Company No: 04827522 (England and Wales)

Contents

• Balance Sheet
• Notes to the Financial Statements

	Note	2023		2022
		£		£
Fixed assets
Intangible assets	3	244,631		80,311
Tangible assets	4	247,537		259,758
Investments	5	100		100
		492,268		340,169
Current assets
Stocks	6	1,588,611		1,666,845
Debtors	7	257,269		190,486
Cash at bank and in hand		1,434		1,227
		1,847,314		1,858,558
Creditors: amounts falling due within one year	8	( 1,625,146)		( 1,497,126)
Net current assets		222,168		361,432
Total assets less current liabilities		714,436		701,601
Creditors: amounts falling due after more than one year	9	( 245,252)		( 214,949)
Net assets		469,184		486,652
Capital and reserves
Called-up share capital		100		100
Profit and loss account		469,084		486,552
Total shareholders' funds		469,184		486,652

For the financial year ending 30 September 2023 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Income and Retained Earnings has not been delivered.

The financial statements of Absolute Music Solutions Ltd (registered number: 04827522) were approved and authorised for issue by the Board of Directors on 29 January 2024. They were signed on its behalf by:

A D Barclay Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Absolute Music Solutions Ltd (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Unit 3-5 Knighton Heath Industrial Estate, 855 Ringwood Road, Bournemouth, BH11 8NE, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Balance Sheet date are reported at the rates of exchange prevailing at that date.

Turnover

Turnover is stated net of VAT and trade discounts and is recognised when the significant risks and rewards are considered to have been transferred to the buyer.

Turnover from the sale of goods is recognised when the goods are physically delivered to the customer.

Revenue from services is recognised as they are delivered.

Employee benefits

Defined contribution schemes
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Intangible assets

Intangible assets are stated at cost or valuation, net of amortisation and any provision for impairment. Amortisation is provided on all intangible assets at rates to write off the cost or valuation of each asset over its expected useful life as follows:

Other intangible assets

10 years straight line

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a [straight-line, reducing balance] basis over its expected useful life, as follows:

Land and buildings	10 years straight line
Plant and machinery etc.	3 - 5 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Statement of Income and Retained Earnings over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Statement of Income and Retained Earnings as described below.

Fixed asset investments

Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through profit or loss if the shares are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

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 Company after deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

2. Employees

	2023		2022
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	32		33

3. Intangible assets

	Other intangible assets		Total
	£		£
Cost
At 01 October 2022	427,383		427,383
Additions	191,500		191,500
At 30 September 2023	618,883		618,883
Accumulated amortisation
At 01 October 2022	347,072		347,072
Charge for the financial year	27,180		27,180
At 30 September 2023	374,252		374,252
Net book value
At 30 September 2023	244,631		244,631
At 30 September 2022	80,311		80,311

4. Tangible assets

	Land and buildings		Plant and machinery etc.		Total
	£		£		£
Cost
At 01 October 2022	588,752		314,002		902,754
Additions	19,610		5,439		25,049
At 30 September 2023	608,362		319,441		927,803
Accumulated depreciation
At 01 October 2022	377,184		265,812		642,996
Charge for the financial year	17,424		19,846		37,270
At 30 September 2023	394,608		285,658		680,266
Net book value
At 30 September 2023	213,754		33,783		247,537
At 30 September 2022	211,568		48,190		259,758
Leased assets included above:
Net book value
At 30 September 2023	0		18,673		18,673
At 30 September 2022	0		25,168		25,168

5. Fixed asset investments

Investments in subsidiaries

	2023
	£
Cost
At 01 October 2022	100
At 30 September 2023	100
Carrying value at 30 September 2023	100
Carrying value at 30 September 2022	100

6. Stocks

	2023		2022
	£		£
Stocks	1,588,611		1,666,845

7. Debtors

	2023		2022
	£		£
Trade debtors	66,313		91,619
Amounts owed by Group undertakings	100,000		0
Corporation tax	24,000		24,000
Other debtors	66,956		74,867
	257,269		190,486

8. Creditors: amounts falling due within one year

	2023		2022
	£		£
Bank loans and overdrafts (secured)	729,990		618,449
Trade creditors	706,388		634,311
Other taxation and social security	55,073		76,362
Obligations under finance leases and hire purchase contracts	3,886		21,233
Other creditors	129,809		146,771
	1,625,146		1,497,126

The total amount of guarantees not included in the Balance Sheet is £50,000 (2022 - £50,000). A limited guarantee exists given by the director A Barclay in favour of HSBC Plc to secure all liabilities.

9. Creditors: amounts falling due after more than one year

	2023		2022
	£		£
Bank loans (secured)	235,947		213,999
Obligations under finance leases and hire purchase contracts	9,305		950
	245,252		214,949

10. Financial commitments

Commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

	2023		2022
	£		£
within one year	207,240		220,383
between one and five years	828,960		919,860
after five years	708,070		1,015,678
	1,744,270		2,155,921