Pencil Tree Limited Filleted accounts for Companies House (small and micro)

PENCIL TREE LIMITED - Company Information

2 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 xbrli:pure xbrli:shares iso4217:GBP 08917016 2020-03-01 2021-02-28 08917016 2021-02-28 08917016 2020-02-29 08917016 2019-03-01 2020-02-29 08917016 2020-02-29 08917016 core:LandBuildings core:LongLeaseholdAssets 2020-03-01 2021-02-28 08917016 core:PlantMachinery 2020-03-01 2021-02-28 08917016 core:FurnitureFittings 2020-03-01 2021-02-28 08917016 core:MotorVehicles 2020-03-01 2021-02-28 08917016 bus:LeadAgentIfApplicable 2020-03-01 2021-02-28 08917016 bus:Director1 2020-03-01 2021-02-28 08917016 core:WithinOneYear 2021-02-28 08917016 core:WithinOneYear 2020-02-29 08917016 core:AfterOneYear 2021-02-28 08917016 core:AfterOneYear 2020-02-29 08917016 core:ShareCapital 2021-02-28 08917016 core:ShareCapital 2020-02-29 08917016 core:RetainedEarningsAccumulatedLosses 2021-02-28 08917016 core:RetainedEarningsAccumulatedLosses 2020-02-29 08917016 bus:Director1 2020-02-29 08917016 bus:Director1 2021-02-28 08917016 bus:Director1 2019-02-28 08917016 bus:Director1 2020-02-29 08917016 bus:Director1 2019-03-01 2020-02-29 08917016 bus:SmallEntities 2020-03-01 2021-02-28 08917016 bus:AuditExemptWithAccountantsReport 2020-03-01 2021-02-28 08917016 bus:AbridgedAccounts 2020-03-01 2021-02-28 08917016 bus:SmallCompaniesRegimeForAccounts 2020-03-01 2021-02-28 08917016 bus:PrivateLimitedCompanyLtd 2020-03-01 2021-02-28

COMPANY REGISTRATION NUMBER: 08917016

Pencil Tree Limited

Filleted Unaudited Abridged Financial Statements

28 February 2021

Pencil Tree Limited

Abridged Financial Statements

Year ended 28th February 2021

Contents	Page

Chartered certified accountants' report to the director on the preparation of the unaudited statutory abridged financial statements of Pencil Tree Limited	1

Abridged statement of financial position	2

Notes to the abridged financial statements	4

Pencil Tree Limited

Chartered Certified Accountants' Report to the Director on the Preparation of the Unaudited Statutory Abridged Financial Statements of Pencil Tree Limited

Year ended 28th February 2021

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the abridged financial statements of Pencil Tree Limited for the year ended 28th February 2021, which comprise the abridged statement of financial position 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 Association of Chartered Certified Accountants, we are subject to its ethical and other professional requirements which are detailed at www.accaglobal.com/en/member/professional-standards/rules-standards/acca-rulebook.html. Our work has been undertaken in accordance with the requirements of the Association of Chartered Certified Accountants as detailed at www.accaglobal.com/content/dam/ACCA_Global/Technical/fact/technical-factsheet-163.pdf.

JAY & JAY PARTNERSHIP LIMITED Chartered Certified Accountants

2 Chesterfield Buildings Westbourne Place Clifton Bristol BS8 1RU

6 September 2021

Pencil Tree Limited

Abridged Statement of Financial Position

28 February 2021

	2021	2020
Note	£	£

Fixed assets

Tangible assets	5	13,923	17,833

Current assets

Stocks	5,233	3,860
Debtors	21,643	3,725
Cash at bank and in hand	27,067	8
	--------	-------
	53,943	7,593

Creditors: amounts falling due within one year	19,607	15,815
	--------	--------
Net current assets/(liabilities)	34,336	( 8,222)
	--------	--------
Total assets less current liabilities	48,259	9,611

Creditors: amounts falling due after more than one year	16,833	9,559
	--------	-------
Net assets	31,426	52
	--------	-------

Capital and reserves

Called up share capital	1	1
Profit and loss account	31,425	51
	--------	----
Shareholders funds	31,426	52
	--------	----

These abridged 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 28th February 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's responsibilities:

- The members have not required the company to obtain an audit of its abridged financial statements for the year in question in accordance with section 476 ;

- The director acknowledges her responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of abridged financial statements .

All of the members have consented to the preparation of the abridged statement of financial position for the year ending 28th February 2021 in accordance with Section 444(2A) of the Companies Act 2006.

Pencil Tree Limited

Abridged Statement of Financial Position (continued)

28 February 2021

These abridged financial statements were approved by the board of directors and authorised for issue on 5 September 2021 , and are signed on behalf of the board by:

Mrs K Jackson
Director

Company registration number: 08917016

Pencil Tree Limited

Notes to the Abridged Financial Statements

Year ended 28th 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 5 Cleveland Terrace, Bath, BA1 5DF.

2. Statement of compliance

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

3. Accounting policies

Basis of preparation

The abridged financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.

The abridged financial statements are prepared in sterling, which is the functional currency of the entity.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

Income 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 pay or recover 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.

Operating leases

Lease income is recognised in profit or loss on a straight line basis over the lease term. The aggregate cost of lease incentives are recognised as a reduction to income over the lease term on a straight-line basis. Costs, including depreciation, incurred in earning the lease income are recognised as an expense. Any initial direct costs incurred in negotiating and arranging the operating lease are added to the carrying amount of the lease and recognised as an expense over the lease term on the same basis as the lease income.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

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:

Long leasehold property	-	20% straight line
Plant and machinery	-	15% reducing balance
Fixtures and fittings	-	20% reducing balance
Motor vehicles	-	25% reducing balance

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 the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. 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.

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.

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.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

4. Employee numbers

The average number of persons employed by the company during the year amounted to 2 (2020: 2 ).

5. Tangible assets

	£
Cost
At 1st March 2020	37,865
Additions	1,283
Disposals	( 5,500)
	--------
At 28th February 2021	33,648
	--------
Depreciation
At 1st March 2020	20,032
Charge for the year	2,873
Disposals	( 3,180)
	--------
At 28th February 2021	19,725
	--------
Carrying amount
At 28th February 2021	13,923
	--------
At 29th February 2020	17,833
	--------

6. Director's advances, credits and guarantees

During the year the director entered into the following advances and credits with the company:

	2021
	Balance brought forward	Advances/ (credits) to the director	Amounts repaid	Balance outstanding
	£	£	£	£
Mrs K Jackson	3,230	( 14,526)	31,264	19,968
	-------	--------	--------	--------

	2020
	Balance brought forward	Advances/ (credits) to the director	Amounts repaid	Balance outstanding
	£	£	£	£
Mrs K Jackson	( 13,839)	14,028	3,041	3,230
	--------	--------	-------	-------

At the beginning of the year the director, Mrs K Jackson , owed the company £3,230. This loan was repaid in full on 30th June 2021. The director borrowed funds from the company between November 2020 and February 2021 and owed the company £19,968 at 28th February 2021. The director fully repaid the loan in April 2021. Interest was charged at the official rate of 2.5% from 1st November 2020.