Company registration number 08291453 (England and Wales)
BKJ LEISURE LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
PAGES FOR FILING WITH REGISTRAR
BKJ LEISURE LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2022
31 December 2022
- 1 -
2022
2021
Notes
£
£
£
£
Fixed assets
Tangible assets
3
3,418,683
3,440,105
Investments
4
200
200
3,418,883
3,440,305
Current assets
Debtors
6
288,944
290,147
Cash at bank and in hand
226,595
618,705
515,539
908,852
Creditors: amounts falling due within one year
7
(1,396,511)
(2,390,500)
Net current liabilities
(880,972)
(1,481,648)
Total assets less current liabilities
2,537,911
1,958,657
Creditors: amounts falling due after more than one year
8
(2,230,156)
(1,669,012)
Provisions for liabilities
(205,058)
(192,341)
Net assets
102,697
97,304
Capital and reserves
Called up share capital
100
100
Profit and loss reserves
102,597
97,204
Total equity
102,697
97,304
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 December 2022 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.
The 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.
BKJ LEISURE LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 DECEMBER 2022
31 December 2022
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 29 September 2023 and are signed on its behalf by:
B Johnson
Director
Company Registration No. 08291453
BKJ LEISURE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
- 3 -
1
Accounting policies
Company information
BKJ Leisure Limited is a private company, limited by shares and incorporated in England and Wales. The company's registered number is 08291453. The address of its registered office is 15 Clover Nook Road, Cotes Park Industrial Estate, Somercotes, Derbyshire, DE55 4RF.
The principal activity of the company during the year continued to be that of a holding company.
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 amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
The financial statements have been prepared on a going concern basis. The validity of this assumption depends upon the continued financial support of its directors who have indicated their willingness to continue to support the company financially for a period of at least one year from the date of approving these financial statements.true
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. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.
Land is not depreciated. Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following annual bases:
Freehold land and buildings
50 years straight line
Plant and machinery
15% straight line
Fixtures and fittings
15% straight line
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
Fixed asset investments
Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
BKJ LEISURE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
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 and cash equivalents
Cash and cash equivalents 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.
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.
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 and loans from fellow group companies 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 payments 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. Amounts 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.
1.9
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.
BKJ LEISURE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
1
Accounting policies
(Continued)
- 5 -
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.
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.
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 liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.11
Share-based payments
The company reflects the economic cost of awarding shares to employees by recording an expense in the profit and loss account equal to the fair value of the benefit awarded. Fair value being determined by reference to a suitable valuation model. The expense is recognised in the profit and loss account as employment costs over the vesting period.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2022
2021
Number
Number
Total
2
2
BKJ LEISURE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 6 -
3
Tangible fixed assets
Freehold land and buildings
Plant and machinery
Fixtures and fittings
Total
£
£
£
£
Cost
At 1 January 2022 and 31 December 2022
3,571,100
374,310
289,436
4,234,846
Depreciation
At 1 January 2022
130,995
374,310
289,436
794,741
Depreciation charged in the year
21,422
21,422
At 31 December 2022
152,417
374,310
289,436
816,163
Carrying amount
At 31 December 2022
3,418,683
3,418,683
At 31 December 2021
3,440,105
3,440,105
4
Fixed asset investments
2022
2021
£
£
Shares in group undertakings
200
200
5
Subsidiaries
Details of the company's subsidiaries at 31 December 2022 are as follows:
Name of undertaking
Address
Class of
% Held
shares held
Direct
The White Hart at Moorwood Moor Limited
1
Ordinary
100.00
The Horse and Jockey at Wessington Limited
1
Ordinary
100.00
Registered office addresses of both subsidiary undertakings are:
1
15 Clover Nook Road, Cotes Park Industrial Estate, Somercotes, Derbyshire, DE55 4RF
6
Debtors
2022
2021
Amounts falling due within one year:
£
£
Other debtors
288,944
289,800
Prepayments
347
288,944
290,147
BKJ LEISURE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 7 -
7
Creditors: amounts falling due within one year
2022
2021
£
£
Bank loans
90,075
1,708,924
Trade creditors
191
191
Corporation tax
13,958
Other taxation and social security
69
Other creditors
1,288,043
677,545
Accruals
4,175
3,840
1,396,511
2,390,500
Bank loans of £90,075 (2021: £1,508,926) are secured against the assets of the company.
8
Creditors: amounts falling due after more than one year
2022
2021
£
£
Bank loans
1,692,959
443,465
Other creditors
537,197
1,225,547
2,230,156
1,669,012
Bank loans of £1,692,959 (2021: £176,798) are secured against the assets of the company.
9
Share based payments
Certain employees of the group have been granted options over 5% of the company's issued equity share capital under a HMRC Enterprise Management Incentive Scheme, which are only exercisable under very limited circumstances. None of these options have been exercised.
BKJ LEISURE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 8 -
10
Related party transactions
The company has taken advantage of the exemption permitted by FRS 102 Section 1A Appendix C.34-36 "Related Party Disclosures" not to provide disclosures of transactions entered into with other wholly owned members of the group.
Included within other debtors, is an amount of £5,328 (2021: £150,000) owed from The Hurt Arms Ambergate Limited, a company in which B Johnson and K Johnson are directors.
Included within other debtors, is an amount of £270,416 (2021: £120,000) owed from BKJ Estate Limited, a company in which the directors' children are directors.
Included within other creditors, is an amount of £43,768 (2021: £87,221) owing to David Ashley Construction Limited, a company in which B Johnson is a director.
Included within other creditors, is an amount of £81,000 (2021: £Nil) owing to BKJ Construction Limited, a company in which B Johnson is a director.
Included within other creditors, is an amount of £330,000 (2021: £Nil) owing to The Hurt Arms Ambergate Limited, a company in which B Johnson and K Johnson are directors.
All transactions are on an arms length basis. No interest is due on the balances outstanding above.