Octa UK Limited - Period Ending 2018-03-31

Octa UK Limited

Annual Report and Unaudited Financial Statements
Year Ended 31 March 2018

Registration number: 03328279

Octa UK Limited

Contents

Company Information	1
Balance Sheet	2 to 3
Notes to the Financial Statements	4 to 10

Octa UK Limited

Company Information

Director

Bettina Klimek

Company secretary

Bettina Klimek

Registered office

84 Lemon Street Truro Cornwall TR1 2QA

Accountants

Francis Clark LLP Lowin House Tregolls Road Truro Cornwall TR1 2NA

Page 1

Octa UK Limited

Balance Sheet

31 March 2018

	Note	2018 £	2017 £
Fixed assets
Intangible assets	4	51,186	58,499
Tangible assets	5	10,814	9,827
		62,000	68,326
Current assets
Stocks	6	646,484	586,421
Debtors	7	21,766	22,805
Cash at bank and in hand		14,123	49,887
		682,373	659,113
Creditors: Amounts falling due within one year	8	(72,739)	(95,861)
Net current assets		609,634	563,252
Total assets less current liabilities		671,634	631,578
Creditors: Amounts falling due after more than one year	8	(74,629)	(105,799)
Provisions for liabilities		(1,823)	(1,633)
Net assets		595,182	524,146
Capital and reserves
Called up share capital		1,000	1,000
Profit and loss account		594,182	523,146
Total equity		595,182	524,146

The notes on pages 4 to 10 form an integral part of these financial statements.

Page 2

Octa UK Limited

Balance Sheet

31 March 2018

For the financial year ending 31 March 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's 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 director acknowledges her 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 and delivered in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006 and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the director on 11 December 2018
 

......................................... Bettina Klimek Director

Company Registration Number: 03328279

The notes on pages 4 to 10 form an integral part of these financial statements.

Page 3

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

1	General information

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

The address of its registered office is:
84 Lemon Street
Truro
Cornwall
TR1 2QA

These financial statements were authorised for issue by the director on 11 December 2018.

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.

Change in basis of accounting

The company's financial statements have been prepared in accordance with FRS102 - the Financial Reporting Standard applicable in the UK and Republic of Ireland. The company has transferred from previously extant UK GAAP to FRS102 as at 1 April 2016. Comparatives have been restated, and an explanation of how transition to FRS102 has affected the reported financial position and financial performance in given in note 10.

Revenue recognition

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

Page 4

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

Tax

Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current corporation tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised on all timing differences at the balance sheet date unless indicated below. Timing differences are differences between taxable profits and the results as stated in the profit and loss account and other comprehensive income. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet 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
Fixtures and Fittings	20% Reducing balance

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class	Amortisation method and rate
Goodwill	10 years straight line from 1 April 2016

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 stocks 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.

Page 5

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

Financial instruments

Classification
The company holds the following financial instruments:

• Short term trade and other debtors and creditors;
• Bank loans; and
• Cash and bank balances.

All financial instruments are classified as basic.

 Recognition and measurement
The company has chosen to apply the recognition and measurement principles in FRS102.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument and derecognised when in the case of assets, the contractual rights to cash flows from the assets expire or substantially all the risks and rewards of ownership are transferred to another party, or in the case of liabilities, when the company’s obligations are discharged, expire or are cancelled.

Except for bank loans, such instruments are initially measured at transaction price, including transaction costs, and are subsequently carried at the undiscounted amount of the cash or other consideration expected to be paid or received, after taking account of impairment adjustments.

Bank loans are initially measured at transaction price, including transaction costs, and are subsequently carried at amortised cost using the effective interest method.


 

3	Staff numbers

The average number of persons employed by the company (including the director) during the year, was 7 (2017 - 8).

Page 6

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

4	Intangible assets

	Goodwill  £	Total £
Cost or valuation
At 1 April 2017	150,000	150,000
At 31 March 2018	150,000	150,000
Amortisation
At 1 April 2017	91,501	91,501
Amortisation charge	7,313	7,313
At 31 March 2018	98,814	98,814
Carrying amount
At 31 March 2018	51,186	51,186
At 31 March 2017	58,499	58,499

5	Tangible assets

	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 April 2017	66,502	66,502
Additions	3,490	3,490
Disposals	(175)	(175)
At 31 March 2018	69,817	69,817
Depreciation
At 1 April 2017	56,675	56,675
Charge for the year	2,503	2,503
Eliminated on disposal	(175)	(175)
At 31 March 2018	59,003	59,003
Carrying amount
At 31 March 2018	10,814	10,814
At 31 March 2017	9,827	9,827

Page 7

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

6

Stocks

	2018 £	2017 £
Other inventories	646,484	586,421

7

Debtors

	2018  £	2017  £
Trade debtors	491	-
Prepayments	21,275	22,805
	21,766	22,805

8

Creditors

Creditors: amounts falling due within one year

	Note	2018  £	2017  £
Due within one year
Loans and borrowings	9	12,772	11,374
Trade creditors		11,096	9,773
Corporation tax		17,543	39,744
Social security and other taxes		10,826	16,772
Other creditors		17,614	15,273
Accrued expenses		2,888	2,925
		72,739	95,861

Creditors: amounts falling due after more than one year

	Note	2018 £	2017 £
Due after one year
Loans and borrowings	9	74,629	105,799

Page 8

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

9	Loans and borrowings

	2018 £	2017 £
Loans and borrowings due after one year
Bank borrowings	74,629	105,799

	2018 £	2017 £
Current loans and borrowings
Bank borrowings	12,772	11,374

10	Related party transactions

B Klimek

The director also operates a retail jewellery business in New Zealand. During the year the company imported goods from the directors operation amounting to £41,465 (2017 £2,264).

Page 9

Octa UK Limited

Notes to the Financial Statements

Year Ended 31 March 2018

11	Transition to FRS 102

Reconciliation of Equity at 1 April 2016
			£
Funds attributable to members at 1 April 2016 under previous UK GAAP			402,669
Amendment to amortisation rate			187
Funds attributable to members at 1 April 2016 under FRS 102			402,856

Reconciliation of Equity at 31 March 2017
			£
Funds attributable to members at 31 March 2017 under previous UK GAAP			523,772
Amendment to amortisation rate			374
Funds attributable to members at 31 March 2017 under FRS 102			523,146

Reconciliation of Profit and Loss at 31 March 2017
			£
Profit for the year ended 31 March 2017 under previous UK GAAP			151,103
Amendment to amortisation rate			187
Profit for the year ended 31 March 2017 under FRS 102			151,290

Page 10