Company No: 03678510 (England and Wales)

Contents

• Statement of Financial Position
• Notes to the Financial Statements

	Note	2023		2022
		£		£
Fixed assets
Tangible assets	3	64,932		65,384
Investments	4	1		1
		64,933		65,385
Current assets
Debtors	5	1,021,571		852,714
Cash at bank and in hand		538,897		755,592
		1,560,468		1,608,306
Creditors: amounts falling due within one year	6	( 749,837)		( 1,065,054)
Net current assets		810,631		543,252
Total assets less current liabilities		875,564		608,637
Creditors: amounts falling due after more than one year	7	( 176,601)		( 68,750)
Provision for liabilities	8	( 11,642)		( 10,669)
Net assets		687,321		529,218
Capital and reserves
Called-up share capital	9	28,325		28,325
Share premium account		254,925		254,925
Profit and loss account		404,071		245,968
Total shareholder's funds		687,321		529,218

For the financial year ending 31 December 2023 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has 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 and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Income and Retained Earnings has not been delivered.

The financial statements of Models One Limited (registered number: 03678510) were approved and authorised for issue by the Board of Directors. They were signed on its behalf by:

P Rendell Director

01 March 2024

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, unless otherwise stated.

General information and basis of accounting

Models One 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 12 Macklin Street, Covent Garden, London, WC2B 5SZ, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and 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 and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Statement of Financial Position date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Statement of Income and Retained Earnings in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

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.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

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 Statement of Financial Position 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.

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 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 property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Land and buildings	depreciated over the life of the lease
Plant and machinery etc.	10 - 20 years straight line

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.

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.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Statement of Income and Retained Earnings over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread 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 Statement of Financial Position date. If there is objective evidence of impairment, an impairment loss is recognised in the Statement of Income and Retained Earnings as described below.

Cash and cash equivalents

Cash and cash equivalents 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 creditors: amounts falling due within one year.

Financial instruments

The Company only enters into basic financial instruments and transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to and from related parties and investments in non-puttable ordinary shares.

Financial assets
Basic financial assets, including trade and other debtors, and amounts due from related companies, are initially recognised at transaction price, 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.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in the Statement of Income and Retained Earnings.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial liabilities
Basic financial liabilities, including trade and other creditors and accruals, 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 receipts discounted at a market rate of interest.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Investments
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through the Statement of Income and Retained Earnings. Where fair value cannot be measured reliably, investments are measured at cost less impairment.

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 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.

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 Statement of Financial Position 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.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

2. Employees

	2023		2022
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	28		26

3. Tangible assets

	Land and buildings		Plant and machinery etc.		Total
	£		£		£
Cost
At 01 January 2023	61,160		361,814		422,974
Additions	0		29,514		29,514
Disposals	( 32,677)		( 243,365)		( 276,042)
At 31 December 2023	28,483		147,963		176,446
Accumulated depreciation
At 01 January 2023	52,724		304,866		357,590
Charge for the financial year	2,848		27,118		29,966
Disposals	( 32,677)		( 243,365)		( 276,042)
At 31 December 2023	22,895		88,619		111,514
Net book value
At 31 December 2023	5,588		59,344		64,932
At 31 December 2022	8,436		56,948		65,384

4. Fixed asset investments

Investments in subsidiaries

	2023
	£
Cost
At 01 January 2023	1
At 31 December 2023	1
Carrying value at 31 December 2023	1
Carrying value at 31 December 2022	1

5. Debtors

	2023		2022
	£		£
Trade debtors	441,605		654,113
Amounts owed by Group undertakings	348,015		52,759
Prepayments and accrued income	231,201		134,502
Other debtors	750		11,340
	1,021,571		852,714

Amounts owed by Group undertakings are repayable on demand and do not bear interest.

6. Creditors: amounts falling due within one year

	2023		2022
	£		£
Bank loans	104,147		75,000
Trade creditors	38,187		32,278
Accruals	8,446		93,563
Taxation and social security	224,101		241,216
Obligations under finance leases and hire purchase contracts	0		2,210
Other creditors	374,956		620,787
	749,837		1,065,054

Included within Bank loans is an amount £68,948 (2022: £75,000) secured by a debenture comprising fixed and floating charges over all the assets and undertakings of Models One Limited. The immediate and ultimate parent companies have a given cross guarantees on this loan.

Also included within Bank loans is a balance £35,199 (2022: £Nil) of which two of the directors have given personal guarantees.

7. Creditors: amounts falling due after more than one year

	2023		2022
	£		£
Bank loans	176,601		68,750

Included within Bank loans is an amount £Nil (2022: £68,750) secured by a debenture comprising fixed and floating charges over all the assets and undertakings of Models One Limited. The immediate and ultimate parent companies have a given cross guarantees on this loan.

Also included within Bank loans is a balance £176,601 (2022: £Nil) of which two of the directors have given personal guarantees.

8. Deferred tax

	2023		2022
	£		£
At the beginning of financial year	( 10,669)		( 16,422)
(Charged)/credited to the Statement of Income and Retained Earnings	( 973)		5,753
	0		0
At the end of financial year	( 11,642)		( 10,669)

9. Called-up share capital

	2023		2022
	£		£
Allotted, called-up and fully-paid
150,000 Ordinary shares of £ 0.10 each	15,000		15,000
133,250 Ordinary A shares of £ 0.10 each	13,325		13,325
	28,325		28,325

10. Financial commitments

Commitments

Capital commitments are as follows:

	2023		2022
	£		£
Contracted for but not provided for:
Finance leases entered into	0		2,218

Total future minimum lease payments under non-cancellable operating leases are as follows:

	2023		2022
	£		£
within one year	197,760		197,760
between one and five years	791,040		791,040
after five years	395,520		593,280
	1,384,320		1,582,080

Pensions

The Company operates a defined contribution pension scheme for the directors and employees. The assets of the scheme are held separately from those of the Company in an independently administered fund.

	2023		2022
	£		£
Unpaid contributions due to the fund (inc. in other creditors)	6,136		5,927

11. Ultimate controlling party

Parent Company:

Models 1 New Co Limited

The company's immediate parent undertaking is Models 1 New Co Limited, a company registered in England and Wales.

The ultimate controlling parties are the shareholders of the ultimate parent undertaking, Models 1 Top Co Limited.