| REGISTERED NUMBER: 10663299 (England and Wales) |
| Group Strategic Report, Report of the Directors and |
| Consolidated Financial Statements for the Year Ended 31 August 2024 |
| for |
| The Clay Oven Group Limited |
| REGISTERED NUMBER: 10663299 (England and Wales) |
| Group Strategic Report, Report of the Directors and |
| Consolidated Financial Statements for the Year Ended 31 August 2024 |
| for |
| The Clay Oven Group Limited |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Contents of the Consolidated Financial Statements |
| for the Year Ended 31 August 2024 |
| Page |
| Company Information | 1 |
| Group Strategic Report | 2 |
| Report of the Directors | 3 |
| Report of the Independent Auditors | 5 |
| Consolidated Income Statement | 8 |
| Consolidated Other Comprehensive Income | 9 |
| Consolidated Balance Sheet | 10 |
| Company Balance Sheet | 11 |
| Consolidated Statement of Changes in Equity | 12 |
| Company Statement of Changes in Equity | 13 |
| Consolidated Cash Flow Statement | 14 |
| Notes to the Consolidated Cash Flow Statement | 15 |
| Notes to the Consolidated Financial Statements | 17 |
| The Clay Oven Group Limited |
| Company Information |
| for the Year Ended 31 August 2024 |
| DIRECTORS: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| AUDITORS: |
| Chartered Accountants |
| Statutory Auditors |
| 364-368 Cranbrook Road |
| Gants Hill |
| Ilford |
| Essex |
| IG2 6HY |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Group Strategic Report |
| for the Year Ended 31 August 2024 |
| The directors present their strategic report of the company and the group for the year ended 31 August 2024. |
| REVIEW OF BUSINESS |
| The principal activity of the group in the year under review was that of event catering and hotelier. |
| Key Financial Performance Indicators |
| The group key financial and other performance indicators during the year were as follows: |
| 2024 | 2023 |
| Turnover (continuing operations) | 6,024,889 | 5,751,827 |
| Operating Profit | 467,048 | 362,928 |
| Profit/(Loss) after Tax | (290,410 | ) | (193,399 | ) |
| Shareholder's Equity | 7,701,139 | 7,991,549 |
| Non-Financial Performance Indicators |
| The Management of Human Resources |
| Directors has regular meeting with key management employees to ensure any issues relating to staff are resolved as a priority.This has helped group to have low level of staff turnover and increased efficiencies. |
| Customer Centric Approach |
| The group ensures that service provided to both corporate and private individuals is second to none with the emphasis on an amazing experience visiting the venue and the service received. |
| Brand Awareness |
| The group has been increasing its brand awareness. |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| The directors hold regular meetings with key management employees to evaluate the group's risk management process. Full due diligence is carried out on customers and suppliers to ensure compliance with relevant legislation and to have a better understanding of their needs. |
| The group recognises increased price competition in the market place which will continue to put pressure on its margins.The group is overcoming this risk by growing in niche sectors with higher margins. |
| ON BEHALF OF THE BOARD: |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Report of the Directors |
| for the Year Ended 31 August 2024 |
| The directors present their report with the financial statements of the company and the group for the year ended 31 August 2024. |
| DIVIDENDS |
| No dividends will be distributed for the year ended 31 August 2024. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 September 2023 to the date of this report. |
| FINANCIAL MANAGEMENT |
| Liquidity risk |
| The group manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the group has sufficient liquid resources to meet the operating needs of the business. |
| Interest rate risk |
| The group is exposed to fair value interest rate risk on its fixed rate borrowings and cash flow interest rate risk on bank overdrafts and loans. |
| Credit risk |
| Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board. |
| All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are reviewed on a regular basis and provision is made for doubtful debts when necessary. |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Group 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). 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Report of the Directors |
| for the Year Ended 31 August 2024 |
| 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 group'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 group's auditors are aware of that information. |
| AUDITORS |
| The auditors, Prestons, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
| ON BEHALF OF THE BOARD: |
| Report of the Independent Auditors to the Members of |
| The Clay Oven Group Limited |
| Opinion |
| We have audited the financial statements of The Clay Oven Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 31 August 2024 and of the group's loss 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 group 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 group's and the parent 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 directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
| 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. |
| In connection with our audit of the financial statements, 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. |
| Report of the Independent Auditors to the Members of |
| The Clay Oven Group Limited |
| 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the parent company 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. |
| 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 group's and the parent 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 group or the parent 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. |
| Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities to detect material misstatement in respect of irregularities, including fraud. |
| 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. |
| Report of the Independent Auditors to the Members of |
| The Clay Oven Group Limited |
| 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 |
| Chartered Accountants |
| Statutory Auditors |
| 364-368 Cranbrook Road |
| Gants Hill |
| Ilford |
| Essex |
| IG2 6HY |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Consolidated Income Statement |
| for the Year Ended 31 August 2024 |
| 31.8.24 | 31.8.23 |
| Notes | £ | £ |
| TURNOVER | 6,024,889 | 5,751,827 |
| Cost of sales | 2,828,540 | 2,531,747 |
| GROSS PROFIT | 3,196,349 | 3,220,080 |
| Administrative expenses | 3,330,406 | 3,258,111 |
| (134,057 | ) | (38,031 | ) |
| Other operating income | 601,105 | 400,959 |
| OPERATING PROFIT | 4 | 467,048 | 362,928 |
| Interest receivable and similar income | 6,906 | 5,968 |
| 473,954 | 368,896 |
| Interest payable and similar expenses | 5 | 736,846 | 329,024 |
| (LOSS)/PROFIT BEFORE TAXATION | (262,892 | ) | 39,872 |
| Tax on (loss)/profit | 6 | 27,518 | 233,271 |
| LOSS FOR THE FINANCIAL YEAR | ( |
) | ( |
) |
| Loss attributable to: |
| Owners of the parent | (290,410 | ) | (193,399 | ) |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Consolidated Other Comprehensive Income |
| for the Year Ended 31 August 2024 |
| 31.8.24 | 31.8.23 |
| Notes | £ | £ |
| LOSS FOR THE YEAR | (290,410 | ) | (193,399 | ) |
| OTHER COMPREHENSIVE INCOME | - | - |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
(290,410 |
) |
(193,399 |
) |
| Total comprehensive income attributable to: |
| Owners of the parent | (290,410 | ) | (193,399 | ) |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Consolidated Balance Sheet |
| 31 August 2024 |
| 31.8.24 | 31.8.23 |
| Notes | £ | £ | £ |
| FIXED ASSETS |
| Tangible assets | 8 | 11,445,835 | 12,063,837 |
| Investments | 9 | 130,000 | 130,000 |
| Investment property | 10 | 7,730,813 | 7,730,813 |
| 19,306,648 | 19,924,650 |
| CURRENT ASSETS |
| Stocks | 11 | 68,706 | 70,841 |
| Debtors | 12 | 2,888,002 | 2,081,984 |
| Cash at bank and in hand | 2,468,083 | 2,433,522 |
| 5,424,791 | 4,586,347 |
| CREDITORS |
| Amounts falling due within one year | 13 | 2,698,143 | 2,706,115 |
| NET CURRENT ASSETS | 2,726,648 | 1,880,232 |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
22,033,296 |
21,804,882 |
| CREDITORS |
| Amounts falling due after more than one year |
14 |
(12,404,530 |
) |
(11,863,757 |
) |
| PROVISIONS FOR LIABILITIES | 17 | (1,927,627 | ) | (1,949,576 | ) |
| NET ASSETS | 7,701,139 | 7,991,549 |
| CAPITAL AND RESERVES |
| Called up share capital | 18 | 200,100 | 200,100 |
| Retained earnings | 19 | 7,501,039 | 7,791,449 |
| SHAREHOLDERS' FUNDS | 7,701,139 | 7,991,549 |
| The financial statements were approved by the Board of Directors and authorised for issue on 23 May 2025 and were signed on its behalf by: |
| N Khanna - Director |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Company Balance Sheet |
| 31 August 2024 |
| 31.8.24 | 31.8.23 |
| Notes | £ | £ |
| FIXED ASSETS |
| Tangible assets | 8 |
| Investments | 9 |
| Investment property | 10 |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CAPITAL AND RESERVES |
| Called up share capital | 18 |
| SHAREHOLDERS' FUNDS |
| Company's profit for the financial year | - | - |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Consolidated Statement of Changes in Equity |
| for the Year Ended 31 August 2024 |
| Called up |
| share | Retained | Total |
| capital | earnings | equity |
| £ | £ | £ |
| Balance at 1 September 2022 | 200,100 | 7,984,848 | 8,184,948 |
| Changes in equity |
| Total comprehensive income | - | (193,399 | ) | (193,399 | ) |
| Balance at 31 August 2023 | 200,100 | 7,791,449 | 7,991,549 |
| Changes in equity |
| Total comprehensive income | - | (290,410 | ) | (290,410 | ) |
| Balance at 31 August 2024 | 200,100 | 7,501,039 | 7,701,139 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Company Statement of Changes in Equity |
| for the Year Ended 31 August 2024 |
| Called up |
| share | Retained | Total |
| capital | earnings | equity |
| £ | £ | £ |
| Balance at 1 September 2022 |
| Changes in equity |
| Balance at 31 August 2023 |
| Changes in equity |
| Balance at 31 August 2024 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Consolidated Cash Flow Statement |
| for the Year Ended 31 August 2024 |
| 31.8.24 | 31.8.23 |
| Notes | £ | £ |
| Cash flows from operating activities |
| Cash generated from operations | 1 | 847,846 | 1,183,148 |
| Interest paid | (734,143 | ) | (326,997 | ) |
| Interest element of hire purchase payments paid |
(2,703 |
) |
(2,027 |
) |
| Tax paid | (98,083 | ) | (85,976 | ) |
| Net cash from operating activities | 12,917 | 768,148 |
| Cash flows from investing activities |
| Purchase of tangible fixed assets | (332,953 | ) | (1,143,414 | ) |
| Purchase of investment property | - | (590,813 | ) |
| Sale of tangible fixed assets | 1,139 | - |
| Interest received | 6,906 | 5,968 |
| Net cash from investing activities | (324,908 | ) | (1,728,259 | ) |
| Cash flows from financing activities |
| New loans in year | 809,907 | 1,571,332 |
| Loan repayments in year | (237,300 | ) | - |
| Capital repayments in year | (31,833 | ) | (30,151 | ) |
| Amount introduced by directors | - | 706,428 |
| Amount withdrawn by directors | (194,222 | ) | (726,825 | ) |
| Net cash from financing activities | 346,552 | 1,520,784 |
| Increase in cash and cash equivalents | 34,561 | 560,673 |
| Cash and cash equivalents at beginning of year |
2 |
2,433,522 |
1,872,849 |
| Cash and cash equivalents at end of year |
2 |
2,468,083 |
2,433,522 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Cash Flow Statement |
| for the Year Ended 31 August 2024 |
| 1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
| 31.8.24 | 31.8.23 |
| £ | £ |
| (Loss)/profit before taxation | (262,892 | ) | 39,872 |
| Depreciation charges | 950,954 | 868,634 |
| Profit on disposal of fixed assets | (1,139 | ) | - |
| Government grants | - | 3,124 |
| Finance costs | 736,846 | 329,024 |
| Finance income | (6,906 | ) | (5,968 | ) |
| 1,416,863 | 1,234,686 |
| Decrease/(increase) in stocks | 2,135 | (15,586 | ) |
| (Increase)/decrease in trade and other debtors | (738,704 | ) | 255,919 |
| Increase/(decrease) in trade and other creditors | 167,552 | (291,871 | ) |
| Cash generated from operations | 847,846 | 1,183,148 |
| 2. | CASH AND CASH EQUIVALENTS |
| The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
| Year ended 31 August 2024 |
| 31/8/24 | 1/9/23 |
| £ | £ |
| Cash and cash equivalents | 2,468,083 | 2,433,522 |
| Year ended 31 August 2023 |
| 31/8/23 | 1/9/22 |
| £ | £ |
| Cash and cash equivalents | 2,433,522 | 1,872,849 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Cash Flow Statement |
| for the Year Ended 31 August 2024 |
| 3. | ANALYSIS OF CHANGES IN NET DEBT |
| At 1/9/23 | Cash flow | At 31/8/24 |
| £ | £ | £ |
| Net cash |
| Cash at bank and in hand | 2,433,522 | 34,561 | 2,468,083 |
| 2,433,522 | 34,561 | 2,468,083 |
| Debt |
| Finance leases | (74,861 | ) | 31,833 | (43,028 | ) |
| Debts falling due within 1 year | (60,000 | ) | - | (60,000 | ) |
| Debts falling due after 1 year | (11,805,445 | ) | (572,606 | ) | (12,378,051 | ) |
| (11,940,306 | ) | (540,773 | ) | (12,481,079 | ) |
| Total | (9,506,784 | ) | (506,212 | ) | (10,012,996 | ) |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements |
| for the Year Ended 31 August 2024 |
| 1. | STATUTORY INFORMATION |
| The Clay Oven Group Limited is a |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Basis of consolidation |
| The consolidated accounts are prepared in accordance with the Group’s accounting principles and include the accounts of the Parent Company and all Group companies. Group companies are consolidated from the date the Group exercises control or influence over the company. |
| Subsidiaries acquired during the year are consolidated using the purchase method. Their results are incorporated from the date that control passes. |
| All financial statements are made upto 31st August 2023. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group. |
| All inter-group transactions, balances and unrealized gains on transactions between group companies are eliminated on consolidation. |
| Turnover |
| Turnover is measured as the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover from the sale of good is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. |
| Tangible fixed assets |
| Freehold land and buildings | 10 years straight line |
| Leasehold improvements | 7 years straight line |
| Plant and equipments | 7 years straight line |
| Fixtures and fittings | 7 years straight line |
| Motor vehicles | 3 years straight line |
| Tangible assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. |
| Investment property |
| Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Stocks |
| Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Finished goods include labour and attributable overheads. |
| At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit and loss. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, 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 balance sheet date. |
| Deferred tax |
| 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 and assets which are held at valuation. 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 |
| 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 group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| Financial instruments are recognised in the group's balance sheet when the group becomes party to the |
| contractual provisions of the instrument. |
| 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. |
| Basic financial assets |
| Basic financial assets, which include 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 arrangements constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
| Impairment of assets |
| At each reporting period end date, the group reviews the carrying amounts of its tangible, intangible and other assets to determine whether there is any indication that those assets have suffered an impairment loss. If such an indication exists, the recoverable amount of asset is estimated in order to determine the extent of the impairment loss (if any). |
| 3. | EMPLOYEES AND DIRECTORS |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Wages and salaries | 2,031,464 | 2,023,665 |
| Social security costs | 115,798 | 98,468 |
| Other pension costs | 26,434 | 24,349 |
| 2,173,696 | 2,146,482 |
| The average number of employees during the year was as follows: |
| 31.8.24 | 31.8.23 |
| Operational and management |
| The average number of employees by undertakings that were proportionately consolidated during the year was 92 (2023 - 77 ) . |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Directors' remuneration | 60,000 | 99,250 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 4. | OPERATING PROFIT |
| The operating profit is stated after charging/(crediting): |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Hire of plant and machinery | 18,116 | 21,753 |
| Other operating leases | 73,942 | 91,860 |
| Depreciation - owned assets | 950,955 | 868,634 |
| Profit on disposal of fixed assets | (1,139 | ) | - |
| Auditors' remuneration | 22,147 | 16,028 |
| 5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Bank loan interest | 734,143 | 326,997 |
| Hire purchase charges | 2,703 | 2,027 |
| 736,846 | 329,024 |
| 6. | TAXATION |
| Analysis of the tax charge |
| The tax charge on the loss for the year was as follows: |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Current tax: |
| UK corporation tax | 49,467 | - |
| Corporation tax-prior year | - | 56,535 |
| Total current tax | 49,467 | 56,535 |
| Deferred tax | (21,949 | ) | 176,736 |
| Tax on (loss)/profit | 27,518 | 233,271 |
| 7. | INDIVIDUAL INCOME STATEMENT |
| As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 8. | TANGIBLE FIXED ASSETS |
| Group |
| Improvements |
| Freehold | Long | to |
| property | leasehold | property |
| £ | £ | £ |
| COST |
| At 1 September 2023 | 10,405,486 | 19,639 | 489,028 |
| Additions | - | - | 29,583 |
| At 31 August 2024 | 10,405,486 | 19,639 | 518,611 |
| DEPRECIATION |
| At 1 September 2023 | 936,494 | 14,261 | 377,181 |
| Charge for year | 208,110 | 2,806 | 911 |
| At 31 August 2024 | 1,144,604 | 17,067 | 378,092 |
| NET BOOK VALUE |
| At 31 August 2024 | 9,260,882 | 2,572 | 140,519 |
| At 31 August 2023 | 9,468,992 | 5,378 | 111,847 |
| Fixtures |
| Plant and | and | Motor |
| machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ |
| COST |
| At 1 September 2023 | 275,860 | 6,692,257 | 229,954 | 18,112,224 |
| Additions | - | 303,370 | - | 332,953 |
| At 31 August 2024 | 275,860 | 6,995,627 | 229,954 | 18,445,177 |
| DEPRECIATION |
| At 1 September 2023 | 263,724 | 4,270,451 | 186,276 | 6,048,387 |
| Charge for year | 340 | 727,868 | 10,920 | 950,955 |
| At 31 August 2024 | 264,064 | 4,998,319 | 197,196 | 6,999,342 |
| NET BOOK VALUE |
| At 31 August 2024 | 11,796 | 1,997,308 | 32,758 | 11,445,835 |
| At 31 August 2023 | 12,136 | 2,421,806 | 43,678 | 12,063,837 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 9. | FIXED ASSET INVESTMENTS |
| Group |
| Unlisted |
| investments |
| £ |
| COST |
| At 1 September 2023 |
| and 31 August 2024 | 130,000 |
| NET BOOK VALUE |
| At 31 August 2024 | 130,000 |
| At 31 August 2023 | 130,000 |
| Company |
| Unlisted |
| investments |
| £ |
| COST |
| At 1 September 2023 |
| and 31 August 2024 |
| NET BOOK VALUE |
| At 31 August 2024 |
| At 31 August 2023 |
| The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
| Subsidiaries |
| Registered office: Garlands, Sandy Lane, Northwood, Middlesex, England, HA6 3ES |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Aggregate capital and reserves |
| Profit for the year |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 9. | FIXED ASSET INVESTMENTS - continued |
| Registered office: Garlands, Sandy Lane, Northwood, Middlesex, United Kingdom, HA6 3ER |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Aggregate capital and reserves | ( |
) | ( |
) |
| Loss for the year | ( |
) | ( |
) |
| 10. | INVESTMENT PROPERTY |
| Group |
| Total |
| £ |
| FAIR VALUE |
| At 1 September 2023 |
| and 31 August 2024 | 7,730,813 |
| NET BOOK VALUE |
| At 31 August 2024 | 7,730,813 |
| At 31 August 2023 | 7,730,813 |
| 11. | STOCKS |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Stocks | 68,706 | 70,841 |
| 12. | DEBTORS |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Amounts falling due within one year: |
| Trade debtors | 50,553 | 187,498 |
| Other debtors | 1,587,186 | 807,802 |
| Directors' current accounts | 133,263 | 65,949 |
| Prepayments | 80,426 | 111,149 |
| 1,851,428 | 1,172,398 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 12. | DEBTORS - continued |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Amounts falling due after more than one | year: |
| Sundry debtors | 1,036,574 | 909,586 |
| Aggregate amounts | 2,888,002 | 2,081,984 |
| 13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Bank loans and overdrafts (see note 15) | 60,000 | 60,000 |
| Hire purchase contracts (see note 16) | 16,549 | 16,549 |
| Trade creditors | 577,902 | 372,885 |
| Tax | 23,359 | 71,975 |
| Social security and other taxes | 29,796 | 77,362 |
| VAT | 195,687 | 108,062 |
| Other creditors | 902,940 | 1,087,580 |
| Directors' current accounts | 548,020 | 674,928 |
| Accruals and deferred income | 343,890 | 236,774 |
| 2,698,143 | 2,706,115 |
| 14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Bank loans (see note 15) | 11,868,145 | 11,805,445 |
| Other loans (see note 15) | 509,906 | - |
| Hire purchase contracts (see note 16) | 26,479 | 58,312 |
| 12,404,530 | 11,863,757 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 15. | LOANS |
| An analysis of the maturity of loans is given below: |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Amounts falling due within one year or | on demand: |
| Loans | 60,000 | 60,000 |
| Amounts falling due between two and | five years: |
| CBIL loan | 40,000 | 100,000 |
| Investec Loan | 6,050,000 | 5,750,000 |
| Other loans - 2-5 years | 509,906 | - |
| 6,599,906 | 5,850,000 |
| Amounts falling due in more than five | years: |
| Repayable by instalments |
| Bank loans more 5 yr by instal | 5,778,145 | 5,955,445 |
| Loan amounts falling due between two and five years: |
| The bank loans of the company are secured over the freehold property owned by the company and a debenture over the company. Interest charged on the loan is 3.29%. |
| Loan amounts falling due in more than five years: |
| In April 2023, the company refinanced the existing loan with National Westminster Bank Plc by two new facilities as follows: |
| - A first facility of £4,940,000 is due for repayment by the 5th anniversary following first drawdown. Interest is payable at the Bank of England base rate + 2.14%. |
| - A second facility of £1,060,000 with quarterly capital and interest repayment with a final instalment due on 5th anniversary following the first drawdown Interest is payable at the Bank of England base rate + 2.14%. |
| Both loans are secured with a first legal charge over the assets of the company. |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 16. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Group |
| Hire purchase | contracts |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Gross obligations repayable: |
| Within one year | 16,549 | 16,549 |
| Between one and five years | 1,293 | 17,842 |
| 17,842 | 34,391 |
| Finance charges repayable: |
| Between one and five years | (25,186 | ) | (40,470 | ) |
| Net obligations repayable: |
| Within one year | 16,549 | 16,549 |
| Between one and five years | 26,479 | 58,312 |
| 43,028 | 74,861 |
| 17. | PROVISIONS FOR LIABILITIES |
| Group |
| 31.8.24 | 31.8.23 |
| £ | £ |
| Deferred tax |
| Other timing differences | 1,462,193 | 1,462,193 |
| Deferred tax | 465,434 | 487,383 |
| 1,927,627 | 1,949,576 |
| Group |
| Deferred |
| tax |
| £ |
| Balance at 1 September 2023 | 1,949,576 |
| Credit to Income Statement during year | (21,949 | ) |
| Balance at 31 August 2024 | 1,927,627 |
| The Clay Oven Group Limited (Registered number: 10663299) |
| Notes to the Consolidated Financial Statements - continued |
| for the Year Ended 31 August 2024 |
| 18. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 31.8.24 | 31.8.23 |
| value: | £ | £ |
| Ordinary | 1 | 200,100 | 200,100 |
| 19. | RESERVES |
| Group |
| Retained |
| earnings |
| £ |
| At 1 September 2023 | 7,791,449 |
| Deficit for the year | (290,410 | ) |
| At 31 August 2024 | 7,501,039 |
| Company |
| Retained |
| earnings |
| £ |
| Profit for the year |
| At 31 August 2024 |
| 20. | RELATED PARTY DISCLOSURES |
| As at the year end, the group gave a loan of £800,000 (2023: £800,000) to a company under common control. The loan is interest free and is repayable by March 2032. |
| The group has taken advantage of the exemption available in accordance with FRS 102 Section 33 'Related Party Disclosures' not to disclose transactions entered into between the two or more members of a group, as the company is a wholly owned subsidiary undertaking of the group to which it is party to the transactions. |