Company No: 02266063 (England and Wales)

Contents

• Company Information
• Accountant's Report
• Statement of Financial Position
• Notes to the Unaudited Financial Statements

DIRECTORS	Mr R Price
	Mr J Price
SECRETARY	Mrs P J Price
REGISTERED OFFICE	Golden Hill Brewery
	Old Brewery Road
	Wiveliscombe
	Somerset
	TA4 2PW
	United Kingdom
COMPANY NUMBER	02266063(England and Wales)
CHARTERED ACCOUNTANTS	Bishop Fleming LLP
	10 Temple Back
	Bristol
	BS1 6FL

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Exmoor Ales Limited for the financial year ended 31 March 2020 which comprises the Statement of Financial Position and the related notes 1 to 10 from the Company’s accounting records and from information and explanations you have given us.

We are subject to the ethical and other professional requirements of the Institute of Chartered Accountants in England and Wales (ICAEW) which are detailed at _http://www.icaew.com/en/members/regulations-standards-and-guidance/_.

It is your duty to ensure that Exmoor Ales Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Exmoor Ales Limited. You consider that Exmoor Ales Limited is exempt from the statutory audit requirement for the financial year.

We have not been instructed to carry out an audit or a review of the financial statements of Exmoor Ales 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 financial statements.

This report is made solely to the Board of Directors of Exmoor Ales Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the financial statements of Exmoor Ales Limited and state those matters that we have agreed to state to you in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Exmoor Ales Limited and its Board of Directors as a body for our work or for this report.

Bishop Fleming LLP
Chartered Accountants

10 Temple Back
Bristol
BS1 6FL

22 December 2020

		2020		2019
	Note	£		£
Fixed assets
Tangible assets	4	1,512,017		1,410,238
		1,512,017		1,410,238
Current assets
Stocks		134,473		109,239
Debtors
- due within one year	5	414,672		530,571
- due after more than one year	5	250,000		250,000
Cash at bank and in hand		7,898		3,011
		807,043		892,821
Creditors
Amounts falling due within one year	6	( 978,503)		( 1,016,643)
Net current liabilities		(171,460)		(123,822)
Total assets less current liabilities		1,340,557		1,286,416
Creditors
Amounts falling due after more than one year	7	( 858,483)		( 819,329)
Provisions for liabilities		( 40,640)		( 26,975)
Net assets		441,434		440,112
Capital and reserves
Called-up share capital	8	58,392		58,392
Other reserves		16,608		16,608
Profit and loss account		366,434		365,112
Total shareholder's funds		441,434		440,112

For the financial year ending 31 March 2020 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors’ responsibilities:

• The members have not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Exmoor Ales Limited (registered number: 02266063) were approved and authorised for issue by the Board of Directors on 22 December 2020. They were signed on its behalf by:

Mr J Price Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year.

General information and basis of accounting

Exmoor Ales Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Golden Hill Brewery, Old Brewery Road, Wiveliscombe, Somerset, TA4 2PW, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council.

The functional currency of Exmoor Ales Limited is considered to be pounds sterling because that is the currency of the primary economic environment in which the Company operates.

Going concern

The directors have assessed the Balance Sheet and likely future cash flows at the date of approving these financial statements. The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence and to meet its financial obligations as they fall due for at least 12 months from the date of signing these financial statements. The directors have also carefully considered the recent COVID-19 events and, with this in mind, believe that the going concern basis is still appropriate for the preparation of the financial statements.

Turnover

Turnover is stated net of VAT and trade discounts and is recognised when the significant risks and rewards are considered to have been transferred to the buyer. Turnover from the sale of goods is recognised when the goods are physically delivered to the customer. Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a contract has only been partially completed at the Statement of Financial Position date turnover represents the fair value of the service provided to date based on the stage of completion of the contract activity at the Statement of Financial Position date. Where payments are received from customers in advance of services provided, the amounts are recorded as deferred income and included as part of creditors due within one year.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Statement of Financial Position date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws.

Deferred tax assets and liabilities are not discounted.

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line and reducing balance basis over its expected useful life, as follows:

Freehold property - 4% and 0% straight line
Plant, machinery and pumps - 25,20 & 15 years straight line
Motor vehicles - 20% straight line
Casks - 5% reducing balance
Office equipment - 20% straight line
Computer equipment - 33% straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Statement of Income and Retained Earnings over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial in such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) 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 Statement of Financial Position date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Ordinary share capital

The ordinary share capital of the Company is presented as equity.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

2. Employees

	2020	2019
	Number	Number
Monthly average number of persons employed by the Company during the year, including directors	23	21

3. Intangible assets

	Trademarks, patents and licences	Total
	£	£
Cost
At 01 April 2019	1,985	1,985
At 31 March 2020	1,985	1,985
Accumulated amortisation
At 01 April 2019	1,985	1,985
At 31 March 2020	1,985	1,985
Net book value
At 31 March 2020	0	0
At 31 March 2019	0	0

4. Tangible assets

	Land and buildings	Plant and machinery	Vehicles	Office equipment	Other property, plant and equipment	Total
	£	£	£	£	£	£
Cost/Valuation
At 01 April 2019	805,913	589,559	28,810	26,652	442,778	1,893,712
Additions	2,000	64,107	28,870	0	62,823	157,800
At 31 March 2020	807,913	653,666	57,680	26,652	505,601	2,051,512
Accumulated depreciation
At 01 April 2019	83,658	140,917	4,791	24,989	229,119	483,474
Charge for the financial year	12,276	23,093	8,769	1,438	10,444	56,020
At 31 March 2020	95,934	164,010	13,561	26,427	239,563	539,495
Net book value
At 31 March 2020	711,979	489,656	44,119	225	266,038	1,512,017
At 31 March 2019	722,255	448,642	24,019	1,663	213,659	1,410,238

Included in Other property, plant and equipment are Casks at a cost of £456,462 with depreciation of £225,563

5. Debtors

	2020	2019
	£	£
Debtors: amounts falling due within one year
Trade debtors	317,682	395,282
Amounts owed by Parent undertakings	75,944	82,478
Other debtors	21,046	52,811
	414,672	530,571

Debtors: amounts falling due after more than one year
Amounts owed by Parent undertakings	250,000	250,000
	250,000	250,000

6. Creditors: amounts falling due within one year

	2020	2019
	£	£
Bank loans and overdrafts	166,511	63,716
Trade creditors	253,377	381,442
Other creditors	425,011	467,323
Other taxation and social security	96,409	96,987
Obligations under finance leases and hire purchase contracts (secured)	37,195	7,175
	978,503	1,016,643

Bank loans and overdrafts plus amounts held in other creditors are secured by a fixed and floating charge over the assets of the company.

Obligations under finance leases and hire purchase contracts are secured against the assets to which they relate.

7. Creditors: amounts falling due after more than one year

	2020	2019
	£	£
Bank loans (secured)	773,951	800,000
Obligations under finance leases and hire purchase contracts (secured)	84,532	19,329
	858,483	819,329

Bank loans are secured by a fixed and floating charge over the assets of the company.

Obligations under finance leases and hire purchase contracts are secured against the assets to which they relate.

Amounts repayable after more than 5 years are included in creditors falling due over one year:

	2020	2019
	£	£
Bank loans(secured / repayable by instalments)	615,361	650,000
	615,361	650,000

Bank loans are secured by a fixed and floating charge over the assets of the company.

8. Called-up share capital and reserves

	2020	2019
	£	£
Allotted, called-up and fully-paid
58,392 Ordinary shares of £ 1.00 each (2019: 58,392 shares of £ 1.00 each)	58,392	58,392
	58,392	58,392

9. Financial commitments

Commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

	2020	2019
	£	£
- within one year	28,821	24,123
- between one and five years	67,910	7,055
	96,731	31,178

10. Related party transactions

Transactions with the entity's directors

	2019	2020
	£	£
Directors loan	19,354	19,354

At the year end, the company owed a director £19,354. This loan is interest free and has no fixed date for repayment.

The company paid rent of £16,435 (2019: £Nil) to Jonathan Price's pension scheme in relation to a building purchased by the pension scheme and used by Exmoor Ales Limited.