Merman London Limited is a private company limited by shares incorporated in England and Wales. The registered office is Charlotte Building, 17 Gresse Street, London, W1T 1QL.
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 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.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
The average monthly number of persons (including directors) employed by the company during the year was:
The ordinary A and ordinary B shares have full voting, dividend and capital distribution (including on winding up) rights; they do not confer any rights of redemption.
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
During the year, the company made sales of £5,635 (2023: £2,429) and incurred purchases of £220,647 (2023: £213,322) from Merman USA LLC, a related party by virtue of common control. At the year end, an amount of £2,288 was due from Merman USA LLC (2023: £3,163).
During the year, the company recharged no costs (2023: £9,611) and made purchases of £25,202 (2023: £17,787) from Merman Television Limited, a related party by virtue of common directorship. At the year end, an amount of £2,852 (2023: £18,031) was due to Merman Television Limited.
During the year, the company made purchases of £134,750 2023: £72,218) from Sheedy Limited, a related party by virtue of common directorship. At the year end, an amount of £1,194 was due from Sheedy Limited (2023: £nil).
During the year, the company made purchases on behalf of Mermade London Limited of £3,917 (2023: £nil), a related party by virtue of common directorship. At the year end, an amount of £15,191 (2023: £11,274) was due from Mermade London Limited.
During the year, the company made purchases of £70,000 (2023: £38,382) from Sunburnt Penguin Productions Limited, a related party by virtue of common directorship.
During the year, the company made purchases of £390,250 (2023: £213,322) from Merman Branded LLC, a related party by virtue of common directorship.
During the year, the company advanced a total of £40,000 (2023: £nil) to the directors, resulting in a closing loan balance of £44,124 (2023: £124). The full balance was returned after the year end.