H. Gwyther & Son Ltd. - Limited company accounts 11.4

REGISTERED NUMBER: 00748220 (England and Wales)

REPORT OF THE DIRECTORS AND

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2014

FOR

H. GWYTHER & SON LTD.

Page

Company Information

1

Report of the Directors

2

Profit and Loss Account

3

Balance Sheet

4

Notes to the Financial Statements

6

DIRECTORS:

R.H. Gwyther

Mrs S.H. Gwyther

SECRETARY:

R.H. Gwyther

REGISTERED OFFICE:

33 Church Street

Bishops Castle

Shropshire

SY9 5AD

REGISTERED NUMBER:

00748220 (England and Wales)

ACCOUNTANTS:

Baker & Co.

Chartered Certified Accountants

Arran House

42 Gravel Hill

Ludlow

Shropshire

SY8 1QR

The directors present their report with the financial statements of the company for the year ended

31 January 2014.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 February 2013 to the date of

this report.

R.H. Gwyther

Mrs S.H. Gwyther

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006

relating to small companies.

ON BEHALF OF THE BOARD:

R.H. Gwyther - Director

28 November 2014

TURNOVER

157,930

155,052

Cost of sales

96,841

95,677

GROSS PROFIT

61,089

59,375

Administrative expenses

65,155

74,905

(4,066

)

(15,530

)

Other operating income

14,924

13,974

OPERATING PROFIT/(LOSS)

2

10,858

(1,556

)

Interest payable and similar charges

6,644

5,434

PROFIT/(LOSS) ON ORDINARY ACTIVITIES BEFORE TAXATION

4,214

(6,990

)

Tax on profit/(loss) on ordinary activities

3

860

(878

)

PROFIT/(LOSS) FOR THE FINANCIAL YEAR

3,354

(6,112

)

FIXED ASSETS

Tangible assets

4

224,832

227,305

Investments

5

500

500

225,332

227,805

CURRENT ASSETS

Stocks

107,731

105,930

Debtors

6

42,242

42,315

Cash in hand

311

1,124

150,284

149,369

CREDITORS

Amounts falling due within one year

7

57,606

62,055

NET CURRENT ASSETS

92,678

87,314

TOTAL ASSETS LESS CURRENT LIABILITIES

318,010

315,119

CREDITORS

Amounts falling due after more than one year

8

(131,128

)

(131,128

)

PROVISIONS FOR LIABILITIES

9

(1,245

)

(1,708

)

NET ASSETS

185,637

182,283

CAPITAL AND RESERVES

Called up share capital

10

5,000

5,000

Revaluation reserve

11

194,243

195,143

Profit and loss account

11

(13,606

)

(17,860

)

SHAREHOLDERS' FUNDS

185,637

182,283

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 January 2014.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 January 2014 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 in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and with the Financial Reporting Standard for Smaller Entities (effective April 2008).

The financial statements were approved by the Board of Directors on 28 November 2014 and were signed on its behalf by:

R.H. Gwyther - Director

1.	ACCOUNTING POLICIES

Accounting convention

The financial statements have been prepared under the historical cost convention and in accordance with

the Financial Reporting Standard for Smaller Entities (effective April 2008).

Turnover

Turnover represents net invoiced sales of goods, excluding value added tax.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated

useful life.

Freehold property - 2% on cost

Plant and machinery - 15% on reducing balance

Motor vehicles - 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.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the

balance sheet date.

2.	OPERATING PROFIT/(LOSS)

The operating profit (2013 - operating loss) is stated after charging/(crediting):

2014

2013

£

£

Depreciation - owned assets

3,778

4,301

Profit on disposal of fixed assets

-

(499

)

Directors' remuneration and other benefits etc

14,676

27,906

3.

TAXATION

Analysis of the tax charge/(credit)

The tax charge/(credit) on the profit on ordinary activities for the year was as follows:

2014

2013

£

£

Current tax:

UK corporation tax

1,323

-

Deferred tax

(463

)

(878

)

Tax on profit/(loss) on ordinary activities

860

(878

)

4.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

COST

At 1 February 2013

230,711

55,685

286,396

Additions

1,305

-

1,305

At 31 January 2014

232,016

55,685

287,701

DEPRECIATION

At 1 February 2013

18,401

40,690

59,091

Charge for year

1,275

2,503

3,778

At 31 January 2014

19,676

43,193

62,869

NET BOOK VALUE

At 31 January 2014

212,340

12,492

224,832

At 31 January 2013

212,310

14,995

227,305

The historical cost of Freehold Land and Buildings included at a valuation of £218,000 (2013 £218,000)

was £8,457 (2013 £8,457) and the aggregate depreciation thereon would have been £100. The valuation

was made by Halls Estate Agents on behalf of the company's bankers on 25 September 1995 at current

open market valuation subject to tenancy where appropriate.

5.	FIXED ASSET INVESTMENTS

Investments (neither listed nor unlisted) were as follows:

2014

2013

£

£

Shares in Gwythers(Tenbury

Wells) Ltd.

500

500

The company's investments at the balance sheet date in the share capital of companies include the

following:-

Gwythers (Tenbury Wells) Ltd.

Nature of business: Shoe retailers

%

Class of shares: holding

Ordinary 50.00

In January 1990 the company acquired a 50% holding in Gwythers (Tenbury Wells) Limited, a company

incorportated in the United Kingdom whose activity is retail selling of footwear. The company has an

agreement with Gwythers (Tenbury Wells) Limited whereby all transactions during the year are charged

at cost.

2014

2013

£

£

Stock transferred from the company

17825

14925

Stock transferred to the company

1820

6463

Services from the company

1380

2735

Share of loss for year ended 31.01.2014

(2720

)

(12885

)

Share of retained loss/profit brought forward

(7082

)

5803

Share of retained loss carried forward

(9802

)

(7082

)

6.

DEBTORS

2014

2013

£

£

Amounts falling due within one year:

Trade debtors

1,071

1,303

Other debtors

1,171

1,012

2,242

2,315

Amounts falling due after more than one year:

Other debtors

40,000

40,000

Aggregate amounts

42,242

42,315

Although the amount of £40,000 (2013 £40,000) due from associated company is repayable on demand,

the directors have undertaken not to request repayment until October 2015 at the earliest.

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2014

2013

£

£

Bank loans and overdrafts

16,380

32,070

Trade creditors

16,695

6,780

Taxation and social security

15,062

16,727

Other creditors

9,469

6,478

57,606

62,055

The bank loan and overdraft are secured by a fixed and floating charge over all assets by a Debenture

given by the Company in favour of HSBC Bank plc on 25 November 2013.

Included in other creditors is £2042 (2013 £1633) due to Gwythers (Tenbury Wells) Ltd, of which R H

Gwyther is a director.

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2014

2013

£

£

Bank loans

126,875

126,875

Other creditors

4,253

4,253

131,128

131,128

9.	PROVISIONS FOR LIABILITIES

2014

2013

£

£

Deferred tax

1,245

1,708

Deferred

tax

£

Balance at 1 February 2013

1,708

Property revaluation

(39

)

Capital allowances

(424

)

Balance at 31 January 2014

1,245

The deferred tax charge on property revaluation is based on a valuation at 25th September 1995 as per

note 4.

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2014

2013

value:

£

£

5,000

Ordinary

1

5,000

5,000

11.

RESERVES

Profit

and loss

Revaluation

account

reserve

Totals

£

£

£

At 1 February 2013

(17,860

)

195,143

177,283

Profit for the year

3,354

3,354

Transfer from revaluation

reserve

900

(900

)

-

At 31 January 2014

(13,606

)

194,243

180,637

12.	CONTINGENT LIABILITIES

The investment in and the amount due from the associated company shown under note 6 are regarded as

long term investments. The associated company continues to receive the support of its shareholders and

whilst this is the case no provision has been made for any deficieny of net assets that may arise in that

company were the support to cease.

13.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

R H Gwyther is a director of Gwythers (Tenbury Wells) Limited with whom the company has an

agreement whereby all stock transactions are charged at cost.

14.	RELATED PARTY DISCLOSURES