Company registration number 11222495 (England and Wales)
Artisan Retail (Leeds) Limited
Unaudited Financial Statements
For The Period Ended 31 March 2023
Pages For Filing With Registrar
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
COMPANY INFORMATION
Director
Mr A Kitching
(Appointed 23 March 2023)
Secretary
Ms J L Medley
Company number
11222495
Registered office
8 Wells Promenade
Ilkley
LS29 9LF
Accountants
Azets
Triune Court
Monks Cross Drive
York
YO32 9GZ
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 9
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
19,485
19,968
Investments
5
1
1
19,486
19,969
Current assets
Stocks
29,441
31,568
Debtors
7
43,900
56,667
Cash at bank and in hand
119,429
69,544
192,770
157,779
Creditors: amounts falling due within one year
8
(234,394)
(160,299)
Net current liabilities
(41,624)
(2,520)
Total assets less current liabilities
(22,138)
17,449
Creditors: amounts falling due after more than one year
9
(52,577)
(127,431)
Provisions for liabilities
(1,400)
(600)
Net liabilities
(76,115)
(110,582)
Capital and reserves
Called up share capital
1,000
1,000
Profit and loss reserves
(77,115)
(111,582)
Total equity
(76,115)
(110,582)
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2023
31 March 2023
- 2 -
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
For the financial period 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 director acknowledges his 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 period 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.
The financial statements were approved by the board of directors and authorised for issue on 12 December 2023 and are signed on its behalf by:
Mr A Kitching
Director
Company Registration No. 11222495
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 MARCH 2023
- 3 -
1
Accounting policies
Company information
Artisan Retail (Leeds) Limited is a private company limited by shares incorporated in England and Wales. The registered office is 8 Wells Promenade, Ilkley, LS29 9LF.
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 amounts in these financial statements are rounded to the nearest £1.
The financial statements have been prepared under the historical cost convention. 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
At the balance sheet datetrue, the company is in a net liability position. The company has performed positively in recent history which has reduced net liabilities. The accounts have been prepared on the going concern basis as the director believes the company has sufficient resources to continue in operation and have indicated their willingness to support the company for the foreseeable future.
1.3
Reporting period
The current reporting period is the 7 months ending 31st March 2023. The comparative is a full year to 31st August 2022, therefore they are not a direct comparison.
1.4
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, and is recognised at the point of sale to the customer.
1.5
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 5 years.
1.6
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation 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:
Fixtures and fittings
4 years straight line
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
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.
1.7
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.
1.8
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
1.9
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and delivery charges.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.10
Cash at bank and in hand
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.
1.11
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 balance sheet 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 and cash and bank balances, 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.
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 5 -
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
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 and loans from fellow group companies, 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 payments 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. Amounts 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.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
1.12
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.
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 6 -
1.13
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 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. 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. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. 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.
1.14
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.
1.15
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.16
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
- 7 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2023
2022
Number
Number
Total
52
52
3
Intangible fixed assets
Goodwill
£
Cost
At 1 September 2022 and 31 March 2023
52,947
Amortisation and impairment
At 1 September 2022 and 31 March 2023
52,947
Carrying amount
At 31 March 2023
At 31 August 2022
4
Tangible fixed assets
Fixtures & Fittings
£
Cost
At 1 September 2022
76,505
Additions
5,457
At 31 March 2023
81,962
Depreciation and impairment
At 1 September 2022
56,537
Depreciation charged in the period
5,940
At 31 March 2023
62,477
Carrying amount
At 31 March 2023
19,485
At 31 August 2022
19,968
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
- 8 -
5
Fixed asset investments
2023
2022
£
£
Shares in group undertakings and participating interests
1
1
6
Subsidiaries
Details of the company's subsidiaries at 31 March 2023 are as follows:
Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Friends of Ham Limited
8 Wells Promenade, Ilkley, LS29 9LF
Dormant
Ordinary
100.00
7
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
230
101
Other debtors
43,670
56,566
43,900
56,667
8
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
10,648
10,731
Trade creditors
31,555
80,542
Taxation and social security
104,085
65,695
Other creditors
88,106
3,331
234,394
160,299
Included within bank loans and overdrafts are loans of £10,648 (2022 - £10,648) which are secured by the UK Government under the Coronavirus Bounce Back Loan Scheme.
Included in other creditors is £69,203 (2022 - £nil) which is secured by way of fixed and floating charge over the assets of the company.
ARTISAN RETAIL (LEEDS) LIMITED
Artisan Retail (Leeds) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
- 9 -
9
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
21,780
27,431
Other creditors
30,797
100,000
52,577
127,431
Included within bank loans and overdrafts are loans of £21,780 (2022 - £27,431) which are secured by the UK Government under the Coronavirus Bounce Back Loan Scheme.
Included in other creditors is £30,797 (2022 - £nil) which is secured by way of fixed and floating charge over the assets of the company.
10
Financial commitments, guarantees and contingent liabilities
During the year, the company guaranteed a loan for the parent company, Artisan Retail (Holdings) Limited, which is included in other creditors in note 8 and note 9. The guarantee is in place until the loan is fully repaid in March 2027.
11
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2023
2022
£
£
659,350
712,329
12
Related party transactions
Transactions with related parties
The company has taken advantage of the disclosure exemptions of Section 33.1A of FRS 102 which permit it to not present details of its transactions with members of the group headed by Artisan Retail (Holdings) Limited, where relevant group companies are wholly owned.
During the period the company entered into the following transactions with related parties:
The following amounts were outstanding at the reporting end date:
2023
2022
Amounts due to related parties
£
£
Entities with control, joint control or significant influence over the company
100,000