Company Registration No. 01790857 (England and Wales)
FAIRHAVEN HOTELS LIMITED
UNAUDITED ABBREVIATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2016
FAIRHAVEN HOTELS LIMITED
CONTENTS
Page
Abbreviated balance sheet
1 - 2
Notes to the abbreviated accounts
3 - 6
FAIRHAVEN HOTELS LIMITED
ABBREVIATED BALANCE SHEET
AS AT
30 NOVEMBER 2016
30 November 2016
- 1 -
2016
2015
Notes
£
£
£
£
Fixed assets
Tangible assets
3
4,107,834
4,126,982
Investments
3
1,005
1,005
4,108,839
4,127,987
Current assets
Debtors
2
544,058
313,371
Cash at bank and in hand
1,945
2,060
546,003
315,431
Creditors: amounts falling due within one year
(554,169)
(301,768)
Net current liabilities/(assets)
(8,166)
13,663
Total assets less current liabilities
4,100,673
4,141,650
Creditors: amounts falling due after more than one year
4
(1,010,000)
(1,230,000)
Provisions for liabilities
(19,219)
(23,049)
3,071,454
2,888,601
Capital and reserves
Called up share capital
5
171
171
Share premium account
49,599
49,599
Revaluation reserve
1,967,186
1,967,186
Other reserves
330
330
Profit and loss account
1,054,168
871,315
Shareholders' funds
3,071,454
2,888,601
FAIRHAVEN HOTELS LIMITED
ABBREVIATED BALANCE SHEET (CONTINUED)
AS AT
30 NOVEMBER 2016
30 November 2016
- 2 -
For the financial year ended 30 November 2016 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 year in question in accordance with section 476;
-
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These abbreviated financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
Approved by the Board for issue on 30 August 2017
C C Webb
Director
Company Registration No. 01790857
FAIRHAVEN HOTELS LIMITED
NOTES TO THE ABBREVIATED ACCOUNTS
FOR THE YEAR ENDED 30 NOVEMBER 2016
- 3 -
1
Accounting policies
1.1
Accounting convention
The financial statements are prepared under the historical cost convention modified to include the revaluation of freehold land and buildings and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015).
1.2
Compliance with accounting standards
The financial statements are prepared in accordance with applicable United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), which have been applied consistently (except as otherwise stated).
1.3
Turnover
Turnover represents amounts receivable net of VAT and trade discounts, of management fees and rental income made during the year.
1.4
Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost or valuation less depreciation. Depreciation is provided at rates calculated to write off the cost or valuation less estimated residual value of each asset over its expected useful life, as follows:
Leasehold improvements
20% straight line
Fixtures, fittings & equipment
20% straight line
1.5
Investments
Fixed asset investments are stated at cost less provision for permanent diminution in value.
1.6
Group accounts
The financial statements present information about the company as an individual undertaking and not about its group. The company and its subsidiary undertaking comprise a small-sized group. The company has therefore taken advantage of the exemptions provided by section 399 of the Companies Act 2006 not to prepare group accounts.
1.7
Freehold and long leasehold properties
No depreciation is provided on freehold hotel properties or hotel properties with leases of twenty years or more to run at the balance sheet date. It is the company's practice and that of the operating companies to maintain these assets in a continual state of sound repair and to extend and make improvements thereto from time to time and accordingly the directors consider that the lives of these assets are so long, and residual values (based on prices prevailing at the time of acquisition or subsequent valuation) are so high, that their depreciation is insignificant. Moreover, whilst the initial costs incurred on extensive repair and refurbishment programmes are capitalised, those in respect of items subsequently replaced are written off to the profit and loss account as incurred. In accordance with FRS 15 "Tangible fixed assets", the directors perform an annual impairment review. Any deficits are charged in the profit and loss account except where the asset has been revalued, the deficit is charged to the revaluation reserve.
This accounting policy is a departure from the Companies Act 2006, which requires all fixed assets to be depreciated. In the opinion of the directors this departure is necessary for the accounts to give a true and fair view.
FAIRHAVEN HOTELS LIMITED
NOTES TO THE ABBREVIATED ACCOUNTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2016
1
Accounting policies
(Continued)
- 4 -
1.8
Interest-bearing loans and borrowings
All loans and borrowings are recognised initially at cost, which is the fair value of the consideration received.
Finance costs are charged to the profit and loss account over the term of the borrowings on the accruals basis.
Derivative financial instruments
The company uses derivative financial instruments such as interst rate swaps to hedge its risks associated with interest rate fluctuation.
The interest differential amounts payable or receivable on interest rate swaps are recognised in the profit and loss account on the accruals basis.
2
Debtors
Debtors include an amount of £326,484 (2015 - £99,973) which is due after more than one year.
3
Fixed assets
Tangible assets
Investments
Total
£
£
£
Cost or valuation
At 1 December 2015
4,365,263
1,005
4,366,268
Additions
36,790
-
36,790
At 30 November 2016
4,402,053
1,005
4,403,058
Depreciation
At 1 December 2015
238,282
-
238,282
Charge for the year
55,937
-
55,937
At 30 November 2016
294,219
-
294,219
Net book value
At 30 November 2016
4,107,834
1,005
4,108,839
At 30 November 2015
4,126,982
1,005
4,127,987
FAIRHAVEN HOTELS LIMITED
NOTES TO THE ABBREVIATED ACCOUNTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2016
3
Fixed assets
(Continued)
- 5 -
Holdings of more than 20%
The company holds more than 20% of the share capital of the following companies:
Company
Country of registration or
Shares held
incorporation
Class
%
Subsidiary undertakings
Clifton Arms Hotel Limited
United Kingdom
Ordinary
100.00
The aggregate amount of capital and reserves and the results of these undertakings for the last relevant financial year were as follows:
Capital and reserves
Profit/(loss) for the year
2016
2016
Principal activity
£
£
Clifton Arms Hotel Limited
Hotelier
(364,626)
(8,635)
4
Creditors: amounts falling due after more than one year
2016
2015
£
£
Analysis of loans repayable in more than five years
Total amounts repayable by instalments which are due in more than five years
-
290,000
5
Share capital
2016
2015
£
£
Allotted, called up and fully paid
342 A Ordinary shares of 50p each
171
171
6
Ultimate parent company
The company's ultimate holding company is Greyland Holding Co Limited, a company registered in England.
FAIRHAVEN HOTELS LIMITED
NOTES TO THE ABBREVIATED ACCOUNTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2016
- 6 -
7
Transactions with directors
As at the balance sheet date an amount of £18,983 (2015 - £28,983) remains due from corporate director The Old Stone Trough (1997) Limited. Interest of £1,600 was charged during the year and the loan is repayable at £5,000 per annum. A further amount of £114,167 (2015 - £nil) is due from The Old Stone Trough (1997) Limited. This balance is repayable at £10,000 per annum. Both these balances are included within amounts owed by connected companies.
Old Stone Trough (1997) Limited also charged Fairhaven Hotels Limited management fees of £36,000 (2015 - £36,000) which are included in fixed asset additions.