Touchstone Retail Limited 06138311 false 2023-02-01 2024-01-31 2024-01-31 The principal activity of the company is concession retailing of fashion products. Digita Accounts Production Advanced 6.30.9574.0 true true 06138311 2023-02-01 2024-01-31 06138311 2024-01-31 06138311 bus:OtherShareClass1 2024-01-31 06138311 core:RetainedEarningsAccumulatedLosses 2024-01-31 06138311 core:ShareCapital 2024-01-31 06138311 core:CurrentFinancialInstruments 2024-01-31 06138311 core:CurrentFinancialInstruments core:WithinOneYear 2024-01-31 06138311 core:FurnitureFittings 2024-01-31 06138311 core:OfficeEquipment 2024-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity 2024-01-31 06138311 bus:SmallEntities 2023-02-01 2024-01-31 06138311 bus:Audited 2023-02-01 2024-01-31 06138311 bus:FilletedAccounts 2023-02-01 2024-01-31 06138311 bus:SmallCompaniesRegimeForAccounts 2023-02-01 2024-01-31 06138311 bus:RegisteredOffice 2023-02-01 2024-01-31 06138311 bus:CompanySecretary1 2023-02-01 2024-01-31 06138311 bus:Director2 2023-02-01 2024-01-31 06138311 bus:OtherShareClass1 2023-02-01 2024-01-31 06138311 bus:PrivateLimitedCompanyLtd 2023-02-01 2024-01-31 06138311 bus:Agent1 2023-02-01 2024-01-31 06138311 core:RetainedEarningsAccumulatedLosses 2023-02-01 2024-01-31 06138311 core:ShareCapital 2023-02-01 2024-01-31 06138311 core:FurnitureFittings 2023-02-01 2024-01-31 06138311 core:OfficeEquipment 2023-02-01 2024-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity 2023-02-01 2024-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity core:RenderingOrReceivingServices 2023-02-01 2024-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity core:SaleOrPurchaseGoods 2023-02-01 2024-01-31 06138311 core:UKTax 2023-02-01 2024-01-31 06138311 countries:EnglandWales 2023-02-01 2024-01-31 06138311 2023-01-31 06138311 core:RetainedEarningsAccumulatedLosses 2023-01-31 06138311 core:ShareCapital 2023-01-31 06138311 core:FurnitureFittings 2023-01-31 06138311 core:OfficeEquipment 2023-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity 2023-01-31 06138311 2022-02-01 2023-01-31 06138311 2023-01-31 06138311 bus:OtherShareClass1 2023-01-31 06138311 core:CurrentFinancialInstruments 2023-01-31 06138311 core:CurrentFinancialInstruments core:WithinOneYear 2023-01-31 06138311 core:FurnitureFittings 2023-01-31 06138311 core:OfficeEquipment 2023-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity 2023-01-31 06138311 core:RetainedEarningsAccumulatedLosses 2022-02-01 2023-01-31 06138311 core:ShareCapital 2022-02-01 2023-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity 2022-02-01 2023-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity core:RenderingOrReceivingServices 2022-02-01 2023-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity core:SaleOrPurchaseGoods 2022-02-01 2023-01-31 06138311 core:UKTax 2022-02-01 2023-01-31 06138311 2022-01-31 06138311 core:RetainedEarningsAccumulatedLosses 2022-01-31 06138311 core:ShareCapital 2022-01-31 06138311 core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntity 2022-01-31 iso4217:GBP xbrli:pure xbrli:shares

Registration number: 06138311

Touchstone Retail Limited

Annual Report and Audited Financial Statements

for the Year Ended 31 January 2024

 

Touchstone Retail Limited

Contents

Company Information

1

Director's Report

2 to 4

Balance Sheet

5

Statement of Changes in Equity

6

Notes to the Financial Statements

7 to 13

 

Touchstone Retail Limited

Company Information

Director

Mr R Sahni

Company secretary

Mrs H Sahni

Registered office

1 Lisson Courtyard
50 Lisson Street
Marylebone
London
NW1 5DF

Bankers

National Westminster Bank Plc
Ealing Branch
1 The Mall
Ealing
London
W5 2PL

Auditors

Mehta & Tengra
Chartered Accountants
Statutory Auditors
9 Berners Place
London
W1T 3AD

 

Touchstone Retail Limited

Director's Report for the Year Ended 31 January 2024

The director presents his report and the financial statements for the year ended 31 January 2024.

Incorporation

The company was incorporated and commenced trading on 5 March 2007.

Director of the company

The director who held office during the year was as follows:

Mr R Sahni

Principal activity

The principal activity of the company is concession retailing of fashion products.

Review of business

The results for the year and financial position of the company are shown in the financial statements.
During the year there was a significant increase in pilferage from the concession stores, as highlighted in recent press reports.

Future developments
Ongoing discussions to secure new concessions are advanced which may result in the possibility of increased outlets.

Financial instruments
The company financial instruments include bank balances,trade creditors and inter-company financing as well as higher yielding term deposits.Day to day operations continue to be funded through cash flow and from the reserves within the business.

Company policy on payment of creditors
The Company 's current policy concerning the payment of trade creditors is to:

- Pay in accordance with the Company's contractual and other legal obligations.

- Agree in specific cases payment terms with a supplier that reflect the particular nature of a client contract.

- Ensure that regular suppliers are aware of our standard payment terms and that these are respected and acted upon.

Related party transactions
Other than stated in note 13, none of the directors had any other material interests at any time during the year in any contracts of significance in relation to the business of the company.

Dividends
The directors do not recommend the payment of any dividends during the year (2023: £Nil).

 

Touchstone Retail Limited

Director's Report for the Year Ended 31 January 2024

Principal risks and uncertainties
Touchstone Retail is reliant on its host stores maintaining foot fall and attractive customer offer for it to succeed with its jewellery concessions. As with any fashion business, there always remains a risk of poor selling collections due to customer preferences changing and resulting in the mark down of stock.
Concession Contracts with the hosts are predominantly on a rolling six months basis so the risk of losing a contract through termination always exists. This can be due to either poor performance or strategic changes in the hosts branding plans and ambitions.

The principal risks and uncertainties are

We address risk management through a range of policies and procedures. We have identified the following primary risks and uncertainties:

- Currency Exchange risk - we are aware of the potential adverse effect on performance from exchange rate movements and have an active policy of forward buying to limit this exposure;

- Fashion and design risk - we maintain a high level of market awareness which involves close monitoring of consumer trends. We ensure we are able to respond to changes in customer preferences by tracking social media influences.

- Economic factors - changes in the conditions of the general economy beyond our control may have an impact.

- Brexit impact - The potential effects identified are most noticeably on exchange rates, labour costs and potential tariffs in relation to goods and services. We remain flexible to redirect our business as greater clarity emerges. We are positioned to face challenges or opportunities that might arise.

Management risks:
Although the company is family run, management risk is minimal as there is no reliance on a small team of advisors and directors.

Financial risks:
See financial instruments below.

Credit risks:
The retail environment is facing uncertainty and structural changes which has resulted in unpaid debts as company administrations increase
There is a credit risk of non payment by concession partners due to the economic recession.

Key performance indicators (KPI):
The company 's annual performance plan sets targets and financial performance for each Concession it operates.These include weekly and seasonal targets for both sales and margins.Monthly management accounts are produced to monitor performance and high level retailing software monitors detailed sales on a store by store and area by area basis.This investment has substantially increased the day to day tracking of operational performance whether by head office staff or the field team of Visual Merchandisers.

 

Touchstone Retail Limited

Director's Report for the Year Ended 31 January 2024

The non financial indicators are:

Supplier confidence
The company maintains an excellent relationship with all its suppliers.

Customer satisfaction
The company aims to maintain good relationships with all its customers

Employee relationship
The company operates non discriminatory policies on the employment and welfare of staff. Health and safety policies are strictly adhered to by ensuring staff are properly trained in handling goods & heavy packaging and operating machinery. The employee/manager relationship and complaint procedures are regularly reviewed by management. The company also maintains a healthy and productive relationship with its employees.

Taxation status
The company is a close company within the provision of the Income and Corporation Taxes Act 2010.

Disclosure of information to the auditors

The director has taken steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. The director confirms that there is no relevant information that he knows of and of which he knows the auditors are unaware.

Auditors

The auditors, Mehta & Tengra, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Small companies provision statement

This report has 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.

Approved and authorised by the director on 29 October 2024
 

.........................................
Mr R Sahni
Director

 

Touchstone Retail Limited

(Registration number: 06138311)
Balance Sheet as at 31 January 2024

Note

2024
£

2023
£

Fixed assets

 

Tangible assets

5

193

383

Current assets

 

Stocks

6

300,511

320,980

Debtors

7

2,844,799

2,797,591

Cash at bank and in hand

 

55,213

22,047

 

3,200,523

3,140,618

Creditors: Amounts falling due within one year

8

(68,579)

(55,726)

Net current assets

 

3,131,944

3,084,892

Net assets

 

3,132,137

3,085,275

Capital and reserves

 

Called up share capital

9

100

100

Retained earnings

3,132,037

3,085,175

Shareholders' funds

 

3,132,137

3,085,275

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 director has not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the director on 29 October 2024
 

.........................................
Mr R Sahni
Director

 

Touchstone Retail Limited

Statement of Changes in Equity for the Year Ended 31 January 2024

Share capital
£

Retained earnings
£

Total
£

At 1 February 2023

100

3,085,175

3,085,275

Profit for the year

-

46,862

46,862

At 31 January 2024

100

3,132,037

3,132,137

Share capital
£

Retained earnings
£

Total
£

At 1 February 2022

100

3,131,245

3,131,345

Loss for the year

-

(46,070)

(46,070)

At 31 January 2023

100

3,085,175

3,085,275

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
1 Lisson Courtyard
50 Lisson Street
Marylebone
London
NW1 5DF

These financial statements were authorised for issue by the director on 29 October 2024.

2

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 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 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.

Going concern

The financial statements have been prepared on a going concern basis.

Audit report

The Independent Auditor's Report was unqualified. . The name of the Senior Statutory Auditor who signed the audit report on 29 October 2024 was P Tengra, who signed for and on behalf of Mehta & Tengra.

.........................................

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.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

Tax

The tax expense for the period comprises current 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.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Tangible assets

Tangible assets are stated in the balance sheet 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 at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 50% on written down value

Impairment of assets

At each reporting date fixed assets are reviewed to determine whether there is any indication that those asset have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in profit or loss.

If an impairment loss subsequently reverses, the carry amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.
 

Foreign currencies

Transactions in foreign currencies are translated at the foreign exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are translated at the foreign exchange rate ruling at that date. Foreign exchange differences arising on translation are recognised in the income statement. Non- monetary assets and liabilities that are measured in terms of the historical cost in a foreign currency are translated using the exchange rate at the date of the transaction.

Long term monetary items are translated at the year end rate.

The assets and liabilities of foreign operations arising on consolidation are translated at foreign exchange rates ruling at the balance sheet date. The revenues and expenses of foreign operations are translated at an average rate for the period where this rate approximates to the foreign exchange rates ruling at the dates of the transactions.

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price.A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Provisions

Provisions are recognised when the company has a present legal or constructive obligation arising as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligations and a reliable estimate can be made.

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.

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.

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

Deferred tax

Deferred tax assets are only 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.

If and when all conditions for retaining tax allowances for the cost of a fixed asset have been met, the deferred tax is reversed.

Deferred tax is recognised when income or expenses from an associate have been recognised, and will be assessed for tax in a future period, except where:
- it is probable that the timing difference will not reverse in the foreseeable future.

A deferred tax liability or asset is recognised for the additional tax that will be paid or avoided in respect of assets and liabilities that are recognised in a business combination. The amount attributed to goodwill is adjusted by the amount of deferred tax recognised.

Deferred tax is calculated using the tax rates and laws that that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

With the exception of changes arising on the initial recognition of a business combination , the tax expense (income) is presented either in profit or loss, other comprehensive income or equity depending on the transaction that resulted in the tax expense (income).

Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. Deferred tax asset and deferred tax liabilities are offset only if:
- the company has a legally enforceable right to set off current tax assets against current tax liabilities, and
- the deferred tax asset and deferred tax liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities which intend either to settle
current tax liabilities and assets on a net basis, or to realise the assets and settle the liabilities

3

Staff numbers

The average number of persons employed by the company (including the director) during the year, was 4 (2023 - 4).

4

Taxation

Tax charged/(credited) in the profit and loss account

2024
£

2023
£

Current taxation

UK corporation tax

12,245

-

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

5

Tangible assets

Fixtures and fittings
£

Fashion master software
£

Total
£

Cost or valuation

At 1 February 2023

376,344

38,420

414,764

At 31 January 2024

376,344

38,420

414,764

Depreciation

At 1 February 2023

375,961

38,420

414,381

Charge for the year

190

-

190

At 31 January 2024

376,151

38,420

414,571

Carrying amount

At 31 January 2024

193

-

193

At 31 January 2023

383

-

383

6

Stocks

2024
£

2023
£

Finished goods and goods for resale

300,511

320,980

7

Debtors

Current

Note

2024
£

2023
£

Trade debtors

 

87,538

80,823

Amounts owed by related parties

11

2,757,186

2,716,693

Other debtors

 

75

75

   

2,844,799

2,797,591

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

8

Creditors

Creditors: amounts falling due within one year

2024
£

2023
£

Due within one year

Trade creditors

5,464

21,934

Accruals and deferred income

18,250

4,125

Other creditors

1,502

1,640

VAT

25,337

21,869

Corporation tax

12,245

-

Social security and other taxes

5,781

6,158

68,579

55,726

9

Share capital

Allotted, called up and fully paid shares

 

2024

2023

 

No.

£

No.

£

Ordinary of £1 each

100

100

100

100

         

10

Pension Commitments

The company operates a defined contribution scheme for its staff under "auto enrolment".Contributions
are charged to the profit and loss account. During the year the company's contribution was £2,610 (2023:£2,834).
The amounts outstanding at the balance sheet date was £1,502 (2023:£1,640).

11

Related party transactions

Touchstone Accessories Limited
Touchstone Accessories Limited holds 25% of the share capital of Touchstone Retail Limited.





 

 

Touchstone Retail Limited

Notes to the Financial Statements for the Year Ended 31 January 2024

Expenditure with and payables to related parties

2024

Entities with joint control or significant influence
£

Purchase of goods

275,940

Rendering of services

90,000

365,940

2023

Entities with joint control or significant influence
£

Purchase of goods

352,590

Rendering of services

100,000

452,590

Loans to related parties

2024

Entities with joint control or significant influence
£

Total
£

At start of period

2,716,693

2,716,693

Advanced

40,493

40,493

At end of period

2,757,186

2,757,186

2023

Entities with joint control or significant influence
£

Total
£

At start of period

2,497,506

2,497,506

Advanced

219,187

219,187

At end of period

2,716,693

2,716,693

12

Ultimate controlling party

The ultimate controlling party is R S Sahni.