(1) General Information
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The company is a private company limited by shares and is registered in England and Wales. Registration number 07842881. The address of the registered office is Morvah, Shrubberies Hill, Porthleven, Helston, Cornwall, TR13 9BJ. |
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(2) Significant Accounting Policies
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Basis of Preparation
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The financial statements have been prepared on the historical cost basis and in accordance with the FRS 102 Section 1A Small Entities Â- The Financial Reporting Standard applicable in the UK and Republic of Ireland and the the Companies Act 2006.
The presentation and functional currency of the company is the pound sterling. The financial statements are presented in sterling pound (£) unless stated otherwise. |
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Turnover
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Turnover represents net sales of goods and services, excluding value added tax.
Other income includes grants receivable. These are differentiated as either revenue or capital in nature. Revenue grants are recognised when receivable to match the corresponding expenditure. Local Government grants are treated as deferred credits and credited to the profit and loss account over the remaining period of the lease where they relate to leasehold property improvements. |
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Intangible Fixed Assets and Amortisation Goodwil
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Positive purchased goodwill arising on acquisition is capitalised, classified as an asset on the balance sheet and amortised over its estimated useful life up to a maximum of 20 years. The length of time is presumed to be the maximum useful life of purchased goodwill because it is difficult to make projections beyond this period. Goodwill was reviewed for impairment at the end of the first full financial year following each acquisition and subsequently as and when necessary if circumstances emerge that indicate that the carrying value may not be recoverable. |
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Tangible Fixed Assets and Depreciation
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At each reporting date the company reviews the carrying value of its 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. Where the recoverable amount of an asset is less than the carrying amount, an impairment loss is recognised immediately in the Profit and Loss Account. Impairment losses are reversed in a subsequent period if, and only if, the reasons for the impairment loss have ceased to apply.
Depreciation over the period of the lease is applied to Leasehold property and improvements. | Asset class and depreciation rate | Land and Buildings | | Plant and Machinery | 20% reducing balance | Short Leasehold Properties | | Investment Properties | | Long Leasehold Properties | | Commercial Vehicles | | Fixtures and Fittings | 20% reducing balance | Equipment | 25% reducing balance | Motor Cars | |
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Stocks
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Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items |
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Leasing and Hire Purchase Contracts
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Rentals paid under operating leases are charged to profit and loss on a straight line basis over the period of the lease. |
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Taxation
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Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.
Current or deferred taxation assets and liabilities are not discounted.
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.
Timing differences arise from the inclusion of income and expenses in tax assessments in periods from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.
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. |
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Pensions
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The company operates two defined contribution pension schemes. Contributions payable to the company's pension schemes are charged to profit or loss in the period to which they relate. |
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(3) Employees
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During the year, the average number of employees including director was 26 (2023 : 27). |
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(4) Intangible fixed assets
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| Goodwill | | £ | Cost | | As at 01 February 2023 | 725,766 | As at 31 January 2024 | 725,766 | Amortisation | | As at 01 February 2023 | 381,003 | For the year | 54,457 | As at 31 January 2024 | 435,460 | Net book value | | As at 31 January 2024 | 290,306 | As at 31 January 2023 | 344,763 |
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(5) Tangible fixed assets
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| Leasehold Properties | Plant and Machinery | Fixtures and Fittings | Equipment | Totals | | £ | £ | £ | £ | £ | Cost | | | | | | As at 01 February 2023 | 66,515 | 117,171 | 90,686 | 4,926 | 279,298 | Additions | - | 8,191 | 625 | 2,877 | 11,693 | Disposals | - | (2,454) | (1,998) | - | (4,452) | As at 31 January 2024 | 66,515 | 122,908 | 89,313 | 7,803 | 286,539 | Depreciation | | | | | | As at 01 February 2023 | 39,290 | 63,971 | 58,216 | 3,024 | 164,501 | For the year | 6,234 | 12,141 | 6,395 | 1,195 | 25,965 | Write off on disposals | - | (1,767) | (1,506) | - | (3,273) | As at 31 January 2024 | 45,524 | 74,345 | 63,105 | 4,219 | 187,193 | Net book value | | | | | | As at 31 January 2024 | 20,992 | 48,564 | 26,207 | 3,584 | 99,346 | As at 31 January 2023 | 27,225 | 53,200 | 32,470 | 1,902 | 114,797 |
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(6) Inventories
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| | | 2024 | | 2023 | | £ | | £ | | Stock | 2,500 | | 3,000 | | | | | | 2,500 | | 3,000 |
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(7) Debtors
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Amounts falling due within one year
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| | | 2024 | | 2023 | | £ | | £ | | Trade debtors | 1,413 | | 1,584 | Other debtors | 42,150 | | 23,684 | Prepayments and accrued income | 14,408 | | 13,846 | | 57,970 | | 39,115 |
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(8) Creditors: Amounts falling due within one year
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| | | 2024 | | 2023 | | £ | | £ | | Trade creditors | 19,962 | | 34,687 | Bank loans and overdrafts | 6,899 | | 13,172 | | | | | Other taxes and social security | 29,767 | | 23,262 | Other creditors | 24,967 | | 22,823 | Accruals and deferred income | 5,841 | | 15,105 | | 87,436 | | 109,049 |
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(9) Creditors: Amounts falling due after more than one year
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| | | 2024 | | 2023 | | £ | | £ | | Bank loans and overdrafts | 79,399 | | 172,004 | | | | | Other creditors | - | | 416 | | 79,399 | | 172,420 |
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(10) Provision for liabilities
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| | | 2024 | | 2023 | | £ | | £ | | Other provisions | 21000 | | 17,800 | | | | | | 21,000 | | 17,800 |
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(11) Share capital and reserves
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| Alloted, called up and fully paid: | 2024 | | 2023 | | £ | | £ | | 100 (2023 : 100) Ordinary of £ 1 each | 100 | | 100 | | 100 | | 100 | | | | Retained earnings | | | 2024 | | | | £ | At 1 February 2023 | | | 856,170 | Profit of the year | | | 50,915 | | | | | At 31 January 2024 | | | 907,085 | |
Retained earnings
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Called up and fully paid: | Retained earnings | | | 2024 | | | | £ | | At 1 February 2023 | | | 856,170 | Profit of the year | | | 50,915 | | | | | At 31 January 2024 | | | 907,085 | |
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(12) Other Commitment
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At 31 January 2024, the company had total commitments under non-cancellable operating leases over the remaining life of those leases of £196,882 (2023 : £250,611). |
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(13) Related party transactions
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During the year, remuneration amounting to £18,066 (2023 : £17,688) was paid to directors, Mr D J and Mrs L A Page. |
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(14) Directors advances, credit and guarantees
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Included within other debtors are the following loans advanced to directors: Mr David Page £17,078 (2023: 11,842) Mrs Lucy Page £17,078 (2023: 11,842) Further advances of £6,644 in aggregate were made to each director during the year. Repayments of £1,408 were received from each director. Interest has been charged on the loans at the official rate. |
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(15) Secured Creditors
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As at 31 January 2024, the Company had bank loans amounting to £86,298 (2023Â £185,176) that were secured by fixed and floating charges, a debenture over the company assets, the director's home and a personal guarantee from the directors. |
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(16) Goodwill
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Goodwill was initially purchased in connection with the acquisition of a business in 2012. Further goodwill was purchased on 7 January 2019 in connection with the acquisition of the business known as Lakeside Cafe. |
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