Company Registration No. 08493453 (England and Wales)
Storm Models Ltd
Unaudited financial statements
for the year ended 31 December 2019
Storm Models Ltd
Contents
Page
Statement of financial position
1 - 2
Notes to the financial statements
3 - 7
Storm Models Ltd
Statement of financial position
As at 31 December 2019
Page 1
2019
2018
Notes
£
£
£
£
Fixed assets
Investments
2
3,937,875
3,937,875
Current assets
Debtors
3
878,607
44,372
Creditors: amounts falling due within one year
4
(1,662,087)
(1,329,099)
Net current liabilities
(783,480)
(1,284,727)
Total assets less current liabilities
3,154,395
2,653,148
Creditors: amounts falling due after more than one year
5
(1,039,486)
(502,083)
Net assets
2,114,909
2,151,065
Capital and reserves
Called up share capital
6
1,000,000
1,000,000
Share premium account
921,569
921,569
Profit and loss reserves
193,340
229,496
Total equity
2,114,909
2,151,065
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial year ended 31 December 2019 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.
T
he 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.
Storm Models Ltd
Statement of financial position (continued)
As at 31 December 2019
Page 2
The financial statements were approved by the board of directors and authorised for issue on 21 October 2020 and are signed on its behalf by:
Sarah Doukas
Simon Chambers
Director
Director
Company Registration No. 08493453
Storm Models Ltd
Notes to the financial statements
For the year ended 31 December 2019
Page 3
1
Accounting policies
Company information
Storm Models Ltd is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
5 Jubilee Place, London, SW3 3TD.
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, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption under section
399
of the
Companies Act 2006 not to prepare consolidated accounts
, on the basis that the group of which this is the parent qualifies as a small group
. The financial statements present information about the company as an individual entity and not about its group
.
1.2
Going concern
A
true
t the time of approving the financial statements
,
t
he directors have a reasonable expectation that the
company
has adequate resources to continue in operational existence for the foreseeable future.
The company was impacted by COVID-19 post year end and there remains some uncertainty around future performance of the company. However,
t
he directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
The investments are assessed for impairment at each reporting date
and
any
impairment
losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company
. Control is
the power to govern the financial and operating policies of
the
entity so as to obtain benefits from its activities.
1.4
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.
Storm Models Ltd
Notes to the financial statements (continued)
For the year ended 31 December 2019
1
Accounting policies (continued)
Page 4
1.5
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from
fellow group companies and preference shares that are classified as debt, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities. Trade creditors are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
1.6
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.
Storm Models Ltd
Notes to the financial statements (continued)
For the year ended 31 December 2019
1
Accounting policies (continued)
Page 5
1.7
Derivatives
Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. The resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.
A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.
1.8
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
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. Where items recognised in other comprehensive income or equity are chargeable to or deductible for tax purposes, the resulting current or deferred tax expense or income is presented in the same component of comprehensive income or equity as the transaction or other event that resulted in the tax expense or income. 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.
Storm Models Ltd
Notes to the financial statements (continued)
For the year ended 31 December 2019
Page 6
2
Fixed asset investments
2019
2018
£
£
Investments
3,937,875
3,937,875
Fixed asset investments not carried at market value.
Movements in fixed asset investments
Shares in group undertakings
Other investments other than loans
Total
£
£
£
Cost or valuation
At 1 January 2019 & 31 December 2019
3,921,569
52,206
3,973,775
Impairment
At 1 January 2019 & 31 December 2019
-
35,900
35,900
Carrying amount
At 31 December 2019
3,921,569
16,306
3,937,875
At 31 December 2018
3,921,569
16,306
3,937,875
3
Debtors
2019
2018
Amounts falling due within one year:
£
£
Other debtors
878,607
44,372
4
Creditors: amounts falling due within one year
2019
2018
£
£
Amounts owed to group undertakings
1,661,584
1,328,719
Corporation tax
503
380
1,662,087
1,329,099
Storm Models Ltd
Notes to the financial statements (continued)
For the year ended 31 December 2019
Page 7
5
Creditors: amounts falling due after more than one year
2019
2018
£
£
Other creditors
1,039,486
502,083
On 29 November 2018, the company issued 52,632 5% redeemable preference shares with a nominal value of 1p each for consideration of £500,000. This shareholding was increased by 2,924 shares on 8 July 2019 to maintain the shareholder's shareholding at 5% of the total shares in issue.
On 8 July 2019, the company issued 55,556 5% redeemable preference shares with a nominal value of 1p each for consideration of £500,000.
6
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
1,000,000 Ordinary shares of £1 each
1,000,000
1,000,000
7
Related party transactions
The company has taken the exemption available in FRS 102 section 33 "related party disclosures" whereby it has not disclosed transactions with any wholly owned subsidiary undertaking.