Registration number:
Molly's Limited
for the Year Ended 31 May 2021
Molly's Limited
Contents
Company Information |
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Accountants' Report |
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Balance Sheet |
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Notes to the Unaudited Financial Statements |
Molly's Limited
Company Information
Director |
M M Patel |
Registered office |
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Accountants |
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Chartered Accountants' Report to the Director on the Preparation of the Unaudited Financial Statements of
Molly's Limited
for the Year Ended 31 May 2021
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Molly's Limited for the year ended 31 May 2021, which comprise the statement of income, balance sheet and the related notes, from the company's accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at
https://www.icaew.com/regulation/a-z.
This report is made solely to the director of Molly's Limited, in accordance with the terms of our engagement. Our work has been undertaken solely to prepare for your approval the accounts of Molly's Limited and state those matters that we have agreed to state to the director of Molly's Limited, in this report in accordance with ICAEW Technical Release TECH 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Molly's Limited and its director for our work or for this report.
It is your duty to ensure that Molly's Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and loss of Molly's Limited. You consider that Molly's Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Molly's Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.
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Chartered Accountants
Champions Way
Hendon
London
NW4 1PX
Molly's Limited
(Registration number: 04419765)
Balance Sheet as at 31 May 2021
Note |
2021 |
2020 |
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Fixed assets |
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Tangible assets |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Provisions for liabilities |
( |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
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Retained earnings |
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Shareholder's funds |
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For the financial year ended 31 May 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
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The director acknowledges her responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements. |
These financial statements have been prepared and delivered in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006. The statement of income and the director's report are not delivered to the Registrar of Companies in accordance with the special provisions applicable to small companies subject to the small companies regime.
Approved and authorised for issue by the
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M M Patel
Director
Molly's Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2021
General information |
The company is a private company limited by share capital incorporated in England. The registered office is shown on page 1.
The principal place of business is:
14-15 St Dominic's Square
Lewsey Farm
Luton
Bedfordshire
LU4 0UN
Accounting policies |
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A Small Entities and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention.
The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.
Summary of significant accounting policies
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Turnover
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of value added tax, returns, rebates and discounts and recognised at point of sale.
Government grants
This comprises the Coronavirus Retail, Hospitality and Leisure grant which is recognised in the statement of income, under other operating income, using the accruals model.
Tax
The tax expense for the year comprises current and, where applicable deferred tax. Tax is recognised in statement of income, except that a change attributable to an item of income or expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.
The company's liability for current tax is calculated using tax rates and laws that have been enacted or substantively enacted by the end of the reporting period.
Molly's Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2021
Deferred tax is recognised on all timing differences arising between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax is measured using 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.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Current and deferred tax assets and liabilities are not discounted.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is provided on tangible assets so as to write off the cost, less any estimated residual value, evenly over their estimated useful economic life, as follows:
Asset class |
Depreciation rate and method |
Fixtures, fittings & equipment |
25% reducing balance basis |
Short leasehold land & buildings |
14% straight line basis |
Freehold land & buildings |
2% straight line basis |
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised over its useful life.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost over their estimated useful economic life, as follows:
Asset class |
Amortisation rate and method |
Goodwill |
10% and 20% straight line basis |
Cash at bank and in hand
Cash comprises cash at bank and in hand.
Trade debtors
Trade debtors are amounts due from customers for goods sold or services provided in the ordinary course of business.
A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the debtors.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method. Net realisable value is based on estimated selling price.
Molly's Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2021
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.
Trade creditors are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Pension costs
Contributions to the company's defined contribution pension scheme are charged to the statement of income in the year. The assets of the scheme are held separately from those of the company in an independently administered fund.
In addition, the pension costs also include the amount paid by the company into the director's personal pension plan.
Financial instruments
Classification
Recognition and measurement
Employee information |
The average number of persons employed by the company (including the director) during the year, was
Molly's Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2021
Intangible assets |
Goodwill |
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Cost |
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At 1 June 2020 |
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At 31 May 2021 |
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Amortisation |
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At 1 June 2020 |
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At 31 May 2021 |
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Carrying amount |
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At 31 May 2021 |
- |
At 31 May 2020 |
- |
Tangible assets |
Land and buildings |
Fixtures, fittings and equipment |
Total |
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Cost |
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At 1 June 2020 |
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Additions |
- |
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At 31 May 2021 |
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Depreciation |
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At 1 June 2020 |
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Charge for the year |
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At 31 May 2021 |
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Carrying amount |
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At 31 May 2021 |
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At 31 May 2020 |
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Included within the net book value of land and buildings above is £307,253 (2020 - £314,437) in respect of freehold land and buildings and £Nil (2020 - £Nil) in respect of short leasehold land and buildings.
Molly's Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2021
Stocks |
2021 |
2020 |
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Finished goods |
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Debtors |
2021 |
2020 |
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Trade debtors |
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Other debtors |
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Other debtors include £11,018 (2020 - £157,668) deferred consideration on the sale of fixed asset investments on 4 May 2018. £2,203 (2020 - £11,018) of this is due after more than one year. The deferred consideration is contingent on meeting certain targets over next two years.
Creditors : amounts falling due within one year |
2021 |
2020 |
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Trade creditors |
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Other taxes and social security |
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Director's loan |
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Other creditors |
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Accruals |
4,750 |
5,850 |
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Provisions for liabilities |
Deferred tax |
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At 1 June 2020 |
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Increase in existing provisions |
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At 31 May 2021 |
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Molly's Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 May 2021
Commitments under operating leases |
As at 31 May 2021, the company had total future commitments under non-cancellable operating leases as set out below:
2021 |
2020 |
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Not later than one year |
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Later than one year and not later than five years |
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Later than five years |
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Share capital |
Allotted, called up and fully paid shares
2021 |
2020 |
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No. |
£ |
No. |
£ |
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1,000 |
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1,000 |
Related party transactions |
Loan from director
2021 |
£ |
At start of year |
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Repaid |
( |
At end of year |
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2020 |
£ |
At start of year |
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Advanced during the year |
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At end of year |
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Terms of loan from director
Control |
The company is controlled by Mrs M Patel