Company Registration No. SC201095 (Scotland)
Eriska Enterprises Limited
Financial statements
for the year ended 31 January 2024
Pages for filing with the registrar
Eriska Enterprises Limited
Contents
Page
Balance sheet
1
Notes to the financial statements
2 - 5
Eriska Enterprises Limited
Balance sheet
As at 31 January 2024
1
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
3
4,237,482
4,279,504
Current assets
Stocks
63,346
62,904
Debtors
4
179,080
191,399
Cash at bank and in hand
938,404
1,460,895
1,180,830
1,715,198
Creditors: amounts falling due within one year
5
(839,344)
(806,051)
Net current assets
341,486
909,147
Total assets less current liabilities
4,578,968
5,188,651
Creditors: amounts falling due after more than one year
6
(6,181,844)
(6,159,704)
Net liabilities
(1,602,876)
(971,053)
Capital and reserves
Called up share capital
7
100
100
Profit and loss reserves
(1,602,976)
(971,153)
Total equity
(1,602,876)
(971,053)
The directors of the company have 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 by the board of directors and authorised for issue on 1 November 2024 and are signed on its behalf by:
W Rong
Director
Company Registration No. SC201095
Eriska Enterprises Limited
Notes to the financial statements
For the year ended 31 January 2024
2
1
Accounting policies
Company information
Eriska Enterprises Limited is a private company limited by shares incorporated in Scotland. The registered office is Isle of Eriska Hotel, Benderloch, Oban, PA37 1SD.
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.
1.2
Going concern
The financial statements have been prepared under the going concern basis. At 31 January 2024 the company had net liabilities of £1,602,876 (2023 - £971,053) and net current assets of £341,486 (2023 - £909,147). The company relies on continued support from its parent company to be able to meet its liabilities as they fall due and the appropriateness of the going concern basis is dependent on this support being continued. At the balance sheet date, the amount due to the parent undertaking, Creation Gem International Limited, was £5,624,081(2023 - £5,496,166) and the directors have received a letter of support confirming that this amount will not be recalled for payment within 12 months of approving these financial statements. Accordingly, the directors believe it is appropriate to continue to prepare the accounts on the going concern basis.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes.
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:
Improvements to property
2% straight line
Plant and machinery
15 - 25% reducing balance
Fixtures and fittings
15% reducing balance
Computer equipment
25% reducing balance
Motor vehicles
25% reducing balance
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.
1.5
Stocks
Stocks are stated at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.
Eriska Enterprises Limited
Notes to the financial statements (continued)
For the year ended 31 January 2024
1
Accounting policies (continued)
3
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks.
1.7
Financial instruments
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Basic financial assets
Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
1.9
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Total
46
49
Eriska Enterprises Limited
Notes to the financial statements (continued)
For the year ended 31 January 2024
4
3
Tangible fixed assets
Improvements to property
Plant and machinery etc
Total
£
£
£
Cost
At 1 February 2023
4,092,043
3,793,599
7,885,642
Additions
332,476
332,476
Disposals
(12,750)
(104,405)
(117,155)
At 31 January 2024
4,079,293
4,021,670
8,100,963
Depreciation
At 1 February 2023
1,190,475
2,415,663
3,606,138
Depreciation charged in the year
81,838
233,657
315,495
Eliminated in respect of disposals
(1,275)
(56,877)
(58,152)
At 31 January 2024
1,271,038
2,592,443
3,863,481
Carrying amount
At 31 January 2024
2,808,255
1,429,227
4,237,482
At 31 January 2023
2,901,568
1,377,936
4,279,504
4
Debtors
2024
2023
Amounts falling due within one year:
£
£
Other debtors
179,080
191,399
5
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
50,000
50,000
Trade creditors
139,302
114,481
Taxation and social security
26,458
46,333
Other creditors
623,584
595,237
839,344
806,051
Eriska Enterprises Limited
Notes to the financial statements (continued)
For the year ended 31 January 2024
5
6
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans and overdrafts
89,323
138,975
Other creditors
6,092,521
6,020,729
6,181,844
6,159,704
The bank loan is secured by a floating charge over the assets of the company.
7
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
100 ordinary shares of £1 each
100
100
100
100
8
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.
Senior Statutory Auditor:
Eunice McAdam
Statutory Auditors:
Saffery LLP
Date of audit report:
4 November 2024
9
Related party transactions
At 31 January 2024, the company owed the parent company Creation Gem International Limited £5,624,081 (2023 - £5,496,166). Interest is charged at 2.5%, and accrued interest of £503,879 has been included within the amount payable to the parent company at 31 January 2024 (2023 - £375,964). Interest of £127,915 was charged in the year to 31 January 2024 (2023 - £128,005).
During the year no income (2023 - £17,582) was earned from the sale of goods to entities under common control. At the year end £17,582 was owed by the related party (2023 - £17,582).
Additionally, during the year £3,750 (2023 - £0) was earned from the sale of services to directors. At the year end £3,273 was owed by the directors (2023 - £0).
10
Parent company
Creation Gem International Limited, a company registered in Hong Kong, is the immediate parent company.