Company Registration No. 12915251 (England and Wales)
MUSIC VENUES (TRADING) LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023
PAGES FOR FILING WITH REGISTRAR
MUSIC VENUES (TRADING) LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
MUSIC VENUES (TRADING) LIMITED
BALANCE SHEET
- 1 -
2023
2022
as restated
Notes
£
£
£
£
Fixed assets
Tangible assets
4
1,250
Current assets
Stocks
5
-
498,600
Debtors
6
1,076,510
79,282
Cash at bank and in hand
7,983
1,076,510
585,865
Creditors: amounts falling due within one year
7
(869,489)
(588,479)
Net current assets/(liabilities)
207,021
(2,614)
Total assets less current liabilities
207,021
(1,364)
Provisions for liabilities
(132,854)
Net assets/(liabilities)
74,167
(1,364)
Capital and reserves
Called up share capital
8
1
1
Profit and loss reserves
74,166
(1,365)
Total equity
74,167
(1,364)
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved and signed by the director and authorised for issue on 11 October 2024
D Madden
Director
Company Registration No. 12915251
MUSIC VENUES (TRADING) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023
- 2 -
1
Accounting policies
Company information
Music Venues (Trading) Limited is a private company limited by shares incorporated in England and Wales. The registered office is Electric Brixton Town Hall Parade, Brixton Hill, London, United Kingdom, SW2 1RJ.
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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. 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 results of the company are included in the consolidated accounts of Electric Group Holdings Limited, which are publicly available from Companies House.
1.2
Going concern
On 30 May 2023 the trade and assets of Music Venues (Trading) Limited were hived across to a group company, MVL Properties (2015) Limited. Following the transfer of the trade and assets, it is the directors intention, following the final settlement of outstanding liabilities, that the company will become dormant. In the meantime, ttruehe company will continue to be supported by the connected companies and therefore at the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business, and is shown net of VAT and other sales related taxes.
Revenue from contracts is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:
Computers
3 years 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 credited or charged to profit or loss.
In the prior period, the company began developing a property a fellow group undertaking owns the freehold to. A prior year reclassification has been raised to recognise this work in progress within stock for amounts of £498,600.
MUSIC VENUES (TRADING) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 3 -
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss.
1.6
Stocks
Stocks are stated at the lower of cost and net realisable value. Work in progress is valued on the basis of cost of materials, labour and direct site expenses.
1.7
Financial instruments
The company 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 company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with 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 company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, loans from fellow group companies, 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.
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.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs.
MUSIC VENUES (TRADING) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 4 -
1.9
Provisions
Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.
1.10
Restatement of prior year balances
In the prior period, the company began overseeing developing the development of a property to which a fellow group undertaking owns the freehold. A prior year reclassification has been raised to recognise this work in progress within stock for amounts of £498,600.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the director is 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.
Recoverability of intercompany balances
Amounts owed from group undertakings are assessed for the recoverability of the balance at the year end. The directors have assessed the recoverability of the balance on the basis of cash requirements to settle remaining liabilities for which they will need group support. Future trading potential and forecasts have been reviewed and the directors consider the balance to be recoverable.
Provisions
A provision has been recognised in the period for amounts of £132,854 (2022: £Nil) being the best estimate of the directors for additional amounts payable in relation to the property development works undertaken during the period. The directors have reviewed available information, including information from suppliers in determining the figure.
3
Employees
There were no employees during the current year or previous period.
MUSIC VENUES (TRADING) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 5 -
4
Tangible fixed assets
Computers
£
Cost
At 1 June 2022 as restated
1,250
Disposals
(1,250)
At 31 May 2023
Depreciation and impairment
At 1 June 2022 and 31 May 2023
Carrying amount
At 31 May 2023
At 31 May 2022 as restated
1,250
5
Stocks
2023
2022
As restated
£
£
Stocks
-
498,600
6
Debtors
2023
2022
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
1,076,510
Other debtors
77,899
Prepayments and accrued income
1,383
1,076,510
79,282
7
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
59,807
Amounts owed to group undertakings
528,342
Taxation and social security
869,489
Accruals and deferred income
330
869,489
588,479
MUSIC VENUES (TRADING) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 6 -
8
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
1
1
1
1
9
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
The senior statutory auditor was Gary Miller.
The auditor was HW Fisher LLP.
10
Parent company
The company's immediate parent company is Electric Group Holdings Limited. In the opinion of the Director, Jacob Lewis is the ultimate controlling party.