Barnfield & Hyndburn Limited is a private company limited by shares incorporated in England and Wales. The registered office is Kenyon Road, Lomeshaye Industrial Estate, Nelson, Lancashire, BB9 5SP.
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.
The immediate parent company is Barnfield Contractors (UK) Limited, a company registered in England and Wales.
The company's ultimate parent company is Barnfield Group Limited, a company registered in England and Wales.
Barnfield Group Limited prepare group financial statements and these can be obtained from Kenyon Road, Lomeshaye Industrial Estate, Nelson, Lancashire BB9 5SP.
The company finances its operations by means of a bank loan. The directors are not aware of any reason why the bank loan will not be maintained at it's current level. As a result the directors have continued to adopt the going concern basis in preparing the financial statements.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of work in progress 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.
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.
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares 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.
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
The average monthly number of persons (including directors) employed by the company during the year was 5 (2016 - 5).
Investment property comprises of rental property in Great Harwood. The fair value of the investment property has been established by the directors at 31 December 2017 on an open market value basis. On an historical cost basis the property would have been included in the accounts at its original cost of £1,411,751 (2016 - £520,751).
The bank loans and overdrafts are secured by a fixed, floating and legal charge over the company's land and buildings at Norden Court and Union Court, Great Harwood, Lancashire.
As the income statement has been omitted from the filing copy of the financial statements the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006 :
The auditor's report was unqualified.
Company director Mr T J H Webber is also a director and shareholder of fellow subsidiary Barnfield Construction Limited and one of the partners of the Barnfield & Hyndburn Partnership.
Hyndburn Borough Council is also a shareholder of the company.
At 31 December 2017 the following balances were owed to and from this company and related entities:
Barnfield Construction Limited – Fellow subsidiary company
At 31 December 2017 the company owed £350,000 (2016: £350,000) to Barnfield Construction Limited. During the year the company was charged a management fee of £10,000 (2016: £10,000), interest on the outstanding loan of £10,564 (2016: £10,093) and other expenses of £Nil (2015: £468).
Barnfield & Hyndburn Partnership – Connected entity
At 31 December 2017 the company was owed £1,025,000 (2016: £975,000) from the Barnfield & Hyndburn Partnership. The company charged interest on this loan of £30,443 (2016: £51,789) to the Barnfield & Hyndburn Development Partnership in the year.
Hyndburn Borough Council - Shareholder
At 31 December 2017 the company owed £150,000 (2016: £150,000) and was owed £3 (2016: £3) from Hyndburn Borough Council.
In the opinion of the directors there were no other material transactions which require disclosure under the Financial Reporting Standard 102.