SC_ADVISORY_SERVICES_LIMI - Accounts

The directors present their annual report and financial statements for the year ended 31 March 2020.

The principal activity of the company continued to be that of providing accounting and auditing services to a wide range of clients.

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

In accordance with the company's articles, a resolution proposing that BHP LLP be reappointed as auditor of the company will be put at a General Meeting.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

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

SC Advisory Services Limited is a private company limited by shares incorporated in England and Wales. The registered office is St.Helens House, King Street, Derby, DE1 3EE.

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 £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The Directors note that events surrounding Covid-19 have introduced additional risks for many companies. The Directors remain confident that the company is well placed to mitigate any additional risks arising. The Directors believe strong cash reserves held and additional funding available to the company are sufficient to provide additional levels of risk mitigation such that the Directors are confident that Covid-19 will not adversely affect the on-going viability of the company.

The directors have prepared budgets and cashflow forecasts to March 2022 on an individual and group level and up to date management accounts and consider that the group will continue to operate within its overdraft facility for 12 months from the date of signing the Balance Sheet. The overdraft facility is due for renewal in May 2021 and there is no reason to believe that it will not be extended.true

At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.                                    

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

Turnover is recognised when the right to income for services provided arises.

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 10 years.

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.

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.

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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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.

The tax expense represents the sum of the tax currently payable and deferred 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 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 following judgments, estimates and assumptions affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenditure during the year. However, the nature of estimation means that the actual outcomes could differ from those estimates. The following judgments have had the most significant effect on amounts recognised in the financial statements:

Depreciation and Amortisation

Tangible and Intangible Fixed assets are depreciated over their useful life. The useful life is based on the management’s estimate of the period that the assets will generate revenue and will be reviewed annually for continued appropriateness. The carrying values will be tested for impairment when there is an indication that the value of an asset might be impaired. When carrying out an impairment test this would be based on future cash flows forecasts and these forecasts would be based on management judgement. No such indication of impairment has been noted.

Provisions

Provisions are made for negligence, holiday pay and future dilapidation costs on the expiry of lease agreements. These provisions are based on management judgement using all the information available and are updated regularly when circumstances change.

Amounts recoverable on contracts

Amounts recoverable on contracts are stated at cost plus profit to date less provision for foreseeable losses and net of amounts billed on account.

There were no (0) staff directly employed by the company during the year or in the prior year.

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

During the year the company entered into the following transactions with related parties:

The following amounts were outstanding at the reporting end date:

The ultimate parent company of SC Advisory Services Limited is SHH101 LLP, a limited liability partnership incorporated in England and Wales. SHH101 LLP prepares group consolidated accounts, which includes the entity's financial statements. A copy of the consolidated statements are available from the registered office of St Helens House, King Street, Derby, DE1 3EE.