Registration number:
Mortimer Childe Ltd
for the Year Ended 30 September 2024
Mortimer Childe Ltd
Contents
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Company Information |
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Strategic Report |
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Directors' Report |
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Statement of Directors' Responsibilities |
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Independent Auditor's Report |
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Profit and Loss Account |
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Balance Sheet |
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Statement of Changes in Equity |
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Statement of Cash Flows |
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Notes to the Financial Statements |
Mortimer Childe Ltd
Company Information
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Directors |
Mrs Linda Margaret Brazier Sam Pelster |
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Registered office |
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Auditors |
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Mortimer Childe Ltd
Strategic Report for the Year Ended 30 September 2024
The directors present their strategic report for the year ended 30 September 2024.
Principal activity
The principal activity of the company is Contractor Employment Services
Fair review of the business
The turnover of the company has decreased significantly in the current year directly as a result of the loss of one customer, however this has led to an increase in the gross margin achieved as this customer was a high turnover/low margin generator.
The cost base for the company has reduced on a pro-rata basis, this mainly owing to the lower turnover and lower resources needed to support this. There was also some expenditure in the year incurred to support future operations of the company.
The outlook for 2025 is positive despite the general economic climate and ongoing uncertainties due to Brexit and the lasting effects of the COVID-19 pandemic.
The company has invested in business development in the current year which it expects to result in higher turnover and overall profitability.
The main KPIs which the business uses to monitor performance is turnover and gross margin acheived. For both of these measures in the year the business considers the results to be satisfactory.
Principal risks and uncertainties
The principal risks and uncertainties which the director considers to affect the business are as follows:
- Downturns in the UK and global economic climate
- Government policy with regards to IR35 regulations
Approved and authorised by the
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Mortimer Childe Ltd
Directors' Report for the Year Ended 30 September 2024
The directors present their report and the financial statements for the year ended 30 September 2024.
Director of the company
The director who held office during the year was as follows:
The following director was appointed after the year end:
Objectives and policies
The principal financial instruments of the company comprise bank balances, trade debtors and external financial liabilities to HMRC (PAYE/NI and VAT).
In respect of bank balances, these are monitored daily to ensure adequate cash flow to settle liabilities as they fall due. The nature of the business operations means that cash is not paid out on trading activities until the relevant income is received which reduces the risk.
Price risk, credit risk, liquidity risk and cash flow risk
Trade debtors are managed in respect of credit and cash flow risk by providing credit to customers based on credit checks and regular monitoring of amounts outstanding by reference to ageing. As mentioned the cash outflow in respect of cost of sale is not crystalised until cash is received in and hence the risk is reduced.
The PAYE/NI and VAT risk is managed by ensuring adequate funds are available to meet amounts falling due.
Future developments
The director plans to continue the development of the business in the future through identifying new opportunities to grow the turnover, together with monitoring margins acheived and reducing overhead cost where possible.
Disclosure of information to the auditors
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.
Approved and authorised by the
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Mortimer Childe Ltd
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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• |
state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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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.
Mortimer Childe Ltd
Independent Auditor's Report to the Members of Mortimer Childe Ltd
Opinion
We have audited the financial statements of Mortimer Childe Ltd (the 'company') for the year ended 30 September 2024, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and 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 company's affairs as at 30 September 2024 and of its profit 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the company 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 director's 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 company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.
Other information
The director are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Mortimer Childe Ltd
Independent Auditor's Report to the Members of Mortimer Childe Ltd
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.
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, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of director's 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 4], 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 is 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 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 company or to cease operations, or have no realistic alternative but to do so.
Mortimer Childe Ltd
Independent Auditor's Report to the Members of Mortimer Childe Ltd
Auditor 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 an auditor’s report 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
The engagement partner ensured that the audit team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations.
We identified the laws and regulations applicable to the Company through discussions with Directors and other management and from our commercial knowledge and experience of this business sector.
We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence.
We assessed the susceptibility of the Company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
Making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud.
Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls we:
Performed analytical procedures to identify any unusual or unexpected relationships.
Assessed whether judgments and assumptions made in determining accounting estimates included in the Accounts were indicative of potential bias.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiring of the Directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error, as they may involve deliberate concealment or collusion
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Mortimer Childe Ltd
Independent Auditor's Report to the Members of Mortimer Childe Ltd
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 an auditor’s report 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.
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For and on behalf of
Faraday Road,
Hereford,
HR4 9NS
Mortimer Childe Ltd
Profit and Loss Account for the Year Ended 30 September 2024
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Note |
2024 |
2023 |
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Turnover |
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Cost of sales |
( |
( |
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Gross profit |
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Administrative expenses |
( |
( |
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Operating loss |
(51,847) |
(100,421) |
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Other interest receivable and similar income |
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|
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Interest payable and similar expenses |
( |
( |
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51,865 |
70,371 |
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Profit/(loss) before tax |
|
( |
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Profit/(loss) for the financial year |
|
( |
The above results were derived from continuing operations.
The company has no recognised gains or losses for the year other than the results above.
Mortimer Childe Ltd
(Registration number: 8885617)
Balance Sheet as at 30 September 2024
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Note |
2024 |
2023 |
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Fixed assets |
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Tangible assets |
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Current assets |
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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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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 |
26,747 |
26,729 |
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Shareholders' funds |
26,847 |
26,829 |
Approved and authorised by the
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Mortimer Childe Ltd
Statement of Changes in Equity for the Year Ended 30 September 2024
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Share capital |
Retained earnings |
Total |
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At 1 October 2023 |
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Profit for the year |
- |
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At 30 September 2024 |
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Share capital |
Retained earnings |
Total |
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At 1 May 2022 |
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Loss for the year |
- |
( |
( |
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At 30 September 2023 |
100 |
26,729 |
26,829 |
Mortimer Childe Ltd
Statement of Cash Flows for the Year Ended 30 September 2024
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Note |
2024 |
2023 |
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Cash flows from operating activities |
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Profit/(loss) for the year |
|
( |
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Adjustments to cash flows from non-cash items |
|||
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Depreciation and amortisation |
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Finance income |
( |
( |
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Finance costs |
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( |
( |
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Working capital adjustments |
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Decrease in trade debtors |
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Decrease in trade creditors |
( |
( |
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Cash generated from operations |
( |
( |
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Income taxes (paid)/received |
( |
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Net cash flow from operating activities |
( |
( |
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Cash flows from investing activities |
|||
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Interest received |
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Acquisitions of tangible assets |
- |
( |
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Net cash flows from investing activities |
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Cash flows from financing activities |
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Interest paid |
( |
( |
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Net decrease in cash and cash equivalents |
( |
( |
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Cash and cash equivalents at 1 October |
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Cash and cash equivalents at 30 September |
1,438,907 |
1,865,420 |
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Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
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General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
United Kingdom
These financial statements were authorised for issue by the
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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 were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Key sources of estimation uncertainty
The director considers accrued income to be a key source of estimation uncertainty. This balance is material and
is key to the financial statements. The estimate is based on actual hours worked which are then billed to the end
client. As such the estimation element in this is reduced by the availability of factual information to support the
adjustment.
The director considers that accruals are a key source of estimation uncertainty. This balance is material and is
key to the financial statements. The estimate is based on actual costs when calculating the above accrued income
adjustment and is reviewed to ensure that it is materially correct based on the margin achieved on that income..
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
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.
Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
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Asset class |
Depreciation method and rate |
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Office Equipment |
20% straight line |
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Other Fixed Assets |
25% reducing balance |
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 debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
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 subsequently measured at amortised cost using the effective interest method.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
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.
Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Financial instruments
Classification
Recognition and measurement
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Turnover |
The analysis of the company's revenue for the year from continuing operations is as follows:
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Sale of goods |
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Operating loss |
Arrived at after charging/(crediting)
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Depreciation expense |
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Operating lease expense - plant and machinery |
|
- |
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Other interest receivable and similar income |
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Interest income on bank deposits |
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Other finance income |
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Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
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Interest payable and similar expenses |
|
Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Interest expense on other finance liabilities |
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Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
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Staff costs |
The aggregate payroll costs (including director's remuneration) were as follows:
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Wages and salaries |
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Social security costs |
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Pension costs, defined contribution scheme |
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The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:
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2024 |
2023 |
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Administration and support |
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Other departments |
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Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
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Directors' remuneration |
The director's remuneration for the year was as follows:
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Remuneration |
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Auditors' remuneration |
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Audit of the financial statements |
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Taxation |
The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2023 - higher than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
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Year ended 30 September 2024 |
1 May 2022 to 30 September 2023 |
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Profit/(loss) before tax |
|
( |
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Corporation tax at standard rate |
- |
( |
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Effect of tax losses |
- |
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Total tax charge/(credit) |
- |
- |
Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
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Tangible assets |
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Furniture, fittings and equipment |
Total |
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Cost or valuation |
||
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At 1 October 2023 |
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At 30 September 2024 |
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Depreciation |
||
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At 1 October 2023 |
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Charge for the year |
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At 30 September 2024 |
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Carrying amount |
||
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At 30 September 2024 |
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At 30 September 2023 |
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Debtors |
|
Current |
Note |
2024 |
2023 |
|
Trade debtors |
|
|
|
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Other debtors |
|
|
|
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Prepayments |
|
|
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Deferred tax assets |
|
|
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Income tax asset |
|
|
|
|
|
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Cash and cash equivalents |
|
30 September 2024 |
30 September 2023 |
|
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Cash at bank |
|
|
Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
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Creditors |
|
Note |
30 September 2024 |
30 September 2023 |
|
|
Due within one year |
|||
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trade creditors |
|
|
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Social security and other taxes |
|
|
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Other payables |
|
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Accrued expenses |
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Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £
|
Share capital |
Allotted, called up and fully paid shares
|
2024 |
2023 |
|||
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No. |
£ |
No. |
£ |
|
|
|
|
100 |
|
100 |
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Related party transactions |
Summary of transactions with all entities with joint control or significant interest
The transactions are conducted on an arms length basis and represent a recharge of expenditure incurred by Company Requirements Ltd.
Income and receivables from related parties
|
2024 |
Entities with joint control or significant influence |
|
Amounts receivable from related party |
- |
|
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Mortimer Childe Ltd
Notes to the Financial Statements for the Year Ended 30 September 2024
|
2023 |
Entities with joint control or significant influence |
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Amounts receivable from related party |
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Expenditure with and payables to related parties
|
2024 |
Entities with joint control or significant influence |
|
Rendering of services |
- |
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Leases |
- |
|
- |
|
|
|
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|
2023 |
Entities with joint control or significant influence |
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Rendering of services |
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Leases |
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Ultimate controlling party |
The ultimate control