| N21 Limited |
| Notes to the unaudited financial statements |
| for the year ended 31 March 2017 |
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| 1 |
General Information |
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N21 Limited is a private company limited by shares and incorporated in England and Wales. Its registered office is : Studios 2/3 The Kiln, Hoults Estate Walker Road, Newcastle Upon Tyne, NE6 2HL. |
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| 2 |
Accounting policies |
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Basis of preparation |
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These financial statements have been prepared in accordance with the provisions of Financial Reporting Standard 102 Section 1A "Small Entities". "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. |
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First year adoption |
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These financial statements for the year ended 31 March 2017 are the first financial statements of the Company following the adoption of FRS 102. The date of transition to FRS 102 was 1 April 2015. The Company previously reported under old UK GAAP. The Company has made no measurement and recognition adjustments. |
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Turnover |
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Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. |
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Consolidation |
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The company is the parent company in a small sized group, and has therefore taken advantage of the option provided by section 398 of the Companies Act 2006 not to prepare consolidated
accounts. |
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Intangible fixed assets |
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Intangible fixed assets are measured at cost less accumulative amortisation and any accumulative impairment losses. |
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Intangible assets are amortised through the profit and loss account in equal instalments over 5
years which is estimated to be the useful life of the asset. |
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Tangible fixed assets |
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Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: |
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Equipment, fixtures and fittings |
25% straight line |
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Debtors |
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Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
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Creditors |
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Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
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Taxation |
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A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. |
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Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. |
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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. |
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Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. |
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Current and deferred tax assets and liabilities are not discounted. |
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Provisions |
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Provisions (i.e. liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
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Foreign currency translation |
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Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. |
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At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss. |
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Operating lease transactions |
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Rentals under operating leases are charged to the profit and loss account as they fall due. |
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Pensions |
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Contributions to defined contribution plans are expensed in the period to which they relate. |
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| 3 |
Average number of employees during the year |
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The average number of employees, including directors, during the year was as follows: |
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2017 |
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2016 |
| Number |
Number |
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Number of employees |
45 |
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38 |
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| 4 |
Intangible fixed assets |
£ |
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Website costs |
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Cost |
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At 1 April 2016 |
6,860 |
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At 31 March 2017 |
6,860 |
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Amortisation |
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At 1 April 2016 |
5,372 |
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Provided during the year |
372 |
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At 31 March 2017 |
5,744 |
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Net book value |
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At 31 March 2017 |
1,116 |
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At 31 March 2016 |
1,488 |
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| 5 |
Tangible fixed assets |
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Equipment, fixtures and fittings |
| £ |
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Cost |
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At 1 April 2016 |
110,307 |
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Additions |
21,552 |
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Disposals |
(15,859) |
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At 31 March 2017 |
116,000 |
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Depreciation |
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At 1 April 2016 |
84,355 |
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Charge for the year |
10,227 |
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On disposals |
(6,768) |
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At 31 March 2017 |
87,814 |
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Net book value |
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At 31 March 2017 |
28,186 |
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At 31 March 2016 |
25,952 |
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| 6 |
Debtors |
2017 |
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2016 |
| £ |
£ |
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Trade debtors |
446,014 |
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434,147 |
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Directors' loan account |
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152,044 |
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- |
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Prepayments |
30,137 |
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16,483 |
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Other debtors |
32,999 |
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37,584 |
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661,194 |
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488,214 |
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| 7 |
Creditors: amounts falling due within one year |
2017 |
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2016 |
| £ |
£ |
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Trade creditors |
35,025 |
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43,316 |
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Corporation tax |
84,743 |
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69,203 |
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Other taxes and social security costs |
131,907 |
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103,434 |
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Directors' loan account |
- |
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8,845 |
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Other creditors |
56,106 |
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55,502 |
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307,781 |
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280,300 |
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| 8 |
Financial commitments |
2017 |
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2016 |
| £ |
£ |
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Total financial commitments, guarantees and contingencies which are not included in the balance sheet are as follows : |
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Total future minimum payments under non-cancellable operating leases |
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109,034 |
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94,756 |
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| 9 |
Advances to directors |
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Description and conditions |
B/fwd |
Paid |
Repaid |
C/fwd |
| £ |
£ |
£ |
£ |
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Mr & Mrs Robbins |
(8,845) |
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328,819 |
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(167,930) |
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152,044 |
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(8,845) |
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328,819 |
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(167,930) |
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152,044 |
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During the year, the company made a short term loan to the directors. Interest at the rate of 3% per annum is charged on diretctor loan debit balances. |
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| 10 |
Related party transactions |
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Mr & Mrs Robbins |
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Director and shareholder |
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During the year, the director's current account of Mr N A Robbins was credited with capital introduced of £167,930 and charged with drawings of £328,819.This includes interest charged of £716. The balance owed by Mr & Mrs Robbins at 31 March 2017 was £152,044. The amount that was owed to Mr & Mrs Robbins at at 31 March 2016 was £8,845. |
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Interest at the rate of 3% per annum is charged and there is no fixed repayment date. |
