Red News Limited 05407864 false 2023-05-01 2024-04-30 2024-04-30 The principal activity of the company is that of the retail sale of newspapers, confectionery and liquor Digita Accounts Production Advanced 6.30.9574.0 true 05407864 2023-05-01 2024-04-30 05407864 2024-04-30 05407864 bus:CompanySecretaryDirector1 1 2024-04-30 05407864 bus:Director1 1 2024-04-30 05407864 core:RetainedEarningsAccumulatedLosses 2024-04-30 05407864 core:ShareCapital 2024-04-30 05407864 core:CurrentFinancialInstruments 2024-04-30 05407864 core:CurrentFinancialInstruments core:WithinOneYear 2024-04-30 05407864 core:CurrentFinancialInstruments core:Secured 2024-04-30 05407864 core:Non-currentFinancialInstruments 2024-04-30 05407864 core:Non-currentFinancialInstruments core:AfterOneYear 2024-04-30 05407864 core:Goodwill 2024-04-30 05407864 core:ConstructionInProgressAssetsUnderConstruction 2024-04-30 05407864 core:FurnitureFittingsToolsEquipment 2024-04-30 05407864 core:MotorVehicles 2024-04-30 05407864 bus:SmallEntities 2023-05-01 2024-04-30 05407864 bus:AuditExemptWithAccountantsReport 2023-05-01 2024-04-30 05407864 bus:FilletedAccounts 2023-05-01 2024-04-30 05407864 bus:SmallCompaniesRegimeForAccounts 2023-05-01 2024-04-30 05407864 bus:RegisteredOffice 2023-05-01 2024-04-30 05407864 bus:CompanySecretaryDirector1 2023-05-01 2024-04-30 05407864 bus:CompanySecretaryDirector1 1 2023-05-01 2024-04-30 05407864 bus:Director1 2023-05-01 2024-04-30 05407864 bus:Director1 1 2023-05-01 2024-04-30 05407864 bus:PrivateLimitedCompanyLtd 2023-05-01 2024-04-30 05407864 bus:Agent1 2023-05-01 2024-04-30 05407864 core:Buildings 2023-05-01 2024-04-30 05407864 core:ConstructionInProgressAssetsUnderConstruction 2023-05-01 2024-04-30 05407864 core:FurnitureFittings 2023-05-01 2024-04-30 05407864 core:FurnitureFittingsToolsEquipment 2023-05-01 2024-04-30 05407864 core:MotorCars 2023-05-01 2024-04-30 05407864 core:MotorVehicles 2023-05-01 2024-04-30 05407864 countries:EnglandWales 2023-05-01 2024-04-30 05407864 2023-04-30 05407864 bus:CompanySecretaryDirector1 1 2023-04-30 05407864 bus:Director1 1 2023-04-30 05407864 core:Goodwill 2023-04-30 05407864 core:ConstructionInProgressAssetsUnderConstruction 2023-04-30 05407864 core:FurnitureFittingsToolsEquipment 2023-04-30 05407864 core:MotorVehicles 2023-04-30 05407864 2022-05-01 2023-04-30 05407864 2023-04-30 05407864 bus:CompanySecretaryDirector1 1 2023-04-30 05407864 bus:Director1 1 2023-04-30 05407864 core:RetainedEarningsAccumulatedLosses 2023-04-30 05407864 core:ShareCapital 2023-04-30 05407864 core:CurrentFinancialInstruments 2023-04-30 05407864 core:CurrentFinancialInstruments core:WithinOneYear 2023-04-30 05407864 core:CurrentFinancialInstruments core:Secured 2023-04-30 05407864 core:Non-currentFinancialInstruments 2023-04-30 05407864 core:Non-currentFinancialInstruments core:AfterOneYear 2023-04-30 05407864 core:ConstructionInProgressAssetsUnderConstruction 2023-04-30 05407864 core:FurnitureFittingsToolsEquipment 2023-04-30 05407864 core:MotorVehicles 2023-04-30 05407864 bus:CompanySecretaryDirector1 1 2022-05-01 2023-04-30 05407864 bus:Director1 1 2022-05-01 2023-04-30 05407864 bus:CompanySecretaryDirector1 1 2022-04-30 05407864 bus:Director1 1 2022-04-30 iso4217:GBP xbrli:pure

Registration number: 05407864

Red News Limited

Unaudited Financial Statements

30 April 2024

image-name

 

Red News Limited

Contents

Accountants' Report

1

Balance Sheet

2

Notes to the Financial Statements

4

 

Chartered Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Red News Limited
for the Year Ended 30 April 2024

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Red News Limited for the year ended 30 April 2024 as set out on pages 2 to 11 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at http://www.icaew.com/regulation.

This report is made solely to the Board of Directors of Red News Limited, as a body, in accordance with the terms of our engagement letter dated 29 September 2023. Our work has been undertaken solely to prepare for your approval the accounts of Red News Limited and state those matters that we have agreed to state to the Board of Directors of Red News Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Red News Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Red News Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of Red News Limited. You consider that Red News Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of Red News Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.



Dodd & Co Limited
Chartered Accountants
Clint Mill
Cornmarket
PENRITH
CA11 7HW

30 January 2025

 

Red News Limited

(Registration number: 05407864)
Balance Sheet as at 30 April 2024

Note

2024
£

2023
£

Fixed assets

 

Tangible assets

5

122,690

132,361

Current assets

 

Stocks

10,000

14,000

Debtors

6

126,195

130,652

Cash at bank and in hand

 

19,160

26,608

 

155,355

171,260

Creditors: Amounts falling due within one year

7

(281,345)

(251,000)

Net current liabilities

 

(125,990)

(79,740)

Total assets less current liabilities

 

(3,300)

52,621

Creditors: Amounts falling due after more than one year

7

(32,321)

(38,905)

Provisions for liabilities

(16,314)

(17,958)

Net liabilities

 

(51,935)

(4,242)

Capital and reserves

 

Allotted, called up and fully paid share capital

100

100

Profit and loss account

(52,035)

(4,342)

Total equity

 

(51,935)

(4,242)

 

Red News Limited

(Registration number: 05407864)
Balance Sheet as at 30 April 2024 (continued)

For the financial year ending 30 April 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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 directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 30 January 2025 and signed on its behalf by:
 

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

J F Antrobus

Director

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 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:
26/27 King Street
PENRITH
CA11 7AG

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 - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

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.

The company has net liabilities at 30 April 2024 and meets its day to day working capital requirements through its supplier credit terms and bank overdraft facility which, in common with all such facilities, are repayable on demand. On the basis of this support, the directors consider it appropriate to prepare the financial statements on the going concern basis.

However, should the company not have the support of its suppliers or of its bankers, and therefore be unable to continue trading, adjustments would have to be made to reduce the value of assets to their recoverable amounts, to provide for any further liabilities which might arise, and to reclassify fixed assets and long term liabilities as current assets and current liabilities.

During the period when the dividend was paid the company directors were not aware that there were insufficient profits available for distribution and the directors acknowledge that no further distributions can be made until there are sufficient profits available for that purpose.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services 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.

Tax

The tax expense for the period comprises current and deferred 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.

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

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.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

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

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 charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Property improvements

2% straight line

Furniture, fittings and office equipment

20% reducing balance and 33% straight line

Motor vehicles

25% reducing balance

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 the sale of goods or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. 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.

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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 where due after more than one year.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

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.

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was 14 (2023 - 15).

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

4

Intangible assets

Goodwill
 £

Total
£

Cost or valuation

At 1 May 2023

25,000

25,000

At 30 April 2024

25,000

25,000

Amortisation

At 1 May 2023

25,000

25,000

At 30 April 2024

25,000

25,000

Carrying amount

At 30 April 2024

-

-

5

Tangible assets

Property improvements
 £

Motor vehicles
 £

Furniture, fittings and office equipment
 £

Total
£

Cost or valuation

At 1 May 2023

107,802

52,995

82,609

243,406

Additions

-

-

1,108

1,108

At 30 April 2024

107,802

52,995

83,717

244,514

Depreciation

At 1 May 2023

11,733

30,601

68,711

111,045

Charge for the year

2,156

5,599

3,024

10,779

At 30 April 2024

13,889

36,200

71,735

121,824

Carrying amount

At 30 April 2024

93,913

16,795

11,982

122,690

At 30 April 2023

96,069

22,394

13,898

132,361

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

6

Debtors

2024
£

2023
£

Trade debtors

5,400

6,150

Taxation and social security

14,001

17,781

Other debtors

106,794

106,721

126,195

130,652

7

Creditors

Note

2024
£

2023
£

Due within one year

 

Loans and borrowings

8

42,369

47,741

Trade creditors

 

207,700

176,744

Taxation and social security

 

1,263

1,135

Corporation tax liability

 

7,146

4,320

Other creditors

 

22,867

21,060

 

281,345

251,000

Due after one year

 

Loans and borrowings

8

32,321

38,905

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

8

Loans and borrowings

2024
£

2023
£

Current loans and borrowings

Bank overdrafts

27,948

33,371

Hire puchase and finance lease liabilities

4,500

4,500

Bank borrowings

9,921

9,870

42,369

47,741

Current loans and borrowings includes the following liabilities, on which security has been given by the company:

2024
£

2023
£

Bank overdrafts

27,948

33,371

Hire puchase and finance lease liabilities

4,500

4,500

Bank borrowings

9,921

9,870

42,369

47,741

Hire purchase and finance lease liabilities are secured on the assets to which they relate.

Bank overdrafts are secured by fixed and floating charges over the company's assets.

Bank borrowings are secured by fixed and floating charges over the company's assets.

 

2024
£

2023
£

Non-current loans and borrowings

Bank borrowings

23,696

25,780

Hire purchase and finance lease liabilities

8,625

13,125

32,321

38,905

Non-current loans and borrowings includes the following liabilities, on which security has been given by the company:

2024
£

2023
£

Bank borrowings

23,696

25,780

Hire purchase and finance lease liabilities

8,625

13,125

32,321

38,905

Hire purchase and finance lease liabilities are secured on the assets to which they relate.

Bank borrowings are secured by fixed and floating charges over the company's assets.

 

Red News Limited

Notes to the Financial Statements for the Year Ended 30 April 2024 (continued)

9

Related party transactions

Transactions with directors

2024

At 1 May 2023
£

Advances
£

Repayments
£

Other payments
£

Dividends credited
£

Interest
£

At 30 April 2024
£

J F Antrobus

Directors Loan

52,981

74,089

(40,159)

-

(35,000)

1,142

53,053

               
         

K Grundy

Directors Loan

52,981

74,089

(40,159)

-

(35,000)

1,142

53,053

               
         

 

2023

At 1 May 2022
£

Advances
£

Repayments
£

Other payments
£

Dividends credited
£

Interest
£

At 30 April 2023
£

J F Antrobus

Directors Loan

31,021

83,337

(31,116)

-

(31,250)

989

52,981

               
         

K Grundy

Directors Loan

31,021

83,337

(31,115)

-

(31,250)

988

52,981

               
         

 

Directors' advances are repayable on demand.

Interest has been charged at a rate of 2%/2.25% on advances to directors.