Registration number:
Davies Johnson Ltd
for the Year Ended 28 February 2017
Chartered Accountants
166 College Road
Harrow
Middlesex
HA1 1BH
Davies Johnson Ltd
Contents
Company Information |
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Accountants' Report |
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Balance Sheet |
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Notes to the Financial Statements |
Davies Johnson Ltd
Company Information
Director |
Kate Davies |
Company secretary |
Nick Johnson |
Registered office |
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Accountants |
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Page 1 |
Chartered Accountants' Report to the Director on the Preparation of the Unaudited Statutory Accounts of
Davies Johnson Ltd
for the Year Ended 28 February 2017
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Davies Johnson Ltd for the year ended 28 February 2017 as set out on pages 3 to 9 from the company's accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at
http://www.icaew.com/en/members/regulations-standards-and-guidance/.
This report is made solely to the Board of Directors of Davies Johnson Ltd, as a body, in accordance with the terms of our engagement letter dated 27 February 2009. Our work has been undertaken solely to prepare for your approval the accounts of Davies Johnson Ltd and state those matters that we have agreed to state to the Board of Directors of Davies Johnson Ltd, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Davies Johnson Ltd and its Board of Directors as a body for our work or for this report.
It is your duty to ensure that Davies Johnson Ltd has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and loss of Davies Johnson Ltd. You consider that Davies Johnson Ltd is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the accounts of Davies Johnson Ltd. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.
......................................
Chartered Accountants
Harrow
Middlesex
HA1 1BH
Page 2 |
Davies Johnson Ltd
(Registration number: 05723532)
Balance Sheet as at 28 February 2017
Note |
2017 |
2016 |
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Fixed assets |
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Tangible assets |
- |
|
|
Investment property |
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|
|
|
|
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Current assets |
|||
Cash at bank and in hand |
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|
|
Creditors: Amounts falling due within one year |
( |
( |
|
Net current liabilities |
( |
( |
|
Total assets less current liabilities |
( |
|
|
Provisions for liabilities |
- |
( |
|
Net (liabilities)/assets |
( |
|
|
Capital and reserves |
|||
Called up share capital |
|
|
|
Profit and loss account |
( |
|
|
Total equity |
( |
|
For the financial year ending 28 February 2017 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Director's responsibilities:
• |
|
• |
The director acknowledges her responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.
Approved and authorised by the
.........................................
Kate Davies
Director
Page 3 |
Davies Johnson Ltd
Notes to the Financial Statements for the Year Ended 28 February 2017
General information |
The company is a private company limited by share capital, incorporated in England.
The address of its registered office is:
England
The principal place of business is:
2nd Floor
145-157 St John Street
London
EC1V 4PY
United Kingdom
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Page 4 |
Davies Johnson Ltd
Notes to the Financial Statements for the Year Ended 28 February 2017
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Fixtures and fittings |
25% straight line |
Investment property
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Asset class |
Amortisation method and rate |
Development costs |
10% straight line |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Page 5 |
Davies Johnson Ltd
Notes to the Financial Statements for the Year Ended 28 February 2017
Intangible assets |
Development costs |
Total |
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Cost or valuation |
||
At 1 March 2016 |
|
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At 28 February 2017 |
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Amortisation |
||
At 1 March 2016 |
|
|
At 28 February 2017 |
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Carrying amount |
||
At 28 February 2017 |
- |
- |
Tangible assets |
Fixtures and fittings |
Total |
|
Cost or valuation |
||
At 1 March 2016 |
|
|
At 28 February 2017 |
|
|
Depreciation |
||
At 1 March 2016 |
|
|
Charge for the year |
|
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At 28 February 2017 |
|
|
Carrying amount |
||
At 28 February 2017 |
- |
- |
At 29 February 2016 |
|
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Page 6 |
Davies Johnson Ltd
Notes to the Financial Statements for the Year Ended 28 February 2017
Investment properties |
2017 |
|
At 1 March |
|
Additions |
|
Disposals |
( |
Fair value adjustments |
|
At 28 February |
|
The freehold investment property was acquired on 1st June 2012, The property was revalued at open market value of £860,000 by Simon Aldous MRICS for and on behalf of Savills - Chartered Surveyors on 27 February 2017.
Creditors |
Creditors: amounts falling due within one year
2017 |
2016 |
|
Due within one year |
||
Trade creditors |
- |
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Taxation and social security |
|
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Accruals and deferred income |
|
- |
Other creditors |
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|
|
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Share capital |
Allotted, called up and fully paid shares
2017 |
2016 |
|||
No. |
£ |
No. |
£ |
|
|
|
1 |
|
1 |
Page 7 |
Davies Johnson Ltd
Notes to the Financial Statements for the Year Ended 28 February 2017
Related party transactions |
Other related party transactions
During the year the company made the following related party transactions:
Nick Johnson
(Company secretary)
During the year Nick Johnson provided further loans of £338,220 to the company. During the year, the company transferred one of the Investment Properties - Plot 7 Lakeshore Reserve, Lower Mill Estate to Nick Johnson (secretary) and Kate Davies (director) at an open market value of £700,000 which was valued by Christopher Poole MRICS from Savills. This transfer took place as part of the repayment of the outstanding loan balance due to Nick Johnson from the company. During the year, Interest was payable by the company at an annual rate of 8% to Nick Johnson. The maximum amount outstanding to Nick Johnson during the year was £1,754,810. At the balance sheet date, the amount due to Nick Johnson was £1,091,976 (2015 - £1,463,660).
During the year, Nick Johnson rented one of the investment properties - 107 Sussex Gardens, London from the company at an open market rental value of £1,800 per month.
Transition to FRS 102 |
Balance Sheet at 1 March 2015
As originally reported |
Reclassification |
Remeasurement |
As restated |
|
Fixed assets |
||||
Intangible assets |
1,440 |
- |
- |
1,440 |
Investment property |
1,288,876 |
- |
(268,876) |
1,020,000 |
1,290,316 |
- |
(268,876) |
1,021,440 |
|
Capital and reserves |
||||
Profit and loss account |
282,375 |
- |
(268,876) |
13,499 |
Total equity |
282,375 |
- |
(268,876) |
13,499 |
Page 8 |
Davies Johnson Ltd
Notes to the Financial Statements for the Year Ended 28 February 2017
Balance Sheet at 29 February 2016
As originally reported |
Reclassification |
Remeasurement |
As restated |
|
Fixed assets |
||||
Intangible assets |
959 |
- |
(959) |
- |
Investment property |
1,484,460 |
- |
15,540 |
1,500,000 |
1,485,419 |
- |
14,581 |
1,500,000 |
|
Capital and reserves |
||||
Profit and loss account |
48,315 |
- |
14,581 |
62,896 |
Total equity |
48,315 |
- |
14,581 |
62,896 |
Page 9 |