Silverfin false false 31/07/2024 01/08/2023 31/07/2024 J F Bradley J Lee 13/11/2020 A D Richards 13/11/2020 G N R Wilson 24/05/1996 17 April 2025 The principal activity of AKA Design Ltd ("the Company") is that of furniture design and manufacturing. 03203897 2024-07-31 03203897 bus:Director2 2024-07-31 03203897 bus:Director3 2024-07-31 03203897 bus:Director4 2024-07-31 03203897 2023-07-31 03203897 core:CurrentFinancialInstruments 2024-07-31 03203897 core:CurrentFinancialInstruments 2023-07-31 03203897 core:Non-currentFinancialInstruments 2024-07-31 03203897 core:Non-currentFinancialInstruments 2023-07-31 03203897 core:ShareCapital 2024-07-31 03203897 core:ShareCapital 2023-07-31 03203897 core:SharePremium 2024-07-31 03203897 core:SharePremium 2023-07-31 03203897 core:RevaluationReserve 2024-07-31 03203897 core:RevaluationReserve 2023-07-31 03203897 core:RetainedEarningsAccumulatedLosses 2024-07-31 03203897 core:RetainedEarningsAccumulatedLosses 2023-07-31 03203897 core:DevelopmentCostsCapitalisedDevelopmentExpenditure 2023-07-31 03203897 core:Non-standardIntangibleAssetClass1ComponentIntangibleAssetsOtherThanGoodwill 2023-07-31 03203897 core:DevelopmentCostsCapitalisedDevelopmentExpenditure 2024-07-31 03203897 core:Non-standardIntangibleAssetClass1ComponentIntangibleAssetsOtherThanGoodwill 2024-07-31 03203897 core:LeaseholdImprovements 2023-07-31 03203897 core:PlantMachinery 2023-07-31 03203897 core:Vehicles 2023-07-31 03203897 core:OfficeEquipment 2023-07-31 03203897 core:LeaseholdImprovements 2024-07-31 03203897 core:PlantMachinery 2024-07-31 03203897 core:Vehicles 2024-07-31 03203897 core:OfficeEquipment 2024-07-31 03203897 2022-07-31 03203897 bus:OrdinaryShareClass1 2024-07-31 03203897 2023-08-01 2024-07-31 03203897 bus:FilletedAccounts 2023-08-01 2024-07-31 03203897 bus:SmallEntities 2023-08-01 2024-07-31 03203897 bus:AuditExemptWithAccountantsReport 2023-08-01 2024-07-31 03203897 bus:PrivateLimitedCompanyLtd 2023-08-01 2024-07-31 03203897 bus:Director1 2023-08-01 2024-07-31 03203897 bus:Director2 2023-08-01 2024-07-31 03203897 bus:Director3 2023-08-01 2024-07-31 03203897 bus:Director4 2023-08-01 2024-07-31 03203897 core:DevelopmentCostsCapitalisedDevelopmentExpenditure 2023-08-01 2024-07-31 03203897 core:Non-standardIntangibleAssetClass1ComponentIntangibleAssetsOtherThanGoodwill 2023-08-01 2024-07-31 03203897 core:OtherResidualIntangibleAssets 2023-08-01 2024-07-31 03203897 core:LeaseholdImprovements core:TopRangeValue 2023-08-01 2024-07-31 03203897 core:PlantMachinery 2023-08-01 2024-07-31 03203897 core:Vehicles 2023-08-01 2024-07-31 03203897 core:OfficeEquipment 2023-08-01 2024-07-31 03203897 2022-08-01 2023-07-31 03203897 core:LeaseholdImprovements 2023-08-01 2024-07-31 03203897 core:CurrentFinancialInstruments 2023-08-01 2024-07-31 03203897 core:Non-currentFinancialInstruments 2023-08-01 2024-07-31 03203897 bus:OrdinaryShareClass1 2023-08-01 2024-07-31 03203897 bus:OrdinaryShareClass1 2022-08-01 2023-07-31 iso4217:GBP xbrli:pure xbrli:shares

Company No: 03203897 (England and Wales)

AKA DESIGN LIMITED

Unaudited Financial Statements
For the financial year ended 31 July 2024
Pages for filing with the registrar

AKA DESIGN LIMITED

Unaudited Financial Statements

For the financial year ended 31 July 2024

Contents

AKA DESIGN LIMITED

STATEMENT OF FINANCIAL POSITION

As at 31 July 2024
AKA DESIGN LIMITED

STATEMENT OF FINANCIAL POSITION (continued)

As at 31 July 2024
Note 2024 2023
£ £
Fixed assets
Intangible assets 3 50,421 37,911
Tangible assets 4 212,832 124,006
263,253 161,917
Current assets
Stocks 140,750 93,594
Debtors 5 238,907 336,803
Cash at bank and in hand 1,249 91,041
380,906 521,438
Creditors: amounts falling due within one year 6 ( 407,195) ( 504,243)
Net current (liabilities)/assets (26,289) 17,195
Total assets less current liabilities 236,964 179,112
Creditors: amounts falling due after more than one year 7 ( 78,539) ( 14,335)
Provision for liabilities 8 ( 31,191) ( 11,804)
Net assets 127,234 152,973
Capital and reserves
Called-up share capital 9 1,000 1,000
Share premium account 4,950 4,950
Revaluation reserve 45,580 56,271
Profit and loss account 75,704 90,752
Total shareholders' funds 127,234 152,973

For the financial year ending 31 July 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

These financial statements have been prepared in accordance with the provisions of FRS 102 Section 1A – small entities. The financial statements of AKA Design Limited (registered number: 03203897) were approved and authorised for issue by the Board of Directors. They were signed on its behalf by:

G N R Wilson
Director

17 April 2025

AKA DESIGN LIMITED

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 July 2024
AKA DESIGN LIMITED

NOTES TO THE FINANCIAL STATEMENTS

For the financial year ended 31 July 2024
1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

AKA Design Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the company's registered office is 2 Kingfisher Place, Clarendon Road, London, N22 6XF, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Going concern

The directors have assessed the Statement of Financial Position and likely future cash flows at the date of approving these financial statements. The directors have a reasonable expectation that the company has adequate resources to continue in operational existence and to meet its financial obligations as they fall due for at least 12 months from the date of signing these financial statements. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Statement of Financial Position date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Statement of Income and Retained Earnings in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

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. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Interest income

Interest income is recognised when it is probable that the economic benefits will flow to the company and the amount of revenue can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset's net carrying amount on initial recognition.

Employee benefits

Defined contribution schemes
The company operates a defined contribution scheme. The amount charged to the Statement of Income and Retained Earnings in respect of pension costs and other post-retirement benefits is the contributions payable in the financial year. Differences between contributions payable in the financial year and contributions actually paid are included as either accruals or prepayments in the Statement of Financial Position.

Finance costs

Finance costs are charged to the Statement of Income and Retained Earnings over the term of the debt using the effective interest method so the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Statement of Financial Position date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Intangible assets

Intangible assets are stated at cost or valuation, net of amortisation and any provision for impairment. Amortisation is provided on all intangible assets at rates to write off the cost or valuation of each asset over its expected useful life as follows:

Development costs 20 % reducing balance
Website costs 20 % reducing balance
Research and development

Research expenditure is written off as incurred. Development expenditure is also written off, except where the directors are satisfied as to the technical, commercial and financial viability of individual projects. In such cases, the identifiable expenditure is capitalised as an intangible asset and amortised over the period during which the company is expected to benefit. This period is between three and five years. Provision is made for any impairment.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Leasehold improvements 10 years straight line
Plant and machinery 10 % reducing balance
Vehicles 20 % reducing balance
Office equipment 20 % reducing balance

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

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.

Leases

The company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Statement of Income and Retained Earnings over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Statement of Financial Position date. If there is objective evidence of impairment, an impairment loss is recognised in the Statement of Income and Retained Earnings as described below.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Financial instruments

The Company only enters into basic financial instruments and transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to and from related parties and investments in non-puttable ordinary shares.

Financial assets
Basic financial assets, including trade and other debtors, and amounts due from related companies, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in the Statement of Income and Retained Earnings/Statement of Comprehensive Income.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial liabilities
Basic financial liabilities, including trade and other creditors and accruals, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

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 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.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Provisions

Provisions are recognised when the company has a present obligation (legal or constructive) as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Statement of Financial Position date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

2. Employees

2024 2023
Number Number
Monthly average number of persons employed by the company during the year, including directors 15 11

3. Intangible assets

Development costs Website costs Total
£ £ £
Cost
At 01 August 2023 52,270 22,390 74,660
Additions 19,823 6,344 26,167
At 31 July 2024 72,093 28,734 100,827
Accumulated amortisation
At 01 August 2023 28,208 8,541 36,749
Charge for the financial year 10,454 3,203 13,657
At 31 July 2024 38,662 11,744 50,406
Net book value
At 31 July 2024 33,431 16,990 50,421
At 31 July 2023 24,062 13,849 37,911

4. Tangible assets

Leasehold improve-
ments
Plant and machinery Vehicles Office equipment Total
£ £ £ £ £
Cost
At 01 August 2023 17,769 228,778 130,145 161,276 537,968
Additions 0 109,913 0 90 110,003
Disposals 0 ( 4,500) 0 0 ( 4,500)
At 31 July 2024 17,769 334,191 130,145 161,366 643,471
Accumulated depreciation
At 01 August 2023 12,709 165,283 90,795 145,175 413,962
Charge for the financial year 633 6,350 7,870 3,235 18,088
Disposals 0 ( 1,411) 0 0 ( 1,411)
At 31 July 2024 13,342 170,222 98,665 148,410 430,639
Net book value
At 31 July 2024 4,427 163,969 31,480 12,956 212,832
At 31 July 2023 5,060 63,495 39,350 16,101 124,006

5. Debtors

2024 2023
£ £
Trade debtors 149,145 280,932
Other debtors 89,762 55,871
238,907 336,803

6. Creditors: amounts falling due within one year

2024 2023
£ £
Bank loans and overdrafts 54,901 42,227
Trade creditors 161,683 185,754
Taxation and social security 15,205 64,758
Obligations under finance leases and hire purchase contracts 56,983 13,287
Other creditors 118,423 198,217
407,195 504,243

The hire purchase creditor is secured on the asset to which it relates.

7. Creditors: amounts falling due after more than one year

2024 2023
£ £
Obligations under finance leases and hire purchase contracts (secured) 78,539 14,335

The hire purchase creditor is secured on the asset to which it relates.

8. Deferred tax

2024 2023
£ £
At the beginning of financial year ( 11,804) ( 25,674)
(Charged)/credited to the Statement of Income and Retained Earnings ( 19,387) 13,870
At the end of financial year ( 31,191) ( 11,804)

9. Called-up share capital

2024 2023
£ £
Allotted, called-up and fully-paid
1,000 Ordinary A shares of £ 1.00 each 1,000 1,000

10. Financial commitments

Pensions

The company operates a defined contribution pension scheme for the directors and employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

2024 2023
£ £
Unpaid contributions due to the fund (inc. in creditors) 5,639 2,978

11. Related party transactions

As part of the management function, the company established supply chains for another company with common shareholders and a common director.

Included within fees receivable is income of £1,440 (2023: £1,440) from a company with common shareholders.

Included within creditors is a balance of £25,483 (2023: £3,872) due to the same company as above. This balance is unsecured and interest free with no fixed repayment terms.

12. Directors' benefits: advances, credit and guarantees

G N R Wilson has given a personal guarantee limited to £58,000 (2023: £58,000) in favour of the company's bankers.