REGISTERED NUMBER:
|
|
|
|
|
|
|
|
|
|
|
|
|
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
|
FINANCIAL STATEMENTS |
|
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
FOR |
|
STONEHENGE HOTELS LIMITED |
REGISTERED NUMBER:
|
|
|
|
|
|
|
|
|
|
|
|
|
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
|
FINANCIAL STATEMENTS |
|
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
FOR |
|
STONEHENGE HOTELS LIMITED |
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
|
|
|
|
|
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
|
|
|
Page |
|
Company Information | 1 |
|
Strategic Report | 2 |
|
Report of the Directors | 4 |
|
Report of the Independent Auditors | 5 |
|
Income Statement | 7 |
|
Other Comprehensive Income | 8 |
|
Balance Sheet | 9 |
|
Statement of Changes in Equity | 10 |
|
Notes to the Financial Statements | 11 |
|
STONEHENGE HOTELS LIMITED |
|
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
|
|
|
|
|
|
DIRECTORS: |
|
|
|
|
|
|
|
|
|
REGISTERED OFFICE: |
|
|
|
|
|
|
|
|
|
REGISTERED NUMBER: |
|
|
|
|
|
|
AUDITORS: |
|
Statutory Auditors and Chartered Accountants |
Rutland House |
90-92 Baxter Avenue |
Southend on Sea |
Essex |
SS2 6HZ |
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
PRINCIPAL ACTIVITY |
The principal activity of the company during the year under review was a hotel operating under the IHG |
Holiday Inn franchise. |
|
REVIEW OF BUSINESS |
The results for the year show revenues generated of £3,588,600 (2018 - £3,576,010) and a resultant profit |
before tax of £152,013 (2018 - £388,446). |
|
As usual the company continued to trade strongly during 2019, further building upon the results of the last few |
years. The directors were, once again, pleased with the company's results. |
|
PRINCIPAL RISKS AND UNCERTAINTIES |
The principal risk to the business is inadequate occupancy of its available rooms and therefore an inability to |
generate sufficient revenues to service operations. The directors closely monitor the company's performance |
against similar companies operating in comparable markets and respond accordingly. |
|
The company is also susceptible to any loss in key members of operational staff and therefore operates a |
number of performance reward and incentive programmes to mitigate these risks. |
|
Furthermore, since balance sheet date the company, and of course the wider economy, has been severely |
affected by the spread of Covid-19 (Coronavirus) and the resultant Government restrictions on the leisure |
industry and the free movement of individuals. The directors have acted quickly to mitigate the damage in the |
short-term, but this has severely hampered the company's ability to trade successfully during 2020. The |
company therefore remains at risk of further restrictions and / or loss of trade. |
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
SECTION 172(1) STATEMENT |
Stakeholder engagement |
The board of directors have a legal responsibility under section 172 of the Companies Act 2006 to act in the |
way we consider, in good faith, would be most likely to promote the company's success for the benefit of its |
members as a whole, and to have regard to the long-term effect of our decisions on the company and its |
stakeholders. This statement addresses the ways in which we as a board handle this responsibility. |
|
Decision making |
Regular operational and strategic meetings are held by the directors and general managers. This ensures the |
board has access to the key factors affecting all areas of the business' decision making, shorter term or |
longer. |
|
Furthermore, the company is in constant communication with IHG and various industry specific news sources. |
This enables the directors to keep abreast of, and address, all longer-term shifts in the company's operating |
markets. |
|
Employee engagement |
The company maintains a diverse workforce of local employees spanning all aspects of the hotel delivery, |
supplemented by outsourced staff and suppliers where necessary. Staff are rewarded in line with |
comparable local markets, provided with specific training relevant to their needs and have access to wider |
industry opportunities as a result of the same. |
|
Business relationships |
The company actively maintains strong relationships with its key suppliers and support functions, to ensure it |
has access to the resources it needs to operate effectively. |
|
The wider franchise ensures the company has access to a broad array of customers, visiting for various |
purposes. The company monitors compliance with brand standards to ensure all customers' expectations are |
satisfied and deliver the best possible service it can achieve. |
|
Community and environmental impact |
The directors remain ever conscious of the impact their business has on the local community and |
environment. As well as being a supportive local employer, the company also complies with all franchise |
environmental incentives. |
|
Business conduct |
The directors closely monitor the company's service delivery to ensure at all times the business is honest, fair |
and professional in its conduct with all stakeholders. |
|
Shareholder engagement |
The company is actively managed by its shareholders, who are all represented on the board of directors. |
|
ON BEHALF OF THE BOARD: |
|
|
|
|
|
|
|
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
The directors present their report with the financial statements of the company for the year ended 31 December 2019. |
|
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2019. |
|
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2019 to the date of |
this report. |
|
|
|
|
|
|
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial |
statements in accordance with applicable law and regulations. |
|
Company law requires the directors to prepare financial statements for each financial year. Under that law |
the directors have elected to prepare the financial statements in accordance with United Kingdom Generally |
Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company |
law the directors must not approve the financial statements unless they are satisfied that they give a true and |
fair view of the state of affairs of the company and of the profit or loss of the company for that period. In |
preparing these financial statements, the directors are required to: |
|
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the
company will continue in business. |
|
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain |
the company's transactions and disclose with reasonable accuracy at any time the financial position of the |
company and enable them to ensure that the financial statements comply with the Companies Act 2006. They |
are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for |
the prevention and detection of fraud and other irregularities. |
|
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the |
Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps |
that he ought to have taken as a director in order to make himself aware of any relevant audit information and |
to establish that the company's auditors are aware of that information. |
|
AUDITORS |
The auditors, Goldwyns Limited, will be proposed for re-appointment at the forthcoming Annual General |
Meeting. |
|
ON BEHALF OF THE BOARD: |
|
|
|
|
|
|
|
|
|
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
STONEHENGE HOTELS LIMITED |
|
Opinion |
We have audited the financial statements of Stonehenge Hotels Limited (the 'company') for the year ended |
31 December 2019 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, |
Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant |
accounting policies. The financial reporting framework that has been applied in their preparation is applicable |
law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial |
Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted |
Accounting Practice). |
|
In our opinion the financial statements: |
- |
give a true and fair view of the state of the company's affairs as at 31 December 2019 and of its profit for
the year then ended; |
- |
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
|
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and |
applicable law. Our responsibilities under those standards are further described in the Auditors' |
responsibilities for the audit of the financial statements section of our report. We are independent of the |
company in accordance with the ethical requirements that are relevant to our audit of the financial statements |
in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in |
accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and |
appropriate to provide a basis for our opinion. |
|
Material uncertainties related to going concern |
We draw attention to note 20 in the financial statements, which details the material uncertainties arising that |
may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not |
modified in respect of this matter. |
|
Other information |
The directors are responsible for the other information. The other information comprises the information in the |
Strategic Report and the Report of the Directors, but does not include the financial statements and our Report |
of the Auditors thereon. |
|
Our opinion on the financial statements does not cover the other information and, except to the extent |
otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
|
In connection with our audit of the financial statements, our responsibility is to read the other information and, |
in doing so, consider whether the other information is materially inconsistent with the financial statements or |
our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such |
material inconsistencies or apparent material misstatements, we are required to determine whether there is a |
material misstatement in the financial statements or a material misstatement of the other information. If, |
based on the work we have performed, we conclude that there is a material misstatement of this other |
information, we are required to report that fact. We have nothing to report in this regard. |
|
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- |
the information given in the Strategic Report and the Report of the Directors for the financial year for which
the financial statements are prepared is consistent with the financial statements; and |
- |
the Strategic Report and the Report of the Directors have been prepared in accordance with applicable
legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
STONEHENGE HOTELS LIMITED |
|
|
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of |
the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
|
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to |
report to you if, in our opinion: |
- |
adequate accounting records have not been kept, or returns adequate for our audit have not been received
from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
|
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are |
responsible for the preparation of the financial statements and for being satisfied that they give a true and fair |
view, and for such internal control as the directors determine necessary to enable the preparation of financial |
statements that are free from material misstatement, whether due to fraud or error. |
|
In preparing the financial statements, the directors are responsible for assessing the company's ability to |
continue as a going concern, disclosing, as applicable, matters related to going concern and using the going |
concern basis of accounting unless the directors either intend to liquidate the company or to cease |
operations, or have no realistic alternative but to do so. |
|
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free |
from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes |
our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit |
conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. |
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, |
they could reasonably be expected to influence the economic decisions of users taken on the basis of these |
financial statements. |
|
A further description of our responsibilities for the audit of the financial statements is located on the Financial |
Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our |
Report of the Auditors. |
|
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of |
the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's |
members those matters we are required to state to them in a Report of the Auditors and for no other purpose. |
To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the |
company and the company's members as a body, for our audit work, for this report, or for the opinions we |
have formed. |
|
|
|
|
|
for and on behalf of
|
Statutory Auditors and Chartered Accountants |
Rutland House |
90-92 Baxter Avenue |
Southend on Sea |
Essex |
SS2 6HZ |
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
INCOME STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
2019 | 2018 |
Notes | £ | £ |
|
TURNOVER |
|
|
|
Cost of sales |
|
|
GROSS PROFIT |
|
|
|
Administrative expenses |
|
|
OPERATING PROFIT | 4 |
|
|
|
Interest receivable and similar income |
|
|
406,295 | 630,143 |
|
Interest payable and similar expenses | 5 |
|
|
PROFIT BEFORE TAXATION |
|
|
|
Tax on profit | 6 |
|
|
PROFIT FOR THE FINANCIAL YEAR |
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
2019 | 2018 |
Notes | £ | £ |
|
PROFIT FOR THE YEAR |
|
|
|
|
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR |
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
BALANCE SHEET |
31 DECEMBER 2019 |
|
2019 | 2018 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 7 |
|
|
|
CURRENT ASSETS |
Stocks | 8 |
|
|
Debtors | 9 |
|
|
Cash at bank and in hand |
|
|
|
|
CREDITORS |
Amounts falling due within one year | 10 |
|
|
NET CURRENT ASSETS/(LIABILITIES) |
|
( |
) |
TOTAL ASSETS LESS CURRENT
LIABILITIES |
|
|
|
CREDITORS |
Amounts falling due after more than one
year |
11 |
( |
) |
( |
) |
|
PROVISIONS FOR LIABILITIES | 15 | ( |
) | ( |
) |
NET LIABILITIES | ( |
) | ( |
) |
|
CAPITAL AND RESERVES |
Called up share capital | 16 |
|
|
Retained earnings | 17 | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) | ( |
) |
|
The financial statements were approved by the Board of Directors and authorised for issue on
|
|
|
|
|
|
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
|
Balance at 1 January 2018 |
|
( |
) | ( |
) |
|
Changes in equity |
Total comprehensive income | - |
|
|
Balance at 31 December 2018 |
|
( |
) | ( |
) |
|
Changes in equity |
Total comprehensive income | - |
|
|
Balance at 31 December 2019 |
|
( |
) | ( |
) |
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
1. | STATUTORY INFORMATION |
|
Stonehenge Hotels Limited is a
|
The company's registered number and registered office address can be found on the Company |
Information page. |
|
The company trades from its leased property in Amesbury, Wiltshire. |
|
2. | ACCOUNTING POLICIES |
|
Basis of preparing the financial statements |
|
|
Financial Reporting Standard 102 - reduced disclosure exemptions |
The company has taken advantage of the following disclosure exemption in preparing these financial |
statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and |
Republic of Ireland": |
|
• | the requirements of Section 7 Statement of Cash Flows. |
|
Turnover |
Turnover represents the income receivable by the company from its trading activities as a hotel. Sales |
encompass room hire, food and beverage income and all other associated ancillary hotel and guest |
services. Turnover is recognised in the period in which the physical goods are sold, as services are |
performed or otherwise as entitlement accrues to the company. |
|
Tangible fixed assets |
|
Leasehold property | - |
|
Equipment | - |
|
|
3. | EMPLOYEES AND DIRECTORS |
2019 | 2018 |
£ | £ |
Wages and salaries |
|
|
Social security costs |
|
|
Other pension costs |
|
|
|
|
|
The average number of employees during the year was as follows: |
2019 | 2018 |
|
Staff | 71 | 70 |
Directors | 4 | 4 |
|
|
|
2019 | 2018 |
£ | £ |
Directors' remuneration |
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
4. | OPERATING PROFIT |
|
The operating profit is stated after charging: |
|
2019 | 2018 |
£ | £ |
Depreciation - owned assets |
|
|
Depreciation - assets on hire purchase contracts and finance leases |
|
|
Auditors' remuneration |
|
|
Audit remuneration - other non-audit services |
|
|
|
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2019 | 2018 |
£ | £ |
Leasing interest |
|
|
|
6. | TAXATION |
|
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2019 | 2018 |
£ | £ |
Deferred tax |
|
|
Tax on profit |
|
|
|
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The |
difference is explained below: |
|
2019 | 2018 |
£ | £ |
Profit before tax |
|
|
Profit multiplied by the standard rate of corporation tax in the UK of
|
|
|
|
Effects of: |
Expenses not deductible for tax purposes |
|
|
Brought forward provisions not recognised | - | (73,009 | ) |
Total tax charge | 61,220 | 20,300 |
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
7. | TANGIBLE FIXED ASSETS |
Leasehold |
property | Equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2019 |
|
|
|
Additions |
|
|
|
At 31 December 2019 |
|
|
|
DEPRECIATION |
At 1 January 2019 |
|
|
|
Charge for year |
|
|
|
At 31 December 2019 |
|
|
|
NET BOOK VALUE |
At 31 December 2019 |
|
|
|
At 31 December 2018 |
|
|
|
|
On 13 December 2017, the company entered into an agreement to lease the property from which it |
trades for a period of 150 years. This lease therefore amounts to a financing lease, as the company |
will derive benefit from the property throughout its useful life, and has been recognised accordingly. |
|
The property interest is being depreciated over 75 years. |
|
Fixed assets, included in the above, which are held under hire purchase contracts and finance leases |
are as follows: |
Leasehold |
property | Equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2019 |
and 31 December 2019 |
|
|
|
DEPRECIATION |
At 1 January 2019 | 111,223 |
|
|
Charge for year | 102,666 |
|
|
At 31 December 2019 | 213,889 |
|
|
NET BOOK VALUE |
At 31 December 2019 | 8,486,111 |
|
|
At 31 December 2018 | 8,588,777 |
|
|
|
8. | STOCKS |
2019 | 2018 |
£ | £ |
Stocks |
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
9. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2019 | 2018 |
£ | £ |
Trade debtors |
|
|
Amounts owed by group undertakings |
|
|
Other debtors |
|
|
Prepayments |
|
|
|
|
|
10. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2019 | 2018 |
£ | £ |
Bank loans and overdrafts (see note 12) |
|
|
Hire purchase contracts and finance
leases (see note 13) |
|
|
Trade creditors |
|
|
Amounts owed to group undertakings |
|
|
Social security and other taxes |
|
|
Other creditors |
|
|
Accrued expenses |
|
|
|
|
|
11. |
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR |
2019 | 2018 |
£ | £ |
Bank loans (see note 12) |
|
|
Hire purchase contracts and finance
leases (see note 13) |
|
|
|
|
|
12. | LOANS |
|
An analysis of the maturity of loans is given below: |
|
2019 | 2018 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
|
|
|
Amounts falling due between one and two years: |
Bank loans |
|
|
|
Amounts falling due between two and five years: |
Bank loans |
|
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
13. | LEASING AGREEMENTS |
|
Minimum lease payments fall due as follows: |
|
Hire purchase contracts | Finance leases |
2019 | 2018 | 2019 | 2018 |
£ | £ | £ | £ |
Gross obligations repayable: |
Within one year |
|
|
|
|
Between one and five years |
|
|
|
|
In more than five years |
|
|
|
|
|
|
|
|
|
Finance charges repayable: |
Within one year |
|
|
|
|
Between one and five years |
|
|
|
|
In more than five years |
|
|
|
|
|
|
|
|
|
Net obligations repayable: |
Within one year |
|
|
|
|
Between one and five years |
|
|
|
|
In more than five years |
|
|
|
|
|
|
|
|
|
On 13 December 2017, the company entered into an agreement to lease the property from which it |
trades for a period of 150 years. This transaction amounts to a finance lease and has been |
recognised accordingly. The company is liable for an annual rent of £170,000 per annum, subject to |
an annual increase as determined by any changes in the retail price index but subject to a minimum of |
1% and a maximum of 4%. |
|
Throughout the initial period of the lease the annual interest arising will exceed the rental repayments |
due and therefore the company's recognised finance liability will continue to increase. |
|
14. | SECURED DEBTS |
|
The following secured debts are included within creditors: |
|
2019 | 2018 |
£ | £ |
Bank loans |
|
|
Hire purchase contracts and finance leases | 8,824,075 | 8,767,509 |
|
|
|
The company had also given cross-guarantees in respect of other associated companies' debts. At |
the balance sheet date, those companies' liabilities to the bank totalled £11,837,125 (2018 - £nil). |
|
The company has given fixed and floating charges over all of its interests in the property (and any |
proceeds arising therefrom) as security for its bank loans, and its cross-guarantee. |
|
Hire purchase contracts and finance lease liabilities are secured on the assets to which they relate. |
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
|
15. | PROVISIONS FOR LIABILITIES |
2019 | 2018 |
£ | £ |
Deferred tax | 81,520 | 20,300 |
|
Deferred |
tax |
£ |
Balance at 1 January 2019 |
|
Accelerated capital allowance | (23,970 | ) |
Losses carried forward | 85,750 |
Other movements | (560 | ) |
Balance at 31 December 2019 |
|
|
Deferred tax provisions primarily represent the timing differences arising on accelerated capital |
allowance reliefs available in excess of accounting depreciation, less cumulative losses carried |
forward. |
|
16. | CALLED UP SHARE CAPITAL |
|
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2019 | 2018 |
value: | £ | £ |
|
Ordinary | £1 | 2 | 2 |
|
17. | RESERVES |
Retained |
earnings |
£ |
|
At 1 January 2019 | ( |
) |
Profit for the year |
|
At 31 December 2019 | ( |
) |
|
18. | PENSION COMMITMENTS |
|
The company operates a defined contribution scheme in respect of its eligible employees. During the |
year, total contributions to this scheme amounted to £20,745 (2018 - £16,945). At the balance sheet |
date the total contributions outstanding amounted to £6,448 (2018 - £3,491). |
|
19. | RELATED PARTY DISCLOSURES |
|
During the year the company's total compensation to key management personnel (including directors) |
amounted to £84,721 (2018 - £70,918). |
|
The company also utilises management services by a company under common control. During the |
year total costs arising for these management services amounted to £184,738 (2018 - £118,760). At |
the balance sheet date £170,000 was owed by, and the company owed £60,000 to, other companies |
under common control (2018 - £110,000 and £110,000 respectively). |
|
The company's entire issued share capital was owned by Lilac Limited, a company registered in |
Guernsey. |
|
STONEHENGE HOTELS LIMITED (REGISTERED NUMBER: 04044477) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2019 |
BGAM Hotels (SH) Limited is regarded by the directors as being the company's ultimate parent |
company. |
|
20. | GOING CONCERN |
|
Since the balance sheet date, but prior to the completion of these financial statements, the UK was |
struck by the Covid-19 pandemic. This resulted in the widescale restriction of free movement and an |
enforced closure of hotels such as the company's. Although the company has since been able to start |
re-opening, it has been adversely affected by a substantial period of no turnover, and still remains |
below normal occupancy levels. |
|
The directors acted quickly to mitigate the short-term damage to the company. However, various |
ongoing restrictions, operational challenges and the ever present risk of further lockdowns (local or |
national) prove challenging. These represent uncertainties beyond the company's control, which could |
therefore hamper the company's ability to settle its liabilities as they fall due, should the situation |
continue for the foreseeable future. |
|
Whilst these uncertainties are significant, early signs are encouraging and the company has a number |
of contingency options in place. The financial statements are therefore still drawn up on a going |
concern basis. |