Macrae Group UK Ltd - Period Ending 2020-12-31

Macrae Group UK Ltd

Contents

Company Information	1
Balance Sheet	2
Statement of Changes in Equity	3
Notes to the Unaudited Financial Statements	4 to 9

Macrae Group UK Ltd

Company Information

Directors

Mr Carter Wilson Brown Mr Andrew John Russell Mr Jonathan Stuart Macrae Ms Melinda Wallman

Registered office

Suite Lg 11 St. James's Place London London SW1A 1NP

Accountants

Charter Tax Consulting Ltd 11 St. James's Place London SW1A 1NP

Macrae Group UK Ltd

(Registration number: 10950842)
Balance Sheet as at 31 December 2020

	Note	2020 £	2019 £
Current assets
Debtors	4	249,619	197,786
Cash at bank and in hand		1,024,802	385,362
		1,274,421	583,148
Creditors: Amounts falling due within one year	5	(1,166,252)	(593,787)
Net assets/(liabilities)		108,169	(10,639)
Capital and reserves
Called up share capital	6	57	1
Share premium reserve		88,925	-
Profit and loss account		19,187	(10,640)
Shareholders' funds/(deficit)		108,169	(10,639)

For the financial year ending 31 December 2020 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.

Approved and authorised by the Board on 22 September 2021 and signed on its behalf by:
 

Mr Carter Wilson Brown
Director

Macrae Group UK Ltd

Statement of Changes in Equity for the Year Ended 31 December 2020

	Share capital £	Share premium £	Profit and loss account £	Total £
At 1 January 2020	1	-	(10,640)	(10,639)
Profit for the year	-	-	29,827	29,827
Total comprehensive income	-	-	29,827	29,827
New share capital subscribed	56	88,925	-	88,981
At 31 December 2020	57	88,925	19,187	108,169

	Share capital £	Profit and loss account £	Total £
At 1 January 2019	1	(305,727)	(305,726)
Profit for the year	-	295,087	295,087
Total comprehensive income	-	295,087	295,087
At 31 December 2019	1	(10,640)	(10,639)

Macrae Group UK Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2020

1	General information

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

The address of its registered office is:
Suite Lg
11 St. James's Place
London
London
SW1A 1NP
England

The principal place of business is:
1 King William Street
London
EC4N 7AF

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.

Summary of disclosure exemptions

The financial statements contain information about Macare Group UK Ltd as an individual company and do not contain consolidated financial information with that of it's parent.
The UK company is subject to the small companies regime and is exempt from the requirement to prepare consolidated financial statements..

Going concern

The financial statements have been prepared on a going concern basis.

Macrae Group UK Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2020

Revenue recognition

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

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are recorded at the exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the closing rates at the balance sheet date. All exchange differences are included in the profit and loss account.

Tax

The tax expense for the period comprises current 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 income 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.

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 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.

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.

Macrae Group UK Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2020

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

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.

3	Staff numbers

The average number of persons employed by the company during the year was 5 (2019 - 5).

4

Debtors

	2020 £	2019 £
Trade debtors	130,000	165,000
Prepayments	17,294	19,786
Other debtors	102,325	13,000
	249,619	197,786

Included in other receivables is an amount due to the company in payment of shares issued during the year. The amount due to the company amounts to £89,124. £80,226 of this balance relates to redeemable loan notes due to the company. The loan notes are repayable on demand and interest is accrued annually equal to the 90 day LIBOR rate re-set annually on the first business day in each year. Interest income of £144 has been accrued in the year.

Macrae Group UK Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2020

5

Creditors

Creditors: amounts falling due within one year

	Note	2020 £	2019 £
Due within one year
Trade creditors		24,551	11,046
Amounts owed to parent company	7	650,768	319,885
Taxation and social security		446,840	176,831
Accruals and deferred income		31,423	82,008
Other creditors		12,670	4,017
		1,166,252	593,787

Included in other creditors is an amount payable for Pensions of £2,298 (2019: £1,805) and a Corporation Tax creditor of £10,372 (2019: creditor of £2,212).

Macrae Group UK Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2020

6	Share capital

Allotted, called up and fully paid shares

	2020		2019
	No.	£	No.	£
Ordinary A Shares of £1 each	1	1	1	1
Ordinary B Shares of £1 (2019 - £0) each	56	56	-	-
	57	57	1	1

7	Related party transactions

Summary of transactions with parent

Loans from related parties

2020	Parent £	Total £
At start of period	319,885	319,885
Advanced	343,540	343,540
Interest transactions	6,617	6,617
Impairment	(19,274)	(19,274)
At end of period	650,768	650,768

2019	Parent £	Total £
At start of period	342,697	342,697
Advanced	308,590	308,590
Repaid	(335,846)	(335,846)
Interest transactions	4,444	4,444
At end of period	319,885	319,885

Terms of loans from related parties

The loan is repayable on demand and interest is charged at an annual rate of 1.56% (2019:1.30%)
 

Macrae Group UK Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2020

8	Parent and ultimate parent undertaking

The company's immediate parent is Macrae Inc., incorporated in United States Of America.

 

Registered office of Macrae Inc:

437 Kipling Street
Suite 100
Palo Alto
CA 94301
United States Of America
 

9	Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

	2020 £	2019 £
Not later than one year	39,600	39,000

The amount of non-cancellable operating lease payments recognised as an expense during the year was £75,000 (2019 - £63,000).