Shipton & Co.,Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 00243143 (England and Wales)

Unaudited Financial Statements

for the Year Ended 31 December 2020

for

Shipton & Co.,Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

The Lady May

The Lord May

Mrs M Beishon

SECRETARY:

J.P. Daly

REGISTERED OFFICE:

27-33 Spencer Street

Hockley

Birmingham

West Midlands

B18 6DL

REGISTERED NUMBER:

00243143 (England and Wales)

ACCOUNTANTS:

James, Stanley & Co. Limited

1,733 Coventry Road

South Yardley

Birmingham

West Midlands

B26 1DT

SOLICITORS:

Clark Brookes Turner Cary

3rd Floor Guardian House

Cronehills Linkway

West Bromwich

West Midlands

B70 8GS

FIXED ASSETS

Property, plant and equipment

5

74,137

78,816

CURRENT ASSETS

Inventories

6

1,717,409

1,769,893

Debtors

7

395,242

455,142

Cash at bank and in hand

121,752

94,205

2,234,403

2,319,240

CREDITORS

Amounts falling due within one year

8

1,411,896

1,308,724

NET CURRENT ASSETS

822,507

1,010,516

TOTAL ASSETS LESS CURRENT LIABILITIES

896,644

1,089,332

CAPITAL AND RESERVES

Called up share capital

12,819

12,819

Retained earnings

883,825

1,076,513

SHAREHOLDERS' FUNDS

896,644

1,089,332

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

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 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 30 September 2021 and were signed on its behalf by:

The Lord May - Director

1.	STATUTORY INFORMATION

Shipton & Co.,Limited 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.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

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. There were no material departures from that standard.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Turnover

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

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost

Short leasehold

-

over the term of the lease

Plant and machinery

-

10% on reducing balance

Fixtures and fittings

-

10% on reducing balance

Computer equipment

-

25% on cost

Stocks

Inventories and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing inventories to their present location and condition.

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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Rentals received under operating leases are credited to the profit and loss account as they fall due.

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.

Loans from directors

As a small entity the company measures a basic financial liability that are loans from directors at transaction price.

Income recognition

The company supplies consignment stock to its customers. Income is recognised in this company once the stock has been sold to third parties by the customer such that the risks and rewards of ownership have transferred to them.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 17 (2019 - 15 ) .

5.	PROPERTY, PLANT AND EQUIPMENT

Freehold

Short

Plant and

property

leasehold

machinery

£

£

£

COST

At 1 January 2020

128,489

3,212

62,501

Additions

-

-

1,053

At 31 December 2020

128,489

3,212

63,554

DEPRECIATION

At 1 January 2020

82,271

3,212

54,908

Charge for year

2,356

-

820

At 31 December 2020

84,627

3,212

55,728

NET BOOK VALUE

At 31 December 2020

43,862

-

7,826

At 31 December 2019

46,218

-

7,593

Fixtures

and

Computer

fittings

equipment

Totals

£

£

£

COST

At 1 January 2020

203,346

165,842

563,390

Additions

-

1,494

2,547

At 31 December 2020

203,346

167,336

565,937

DEPRECIATION

At 1 January 2020

180,588

163,595

484,574

Charge for year

2,320

1,730

7,226

At 31 December 2020

182,908

165,325

491,800

NET BOOK VALUE

At 31 December 2020

20,438

2,011

74,137

At 31 December 2019

22,758

2,247

78,816

Included in cost of land and buildings is freehold land of £ 10,700 (2019 - £ 10,700 ) which is not depreciated.

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

machinery

£

COST

Additions

1,053

At 31 December 2020

1,053

DEPRECIATION

Charge for year

105

At 31 December 2020

105

NET BOOK VALUE

At 31 December 2020

948

6.	INVENTORIES

31.12.20

31.12.19

£

£

Stocks

579,800

628,023

Packaging

69,637

131,666

Work-in-progress

57,199

81,417

Moulds

17,530

14,382

Finished goods

993,243

914,405

1,717,409

1,769,893

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.20

31.12.19

£

£

Trade debtors

133,604

101,155

Amounts owed by group undertakings

160,762

277,118

Other debtors

10,494

8,056

Prepayments and accrued income

90,382

68,813

395,242

455,142

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.20

31.12.19

£

£

Bank loans and overdrafts

-

14,915

Hire purchase contracts (see note 9)

395

-

Trade creditors

214,176

299,982

Amounts owed to parent company

517,233

517,233

Tax

60

60

Social security and other taxes

32,766

17,597

Other creditors

128,852

127,353

Amounts owed to group undertakings

361,057

237,522

Directors' current accounts

5,966

6,066

Accruals and deferred income

151,391

87,996

1,411,896

1,308,724

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase

contracts

31.12.20

31.12.19

£

£

Net obligations repayable:

Within one year

395

-

Non-cancellable

operating leases

31.12.20

31.12.19

£

£

Within one year

28,494

28,494

Between one and five years

64,610

93,104

93,104

121,598

10.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.20

31.12.19

£

£

Hire purchase contracts

395

-

TSB Bank plc hold fixed and floating mortgage charges dated 4 November 2019 on the company's premises at 21 Lake Road, Keswick and 47/49 Bank Street, Newquay as security against a group undertaking's bank borrowings. A balance of £358,884 was outstanding on this bank loan at 31 December 2020.

Obligations under hire purchase contracts are secured against the underlying asset.

11.	CAPITAL COMMITMENTS

31.12.20

31.12.19

£

£

Contracted but not provided for in the

financial statements

-

-

12.	RELATED PARTY DISCLOSURES

In 2011 the company advanced a loan of £208,289 to a group undertaking to cover its set up costs. At the balance sheet date £43,865 in respect of this loan was outstanding and is presented within debtors due within one year. A further provision of £139,423 has been made in the year in respect of this loan.

At 31 December 2020 the company was owed £116,897 (2019 - £93,829) in respect of loans advanced to group undertakings.

At 31 December 2020 the company owed £361,057 (2019 - £237,522) in respect of loans advanced by group undertakings.

At 31 December 2020 the company owed £517,233 (2019 - £517,233) in respect of a loan advanced by its parent company.

These loans are unsecured and interest free with no specific repayment terms.

At 31 December 2020 the company benefited from loans advanced by members of key management personnel to the value of £5,966. These loans are unsecured and interest free with no specific repayment terms and are presented within creditors falling due within one year.

The company is guarantor of a lease relating to premises occupied by a group undertaking.

The company paid rent of £4,000 to a group undertaking in respect of its premises at 27-33 Spencer Street, Hockley, Birmingham.

13.	POST BALANCE SHEET EVENTS

The financial statements were authorised for issue by the Board of Directors on 30 September 2021.