The Maldon Garden Centre Limited |
Notes to the Accounts |
for the year ended 31 December 2023 |
|
1 |
Accounting policies |
|
|
Basis of preparation |
|
The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard). |
|
|
Turnover |
|
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. |
|
|
Intangible fixed assets |
|
Intangible fixed assets are measured at cost less accumulative amortisation and any accumulative impairment losses. |
|
|
Tangible fixed assets |
|
Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: |
|
|
Leasehold Property |
10% per annum reducing balance basis |
|
Plant and machinery |
15 - 20% per annum reducing balance basis |
|
Motor Vehicles |
20% per annum reducing balance basis |
|
|
Stocks |
|
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised. |
|
|
Debtors |
|
Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
|
|
Creditors |
|
Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
|
|
Taxation |
|
A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted. |
|
|
Provisions |
|
Provisions (ie liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
|
|
2 |
Employees |
2023 |
|
2022 |
|
|
|
Average number of persons employed by the company |
21 |
|
19 |
|
|
|
|
|
|
|
|
|
|
3 |
Intangible fixed assets |
£ |
|
Goodwill: |
|
|
Cost |
|
At 1 January 2023 |
305,000 |
|
At 31 December 2023 |
305,000 |
|
|
|
|
|
|
|
|
|
|
Amortisation |
|
At 1 January 2023 |
244,000 |
|
Provided during the year |
30,500 |
|
At 31 December 2023 |
274,500 |
|
|
|
|
|
|
|
|
|
|
Net book value |
|
At 31 December 2023 |
30,500 |
|
At 31 December 2022 |
61,000 |
|
|
|
|
|
|
|
|
|
|
Goodwill is being written off in equal annual instalments over its estimated economic life of ten years. |
|
4 |
Tangible fixed assets |
|
|
Leasehold Property |
|
Plant and machinery etc |
|
Motor vehicles |
|
Total |
£ |
£ |
£ |
£ |
|
Cost |
|
At 1 January 2023 |
54,686 |
|
139,338 |
|
11,858 |
|
205,882 |
|
Additions |
19,454 |
|
48,577 |
|
7,867 |
|
75,898 |
|
Disposals |
- |
|
- |
|
(6,858) |
|
(6,858) |
|
At 31 December 2023 |
74,140 |
|
187,915 |
|
12,867 |
|
274,922 |
|
|
|
|
|
|
|
|
|
|
Depreciation |
|
At 1 January 2023 |
23,836 |
|
69,648 |
|
6,418 |
|
99,902 |
|
Charge for the year |
14,279 |
|
17,762 |
|
2,272 |
|
34,313 |
|
On disposals |
- |
|
- |
|
(5,418) |
|
(5,418) |
|
At 31 December 2023 |
38,115 |
|
87,410 |
|
3,272 |
|
128,797 |
|
|
|
|
|
|
|
|
|
|
Net book value |
|
At 31 December 2023 |
36,025 |
|
100,505 |
|
9,595 |
|
146,125 |
|
At 31 December 2022 |
30,850 |
|
69,690 |
|
5,440 |
|
105,980 |
|
|
5 |
Debtors |
2023 |
|
2022 |
£ |
£ |
|
|
Trade debtors |
26,982 |
|
26,802 |
|
Other debtors |
37,986 |
|
- |
|
|
|
|
|
|
64,968 |
|
26,802 |
|
|
|
|
|
|
|
|
|
|
6 |
Creditors: amounts falling due within one year |
2023 |
|
2022 |
£ |
£ |
|
|
Obligations under finance lease and hire purchase contracts |
4,317 |
|
4,317 |
|
Trade creditors |
429,544 |
|
339,376 |
|
Parent Company - J K Holdings Ltd |
34,996 |
|
149,546 |
|
Group company - Le Bouchon Hotel Ltd |
|
5,403 |
|
3,015 |
|
Group company - Essex Restaurants Ltd |
3,797 |
|
3,797 |
|
Other taxes and social security costs |
23,190 |
|
11,321 |
|
Directors loan - Mr and Mrs S Loveday |
82,504 |
|
72,504 |
|
Other creditors |
13,515 |
|
9,466 |
|
|
|
|
|
|
597,266 |
|
593,342 |
|
|
|
|
|
|
|
|
|
|
7 |
Creditors: amounts falling due after one year |
2023 |
|
2022 |
£ |
£ |
|
|
Bank loans (Secured) |
112,634 |
|
- |
|
Obligations under finance lease and hire purchase contracts |
3,237 |
|
7,554 |
|
|
|
|
|
|
115,871 |
|
7,554 |
|
|
|
|
|
|
|
|
|
|
8 |
Related party transactions |
|
|
The loans from the directors are repayable under terms to be agreed. |
|
|
The Company paid a rent of £60,000 (see note below) and a Management Charge of £300,000 |
|
to it Parent Company in the year - (2022: Rent £60,000 and £180,000 Management Charge). |
|
9 |
Controlling party |
|
|
The Company is under the control of JK Holdings Limited (the Parent Company), by virtue of it's ownership of 85% of the issued Ordinary share capital. |
|
|
10 |
Rent of premises |
|
|
As from 1 January 2016 the company has an arrangement with its Parent Company to pay rent for the garden centre premises. The company pays a rent of £60,000 + VAT per annum to JK Holdings Ltd. |
|
11 |
Operating lease commitments |
|
|
Total future minimum lease payments under non-cancellable operating leases are as follows:- |
|
|
|
|
|
|
|
2023 |
|
2022 |
£ |
£ |
|
Operating leases which expire: |
|
Within one year |
1,493 |
|
9,054 |
|
2 - 5 years |
2,458 |
|
18,108 |
|
|
|
|
|
|
|
3,951 |
|
27,162 |
|
|
|
|
|
|
|
|
|
12 |
Bank Loan and Registration of Charge |
|
|
A Fixed and Floating Charge was registered against the Company assets by Natwest Bank PLC on 21 September 2015 and further supported by a Debenture and Charge over the assets of the Holding Company. |
|
The Company entered into a new Bank Loan facility provided by Nat West Bank in the year to assist with |
|
the development of Claremont Nurseries. The terms were staged draw downs to a maximum facilty |
|
of £250,000 over 15 years with interest payable at 3.25% over Base Rate. |
|
The Bank loan repayments started in 2024. |
|
13 |
Other information |
|
|
The Maldon Garden Centre Limited is a private company limited by shares and incorporated in England. Its registered office is: |
|
Victoria House |
|
88 The Causeway |
|
Maldon |
|
Essex |
|
CM9 4LL |