Registration number:
MAF Pharma Limited
for the Year Ended 31 May 2024
MAF Pharma Limited
Contents
Company Information |
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Statement of Directors' Responsibilities |
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Accountants' Report |
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Balance Sheet |
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Notes to the Unaudited Financial Statements |
MAF Pharma Limited
Company Information
Directors |
F T Gourlay M A Hedley |
Registered office |
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Accountants |
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MAF Pharma Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report 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). 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:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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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.
Chartered Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
MAF Pharma Limited
for the Year Ended 31 May 2024
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of MAF Pharma Limited for the year ended 31 May 2024 as set out on pages 4 to 10 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 of Scotland, we are subject to its ethical and other professional requirements which are detailed at www.icas.com/accountspreparationguidance.
This report is made solely to you, in accordance with the terms of our engagement. Our work has been undertaken solely to prepare for your approval the financial information of MAF Pharma Limited and state those matters that we have agreed to state to you in this report in accordance with the requirements of the Institute of Chartered Accountants of Scotland as detailed at http://www.icas.com/accountspreparationguidance. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company for our work or for this report.
It is your duty to ensure that MAF Pharma 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 MAF Pharma Limited. You consider that MAF Pharma 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 MAF Pharma 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.
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Chartered Accountants
Edinburgh
Lothian
EH9 3DP
MAF Pharma Limited
(Registration number: SC361174)
Balance Sheet as at 31 May 2024
Note |
2024 |
2023 |
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Fixed assets |
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Tangible assets |
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Investments |
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Current assets |
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Stocks |
- |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
( |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
100 |
100 |
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Retained earnings |
227,415 |
201,522 |
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Shareholders' funds |
227,515 |
201,622 |
For the financial year ending 31 May 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
• |
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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 provisions applicable to companies subject to the small companies regime and FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’.
These financial statements have been prepared and 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
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MAF Pharma Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024
Statutory information |
The company is a private company limited by share capital, incorporated in Scotland.
The address of its registered office is:
Scotland
The principal place of business is:
Unit 6
Katherine Park
Katherine Street
Kirkcaldy
Fife
KY2 5JY
Scotland
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.
The presentation currency is sterling.
Revenue recognition
Turnover represents sales of pharmaceutical products, excluding value added tax and net of discounts allowed, recognised when goods are despatched.
Foreign currency transactions and balances
Tangible assets
Tangible assets are stated in the balance sheet at cost less accumulated depreciation and accumulated impairment losses.
Depreciation
Depreciation is charged so as to write off the cost less residual value of each asset over its estimated useful life, as follows:
Asset class |
Depreciation method and rate |
Motor vehicles |
25% straight line |
Office equipment |
25% straignt line |
Fixtures |
over the remaining lease term |
Investments
Investments in associated undertakings are recognised at cost less impairment.
MAF Pharma Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024
Impairment of assets
At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets 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 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 carrying 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.
Stock
Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items, and comprises pharmaceutical products for resale.
Financial instruments
Basic financial assets, which include stock, debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market value rate of interest.Financial assets classified as receivable within one year are not amortised.
Classification of Financial Liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic Financial Liabilities
Basic financial liabilities, which include creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Tax
Taxation for the year comprises current and deferred tax. Tax is recognised in the profit and loss account, 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 corporation tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.
Timing differences arise from the inclusion of income and expenses in tax assessments in periods 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.
Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.
The interest element of these obligations is charged to profit or loss over the relevant period on the straight line basis. The capital element of the future payments is treated as a liability.
Rentals paid under operating leases are charged to profit or loss on the straight line basis over the period of the lease.
MAF Pharma Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024
Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme for its employees. The assets of this scheme are held separately from those of the company in an independently administered fund. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.
Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Other operating income |
2024 |
2023 |
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£ |
£ |
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Facility and administration |
97,500 |
89,920 |
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Management charges receivable |
84,000 |
84,000 |
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Other income |
- |
13,748 |
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181,500 |
187,668 |
Taxation |
2024 |
2023 |
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Current tax: |
£ |
£ |
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UK Corporation tax charge / (credit) |
7,652 |
649 |
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7,652 |
649 |
MAF Pharma Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024
Tangible assets |
Fixtures and fittings |
Plant and machinery |
Total |
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Cost |
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At 1 June 2023 |
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Additions |
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- |
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At 31 May 2024 |
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Depreciation |
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At 1 June 2023 |
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Charge for the year |
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At 31 May 2024 |
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Carrying amount |
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At 31 May 2024 |
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At 31 May 2023 |
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Investments |
2024 |
2023 |
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Investments in associates |
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Associates |
£ |
Cost |
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At 1 June 2023 |
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Provision |
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Carrying amount |
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At 31 May 2024 |
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At 31 May 2023 |
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Investments in associates represents a 50% holding in Wellbeing (Keynsham) Limited.
MAF Pharma Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024
Debtors |
Note |
2024 |
2023 |
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Trade debtors |
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Amounts owed by group undertakings and undertakings in which the company has a participating interest |
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Prepayments |
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Other debtors |
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Included in trade debtors are balances due from related companies of £188,864 (2023 £166,190), of which £137,400 (2023 £128,526) is due from Wellbeing Pharmacies Limited and £51,464 (2023 £30,464) is due from Hygeia International Limited. Further details of related companies are set out in note 13.
Amounts owed by group undertakings and other related companies comprise £146,550 (2023 £138,517), of which £80,270 (2023 £80,270) is due from Wellbeing (Keynsham) Limited and £65,447 (2023 £58,247) is due from Hygeia International Limited. These balances are repayable on demand and are interest free.
Creditors |
Creditors: amounts falling due within one year
Note |
2024 |
2023 |
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Due within one year |
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Loans and borrowings |
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Trade creditors |
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Taxation and social security |
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Accruals and deferred income |
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Other creditors |
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Other creditors include loans of £95,000 (2023 £80,000) from directors. Details of directors' loans are set out in note 13.
Creditors: amounts falling due after more than one year
Note |
2024 |
2023 |
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Due after one year |
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Loans and borrowings |
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Share capital |
Allotted, called up and fully paid shares
2024 |
2023 |
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No. |
£ |
No. |
£ |
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Ordinary shares of £1 each |
100 |
100 |
100 |
100 |
MAF Pharma Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024
Loans and borrowings |
Non-current loans and borrowings
2024 |
2023 |
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Bank borrowings |
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Current loans and borrowings
2024 |
2023 |
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Bank borrowings |
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In May 2020 the company borrowed £50,000 through the government's bounce back loan scheme, made available to businesses in response to the coronavirus pandemic. The loan is interest free for the first 12 months (the first 12 months interest is payable by the UK Government) and no repayments were due within this period. Interest is then charged at 2.5% per annum and the loan is repayable over the following 5 years by monthly instalment.
Leasing agreements |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
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2024 |
2023 |
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£ |
£ |
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Within one year |
6,030 |
6,030 |
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Between one and five years |
624 |
6,678 |
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6,654 |
12,708 |
Related party transactions |
Mr M A Hedley and Mr F T Gourlay, directors and shareholders of MAF Pharma Limited, are also directors and shareholders in a number of companies operating retail pharmacies and other health related businesses. MAF Pharma Limited operates as a pharmaceutical wholesaler who supplies goods and provides accounting and administration services to these related companies on a commercial, arms length basis.
During the year MAF Pharma Limited:
> supplied goods and services to the value of £21,000 (2023 £30,464) to Hygeia International Limited, a company in which Mr M A Hedley and Mr F T Gourlay are directors;
> supplied goods and services to the value of £92,636 (2023 £93,501) to Wellbeing Pharmacies Limited, a company in which Mr M A Hedley and Mr F T Gourlay are directors.
At the year end loans due to directors were as follows:
Interest: |
Repayment terms: |
2024 |
2023 |
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£ |
£ |
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Mr M A Hedley |
no interest |
no fixed repayment terms |
45,000 |
40,000 |
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Mr F T Gourlay |
no interest |
no fixed repayment terms |
50,000 |
40,000 |
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95,000 |
80,000 |