Registration number:
Sea Gems Limited
for the Year Ended 31 December 2023
Sea Gems Limited
Contents
Abridged Balance Sheet |
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Notes to the Abridged Financial Statements |
Sea Gems Limited
(Registration number: 744915)
Abridged Balance Sheet as at 31 December 2023
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2022 |
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Fixed assets |
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Intangible assets |
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Tangible assets |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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Prepayments and accrued income |
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Creditors: Amounts falling due within one year |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
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Provisions for liabilities |
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Accruals and deferred income |
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Net assets |
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Capital and reserves |
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Allotted, called up and fully paid ordinary share capital |
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Profit and loss account |
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Total equity |
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Sea Gems Limited
(Registration number: 744915)
Abridged Balance Sheet as at 31 December 2023
For the financial year ending 31 December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.
All of the company’s members have consented to the preparation of an Abridged Balance Sheet in accordance with Section 444(2A) of the Companies Act 2006.
Approved and authorised for issue by the
.........................................
Director
Sea Gems Limited
Notes to the Abridged Financial Statements for the Year Ended 31 December 2023
General information |
The company is a private company limited by share capital, incorporated in England.
The address of its registered office is:
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These abridged financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
Basis of preparation
These abridged financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.
Going concern
The Directors continually review the business operations and are confident, given the strong core business, available cash reserves, and continued support of the Directors and their close family, that viability can be maintained, and the accounts are prepared on a going concern basis accordingly.
However, as future conditions or events, such as Covid-19, coupled with the cost of living crisis, inflation and the future economic repercussions, cannot be predicted, this is not a guarantee as to the company’s ability to continue as a going concern.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
Foreign currency transactions and balances
Monetary assets and liabilities denominated in a foreign currency at the balance sheet date are translated using the closing rate.
Sea Gems Limited
Notes to the Abridged Financial Statements for the Year Ended 31 December 2023
2 |
Accounting policies (continued) |
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
Current tax represents the amount of tax payable or receivable in respect of the taxable profit (or loss) for the current or past reporting periods. It is measured at the amount expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Deferred tax represents the future tax consequences of transactions and events recognised in the financial statements of current and previous periods. It is recognised in respect of all timing differences, with certain exceptions. Timing differences are differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expense in tax assessments in periods different from those in which they are recognised in the financial statements. 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 balance sheet date that are expected to apply to the reversal of timing differences. Deferred tax on revalued non-depreciable tangible fixed assets and investment properties is measured using the rates and allowances that apply to the sale of the asset.
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is provided on tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:
Asset class |
Depreciation method and rate |
Plant & machinery |
25% reducing balance |
Motor vehicles |
20% straight line / over the lease term |
Buildings |
No depreciation is provided on buildings as the charge is considered immaterial |
Intangible assets
Intangible assets acquired separately from a business are capitalised at cost.
Amortisation
Intangible assets are amortised on a straight line basis over their useful lives. The useful lives of intangible assets are as follows:
Asset class |
Amortisation method and rate |
Designs & trademarks |
5 - 10 years straight line |
Software |
10 years straight line |
Sea Gems Limited
Notes to the Abridged Financial Statements for the Year Ended 31 December 2023
2 |
Accounting policies (continued) |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits.
Trade debtors
Trade debtors are amounts due from customers for goods sold in the ordinary course of business.
Debtors with no stated interest rate and receivable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in administrative expenses.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.
Creditors with no stated interest rate and payable within one year are recorded at transaction price.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Sea Gems Limited
Notes to the Abridged Financial Statements for the Year Ended 31 December 2023
2 |
Accounting policies (continued) |
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Sea Gems Limited
Notes to the Abridged Financial Statements for the Year Ended 31 December 2023
Intangible assets |
Total |
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Cost |
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At 1 January 2023 |
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Disposals |
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At 31 December 2023 |
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Amortisation |
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At 1 January 2023 |
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Amortisation charge |
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Amortisation eliminated on disposals |
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At 31 December 2023 |
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Carrying amount |
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At 31 December 2023 |
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At 31 December 2022 |
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Tangible assets |
Total |
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Cost |
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At 1 January 2023 |
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Additions |
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Disposals |
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At 31 December 2023 |
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Depreciation |
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At 1 January 2023 |
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Charge for the year |
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Eliminated on disposal |
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At 31 December 2023 |
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Carrying amount |
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At 31 December 2023 |
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At 31 December 2022 |
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Sea Gems Limited
Notes to the Abridged Financial Statements for the Year Ended 31 December 2023
Debtors |
Debtors includes trade debtors of £79,593 (2022 - £117,197) and other debtors of £280,652 (2022 - £285,592).
Other Debtors includes £186,131 (2022 - £194,883) due after more than one year.
Creditors |
Creditors: amounts falling due within one year
Creditors include net obligations under finance lease contracts which are secured of £7,638 (2022 - £14,649).
Creditors include an unsecured CBILS bank loan of £nil (2022 - £31,818).
Creditors: amounts falling due after more than one year
Creditors include an unsecured CBILS bank loan of £nil (2022 - £74,242).
Creditors include allotted, called up, and fully paid redeemable preference shares of £820,000 (2022 - £820,00). Dividends are payable at 4.75%. The redeemable preference shares are redeemable at either the option of the holder or the company at £1 per share and, if not redeemed before, shall be redeemed in full on 31 December 2030 unless otherwise agreed.
Financial commitments, guarantees and contingencies |
Amounts not provided for in the balance sheet
The total amount of financial commitments not included in the balance sheet is £
Related party transactions |
Transactions with directors and their close family |
Included in creditors falling due after more than one year are redeemable preference shares, as referred to above, issued to directors.
Directors and their close family advanced unsecured loans to the company at interest rates of 4% (2022 - 0.5%). At the balance sheet date the amount due to directors and their close family was £343,272 (2022 - £359,440), of which £342,945 (2022 - £342,945) falls due after more than one year and £327 (2022 - £16,495) falls due within one year.