J. J. Rudell & Co. Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 01259624 (England and Wales)

Financial Statements

for the Year Ended 31 March 2020

for

J. J. RUDELL & CO. LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

Directors:

S J Jones

P A Rudell

J Weston

Registered office:

5-6 Greenfield Crescent

Edgbaston

Birmingham

B15 3BE

Registered number:

01259624 (England and Wales)

Auditors:

Haines Watts Birmingham LLP

5-6 Greenfield Crescent

Edgbaston

Birmingham

B15 3BE

Fixed assets

Tangible assets

5

1,995,369

1,195,416

Investments

6

1

1

1,995,370

1,195,417

Current assets

Stocks

7

7,146,577

7,024,957

Debtors

8

115,862

174,532

Cash at bank

1,244,541

1,519,381

8,506,980

8,718,870

Creditors

Amounts falling due within one year

9

997,442

1,120,941

Net current assets

7,509,538

7,597,929

Total assets less current liabilities

9,504,908

8,793,346

Provisions for liabilities

11

87,462

51,421

Net assets

9,417,446

8,741,925

Capital and reserves

Called up share capital

28,347

28,347

Share premium

70,260

70,260

Revaluation reserve

12

377,292

377,292

Capital redemption reserve

1,153

1,153

Retained earnings

8,940,394

8,264,873

9,417,446

8,741,925

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Statement of Comprehensive Income has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 13 October 2020 and were signed on its behalf by:

J Weston - Director

1.	Statutory information

J. J. Rudell & Co. Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	Accounting policies

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The impact of COVID-19

In response to the COVID-19 viral pandemic, the directors have further considered their cash flow projections to take into account the impact on the business of possible scenarios brought on by the impact of COVID-19, alongside the measures that they can take to mitigate the impact. Based on these assessments, and given the measures that could be undertaken to mitigate the current adverse conditions, together with the current resources available, the directors have concluded that they can continue to adopt the going concern basis in preparing the financial statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

All fixed assets are initially recorded at cost or valuation less accumulated depreciation and accumulated impairment losses.

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is shorter.

Freehold property

- 1.5% on revalued amount

Long term leasehold property

- Written off in equal installments over the lease from the date of acquisition

Leasehold improvements

- 7% on cost

Fixtures and fittings

- 15% reducing balance

Computer equipment

- 5 years straight line basis

An amount equal to the excess of the annual depreciation charge on revalued assets over the notional historical cost depreciation charge on those assets is transferred annually from revaluation reserve to the profit and loss reserve.

The Company has elected to adopt a 'deemed cost' value at the date of transition in the year ended 31 March 2016. This reflects the value of tangible assets under the previous revaluation policy under UK GAAP at the date of transition (1 March 2014). The Company will no longer apply the revaluation model under FRS 102 ( as it previously did under UK GAAP) and will hold assets at the deemed cost and depreciate them over their useful economic lives. Revaluations will no longer be performed.

On transition, the revaluation reserve remains in accordance with Companies Act 2006. Tangible assets are tested for impairment when an indicator of impairment is identified. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount. Any impairment of the carrying value is charged to the income statement. Impairment charges through the income statement relating to previously revalued assets are subsequently transferred from the profit and loss to the revaluation reserve.

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchases on a first in first out basis.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

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 is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

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.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Valuation of investments

Investments in unlisted company shares, whose market value cannot be reliably determined, are stated at historical cost less impairment.

3.	Employees and directors

The average number of employees during the year was 37 (2019 - 36 ) .

4.	Auditors' remuneration

2020

2019

£

£

Fees payable to the company's auditors for the audit of the company's financial statements

11,008

19,815

5.	Tangible fixed assets

Fixtures

Freehold

Long

and

Computer

property

leasehold

fittings

equipment

Totals

£

£

£

£

£

Cost

At 1 April 2019

545,000

768,276

940,760

14,219

2,268,255

Additions

837,260

-

64,004

-

901,264

At 31 March 2020

1,382,260

768,276

1,004,764

14,219

3,169,519

Depreciation

At 1 April 2019

49,538

354,797

654,815

13,689

1,072,839

Charge for year

14,035

34,253

52,493

530

101,311

At 31 March 2020

63,573

389,050

707,308

14,219

1,174,150

Net book value

At 31 March 2020

1,318,687

379,226

297,456

-

1,995,369

At 31 March 2019

495,462

413,479

285,945

530

1,195,416

The freehold land and buildings were revalued on an open market basis on 12 January 2011 by external valuers Towler, Shaw and Roberts.

If the land and buildings had not been included at valuation they would have been included under the historical cost concertino as follows:

2020£

2019£

Cost

256,373

256,373

Accumulated depreciation

99,115

91,928

Net book value

157,258

164,445

6.	Fixed asset investments

Unlisted

investments

£

Cost

At 1 April 2019

and 31 March 2020

1

Net book value

At 31 March 2020

1

At 31 March 2019

1

The investment consists of a small minority holding (3.2%) in Houlden Jewellers Limited, a company incorporated in England, a buying group of which the company is a member.

7.

Stocks

2020

2019

£

£

Stocks

7,146,577

7,024,957

8.

Debtors: amounts falling due within one year

2020

2019

£

£

Trade debtors

13,063

6,317

Other debtors

10,669

20,398

Prepayments and accrued income

92,130

147,817

115,862

174,532

9.

Creditors: amounts falling due within one year

2020

2019

£

£

Trade creditors

318,093

527,835

Tax

239,629

288,017

Social security and other taxes

41,929

38,033

VAT

130,394

-

Other creditors

57,015

50,664

Directors' loan accounts

77,341

75,663

Accruals and deferred income

133,041

140,729

997,442

1,120,941

10.	Leasing agreements

Minimum lease payments under non-cancellable operating leases fall due as follows:

2020

2019

£

£

Within one year

32,703

65,050

Between one and five years

17,893

49,922

50,596

114,972

11.	Provisions for liabilities

2020

2019

£

£

Deferred tax

87,462

51,421

Deferred tax

£

Balance at 1 April 2019

51,421

Provided during year

36,041

Balance at 31 March 2020

87,462

12.

Reserves

Revaluation

reserve

£

At 1 April 2019

and 31 March 2020

377,292

13.	Disclosure under Section 444(5B) of the Companies Act 2006

The Report of the Auditors was unqualified.

Andrew Jones (Senior Statutory Auditor)

for and on behalf of Haines Watts Birmingham LLP

14.	Pension commitments

The Company operates a defined contribution pension scheme. The assets are held separately from those of the Company in an independent administer fund. The pension cost charge represents contributions payable by the Company fund and amounted to £38,759 (2019: £33,172). Contributions totalling £6,812 (2019:£4,722) were payable to the fund at the balance sheet date.

15.	Contingent liabilities

The company is party to a guarantee limited to £10,000 given to Bank of Scotland Plc in respect of Houlden Jewellers Limited.

16.	Capital commitments

As at 31 March 2020 the company had committed to the purchase of a new shop fit out of which the cost of £40,000 remained outstanding.

17.	Related party disclosures

Included in creditors is an amount of £57,664 (2019: £59,944) due to P Rudell and £19,677 (2019: £19,719) due to J Weston.