A tiny fragile white or pale grey fungus found on twigs, mossy trunks and woody debris, usually of deciduous species.  There are few widely spaced gills and the cap is coverd in powdery woolly floccules, like sugar.  The stem is finely hairy when young, and there is a small basal disc. 

Several other tiny Mycena are found in similar habitats and also have a basal disc, but with a separatable gelatinous pellicle ('skin' on cap surface).  Other small Mycena species lack the basal disc.

Cheilocystidia with long smooth beak and usually minutely warted swollen base.

This can be difficult to verify from photos, unless they are very clear.  A description of the texture of the cap will help.  Microscopic examination should  confirm the identification.  Photograph from top down, in side view and from underneath to show gills and full length of stipe including basal disc.  Note habitat and substrate.

Woodland, on deciduous woody debris

Autumn.

Widespread and fairly frequent in Britain.

Fairly frequent in Leicestershire and Rutland.