Company Registration No. SC135351 (Scotland)
HEATHER FISHING COMPANY LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
PAGES FOR FILING WITH REGISTRAR
HEATHER FISHING COMPANY LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 9
HEATHER FISHING COMPANY LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2019
31 December 2019
- 1 -
2019
2018
Notes
£
£
£
£
Fixed assets
Intangible assets
3
5,812,487
6,425,707
Tangible assets
4
5,547,702
5,844,519
Investments
5
15,000
174,171
11,375,189
12,444,397
Current assets
Debtors
6
273,941
41,362
Cash at bank and in hand
2,420,403
1,067,939
2,694,344
1,109,301
Creditors: amounts falling due within one year
7
(1,732,267)
(1,600,928)
Net current assets/(liabilities)
962,077
(491,627)
Total assets less current liabilities
12,337,266
11,952,770
Creditors: amounts falling due after more than one year
8
(4,728,753)
(5,415,456)
Provisions for liabilities
(389,135)
(402,342)
Net assets
7,219,378
6,134,972
Capital and reserves
Called up share capital
672,001
672,001
Share premium account
1,060,281
1,060,281
Capital redemption reserve
141,617
141,617
Profit and loss reserves
5,345,479
4,261,073
Total equity
7,219,378
6,134,972
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 2019 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 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.
HEATHER FISHING COMPANY LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 DECEMBER 2019
31 December 2019
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 9 November 2020 and are signed on its behalf by:
W A HUNTER
W A Hunter
Director
Company Registration No. SC135351
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
- 3 -
1
Accounting policies
Company information
Heather Fishing Company Limited is a
private
company
limited by shares
incorporated in Scotland.
The registered office is
Denholm Fishselling Limited, Units 1 & 2, Old School, Cawdor, Nairn, Scotland, IV12 5BL.
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. The principal accounting policies adopted are set out below.
1.2
Going concern
The directors, having made due and careful enquiry, are of the opinion that the company has
true
adequate working capital to execute its operations over the next 12 months. The directors, therefore,
have made an informed judgement, at the time of approving the financial statements, that there is a
reasonable expectation that the company has adequate resources to continue in operational
existence for the foreseeable future. As a result, the directors have continued to adopt the going
concern basis of accounting in preparing the annual financial statements.
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.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer
(usually on dispatch of the goods)
, the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
1.4
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date
where
it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the
fair
value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 4 -
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fishing licence & quota
6.67% straight line
1.5
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold property
2% straight line
Plant and equipment
5% and 20% straight line
Motor vehicles
20% straight line
Vessels
5% 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
.
1.6
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
Cash at bank and in hand
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 only enters into basic financial instruments transactions that result in the recognition of
financial assets and liabilities like trade and other debtors and creditors and loans from related
parties. These are measured at amortised cost and are assessed at the end of each reporting period
for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss
is recognised in the Statement of comprehensive income.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 5 -
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.
1.10
Provisions
Provisions are recognised when the
company
has a legal or constructive present obligation as a result of a past event, it is probable that the
company
will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation.
Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision i
s
measured at present value
,
the unwinding of the discount is recognised as a finance cost in profit or loss in the period
in which
it arises.
1.11
Government grants
Government grants are recognised at the fair value of the asset receive
d
or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met
. Where a
grant does not specify performance conditions
it
is recognised in income when the proceeds are received or receivable
. A grant received before the recognition criteria are satisfied is recognised as a liability.
1.12
Interest income is recognised in the Statement of comprehensive income using the effective interest
method.
1.13
Finance costs are charged to the Statement of comprehensive income over the term of the debt
using the effective interest method so that the amount charged is at a constant rate on the carrying
amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital
instrument.
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 6 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2019
2018
Number
Number
Total
5
4
3
Intangible fixed assets
Fishing licence & quota
£
Cost
At 1 January 2019 and 31 December 2019
9,342,199
Amortisation and impairment
At 1 January 2019
2,916,492
Amortisation charged for the year
613,220
At 31 December 2019
3,529,712
Carrying amount
At 31 December 2019
5,812,487
At 31 December 2018
6,425,707
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 7 -
4
Tangible fixed assets
Freehold property
Plant and equipment
Motor vehicles
Vessels
Total
£
£
£
£
£
Cost
At 1 January 2019
85,395
700,963
94,617
6,288,793
7,169,768
Additions
-
63,708
62,072
-
125,780
Disposals
-
-
(29,606)
-
(29,606)
At 31 December 2019
85,395
764,671
127,083
6,288,793
7,265,942
Depreciation and impairment
At 1 January 2019
28,530
224,178
64,617
1,007,924
1,325,249
Depreciation charged in the year
1,708
70,740
20,753
314,440
407,641
Eliminated in respect of disposals
-
-
(14,650)
-
(14,650)
At 31 December 2019
30,238
294,918
70,720
1,322,364
1,718,240
Carrying amount
At 31 December 2019
55,157
469,753
56,363
4,966,429
5,547,702
At 31 December 2018
56,865
476,785
30,000
5,280,869
5,844,519
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 8 -
5
Fixed asset investments
Shares in subsidiary undertakings
£
Cost or valuation
At 1 January 2019
174,171
Additions
15,000
Disposals
(174,171)
At 31 December 2019
15,000
Carrying amount
At 31 December 2019
15,000
At 31 December 2018
174,171
6
Debtors
2019
2018
Amounts falling due within one year:
£
£
Other debtors
258,175
26,449
Prepayments and accrued income
15,766
14,913
273,941
41,362
7
Creditors: amounts falling due within one year
2019
2018
£
£
Bank loans and overdrafts
9
723,536
752,897
Trade creditors
233,242
71,223
Corporation tax
123,522
126,108
Other creditors
622,785
622,785
Accruals and deferred income
29,182
27,915
1,732,267
1,600,928
8
Creditors: amounts falling due after more than one year
2019
2018
Notes
£
£
Bank loans and overdrafts
9
4,721,142
5,407,609
Government grants
7,611
7,847
4,728,753
5,415,456
HEATHER FISHING COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 9 -
9
Loans and overdrafts
2019
2018
£
£
Bank loans
5,392,858
6,103,493
Bank overdrafts
51,820
57,013
5,444,678
6,160,506
Payable within one year
723,536
752,897
Payable after one year
4,721,142
5,407,609
The bank borrowings are secured by a ships mortgage over the vessels, together with a bond and floating charge over all assets of the company.
The company has three bank loans.
The first bank loan has a repayment date of 20 December 2024, interest is charged at 2.32% over base.
The second bank loan has a repayment date of 13 April 2024, interest is charged at 2.32% over base.
The third bank loan has a repayment date of 20 December 2022, interest is charged at 2.50% over base.
10
Related party transactions
At the year end there were amounts due by the company to a director of £1,987 (2018 - £1,987).
At the year end there were amounts due by the company to a shareholder of £23,971 (2018 - £23,971).
At the year end there were amounts due by the company to a company with a mutual director of £342,993 (2018 - £342,993).
At the year end there were amounts due to companies with a mutual director and shareholder of £169,222 (2018 - £169,222).
At the year end there were amounts due to a company with a mutual shareholder of £84,612 (2018 - £84,612).