group
Company
2023
2022
2023
2022
£
£
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
1,108,080
1,125,581
n/a
n/a
Carrying amount of financial liabilities
Measured at amortised cost
3,812,363
3,476,926
n/a
n/a

As permitted by the reduced disclosure framework within FRS 102, the Company has taken advantage of the exemption from disclosing the carrying amount of certain classes of financial instruments, denoted by 'n/a' above.

16
Stocks
Group
Company
2023
2022
2023
2022
£
£
£
£
Finished goods and goods for resale
6,049,475
4,881,781
-
0
-
0
LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 27 -
17
Debtors
Group
Company
2023
2022
2023
2022
Amounts falling due within one year:
£
£
£
£
Trade debtors
774,627
643,924
-
0
-
0
Other debtors
333,453
481,657
-
0
-
0
Prepayments and accrued income
110,895
111,660
-
0
-
0
1,218,975
1,237,241
-
-
18
Creditors: amounts falling due within one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Bank loans and overdrafts
20
659,897
494,723
-
0
-
0
Obligations under finance leases
21
39,624
28,391
-
0
-
0
Trade creditors
1,917,369
1,594,659
-
0
-
0
Amounts owed to group undertakings
-
0
-
0
243,273
194,873
Corporation tax payable
339,794
148,576
-
0
-
0
Other taxation and social security
652,876
652,947
-
-
Other creditors
840,220
910,000
840,000
910,000
Accruals and deferred income
311,583
412,655
-
0
-
0
4,761,363
4,241,951
1,083,273
1,104,873

Obligations under finance leases are secured against the assets to which it relates.

19
Creditors: amounts falling due after more than one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Bank loans and overdrafts
20
-
0
20,832
-
0
-
0
Obligations under finance leases
21
43,670
15,666
-
0
-
0
43,670
36,498
-
-

 

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 28 -
20
Loans and overdrafts
Group
Company
2023
2022
2023
2022
£
£
£
£
Bank loans
20,426
40,117
-
0
-
0
Bank overdrafts
639,471
475,438
-
0
-
0
659,897
515,555
-
-
Payable within one year
659,897
494,723
-
0
-
0
Payable after one year
-
0
20,832
-
0
-
0

The bank loans are secured by a fixed and floating charge over the Company's assets, supported personal guarantees and guarantees from the parent company and fellow subsidiaries.

21
Finance lease obligations
Group
Company
2023
2022
2023
2022
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
44,871
30,183
-
0
-
0
In two to five years
50,887
16,822
-
0
-
0
95,758
47,005
-
-
Less: future finance charges
(12,464)
(2,948)
-
0
-
0
83,294
44,057
-
0
-
0

Finance lease payments represent rentals payable by the Company or Group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 3 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

22
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
43,992
32,276

 

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 29 -
23
Share capital
Group and company
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of £1 each
1,349,060
1,332,440
1,349,060
1,332,440

The Company has one class of ordinary shares which carry no right to fixed income. These shares carry full voting rights.

During the year the Company issued 16,620 £1 ordinary shares for £1 per share.

24
Financial commitments, guarantees and contingent liabilities

There is right to group set off and a composite company unlimited multilateral guarantee given by Lea & Sandeman Company Limited, Lea & Sandeman Group of Companies Limited, The Barnes Wine Company Limited and The Gate Wine Company Limited to secure the bank liabilities across the group via a fixed and floating charge.

 

The bank has a first legal charge over the freehold property at 170 Fulham Road and 15 Cavaye Place, properties which are owned by Mr C A Lea, a director, personally.

25
Operating lease commitments
Lessee

At the reporting end date the Group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2023
2022
2023
2022
£
£
£
£
Within one year
291,368
230,015
-
-
Between two and five years
395,500
237,816
-
-
In over five years
65,646
83,417
-
-
752,514
551,248
-
-
26
Related party transactions
Remuneration of key management personnel

The Directors consider Key Management to be the same as the Directors. Therefore Key Management Remuneration is displayed in note 6.

LEA & SANDEMAN GROUP OF COMPANIES LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
26
Related party transactions
(Continued)
- 30 -
Other information

The Company has taken advantage of the exemption available under FRS 102 paragraph 33.1a whereby it has not disclosed transactions with any wholly owned subsidiary undertaking of the Group.

 

Group

 

Mr C A Lea

 

Mr C A Lea is a director and shareholder of the Company.

 

At the year end the Group owed Mr C A Lea a total of £840,000 (2022: £910,000). During the year, repayments of £70,000 (2022: £70,001) were made to the director. No advances by the director were received by the Group.

 

Mr C A Lea has provided a personal guarantee to the bank on behalf of the Group.

 

Elephant Storage Limited

 

Elephant Storage Limited is a Company under common control.

 

During the year £14,768 (2021: £15,490) was charged to the related party.

 

The amount owed at the year end by the Group to Elephant Storage Limited totaled £468,703 (2021: £483,471).

 

Company

 

Mr C A Lea

 

Mr C A Lea is a director and shareholder of the Company.

 

At the year end the Company owed Mr C A Lea a total of £840,000 (2022: £910,000). During the year, repayments of £70,000 (2022: £70,001) were made to the director. No advances by the director were received by the Company.

 

Mr C A Lea has provided a personal guarantee to the bank on behalf of the Company.

27
Controlling party

The ultimate controlling party is Charles Lea due to his majority shareholding in the Company.

2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.200Mr Patrick Sandeman (DECEASED)Mr C A LeaMr H J G FieldMrs K G 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