Company Registration No. SC506067 (Scotland)
GOODGRUN LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2021
PAGES FOR FILING WITH REGISTRAR
GOODGRUN LTD
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
GOODGRUN LTD
BALANCE SHEET
AS AT 31 MAY 2021
31 May 2021
- 1 -
2021
2020
Notes
£
£
£
£
Fixed assets
Intangible assets
3
1
2
Tangible assets
4
18,956
34,574
Investment properties
5
475,675
434,076
494,632
468,652
Current assets
Stocks
6
7,341,103
7,132,380
Debtors
7
110,295
4,240
Cash at bank and in hand
326,566
393,830
7,777,964
7,530,450
Creditors: amounts falling due within one year
8
(6,460,007)
(6,131,604)
Net current assets
1,317,957
1,398,846
Total assets less current liabilities
1,812,589
1,867,498
Creditors: amounts falling due after more than one year
9
(42,500)
-
Net assets
1,770,089
1,867,498
Capital and reserves
Called up share capital
10
4,289,000
4,289,000
Revaluation reserve
42,734
42,734
Profit and loss reserves
(2,561,645)
(2,464,236)
Total equity
1,770,089
1,867,498
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 May 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 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.
GOODGRUN LTD
BALANCE SHEET (CONTINUED)
AS AT 31 MAY 2021
31 May 2021
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 25 February 2022 and are signed on its behalf by:
E R TAWSE
Mrs E R Tawse
Director
Company Registration No. SC506067
GOODGRUN LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2021
- 3 -
1
Accounting policies
Company information
Goodgrun Ltd is a
private
company
limited by shares
incorporated in
Scotland
.
The registered office is
Union Plaza (6th Floor), 1 Union Wynd, Aberdeen, AB10 1DQ.
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 £.
1.2
Going concern
The directors, having made due and careful enquiry, are of the opinion that the company has 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.
true
The directors remain confident that the company can cover ongoing commitments until the completion of the commercial and residential property development project. Whilst there have been
delays arising from the downturn in the local economy and operational issues the directors expect to make further progress with the development in the next 12 months. An assessment has been made on the availability of the cash at bank and is forecast that there will be sufficient funds to allow the company to continue to meet its
o
bligations as they fall due and operate as a going concern.
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.
Revenue from rental income is recognised in the period in which it relates to.
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 - goodwill
Goodwill represents the difference between amounts paid on the cost of a business combination and
the acquirer’s interest in the fair value of its identifiable assets and liabilities of the acquiree at the
date of acquisition. Subsequent to initial recognition, Goodwill is measured at cost less accumulated
amortisation and accumulated impairment losses. Goodwill is amortised on a straight line basis to the
Statement of comprehensive income over its useful economic life.
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.
GOODGRUN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2021
1
Accounting policies
(Continued)
- 4 -
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:
Plant and equipment
20% straight line
Office equipment
25% straight line
Motor vehicles
25% 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
Investment properties
Investment property is carried at fair value determined annually by
the directors
and derived from
the current market rents and investment property yields for comparable real estate, adjusted if
necessary for any difference in the nature, location or condition of the specific asset. No depreciation
is provided. Changes in fair value are recognised in the Statement of comprehensive income.
1.7
Stocks and work in progress
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
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 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.
1.9
Financial instruments
The company only enters into basic financial transactions that result in the recognition of the financial assets and liabilities like trade and other debtors and creditors. These are measured at amortised cost and 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.
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.
GOODGRUN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2021
1
Accounting policies
(Continued)
- 5 -
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
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
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation
in the period
are included in profit or loss.
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.
1.14
Interest income is recognised in the Statement of comprehensive income using the effective interest
method.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2021
2020
Number
Number
Total
3
3
GOODGRUN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2021
- 6 -
3
Intangible fixed assets
Goodwill
£
Cost
At 1 June 2020 and 31 May 2021
5
Amortisation and impairment
At 1 June 2020
3
Amortisation charged for the year
1
At 31 May 2021
4
Carrying amount
At 31 May 2021
1
At 31 May 2020
2
4
Tangible fixed assets
Plant and equipment
Office equipment
Motor vehicles
Total
£
£
£
£
Cost
At 1 June 2020 and 31 May 2021
103,967
958
14,785
119,710
Depreciation and impairment
At 1 June 2020
75,864
140
9,132
85,136
Depreciation charged in the year
12,553
239
2,826
15,618
At 31 May 2021
88,417
379
11,958
100,754
Carrying amount
At 31 May 2021
15,550
579
2,827
18,956
At 31 May 2020
28,103
818
5,653
34,574
5
Investment property
2021
£
Fair value
At 1 June 2020
434,076
Additions
41,599
At 31 May 2021
475,675
The 20
2
1 valuations were made by the directors on an open market value basis. The directors consider that there has been no material change in property values at the year end.
GOODGRUN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2021
- 7 -
6
Stocks
2021
2020
£
£
Land stocks
7,341,103
7,132,380
7
Debtors
2021
2020
Amounts falling due within one year:
£
£
Trade debtors
99,800
925
Other debtors
10,495
3,315
110,295
4,240
8
Creditors: amounts falling due within one year
2021
2020
£
£
Bank loans
7,500
-
Trade creditors
40,446
19,155
Other creditors
5,105,693
4,810,451
Accruals and deferred income
1,306,368
1,301,998
6,460,007
6,131,604
9
Creditors: amounts falling due after more than one year
2021
2020
£
£
Bank loans and overdrafts
42,500
-
10
Called up share capital
2021
2020
2021
2020
Ordinary share capital
Number
Number
£
£
Issued and fully paid
A Ordinary Shares of £1 each
857,798
857,798
857,800
857,800
B Ordinary Shares of £1 each
3,431,200
3,431,200
3,431,200
3,431,200
4,288,998
4,288,998
4,289,000
4,289,000
GOODGRUN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2021
- 8 -
11
Related party transactions
During the year, the company made repayments to the directors of £200,879, credits were made of £418,356 and interest charged on the loans per annum of £81,500 (2020 - £
82
,
5
00) resulting in amounts due by the company at the year end of £4,944,558 (2020
-
£4,808,581). This loan is repayable upon demand.