Company Registration No. 09119378 (England and Wales)
SAPER LONGREACH LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2018
PAGES FOR FILING WITH REGISTRAR
SAPER LONGREACH LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
SAPER LONGREACH LIMITED
BALANCE SHEET
AS AT
31 MARCH 2018
31 March 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Investment properties
3
2,260,000
1,425,000
Investments
4
50
50
2,260,050
1,425,050
Current assets
Debtors
5
22,273
22,273
Cash at bank and in hand
22,544
18,875
44,817
41,148
Creditors: amounts falling due within one year
6
(169,154)
(156,269)
Net current liabilities
(124,337)
(115,121)
Total assets less current liabilities
2,135,713
1,309,929
Creditors: amounts falling due after more than one year
7
(1,015,257)
(1,067,952)
Provisions for liabilities
(154,471)
(19,753)
Net assets
965,985
222,224
Capital and reserves
Called up share capital
8
1
1
Other reserves
9
854,279
153,997
Profit and loss reserves
111,705
68,226
Total equity
965,985
222,224
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 31 March 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The director acknowledges his responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he member has 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.
SAPER LONGREACH LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2018
31 March 2018
- 2 -
The financial statements were approved and signed by the director and authorised for issue on 5 December 2018
P J McCarthy
Director
Company Registration No. 09119378
SAPER LONGREACH LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2018
- 3 -
1
Accounting policies
Company information
Saper Longreach Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Thames House, Longreach Road, Barking, Essex, IG11 0JR.
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 investment properties at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
The accounts have been prepared on a going concern basis despite net current liabilities of £124,289 (2017: £115,121) as the shareholders and creditors have confirmed their continuing financial support and the director expects to receive income to meet obligations as and when they fall due.
1.3
Turnover
Turnover represents
rent and service charges receivable net of VAT. These are included in the profit and loss account in the period in which they are due.
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 investment properties are measured at fair value. Gains and losses arising from changes in fair value of investment properties are included in the profit and loss account in the period in which they arise.
Fair value valuations are determined by the directors with the benefit of external professionals and available data on current market rents and rental yields for comparable local properties adjusted for any difference in nature, location or condition of the property.
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.
1.6
Cash at bank and in hand
Cash at bank and in hand
are basic financial assets
and
include deposits held at call with banks.
SAPER LONGREACH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
1
Accounting policies
(Continued)
- 4 -
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ 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, 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.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.
1.9
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. Such 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.
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled. 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.
SAPER LONGREACH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
1
Accounting policies
(Continued)
- 5 -
1.10
Joint Venture Arrangement not an Entity
The company's share of assets and liabilities in Joint Arrangements not Entities are included on a line by line basis.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 1 (2017 - 1).
3
Investment property
2018
£
Fair value
At 1 April 2017
1,425,000
Revaluations
835,000
At 31 March 2018
2,260,000
Investment property comprises freehold property. The fair value of the investment property
is based on
a valuation carried out in
M
arch 2018 by Glenny LLP, a firm of Chartered Surveyors. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
The investment property is held jointly with a pension fund of which the director is a member. The director has no reason to believe the pension fund would adversely affect any future sale of the property.
4
Fixed asset investments
2018
2017
£
£
Investments
50
50
5
Debtors
2018
2017
Amounts falling due within one year:
£
£
Other debtors
22,273
22,273
SAPER LONGREACH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
- 6 -
6
Creditors: amounts falling due within one year
2018
2017
£
£
Bank loans and overdrafts
53,000
53,000
Trade creditors
667
-
Amounts due to group undertakings
75,276
65,007
Corporation tax
10,199
10,272
Other taxation and social security
4,140
4,074
Other creditors
25,872
23,916
169,154
156,269
Bank loans are secured by a fixed charge on investment property and a floating charge over the assets of the company.
7
Creditors: amounts falling due after more than one year
2018
2017
Notes
£
£
Bank loans and overdrafts
1,015,257
1,067,952
Bank loans are secured by a fixed charge on investment property and a floating charge over the assets of the company.
Amounts included above which fall due after five years are as follows:
Payable by instalments
803,257
855,953
8
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
100 Ordinary shares of 1p each
1
1
1
1
SAPER LONGREACH LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2018
- 7 -
9
Other reserves
Fair value revaluation reserve
£
Balance at 1 April 2016
-
Other movements
153,997
Balance at 31 March 2017
153,997
Other movements
700,282
Balance at 31 March 2018
854,279
Fair value revaluation reserve is net of deferred taxation.
10
Financial commitments, guarantees and contingent liabilities
The company and Saper Glass Industries Limited, the parent company, have provided cross guarantees for each other liabilities with the bank. At the year end, Saper Glass Industries Limited owed the bank £342,508 (2017: £332,007)
11
Operating lease commitments
Lessor
At the reporting end date the company had contracted with tenants for the following minimum lease payments:
2018
2017
£
£
185,585
272,783
12
Events after the reporting date
In May 2018, the company refinanced bank loans of £1
,015,257
to £
1
,
25
0,000 with Metro bank for a term of 10 years at
4.1% p.a
. Payments in the first year will be for interest only with capital repayments thereafter and a one off £
0
.
8
m payment at the end of the term.
It also provided its investment property as security to Metro Bank for Saper Glass Industries Limited's, the parent company's, overdraft facility.
13
Parent company
The ultimate parent company is Saper Glass Industries Limited, a company registered in England and Wales.