Company Registration No. 02715353 (England and Wales)
VALENS CONTRACTS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2018
PAGES FOR FILING WITH REGISTRAR
VALENS CONTRACTS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
VALENS CONTRACTS LIMITED
BALANCE SHEET
AS AT
30 JUNE 2018
30 June 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Tangible assets
3
1,414
1,740
Investment properties
4
1,700,000
1,700,000
1,701,414
1,701,740
Current assets
Debtors
5
709,627
1,600,000
Cash at bank and in hand
28,776
-
738,403
1,600,000
Creditors: amounts falling due within one year
6
(76,674)
(2,302,089)
Net current assets/(liabilities)
661,729
(702,089)
Total assets less current liabilities
2,363,143
999,651
Creditors: amounts falling due after more than one year
7
(1,473,613)
-
Provisions for liabilities
(98)
(98)
Net assets
889,432
999,553
Capital and reserves
Called up share capital
8
11,970
11,550
Capital redemption reserve
3,750
3,750
Non-distributable profits reserve
9
542,179
542,179
Distributable profit and loss reserves
331,533
442,074
Total equity
889,432
999,553
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 period ended 30 June 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 period 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.
VALENS CONTRACTS LIMITED
BALANCE SHEET (CONTINUED)
AS AT
30 JUNE 2018
30 June 2018
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 27 March 2019 and are signed on its behalf by:
Dr A Blair
Dr R Chopra
Director
Director
Dr A Munir
Director
Company Registration No. 02715353
VALENS CONTRACTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2018
- 3 -
1
Accounting policies
Company information
Valens Contracts Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
C/O RMT Accountants & Business Advisors Ltd, Gosforth Park Avenue, Newcastle upon Tyne, United Kingdom, NE12 8EG.
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
Reporting period
During the year, the reporting period was lengthened to 15 months ended 30 June 2018. Therefore the prior period financial statements (including the related notes) for the 12 months to 31 March 2017 are not entirely comparable.
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
.
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.
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:
Fixtures and fittings
15% 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
.
1.5
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.
VALENS CONTRACTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2018
1
Accounting policies
(Continued)
- 4 -
1.6
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.
1.7
Cash at bank and in hand
Cash at bank and in hand
are basic financial assets
and
include cash in hand and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8
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.
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.
1.9
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.
1.10
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.
VALENS CONTRACTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2018
1
Accounting policies
(Continued)
- 5 -
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.
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was 18 (2017 - 7
).
3
Tangible fixed assets
Fixtures and fittings
£
Cost
At 1 April 2017 and 30 June 2018
27,426
Depreciation and impairment
At 1 April 2017
25,686
Depreciation charged in the period
326
At 30 June 2018
26,012
Carrying amount
At 30 June 2018
1,414
At 31 March 2017
1,740
4
Investment property
2018
£
Fair value
At 1 April 2017 and 30 June 2018
1,700,000
Investment property comprises £1,700,000. The fair value of the investment property has been arrived at on the basis of a valuation carried out at January 2017 by Sanderson Weatherall Chartered Surveyors, who are not connected with the company. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
VALENS CONTRACTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2018
- 6 -
5
Debtors
2018
2017
Amounts falling due within one year:
£
£
Trade debtors
1,787
-
Other debtors
707,840
1,600,000
709,627
1,600,000
6
Creditors: amounts falling due within one year
2018
2017
£
£
Bank loans and overdrafts
66,324
2,275,229
Trade creditors
-
1,730
Corporation tax
-
12,799
Other taxation and social security
6,129
5,983
Other creditors
4,221
6,348
76,674
2,302,089
The bank loans are secured by a first legal charge over the freehold property of the company, an all moneys guarantee from an entity with joint control and an unlimited debenture from Valens Contracts Limited.
7
Creditors: amounts falling due after more than one year
2018
2017
£
£
Bank loans and overdrafts
1,473,613
-
The bank loans are secured by a first legal charge over the freehold property of the company, an all moneys guarantee from an entity with joint control and an unlimited debenture from Valens Contracts Limited.
8
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
11,970 ordinary of £1 each
11,970
11,550
11,970
11,550
During the year the company issued 420 ordinary shares of £1 each for a total consideration of £420
.
VALENS CONTRACTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2018
- 7 -
9
Non-distributable profits reserve
Included within profit and loss reserves are non-distributable profits, which relate to the cumulative fair value movement on investment properties valued above original cost and amounts to £542,179 (2017: £542,179)
10
Related party transactions
The following amounts were outstanding at the reporting end date:
2018
Balance
Amounts owed by related parties
£
Valens Medical Partnership
707,840
There were no amounts owed in the previous period.
The bank loans are secured by an all moneys guarantee from an entity with joint control for a principal amount of £1,616,000 plus interest and other costs.