Montgomery Group Limited - Accounts to registrar (filleted) - small 23.2.5

REGISTERED NUMBER: 00529362 (England and Wales)

AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2023

FOR

MONTGOMERY GROUP LIMITED

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

DIRECTORS:

I R Angus

D B Angus

SECRETARY:

G M Tsangari

REGISTERED OFFICE:

9 Manchester Square

London

London

W1U 3PL

REGISTERED NUMBER:

00529362 (England and Wales)

SENIOR STATUTORY AUDITOR:

Neil Usher

AUDITORS:

Thorne Lancaster Parker

Chartered Accountants &

Statutory Auditors

5th Floor

Palladium House

1-4 Argyll Street

London

W1F 7TA

FIXED ASSETS

Intangible assets

5

788,054

886,724

Investments

6

3,258,035

3,258,035

4,046,089

4,144,759

CREDITORS

Amounts falling due within one year

7

1,033,101

948,553

NET CURRENT LIABILITIES

(1,033,101

)

(948,553

)

TOTAL ASSETS LESS CURRENT LIABILITIES

3,012,988

3,196,206

CAPITAL AND RESERVES

Called up share capital

8

10,000

10,000

Retained earnings

9

3,002,988

3,186,206

SHAREHOLDERS' FUNDS

3,012,988

3,196,206

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 21 March 2024 and were signed on its behalf by:

D B Angus - Director

1.	STATUTORY INFORMATION

Montgomery Group Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements of the company are consolidated in the financial statements of Angus Montgomery Limited. The consolidated financial statements of Angus Montgomery Limited are available from the registered office.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

The financial statements of the company are consolidated in the financial statements of Angus Montgomery Limited. The consolidated financial statements of Angus Montgomery Limited are available from its registered office.

Preparation of consolidated financial statements

The financial statements contain information about Montgomery Group Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Angus Montgomery Limited, .

Significant judgements and estimates

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including explanations of future events that are believe to be reasonable under the circumstances.

a) Critical accounting estimates and assumptions

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below;

(i) Impairment provision on investment in subsidiary undertaking

At the end of each period, investment in subsidiary undertaking is assessed for impairment. If investment in subsidiary undertaking is impaired, the carrying value of the investment is reduced to its recoverable amount and the impairment loss is recognised in the income statement.

The impairment assessment requires management's judgement on the investment concerned,, taking into consideration the trading results of the subsidiary undertaking.

(ii) Useful economic life of trade marks.

The annual amortisation charge for intangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on the performance of the relevant shows. The useful economic life of trade marks is considered to be 20 years.

Going concern

As described on the balance sheet the company has total net current liabilities of £1,033,101. These net current liabilities comprise of amounts owed to group companies of £2,828,601. Accordingly the company is dependent upon the continued support of Angus Montgomery Limited and its fellow subsidiaries in order to meet its day to day working capital requirements.

The board of Angus Montgomery Limited has indicated in writing that it will continue to financially support the company for a period of at least one year from the approval date of these financial statements. On this basis the directors consider it appropriate to prepare the financial statements on a going concern basis.

If the company were unable to continue in operational existence for the foreseeable future, adjustments would have to be made to reduce the balance sheet values of assets to their recoverable amounts, and to provide for further liabilities that might arise, and to reclassify fixed assets and long-term liabilities as current assets and liabilities.

Revenue recognition

Revenue is recognised at the fair value of the consideration received or receivable for sale of goods to external customers in the ordinary nature of the business. The fair value of the consideration takes into account trade discounts, settlement discounts and volume rebates.

Revenue represents management fee charged to in respect of services performed for group companies.

Revenue is shown net of Value Added Tax.

Divided income

Dividend income is recognised when the rights to receive payments is established.

Intangible assets

Intangible assets are stated at cost on acquisition less accumulated amortisation and accumulated impairment losses. Amortisation is calculated using the straight-line method to allocate the depreciable amount of the assets to their residual values over their estimated useful life as follows:

Exhibition rights - over 20 years.

Amortisation is charged as Administrative expenses in the Statement of Comprehensive Income.

Where market factors, such as profitability of the relevant exhibition, indicate that the residual value or useful life have changed, the residual value, useful life or amortisation rate are amended prospectively to reflect the new circumstances.

The assets are reviewed for impairment if the above factors indicate that the carrying amount may be impaired.

Investments in subsidiaries

Investments in subsidiary companies is held at cost less accumulated impairment losses.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred taxation

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

The financial statements are presented in sterling which is also the the functional currency of the company.

Transactions in currencies other than the functional currency (foreign currencies) are initially recorded at the standard exchange rate ruling for the period.

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the reporting date.

Non-monetary assets and liabilities denominated in foreign currencies are translated at the rate ruling at the date of the transaction or, if the asset or liability is measured at fair value, the rate when that fair value was determined.

All translation differences are taken to profit or loss, except to the extent that they relate to gains or losses on non-monetary items recognised in other comprehensive income, when the related translation gain or loss is also recognised in other comprehensive income.

Financial instruments

The company has chosen to adopt Section 11 of FRS 102 in respect of financial instruments as it has only basic financial instruments.

a) Basic financial liabilities and equity

Financial liabilities are classified as liabilities and equity instruments 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.

Trade creditors, other creditors and loans from fellow group and related companies are initially recognised at transaction price and subsequently carried at amortised cost, being transaction price less any amounts settled.

Bank overdrafts and invoice discounting facility are presented within creditors: amounts falling due within one year.

Other loans are initially recognised at the transaction price, including transaction costs and subsequently measured at amortised cost using the effective interest method. Interest expense is recognised on the basis of the effective interest method and is included in interest payable and other similar charges.

Basic financial liabilities are derecognised when the contractual obligation is discharged, cancelled or expired.

b) Equity instruments

The ordinary share capital of the company is classified as equity and recorded at fair value of the cash or other resources received or receivable, net of direct costs of issuing the equity instruments.

Cash and cash equivalents

Cash and cash equivalents in the balance sheet comprise cash at banks and in hand and short term deposits with an original maturity date of three months or less.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2022 - 2 ) .

5.	INTANGIBLE FIXED ASSETS

Trade

marks

£

COST

At 1 July 2022

and 30 June 2023

1,971,391

AMORTISATION

At 1 July 2022

1,084,667

Amortisation for year

98,670

At 30 June 2023

1,183,337

NET BOOK VALUE

At 30 June 2023

788,054

At 30 June 2022

886,724

6.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 July 2022

and 30 June 2023

3,880,035

PROVISIONS

At 1 July 2022

and 30 June 2023

622,000

NET BOOK VALUE

At 30 June 2023

3,258,035

At 30 June 2022

3,258,035

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2023

2022

£

£

Amounts owed to group undertakings

1,028,601

944,303

Accruals and deferred income

4,500

4,250

1,033,101

948,553

Amounts owed by group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.

8.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2023

2022

value:

£

£

40,000

Ordinary

0.25

10,000

10,000

There is a single class of ordinary shares. There are no restrictions on the distribution of dividends and the repayment of capital.

9.

RESERVES

Retained

earnings

£

At 1 July 2022

3,186,206

Profit for the year

16,782

Dividends

(200,000

)

At 30 June 2023

3,002,988

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Emphasis of matter

We draw your attention to note 3 in the financial statements, concerning the company's ability to continue as a going concern. We have reviewed the directors assertions in relation to cashflow and forecasts over the next 12 months and consider these to be adequately disclosed in the financial statements. As such we emphasise this matter but our report is not qualified in respect of this matter.

Neil Usher (Senior Statutory Auditor)

for and on behalf of Thorne Lancaster Parker

Date:22 March 2024

11.	CONTINGENT LIABILITIES

Until November 2022, the company had a composite accounting and cross-guarantee banking arrangement with fellow group companies. As a result of the group changing its banking arrangement the company is no longer part of the composite accounting and banking arrangement.

12.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

The directors of the company are considered to be the key management personnel and the details of their remunerations is disclosed in the accounts of Angus Montgomery Limited.

13.	FRC ETHICAL STANDARD - PROVISIONS AVAILABLE FOR SMALL ENTITIES

In common with many other businesses of our size and nature we use our auditors to prepare and submit returns to the tax authorities and assist with the preparation of the financial statements.

14.	POST BALANCE SHEET EVENTS

There were no material events post year end requiring disclosure.

15.	ULTIMATE CONTROLLING PARTY

The company's ultimate parent undertaking is Angus Montgomery Limited.

The directors of the company consider Mr I R Angus as the ultimate controlling party.