Sherwinco 100 Limited Accounts

1

General information

Its registered number is: 08863499

Its registered office is:

Going concern

2

Accounting policies

Turnover

Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the profit and loss account because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The Company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all deductible timing differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.

Current or deferred tax for the year is recognised in profit or loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

Investments

Trade and other debtors

Trade and other creditors

Financial instruments

Basic financial assets, including trade and other receivables and cash and bank balances, are recognised and carried forward at transaction price. Financial assets are derecognised when:

(a) The contractual rights to the cash flows from the asset expire or are settled;

(b) Substantially all the risks and rewards of the ownership of the asset are transferred to another party; or

(c) Control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Basic financial liabilities, including trade and other payables, and loans from third parties are initially recognised and carried forward at transaction price.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

The company has only financial assets and financial liabilities of a kind that qualify as a basic financial instruments. Basic financial instruments are recognised initially at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest rate method.

Effects of the COVID-19 pandemic on the company's financial statements

The director has carefully considered the potential impact of the COVID-19 pandemic on the finances of the company. Having reviewed the activities of the company and its assets and liabilities the director does not consider that there is any reason to make any adjustment to the assets and liabilities of the company as shown in its financial statements for the year ended 31 March 2021.

The director does not consider that the pandemic causes a serious threat to the ability of the company to continue as a going concern for the foreseeable future.

Provisions

3

Employees

2021

2020

Number

Number

The average monthly number of employees (including directors) during the year was:

4

Investments

Other investments - Unlisted

Total

£

£

Cost or valuation

At 1 April 2020

At 31 March 2021

Provisions/Impairment

Net book values

At 31 March 2021

At 31 March 2020

5

Debtors

2021

2020

£

£

Trade debtors

6

Creditors:

amounts falling due within one year

2021

2020

£

£

Corporation tax

Loans from directors

Accruals and deferred income

7

Reserves

8

Dividends

2021

2020

£

£

Dividends for the period:

Dividends paid in the period

51,600

55,600

55,600

Dividends by type:

Equity dividends

51,600

55,600

9

Related party transactions

In the normal course of its business the company has made loans to the director and his associates as follows:

The loans have have variable repayment terms but all are unsecured and bear interest at a commercial rate.

The balance of loans outstanding at 31 March 2021 was £174,740 (2020 £174,740).

In addition the company has made a loan to the daughter of the director.

The amount of the loan at 31 March 2021 was £nil (2020 £6,071).

The loan was settled early during the year ended 31 March 2021.

The loan is unsecured and bears interest at a commercial rate.

The company has also made loans to Smith Grayson Limited.

The director is also a director of Smith Grayson Limited.

These loans are repayable over a period ending 1 year after the balance sheet date.

The amount due at 31 March 2021 was £4,240 (2020 £8,480).

The loans are unsecured and bear interest at a commercial rate.