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2021-08-31-accounts

St Margaret's Enterprises Limited Annual Report and Financial Statements For the year ended 31 August 2021

Company Registration No. 05565055 (England and Wales)

St Margaret's Enterprises Limited

Company Information

Directors Mr N Howe
Ms Y Jones-Henry
Mr L Miller (Appointed 6 July 2021)
Secretary A Francombe
Company number 05565055
Registered office St Margaret's School
Merry Hill Road
Bushey
Hertfordshire
WD23 1DT
Auditor Moore Kingston Smith LLP
4 Victoria Square
St Albans
Hertfordshire
AL1 3TF
Business address St Margaret's School
Merry Hill Road
Bushey
Hertfordshire
WD23 1DT

St Margaret's Enterprises Limited

Contents

Page
Directors' report 1
Directors' responsibilities statement 2
Independent auditor's report 3 - 6
Statement of income and retained earnings 7
Balance sheet 8
Notes to the financial statements 9 - 14

St Margaret's Enterprises Limited

Directors' Report

For the year ended 31 August 2021

The directors present their annual report and financial statements for the year ended 31 August 2021.

Principal activities

The principal activity of the company continued to be that of managing the commercial and non-educational business activities of the St Margaret's School, such as third party use of the Sports Centre and residential Summer Schools / Camps.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Rev W Gibbs (Resigned 28 June 2021) Mr N Howe Ms Y Jones-Henry Mr L Miller (Appointed 6 July 2021)

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

On behalf of the board

.............................. Mr L Miller Director Date: .........................

Page 1

St Margaret's Enterprises Limited

Directors' Responsibilities Statement

For the year ended 31 August 2021

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 2

St Margaret's Enterprises Limited

Independent Auditor's Report

To the Members of St Margaret's Enterprises Limited

Opinion

We have audited the financial statements of St Margaret's Enterprises Limited (the 'company') for the year ended 31 August 2021 which comprise the Statement of Income and Retained Earnings, the Balance Sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard , and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Emphasis of matter - financial statements prepared on a basis other than going concern

We draw attention to Note 1.2 to the financial statements which explains that the directors have decided to cease trading within the period of twelve months from the date of the approval of the financial statements. Accordingly the financial statements have been prepared on a basis other than that of a going concern. Our opinion is not modified in this respect of this matter.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit :

Page 3

St Margaret's Enterprises Limited

Independent Auditor's Report (Continued)

To the Members of St Margaret's Enterprises Limited

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identifie d material misstatements in the Directors' R eport .

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the Directors' R esponsibilities S tatement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements , the directors are responsible for assessing the company ' s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Page 4

St Margaret's Enterprises Limited

Independent Auditor's Report (Continued)

To the Members of St Margaret's Enterprises Limited

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance , but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements .

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Page 5

St Margaret's Enterprises Limited

Independent Auditor's Report (Continued)

To the Members of St Margaret's Enterprises Limited

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the company.

Our approach was as follows:

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Shivani Kothari (Senior Statutory Auditor) for and on behalf of Moore Kingston Smith LLP

Chartered Accountants Statutory Auditor

Date: ......................... 4 Victoria Square St Albans Hertfordshire AL1 3TF

Page 6

St Margaret's Enterprises Limited

Statement of Income and Retained Earnings

For the year ended 31 August 2021

2021 2020
£ £
Turnover 294,119 337,162
Administrative expenses (475,982) (492,054)
Other operating income 78,178 55,941
Operating loss (103,685) (98,951)
Interest payable and similar expenses 4 (815) (579)
Loss before taxation (104,500) (99,530)
Tax on loss - -
Loss for the financial year (104,500) (99,530)
Retained earnings brought forward (98,015) 1,515
Retained earnings carried forward (202,515) (98,015)

Page 7

St Margaret's Enterprises Limited

Balance Sheet

As at 31 August 2021

2021 2020
Notes £ £ £ £
Fixed assets
Tangible assets 5 87,155 130,198
Current assets
Debtors 6 25,259 12,502
Cash at bank and in hand 17,542 64,156
42,801 76,658
Creditors: amounts falling due within
one year 7 (288,653) (259,371)
Net current liabilities (245,852) (182,713)
Total assets less current liabilities (158,697) (52,515)
Creditors: amounts falling due after
more than one year 8 (43,817) (45,499)
Net liabilities (202,514) (98,014)
Capital and reserves
Called up share capital 9 1 1
Profit and loss reserves (202,515) (98,015)
Total equity (202,514) (98,014)

These financial statements have been prepared 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 ......................... and are signed on its behalf by:

..............................

Mr L Miller Director

Company Registration No. 05565055

Page 8

St Margaret's Enterprises Limited

Notes to the Financial Statements

For the year ended 31 August 2021

1 Accounting policies

Company information

St Margaret's Enterprises Limited is a private company limited by shares incorporated in England and Wales . The registered office is St Margaret's School, Merry Hill Road, Bushey, Hertfordshire, WD23 1DT.

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 financial statements are prepared in sterling , which is the functional currency of the company. Monetary a mounts in these financial statements are rounded to the nearest £.

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 financial instruments at fair value. The principal accounting policies adopted are set out below.

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 . T he company has therefore taken advantage of e xemptions from the following disclosure requirements:

The financial statements of the company are consolidated in the financial statements of St Margaret's School, Bushey . These consolidated financial statements are available from its registered office, Merry Hill Road, Bushey, Hertfordshire, WD23 1DT.

1.2 Going concern

As disclosed in note 9 to the financial statements, the directors have decided to cease trading within the period of twelve months from the date of approval of these financial statements. Accordingly the financial statements have been prepared on a basis other than that of a going concern. There were no material adjustments to the presentation of the figures in the financial statements as a result of this.

Page 9

Notes to the Financial Statements (Continued)

St Margaret's Enterprises Limited

For the year ended 31 August 2021

1 Accounting policies

(Continued)

1.3 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.

Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recover ed .

1.4 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:

Improvements to land and buildings

Straight line basis over 8 years

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 .

1.5 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). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss , unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Page 10

Notes to the Financial Statements (Continued)

St Margaret's Enterprises Limited

For the year ended 31 August 2021

1 Accounting policies

(Continued)

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss , unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.6 Cash at bank and in hand

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 current liabilities.

1.7 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.

Financial assets and liabilities are offset , with 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.

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 paymen ts 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. A m ounts 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.

Page 11

St Margaret's Enterprises Limited

Notes to the Financial Statements (Continued)

For the year ended 31 August 2021

1 Accounting policies

(Continued)

1.8 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.

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

1.9 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.

1.10 Leases

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 lease s asset are consumed.

2 Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2021 2020
Number Number
Total 38 64

Page 12

St Margaret's Enterprises Limited

Notes to the Financial Statements (Continued)

For the year ended 31 August 2021

4
Interest payable and similar expenses
2021
£
Interest payable and similar expenses includes the following:
Interest payable to group undertakings
815
5
Tangible fixed assets
Improvements
to land and
buildings
Plant and
machinery
etc
£
£
Cost
At 1 September 2020 and 31 August 2021
198,052
257,693
Depreciation and impairment
At 1 September 2020
100,171
225,376
Depreciation charged in the year
24,757
18,286
At 31 August 2021
124,928
243,662
Carrying amount
At 31 August 2021
73,124
14,031
At 31 August 2020
97,881
32,317
6
Debtors
2021
Amounts falling due within one year:
£
Trade debtors
9,019
Other debtors
16,240
25,259		 2020
£
579
Total
£
455,745
325,547
43,043
368,590
87,155
130,198
2020
£
7,356
5,146
12,502

Page 13

St Margaret's Enterprises Limited

Notes to the Financial Statements (Continued)

For the year ended 31 August 2021

7 Creditors: amounts falling due within one year

Trade creditors
Amounts owed to group undertakings
Taxation and social security
Other creditors
8
Creditors: amounts falling due after more than one year
Amounts owed to group undertakings		 2021
£
2,472
248,727
14,684
22,770
288,653
2021
£
43,817		 2020
£
1,237
183,156
24,554
50,424
259,371
2020
£
45,499

Amounts due to group undertakings includes loans totalling £109,422 from December 2019 and April 2021, repayable in 12 equal quarterly instalments with an interest rate of 0.25% over the Bank of England base rate.

9 Called up share capital

Called up share capital
2021 2020 2021 2020
Ordinary share capital Number Number £ £
Issued and fully paid
Ordinary shares of £1 each - - 1 1

10 Events after the reporting date

Following the year end the directors have made the decision to cease trading within St Margret’s Enterprises Limited and the company will become dormant. The trading activities will be carried on and transferred to its parent undertaking St Margret’s School, Bushey.

11 Parent company

The ultimate parent company and controlling party is St. Margaret's School, Bushey a company registered in England and Wales.

Page 14