MacCulloch & Wallis Limited - Accounts to registrar (filleted) - small 23.1.2

REGISTERED NUMBER: 00452913 (England and Wales)

Unaudited Financial Statements for the Year Ended 31 December 2022

for

MacCulloch & Wallis Limited

Page

Balance Sheet

1

Notes to the Financial Statements

3

Fixed assets

Intangible assets

5

-

-

Tangible assets

6

82,043

94,692

Investments

7

32,938

41,282

114,981

135,974

Current assets

Stocks

356,842

325,200

Debtors

8

81,541

116,258

Investments

9

154,137

144,494

Cash at bank and in hand

311,932

260,445

904,452

846,397

Creditors

Amounts falling due within one year

10

(254,277

)

(290,457

)

Net current assets

650,175

555,940

Total assets less current liabilities

765,156

691,914

Creditors

Amounts falling due after more than one year

11

(24,841

)

(34,167

)

Provisions for liabilities

(4,736

)

(18,046

)

Net assets

735,579

639,701

Capital and reserves

Called up share capital

12

76,780

76,780

Share premium

131,400

131,400

Revaluation reserve

906

906

Retained earnings

526,493

430,615

Shareholders' funds

735,579

639,701

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2022 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 Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 23 August 2023 and were signed on its behalf by:

Mr J H Bonas - Director

1.	Statutory information

MacCulloch & Wallis Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address are as below:

Registered number:

00452913

Registered office:

Basement & Ground Floor

25-26 Poland Street

Mayfair

London

W1F 8QN

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.

3.	Accounting policies

Basis of preparing the financial statements

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

The financial statements have been prepared under the historical cost convention or historic cost modified by revaluation of financial assets and financial liabilities held at fair value through profit and loss, except for the financial instruments that are measured at their fair values at the end of each reporting period, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for goods and services.

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

The principal accounting policies adopted are set out below. All accounting policies have been applied consistently, other than where new policies have been adopted.

Going Concern

The directors believe that the company is well placed to manage its financial risks successfully and have reasonable expectation that it has adequate resources to continue in operational existence for the foreseeable future and have therefore accordingly prepared these financial statements on a going concern basis.

Critical accounting judgements and key sources of estimation uncertainty

The preparation of the financial statements in conformity with FRS 102 requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

(i) Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancements, future investments, economic utilisation and the physical condition of the assets. See notes to the accounts for the carrying amount of tangible assets and the useful economic lives for each class of assets.

(ii) Taxation

The company establishes provisions based on reasonable estimates, for possible consequences of audits by the tax authorities. The amount of such provisions is based on various factors, such as experience with the previous tax audits and differing interpretations of tax regulations by the taxable entity and the responsible tax authority.

Turnover

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

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 1997, is being amortised evenly over its estimated useful life of ten years.

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.

Website development is being amortised evenly over its estimated useful life of five years.

Tangible fixed assets

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

Long leasehold

-

Straight line over 15 years

Plant and machinery

-

33% on reducing balance

Fixtures and fittings

-

25% p.a. reducing balance

Motor vehicles

-

25% p.a. reducing balance

Computer equipment

-

33% on reducing balance

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.

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 are largely independent of the cash inflows from other assets or group of assets.

Fixed asset investments

Fixed asset investments represent long term investments in wine. Investments are initially measured at the transactions price, excluding transaction costs, are are subsequently measured at fair value at each reporting date. Transaction costs are expensed to the profit and loss as incurred. Changes in fair value are recognised in the other comprehensive income, expect to the full extent that a gain reverses a loss previously recognised in profit or loss, or a loss exceeds the accumulated gains recognised in equity; such gains and losses are recognised in the profit and loss.

Government grants

Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the company will comply with the conditions attaching to them and the grants will be received.

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 recognised the related costs for which the grant is intended to compensate. Grants that are receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support to the entity with no future related costs are recognised in income in the period in which it becomes receivable.

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.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the profit or loss.

Financial instruments

A financial asset or a financial liability is recognised only when the entity 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.

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. Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the entity after deducting all of its financial liabilities.

Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability.

Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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

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

Assets held under finance leases and hire purchase contracts are recognised in the balance sheet as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset.

Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

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.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.

Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

4.	Employees and directors

The average number of employees during the year was 16 (2021 - 14 ) .

5.	Intangible fixed assets

Website

Goodwill

development

Totals

£

£

£

Cost

At 1 January 2022

and 31 December 2022

34,445

79,280

113,725

Amortisation

At 1 January 2022

and 31 December 2022

34,445

79,280

113,725

Net book value

At 31 December 2022

-

-

-

At 31 December 2021

-

-

-

6.	Tangible fixed assets

Fixtures

Long

Plant and

and

leasehold

machinery

fittings

£

£

£

Cost

At 1 January 2022

130,550

45,396

116,522

Additions

-

-

2,600

Disposals

-

-

-

At 31 December 2022

130,550

45,396

119,122

Depreciation

At 1 January 2022

58,749

45,396

96,419

Charge for year

8,703

-

5,514

Eliminated on disposal

-

-

-

At 31 December 2022

67,452

45,396

101,933

Net book value

At 31 December 2022

63,098

-

17,189

At 31 December 2021

71,801

-

20,103

Motor

Computer

vehicles

equipment

Totals

£

£

£

Cost

At 1 January 2022

3,050

39,627

335,145

Additions

-

-

2,600

Disposals

(3,050

)

-

(3,050

)

At 31 December 2022

-

39,627

334,695

Depreciation

At 1 January 2022

2,882

37,007

240,453

Charge for year

-

864

15,081

Eliminated on disposal

(2,882

)

-

(2,882

)

At 31 December 2022

-

37,871

252,652

Net book value

At 31 December 2022

-

1,756

82,043

At 31 December 2021

168

2,620

94,692

7.	Fixed asset investments

Other investments

£

Cost or valuation

At 31 December 2021

41,282

Disposals

(750

)

Revaluation

(7,594

)

At 31 December 2022

32,938

Carrying amount

At 31 December 2021

41,282

At 31 December 2022

32,938

8.

Debtors: amounts falling due within one year

31.12.22

31.12.21

£

£

Trade debtors

7,943

9,574

Other debtors

73,598

106,684

81,541

116,258

9.	Current asset investments

31.12.22

31.12.21

£

£

Listed investments

154,137

144,494

10.

Creditors: amounts falling due within one year

31.12.22

31.12.21

£

£

Bank loans and overdrafts

10,000

10,000

Trade creditors

78,538

84,944

Taxation and social security

136,407

93,599

Other creditors

29,332

101,914

254,277

290,457

11.

Creditors: amounts falling due after more than one year

31.12.22

31.12.21

£

£

Bank loans

24,841

34,167

12.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.22

31.12.21

value:

£

£

760

Ordinary

1

760

760

76,020

Preference

1

76,020

76,020

76,780

76,780

13.	Other financial commitments

At the reporting date, the company had the following commitments for future minimum lease payments under non-cancellable operating leases.

Restated

31.12.22

31.12.21

£

£

Lease

297,500

467,500

The 2021 lease commitment has been restated due to a break clause in 2024 not previously considered.

14.	Directors' advances, credits and guarantees

The following advances and credits to a director subsisted during the years ended 31 December 2022 and 31 December 2021:

31.12.22

31.12.21

£

£

Mr J H Bonas

Balance outstanding at start of year

41,324

96,938

Amounts advanced

39,129

30,860

Interest charged

1,218

2,019

Amounts repaid

(64,467

)

(88,493

)

Balance outstanding at end of year

17,204

41,324

The directors balance was repaid within 9 months of the year end and interest was charged on the balance

at the official rate of interest.

15.	Related party disclosures

No transactions were undertaken with the directors or related parties such as are required to be disclosed under the Financial Reporting Standard 102, Section 1A (effective January 2019).