Oliver Morris Limited - Period Ending 2021-04-30

Oliver Morris Limited

Contents

Balance Sheet	1 to 2
Notes to the Unaudited Financial Statements	3 to 9

Oliver Morris Limited

(Registration number: 07613314)
Balance Sheet as at 30 April 2021

	Note	2021 £	2020 £
Fixed assets
Tangible assets	4	1,522	1,902
Investment property	5	2,388,922	2,140,000
Other financial assets	6	17,000	17,000
		2,407,444	2,158,902
Current assets
Debtors	7	107,835	60,710
Cash at bank and in hand		15,342	35,411
		123,177	96,121
Creditors: Amounts falling due within one year	8	(61,868)	(63,769)
Net current assets		61,309	32,352
Total assets less current liabilities		2,468,753	2,191,254
Creditors: Amounts falling due after more than one year	8	(1,368,750)	(1,368,750)
Provisions for liabilities		(218,004)	(170,708)
Net assets		881,999	651,796
Capital and reserves
Called up share capital		110	110
Fair value reserve		1,094,805	893,179
Profit and loss account		(212,916)	(241,493)
Total equity		881,999	651,796

Oliver Morris Limited

(Registration number: 07613314)
Balance Sheet as at 30 April 2021

For the financial year ending 30 April 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 accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the Board on 30 January 2022 and signed on its behalf by:
 

.........................................

J E B Oliver
Director

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Motivo House
Alvington
Yeovil
Somerset
BA20 2FG
England

These financial statements were authorised for issue by the Board on 30 January 2022.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

In light of the rapid global spread of the Coronavirus “COVID-19” in early 2020, the directors have reviewed and stress tested projections and budgets for the next twelve months. Following this review, the directors consider there to be little impact on the Company’s ability to act as a going concern.

The directors have reviewed the supply chains, key customers and the capital resources available and consider that the company has adequate resources in place to continue trading for the next twelve months.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Government grants

Government grants are accounted for under the accruals model.

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when 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 and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the Balance Sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Investment properties	Nil
Fixtures and fittings	20% reducing balance

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

Creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Financial instruments

Recognition and measurement
A financial asset held as an equity instrument is recognised initially at the transaction price (including transaction costs).

At the end of each reporting period, unlisted equity investments are recorded at fair value, where appropriate, or at cost less impairment if their fair value cannot be reliably measured. Objective evidence of the impairment of financial assets is assessed at each period end and any impairment loss recognised in the profit or loss immediately. Impairment loss is calculated as the difference between the carrying amount of the instrument and the best estimate of the cash flows expected to be derived from the asset (including sales proceeds if sold) at the balance sheet date.

Investment income is recognised in the financial statements when the company becomes entitled to its share of profits from the financial instrument.
 
 

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

3	Staff numbers

The average number of persons employed by the company (including directors) during the year was 2 (2020 - 2).

4	Tangible assets

	Fixtures and fittings £	Total £
Cost or valuation
At 1 May 2020	11,060	11,060
At 30 April 2021	11,060	11,060
Depreciation
At 1 May 2020	9,158	9,158
Charge for the year	380	380
At 30 April 2021	9,538	9,538
Carrying amount
At 30 April 2021	1,522	1,522
At 30 April 2020	1,902	1,902

5	Investment properties

	2021 £
At 1 May	2,140,000
Fair value adjustments	248,922
At 30 April	2,388,922

There has been no valuation of investment property by an independent valuer.

The historical cost of the investement properties, included at fair value is £1,076,113 (2020 - £1,076,113).

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

6	Investments

	Equity investments £	Total £
Non-current financial assets
Cost or valuation
At 1 May 2020	17,000	17,000
At 30 April 2021	17,000	17,000
Impairment
Carrying amount
At 30 April 2021	17,000	17,000

7

Debtors

	Note	2021 £	2020 £
Receivables from related parties	11	107,835	50,710
Other debtors		-	10,000
		107,835	60,710

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

8

Creditors

Due within one year	Note	2021 £	2020 £
Trade creditors		2,742	-
Other creditors		11,300	11,400
Accruals		21,645	27,208
Corporation tax		26,181	25,161
		61,868	63,769
Due after one year
Loans and borrowings	9	1,368,750	1,368,750

	2021 £	2020 £
Due after more than five years
After more than five years not by instalments	1,368,750	1,368,750

	-	-

The loans and borrowings in note 8 are secured on the property held by the company.

9	Loans and borrowings

	2021 £	2020 £
Non-current loans and borrowings
Bank borrowings	1,368,750	1,368,750

Included in the loans and borrowings are the following amounts due after more than five years:

Bank loans and overdrafts after five years

The amount of the bank borrowings not due by instalments after five years is £1,368,750.

10	Financial commitments, guarantees and contingencies

The company is a member of Zolfenac LLP and is liable to contribute to the assets of the LLP in the event of a winding-up before 1 December 2021. The maximum liability in relation to this undertaking is £103,144. The company does not believe that a winding-up of the LLP is probable and has not made provision for the liability at 30 April 2021.

Oliver Morris Limited

Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021

11	Related party transactions

Summary of transactions with other related parties

Tim Morris Holdings Limited
(A company that is owned and controlled by R T Morris)
During the year Tim Morris Holdings Limited received a loan from the company. No interest is being charged on this loan. At the balance sheet date the amount due from Tim Morris Holdings Limited was £20,000 (2020 - £nil), however this balance has been written off as at 30 April 2021.

James Oliver Holdings Limited
(A company that is owned and controlled by J E B Oliver)
During the year James Oliver Holdings Limited received a loan from the company. No interest is being charged on this loan. At the balance sheet date the amount due from James Oliver Holdings Limited was £20,000 (2020 - £nil), however this balance has been written off as at 30 April 2021.

OMPD Limited
(A company in which R T Morris and J E B Oliver are directors and J E B Oliver is a person of significant control)
During the year OMPD Limited received a loan from the company. No interest is being charged on this loan. At the balance sheet date the amount due from OMPD Limited was £107,235 (2020 - £50,710).

MOP (Portsmouth) Limited
(A company that is jointly owned and controlled by R T Morris and J E B Oliver)
During the year MOP (Portsmouth) Limited received a loan from the company. No interest is being charged on this loan. At the balance sheet date the amount due from MOP (Portsmouth) Limited was £600 (2020 - £nil).
 

12	Non adjusting events after the financial period

Following the year end, The Chancellor confirmed an increase in the corporation tax rate from 19 to 25 percent with effect from 1 April 2023. This corporation tax rate increase would result in an increase to the year end deferred taxation liability of £55,428 to £273,432. This increase in the deferred taxation liability has not been recognised within the financial statements as the Finance Bill 2021 containing the corporation tax rate increase was not substantively enacted at the balance sheet date.