Elemental Herbology Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 04615393 (England and Wales)

Financial Statements

for the Year Ended 31 March 2021

for

ELEMENTAL HERBOLOGY LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Chartered Accountants' Report

9

Directors:

Mrs K Hurd

M S C Johnson

W Rollason

Ms C A Beck

Secretary:

Ms C Powell

Registered office:

Aissela

46 High Street

Esher

Surrey

KT10 9QY

Registered number:

04615393 (England and Wales)

Accountants:

Haines Watts

Chartered Accountants

Aissela

46 High Street

Esher

Surrey

KT10 9QY

Fixed assets

Intangible assets

4

1,953

1,953

Tangible assets

5

1,435

2,497

3,388

4,450

Current assets

Stocks

346,193

374,525

Debtors

6

137,237

194,126

Cash at bank and in hand

18,781

1,457

502,211

570,108

Creditors

Amounts falling due within one year

7

292,253

354,672

Net current assets

209,958

215,436

Total assets less current liabilities

213,346

219,886

Creditors

Amounts falling due after more than one year

8

41,667

-

Net assets

171,679

219,886

Capital and reserves

Called up share capital

9

701,183

701,183

Share premium

2,618,289

2,618,289

Retained earnings

(3,147,793

)

(3,099,586

)

Shareholders' funds

171,679

219,886

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2021 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 Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 12 October 2021 and were signed on its behalf by:

W Rollason - Director

1.	Statutory information

Elemental Herbology Limited is a private company, limited by shares, registered and domiciled in England and Wales The address of its registered office is Studio D Tay Building, 2a Wrentham Avenue, London. The financial statements are prepared in Sterling which is the functional currency of the Company and rounded to the nearest £.

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

2.	Accounting policies

Basis of preparing the financial statements

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

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, as modified by the recognition of certain financial assets and liabilities measured at fair value.

The financial statements have been prepared on a going concern basis. The directors are satisfied that this is appropriate as the company had net assets of £359,108 at 31 March 2020, and they are confident that the company will be able to settle its ongoing liabilities as they fall due for a period of at least 12 months from the date of approval of the financial statements.

Key source of estimation, uncertainty and judgement

The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period.

There is estimation uncertainty in calculating depreciation. A full line by line review of fixed assets is carried out by management regularly. Whilst every attempt is made to ensure that the depreciation policy is as accurate as possible, there remains a risk that the policy does not match the useful life of the assets.

There is estimation uncertainty in calculating stock values. A full line by line review of stock values is carried out by management regularly. Whilst every attempt is made to ensure that the stock values are accurate as possible, there remains a risk that the provisions do not match the actual stock values when asset is disposed off.

There is estimation uncertainty in calculating bad debt provisions. A full line by line review of trade debtors is carried out at the end of each month. Whilst every attempt is made to ensure that the bad debt provisions are as accurate as possible, there remains a risk that the provisions do not match the level of debts which ultimately prove to be uncollectable.

Turnover

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

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Patents and licences are not being amortised over their estimated useful life as the cost and the residual value is the same.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Computer equipment

-

25% on cost

Stocks

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

Financial instruments

Basic financial assets, including trade and other receivables, cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss.

Basic financial liabilities, including trade and other payables, bank loans are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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.

Hire purchase and leasing commitments

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

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.

3.	Employees and directors

The average number of employees during the year was 7 (2020 - 11 ) .

4.	Intangible fixed assets

Patents

and

licences

£

Cost

At 1 April 2020

and 31 March 2021

1,953

Net book value

At 31 March 2021

1,953

At 31 March 2020

1,953

5.	Tangible fixed assets

Computer

equipment

£

Cost

At 1 April 2020

and 31 March 2021

13,020

Depreciation

At 1 April 2020

10,523

Charge for year

1,062

At 31 March 2021

11,585

Net book value

At 31 March 2021

1,435

At 31 March 2020

2,497

6.

Debtors: amounts falling due within one year

2021

2020

£

£

Trade debtors

129,515

161,952

Other debtors

7,722

32,174

137,237

194,126

7.

Creditors: amounts falling due within one year

2021

2020

£

£

Bank loans and overdrafts

8,337

-

Trade creditors

157,743

215,684

Taxation and social security

8,535

16,696

Other creditors

117,638

122,292

292,253

354,672

8.

Creditors: amounts falling due after more than one year

2021

2020

£

£

Bank loans

41,667

-

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

1,667

-

9.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

284,644

Ordinary

£1.00

284,644

284,644

416,539

Ordinary A

£1.00

416,539

416,539

701,183

701,183

10.

Covid-19

The company's operations have been impacted by the Covid-19 outbreak and associated government action, which started in March 2020 and is ongoing at the date of this report. The impact of these disruptions have been considered as part of the directors' review of the going concern basis. No adjustments to the financial statements are required as a result of these events.

The following reproduces the text of the report prepared for the directors in respect of the company's annual unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file a Balance Sheet. Readers are cautioned that the Income Statement and certain other primary statements and the Report of the Directors are not required to be filed with the Registrar of Companies.

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Elemental Herbology Limited for the year ended 31 March 2021 which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity 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 Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed within the ICAEW's regulations and guidance at http://www.icaew.com/en/membership/regulations-standards-and-guidance.

This report is made solely to the Board of Directors of Elemental Herbology Limited, as a body, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Elemental Herbology Limited and state those matters that we have agreed to state to the Board of Directors of Elemental Herbology Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Elemental Herbology Limited and its Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that Elemental Herbology Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Elemental Herbology Limited. You consider that Elemental Herbology Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Elemental Herbology Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

Haines Watts

Chartered Accountants

Aissela

46 High Street

Esher

Surrey

KT10 9QY

12 October 2021