Company Registration No. 00633335 (England and Wales)
M & N TEXTILES LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2019
PAGES FOR FILING WITH REGISTRAR
M & N TEXTILES LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 8
M & N TEXTILES LIMITED
BALANCE SHEET
AS AT
30 APRIL 2019
30 April 2019
- 1 -
2019
2018
Notes
£
£
£
£
Fixed assets
Tangible assets
3
802,705
827,598
Investments
4
1,495,117
1,495,117
2,297,822
2,322,715
Current assets
Stocks
1,995,319
1,865,558
Debtors
6
4,235,875
5,093,748
Cash at bank and in hand
2,764,158
1,962,487
8,995,352
8,921,793
Creditors: amounts falling due within one year
7
(301,713)
(267,879)
Net current assets
8,693,639
8,653,914
Total assets less current liabilities
10,991,461
10,976,629
Creditors: amounts falling due after more than one year
8
(483,202)
(504,017)
Net assets
10,508,259
10,472,612
Capital and reserves
Called up share capital
9
75,000
75,000
Profit and loss reserves
10,433,259
10,397,612
Total equity
10,508,259
10,472,612
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 27 November 2019 and are signed on its behalf by:
Mr APD Musry
Director
Company Registration No. 00633335
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2019
- 2 -
1
Accounting policies
Company information
M & N Textiles Limited is a private company limited by shares incorporated in England and Wales. The registered office is 10 Riverview, The Embankment, Vale Road, Heaton Mersey, SK4 3GN.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
Section 4 ‘Statement of Financial Position’ – Reconciliation of the opening and closing number of shares;
Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’ – Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 26 ‘Share based Payment’ – Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;
Section 33 ‘Related Party Disclosures’ – Compensation for key management personnel.
The financial statements of the company are consolidated in the financial statements of Wrengate Holdings Limited. These consolidated financial statements are available from its registered office,
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2019
1
Accounting policies
(Continued)
- 3 -
1.3
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Land and buildings Freehold
2% straight line
Fixtures, fittings & equipment
15% and 30% Reducing balance
Motor vehicles
25% Reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.4
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
1.6
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost 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, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.7
Cash and cash equivalents
Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2019
1
Accounting policies
(Continued)
- 4 -
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Taxation
The tax expense represents the sum of the tax currently payable.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2019
1
Accounting policies
(Continued)
- 5 -
1.12
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 16 (2018 - 17).
3
Tangible fixed assets
Land and buildings Freehold
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
£
Cost
At 1 May 2018
748,502
50,302
234,145
1,032,949
Additions
-
-
26,597
26,597
Disposals
-
-
(66,903)
(66,903)
At 30 April 2019
748,502
50,302
193,839
992,643
Depreciation and impairment
At 1 May 2018
13,725
49,189
142,438
205,352
Depreciation charged in the year
14,698
167
28,029
42,894
Eliminated in respect of disposals
-
-
(58,308)
(58,308)
At 30 April 2019
28,423
49,356
112,159
189,938
Carrying amount
At 30 April 2019
720,079
946
81,680
802,705
At 30 April 2018
734,777
1,113
91,708
827,598
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2019
- 6 -
4
Fixed asset investments
2019
2018
£
£
Investments
1,495,117
1,495,117
Movements in fixed asset investments
Shares in group undertakings
£
Cost or valuation
At 1 May 2018 & 30 April 2019
1,495,117
Carrying amount
At 30 April 2019
1,495,117
At 30 April 2018
1,495,117
5
Subsidiaries
Details of the company's subsidiaries at 30 April 2019 are as follows:
Name of undertaking
Registered
Nature of business
Class of
% Held
office
shares held
Direct
Indirect
G C Newbury and Company Limited
England & Wales
Dormant company
Ordinary £1
100.00
6
Debtors
2019
2018
Amounts falling due within one year:
£
£
Trade debtors
1,437,098
1,212,602
Amounts owed by group undertakings
2,740,517
3,797,552
Other debtors
58,260
83,594
4,235,875
5,093,748
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2019
- 7 -
7
Creditors: amounts falling due within one year
2019
2018
£
£
Bank loans and overdrafts
22,270
22,270
Trade creditors
73,408
24,603
Amounts owed to group undertakings
118
118
Corporation tax
2,097
-
Other taxation and social security
86,533
93,723
Other creditors
117,287
127,165
301,713
267,879
8
Creditors: amounts falling due after more than one year
2019
2018
£
£
Bank loans and overdrafts
483,202
504,017
The mortgage above is secured on the freehold property included in these accounts.
9
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
75,000 Ordinary shares of £1 each
75,000
75,000
10
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
The senior statutory auditor was Jonathan Brodie ACA.
The auditor was Lopian Gross Barnett & Co.
M & N TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2019
- 8 -
11
Financial commitments, guarantees and contingent liabilities
The company has guaranteed any borrowings of itself and other group companies. In addition there are potential contingent liabilities in respect of documentary credits, purchase of foreign currency, bonds and indemnities arising in the normal course of business.The amount outstanding at the year end was £nil.
An Unlimited Multilateral Guarantee dated 31 July 2012 was given to the bank by the group and Gladebrook North Limited, an associated company.A group set off arrangement is also held.
12
Related party transactions
The company has taken advantage of the exemption available in accordance with Section 33.1A of the FRS102 financial reporting framework not to disclose transactions entered into between two or more members of a group, as the company is a wholly owned subsidiary undertaking of the group to which it is party to the transactions.
13
Parent company
The ultimate parent company is Wrengate Holdings Limited, a company registered in England and Wales.
Wrengate Holdings Limited prepares group financial statements and copies can be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.
2019-04-302018-05-01false18 December 2019CCH SoftwareCCH Accounts Production 2019.301No description of principal activityThis audit opinion is unqualifiedMr R MusryMr APD MusryMrs S Musry006333352018-05-012019-04-30006333352019-04-30006333352018-04-3000633335core:LandBuildingscore:OwnedOrFreeholdAssets2019-04-3000633335core:FurnitureFittings2019-04-3000633335core:MotorVehicles2019-04-3000633335core:LandBuildingscore:OwnedOrFreeholdAssets2018-04-3000633335core:FurnitureFittings2018-04-3000633335core:MotorVehicles2018-04-3000633335core:CurrentFinancialInstrumentscore:WithinOneYear2019-04-3000633335core:CurrentFinancialInstrumentscore:WithinOneYear2018-04-3000633335core:CurrentFinancialInstruments2019-04-3000633335core:CurrentFinancialInstruments2018-04-3000633335core:Non-currentFinancialInstruments2019-04-3000633335core:Non-currentFinancialInstruments2018-04-3000633335core:ShareCapital2019-04-3000633335core:ShareCapital2018-04-3000633335core:RetainedEarningsAccumulatedLosses2019-04-3000633335core:RetainedEarningsAccumulatedLosses2018-04-3000633335bus:Director32018-05-012019-04-3000633335core:LandBuildingscore:OwnedOrFreeholdAssets2018-05-012019-04-3000633335core:FurnitureFittings2018-05-012019-04-3000633335core:MotorVehicles2018-05-012019-04-3000633335core:LandBuildingscore:OwnedOrFreeholdAssets2018-04-3000633335core:FurnitureFittings2018-04-3000633335core:MotorVehicles2018-04-30006333352018-04-3000633335core:Subsidiary12018-05-012019-04-3000633335core:Subsidiary112018-05-012019-04-3000633335core:Subsidiary122018-05-012019-04-3000633335core:WithinOneYear2019-04-3000633335core:WithinOneYear2018-04-3000633335bus:PrivateLimitedCompanyLtd2018-05-012019-04-3000633335bus:SmallCompaniesRegimeForAccounts2018-05-012019-04-3000633335bus:FRS1022018-05-012019-04-3000633335bus:Audited2018-05-012019-04-3000633335bus:Director12018-05-012019-04-3000633335bus:Director22018-05-012019-04-3000633335bus:FullAccounts2018-05-012019-04-30xbrli:purexbrli:sharesiso4217:GBP