| REGISTERED NUMBER: |
| REPORT OF THE DIRECTORS AND |
| FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 |
| FOR |
| RSCM ENTERPRISES LTD |
| REGISTERED NUMBER: |
| REPORT OF THE DIRECTORS AND |
| FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 |
| FOR |
| RSCM ENTERPRISES LTD |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| CONTENTS OF THE FINANCIAL STATEMENTS |
| for the year ended 31 December 2024 |
| Page |
| Company Information | 1 |
| Report of the Directors | 2 |
| Report of the Independent Auditors | 3 |
| Statement of Comprehensive Income | 6 |
| Statement of Financial Position | 7 |
| Statement of Changes in Equity | 8 |
| Notes to the Financial Statements | 9 |
| RSCM ENTERPRISES LTD |
| COMPANY INFORMATION |
| for the year ended 31 December 2024 |
| DIRECTORS: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| AUDITORS: |
| Chartered Accountants and Statutory Auditors |
| 10 St Ann Street |
| Salisbury |
| Wiltshire |
| SP1 2DN |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| REPORT OF THE DIRECTORS |
| for the year ended 31 December 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
| Other changes in directors holding office are as follows: |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing 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 of the profit or loss of the company 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 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. |
| 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 company'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 company's auditors are aware of that information. |
| AUDITORS |
| The auditors, Rothmans Audit LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
| This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies. |
| ON BEHALF OF THE BOARD: |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| RSCM ENTERPRISES LTD |
| Opinion |
| We have audited the financial statements of RSCM Enterprises Ltd (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity 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 31 December 2024 and of its 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 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 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 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. |
| Emphasis of matter |
| We draw attention to note 5 to the financial statements which explains a prior year adjustment made in respect of the allocation of an intercompany balance. Our opinion is not modified in respect of this matter. |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in 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. |
| 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Report of the Directors has been prepared in accordance with applicable legal requirements. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| RSCM ENTERPRISES LTD |
| Matters on which we are required to report by exception |
| In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in 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, 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 directors' remuneration specified by law are not made; or |
| - | we have not received all the information and explanations we require for our audit; or |
| - | the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors. |
| Responsibilities of directors |
| As explained more fully in the Statement of Directors' Responsibilities set out on page two, 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 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. |
| 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. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. |
| The objectives of our audit, in respect to fraud, are to identify and assess the risks of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit. |
| However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management. |
| In identifying and assessing risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures include the following: |
| - | The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
| - | We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and those laws and regulations that had a direct effect on the financial statements through discussions with directors and management. The key laws considered are FRS102 and the Companies Act 2006; and |
| - | We understood how the company is complying with those frameworks by making enquires of management and we corroborated our enquiries by reviewing Board minutes. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| RSCM ENTERPRISES LTD |
| We assessed the susceptibility of the company's financial statements to material misstatement, including how fraud might occur, by |
| - | Making enquiries of management as to where they considered there was a 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; and |
| - | Evaluating opportunities for fraudulent manipulation of the financial statements including management override. |
| We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the recognition of income and the override of controls by management. To address the risk of fraud in these areas, we: |
| - | Selected a sample of transactions from material income streams and compared expected income to that recorded within the financial statements; |
| - | Performed analytical procedures to identify any unusual or unexpected relationships; |
| - | Tested journal entries during the year and at the year-end to identify unusual transactions; |
| - | Assessed whether judgements and assumptions made in determining the accounting estimates set out in note 2 were indicative of potential bias; and |
| - | Investigated the rationale behind significant or unusual transactions. |
| Based on this understanding we designed our audit procedures to identify non-compliance with the laws and regulations identified above, which included, but were not limited to, identifying and testing journal entries made during the period and at the period-end and agreeing financial statement disclosure to underlying supporting documentation. |
| There are inherent limitations in the audit procedures described above, and there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
| This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
| 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. |
| 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 and Statutory Auditors |
| 10 St Ann Street |
| Salisbury |
| Wiltshire |
| SP1 2DN |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| STATEMENT OF COMPREHENSIVE |
| INCOME |
| for the year ended 31 December 2024 |
| Period |
| 14.11.22 |
| Year Ended | to |
| 31.12.24 | 31.12.23 |
| as restated |
| Notes | £ | £ |
| TURNOVER |
| Cost of sales |
| GROSS PROFIT |
| Administrative expenses |
| OPERATING LOSS | 4 | ( |
) | ( |
) |
| Interest receivable and similar income |
| LOSS BEFORE TAXATION | ( |
) | ( |
) |
| Tax on loss |
| LOSS FOR THE FINANCIAL YEAR | ( |
) | ( |
) |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| STATEMENT OF FINANCIAL POSITION |
| 31 December 2024 |
| 31.12.24 | 31.12.23 |
| as restated |
| Notes | £ | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 6 |
| CURRENT ASSETS |
| Stocks | 7 |
| Debtors | 8 |
| Cash at bank |
| CREDITORS |
| Amounts falling due within one year | 9 |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CAPITAL AND RESERVES |
| Called up share capital |
| Capital contribution |
| Retained earnings | ( |
) | ( |
) |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| STATEMENT OF CHANGES IN EQUITY |
| for the year ended 31 December 2024 |
| Called up |
| share | Retained | Capital | Total |
| capital | earnings | contribution | equity |
| £ | £ | £ | £ |
| Changes in equity |
| Prior year adjustment - capital contribution |
- |
- |
89,082 |
89,082 |
| Shares issued on incorporation | 1 | - | - | 1 |
| Total comprehensive income | - | ( |
) | - | ( |
) |
| Balance at 31 December 2023 | ( |
) |
| Changes in equity |
| Total comprehensive income | - | ( |
) | - | ( |
) |
| Balance at 31 December 2024 | ( |
) |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| NOTES TO THE FINANCIAL STATEMENTS |
| for the year ended 31 December 2024 |
| 1. | STATUTORY INFORMATION |
| RSCM Enterprises Ltd is a |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| The financial statements are prepared in sterling which is the functional and presentational currency of the Company. The financial statements are rounded to the nearest pound. |
| The financial statements have been prepared on a going concern basis. The directors consider that there are no material uncertainties about the Company's ability to continue as a going concern. |
| There are no significant judgements which affect the amounts recognised in these financial statements. With respect to the next reporting period, the most significant areas of estimation uncertainty that affect the carrying value of assets held by the Company are the level of provisions required for slow moving or obsolete stock. |
| Turnover |
| Turnover represents the amount derived from the provision of services which fall within the company's ordinary activities, stated after trade discounts, other sales taxes and net of value added tax. The company recognises revenue when the amount of revenue can be measured reliably and when it is probable that future economic benefits will flow to the entity. Revenue from physical sales is recognised when goods are despatched to the customer, and revenue from online sales is recognised when the digital products are make available to the customer. Royalties income is recognised in the period in which the company provides assets for usage. Event income is recognised in the period in which the event takes place. |
| Expenditure |
| Expenditure is recognised on an accruals basis when a liability is incurred. |
| Intangible assets |
| Intangible fixed assets are stated at cost less amortisation. Assets below £100 are not capitalised. Amortisation are provided on a straight line basis over the estimated useful economic life of each asset, which is considered to be: |
| Copyrights & publication rights 3-5 years |
| The useful economic lives of these assets are the periods over which it is anticipated that they will continue to generate an appreciable amount of income for the organisation. Impairment reviews are carried out as and when evidence comes to light that the recoverable amount of a functional fixed asset is below its net book value due to damage, obsolescence or other relevant factors. |
| Stocks |
| Stocks of publications are valued at the lower of cost or net realisable value, after providing for slow-moving items. |
| Debtors |
| Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at cost which is time-apportioned over the period to which the expenses relate. |
| Creditors and Provisions |
| Creditors and provisions for liabilities and charges are recognised where the company has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. |
| Operating Leases |
| Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the SOFA as they are incurred. |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the year ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Taxation |
| Taxation comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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 statement of financial position date. |
| Foreign currencies |
| Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange prevailing at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange prevailing at the date of the transaction. Exchange variances are taken into account when arriving at the net income or expenditure for the period. |
| Cash and cash equivalents |
| These comprise cash at bank and other short term highly liquid deposits. |
| 3. | EMPLOYEES AND DIRECTORS |
| The company does not directly employ any staff members but is charged for services provided by employees of its parent charity, The Royal School of Church Music, who provide services to the company. The company is also charged for services provided by employees of Hymns Ancient & Modern in relation to processing of online sales order and dispatch of stock. The total charged for these services was: |
| 2024 | 2023 |
| £ | £ |
| 53,828 | 51,214 |
| 14,953 | 14,589 |
| 68,781 | 65,803 |
| 4. | OPERATING LOSS |
| The operating loss is stated after charging: |
| Period |
| 14.11.22 |
| Year Ended | to |
| 31.12.24 | 31.12.23 |
| as restated |
| £ | £ |
| Copyright & publication rights amortisation |
| Website & webshop amortisation |
| Auditors' remuneration |
| Auditors' remuneration for non audit work |
| Audit services were provided by Rothmans Audit LLP and accountancy services were provided by Rothmans LLP, a partnership associated with Rothmans Audit LLP. |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the year ended 31 December 2024 |
| 5. | PRIOR YEAR ADJUSTMENT |
| The 2023 comparatives have been restated to correct the presentation of £146,452 of assets transferred to RSCM Enterprises Ltd by its parent charity, The Royal School of Church Music, when it commenced trading in 2023. In the prior period accounts, this transfer was presented as an intercompany loan, however further work by the Directors has concluded that this should have been presented as a capital contribution to the subsidiary company, and the comparatives have therefore been restated. Further more, stock transferred to the company was found to have been over-valued, and has now been written down to its recoverable value. This resulted in a reduction in the value of stock transferred to the subsidiary of £57,370 and a further write-down of £8,464 is recognised within the company's expenses for the year ended 31 December 2023. |
| The intercompany loan balance as at 31 December 2023 has therefore been reduced by £146,452, and a capital contribution of £89,082 has been recognised. Additionally, interest charges of £4,779 have been reversed. |
| Original | Restated | Change |
| £ | £ | £ |
| Fixed Assets | 1,013 | 1,013 | - |
| Stock | 134,940 | 69,106 | (65,834 | ) |
| Debtors | 46,379 | 46,379 | - |
| Cash at bank and in hand | 32,984 | 32,984 | - |
| Creditors falling due within one year | (219,915 | ) | (68,684 | ) | 151,231 |
| Total assets | (4,599 | ) | 80,798 | 85,397 |
| Share Capital | 1 | 1 | - |
| Profit & Loss Reserve | (4,600 | ) | (8,285 | ) | (3,685 | ) |
| Capital Contribution | - | 89,082 | 89,082 |
| (4,599 | ) | 80,798 | 85,397 |
| The effect of the above changes on the company's loss for the year ended 31 December 2023 was as | follows: |
| £ |
| Loss for the year-ended 31 December 2023 per accounts | (4,600 | ) |
| Reversal of interest charge | 4,779 |
| Additional stock provision | (8,464 | ) |
| Loss for the year-ended 31 December 2023 as restated | (8,285 | ) |
| 6. | INTANGIBLE FIXED ASSETS |
| Other |
| intangible |
| assets |
| £ |
| COST |
| At 1 January 2024 |
| and 31 December 2024 |
| AMORTISATION |
| At 1 January 2024 |
| Charge for year |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| RSCM ENTERPRISES LTD (REGISTERED NUMBER: 14483158) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| for the year ended 31 December 2024 |
| 7. | STOCKS |
| 31.12.24 | 31.12.23 |
| as restated |
| £ | £ |
| Stocks |
| 8. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 31.12.24 | 31.12.23 |
| as restated |
| £ | £ |
| Trade debtors |
| VAT |
| Prepayments and accrued income |
| 9. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 31.12.24 | 31.12.23 |
| as restated |
| £ | £ |
| Trade creditors |
| Amounts owed to group undertakings |
| Other creditors |
| Accrued expenses |
| 10. | RELATED PARTY DISCLOSURES |
| The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
| 11. | ULTIMATE PARENT |
| The ultimate parent of RSCM Enterprises Limited is The Royal School of Church Music. Copies of the consolidated accounts may be obtained from the company's registered office at 19 The Close, Salisbury, Wiltshire, SP1 2EB. |