Marchanson Limited - Accounts to registrar - small 17.2

REGISTERED NUMBER: 01082657 (England and Wales)

MARCHANSON LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 DECEMBER 2016

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

Mr R P Marchant

Mr S J Marchant

SECRETARY:

Mr S J Marchant

REGISTERED OFFICE:

York House

Empire Way

Wembley

Middlesex

HA9 0FQ

REGISTERED NUMBER:

01082657 (England and Wales)

ACCOUNTANTS:

Landau Morley LLP

Chartered accountants

York House

Empire Way

Wembley

Middlesex

HA9 0FQ

FIXED ASSETS

Intangible assets

4

3,012,910

3,204,208

Tangible assets

5

2,665,885

1,891,878

5,678,795

5,096,086

CURRENT ASSETS

Stocks

6

6,450,951

6,551,209

Debtors

7

520,100

569,849

Cash at bank and in hand

1,333,952

1,155,126

8,305,003

8,276,184

CREDITORS

Amounts falling due within one year

8

6,001,280

5,965,863

NET CURRENT ASSETS

2,303,723

2,310,321

TOTAL ASSETS LESS CURRENT LIABILITIES

7,982,518

7,406,407

CREDITORS

Amounts falling due after more than one year

9

370,724

229,940

NET ASSETS

7,611,794

7,176,467

CAPITAL AND RESERVES

Called up share capital

11

1,000

1,000

Retained earnings

12

7,610,794

7,175,467

SHAREHOLDERS' FUNDS

7,611,794

7,176,467

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2016.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2016 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 of Part 15 of the Companies Act 2006 relating to small companies.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 27 September 2017 and were signed on its behalf by:

Mr R P Marchant - Director

1.	STATUTORY INFORMATION

Marchanson Limited is a private company, limited by shares , registered in England and Wales. The company's registered

number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "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.

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 2012, is being amortised evenly over its estimated useful life of twenty 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.

Patents and licences are being amortised evenly over their estimated useful life of nil 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.

Integral Assets

-

5% on reducing balance

Fixtures and fittings

-

20% on reducing balance

Computer equipment

-

25% on 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.

Taxation

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

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 5 .

4.	GOODWILL & TRADEMARKS

Patents

and

Goodwill

licences

Totals

£

£

£

COST

At 1 January 2016

4,000,000

4,208

4,004,208

Additions

-

8,702

8,702

At 31 December 2016

4,000,000

12,910

4,012,910

AMORTISATION

At 1 January 2016

800,000

-

800,000

Amortisation for year

200,000

-

200,000

At 31 December 2016

1,000,000

-

1,000,000

NET BOOK VALUE

At 31 December 2016

3,000,000

12,910

3,012,910

At 31 December 2015

3,200,000

4,208

3,204,208

5.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Integral

and

Computer

property

Assets

fittings

equipment

Totals

£

£

£

£

£

COST

At 1 January 2016

1,500,000

410,898

150,634

6,819

2,068,351

Additions

800,000

-

-

-

800,000

At 31 December 2016

2,300,000

410,898

150,634

6,819

2,868,351

DEPRECIATION

At 1 January 2016

-

61,033

110,564

4,876

176,473

Charge for year

-

17,493

8,014

486

25,993

At 31 December 2016

-

78,526

118,578

5,362

202,466

NET BOOK VALUE

At 31 December 2016

2,300,000

332,372

32,056

1,457

2,665,885

At 31 December 2015

1,500,000

349,865

40,070

1,943

1,891,878

Included in cost of land and buildings is freehold land of £ 2,300,000 (2015 - £ 1,500,000 ) which is not depreciated.

6.

STOCKS

31.12.16

31.12.15

£

£

Stocks

6,450,951

6,551,209

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.16

31.12.15

£

£

Trade debtors

160,634

262,527

Loan - Associated Company

319,951

302,378

Prepayments and accrued income

39,515

4,944

520,100

569,849

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.16

31.12.15

£

£

Bank loans and overdrafts

159,216

99,216

Trade creditors

92,568

398,589

Corporation tax

(37,768

)

26,580

Social security and other taxes

39,543

4,495

Directors' current accounts

5,721,097

5,420,973

Accrued expenses

26,624

16,010

6,001,280

5,965,863

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.16

31.12.15

£

£

Bank loans - 2-5 years

370,724

229,940

10.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.16

31.12.15

£

£

Bank loans

370,724

229,940

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.16

31.12.15

value:

£

£

1,000

Ordinary

£1

1,000

1,000

12.

RESERVES

Retained

earnings

£

At 1 January 2016

7,175,467

Profit for the year

435,327

At 31 December 2016

7,610,794

13.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31 December 2016 and 31 December 2015:

31.12.16

31.12.15

£

£

Mr R P Marchant and Mr S J Marchant

Balance outstanding at start of year

5,420,973

5,839,633

Amounts advanced

848,739

7,367

Amounts repaid

(548,615

)

(426,027

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

5,721,097

5,420,973

14.	ULTIMATE CONTROLLING PARTY

The controlling party is Mr R P Marchant.