Company Registration No. 04744817 (England and Wales)
PATRICK PROPERTIES HOLDINGS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2020
PAGES FOR FILING WITH REGISTRAR
PATRICK PROPERTIES HOLDINGS LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
PATRICK PROPERTIES HOLDINGS LIMITED
BALANCE SHEET
AS AT 30 SEPTEMBER 2020
30 September 2020
- 1 -
2020
2019
Notes
£
£
£
£
Fixed assets
Investment properties
4
1,626,563
1,530,000
Current assets
Stocks
3,300,339
3,300,339
Debtors
5
9,467,669
9,850,446
Cash at bank and in hand
226
3,415
12,768,234
13,154,200
Creditors: amounts falling due within one year
6
(13,277,285)
(13,904,070)
Net current liabilities
(509,051)
(749,870)
Total assets less current liabilities
1,117,512
780,130
Creditors: amounts falling due after more than one year
7
(640,705)
(445,910)
Net assets
476,807
334,220
Capital and reserves
Called up share capital
60
60
Profit and loss reserves
476,747
334,160
Total equity
476,807
334,220
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 15 October 2021 and are signed on its behalf by:
Mr T Halpin
Director
Company Registration No. 04744817
PATRICK PROPERTIES HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 2 -
1
Accounting policies
Company information
Patrick Properties Holdings Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Hamilton House, Church Street, Altrincham, WA14 4DR.
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.
Patrick Properties Holdings Limited is a wholly owned subsidiary of Patrick Properties Group Limited and the results of Patrick Properties Holdings Limited are included in the consolidated financial statements of Patrick Properties Group Limited which are available from its registered office at Hamilton House, Church Street, Altrincham, United Kingdom, W
A
14 4DR .
1.2
Going concern
The ultimate controlling party has confirmed that they will financially support the company in order to meet any day to day financial commitments as they fall due.
true
Given the financial support confirmed by the ultimate controlling party, t
he directors have continued to adopt the going concern basis in preparing the financial statements
.
1.3
Turnover
Turnover relates to rental income net of VAT for the period. Operating lease incentives are taken into account and spread up to the earliest break-clause of the lease where applicable.
Turnover from the sale of property
held as stock
is recognised in the profit and loss account when the significant risks
and rewards of ownership have been transferred to the buyer. Transfer occurs on completion of a property sale contract. Sale proceeds, including non-refundable deposits received in advance of completion, are recognised in full at this point
.
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 the profit and loss account.
1.5
Stocks
Property held as stock is held at the lower of cost and net realisable value.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss.
PATRICK PROPERTIES HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
1
Accounting policies
(Continued)
- 3 -
1.6
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.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities. Trade creditors are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
1.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction 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.
PATRICK PROPERTIES HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
1
Accounting policies
(Continued)
- 4 -
Deferred tax
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.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the asset is realised. Deferred tax is credited in the profit and loss account, except when it relates to items
cr
edited directly to equity
.
1.9
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.10
This entity has been consolidated within Patrick Properties Group Ltd accounts and the registered office is Hamilton House, Church Street, Altrincham, England, WA14 4DR. The ultimate controlling party is Brian Kennedy.
1.11
The directors have closely monitored the government guidance in response to the COVID-19 pandemic
. As a result of the pandemic turnover has dropped as rental income due from one of the tenants was deemed irrecoverable. Other than this there are
no
further
items in relation to the pandemic which require disclosure
at the balance sheet date. The impact of this issue was limited and at the time of the approval of the accounts is not expected to impact the going concern assumption of the business.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
PATRICK PROPERTIES HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 5 -
3
Employees
The average monthly number of persons (excluding directors) employed by the company during
the year was
3
(201
9
- 3).
2020
2019
Number
Number
Total
3
3
4
Investment property
2020
£
Fair value
At 1 October 2019
1,530,000
Revaluations
96,563
At 30 September 2020
1,626,563
Investment property comprises £
1,626,563
land and building (2019: £
1,530,000
) The fair value of the
investment property has been arrived at on the basis of a valuation carried out within 12 months of the year
end by a
n internal
Chartered Surveyor. The valuation was made on an open market value basis by reference to
market evidence of transaction prices for similar properties
.
5
Debtors
2020
2019
Amounts falling due within one year:
£
£
Trade debtors
45,221
130,230
Amounts owed by group undertakings
4,239,774
4,534,243
Other debtors
5,141,727
5,169,704
Prepayments and accrued income
60
60
9,426,782
9,834,237
2020
2019
Amounts falling due after more than one year:
£
£
Deferred tax asset
40,887
16,209
Total debtors
9,467,669
9,850,446
PATRICK PROPERTIES HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 6 -
6
Creditors: amounts falling due within one year
2020
2019
£
£
Bank loans
12,936
22,436
Amounts owed to group undertakings
11,590,036
12,336,738
Taxation and social security
493,218
217,936
Other creditors
1,181,095
1,326,960
13,277,285
13,904,070
7
Creditors: amounts falling due after more than one year
2020
2019
£
£
Bank loans and overdrafts
640,705
445,910
There were no amounts payable more than 5 years.
The Group refinanced with Natwest during the course of financial period and the loan with HSBC was settled. Interest and settlement charges have been fully recognised in the financial statements on the closure of the loan with HSBC. The loan with Natwest is a 5 year term with fixed interest rates payable quarterly by reference to LIBOR at a base rate of 0.28% and margin of 1.7%. The bank holds fixed charges over the investment property assets of the Company.
8
Audit report information
As the income statement has been omitted from the filing copy of the financial statements
,
the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006
:
The auditor's report was unqualified.
The senior statutory auditor was Nathaniel Davidson BA(Hons) ACA FCCA and the auditor was Lopian Gross Barnett & Co.
9
Events after the reporting date
There were no post balance sheet events which require disclosure at the balance sheet date.
10
Related party transactions
There were no related party transactions which require disclosure under FRS 102 Section 1A
.