Registration number:
Parham Investment Limited
Chartered Accountants
Parham Investment Limited
Contents
Company Information |
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Balance Sheet |
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Notes to the Financial Statements |
Parham Investment Limited
Company Information
Directors |
Mrs L H Catford Mr E Q Drax Mr J R Drax Mr P S Dove |
Company secretary |
Mr J R Drax |
Registered office |
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Auditors |
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Parham Investment Limited
(Registration number: 02383522)
Balance Sheet as at 31 December 2018
Note |
2018 |
2017 |
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£ |
£ |
£ |
£ |
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Fixed assets |
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Investment property |
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Investments |
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Current assets |
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Debtors |
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Cash at bank and in hand |
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- |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current liabilities |
( |
( |
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Total assets less current liabilities |
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Provisions for liabilities |
( |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
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Revaluation reserve |
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Profit and loss account |
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Total equity |
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These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.
Approved and authorised by the
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Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
The principal place of business is:
36 St James's Street
London
SW1A 1JD
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Audit report
Exemption from preparing group accounts
The company has taken advantage of the exemption in section 398 of the Companies Act 2006 from the requirement to prepare consolidated financial statements, on the grounds that it is a small sized group.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for rents receivable on properties held as investment properties in the ordinary course of the Company’s activities. Turnover is shown net of sales/value added tax, rebates and discounts and after eliminating sales within the company.
The Company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the Company's activities.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Investment property
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the Group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the Group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Profit before tax |
Disclosed separately on the profit and loss is nil (2017 - £605,000) relating to valuation adjustments on the investment properties and £729,707 (2017 - £685,915) relating to the disposal of investment property.
Audit fees of £7,000 in relation to the audit of this company are met by the parent.
Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
Investment properties |
2018 |
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At 1 January |
74,485,000 |
Disposals |
( |
At 31 December |
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The investment properties class of fixed assets was revalued on 20 September 2017 by Colliers International Valuation UK LLP who are external to the company. The basis of this valuation was market value. This class of assets has a current market value of £66,660,000 (2017 - £74,485,000).
As at 31 December 2018 the directors do not consider the value of any investment properties to have decreased below the valuations previously carried out by Colliers International on 20 September 2017 and those values remain unchanged at 31 December 2018.
Impairment of investment property
The amount of impairment loss included in profit or loss is £Nil (2017 - £605,000) .
Investments |
2018 |
2017 |
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Investments in subsidiaries |
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Subsidiaries |
£ |
Cost or valuation |
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At 1 January 2018 |
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Provision |
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Carrying amount |
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At 31 December 2018 |
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At 31 December 2017 |
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Details of undertakings
Details of the investments in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
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2018 |
2017 |
Subsidiary undertakings |
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Ordinary |
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England & Wales |
Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
The principal activity of The Royce Trading Estate and Management Company Limited is |
The profit for the financial period of The Royce Trading Estate and Management Company Limited was £- and the aggregate amount of capital and reserves at the end of the period was £(70). |
Debtors |
Note |
2018 |
2017 |
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Amounts owed by group undertakings and undertakings in which the company has a participating interest |
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Other debtors |
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Creditors |
Creditors: amounts falling due within one year
Note |
2018 |
2017 |
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Due within one year |
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Amounts owed to group undertakings and undertakings in which the company has a participating interest |
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Accruals and deferred income |
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Other creditors |
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- |
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Share capital |
Allotted, called up and fully paid shares
2018 |
2017 |
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No. |
£ |
No. |
£ |
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15,000,000 |
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15,000,000 |
Financial commitments, guarantees and contingencies |
Amounts not provided for in the balance sheet
The total amount of guarantees not included in the balance sheet is £34,967,000 (2017 - £35,967,000). The group has a bank loan facility; the loan capital is secured on the investment and development properties held within the group and the investment in shares of the subsidiary companies held by Parham Holdings Limited.
Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
Related party transactions |
Summary of transactions with parent
Balance is repayable on demand
All transactions of the company are made via the parent company and transferred to the subsidiary via an inter-company loan account transfer. The parent has also recharged interest charges of £828,514 and management charges of £2,169,581 to this company.
Summary of transactions with entities with joint control or significant interest
Cording Property Management LLP
All transactions are made on normal commercial terms
Summary of transactions with subsidiaries
Transfer of property
Balance is repayable on demand
Income and receivables from related parties
2018 |
Subsidiary |
Sale of property or other assets |
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Expenditure with and payables to related parties
2018 |
2017 |
Entities with joint control or significant influence |
Rendering of services |
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Loans to related parties
2018 |
Subsidiary |
At start of period |
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Advanced |
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At end of period |
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2017 |
Subsidiary |
At start of period |
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Advanced |
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At end of period |
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Parham Investment Limited
Notes to the Financial Statements
for the Year Ended 31 December 2018
Loans from related parties
2018 |
Parent |
At start of period |
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Repaid |
( |
Interest transactions |
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At end of period |
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2017 |
Parent |
At start of period |
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Repaid |
( |
Interest transactions |
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At end of period |
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Terms of loans from related parties
Parent and ultimate parent undertaking |
The company's immediate parent is
The ultimate parent is
The most senior parent entity producing publicly available financial statements is
The ultimate controlling party is