General Information
MORLEY ARMS LIMITED is a private company, limited by shares, registered in England and Wales, registration number 11430333, registration address 66 Faraday Mill Business Park, Cattedown, Plymouth, PL4 0ST
The presentation currency is £ sterling.
| 1. |
Accounting policies
Significant accounting policies
Statement of compliance
These financial statements have been prepared in compliance with FRS 102 – The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006.
Basis of preparation
The financial statements have been prepared on the going concern basis and under the historical cost convention as modified by the revaluation of land and buildings and certain financial instruments measured at fair value in accordance with the accounting policies.
The financial statements are prepared in sterling which is the functional currency of the company.
Turnover
Turnover comprises the invoiced value of goods and services supplied by the company, net of Value Added Tax and trade discounts.
Taxation
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.
Tangible fixed assets
Tangible fixed assets, other than freehold land, are stated at cost or valuation less depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:
| Land and Buildings |
15% Reducing Balance |
| Plant and Machinery |
15% Reducing Balance
|
| Motor Vehicles |
20 Reducing Balance
|
| Fixtures and Fittings |
15% Reducing Balance
|
| Computer Equipment |
15% Reducing Balance
|
Stocks
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow moving items. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
Provisions
Provisions are recognised when the company has a present obligation as a result of a past event which it is more probable than not will result in an outflow of economic benefits that can be reasonably estimated.
Financial instruments
A financial asset or a financial liability is recognised only when the company becomes a party to the
contractual provisions of the instrument.
Basic financial instruments are initially recognised at the transaction price, unless the arrangement
constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Debt instruments are subsequently measured at amortised cost.
Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment.
Other financial instruments, including derivatives, are initially recognised at fair value, unless payment
for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of
impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.
For all equity instruments regardless of significance, and other financial assets that are individually
significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.
Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal
does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.
|
| 2. |
Average number of employees
Average number of employees during the year was 29 (2020 : 18).
|
| 3. |
Tangible fixed assets
| Cost or valuation |
Land and Buildings |
|
Plant and Machinery |
|
Motor Vehicles |
|
Fixtures and Fittings |
|
Computer Equipment |
|
Total |
| |
£ |
|
£ |
|
£ |
|
£ |
|
£ |
|
£ |
| At 01 September 2020 |
315,408 |
|
102,604 |
|
18,745 |
|
83,517 |
|
1,842 |
|
522,116 |
| Additions |
10,271 |
|
1,449 |
|
- |
|
2,840 |
|
4,919 |
|
19,479 |
| Disposals |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
| At 31 August 2021 |
325,679 |
|
104,053 |
|
18,745 |
|
86,357 |
|
6,761 |
|
541,595 |
| Depreciation |
| At 01 September 2020 |
57,598 |
|
19,747 |
|
3,749 |
|
15,339 |
|
432 |
|
96,865 |
| Charge for year |
40,216 |
|
12,642 |
|
2,999 |
|
10,656 |
|
950 |
|
67,463 |
| On disposals |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
| At 31 August 2021 |
97,814 |
|
32,389 |
|
6,748 |
|
25,995 |
|
1,382 |
|
164,328 |
| Net book values |
| Closing balance as at 31 August 2021 |
227,865 |
|
71,664 |
|
11,997 |
|
60,362 |
|
5,379 |
|
377,267 |
| Opening balance as at 01 September 2020 |
257,810 |
|
82,857 |
|
14,996 |
|
68,178 |
|
1,410 |
|
425,251 |
|
| 4. |
Stocks
|
2021
£ |
|
2020
£ |
| Stocks |
58,275 |
|
65,347 |
|
58,275 |
|
65,347 |
|
| 5. |
Debtors: amounts falling due within one year
|
2021
£ |
|
2020
£ |
| Other Debtors |
2,830 |
|
41,288 |
| VAT |
2,039 |
|
- |
|
4,869 |
|
41,288 |
|
| 6. |
Creditors: amount falling due within one year
|
2021
£ |
|
2020
£ |
| Trade Creditors |
76,135 |
|
103,450 |
| Bank Loans & Overdrafts |
38,548 |
|
- |
| PAYE & Social Security |
77,543 |
|
44,092 |
| Accrued Expenses |
- |
|
17,245 |
| Other Creditors |
104,339 |
|
167,408 |
| VAT |
- |
|
14,986 |
|
296,565 |
|
347,181 |
|
| 7. |
Creditors: amount falling due after more than one year
|
2021
£ |
|
2020
£ |
| Bank Loans & Overdrafts |
142,351 |
|
188,000 |
|
142,351 |
|
188,000 |
|
4
|
