Company Registration No. 2519883 (England and Wales)
WENTA BUSINESS CENTRES LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2018
PAGES FOR FILING WITH REGISTRAR
WENTA BUSINESS CENTRES LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
WENTA BUSINESS CENTRES LIMITED
BALANCE SHEET
AS AT
31 JULY 2018
31 July 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Tangible assets
3
130,057
148,583
Investment properties
4
9,050,000
9,050,000
9,180,057
9,198,583
Current assets
Debtors
5
585,198
502,080
Cash at bank and in hand
672,800
420,827
1,257,998
922,907
Creditors: amounts falling due within one year
6
(3,441,130)
(2,926,681)
Net current liabilities
(2,183,132)
(2,003,774)
Total assets less current liabilities
6,996,925
7,194,809
Creditors: amounts falling due after more than one year
7
(3,541,125)
(3,740,625)
Deferred tax liability
8
(433,615)
(455,367)
Net assets
3,022,185
2,998,817
Capital and reserves
Called up share capital
9
1,000
1,000
Profit and loss reserves
3,021,185
2,997,817
Total equity
3,022,185
2,998,817
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 31 July 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476
.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime.
WENTA BUSINESS CENTRES LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 JULY 2018
31 July 2018
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 17 December 2018 and are signed on its behalf by:
S R Arbon
E C Jordan
Director
Director
Company Registration No. 2519883
WENTA BUSINESS CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2018
- 3 -
1
Accounting policies
Company information
Wenta Business Centres Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Colne Way, Watford, Hertfordshire, WD24 7ND.
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 disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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.
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable
the hire of office space,
provided in the normal course of business
, and
is shown net of VAT and other sales related taxes
.
1.3
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:
Office equipment
20% reducing balance
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
.
1.4
Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure
. Subsequently it is measured
at fair value a
t
the reporting end date.
The surplus or deficit on revaluation is recognised in profit or loss.
Where fair value cannot be achieved without undue cost or effort, investment property is accounted for as tangible fixed assets.
1.5
Cash at bank and in hand
Cash at bank and in hand
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.
WENTA BUSINESS CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2018
1
Accounting policies
(Continued)
- 4 -
1.6
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments
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.
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.
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.
1.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.8
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The
company’s
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
WENTA BUSINESS CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2018
1
Accounting policies
(Continued)
- 5 -
1.9
Leases
Rentals payable under operating leases,
including
any lease incentives received, are charged to income 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 asset are consumed.
1.10
Grants are credited to deferred revenue. Grants towards capital expenditure are released to the profit and loss account over the expected useful life of the assets. Grants towards revenue expenditure are released to the profit and loss account as the related expenditure is incurred.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 7 (2017 - 10).
3
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 August 2017
673,532
Additions
20,865
At 31 July 2018
694,397
Depreciation and impairment
At 1 August 2017
524,948
Depreciation charged in the year
39,392
At 31 July 2018
564,340
Carrying amount
At 31 July 2018
130,057
At 31 July 2017
148,583
4
Investment property
2018
£
Fair value
At 1 August 2017 and 31 July 2018
9,050,000
WENTA BUSINESS CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2018
4
Investment property
(Continued)
- 6 -
The company has the following investment properties;
Leasehold property at Potters Bar - This property is valued at £2,000,000.
Freehold property at Watford - This property is valued at £3,300,000.
Freehold property at Enfield - This property is valued at £3,750,000.
Revaluations were carried out by an independent valuer who holds a relevant professional qualification and has experience of valuing similar properties.
All movement in the revalued amount have been recognised through the profit and loss account.
5
Debtors
2018
2017
Amounts falling due within one year:
£
£
Trade debtors
2,433
25,002
Amounts owed by group undertakings
520,098
425,839
Other debtors
62,667
51,239
585,198
502,080
6
Creditors: amounts falling due within one year
2018
2017
£
£
Bank loans and overdrafts
199,500
199,500
Trade creditors
9,002
50,314
Amounts due to group undertakings
2,597,343
2,136,303
Other taxation and social security
153,352
116,582
Other creditors
481,933
423,982
3,441,130
2,926,681
The bank loan is secured by way of a fixed and floating charge of the present and future assets of the company.
7
Creditors: amounts falling due after more than one year
2018
2017
£
£
Bank loans and overdrafts
3,541,125
3,740,625
WENTA BUSINESS CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2018
- 7 -
8
Deferred taxation
The deferred tax liability relates to the revaluation of the company's investment properties. The liability represents the potential future tax liability if the properties were to be disposed of. The liability does not take account of any reliefs that may be available other than indexation allowance.
Liabilities
Liabilities
2018
2017
Balances:
£
£
Deferred tax on revaluation
433,615
455,367
9
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
1,000 Ordinary shares of £1 each
1,000
1,000
1,000
1,000