Marathon Leisure Limited - Period Ending 2017-12-31

Registration number: 02702123

Marathon Leisure Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 December 2017

MMO Limited
Chartered Accountants
Wellesley House
204 London Road
Waterlooville
Hampshire
PO7 7AN

Chartered Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Marathon Leisure Limited
for the Year Ended 31 December 2017

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Marathon Leisure Limited for the year ended 31 December 2017 as set out on pages 2 to 8 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at
http://www.icaew.com/en/members/regulations-standards-and-guidance/.

This report is made solely to the Board of Directors of Marathon Leisure Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of Marathon Leisure Limited and state those matters that we have agreed to state to the Board of Directors of Marathon Leisure Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Marathon Leisure Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Marathon Leisure Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of Marathon Leisure Limited. You consider that Marathon Leisure Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of Marathon Leisure Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.

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

MMO Limited
Chartered Accountants
Wellesley House
204 London Road
Waterlooville
Hampshire
PO7 7AN

13 March 2018

Marathon Leisure Limited

(Registration number: 02702123)
Balance Sheet as at 31 December 2017

	Note	2017 £	2016 £
Fixed assets
Tangible assets	4	11,385	25,935
Current assets
Stocks	5	1,071,387	810,173
Debtors	6	823,008	927,076
Cash at bank and in hand		10,706	31,048
		1,905,101	1,768,297
Creditors: Amounts falling due within one year	7	(1,216,870)	(1,269,146)
Net current assets		688,231	499,151
Total assets less current liabilities		699,616	525,086
Provisions for liabilities		-	(4,349)
Net assets		699,616	520,737
Capital and reserves
Called up share capital		100	100
Profit and loss account		699,516	520,637
Total equity		699,616	520,737

For the financial year ending 31 December 2017 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.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

The notes on pages 4 to 8 form an integral part of these financial statements.

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Marathon Leisure Limited

(Registration number: 02702123)
Balance Sheet as at 31 December 2017

Approved and authorised by the Board on 12 March 2018 and signed on its behalf by:
 

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

Mr Timothy Millinder

Director

The notes on pages 4 to 8 form an integral part of these financial statements.

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Marathon Leisure Limited

Notes to the Financial Statements for the Year Ended 31 December 2017

1	General information

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

The address of its registered office is:
Wellesley House
202 London Road
Waterlooville
Hants
PO7 7AN
England

The principal place of business is:
Wellesley House
204 London Road
Waterlooville
Hampshire
PO7 7AN
England

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 were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

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.

Exemption from preparing group accounts

The company has taken advantage of the exemption in section 398 of the Companies Act 2006 from the requirement to prepare consolidated financial statements, on the grounds that it is a small sized group.

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
Land and buildings leasehold	10% straight line
Computer equipment	33% straight line
Fixtures fittings and equipment	25% straight line

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Marathon Leisure Limited

Notes to the Financial Statements for the Year Ended 31 December 2017

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.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

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, analysed by category was as follows:

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Marathon Leisure Limited

Notes to the Financial Statements for the Year Ended 31 December 2017

	2017  No.	2016  No.
Other departments	20	20

4	Tangible assets

	Land and buildings £	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 January 2017	14,288	234,806	249,094
Additions	-	3,748	3,748
Disposals	-	(6,645)	(6,645)
At 31 December 2017	14,288	231,909	246,197
Depreciation
At 1 January 2017	14,288	208,871	223,159
Charge for the year	-	11,653	11,653
At 31 December 2017	14,288	220,524	234,812
Carrying amount
At 31 December 2017	-	11,385	11,385
At 31 December 2016	-	25,935	25,935

Included within the net book value of land and buildings above is £Nil (2016 - £Nil) in respect of long leasehold land and buildings.
 

5

Stocks

	2017 £	2016 £
Finished goods and goods for resale	1,071,387	810,173

6

Debtors

	2017 £	2016 £
Trade debtors	779,525	875,557
Other debtors	43,483	51,519
Total current trade and other debtors	823,008	927,076

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Marathon Leisure Limited

Notes to the Financial Statements for the Year Ended 31 December 2017

7

Creditors

	Note	2017 £	2016 £
Due within one year
Trade creditors		521,391	518,999
Amounts owed to group undertakings and undertakings in which the company has a participating interest	8	180,437	229,443
Taxation and social security		88,786	26,507
Other creditors		426,256	494,197
		1,216,870	1,269,146

8	Related party transactions

Transactions with directors

2017	Advances to directors £	At 31 December 2017 £
Mr Timothy Millinder
Directors loan account	701	701

2016	At 31 December 2016 £

Other transactions with directors

The directors loan account is undated, unsecured, interest free and has no fixed date for repayment.

Summary of transactions with parent

Parent company loan account
 The loan from the parent company includes management charges payable of £66,278 (2016 - £99,000).
 

Loans from related parties

2017	Parent £
At start of period	229,443
Repaid	(49,006)
At end of period	180,437

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Marathon Leisure Limited

Notes to the Financial Statements for the Year Ended 31 December 2017

2016	Parent £
At start of period	241,987
Repaid	(12,544)
At end of period	229,443

9	Parent and ultimate parent undertaking

The company's immediate parent is Marathon Holdings Limited, incorporated in England.

 The ultimate controlling party is Mr T Millinder the majority shareholder of Marathon Holdings Limited.

10	Transition to FRS 102

This is the first year the company has presented its financial statements under Financial Reporting Standard 102 Section 1A (FRS 102) issued by the Financial Reporting Council. The last financial statements, for the year ended 31 December 2016, were prepared under the Financial Reporting Standard for Smaller Entities effective January 2015 (FRSSE 2015). The transition date to FRS 102 was 01 January 2017.

There were no material adjustments required on transition to FRS102 and as such it has not been necessary to restate prior year comparatives following the implementation of FRS102.

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