OPENARCH HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
OpenArch Holdings Limited is a private company limited by shares and incorporated in England & Wales. Its registered office is The Grange, Market Street, Swavesey, Cambridge, Cambridgeshire, CB24 4QG.
The Company's functional and presentational currency is GBP.
2.ACCOUNTING POLICIES
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BASIS OF PREPARATION OF FINANCIAL STATEMENTS
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The following principal accounting policies have been applied:
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EXEMPTION FROM PREPARING CONSOLIDATED FINANCIAL STATEMENTS
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The Company, and the Group headed by it, qualify as small as set out in section 383 of the Companies Act 2006 and the parent and Group are considered eligible for the exemption to prepare consolidated accounts.
The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. In making this assessment the directors have considered the Company’s financial resources at the time of approving the financial statements, as well as anticipated future activity and financial results.
The global uncertainty caused by the turbulent socio-economic environment and subsequent general economic downturn has not had a significant negative impact on the Company since it operates as a holding company at the top of the OpenArch Group. However, the general economic downturn has had a negative impact on many of the Group's tenants across all rental sectors; commercial, residential and student. Despite this, occupancy remains high and efforts are being made to mitigate against cost increases. During the year a number of hedging arrangements have been entered into mitigating the risk of rising interest rates. These provide the directors with further comfort over the ongoing continuance of the Group. The directors have assessed the Company's liquidity requirements and are confident sufficient working capital is available to support any downturn in cash collection from tenants. The directors regularly review the liquidity position in order to safeguard the business during the current uncertainty and beyond.
On the basis of their review and given the Company’s strong net asset and cash position the directors believe they are well placed to manage the Company's business risks successfully in the current economic climate and remain satisfied that the going concern assessment is appropriate.
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue comprises income from shares in group undertakings, in the form of dividend income. Dividend income is recognised when they become legally payable.
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