Practice Financial Management Limited Filleted accounts for Companies House (small and micro)

PRACTICE FINANCIAL MANAGEMENT LIMITED - Company Information

13 false false false false false false false false false true false false false false false false No description of principal activity 2020-03-01 Sage Accounts Production Advanced 2020 - FRS102_2019 693,494 693,494 62,110 1,617 63,727 51,518 3,056 54,574 9,153 10,592 xbrli:pure xbrli:shares iso4217:GBP 04897206 2020-03-01 2021-02-28 04897206 2021-02-28 04897206 2020-02-29 04897206 2019-03-01 2020-02-29 04897206 2020-02-29 04897206 core:NetGoodwill 2020-03-01 2021-02-28 04897206 bus:Director1 2020-03-01 2021-02-28 04897206 bus:Director2 2020-03-01 2021-02-28 04897206 bus:Director4 2020-03-01 2021-02-28 04897206 bus:Director5 2020-03-01 2021-02-28 04897206 core:NetGoodwill 2021-02-28 04897206 core:WithinOneYear 2021-02-28 04897206 core:WithinOneYear 2020-02-29 04897206 core:ShareCapital 2021-02-28 04897206 core:ShareCapital 2020-02-29 04897206 core:RetainedEarningsAccumulatedLosses 2021-02-28 04897206 core:RetainedEarningsAccumulatedLosses 2020-02-29 04897206 core:BetweenOneFiveYears 2021-02-28 04897206 core:BetweenOneFiveYears 2020-02-29 04897206 bus:SmallEntities 2020-03-01 2021-02-28 04897206 bus:AuditExemptWithAccountantsReport 2020-03-01 2021-02-28 04897206 bus:FullAccounts 2020-03-01 2021-02-28 04897206 bus:SmallCompaniesRegimeForAccounts 2020-03-01 2021-02-28 04897206 bus:PrivateLimitedCompanyLtd 2020-03-01 2021-02-28 04897206 core:OfficeEquipment 2020-03-01 2021-02-28 04897206 core:OfficeEquipment 2020-02-29 04897206 core:OfficeEquipment 2021-02-28 04897206 core:Goodwill 2020-03-01 2021-02-28 04897206 core:KeyManagementPersonnel 2020-03-01 2021-02-28 04897206 core:KeyManagementPersonnel 2021-02-28

COMPANY REGISTRATION NUMBER: 04897206

Practice Financial Management Limited

Filleted Unaudited Financial Statements

For the year ended

28 February 2021

Practice Financial Management Limited

Statement of Financial Position

28 February 2021

	2021		2020
Note	£	£	£	£

Fixed assets

Tangible assets	6		9,153		10,592

Current assets

Stocks		2,000	2,000
Debtors	7	158,756	158,756
Cash at bank and in hand		784,060	869,090
		----------	-------------
		944,816	1,029,846

Creditors: amounts falling due within one year	8	( 206,325)		( 176,138)
		----------		-------------
Net current assets			738,491		853,708
			----------		----------
Total assets less current liabilities			747,644		864,300
			----------		----------
Net assets			747,644		864,300
			----------		----------

Capital and reserves

Called up share capital	100	100
Profit and loss account	747,544	864,200
	----------	----------
Shareholders funds	747,644	864,300
	----------	----------

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with Section 1A of FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In accordance with section 444 of the Companies Act 2006, the statement of income and retained earnings has not been delivered.

For the year ending 28 February 2021 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 year in question 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 .

Practice Financial Management Limited

Statement of Financial Position (continued)

28 February 2021

These financial statements were approved by the board of directors and authorised for issue on 1 April 2021 , and are signed on behalf of the board by:

D R Leaf	J A Fearn
Director	Director

M P Bradshaw	J R Drysdale
Director	Director

Company registration number: 04897206

Practice Financial Management Limited

Notes to the Financial Statements

Year ended 28 February 2021

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is 62 Skeldergate, York, YO1 6WN.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102 Section 1A, 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

3. Accounting policies

(a) Basis of preparation

The financial statements have been prepared on the historical cost basis. The financial statements are prepared in sterling, which is the functional currency of the entity. (b) Revenue recognition The turnover shown in the profit and loss account represents commissions receivable and fee income invoiced during the period, exclusive of Value Added Tax. In respect of long-term contracts and contracts for on-going services, turnover represents the value of work done in the year, including estimates of amounts not invoiced. Turnover in respect of long-term contracts and contracts for on-going services is recognised by reference to the stage of completion. (c) Current and deferred tax The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted at the reporting date. Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference. (d) Operating leases Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to the expense over the lease term, on a straight-line basis. Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease. (e) Goodwill Positive goodwill arising on acquisitions is capitalised and carried as an asset on the balance sheet. Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is amortised on a straight-line basis over its useful life. Where a reliable estimate of the useful life of goodwill or intangible assets cannot be made, the life is presumed not to exceed ten years.

(f) Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

	Goodwill	-	5 years straight line

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

(g) Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

(h) Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

	Office Equipment	-	25% reducing balance

(i) Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

(j) Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

(k) Government grants

Government grants are recognised using the accrual model Under the accrual model, government grants relating to revenue are recognised on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate. Grants that are receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support to the entity with no future related costs are recognised in income in the period in which it becomes receivable.

(l) Financial instruments

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the entity after deducting all of its financial liabilities.

(m) Defined contribution plans

The company operates a defined pension contribution scheme for the directors. The assets of the scheme are held separately from those of the company. The annual contributions payable are charged to the profit and loss account.

4. Employee numbers

The average number of persons employed by the company during the year amounted to 13 (2020: 14 ).

5. Intangible assets

	Goodwill
	£
Cost
At 1 March 2020 and 28 February 2021	693,494
	----------
Amortisation
At 1 March 2020 and 28 February 2021	693,494
	----------
Carrying amount
At 28 February 2021	–
	----------
At 29 February 2020	–
	----------

6. Tangible assets

	Office equipment	Total
	£	£
Cost
At 1 March 2020	62,110	62,110
Additions	1,617	1,617
	--------	--------
At 28 February 2021	63,727	63,727
	--------	--------
Depreciation
At 1 March 2020	51,518	51,518
Charge for the year	3,056	3,056
	--------	--------
At 28 February 2021	54,574	54,574
	--------	--------
Carrying amount
At 28 February 2021	9,153	9,153
	--------	--------
At 29 February 2020	10,592	10,592
	--------	--------

7. Debtors

	2021	2020
	£	£
Other debtors	158,756	158,756
	----------	----------

8. Creditors: amounts falling due within one year

	2021	2020
	£	£
Corporation tax	170,750	139,550
Social security and other taxes	3,762	1,287
Directors loan accounts	19,092	19,428
Other creditors	12,721	15,873
	----------	----------
	206,325	176,138
	----------	----------

9. Operating leases

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

	2021	2020
	£	£
Not later than 1 year	21,000	21,000
Later than 1 year and not later than 5 years	84,000	84,000
	----------	----------
	105,000	105,000
	----------	----------

10. Related party transactions

During the year the directors made available loans to the company . The loans are interest free and repayable on demand. At the year end date the balance due to the directors totalled £ 19,092 (2020 - £19,428). During the year the directors were in receipt of loans from the company totalling £320,000. The loans were repaid in full during the year and interest was charged on the loans at the rate of 2.25% per annum.