Harris Hill Limited
Unaudited Financial Statements
For the year ended 31 March 2023
Pages for Filing with Registrar
Company Registration No. 04112164 (England and Wales)
Harris Hill Limited
Company Information
Directors
A W Morris
J D Wellesley Wesley
Secretary
A W Morris
Company number
04112164
Registered office
Studio 528
Metal Box Factory
30 Great Guildford Street
London
United Kingdom
SE1 0HS
Accountants
Moore Kingston Smith LLP
6th Floor
9 Appold Street
London
EC2A 2AP
Harris Hill Limited
Contents
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 9
Harris Hill Limited
Balance Sheet
As at 31 March 2023
Page 1
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
3
3,364
10,832
Tangible assets
4
13,117
14,103
16,481
24,935
Current assets
Debtors
5
1,825,645
1,781,008
Cash at bank and in hand
273,053
307,078
2,098,698
2,088,086
Creditors: amounts falling due within one year
7
(602,071)
(576,598)
Net current assets
1,496,627
1,511,488
Total assets less current liabilities
1,513,108
1,536,423
Provisions for liabilities
8
(7,278)
(28,175)
Net assets
1,505,830
1,508,248
Capital and reserves
Called up share capital
10
5,024
5,024
Profit and loss reserves
1,500,806
1,503,224
Total equity
1,505,830
1,508,248
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
Harris Hill Limited
Balance Sheet (Continued)
As at 31 March 2023
Page 2
The financial statements were approved by the board of directors and authorised for issue on 21 February 2024 and are signed on its behalf by:
A W Morris
Director
Company Registration No. 04112164
Harris Hill Limited
Notes to the Financial Statements
For the year ended 31 March 2023
Page 3
1
Accounting policies
Company information
Harris Hill Limited is a private company limited by shares incorporated in England and Wales. The registered office is Studio 528, Metal Box Factory, 30 Great Guildford Street, London, United Kingdom, SE1 0HS.
1.1
Accounting convention
These financial statements have been prepared in accordance with Section 1A of 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 financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts 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 company made a profit in the year of £499,391 (2022: £470,109) and at the balance sheet date had true net assets of £1,507,639 (2022: £1,508,248). |
At the time of approving the financial statements the directors have reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The directors have considered the impact of the current economic climate and the measures taken to contain it when forming their assessment of going concern. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. This consists of:
(a) Turnover from temporary placements. This represents the amounts billed for the services of temporary staff including the salaries of those temporary staff. This is recognised when the service is provided.
(b) Turnover from the permanent placement of staff. This is based on the percentage of the candidate's remuneration package and is recognised on the date of commencement of the candidate's placement for non-retained assignments and on completion of defined stages of work for retained assignments. A provision is made as necessary, for any cancellation of placements in the few weeks following the commencement date.
(c) Turnover from amounts billed to clients for expenses incurred on their behalf (principally advertising). This is recognised when the related expense is incurred.
Harris Hill Limited
Notes to the Financial Statements (Continued)
For the year ended 31 March 2023
1
Accounting policies
(Continued)
Page 4
1.4
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Software
33% straight line
1.5
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:
Computer equipment
33% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Financial instruments
The company only has basic financial instruments measured at amortised costs, with no financial instruments classified as other or basic instruments measured at fair value.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
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.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Harris Hill Limited
Notes to the Financial Statements (Continued)
For the year ended 31 March 2023
1
Accounting policies
(Continued)
Page 5
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.10
Provisions
Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.12
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
Harris Hill Limited
Notes to the Financial Statements (Continued)
For the year ended 31 March 2023
Page 6
2
Employees
The average monthly number of persons employed by the company during the year was: 21 (2022: 21)
3
Intangible fixed assets
Software
£
Cost
At 1 April 2022 and 31 March 2023
36,017
Amortisation and impairment
At 1 April 2022
25,185
Amortisation charged for the year
7,468
At 31 March 2023
32,653
Carrying amount
At 31 March 2023
3,364
At 31 March 2022
10,832
4
Tangible fixed assets
Computer equipment
£
Cost
At 1 April 2022
198,205
Additions
7,371
At 31 March 2023
205,576
Depreciation and impairment
At 1 April 2022
184,102
Depreciation charged in the year
8,357
At 31 March 2023
192,459
Carrying amount
At 31 March 2023
13,117
At 31 March 2022
14,103
Harris Hill Limited
Notes to the Financial Statements (Continued)
For the year ended 31 March 2023
Page 7
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
466,975
427,032
Amount due from parent undertaking
1,307,117
1,292,586
Other debtors
16,190
26,000
Prepayments and accrued income
35,363
35,390
1,825,645
1,781,008
6
Invoice finance prepayment facility
In December 2009, the company entered into an invoice finance prepayment facility with HSBC plc whereby amounts can be drawn down against trade receivables up to a maximum limit of £650,000 subject to certain conditions. The company remains responsible for the collection of debts and for the risk of slow or non payment. Charges are applied to the value of debts notified for collection and interest is charged daily on amounts drawn down at LIBOR plus 3.96%. HSBC has a charge over the trade receivables for their outstanding debt.
As at the balance sheet date, included in cash at bank is an amount of £175,167 (2022: £43,786) received in advance of this money being received from debtors.
7
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
53,013
35,363
Corporation tax
80,222
28,211
Other taxation and social security
263,769
396,383
Other creditors
12,632
7,679
Accruals and deferred income
192,435
108,962
602,071
576,598
8
Provisions for liabilities
2023
2022
£
£
Dilapidations provision
-
21,730
Deferred tax liabilities
9
7,278
6,445
7,278
28,175
Harris Hill Limited
Notes to the Financial Statements (Continued)
For the year ended 31 March 2023
Page 8
9
Deferred taxation
Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:
Liabilities
Liabilities
2023
2022
Balances:
£
£
ACAs
7,278
6,445
2023
Movements in the year:
£
Liability at 1 April 2022
6,445
Charge to profit or loss
833
Liability at 31 March 2023
7,278
The deferred tax liability set out above is expected to reverse within 36 months and relates to accelerated capital allowances that are expected to be fully unwound within the same period.
10
Called up share capital
2023
2022
£
£
Ordinary share capital
Authorised
5,020 A Ordinary voting shares shares of £1 each
5,020
5,020
2 B Ordinary non voting shares of £1 each
2
2
2 C Ordinary non voting shares of £1 each
2
2
5,024
5,024
A' Ordinary shares are entitled to receive notice of a General Meeting and the right to vote at any such meeting. The 'A' Ordinary shareholders are entitled to any dividend as the directors resolve to distribute to such shareholders. On a winding up they are entitled to receive, pari passu, with each 'B' and 'C' Ordinary share any such sum that shall be paid up but will also be entitled to share in any surplus assets.
B' Ordinary shares and C' Ordinary shares each have the same rights. They are non voting right shares and have no right to attend any general Meeting or receive notice thereof. They are entitled to any dividend as the directors resolve to distribute to the holders of 'B' or 'C' Ordinary shares. These two classes of shares can only be transferred at a price no higher than the capital amount paid up on those shares. On a winding up they are entitled to receive pari passu, with the 'A' Ordinary Shares any such sum that shall be paid up but will not be entitled to participate in any surplus assets after any such payment.
Harris Hill Limited
Notes to the Financial Statements (Continued)
For the year ended 31 March 2023
Page 9
11
Operating lease commitments
Lessee
As at 31 March 2023 the company had future minimum lease payments under non-cancellable operating leases as follows:
2023
2022
£
£
Within one year
45,600
Between two and five years
15,200
60,800
12
Directors' transactions
The remuneration paid to the directors was paid by the ultimate parent company, Harris Hill Holdings Limited and the remuneration of the directors is disclosed in those accounts. No director was entitled to any pension benefit.
13
Parent company
The company is a wholly owned subsidiary of Harris Hill Holdings Limited which is the ultimate parent company, The parent company is registered in England and Wales at Studio 528, Metal Box Factory, 30 Great Guildford Street, London, United Kingdom, SE2 0HS.