Wine & Earth Limited

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—6

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

As at 31 December 2024 the company had net liabilities; however, the directors have reviewed the company’s cash flow forecast and confirm that they have the ability and intention to provide financial support to the company, as required, for a period of not less than one year from the date of approval of these financial statements. Accordingly the financial statements have been prepared on a going concern basis.

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. Turnover is reduced for estimated customer returns, rebates and other similar allowances.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

2.4. Intangible Fixed Assets and Amortisation - Goodwill

Goodwill is the difference between amounts paid on the acquisition of a business and the fair value of the separable net assets. It is amortised to the profit and loss account over its estimated economic life of 10 years.

2.5. Intangible Fixed Assets and Amortisation - Other Intangible

Other intangible assets are website development costs. It is amortised to the profit and loss account over its estimated economic life of 10 years.

2.6. 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:

Leasehold improvements	5 years
Plant & Machinery	5 years
Motor Vehicles	10 years
Fixtures & Fittings	3 years

2.7. Leasing and Hire Purchase Contracts

Assets obtained under finance leases are capitalised as tangible fixed assets. Assets acquired under finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in the creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the profit and loss account as incurred.

2.8. Stocks and Work in Progress

Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. Work-in-progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.

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Wine & Earth Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.9. Foreign Currencies

Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.

2.10. 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.

2.11. Pensions

The company operates a defined pension contribution scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.

3. Average Number of Employees

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

4. Intangible Assets

	Goodwill	Website development Costs	Total
	£	£	£
Cost
As at 1 January 2024	75,000	193,171	268,171

As at 31 December 2024	75,000	193,171	268,171

Amortisation
As at 1 January 2024	3,750	54,802	58,552
Provided during the period	7,500	7,871	15,371
Impairment losses	-	91,845	91,845

As at 31 December 2024	11,250	154,518	165,768

Net Book Value
As at 31 December 2024	63,750	38,653	102,403

As at 1 January 2024	71,250	138,369	209,619

5. Tangible Assets

	Land & Property
	Leasehold improvements	Plant & Machinery	Motor Vehicles	Fixtures & Fittings	Total
	£	£	£	£	£
Cost
As at 1 January 2024	80,574	7,744	15,545	2,834	106,697
Additions	-	1,896	21,490	4,500	27,886

As at 31 December 2024	80,574	9,640	37,035	7,334	134,583

...CONTINUED

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Wine & Earth Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

Depreciation
As at 1 January 2024	48,263	5,191	4,016	2,505	59,975
Provided during the period	12,166	1,801	3,166	2,404	19,537

As at 31 December 2024	60,429	6,992	7,182	4,909	79,512

Net Book Value
As at 31 December 2024	20,145	2,648	29,853	2,425	55,071

As at 1 January 2024	32,311	2,553	11,529	329	46,722

6. Stocks

	2024	2023
	£	£
Stock	144,489	145,138

7. Debtors

	2024	2023
	£	£
Due within one year
Trade debtors	142,490	141,227
Other debtors	165,769	6,288

	308,259	147,515

8. Creditors: Amounts Falling Due Within One Year

	2024	2023
	£	£
Net obligations under finance lease and hire purchase contracts	6,307	3,899
Trade creditors	460,120	226,861
Bank loans and overdrafts	59,242	21,750
Other loans	-	83,998
Amounts owed to participating interests	62,000	-
Other creditors	21,656	123,636
Taxation and social security	41,485	45,772

	650,810	505,916

9. Creditors: Amounts Falling Due After More Than One Year

	2024	2023
	£	£
Net obligations under finance lease and hire purchase contracts	14,162	1,949

10. Obligations Under Finance Leases and Hire Purchase

	2024	2023
	£	£
The future minimum finance lease payments are as follows:
Not later than one year	6,307	3,899
Later than one year and not later than five years	14,162	1,949

	20,469	5,848

	20,469	5,848

11. Share Capital

	2024	2023
Allotted, called up and fully paid	£	£
58,805 Ordinary Shares of £ 0.01 each	588	373


Shares issued during the period:	£
21,538 Ordinary Shares of £ 0.01 each	215

12. Other Commitments

The total of future minimum lease payments under non-cancellable operating leases are as following:

	2024	2023
	£	£
Not later than one year	37,500	50,000
Later than one year and not later than five years	-	37,500

	37,500	87,500

13. Directors Advances, Credits and Guarantees

The following table summarises the movements on the director’s loan account during the year, which was included within debtors at the balance sheet date.

	As at 1 January 2024	Amounts advanced	Amounts repaid	Amounts written off	As at 31 December 2024
	£	£	£	£	£
Mr Robert Edwards	(38,914 )	168,375	-	-	129,461

The above loan is unsecured, interest free and repayable on demand. The director resigned from office after the year end. The balance remains recoverable by the company.

14. Post Balance Sheet Events

Subsequent to the year end, the company identified matters relating to transactions undertaken prior to 31 December 2024 which required further investigation. As a result of this review, the financial statements for the year ended 31 December 2024 have been adjusted to reflect the correct financial position and performance of the company as at that date.

Following the identification of these matters, a director resigned from office after the year end. There are no further matters arising after the reporting date that require adjustment to, or disclosure in, these financial statements.

15. Related Party Transactions

During the year, the company entered into transactions with a company which is controlled by a director and shareholder of Wine & Earth Limited.

During the year, that related party provided funding to the company. At 31 December 2024, a balance of £62,000 (2023: £nil) was outstanding in respect of amounts loaned by the related party.

In addition, at 31 December 2024, the company owed £287,261 (2023: £60,658) to the related party in respect of goods and services supplied in the ordinary course of business.

The transactions were undertaken on terms agreed between the parties.

16. Controlling Party

The company has no overall controlling party.

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		2024		2023
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	4		102,403		209,619
Tangible Assets	5		55,071		46,722

			157,474		256,341
CURRENT ASSETS
Stocks	6	144,489		145,138
Debtors	7	308,259		147,515
Cash at bank and in hand		8,712		6,364

		461,460		299,017
Creditors: Amounts Falling Due Within One Year	8	(650,810 )		(505,916 )

NET CURRENT ASSETS (LIABILITIES)			(189,350 )		(206,899 )

TOTAL ASSETS LESS CURRENT LIABILITIES			(31,876 )		49,442

Creditors: Amounts Falling Due After More Than One Year	9		(14,162 )		(1,949 )

NET (LIABILITIES)/ASSETS			(46,038 )		47,493

CAPITAL AND RESERVES
Called up share capital	11		588		373
Share premium account			1,721,405		1,360,859
Profit and Loss Account			(1,768,031 )		(1,313,739 )

SHAREHOLDERS' FUNDS			(46,038)		47,493