REGISTERED NUMBER: 13617950 (England and Wales)

Financial Statements for the Year Ended 31 December 2024

for

Libation 1 Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTOR:

A Tagliamonti

REGISTERED OFFICE:

Finance Office Costa Coffee

311-313 Collier Row Lane

Collier Row

Essex

Hertfordshire

RM5 3ND

REGISTERED NUMBER:

13617950 (England and Wales)

AUDITORS:

Cartwrights

Chartered Accountants and Business Advisors

Statutory Auditor

Regency House

33 Wood Street

Barnet

Hertfordshire

EN5 4BE

SOLICITORS:

Nockolds

6 Market Square

Bishop's Stortford

Hertfordshire

CM23 3UZ

FIXED ASSETS

Intangible assets

5

3,007,168

3,224,306

Tangible assets

6

1,022,051

1,163,008

4,029,219

4,387,314

CURRENT ASSETS

Prepayments and accrued income

222,641

184,720

CREDITORS

Amounts falling due within one year

7

457,213

271,121

NET CURRENT LIABILITIES

(234,572

)

(86,401

)

TOTAL ASSETS LESS CURRENT LIABILITIES

3,794,647

4,300,913

PROVISIONS FOR LIABILITIES

9

134,550

247,355

NET ASSETS

3,660,097

4,053,558

CAPITAL AND RESERVES

Called up share capital

2

2

Capital contribution reserve

4,699,992

4,699,992

Retained earnings

(1,039,897

)

(646,436

)

3,660,097

4,053,558

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the director and authorised for issue on 30 September 2025 and were signed by:

A Tagliamonti - Director

1.	STATUTORY INFORMATION

Libation 1 Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

These financial statements are prepared on the going concern basis. The directors have a reasonable expectation that the company will continue in operational existence for the foreseeable future. The validity of this assumption depends on the continuing support of the company's directors, shareholders and fellow group undertakings. If the company were unable to continue in existence for the foreseeable future, adjustments would be necessary to reduce the balance sheet values of assets to their recoverable amounts and to reclassify fixed assets as current assets.

Significant judgements and estimates

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical judgements in applying the entity's accounting policies

Classification of a lease

Determining whether leases entered into by the company as a lessee are operating leases or finance leases. These decisions depend on an assessment of whether the risks and rewards of ownership have been transferred to the company.

Critical accounting estimates and assumptions

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results.

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re - assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, further investments, economic utilisation and the physical condition of the assets. Further details are shown in both the tangible fixed assets accounting policy and the tangible fixed assets note contained in these financial statements.

Dilapidation and decommissioning contingent liability

The company makes an estimate per store on how much its liability would be to restore each store to the conditions outlined in the lease. When assessing this the company considered various matters including, the current condition of each store and the amount of leasehold improvement that have been made that would be required to be removed. Further details can be found in the provisions for liabilities note contained in these financial statements.

Onerous contracts

Contracts in which the unavoidable costs of meeting the obligations under the contract exceed the economic benefits expected to be received under it, are considered to be onerous. In such circumstances a provision is recognised in the financial statements, calculated as the net present value of all future cashflows. All future losses are allocated against the provision. Further details can be found in the provisions for liabilities note contained in these financial statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue recognition - provision of services

Turnover is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

The provision of services to fellow group undertakings are recognised on sale to the group entity, which is the period for which the services were provided. Sales are credit sales only.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2022, is being amortised evenly over its estimated useful life of twenty years.

Franchise fees

Franchise fees are stated at cost less accumulated amortisation and impairment losses

Franchise fees are amortised over their useful economic lives, being 10 years.

Amortisation is charged to administrative expenses in the income statement.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property

-

10% on cost

Plant and machinery

-

20% on cost

Fixtures and fittings

-

20% on cost

Computer equipment

-

33% on cost

Financial instruments

Financial assets

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at the transaction value.

They are then subsequently carried at amortised cost using the effective interest rate method.

At the end of each reporting period financial assets are assessed for impairment. If an impairment exists the

impairment loss is recognised in the income statement.

Financial assets are derecognised when:

- the contractual right to cash flows from the asset are settled or expire,

- substantially all the risk and rewards of the ownership of the asset are transferred to another party or

- despite retaining some significant risks and rewards, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset without additional restrictions.

Financial liabilities

Basic financial liabilities, including trade and other creditors are initially recognised at the transaction value.

They are then subsequently carried at amortised cost using the effective interest rate method.

Financial liabilities are derecognised when the liability is discharged, cancelled or expires.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Payments under operating leases are charged to the income statement t on a straight line bass over the period of the lease.

Incentives received to enter into an operating lease are credited to the income statement, to reduce the lease expense, on a straight line basis over the period of the lease.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2023 - NIL).

5.	INTANGIBLE FIXED ASSETS

Other

intangible

Goodwill

assets

Totals

£

£

£

COST

At 1 January 2024

and 31 December 2024

3,340,016

250,000

3,590,016

AMORTISATION

At 1 January 2024

320,085

45,625

365,710

Charge for year

167,001

50,137

217,138

At 31 December 2024

487,086

95,762

582,848

NET BOOK VALUE

At 31 December 2024

2,852,930

154,238

3,007,168

At 31 December 2023

3,019,931

204,375

3,224,306

6.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

to

Plant and

and

Computer

property

machinery

fittings

equipment

Totals

£

£

£

£

£

COST

At 1 January 2024

575,807

243,113

744,712

100,187

1,663,819

Additions

59,967

51,556

21,886

18,077

151,486

Disposals

(3,315

)

-

-

-

(3,315

)

At 31 December 2024

632,459

294,669

766,598

118,264

1,811,990

DEPRECIATION

At 1 January 2024

88,165

90,271

279,717

42,658

500,811

Charge for year

60,445

49,775

141,288

37,620

289,128

At 31 December 2024

148,610

140,046

421,005

80,278

789,939

NET BOOK VALUE

At 31 December 2024

483,849

154,623

345,593

37,986

1,022,051

At 31 December 2023

487,642

152,842

464,995

57,529

1,163,008

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/12/24

31/12/23

£

£

Amounts owed to group undertakings

387,488

197,078

Other creditors

69,725

74,043

457,213

271,121

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

31/12/24

31/12/23

£

£

Within one year

650,314

461,872

Between one and five years

1,857,435

1,393,595

In more than five years

1,461,008

439,839

3,968,757

2,295,306

9.	PROVISIONS FOR LIABILITIES

31/12/24

31/12/23

£

£

Deferred tax

Accelerated capital allowances

134,550

247,355

Deferred

tax

£

Balance at 1 January 2024

247,355

Provided during year

(112,805

)

Balance at 31 December 2024

134,550

Dilapidations and decommissioning liabilities

The company operates a store through a short lease that contains an obligation in the agreement to remove leasehold improvements at the end of the lease term or when the premises are vacated.

It is the company's policy to provide for dilapidations only where a managed exit, either part way through or at the end of the lease term, is considered to be probable and the obligation can be estimated reliably.

Where the lease is likely to be retained for the foreseeable future, or where a lease has been recently signed for a new store, the obligation is not considered to be probable and/or cannot be estimated reliably and therefore a dilapidation provision is not provided for.

The company has not identified any store where a managed exit is considered to be probable and therefore there is no provision in these financial statements.

Onerous contracts

The company does not operate any store through short leases that are considered to be onerous and therefore there is no provision in these financial statements.

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Andrew Hill FCA (Senior Statutory Auditor)

for and on behalf of Cartwrights

11.	CONTINGENT LIABILITIES

Cross guarantee

The company has provided a cross guarantee in favour of the bank to cover the liabilities owed by its parent

undertaking.

The guarantee is unlimited. At the year-end no monies are owed to the bank by a subsidiary undertaking and

therefore no economic benefit is expected to flow from the company. Any amount met on behalf of the subsidiary will be reimbursed by the subsidiary in the future where possible.

12.	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 diclose related party transactions with wholly owned subsidiaries within the group.

13.	ULTIMATE CONTROLLING PARTY

The controlling party is Scoffs (Cornwall) Limited.

The ultimate controlling party is A Tagliamonti.