Company Registration No. 03864219 (England and Wales)
METRO DRINKS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
PAGES FOR FILING WITH REGISTRAR
METRO DRINKS LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
METRO DRINKS LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2019
31 December 2019
- 1 -
2019
2018
Notes
£
£
£
£
Fixed assets
Tangible assets
3
89,219
66,416
Current assets
Stocks
1,635,927
854,057
Debtors
4
561,631
596,918
Cash at bank and in hand
20,332
30,992
2,217,890
1,481,967
Creditors: amounts falling due within one year
5
(1,309,741)
(1,070,837)
Net current assets
908,149
411,130
Total assets less current liabilities
997,368
477,546
Creditors: amounts falling due after more than one year
6
(435,515)
(21,819)
Provisions for liabilities
(1,706)
(1,070)
Net assets
560,147
454,657
Capital and reserves
Called up share capital
8,942
8,942
Profit and loss reserves
551,205
445,715
Total equity
560,147
454,657
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.
true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 23 June 2020 and are signed on its behalf by:
P J Bendit
Director
Company Registration No. 03864219
METRO DRINKS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
- 2 -
1
Accounting policies
Company information
Metro Drinks Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
The Workshop, Endlewick House, ARLINGTON, East Sussex, BN26 6RU.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
The director ha
s
considered the potential emerging impact of the COVID-19 virus on the future
viability of the company. Since the end of March 2020, income has dropped significantly although the director ha
s
taken all reasonable steps to reduce costs and to utilise Government schemes available to assist businesses
and have also secured additional working capital facilities
.
At the date of preparing these financial statements, the full impact on the business cannot be quantified
but the director
continue
s
to take all available steps to maintain sufficient resources in order that the business can continue.
Consequently, the director ha
s
a reasonable expectation that the company will have sufficient funds to continue to meet its liabilities as they fall due for the foreseeable future and therefore ha
s
prepared the financial statements on a going concern basis.
1.3
Turnover
Turnover
is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.
1.4
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold land and buildings
No depreciation
Plant and equipment
20% on cost
Fixtures and fittings
33% on cost
Computers
33% on cost
Motor vehicles
25% on cost
1.5
Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
METRO DRINKS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 3 -
1.6
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the income statement, except to the extent that it related to items recognised in other comprehensive income or directly in equity.
Current or deferred taxation assets and liabilities are not discounted
Current tax
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 i
s
probable that they
will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
1.7
Foreign exchange
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 of exchange ruling
at the date of transaction. Exchange differences are taken into account in arriving at the operating result.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 13 (2018 - 9).
METRO DRINKS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 4 -
3
Tangible fixed assets
Freehold land and buildings
Plant and equipment
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 January 2019
-
52,408
67,713
29,084
81,615
230,820
Additions
3,037
9,531
311
1,833
35,823
50,535
Disposals
-
(35,521)
(37,987)
(18,369)
(16,234)
(108,111)
At 31 December 2019
3,037
26,418
30,037
12,548
101,204
173,244
Depreciation and impairment
At 1 January 2019
-
42,275
64,620
26,086
31,423
164,404
Depreciation charged in the year
-
4,527
1,820
1,886
19,499
27,732
Eliminated in respect of disposals
-
(35,521)
(37,987)
(18,369)
(16,234)
(108,111)
At 31 December 2019
-
11,281
28,453
9,603
34,688
84,025
Carrying amount
At 31 December 2019
3,037
15,137
1,584
2,945
66,516
89,219
At 31 December 2018
-
10,133
3,093
2,998
50,192
66,416
4
Debtors
2019
2018
Amounts falling due within one year:
£
£
Trade debtors
524,216
559,413
Other debtors
37,415
37,505
561,631
596,918
Included within trade debtors above is an amount of £533,085 (2018: £525,264) covered under an invoice discounting facility.
METRO DRINKS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 5 -
5
Creditors: amounts falling due within one year
2019
2018
£
£
Bank loans and overdrafts
80,343
-
Obligations under finance leases
7
14,071
7,386
Trade creditors
548,234
605,988
Corporation tax
64,526
51,980
Other taxation and social security
56,381
19,178
Other creditors
408,340
348,030
Accruals and deferred income
137,846
38,275
1,309,741
1,070,837
Included with other creditors above are advances under an invoice discounting facility of £406,117 (2018: £347,172) which are secured on the trade debtors of the company.
6
Creditors: amounts falling due after more than one year
2019
2018
Notes
£
£
Bank loans and overdrafts
195,574
-
Obligations under finance leases
7
39,941
21,819
Other borrowings
200,000
-
435,515
21,819
The director has granted full security to the lenders.
7
Finance lease obligations
2019
2018
Future minimum lease payments due under finance leases:
£
£
Within one year
14,071
7,386
In two to five years
39,941
21,819
54,012
29,205
METRO DRINKS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 6 -
8
Related party transactions
At the year and ED Resources Limited, a company controlled by P B
e
ndit, was owed £
689
by the company
(201
8
:
£
689)
During the year the company incurred trademark costs from PJ and FK Partnership, in which P B
e
ndit is a
partner,
totaling £33,262 (201
8
: £33,262). At the year end £Nil (201
8
: £Ni
l
) was owed to PJ and FK Partnership.
During the year the company paid dividends to the directors totaling £
80
,000 (201
8
: £
41,000
).
Directors remuneration for the year total
led
£1
7,154
(201
8
: £1
6,716
).
At the year end P B
e
ndit owed £498 to the company (201
8
: £498).
9
Audit report information
As the income statement has been omitted from the filing copy of the financial statements
,
the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006
:
The auditor's report was unqualified.
The senior statutory auditor was John Howard.
The auditor was Wilkins Kennedy Audit Services.
10
Operating lease commitments
Lessee
Non-cancellable operating leases within one year :
2019
2018
£
£
-
2,179
11
Secured Debts
The following secured debts are included within creditors:
Hire purchase contracts for the amount of £54,012 in the year 2019 (2018: £29,205)
12
Parent company
The ultimate controlling party is P Bendit.