Leicester College of Performing Arts Ltd - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 03560620 (England and Wales)

Unaudited Financial Statements

for the Year Ended

31 July 2020

for

Leicester College of Performing Arts Ltd

Page

Company Information

1

Chartered Accountants' Report

2

Balance Sheet

3

Notes to the Financial Statements

5

DIRECTORS:

N J Allen

Mrs A Oliver

REGISTERED OFFICE:

International Arts Centre

Garden Street

Leicester

Leicestershire

LE1 3UA

REGISTERED NUMBER:

03560620 (England and Wales)

ACCOUNTANTS:

The Rowleys Partnership Ltd

Chartered Accountants

Charnwood House

Harcourt Way

Meridian Business Park

Leicester

Leicestershire

LE19 1WP

The following reproduces the text of the report prepared for the directors in respect of the company's annual unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file a Balance Sheet. Readers are cautioned that the Income Statement and certain other primary statements and the Report of the Directors are not required to be filed with the Registrar of Companies.

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Leicester College of Performing Arts Ltd for the year ended 31 July 2020 which comprise the Income Statement, Balance Sheet and the related notes from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed within the ICAEW's regulations and guidance at http://www.icaew.com/en/membership/regulations-standards-and-guidance.

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

It is your duty to ensure that Leicester College of Performing Arts Ltd 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 loss of Leicester College of Performing Arts Ltd. You consider that Leicester College of Performing Arts Ltd is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Leicester College of Performing Arts Ltd. 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.

The Rowleys Partnership Ltd

Chartered Accountants

Charnwood House

Harcourt Way

Meridian Business Park

Leicester

Leicestershire

LE19 1WP

8 December 2020

FIXED ASSETS

Intangible assets

4

-

-

Tangible assets

5

13,858

18,027

13,858

18,027

CURRENT ASSETS

Debtors

6

31,022

39,475

Cash at bank and in hand

3,854

5,745

34,876

45,220

CREDITORS

Amounts falling due within one year

7

30,753

30,340

NET CURRENT ASSETS

4,123

14,880

TOTAL ASSETS LESS CURRENT LIABILITIES

17,981

32,907

CAPITAL AND RESERVES

Called up share capital

8

40,000

40,000

Retained earnings

(22,019

)

(7,093

)

SHAREHOLDERS' FUNDS

17,981

32,907

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 July 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 July 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 Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 8 December 2020 and were signed on its behalf by:

N J Allen - Director

1.	STATUTORY INFORMATION

Leicester College of Performing Arts Ltd 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 significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Turnover

Turnover represents invoiced sales of goods and services.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2005, is being amortised evenly over its estimated useful life of ten years.

Tangible fixed assets

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

Plant and machinery

-

15% on reducing balance

Computer equipment

-

33% on reducing balance

Improvements to property - 10% on cost.

Government grants

Government grants receivable in relation to the job retention scheme are recognised as income over the periods necessary to match them against the related costs which they are intended to compensate, on a systematic basis. Government grants are shown separately as other income.

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.

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 4 (2019 - 5 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 August 2019

and 31 July 2020

64,000

AMORTISATION

At 1 August 2019

and 31 July 2020

64,000

NET BOOK VALUE

At 31 July 2020

-

At 31 July 2019

-

5.	TANGIBLE FIXED ASSETS

Improvements

to

Plant and

Computer

property

machinery

equipment

Totals

£

£

£

£

COST

At 1 August 2019

and 31 July 2020

26,000

25,317

14,727

66,044

DEPRECIATION

At 1 August 2019

16,700

18,037

13,280

48,017

Charge for year

2,600

1,092

477

4,169

At 31 July 2020

19,300

19,129

13,757

52,186

NET BOOK VALUE

At 31 July 2020

6,700

6,188

970

13,858

At 31 July 2019

9,300

7,280

1,447

18,027

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.7.20

31.7.19

£

£

Trade debtors

26,879

33,329

Bad debt provision

(15,222

)

(15,780

)

Amounts owed by related company

-

2,561

Other debtors

3,872

3,872

Directors' current accounts

15,486

15,486

Prepayments

7

7

31,022

39,475

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.7.20

31.7.19

£

£

Bank loans and overdrafts

16,049

19,048

Trade creditors

4,350

6,333

Social security and other taxes

397

490

Other creditors

5,930

508

Directors' current accounts

595

595

Accrued expenses

3,432

3,366

30,753

30,340

8.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.7.20

31.7.19

value:

£

£

2

Ordinary

£1

2

2

39,998

Preference shares

£1

39,998

39,998

40,000

40,000

9.	DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES.

The following advances and credits to a director subsisted during the years ended 31 July 2020 and 31 July 2019:

31.7.20

31.7.19

£

£

Mrs A Oliver

Balance outstanding at start of year

15,486

15,486

Amounts repaid

-

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

15,486

15,486

The loan is interest free and is repayable on demand.

10.	FINANCIAL COMMITMENTS

At the balance sheet date the company had total future commitments, guarantees and contingencies of £1,743 (2019: £280).

There is a cross guarantee and debenture between The Leicester College of Performing Arts Limited and I.A.C. Theatrical Management Limited. The debenture contains a fixed and floating charge over all the assets of the company.

11.	BUSINESS REVIEW

The results for the year were disappointing but a full review of the company structure and finances has been carried out following receipt of the preliminary accounts. Staffing resources have been streamlined, course objectives have been redefined and a temporary stop has been placed on alterations and refurbishments. These immediate changes have reduced overheads sufficiently to ensure that going forwards the company is assured of breaking even. A marketing campaign to increase students levels is well underway and has already increased interest and commitment for the forthcoming year.