Huishan Zhang Limited

	Page
Balance Sheet	1
Notes to the Financial Statements	2—5

1. General Information

Huishan Zhang Limited is a private company, limited by shares, incorporated in England & Wales, registered number 07744934 . The registered office is 5b Mount Street, London, W1K 3NE.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Going Concern Disclosure

Whilst the company has net liabilities as at 30 September 2024 of £691,567 (2023: £283,259) it is worth noting that the director is now its largest creditor. The director confirms that he will not seek repayment of his director's loan due from the company of £611,599 (2023: £638,407) until such time as the company has sufficient funds to cover such a repayment.

It is also noted that included within creditors is an amount owing to the company's wholly owned subsidiary Huishan Zhang Retail Limited of £298,989 (2023: debtor balance of £174,919), however the director has again confirmed that the subsidiary will not seek repayment until the company has sufficient funds available.

2.3. Turnover

Turnover is measured at 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 goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.

Turnover from sponsorship income is recognised in the period in which the sponsor has received the benefits in accordance of the signed contract.

Turnover from other income including administration fees and license fees are recognised in the period to which such income relates on an accrual basis.

2.4. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & Machinery	over 5 years
Fixtures & Fittings	over 5 years
Computer Equipment	over 3 years

2.5. Stocks and Work in Progress

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised.

2.6. Financial Instruments

Debtors

Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.

Creditors

Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.

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Huishan Zhang Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 September 2024

2.7. Foreign Currencies

Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss.

2.8. Taxation

A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.

2.9. Exemption from preparing consolidated financial statements

The Company, and the Group headed by it, qualify as small as set out in section 383 of the Companies Act 2006 and the parent and Group are considered eligible for the exemption to prepare consolidated accounts.

2.10. Investments

Investments in subsidiaries are measured at cost less any accumulated impairment losses.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 6 (2023: 5)

4. Tangible Assets

	Plant & Machinery	Fixtures & Fittings	Computer Equipment	Total
	£	£	£	£
Cost
As at 1 October 2023	68,820	11,266	17,209	97,295
Additions	-	-	111	111

As at 30 September 2024	68,820	11,266	17,320	97,406

Depreciation
As at 1 October 2023	68,820	10,790	15,683	95,293
Provided during the period	-	108	851	959

As at 30 September 2024	68,820	10,898	16,534	96,252

Net Book Value
As at 30 September 2024	-	368	786	1,154

As at 1 October 2023	-	476	1,526	2,002

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Huishan Zhang Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 September 2024

5. Investments

	Subsidiaries
	£
Cost
As at 1 October 2023	2

As at 30 September 2024	2

Provision
As at 1 October 2023	-

As at 30 September 2024	-

Net Book Value
As at 30 September 2024	2

As at 1 October 2023	2

Subsidiary undertaking

The following was a subsidiary undertaking of the Company:

Name Huishan Zhang Retail Limited

Principal Activity Retail of luxury womenswear

Class of shares Ordinary

Holding 100%

The aggregate of the share capital and reserves as at 30 September 2024 and the profit for the year ended on that date for the subsidiary undertaking were as follows:

Name Huishan Zhang Retail Limited

Aggregate of share capital and reserves 241,558

Profit 416,159

6. Stocks

	2024	2023
	£	£
Stock	-	45,657

7. Debtors

	2024	2023
	£	£
Due within one year
Trade debtors	920,552	727,742
Prepayments and accrued income	119,993	174,878
Other debtors	9,980	16,724

	1,050,525	919,344
Due after more than one year
Amounts owed by group undertakings	-	174,919

	1,050,525	1,094,263

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Huishan Zhang Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 September 2024

8. Creditors: Amounts Falling Due Within One Year

	2024	2023
	£	£
Trade creditors	594,126	563,361
Other taxes and social security	52,769	3,989
Other creditors	760,858	779,715
Accruals and deferred income	83,922	203,123
Amounts owed to group undertakings	298,989	-

	1,790,664	1,550,188

9. Share Capital

	2024	2023
	£	£
Allotted, Called up and fully paid	200,000	200,000

10. Related Party Transactions

As at the year end 30 September 2024 the sole director Huishan Zhang was owed £611,599 (2023: £638,407) by the company.

Included within creditors due within one year is a balance of £298,989 owed to the company's subsidiary Huishan Zhang Retail Limited (2023: debtor balance due after more than one year of £174,919).

During the year the company charged administration fees of £50,503 (2023: £59,306) to Huishan Zhang Retail Limited, and in turn was recharged £74,161 (2023: £63,309) by its subsidiary for expenses incurred.

11. Ultimate Controlling Party

The company's ultimate controlling party is Huishan Zhang by virtue of his ownership of 100% of the issued share capital in the company.

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		2024		2023
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	4		1,154		2,002
Investments	5		2		2

			1,156		2,004
CURRENT ASSETS
Stocks	6	-		45,657
Debtors	7	1,050,525		1,094,263
Cash at bank and in hand		47,416		125,005

		1,097,941		1,264,925
Creditors: Amounts Falling Due Within One Year	8	(1,790,664 )		(1,550,188 )

NET CURRENT ASSETS (LIABILITIES)			(692,723 )		(285,263 )

TOTAL ASSETS LESS CURRENT LIABILITIES			(691,567 )		(283,259 )

NET LIABILITIES			(691,567 )		(283,259 )

CAPITAL AND RESERVES
Called up share capital	9		200,000		200,000
Profit and Loss Account			(891,567 )		(483,259 )

SHAREHOLDERS' FUNDS			(691,567)		(283,259)