REGISTERED NUMBER: |
V.N. & BRITANNIC WAREHOUSES LIMITED |
Strategic Report, Report of the Directors and |
Financial Statements for the Year Ended 31 December 2023 |
REGISTERED NUMBER: |
V.N. & BRITANNIC WAREHOUSES LIMITED |
Strategic Report, Report of the Directors and |
Financial Statements for the Year Ended 31 December 2023 |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Contents of the Financial Statements |
for the year ended 31 December 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 4 | to | 6 |
Statement of Comprehensive Income | 7 |
Statement of Financial Position | 8 |
Statement of Changes in Equity | 9 |
Statement of Cash Flows | 10 |
Notes to the Financial Statements | 11 | to | 19 |
V.N. & BRITANNIC WAREHOUSES LIMITED |
Company Information |
for the year ended 31 December 2023 |
Directors: |
Secretary: |
Registered office: |
Registered number: |
Auditors: |
Statutory Auditor |
CUBO Birmingham |
4th Floor |
Two Chamberlain Square |
Birmingham |
West Midlands |
B3 3AX |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Strategic Report |
for the year ended 31 December 2023 |
The directors present their strategic report for the year ended 31 December 2023. |
Review of business |
The profit for the year, after taxation, amounted to £887,179. The company paid dividends during the year in the sum of £1,000,000. |
The balance sheet is very strong with shareholders' funds of £2,239,832. |
In the reporting period, the company experienced a decline in revenue, primarily driven by weaker consumer demand and continued pressures in the broader market environment. The global economic slowdown, rising inflationary costs, and shifting consumer preferences have contributed to reduced spending in key segments of our business. |
The decline in consumer demand, particularly in our core product lines, has been a significant factor in the reduction of revenue. |
While the current market pressures have affected short-term performance, we remain confident in the long-term viability of our business. The strategic adjustments we are making position us to navigate these challenging conditions and capitalise on future opportunities as market conditions stabilise. |
Principal risks and uncertainties |
The company makes little use of financial instruments other than an operational bank account and so its exposure to price risk, credit risk, liquidity risk and cash flow is not material for the assessment of the assets, liabilities, financial position and profit or loss of the company. |
All of the company's cash balances are held in such a way that achieves a competitive rate of interest. The company makes use of money market facilities where funds are available. |
Key performance indicators |
The Directors consider that the key financial performance indicators are these that communicate the financial strength and performance of the company, being turnover, margins, overheads and cash flow. |
Future developments |
Despite the recent decline in sales, the company is committed to navigating the current challenges and positioning itself for long-term growth. We are actively pursuing a series of strategic initiatives to adapt to evolving market dynamics and consumer preferences in the online furniture retail space. Our primary focus will be on enhancing customer experience, diversifying product offerings, and optimising operational efficiency. |
While the current period of declining sales presents a significant challenge, we are confident that our strategic initiatives will position the company for recovery and long-term growth. Our commitment to innovation, customer satisfaction, and operational efficiency will enable us to overcome current market pressures. |
There are no events since the balance sheet date which would require disclosure in these financial statements. |
On behalf of the board: |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Report of the Directors |
for the year ended 31 December 2023 |
The directors present their report with the financial statements of the company for the year ended 31 December 2023. |
Principal activity |
The principal activity of the company in the year under review was that of an online retailer. |
Dividends |
Dividends paid during the year are detailed in note 9. |
Directors |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
Statement of directors' responsibilities |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
Statement as to disclosure of information to auditors |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
Auditors |
The audit business of Haines Watts Birmingham LLP was acquired by Cooper Parry Group Limited on 14 November 2023. Haines Watts Birmingham LLP has resigned as auditor and Cooper Parry Group Limited has been appointed in its place. |
The auditors, Cooper Parry Group Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006. |
On behalf of the board: |
Report of the Independent Auditors to the Members of |
V.N. & Britannic Warehouses Limited |
Opinion |
We have audited the financial statements of V.N. & Britannic Warehouses Limited (the 'company') for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The other information comprises the information in the Strategic Report and the Report of the Directors but does not include the financial statements and our Report of the Auditors thereon. The directors are responsible for the other information contained within the Strategic Report and the Report of the Directors. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. |
We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Report of the Independent Auditors to the Members of |
V.N. & Britannic Warehouses Limited |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our assessment focused on key laws and regulations the company has to comply with and areas of the financial statements we assessed as being more susceptible to misstatement. These key laws and regulations included but were not limited to compliance with the Companies Act 2006, UK GAAP (FRS102) and relevant tax legislation. |
We are not responsible for preventing irregularities. Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
- | the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
- | we identified the laws and regulations applicable to the company through discussions with directors and other management; |
- | we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence where applicable; and |
- | identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
- | Making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
- | Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, our approach included: |
- | testing journal entries to identify unusual transactions; |
- | reviewing the minutes of meetings of management and those charged with governance; |
- | assessing whether judgements and assumptions made in determining the accounting estimates; |
- | investigating the rationale behind significant or unusual transactions; and |
- | reviewing nominal accounts or certain nominal codes for indication of any management override. |
Report of the Independent Auditors to the Members of |
V.N. & Britannic Warehouses Limited |
Auditors' responsibilities for the audit of the financial statements (continued) |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- | agreeing the financial statement disclosures to underlying supporting documentation; |
- | reading the minutes of meeting of those charged with governance; |
- | enquiring of management as to actual and potential litigation and claims; and |
- | reviewing correspondence with HMRC and associated parties. |
Whilst considering how our audit work addressed the detection of irregularities, we also consider the likelihood of detection based on our approach. Irregularities arising from fraud are inherently more difficult to detect than those arising from error. |
Because of the inherent limitations of an audit, there is a risk that we will not detect any irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditor |
CUBO Birmingham |
4th Floor |
Two Chamberlain Square |
Birmingham |
West Midlands |
B3 3AX |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Statement of Comprehensive |
Income |
for the year ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Turnover | 3 |
Cost of sales | ( | ) | ( | ) |
Gross profit |
Administrative expenses | ( | ) | ( | ) |
1,149,655 | 1,169,624 |
Other operating income |
Operating profit | 6 |
Interest receivable and similar income | 7 |
Profit before taxation |
Tax on profit | 8 | ( | ) | ( | ) |
Profit for the financial year |
Other comprehensive income | - | - |
Total comprehensive income for the year |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Statement of Financial Position |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
Fixed assets |
Tangible assets | 10 |
Investments | 11 |
Current assets |
Stocks | 12 |
Debtors | 13 |
Cash at bank and in hand |
Creditors |
Amounts falling due within one year | 14 |
Net current assets |
Total assets less current liabilities |
Provisions for liabilities | 17 |
Net assets |
Capital and reserves |
Called up share capital | 18 |
Retained earnings | 19 |
Shareholders' funds |
The financial statements were approved by the Board of Directors and authorised for issue on |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Statement of Changes in Equity |
for the year ended 31 December 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Dividends | - | ( | ) | ( | ) |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Dividends | - | ( | ) | ( | ) |
Total comprehensive income | - |
Balance at 31 December 2023 |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Statement of Cash Flows |
for the year ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 23 |
Tax paid | ( | ) | ( | ) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( | ) | ( | ) |
Interest received |
Net cash from investing activities | ( | ) |
Cash flows from financing activities |
Amount withdrawn by directors | (46,686 | ) | (265,915 | ) |
Equity dividends paid | ( | ) | ( | ) |
Net cash from financing activities | ( | ) | ( | ) |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of year | 24 | 1,141,227 |
Cash and cash equivalents at end of year | 24 | 1,801,798 | 1,408,182 |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements |
for the year ended 31 December 2023 |
1. | Statutory information |
V.N. & Britannic Warehouses Limited is a |
2. | Accounting policies |
Basis of preparing the financial statements |
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. |
Preparation of consolidated financial statements |
Under section 405 of the Companies Act 2006 the group is exempt from the requirement to prepare group accounts by virtue of its subsidiary undertaking not being material for the purpose of giving a true and fair view. Therefore the accounts present information about the company as an individual undertaking and not about its group. |
Significant judgements and estimates |
In preparing these financial statements, the directors have had to make the following judgments, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities, income and |
expenses. |
The estimates and associated assumptions are based on historic experience and various other factors that are believed to be reasonable under the circumstances, the result of which form the basis of making the judgments about carrying value of assets and liabilities which are not readily apparent from other sources. The areas requiring a higher degree of judgement, or complexity, and areas where assumptions or estimates are most significant to the financial statements, are disclosed below: |
Stock provision |
At each reporting date, stock is assessed for impairment and a provision is included for slow moving and obsolete stock in order to write it own to its assessed net realisable value. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes at the point of despatch. |
Government grants |
Grants which are of a revenue nature are credited to the profit and loss account in the same period as the related expenditure. |
Tangible fixed assets |
Freehold property | - |
Fixtures, fittings & IT equip | - |
Motor vehicles | - |
Fixed assets are initially recorded at cost. |
Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal costs. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
2. | Accounting policies - continued |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Goods in transit are recognised at the point that risks and rewards of ownership are passed to the company. |
Change in accounting estimate for stock provision |
Effective 1 January 2023, the Company changed its accounting policy in respect of provision percentages applied to the aged stock profile. These changes are illustrated below: |
Provision applied |
Stock aging | 2023 | 2022 |
0 - 6 months | 0% | 0% |
6 - 9 months | 0% | 0% |
9 - 12 months | 0% | 0% |
12 - 18 months | 0% | 5% |
18 - 24 months | 5% | 10% |
24 months + | 10% | 15% |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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 statement of financial position date. |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different 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. |
Foreign currencies |
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. All differences are taken to profit and loss account. |
Leasing |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Debtors and creditors receivable / payable within one year |
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses. |
Financial instruments |
Financial instruments are classified and accounted for according to the substance of the contractual arrangement as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
3. | Turnover |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by geographical market is given below: |
2023 | 2022 |
£ | £ |
United Kingdom |
Europe |
4. | Employees and directors |
2023 | 2022 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2023 | 2022 |
Directors | 4 | 4 |
Administrative staff | 13 | 13 |
Sales staff | 15 | 17 |
Warehouse staff | 25 | 26 |
5. | Directors' emoluments |
2023 | 2022 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
6. | Operating profit |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Auditors' remuneration |
Auditors' remuneration for non audit work |
Foreign exchange differences | ( | ) |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
7. | Interest receivable and similar income |
2023 | 2022 |
£ | £ |
Bank interest |
8. | Taxation |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax |
Adjustment in respect of prior years | - | (82,775 | ) |
Total current tax |
Deferred tax | ( | ) | ( | ) |
Tax on profit |
UK corporation tax has been charged at 23.52% (2022 - 19%). |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2022 - |
Effects of: |
Expenses not deductible for tax purposes |
Depreciation in excess of capital allowances |
Adjustments to tax charge in respect of previous periods | ( | ) |
Deferred taxation movement | (5,393 | ) | (2,337 | ) |
Total tax charge | 284,136 | 144,047 |
Factors the may effect future tax charges |
In the Spring Budget 2021, the Government announced that the corporation tax rate would remain at 19% until 2023. Following which, the rate of corporation tax will increase to 25% for profits over £250,000. This new law was substantively enacted on May 2021. Deferred tax has been calculated at 25% which was the tax rate substantively enacted at 30 December 2023 |
For accounting periods that straddle 1 April 2023, company profits/losses arising in an accounting period are apportioned between financial years in which the accounting period falls. |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
9. | Dividends |
2023 | 2022 |
£ | £ |
P Ordinary shares of £1 each |
Final |
Q Ordinary shares of £1 each |
Final |
R Ordinary shares of £1 each |
Final |
S Ordinary shares of £1 each |
Final |
T Ordinary shares of £1 each |
Final |
U Ordinary shares of £1 each |
Final | 110,000 | 80,000 |
V Ordinary shares of £1 each |
Final | 55,000 | 40,000 |
W Ordinary shares of £1 each |
Final | 130,000 | 90,000 |
X Ordinary shares of £1 each |
Final | 55,000 | 40,000 |
Y Ordinary shares of £1 each |
Final | 55,000 | 40,000 |
Z Ordinary shares of £1 each |
Final | 55,000 | 40,000 |
10. | Tangible fixed assets |
Fixtures, |
Freehold | fittings & | Motor |
property | IT equip | vehicles | Totals |
£ | £ | £ | £ |
Cost |
At 1 January 2023 |
Additions |
At 31 December 2023 |
Depreciation |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
Net book value |
At 31 December 2023 |
At 31 December 2022 |
Included in cost of land and buildings is freehold land of £ 116,000 (2022 - £ 116,000) which is not depreciated. |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
11. | Fixed asset investments |
Shares in |
group |
undertakings |
£ |
Cost |
At 1 January 2023 |
and 31 December 2023 |
Net book value |
At 31 December 2023 |
At 31 December 2022 |
The company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Registered office: 142 Sand Pits, Birmingham, B1 3RJ |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
12. | Stocks |
2023 | 2022 |
£ | £ |
Goods for resale | 3,034,718 | 3,648,000 |
Stock is stated after provisions for impairment of £140,866 (2022: £111,225). |
13. | Debtors: amounts falling due within one year |
2023 | 2022 |
£ | £ |
Trade debtors |
Prepayments |
14. | Creditors: amounts falling due within one year |
2023 | 2022 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Corporation tax |
Social security and other taxes |
VAT | 168,211 | 192,872 |
Other creditors |
Directors' loan accounts | 1,743,604 | 1,790,290 |
Accruals and deferred income |
Amounts owed to group undertakings are unsecured, interest free and are repayable on demand. |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
15. | Leasing agreements |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
Post year-end, the company terminated its lease for Unit 5 Wilden Lane effective on 25/03/2024. As a result, the future lease commitments under this lease are no longer applicable and have been excluded from the above amounts. |
16. | Secured debts |
The company has registered a fixed and floating charge against all assets. The charge is not currently registered in respect of any existing debt. |
17. | Provisions for liabilities |
2023 | 2022 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Deferred tax |
£ |
Balance at 1 January 2023 |
Credit to Statement of Comprehensive Income during year | ( | ) |
Balance at 31 December 2023 |
18. | Called up share capital |
Allotted and issued: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Share capital 1 | £1 | 600 | 600 |
Share capital 2 | £1 | 600 | 600 |
Share capital 3 | £1 | 1,200 | 1,200 |
Share capital 4 | £1 | 600 | 600 |
Share capital 5 | £1 | 600 | 600 |
1,200 | Share capital 6 | £1 | 1,200 | 1,200 |
2,400 | Share capital 7 | £1 | 2,400 | 2,400 |
600 | Share capital 8 | £1 | 600 | 600 |
5,200 | Share capital 9 | £1 | 5,200 | 5,200 |
5,200 | Share capital 10 | £1 | 5,200 | 5,200 |
1,800 | Share capital 11 | £1 | 1,800 | 1,800 |
20,000 | 20,000 |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
19. | Reserves |
Retained |
earnings |
£ |
At 1 January 2023 |
Profit for the year |
Dividends | ( | ) |
At 31 December 2023 |
20. | Pension commitments |
The company operates a defined contribution pension plan for its employees. The amount recognised as an expense in the period was £27,551 (2022: £30,054). At the year end a balance of £4,724 (2022: £3,781) was held in other creditors. |
21. | Related party relationships and transactions |
During the year the company paid £170,000 (2022: £132,300) in respect of platform management and hiring of domains to a company part owned by a family member of the Directors. The company also received rental income during the year totalling £1,271 (2022: £Nil) from the same company part owned by a family member of the Directors. |
The company also paid £80,000 (2022: £102,000) in respect of digital marketing to a close family member of a Director. All transactions were made under normal commercial trading terms. |
At the year end balances totalling £1,743,604 (2022: £1,790,290) were owed to directors of the company. No interest is charged in respect of these balances, which are repayable on demand. |
At the year end balances of £1,274,488 (2022: £1,371,262) were owed to shareholders of the company. No interest is charged in respect of these balances, which are repayable on demand. |
Remuneration paid to key management personnel in the year amounted to £260,176 (2022: £267,374). |
22. | Ultimate controlling party |
The company is under the joint control of its directors and their close family members and there is no single controlling party. |
23. | Reconciliation of profit before taxation to cash generated from operations |
2023 | 2022 |
£ | £ |
Profit before taxation |
Depreciation charges |
Finance income | (13,854 | ) | (523 | ) |
1,191,655 | 1,204,363 |
Decrease in stocks |
(Increase)/decrease in trade and other debtors | ( | ) |
Decrease in trade and other creditors | ( | ) | ( | ) |
Cash generated from operations |
V.N. & BRITANNIC WAREHOUSES LIMITED (REGISTERED NUMBER: 01002902) |
Notes to the Financial Statements - continued |
for the year ended 31 December 2023 |
24. | Cash and cash equivalents |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Year ended 31 December 2023 |
31/12/23 | 1/1/23 |
£ | £ |
Cash and cash equivalents | 1,801,798 | 1,408,182 |
Year ended 31 December 2022 |
31/12/22 | 1/1/22 |
£ | £ |
Cash and cash equivalents | 1,408,182 | 1,141,227 |
25. | Analysis of changes in net funds |
At 1/1/23 | Cash flow | At 31/12/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,408,182 | 393,616 | 1,801,798 |
1,408,182 | 1,801,798 |
Total | 1,408,182 | 393,616 | 1,801,798 |