Company No: 02266063 (England and Wales)

Contents

• Company Information
• Statement of Financial Position
• Notes to the Financial Statements

DIRECTORS	Mr J Price
	Mr R 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

	Note	2022		2021
		£		£
Fixed assets
Tangible assets	4	1,424,516		1,480,258
		1,424,516		1,480,258
Current assets
Stocks		157,160		113,716
Debtors
- due within one year	5	511,088		189,236
- due after more than one year	5	250,000		250,000
Cash at bank and in hand		37,973		102,738
		956,221		655,690
Creditors
Amounts falling due within one year	6	( 1,157,469)		( 879,695)
Net current liabilities		(201,248)		(224,005)
Total assets less current liabilities		1,223,268		1,256,253
Creditors
Amounts falling due after more than one year	7	( 1,020,380)		( 1,138,767)
Provision for liabilities		( 11,206)		( 40,640)
Net assets		191,682		76,846
Capital and reserves
Called-up share capital	8	58,392		58,392
Capital redemption reserve		16,608		16,608
Profit and loss account		116,682		1,846
Total shareholder's funds		191,682		76,846

For the financial year ending 31 March 2022 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 Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Income and Retained Earnings 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 23 August 2022. 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, unless otherwise stated.

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 the revaluation of freehold properties and to include investment properties and 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 and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the company and rounded to the nearest £.

Going concern

The directors have assessed the Statement of Financial Position 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. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

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.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Intangible assets

Intangible assets are stated at cost or valuation, net of amortisation and any provision for impairment. Amortisation is provided on all intangible assets at rates to write off the cost or valuation of each asset over its expected useful life as follows:

Trademarks, patents and licences

10 years straight line

Trademarks, patents and licences

Separately acquired patents and trademarks are included at cost and amortised in equal annual instalments over a period of 10 years which is their estimated useful economic life. Provision is made for any impairment.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. Depreciation is provided on all tangible fixed assets, other than investment properties and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line basis over its expected useful life, as follows:

Land and buildings	0 - 25 years straight line
Plant and machinery	15 - 25 years straight line
Vehicles	5 years straight line
Office equipment	5 years straight line
Computer equipment	3 years straight line
Other property, plant and equipment	5 % reducing balance

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.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Statement of Financial Position date. If there is objective evidence of impairment, an impairment loss is recognised in the Statement of Income and Retained Earnings as described below.

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.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

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 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 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.

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

	2022		2021
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	22		23

3. Intangible assets

	Trademarks, patents and licences		Total
	£		£
Cost
At 01 April 2021	1,985		1,985
At 31 March 2022	1,985		1,985
Accumulated amortisation
At 01 April 2021	1,985		1,985
At 31 March 2022	1,985		1,985
Net book value
At 31 March 2022	0		0
At 31 March 2021	0		0

4. Tangible assets

	Land and buildings		Plant and machinery		Vehicles		Office equipment		Computer equipment		Other property, plant and equipment		Total
	£		£		£		£		£		£		£
Cost
At 01 April 2021	807,913		653,666		77,890		5,925		20,727		516,431		2,082,552
Additions	0		32,010		13,149		0		825		0		45,984
Disposals	0		0		0		0		0		( 49,139)		( 49,139)
At 31 March 2022	807,913		685,676		91,039		5,925		21,552		467,292		2,079,397
Accumulated depreciation
At 01 April 2021	108,290		187,838		28,180		5,925		20,727		251,334		602,294
Charge for the financial year	12,217		25,851		16,747		0		275		11,498		66,588
Disposals	0		0		0		0		0		( 14,001)		( 14,001)
At 31 March 2022	120,507		213,689		44,927		5,925		21,002		248,831		654,881
Net book value
At 31 March 2022	687,406		471,987		46,112		0		550		218,461		1,424,516
At 31 March 2021	699,623		465,828		49,710		0		0		265,097		1,480,258

5. Debtors

	2022		2021
	£		£
Debtors: amounts falling due within one year
Trade debtors	412,710		88,522
Amounts owed by Parent undertakings	64,846		69,410
Other debtors	33,532		31,304
	511,088		189,236
Debtors: amounts falling due after more than one year
Amounts owed by Parent undertakings	250,000		250,000

6. Creditors: amounts falling due within one year

	2022		2021
	£		£
Bank loans (secured)	111,592		94,092
Trade creditors	279,500		192,125
Amounts owed to directors	19,354		19,354
Other creditors	470,558		295,464
Accruals	48,364		52,812
Other taxation and social security	197,512		189,247
Obligations under finance leases and hire purchase contracts (secured)	30,589		36,601
	1,157,469		879,695

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

The Coronavirus Business Interruption Loan is 80% secured by the UK Government and 20% secured via the 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

	2022		2021
	£		£
Bank loans (secured)	847,027		1,054,235
Obligations under finance leases and hire purchase contracts (secured)	23,353		84,532
Other creditors	150,000		0
	1,020,380		1,138,767

8. Called-up share capital

	2022		2021
	£		£
Allotted, called-up and fully-paid
58,392 Ordinary shares of £ 1.00 each	58,392		58,392

9. Financial commitments

Pensions

The Company operates a defined contribution pension scheme for the directors and employees. The assets of the scheme are held separately from those of the Company in an independently administered fund.

	2022		2021
	£		£
Unpaid contributions due to the fund (inc. in other creditors)	2,382		1,744

10. Related party transactions

Transactions with the entity's directors

	2022		2021
	£		£
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 £21,834 (2021: £1,667) to a directors pension scheme in relation to a building purchased by the pension scheme and used by Exmoor Ales Limited.