Company No: 00489069 (England and Wales)

Contents

• Company Information
• Accountant's Report
• Balance Sheet
• Notes to the Unaudited Financial Statements

DIRECTORS	P A D Inkin
	A D H Macdonald
	R D O Macleay
	The 9th Earl Spencer
	S G Whitestone

SECRETARY

D J Slack

REGISTERED OFFICE	Estate Office
	Althorp
	Northampton
	NN7 4HQ
	United Kingdom

COMPANY NUMBER

00489069 (England and Wales)

ACCOUNTANT	Deloitte LLP
	One, Station Square
	Cambridge
	CB1 2GA
	United Kingdom

BANKERS	National Westminster Bank plc
	41 The Drapery
	Northampton
	NN1 2EY
	United Kingdom

SOLICITORS	Freeths LLP
	Spires House
	5700 Oxford Business Park South
	Oxford
	OX4 2RW
	United Kingdom

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Everitt and Everitt Limited for the financial year ended 31 March 2021 which comprises the Balance Sheet and the related notes 1 to 9 from the Company’s accounting records and from information and explanations you have given us.

We are subject to the ethical and other professional requirements of the Institute of Chartered Accountants in England and Wales (ICAEW) which are detailed at _http://www.icaew.com/en/members/regulations-standards-and-guidance_.

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

We have not been instructed to carry out an audit or a review of the financial statements of Everitt and Everitt 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 financial statements.

This report is made solely to the Board of Directors of Everitt and Everitt Limited, as a body, in accordance with the terms of our engagement letter dated 01 April 2020. Our work has been undertaken solely to prepare for your approval the financial statements of Everitt and Everitt Limited and state those matters that we have agreed to state to the Board of Directors of Everitt and Everitt 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 Everitt and Everitt Limited and its Board of Directors as a body for our work or for this report.

Deloitte LLP
Accountant

One, Station Square
Cambridge
CB1 2GA
United Kingdom

17 December 2021

	Note	2021		2020
		£		£
Fixed assets
Tangible assets	3	22,371		28,961
Investments	4	400,000		400,000
		422,371		428,961
Current assets
Stocks	5	216,132		252,286
Debtors	6	429,607		450,397
Cash at bank and in hand		201,012		98,824
		846,751		801,507
Creditors
Amounts falling due within one year	7	( 374,423)		( 330,144)
Net current assets		472,328		471,363
Total assets less current liabilities		894,699		900,324
Provisions for liabilities		( 3,328)		( 4,580)
Net assets		891,371		895,744
Capital and reserves
Called-up share capital		10,000		10,000
Profit and loss account		881,371		885,744
Total shareholder's funds		891,371		895,744

For the financial year ending 31 March 2021 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 financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Everitt and Everitt Limited (registered number: 00489069) were approved and authorised for issue by the Board of Directors on 16 December 2021. They were signed on its behalf by:

The 9th Earl Spencer Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year.

General information and basis of accounting

Everitt and Everitt Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Estate Office, Althorp, Northampton, NN7 4HQ, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council.

The functional currency of Everitt and Everitt Limited is considered to be pounds sterling because that is the currency of the primary economic environment in which the Company operates.

Going concern

The directors have assessed the Balance Sheet and likely future cash flows at the date of approving these financial statements. The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence and to meet its financial obligations as they fall due for at least 12 months from the date of signing these financial statements. This expectation is based on revenues, profits and the associated cash generated through operations being consistent with prior years and the levels of cash reserves held in the business. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

The rapid spreading of Covid-19 has become a significant emerging risk to the global economy. The directors continue to monitor the impact of the virus on the business as more information about the epidemic emerges. At the time of signing, the directors do not consider Covid-19 to impact the Company’s ability to continue as a going concern.

Basis of consolidation

The Company has taken advantage of the exemption under Section 399 of the Companies Act 2006 not to prepare consolidated financial statements, on the basis that the Group of which this is the parent qualifies as a small group. The financial statements present information about the Company as an individual entity and not about its Group.

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.

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.

Employee benefits

Defined contribution schemes
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.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws.

Deferred tax assets and liabilities are not discounted.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in other operating income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

Revenue Recognition - Basic Payment Scheme
In any Scheme Year, the right to the Basic Payment Scheme entitlement is recognised if there is a reasonable certainty over the existence of the right to the Basic Payment Scheme for that Scheme Year and once all conditions attached to the Basic Payment Scheme have been met.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment properties and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line, basis over its expected useful life, as follows:

Plant and machinery 20 - 25%

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

Leases

The Company as lessee
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.

The Company as lessor
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.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.

Non-financial assets
An asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

Financial assets
For financial assets carried at amortised cost, the amount of impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

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.

Financial assets and liabilities
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through the Profit and Loss Account, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Financial assets and liabilities are offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.

Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.

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.

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Balance Sheet date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

2. Employees

	2021		2020
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	6		6

3. Tangible assets

	Plant and machinery etc.		Total
	£		£
Cost
At 01 April 2020	75,573		75,573
At 31 March 2021	75,573		75,573
Accumulated depreciation
At 01 April 2020	46,612		46,612
Charge for the financial year	6,590		6,590
At 31 March 2021	53,202		53,202
Net book value
At 31 March 2021	22,371		22,371
At 31 March 2020	28,961		28,961

4. Fixed asset investments

	2021		2020
	£		£
Subsidiary undertakings	320,000		320,000
Other investments and loans	80,000		80,000
	400,000		400,000

Investments in subsidiaries

	2021
	£
Cost
At 01 April 2020	320,000
At 31 March 2021	320,000
Carrying value at 31 March 2021	320,000
Carrying value at 31 March 2020	320,000

On 1 October 2006, the Company became the general partner of Spencer Farms and invested £220,000 as partnership capital. The Company was entitled to 60% of the profits of the partnership. On 1 September 2016, the Company increased its investment in Spencer Farms by £100,000 and became entitled to 75% of the profits of the partnership.

The fair value of the Company's investment is not known, but in the opinion of the directors is not less than the value stated in the financial statements. Therefore, in the opinion of the directors no provision for diminution in the value of the fixed asset investments is required.

	Other investments		Total
	£		£
Carrying value before impairment
At 01 April 2020	80,000		80,000
At 31 March 2021	80,000		80,000
Provisions for impairment
At 01 April 2020	0		0
At 31 March 2021	0		0
Carrying value at 31 March 2021	80,000		80,000
Carrying value at 31 March 2020	80,000		80,000

On the 18 July 2019, the Company purchased 8 'B' shares for £10,000 per share in Yaregrain plc. The Company holds 3.56% of the total B shares. The principal activity of Yaregrain plc is that of advanced processing of agricultural produce. The registered address is Banningham Road, Aylsham, Norwich, United Kingdom, NR11 6LP.

The fair value of the company's investment is not known, but in the opinion of the directors is not less than the value stated in the financial statements. Therefore, in the opinion of the directors no provision for diminution in the value of the fixed asset investments is required.

5. Stocks

	2021		2020
	£		£
Stocks	216,132		252,286

6. Debtors

	2021		2020
	£		£
Trade debtors	12,124		8,666
Amounts owed by Group undertakings	222,127		315,929
Corporation tax	2,374		0
Other debtors	192,982		125,802
	429,607		450,397

7. Creditors: amounts falling due within one year

	2021		2020
	£		£
Trade creditors	67,057		125,453
Amounts owed to Group undertakings	192,964		77,493
Other creditors	112,960		109,650
Corporation tax	1,442		17,548
	374,423		330,144

8. Related party transactions

The Company provides working capital to Spencer Farms Partnership. The amount advanced at the year end amounted to £222,127 (2020 - £315,929).

9. Ultimate controlling party

Spencer Enterprises is the immediate and ultimate parent company of Everitt and Everitt Limited. The ultimate controlling party are the Trustees of a Trust, which holds the shares in this Company.