McMinn Developments Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 40 Diglis Road, Worcester, WR5 3BW.
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 to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The company's accounting period has been extended to 31 October in order to bring the period end in line with other entities in the group. As a result the comparative information presented in the financial statements is not entirely comparable.
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 .
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).
Recoverable amount is the higher of fair value less costs to sell and value in use . If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
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. Financial assets classified as receivable within one year are not amortised.
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, including creditors, bank loans and loans from fellow group companies, are initially recognised at transaction price 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.
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.
The average monthly number of persons (including directors) employed by the company during the Period was 2 (2017 - 2).
Investment property comprises residential property used to generate rental income. The director has reviewed fair value based on average sale prices in the area, and believes that the carrying amount is appropriate.
During the period, the company had transactions with MSquared (Homes) Ltd, a company in which Mr A McMinn owns 50% of the issued share capital. Amounts totalling £Nil (2017 - £810,643) were received from MSquared (Homes) Ltd, and £4,563 (2017 - £Nil) was paid to or on behalf of MSquared (Homes) Ltd by the company. At the reporting date, amounts totalling £13,199 (2017 - £8,636) were owed to the company by MSquared (Homes) Ltd.
During the period, the company had transactions with MSquared (Drakes Broughton) Ltd, a company in which Mr A McMinn owns 50% of the issued share capital. Amounts totalling £152,211 (2017 - £601,523) were paid to or on behalf of MSquared (Drakes Broughton) Ltd by the company. At the reporting date, Amounts totalling £130,719 (2017 - £Nil) were received from MSquared (Drakes Broughton) Ltd), Amounts totalling £623,015 (2017 - £601,523) were owed to the company by MSquared (Drakes Broughton) Ltd at the reporting date.
During the period, the company had no transactions with MSquared (Clows Top) Ltd, a company owned by MSquared Homes Ltd in which Mr A McMinn owns 100% of the issued share capital. At the reporting date, amounts totalling £186,391 (2017 - £186,391) were owed to the company by MSquared (Clows Top) Ltd.
During the year, the company had transactions with MSquared Developments Ltd, a company in which Mr A McMinn owns 50% of the issued share capital. Amounts totalling £447,857 (2017 - £357,848) were received from MSquared Developments Ltd, and £36,333 (2017 - £773,443) were paid to or on behalf of MSquared Developments Ltd. At the reporting date, amounts totalling £4,071 (2017 - £415,595) were owed to the company by MSquared Developments Ltd.
During the period, the company had transactions with MPlant Holdings Ltd, a sister company of McMinn Developments Ltd. Amounts totalling £74,818 were paid on behalf of MPlant Holdings Ltd by the company. At the reporting date amounts totalling £74,818 (2017 £Nil) were owed to the company by MPlant Holdings Ltd.
During the period, the company transferred properties at 32, 38 and 40 Diglis Road to McMinn Property Investments Ltd with total value £456,500. This amount is outstanding at the period end. During the period McMinn Developments made payments of behalf of McMinn Property Investments Ltd totalling £180 (2017 - £Nil) and collected receipts on behalf of McMinn Property Investments Ltd totalling £2,400 (2017 £Nil). At the reporting date amounts totalling £454,280 (2017 £Nil) were owed to the company by McMinn Property Investments Ltd.
During the period, the company made payments on behalf of Elite Fleet Travel Ltd with total value £5,172 (2017 £Nil). At the reporting date £5,172 (2017 £Nil) was owed to the company.
Dividends totalling £0 (2017 - £0) were paid in the Period in respect of shares held by the company's directors.