DEDAR (UK) LIMITED - Period Ending 2016-12-31

Registration number: 07462998

DEDAR (UK) LIMITED

Annual Report and Unaudited Financial Statements

for the Year Ended 31 December 2016

Constantis Limited
3 The Shrubberies
George Lane
South Woodford
London
E18 1BG

DEDAR (UK) LIMITED

Contents

Company Information	1
Directors' Report	2
Profit and Loss Account	3
Statement of Comprehensive Income	4
Balance Sheet	5
Statement of Changes in Equity	6
Notes to the Financial Statements	7 to 10

DEDAR (UK) LIMITED

Company Information

Directors

Mrs Andreea Ecaterina Mocanu Mr Sergio Dall'Olio Mr Raffaele Fabrizio

Registered office

3 The Shrubberies George Lane South Woodford London E18 1BG

Accountants

Constantis Limited 3 The Shrubberies George Lane South Woodford London E18 1BG

Page 1

DEDAR (UK) LIMITED

Directors' Report for the Year Ended 31 December 2016

The directors present their report and the financial statements for the year ended 31 December 2016.

Directors of the company

The directors who held office during the year were as follows:

Mrs Andreea Ecaterina Mocanu

Mr Sergio Dall'Olio

Mr Raffaele Fabrizio

Principal activity

The principal activity of the company is that of wholesale of textiles.

Small companies provision statement

This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

Approved by the Board on 15 September 2017 and signed on its behalf by:

.........................................
Mrs Andreea Ecaterina Mocanu
Director

Page 2

DEDAR (UK) LIMITED

Profit and Loss Account for the Year Ended 31 December 2016

	Note	Total 31 December 2016 £	Total 31 December 2015 £
Turnover		766,003	655,631
Cost of sales		(21,460)	(17,032)
Gross profit		744,543	638,599
Administrative expenses		(766,845)	(605,269)
Other operating income		25,000	-
Operating profit		2,698	33,330
Interest payable and similar expenses		(2,518)	(4,609)
		(2,518)	(4,609)
Profit before tax	4	180	28,721
Profit for the financial year		180	28,721

The above results were derived from continuing operations.

The company has no recognised gains or losses for the year other than the results above.

The notes on pages 7 to 10 form an integral part of these financial statements.

Page 3

DEDAR (UK) LIMITED

Statement of Comprehensive Income for the Year Ended 31 December 2016

	Note	2016 £	2015 £
Profit for the year		180	28,721
Total comprehensive income for the year		180	28,721

The notes on pages 7 to 10 form an integral part of these financial statements.

Page 4

DEDAR (UK) LIMITED

(Registration number: 07462998)
Balance Sheet as at 31 December 2016

	Note	2016 £	2015 £
Fixed assets
Tangible assets	5	16,772	18,465
Current assets
Debtors	6	133,387	115,182
Cash at bank and in hand		91,015	35,244
		224,402	150,426
Creditors: Amounts falling due within one year	7	(952,093)	(879,990)
Net current liabilities		(727,691)	(729,564)
Net liabilities		(710,919)	(711,099)
Capital and reserves
Called up share capital		50,000	50,000
Profit and loss account		(760,919)	(761,099)
Total equity		(710,919)	(711,099)

For the financial year ending 31 December 2016 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 accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

Approved and authorised by the Board on 15 September 2017 and signed on its behalf by:
 

.........................................

Mrs Andreea Ecaterina Mocanu

Director

The notes on pages 7 to 10 form an integral part of these financial statements.

Page 5

DEDAR (UK) LIMITED

Statement of Changes in Equity for the Year Ended 31 December 2016

	Share capital £	Profit and loss account £	Total £
At 1 January 2016	50,000	(761,099)	(711,099)
Profit for the year	-	180	180
Total comprehensive income	-	180	180
At 31 December 2016	50,000	(760,919)	(710,919)

	Share capital £	Profit and loss account £	Total £
At 1 January 2015	50,000	(789,820)	(739,820)
Profit for the year	-	28,721	28,721
Total comprehensive income	-	28,721	28,721
At 31 December 2015	50,000	(761,099)	(711,099)

The notes on pages 7 to 10 form an integral part of these financial statements.

Page 6

DEDAR (UK) LIMITED

Notes to the Financial Statements for the Year Ended 31 December 2016

1	General information

The company is a private company limited by share capital incorporated in England.

The address of its registered office is:
3 The Shrubberies
George Lane
South Woodford
London
E18 1BG

These financial statements were authorised for issue by the Board on 15 September 2017.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Fixture and fittings	25% reducing balance
Office equipment	25% reducing balance

Page 7

DEDAR (UK) LIMITED

Notes to the Financial Statements for the Year Ended 31 December 2016

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 11 (2015 - 10).

4	Profit before tax

Arrived at after charging/(crediting)

	2016 £	2015 £
Depreciation expense	5,591	6,155

Page 8

DEDAR (UK) LIMITED

Notes to the Financial Statements for the Year Ended 31 December 2016

5	Tangible assets

	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 January 2016	34,960	34,960
Additions	3,898	3,898
At 31 December 2016	38,858	38,858
Depreciation
At 1 January 2016	16,495	16,495
Charge for the year	5,591	5,591
At 31 December 2016	22,086	22,086
Carrying amount
At 31 December 2016	16,772	16,772
At 31 December 2015	18,465	18,465

6

Debtors

	2016 £	2015 £
Trade debtors	57,009	43,809
Other debtors	76,378	71,373
Total current trade and other debtors	133,387	115,182

7

Creditors

	Note	2016 £	2015 £
Due within one year
Amounts owed to group undertakings and undertakings in which the company has a participating interest	8	872,500	742,000
Taxation and social security		15,890	8,329
Other creditors		63,703	129,661
		952,093	879,990

8	Related party transactions

Loans from related parties

Page 9

DEDAR (UK) LIMITED

Notes to the Financial Statements for the Year Ended 31 December 2016

2016	Parent £
At start of period	744,738
Advanced	130,500
Interest transactions	1,361
At end of period	876,599

2015	Parent £
At start of period	742,000
Interest transactions	2,738
At end of period	744,738

9	Parent and ultimate parent undertaking

The company's immediate parent is Dedar Spa, incorporated in Italy.

 

Page 10

DEDAR (UK) LIMITED

Detailed Profit and Loss Account for the Year Ended 31 December 2016

	2016 £	2015 £
Turnover (analysed below)	766,003	655,631
Cost of sales (analysed below)	(21,460)	(17,032)
Gross profit	744,543	638,599
Gross profit (%)	97.2%	97.4%
Administrative expenses
Employment costs (analysed below)	(417,564)	(338,803)
Establishment costs (analysed below)	(136,927)	(120,797)
General administrative expenses (analysed below)	(206,111)	(139,266)
Finance charges (analysed below)	(652)	(248)
Depreciation costs (analysed below)	(5,591)	(6,155)
	(766,845)	(605,269)
Other operating income (analysed below)	25,000	-
Operating profit	2,698	33,330
Interest payable and similar expenses (analysed below)	(2,518)	(4,609)
Profit before tax	180	28,721

This page does not form part of the statutory financial statements.

Page 11

DEDAR (UK) LIMITED

Detailed Profit and Loss Account for the Year Ended 31 December 2016

2016 £

2015 £

Turnover
Sales	766,003	628,959
Commissions receivable (products sale)	-	26,672
	766,003	655,631

Cost of sales
Direct costs	2,032	601
Commissions payable	19,428	16,431
	21,460	17,032

Employment costs
Wages and salaries	(262,759)	(219,152)
Staff NIC (Employers)	(120,643)	(110,875)
Staff pensions (Defined contribution)	(5,789)	-
Private health insurance	(1,650)	-
Recruitment costs	(19,800)	-
Staff welfare	(6,923)	(8,776)
	(417,564)	(338,803)

Establishment costs
Rent and rates	(108,968)	(105,462)
Light, heat and power	(3,038)	(3,810)
Insurance	(1,776)	(1,663)
Repairs and renewals	(23,145)	(9,862)
	(136,927)	(120,797)

General administrative expenses
Telephone and fax	(4,749)	(4,338)
Office expenses	(23,802)	(6,468)
Computer software and maintenance costs	(19,969)	(18,049)
Printing, postage and stationery	(15,527)	(11,632)
Cleaning	(4,513)	(4,157)
Other costs	(17,806)	(12,514)
Car hire	(34,403)	(18,515)
Travel and subsistence	(47,421)	(29,505)
Customer entertaining (disallowable for tax)	(8,996)	(7,257)
Accountancy fees	(25,199)	(23,902)
Legal and professional fees	(3,726)	(2,929)
	(206,111)	(139,266)

Finance charges
Bank charges	(652)	(248)

This page does not form part of the statutory financial statements.

Page 12

DEDAR (UK) LIMITED

Detailed Profit and Loss Account for the Year Ended 31 December 2016

Depreciation costs
Depreciation of fixtures and fittings (owned)	(1,776)	(2,368)
Depreciation of office equipment (owned)	(3,815)	(3,787)
	(5,591)	(6,155)

Other operating income
Exceptional income	25,000	-

Interest payable and similar expenses
Other interest payable	1,361	2,738
Foreign currency (gains)/losses	1,157	1,871
	2,518	4,609

This page does not form part of the statutory financial statements.

Page 13