Cedar House Financial Services Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 02040424 (England and Wales)

Financial Statements

for the Year Ended 30 September 2020

for

CEDAR HOUSE FINANCIAL SERVICES LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Directors:

Mr D Gerschlowitz

Mr L Kafton

Mr E T Elia

Registered office:

Cedar House

179-181 Bramley Road

Oakwood

London

N14 4XA

Registered number:

02040424 (England and Wales)

Accountants:

Haines Watts

Chartered Accountants

305 Regents Park Road

Finchley

London

N3 1DP

Fixed assets

Intangible assets

4

181,820

214,878

Tangible assets

5

15,981

19,744

Investments

6

-

-

197,801

234,622

Current assets

Debtors

7

311,103

91,117

Cash at bank and in hand

305,265

232,036

616,368

323,153

Creditors

Amounts falling due within one year

8

380,184

314,385

Net current assets

236,184

8,768

Total assets less current liabilities

433,985

243,390

Provisions for liabilities

2,644

3,272

Net assets

431,341

240,118

Capital and reserves

Called up share capital

10

1,080

1,200

Capital redemption reserve

120

-

Retained earnings

430,141

238,918

Shareholders' funds

431,341

240,118

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 September 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 September 2020 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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 Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 11 January 2021 and were signed on its behalf by:

Mr L Kafton - Director

1.	Statutory information

Cedar House Financial Services 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

Key source of estimation, uncertainty and judgement

The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period.

There is estimation uncertainty in calculating depreciation. A full line by line review of fixed assets is carried out by management regularly. Whilst every attempt is made to ensure that the depreciation policy is as accurate as possible, there remains a risk that the policy does not match the useful life of the assets.

There is estimation uncertainty in calculating amortisation of goodwill. A full line by line review of intangible assets is carried out by management regularly. Whilst every attempt is made to ensure that the amortisation policy is as accurate as possible, there remains a risk that the policy does not match the useful life of the intangible assets.

There is estimation uncertainty in calculating deferred tax. A full line by line review of deferred tax is carried out by management regularly. Whilst every attempt is made to ensure that the deferred tax is accurate as possible, there remains a risk that the provisions do not match the actual tax liability when asset is disposed off.

There is estimation uncertainty in calculating bad debt provisions. A full line by line review of trade debtors is carried out at the end of each month. Whilst every attempt is made to ensure that the bad debt provisions are as accurate as possible, there remains a risk that the provisions do not match the level of debts which ultimately prove to be uncollectable.

Turnover

Turnover represents the commissions and fees receivable during the year less indemnity commissions chargeback provisions.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

15% on reducing balance

Computer equipment

-

33% on reducing balance

Investments in subsidiaries

Investments in subsidiaries are carried at cost less accumulated impairment losses in the Company’s balance sheet.

Financial instruments

Financial assets and financial liabilities are recognised in the balance sheet when the company becomes a party to the contractual provisions of the instrument.

Trade and other debtors and creditors are classified as basic financial instruments and measured at initial recognition at transaction price. Debtors and creditors are subsequently measured at amortised cost using the effective interest rate method.

Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank which are integral part of the company’s cash management.

Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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.

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.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a company in 2016, is being amortised evenly over its estimated useful life of 10 years.

3.	Employees and directors

The average number of employees during the year was 16 (2019 - 16 ) .

4.	Intangible fixed assets

Goodwill

£

Cost

At 1 October 2019

and 30 September 2020

330,581

Amortisation

At 1 October 2019

115,703

Amortisation for year

33,058

At 30 September 2020

148,761

Net book value

At 30 September 2020

181,820

At 30 September 2019

214,878

5.	Tangible fixed assets

Fixtures

Plant and

and

Computer

machinery

fittings

equipment

Totals

£

£

£

£

Cost

At 1 October 2019

and 30 September 2020

10,022

122,067

47,818

179,907

Depreciation

At 1 October 2019

2,781

114,018

43,364

160,163

Charge for year

1,086

1,207

1,470

3,763

At 30 September 2020

3,867

115,225

44,834

163,926

Net book value

At 30 September 2020

6,155

6,842

2,984

15,981

At 30 September 2019

7,241

8,049

4,454

19,744

6.	Fixed asset investments

Shares in

group

undertakings

£

Cost

At 1 October 2019

and 30 September 2020

294,220

Provisions

At 1 October 2019

and 30 September 2020

294,220

Net book value

At 30 September 2020

-

At 30 September 2019

-

7.

Debtors: amounts falling due within one year

2020

2019

£

£

Trade debtors

39,889

39,889

Other debtors

271,214

51,228

311,103

91,117

8.

Creditors: amounts falling due within one year

2020

2019

£

£

Taxation and social security

209,106

190,630

Other creditors

171,078

123,755

380,184

314,385

9.	Leasing agreements

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

2020

2019

£

£

Within one year

7,043

7,043

Between one and five years

8,217

15,260

15,260

22,303

10.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

600

Ordinary

£1

600

1,200

48,000

A Ordinary

1p

480

-

1,080

1,200

11.	Directors' advances, credits and guarantees

The following advances and credits to directors subsisted during the years ended 30 September 2020 and 30 September 2019:

2020

2019

£

£

Mr R I Kafton

Balance outstanding at start of year

1,123

-

Amounts advanced

75,000

5,751

Amounts repaid

(76,123

)

(4,628

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

-

1,123

Mr D Gerschlowitz

Balance outstanding at start of year

(208

)

-

Amounts advanced

99,298

-

Amounts repaid

(37,760

)

(208

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

61,330

(208

)

Mr L Kafton

Balance outstanding at start of year

(77

)

-

Amounts advanced

99,301

131

Amounts repaid

(37,760

)

(208

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

61,464

(77

)

The directors loan from the company was repaid within nine months of the company year end date.