Company Registration No. 09420378 (England and Wales)
Glentrool Land (Sherburn 2) Limited
Unaudited Financial Statements
For The Year Ended 31 March 2021
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
BALANCE SHEET
AS AT
31 MARCH 2021
31 March 2021
- 1 -
2021
2020
Notes
£
£
£
£
Fixed assets
Investment properties
4
4,130,000
4,130,000
Investments
5
1,100
1,100
4,131,100
4,131,100
Current assets
Stocks
7
33,429,293
33,318,522
Debtors falling due after one year
8
989,075
415,086
Debtors falling due within one year
8
51,584
85,486
Cash at bank and in hand
130,319
139,205
34,600,271
33,958,299
Creditors: amounts falling due within one year
9
(246,516)
(822,252)
Net current assets
34,353,755
33,136,047
Total assets less current liabilities
38,484,855
37,267,147
Creditors: amounts falling due after more than one year
10
(42,494,987)
(40,919,918)
Provisions for liabilities
(770,200)
(770,200)
Net liabilities
(4,780,332)
(4,422,971)
Capital and reserves
Called up share capital
1,000
1,000
Profit and loss reserves
(4,781,332)
(4,423,971)
Total equity
(4,780,332)
(4,422,971)
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2021
31 March 2021
- 2 -
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 March 2021 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.
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.
The financial statements were approved by the board of directors and authorised for issue on 2 November 2021 and are signed on its behalf by:
Mr P R Nolan
Director
Company Registration No. 09420378
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
- 3 -
1
Accounting policies
Company information
Glentrool Land (Sherburn 2) Limited is a
private
company
limited by shares
incorporated in
England and Wales
.
The registered office is
8 Wells Promenade, Ilkley, LS29 9LF.
1.1
Accounting convention
These financial statements have been prepared in accordance with 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 £
1
.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The ultimate parent company is
Glentrool Land and Estates Limited
. The registered office of
Glentrool Land and Estates Limited
is 8 Wells Promenade, Ilkley, West Yorkshire, United Kingdom, LS29 9LF.
The group comprises a small group and as such is exempt from preparing group accounts.
1.2
Going concern
The directors have considered all factors, including in the wider economy, as part of their assessment of going concern. Although the current economic climate creates both cashflow and profitability risks for the company, the directors believe on balance that they have sufficient resources to enable trading to continue for a period of at least one year from the date of approval of the financial statements, on the basis of information currently available to them as at the point of approving these. Accordingly, these financial statements have been prepared on the going concern basis.
true
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for 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.
Rental income is recognised on a straight line basis across the period of the rental contract, with revenues accrued or deferred as appropriate to match revenues to this straight line accruals basis.
In the case of long term contracts, turnover reflects the contract activity during the year and represents a proportion of total contract value consistent with the actual stage of completion of the work.
Where losses are anticipated on a contract, this loss is provided for in full from the point at which the loss is first anticipated, and unwound as the loss is recognised.
1.4
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated
amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life.
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
1
Accounting policies
(Continued)
- 4 -
1.5
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.
Changes in fair value are recognised in profit or loss.
1.6
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities 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.
1.7
Stocks
Stocks
, representing commercial property developments,
are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises
direct expenditure on property, legal fees required in obtaining development status, and third party financing costs.
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. Reversals of impairment losses are also recognised in profit or loss.
1.8
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.
1.9
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other 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.
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
1
Accounting policies
(Continued)
- 5 -
Impairment of financial assets
Financial assets, other than those
held
at
fair value through profit and loss
, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected.
If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when
the company
transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
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 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.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations
expire or are discharged or cancelled.
1.10
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.
1.11
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
1
Accounting policies
(Continued)
- 6 -
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.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2021
2020
Number
Number
Total
4
4
3
Intangible fixed assets
Goodwill
£
Cost
At 1 April 2020 and 31 March 2021
3
Amortisation and impairment
At 1 April 2020 and 31 March 2021
3
Carrying amount
At 31 March 2021
At 31 March 2020
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
- 7 -
4
Investment property
2021
£
Fair value
At 1 April 2020 and 31 March 2021
4,130,000
Investment property comprises
14 acres of land. The land was valued at the year end by the directors and the fair value is deemed to be equal to the historic cost. Investment property is held as security against loans held by group company, Glentrool Estates Group Limited
5
Fixed asset investments
2021
2020
£
£
Shares in group undertakings and participating interests
1,100
1,100
6
Subsidiaries
Details of the company's subsidiaries at 31 March 2021 are as follows:
Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Glentrool Development (No.2) Limited
England and Wales
Property development
Shares
100.00
Glentrool Development (No.1) Limited
England and Wales
Property development
Shares
100.00
The registered office of the above compan
ies
is
the same as that of this company.
7
Stocks
2021
2020
£
£
Stocks
33,429,293
33,318,522
Stocks with a carrying amount of £33,
391,793
(
2020 -
£3
3,281,022
) have been pledged as security against the
fixed charges of group debts as well as the
floating charges held against the intercompany loan balance to Glentrool Land and Estates Limited, which is the ultimate parent company, as stated in note
10
. The company is not allowed to pledge these assets as security for other borrowings or to sell them to another entity.
GLENTROOL LAND (SHERBURN 2) LIMITED
Glentrool Land (Sherburn 2) Limited
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
- 8 -
8
Debtors
2021
2020
Amounts falling due within one year:
£
£
Trade debtors
43,590
71,541
Other debtors
7,994
13,945
51,584
85,486
2021
2020
Amounts falling due after more than one year:
£
£
Other debtors
17,399
17,399
Deferred tax asset
971,676
397,687
989,075
415,086
Total debtors
1,040,659
500,572
9
Creditors: amounts falling due within one year
2021
2020
£
£
Trade creditors
23,135
61,408
Amounts owed to group undertakings
610,818
Taxation and social security
102,428
13,419
Other creditors
120,953
136,607
246,516
822,252
10
Creditors: amounts falling due after more than one year
2021
2020
£
£
Amounts owed to group undertakings
42,494,987
38,041,109
Other creditors
2,878,809
42,494,987
40,919,918
Included in amounts due to group undertakings is £
41,
114,619 (2020 - £38,041,109) which is secured against the assets of the company as stated in notes
4
and
7
.
11
Related party transactions
The company has taken advantage of the disclosure exemptions of Section 33.1A of FRS 102 which permit it to not present details of its transactions with members of the group headed by Glentrool Land And Estates Limited where relevant group companies are all wholly owned.