Company registration number 13923817 (England and Wales)
MALMAINS FARM LIMITED
Unaudited Financial Statements
For The Period Ended 31 January 2023
Pages For Filing With Registrar
Malmains Farm Limited
MALMAINS FARM LIMITED
Contents
Page
Accountants' report
1
Balance sheet
2
Statement of changes in equity
3
Notes to the financial statements
4 - 7
Malmains Farm Limited
MALMAINS FARM LIMITED
Accountants' Report To The Board Of Directors On The Preparation Of The Unaudited Statutory Financial Statements Of Malmains Farm Limited For The Period Ended 31 January 2023
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Malmains Farm Limited for the Period ended 31 January 2023 which comprise, the balance sheet, the statement of changes in equity and the related notes 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 https://www.icaew.com/regulation.
This report is made solely to the board of directors of Malmains Farm Limited, as a body, in accordance with the terms of our engagement letter dated 18 October 2023. Our work has been undertaken solely to prepare for your approval the financial statements of Malmains Farm Limited and state those matters that we have agreed to state to the board of directors of Malmains Farm Limited, 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 Malmains Farm Limited and its board of directors as a body, for our work or for this report.
It is your duty to ensure that Malmains Farm Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Malmains Farm Limited. You consider that Malmains Farm Limited is exempt from the statutory audit requirement for the Period.
We have not been instructed to carry out an audit or a review of the financial statements of Malmains Farm Limited. 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 financial statements.
Chavereys
25 October 2023
Chartered Accountants
The Goods Shed
Jubilee Way
Faversham
Kent
England
ME13 8GD
Malmains Farm Limited
MALMAINS FARM LIMITED
Balance Sheet
As At 31 January 2023
31 January 2023
- 2 -
2023
Notes
£
£
Fixed assets
Investments
4
1,054,243
Current assets
Cash at bank and in hand
2
Creditors: amounts falling due within one year
5
(27,605)
Net current liabilities
(27,603)
Total assets less current liabilities
1,026,640
Provisions for liabilities
(164)
Net assets
1,026,476
Capital and reserves
Called up share capital
925,060
Profit and loss reserves
101,416
Total equity
1,026,476
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 Period ended 31 January 2023 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.
The members have not required the company to obtain an audit of its financial statements for the Period 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.
The financial statements were approved by the board of directors and authorised for issue on 22 October 2023 and are signed on its behalf by:
Mr TP Overy
Director
Company Registration No. 13923817
Malmains Farm Limited
MALMAINS FARM LIMITED
Statement Of Changes In Equity
For The Period Ended 31 January 2023
- 3 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 17 February 2022
-
Period ended 31 January 2023:
Profit and total comprehensive income for the period
-
101,416
101,416
Issue of share capital
925,060
-
925,060
Balance at 31 January 2023
925,060
101,416
1,026,476
Malmains Farm Limited
MALMAINS FARM LIMITED
Notes To The Financial Statements
For The Period Ended 31 January 2023
- 4 -
1
Accounting policies
Company information
Malmains Farm Limited is a private company limited by shares incorporated in England and Wales. The registered office is West Studdal Farm, West Studdal, Dover, Kent, England, CT15 5BJ.
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 amounts 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
Turnover
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the turnover can be reliably measured. Turnover is measured as the company's share of profits and losses from the unincorporated business in which it is a partner, excluding discounts, rebates, Value Added Tax and other sales taxes.
1.3
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
1.4
Cash and cash equivalents
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.
1.5
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.
Malmains Farm Limited
MALMAINS FARM LIMITED
Notes To The Financial Statements (Continued)
For The Period Ended 31 January 2023
1
Accounting policies
(Continued)
- 5 -
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.
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.
Basic financial liabilities
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 payments 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. Amounts 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.
1.6
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.7
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.
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.
Malmains Farm Limited
MALMAINS FARM LIMITED
Notes To The Financial Statements (Continued)
For The Period Ended 31 January 2023
1
Accounting policies
(Continued)
- 6 -
1.8
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.
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.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the Period was:
2023
Number
Total
2
4
Fixed asset investments
2023
£
Other investments other than loans
1,054,243
Movements in fixed asset investments
Investments
£
Cost or valuation
At 17 February 2022
-
Additions
1,054,243
At 31 January 2023
1,054,243
Carrying amount
At 31 January 2023
1,054,243
The investment represents the combined current and capital interests in an unincorporated farming partnership.
Malmains Farm Limited
MALMAINS FARM LIMITED
Notes To The Financial Statements (Continued)
For The Period Ended 31 January 2023
- 7 -
5
Creditors: amounts falling due within one year
2023
£
Corporation tax
26,105
Other creditors
1,500
27,605
6
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
2023
Balances:
£
£
Accelerated capital allowances
164
-
2023
Movements in the Period:
£
Liability at 17 February 2022
-
Charge to profit or loss
164
Liability at 31 January 2023
164
7
Indirect statutory demerger
During the year, the Overy (Farms) Limited undertook an indirect statutory demerger, in accordance with HMRC clearance received on 22 January 2021. On 5 April 2022, the relevant proportion of the assets from Overy (Farms) Limited (a company registered in England and Wales) were transferred to the company and the company issued the appropriate share capital.