Company Registration No. 07085027 (England and Wales)
AIRFAIR COMPENSATION LIMITED
FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 5 JULY 2018
PAGES FOR FILING WITH REGISTRAR
AIRFAIR COMPENSATION LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
AIRFAIR COMPENSATION LIMITED
BALANCE SHEET
AS AT
05 JULY 2018
05 July 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Tangible assets
3
26,455
37,811
Current assets
Debtors
4
129,327
89,984
Cash at bank and in hand
202,310
100,163
331,637
190,147
Creditors: amounts falling due within one year
5
(1,039,958)
(1,128,689)
Net current liabilities
(708,321)
(938,542)
Total assets less current liabilities
(681,866)
(900,731)
Capital and reserves
Called up share capital
6
4
4
Profit and loss reserves
(681,870)
(900,735)
Total equity
(681,866)
(900,731)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
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
28 May 2019
and are signed on its behalf by:
S Bell
Director
Company Registration No. 07085027
AIRFAIR COMPENSATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 5 JULY 2018
- 2 -
1
Accounting policies
Company information
Airfair Compensation Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Suite 121, 15-17 Caledonian Road, London, N1 9DX.
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
Reporting period
The reporting period in the
current
period, was shortened to
6
months
and 5 days
ended
5 July 2018
for commercial reasons. Therefore the prior
year
financial statements (including the related notes) for the
year
from 1
January
2017 to 31 December 2017 are not entirely comparable.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable
for services rendered stated net of discounts and Value Added Tax.
1.4
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:
Plant and equipment
33.3% 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
.
1.5
Impairment of fixed assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
AIRFAIR COMPENSATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 5 JULY 2018
1
Accounting policies
(Continued)
- 3 -
1.6
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ 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.
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.
AIRFAIR COMPENSATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 5 JULY 2018
1
Accounting policies
(Continued)
- 4 -
Basic financial liabilities
Basic financial liabilities, including creditors,
and
loans from
fellow group companies, 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.
1.7
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received, if considered material to the financial statements.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.8
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.9
Leases
Rentals payable under operating leases,
including
any lease incentives received, are charged to
profit or loss
on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the lease
s
asset are consumed.
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was 17 (2017 - 14).
AIRFAIR COMPENSATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 5 JULY 2018
- 5 -
3
Tangible fixed assets
Plant and equipment
£
Cost
At 1 January 2018 and 5 July 2018
67,020
Depreciation and impairment
At 1 January 2018
29,209
Depreciation charged in the period
11,356
At 5 July 2018
40,565
Carrying amount
At 5 July 2018
26,455
At 31 December 2017
37,811
4
Debtors
2018
2017
Amounts falling due within one year:
£
£
Trade debtors
115,394
-
Other debtors
13,933
89,984
129,327
89,984
5
Creditors: amounts falling due within one year
2018
2017
£
£
Trade creditors
658,643
923
Amounts owed to group undertakings
113,286
462,499
Corporation tax
196
74
Other taxation and social security
27,753
44,978
Other creditors
240,080
620,215
1,039,958
1,128,689
6
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
4 Ordinary shares of £1 each
4
4
AIRFAIR COMPENSATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 5 JULY 2018
- 6 -
7
Events after the reporting date
Post year end, on
29
May
201
9
,
Allay (UK) Ltd, the ultimate parent company, sold 100% of its shareholding in Allay Travel Ltd, the immediate parent company.
8
Related party transactions
The company is a wholly owned subsidiary and has taken advantage of the exemption permitted by Section 33 Related Party Disclosures not to provide disclosures of transactions entered into with other wholly owned members of the group.
9
Parent company
At the reporting date, t
he company's immediate parent undertaking is
Allay Travel Lt
d, a company incorporated in England and Wales.
At the reporting date, t
he company's ultimate parent undertaking is
Allay (UK)
L
td.
a company incorporated in England and Wales.
10
Audit report information
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.
The senior statutory auditor was Paul Gainford.
The auditor was RMT Accountants & Business Advisors Ltd.