Tribes Travel Limited
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Notes to the Accounts |
for the year ended 31 December 2017
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1 |
Accounting policies |
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Basis of preparation |
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The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard).
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Turnover |
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Turnover represents the sales value on date of departure of air tickets, hotel bookings and other related services, net of discounts and value added taxes.
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Tangible fixed assets |
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Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:
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Leasehold land and buildings |
20% straight line |
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Computer equipment |
25% straight line |
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Fixtures, fittings, tools and equipment |
25% straight line |
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Stocks |
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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.
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Debtors |
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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.
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Cash and cash equivalents |
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Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. |
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Hedge Accounting |
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Hedge accounting is used where the hedging relationship is designated, documented and expected to be highly effective and is only used for specific risks, as defined by FRS 102 section 12. |
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Where the hedged risk is the exposure to a fixed interest rate risk or foreign exchange risk of a debt instrument measured at amortised cost or the price risk of a commodity that it holds or has a firm commitment, the hedging instrument is recognised as an asset or liability with the change in fair value being recognised in profit or loss. The change in fair value of the hedged item related to the hedged risk is recognised in profit or loss as an adjustment to the carrying amount of the hedged item. |
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Where the hedged risk is the variable interest rate risk or foreign exchange risk in a debt instrument measured at amortised cost, the foreign exchange risk or interest rate risk in a firm commitment or highly probable forecast transaction, the commodity price risk in a highly probable forecast transaction or the foreign exchange risk in a net investment in foreign operation, then the financial instrument is initially and subsequently recognised at fair value at each reporting date. Movements in fair value are recognised in other comprehensive income, to the extent that the hedge is effective. Any ineffective movement is recognised in the profit or loss. |
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Where the hedged risk is the variable or fixed interest rate risk of a debt instrument measured at amortised cost, the periodic net cash settlements on the interest rate swap are recognised in profit or loss in the period in which the settlements accrue. |
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Hedge accounting is discontinued where the hedging instrument expires, is sold or terminated, the hedge no longer meets the criteria for hedge accounting, the forecast transaction is no longer highly probable in a hedge of a forecast transaction, or the designation is revoked. |
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Creditors |
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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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Taxation |
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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.
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Provisions |
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Provisions (ie liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably.
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Foreign currency translation |
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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.
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Advance receipts and payments |
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All revenue recieved relating to bookings that depart after the balance sheet date is treated as advance receipts and is separately disclosed under accruals and deferred income. Payments made to suppliers relating to bookings that depart after the balance sheet date are treated as advance payments and are separately disclosed under prepayments and accrued income. |
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2 |
Audit information |
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The audit report is unqualified.
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Senior statutory auditor: |
Ronnie Heymann
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Firm: |
Finer Heymann LLP
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Date of audit report: |
10 May 2018
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3 |
Employees |
2017 |
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2016 |
Number |
Number |
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Average number of persons employed by the company |
9 |
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8 |
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4 |
Tangible fixed assets |
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Improvements to premisis |
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Fixtures & fittings |
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Computer equipment |
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Total |
£ |
£ |
£ |
£ |
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Cost |
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At 1 January 2017 |
17,962 |
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7,176 |
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25,028 |
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50,166 |
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Additions |
2,062 |
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899 |
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7,504 |
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10,465 |
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At 31 December 2017 |
20,024 |
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8,075 |
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32,532 |
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60,631 |
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Depreciation |
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At 1 January 2017 |
14,369 |
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6,541 |
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20,607 |
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41,517 |
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Charge for the year |
4,005 |
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860 |
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4,761 |
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9,626 |
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At 31 December 2017 |
18,374 |
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7,401 |
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25,368 |
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51,143 |
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Net book value |
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At 31 December 2017 |
1,650 |
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674 |
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7,164 |
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9,488 |
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At 31 December 2016 |
3,593 |
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635 |
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4,421 |
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8,649 |
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5 |
Debtors |
2017 |
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2016 |
£ |
£ |
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Trade debtors |
432 |
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475 |
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Financial instruments |
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(10,435) |
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52,523 |
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Other debtors |
966,120 |
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480,600 |
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956,117 |
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533,598 |
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6 |
Creditors: amounts falling due within one year |
2017 |
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2016 |
£ |
£ |
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Trade creditors |
13,042 |
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3,492 |
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Corporation tax |
45,406 |
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22,091 |
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Other taxes and social security costs |
4,619 |
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4,677 |
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Other creditors |
1,623,299 |
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875,888 |
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1,686,366 |
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906,148 |
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7 |
Events after the reporting date |
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There have been no significant events affecting the Company since the year end |
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8 |
Other financial commitments |
2017 |
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2016 |
£ |
£ |
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The company enters into forward currency contracts to mitigate the exchange rate risk for certain future foreign currency payables.At 31 December 2017, the Company is committed to selling and receiving a fixed amount of USD, ZAR, OR EUR.The outstanding contracts all mature within 10 months (2016:9 months) |
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988,230 |
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589,438 |
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9 |
Related party transactions |
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The Tribes Foundation is a charity to relieve poverty and provide education, cultural preservation and conservation projects for indigenous communities in areas visited by the company’s customers. The charity trustees are also directors and staff of Tribes Travel Limited. Many customers make donations to The Tribes Foundation through the company and the company donates to this charity in its own right.
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The donation to The Tribes Foundation was £1,656 ( 2016 £1,490 ) |
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10 |
Other information |
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Tribes Travel Limited is a private company limited by shares and incorporated in England and Wales. |
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Its registered office is: |
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The Old Dairy Wood Farm |
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Ipswich Road |
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Otley |
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Ipswich, Suffolk |
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IP6 9JW |