Lavender Cosmetics Limited 04722592 false 2023-09-01 2024-08-31 2024-08-31 The principal activity of the company is that of the holding company of Susan Molyneux Cosmetics Limited and Carlton Professional International Limited Digita Accounts Production Advanced 6.30.9574.0 true false true false false 04722592 2023-09-01 2024-08-31 04722592 2024-08-31 04722592 core:FinancialAssetsCostLessImpairment core:Non-currentFinancialInstruments 2024-08-31 04722592 core:CurrentFinancialInstruments 2024-08-31 04722592 core:CurrentFinancialInstruments core:WithinOneYear 2024-08-31 04722592 core:Non-currentFinancialInstruments 2024-08-31 04722592 core:Non-currentFinancialInstruments core:AfterOneYear 2024-08-31 04722592 core:DevelopmentCostsCapitalisedDevelopmentExpenditure 2024-08-31 04722592 core:FurnitureFittingsToolsEquipment 2024-08-31 04722592 bus:SmallEntities 2023-09-01 2024-08-31 04722592 bus:AuditExemptWithAccountantsReport 2023-09-01 2024-08-31 04722592 bus:FilletedAccounts 2023-09-01 2024-08-31 04722592 bus:SmallCompaniesRegimeForAccounts 2023-09-01 2024-08-31 04722592 bus:RegisteredOffice 2023-09-01 2024-08-31 04722592 bus:Director1 2023-09-01 2024-08-31 04722592 bus:PrivateLimitedCompanyLtd 2023-09-01 2024-08-31 04722592 core:DevelopmentCostsCapitalisedDevelopmentExpenditure 2023-09-01 2024-08-31 04722592 core:FurnitureFittingsToolsEquipment 2023-09-01 2024-08-31 04722592 core:Subsidiary1 2023-09-01 2024-08-31 04722592 core:Subsidiary2 2023-09-01 2024-08-31 04722592 countries:EnglandWales 2023-09-01 2024-08-31 04722592 core:DevelopmentCostsCapitalisedDevelopmentExpenditure 2023-08-31 04722592 core:FurnitureFittingsToolsEquipment 2023-08-31 04722592 2022-09-01 2023-08-31 04722592 2023-08-31 04722592 core:CurrentFinancialInstruments 2023-08-31 04722592 core:CurrentFinancialInstruments core:WithinOneYear 2023-08-31 04722592 core:Non-currentFinancialInstruments 2023-08-31 04722592 core:Non-currentFinancialInstruments core:AfterOneYear 2023-08-31 04722592 core:CostValuation 2023-08-31 04722592 core:FurnitureFittingsToolsEquipment 2023-08-31 04722592 core:Subsidiary1 2022-09-01 2023-08-31 04722592 core:Subsidiary2 2022-09-01 2023-08-31 iso4217:GBP xbrli:pure

Registration number: 04722592

Prepared for the registrar

Lavender Cosmetics Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 August 2024

 

Lavender Cosmetics Limited

Contents

Balance Sheet

1

Notes to the Financial Statements

2 to 9

 

Lavender Cosmetics Limited

(Registration number: 04722592)
Balance Sheet as at 31 August 2024

Note

2024
£

2023
£

Fixed assets

 

Intangible assets

4

18,750

-

Tangible assets

5

11,814

29,427

Investments

6

3,140,390

3,140,390

Other financial assets

7

-

121,000

 

3,170,954

3,290,817

Current assets

 

Debtors

8

243,119

1,807

Cash at bank and in hand

 

125

36

 

243,244

1,843

Creditors: Amounts falling due within one year

9

(1,491,505)

(1,582,845)

Net current liabilities

 

(1,248,261)

(1,581,002)

Total assets less current liabilities

 

1,922,693

1,709,815

Creditors: Amounts falling due after more than one year

9

(208,105)

(18,883)

Net assets

 

1,714,588

1,690,932

Capital and reserves

 

Called up share capital

80,398

80,398

Retained earnings

1,634,190

1,610,534

Shareholders' funds

 

1,714,588

1,690,932

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

Director's 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 director acknowledges his 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 director has not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the director on 26 May 2025
 


L Van Bekkum
Director

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 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:
Unit 10 Neptune Business Park
Tewkesbury Road
Cheltenham
GL51 9FB

 

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 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 except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Group accounts not prepared

The company has taken advantage of the exemption in section 398 of the Companies Act 2006 from the requirement to prepare consolidated financial statements, on the grounds that it is a small group.

Going concern

After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.

Critical accounting judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
 

Judgements

No significant judgements have been made by management in preparing these financial statements.

Key sources of estimation uncertainty

No key sources of estimation uncertainty have been identified by management in preparing these financial statements other than those detailed in these accounting policies.

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the company.

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.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing on the initial transaction dates.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current 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 on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the consolidated financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

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

Trademark costs and brand names are capitalised and amortised over a period of four years.

Investments

Investments in subsiaries are stated at historical cost less provision for any diminution in value. Dividends from investments are recognised when receivable.

Investments in racehorses are initially recognised at cost and subsequently recognised at fair value with any revaluation gains recognised in reserves and any revaluation losses recognised in the Profit and Loss account to the extent that they do not reverse previous gains.

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 creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable 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 all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024

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.

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.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Financial Instruments


Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.
 


Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024


Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

 

3

Staff numbers

The average number of persons employed by the company (including the director) during the year, was 1 (2023 - 1).

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024

 

4

Intangible assets

Trademark costs and brand names
 £

Cost

At 1 September 2023

68,362

Additions acquired separately

25,000

At 31 August 2024

93,362

Amortisation

At 1 September 2023

68,362

Amortisation charge

6,250

At 31 August 2024

74,612

Carrying amount

At 31 August 2024

18,750

 

5

Tangible assets

Furniture, fittings and equipment
 £

Cost

At 1 September 2023

88,064

At 31 August 2024

88,064

Depreciation

At 1 September 2023

58,637

Charge for the year

17,613

At 31 August 2024

76,250

Carrying amount

At 31 August 2024

11,814

At 31 August 2023

29,427

 

6

Investments

Subsidiaries
£

Cost

At 1 September 2023 and at 31 August 2024

3,140,390

Cost and carrying amount

At 31 August 2023 and at 31 August 2024

3,140,390

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024

 

6

Investments (continued)

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2024

2023

Subsidiary undertakings

Susan Molyneux Cosmetics Limited

Unit 10 Neptune Business Park
Tewkesbury Road
Cheltenham
GL51 9FB

Ordinary A and B shares

100%

100%

 

     

Carlton Professional International Limited

Ellenborough House, Wellington Street, Cheltenham, GL50 1YD

Ordinary

51%

51%

 

     

The principal activity of Susan Molyneux Cosmetics Limited, a company incorporated in England and Wales, is the manufacture and sale of cosmetics.

The principal activity of Carlton Professional International Limited, a company incorporated in England and Wales, is the sale of cosmetic products and equipment.

 

7

Other financial assets (current and non-current)

Racehorses at valuation
£

Non-current financial assets

Cost or valuation

At 1 September 2023

121,000

Disposals

(121,000)

At 31 August 2024

-

Carrying amount

At 31 August 2024

-

 

8

Debtors

2024
£

2023
£

Prepayments

1,377

1,377

Other debtors

241,742

430

243,119

1,807

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024

 

9

Creditors

Note

2024
£

2023
£

Due within one year

 

Loans and borrowings

10

48,696

75,524

Trade creditors

 

2,917

11,042

Amounts due to related parties

 

1,365,339

1,476,060

Taxation and social security

 

70,435

16,401

Accruals and deferred income

 

4,118

3,818

 

1,491,505

1,582,845

Note

2024
£

2023
£

Due after one year

 

Loans and borrowings

10

208,105

18,883

 

10

Loans and borrowings

Current loans and borrowings

2024
£

2023
£

Bank borrowings

48,696

75,524

Non-current loans and borrowings

2024
£

2023
£

Bank borrowings

208,105

18,883

The bank loan is secured under a cross guarantee by and between Susan Molyneux Cosmetics Limited and Lavender Cosmetics Limited over the assets of the group.

 

11

Control

The ultimate controlling party is the director.

 

Lavender Cosmetics Limited

Notes to the Financial Statements for the Year Ended 31 August 2024

 

12

Related party transactions

Susan Molyneux Cosmetics Limited

(a wholly owned subsidiary)

During the year, management charges of £50,000 (2023 - £37,800), product licence fees of £50,000 (2023 - £22,200) and website fees of £50,000 (2023 - £nil) were received from Susan Molyneux Cosmetics Limited and payments were made on the company's behalf by Susan Molyneux Cosmetics Limited. At the balance sheet date the amount due to Susan Molyneux Cosmetics was £1,175,498 (2023 - £1,242,605).

Carlton Professional International Limited
(a subsidiary)

During the year, product licence fees of £50,000 (2023 - £nil) and website fees of £50,000 (2023 - £nil) were received from Carlton Professional International Limited. Costs were paid by Carlton Professional International Limited on behalf of the company totalling £6,386 (2023 - £45,037). At the balance sheet date the amount due to Carlton Professional International Limited was £189,841 (2023 - £233,455).

L Van Bekkum

(Director)

During the year the Director was advanced £140,484 (2023 - Director advanced £2,665 to the Company) from Company. At the balance sheet date L Van Bekkum owed £137,502 (2023: Company owed £2,830) to the Company.

 

Lavender Cosmetics Limited

Detailed Profit and Loss Account for the Year Ended 31 August 2024

2024
£

2023
£

Turnover

Licence fee royalties

200,000

22,200

Management charges receivable

50,000

37,800

250,000

60,000

General administrative expenses

Sundry expenses

2,611

2,079

Expenses relating to race horses

3,118

28,490

Legal and professional fees

-

6,874

5,729

37,443

Finance charges

Bank charges

3,060

150

3,060

150

Depreciation costs

Amortisation of development costs

6,250

-

Depreciation of fixtures and fittings

17,613

17,613

23,863

17,613

Other expenses

(Profit)/loss on disposal of fixed asset investments

(117,713)

-

Interest payable and similar expenses

Bank loan interest payable

21,945

9,914

21,945

9,914