1 February 2022 v2023.25.1 limited_company_frs_102_section_1a_v1_1_0 companies_houseSoftwarefalsetruetruetrueNo description of principal activitytruexbrli:purexbrli:sharesiso4217:GBPNI0025182022-02-012023-01-31NI0025182023-01-31NI0025182022-01-31NI002518core:WithinOneYear2023-01-31NI002518core:WithinOneYear2022-01-31NI002518core:ShareCapital2023-01-31NI002518core:ShareCapital2022-01-31NI002518core:RevaluationReserve2023-01-31NI002518core:RevaluationReserve2022-01-31NI002518core:RetainedEarningsAccumulatedLosses2023-01-31NI002518core:RetainedEarningsAccumulatedLosses2022-01-31NI002518bus:Director12022-02-012023-01-31NI002518bus:RegisteredOffice2022-02-012023-01-31NI0025182021-02-012022-01-31NI002518core:LandBuildings2023-01-31NI002518core:LandBuildings2022-01-31NI00251812022-02-012023-01-31NI002518countries:NorthernIreland2022-02-012023-01-31NI002518bus:AuditExemptWithAccountantsReport2022-02-012023-01-31NI002518bus:PrivateLimitedCompanyLtd2022-02-012023-01-31NI002518bus:SmallEntities2022-02-012023-01-31NI002518bus:FullAccounts2022-02-012023-01-31NI002518bus:Director22022-02-012023-01-31
Company registration number:
NI002518
J.C. Patterson (Lisburn) Limited
Unaudited Filleted Financial Statements for the year ended
31 January 2023
J.C. Patterson (Lisburn) Limited
Chartered accountant's report to the board of directors on the unaudited statutory financial statements of J.C. Patterson (Lisburn) Limited
Year ended
31 January 2023
In accordance with the engagement letter dated 16 March 2019, and in order to assist you to fulfil your duties under the Companies Act 2006, we have compiled the
financial statements
of the company which comprise the income statement, statement of income and retained earnings, statement of financial position and related notes from the accounting records and information and explanations you have given to us.
This report is made to the Company’s Board of Directors, as a body, in accordance with the terms of our engagement. Our work has been undertaken so that we might compile the
financial statements
that we have been engaged to compile, report to the Company’s Board of Directors that we have done so, and state those matters that we have agreed to state to them in this report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company’s Board of Directors, as a body, for our work, or for this report.
We have carried out this engagement in accordance with guidance issued by the Institute of Chartered Accountants in Ireland and have complied with the Code of Ethics for Members published by the Institute relating to members undertaking the compilation of
financial statements
.
You have acknowledged on the statement of financial position for the year ended
31 January 2023
your duty under the Companies Act 2006 to ensure that the company has kept adequate accounting records and prepared
financial statements
which give a true and fair view of the assets, liabilities and financial position of the company at the end of its year and of its profit or loss for that year, and otherwise comply with the provisions of the Companies Act 2006 relating to
financial statements
so far as they are applicable to the company. You consider that the company is exempt from the statutory requirement for an audit for the year.
We have not been instructed to carry out an audit of the
financial statements
. 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
financial statements
.
Arthur Boyd & Company
Chartered Accountants
5th Floor, Causeway Tower
9 James Street South
Belfast
BT2 8DN
United Kingdom
Date:
29 September 2023
J.C. Patterson (Lisburn) Limited
Statement of Financial Position
31 January 2023
20232022
Note££
Fixed assets    
Tangible assets 5
550,000
 
550,000
 
Current assets    
Debtors 6
1,368
 
10,000
 
Cash at bank and in hand
132,474
 
96,198
 
133,842
 
106,198
 
Creditors: amounts falling due within one year 7
(22,502
)
(19,405
)
Net current assets
111,340
 
86,793
 
Total assets less current liabilities 661,340   636,793  
Capital and reserves    
Called up share capital
20,000
 
20,000
 
Revaluation reserve
414,207
 
414,207
 
Profit and loss account
227,133
 
202,586
 
Shareholders funds
661,340
 
636,793
 
For the year ending
31 January 2023
, the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
  • The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476;
  • The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These
financial statements
have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies’ regime.
In accordance with Section 444 of the Companies Act 2006, the income statement has not been delivered.
These
financial statements
were approved by the board of directors and authorised for issue on
29 September 2023
, and are signed on behalf of the board by:
Mr D Gibson
Director
Company registration number:
NI002518
J.C. Patterson (Lisburn) Limited
Notes to the Financial Statements
Year ended
31 January 2023

1 General information

The company is a private company limited by shares and is registered in Northern Ireland. The address of the registered office is
62 Harmony Hill
,
Lisburn
,
Co.Antrim
,
BT28 4ET
, United Kingdom.

2 Statement of compliance

These
financial statements
have been prepared in compliance with FRS 102 Section 1A, 'The Financial Reporting Standard applicable to the UK and Republic of Ireland'.

3 Accounting policies

Basis of preparation

The
financial statements
have been prepared on the historical cost basis, as modified by the revaluation of certain assets.
The
financial statements
are prepared in sterling, which is the functional currency of the company.

Turnover

Turnover is measured at the fair value of the consideration received or receivable and represents amounts received from rental income from the company's sole commercial property, exclusive of value added tax. Rental income is recognised in the Statement of Income and Retained Earning on a straight line basis over the term of the lease.

Current tax

Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Tangible assets

Tangible assets are initially measured at cost, and are subsequently measured at cost less any accumulated depreciation and accumulated impairment losses or at a revalued amount.
Any tangible assets carried at a revalued amount are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
An increase in the carrying amount of an asset as a result of a revaluation is recognised in other comprehensive income and accumulated in capital and reserves. However, the increase is recognised in profit or loss to the extent that it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves. If a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess is recognised in profit or loss.

Investment properties

Investment property is measured initially at cost, which includes purchase price and any directly attributable expenditure. Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in profit or loss.

Impairment

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the transaction price and are subsequently measured as follows: Debt instruments are subsequently measured at amortised cost and commitments to receive a loan and to make a loan to another entity are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment.
All other financial instruments, including derivatives, are initially recognised at fair value, which is normally the transaction price and are subsequently measured at fair value, with any changes recognised in profit or loss.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.
All equity instruments regardless of significance, and other financial assets that are individually significant, are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics.
Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Going Concern

The company has been notified that the current tenant, who operates in the retail section, does not intend to renew their lease when it expires on 31 August 2023. Given the size of the property, the ongoing issues facing the retail sector, increasing interest rates and the current economic climate generally, there may be considerable difficulties in re-leasing this property in it's current size and condition. The directors will assess the available options, including whether to re-lease in smaller units or to sell and the associated costs of achieving same more fully in due course but do not consider that this materially impacts their assessment of the current carrying value of the property. In the event that a decision is made to sell the property and wind the company up, this would be by way of a Members Voluntary Winding up as there is currently an anticipated surplus for members. However there is no intention at this time to sell the property and taking into account the above, the directors believe that there are adequate funds available for the company to continue in operation for a period of at least 12 months from the date of signing these accounts and hence it is acceptable to present the accounts on a Going Concern basis.

4 Average number of employees

The average number of persons employed by the company during the year was
4
(2022:
4.00
).

5 Tangible assets

Land and buildings
£
Cost  
At
1 February 2022
and
31 January 2023
550,000
 
Depreciation  
At
1 February 2022
and
31 January 2023
-  
Carrying amount  
At
31 January 2023
550,000
 
At 31 January 2022
550,000
 

Investment property

Included in land and buildings are the following amounts in relation to investment properties:
2023
£
Carrying value at
1 February 2022
and
31 January 2023
550,000
 
The historic cost of the investment property is £135,793. The property is currently vacant from 31.08.23 following the termination of the lease at this date by the tenant.
The Directors are currently trying to re-lease the property
A valuation of the property was sought from Lambert Smith Hampton (RICS) at July 2021. The fair value of the property arrived at using the Income Capitalisation Method is stated at £650,000. This valuation method involves capitalising the income generated by the property at an appropriate yield based on sales of other similar properties, adjusted for size, location and condition. the Term and Reversionary approach of valuation has been taken to allow for the remaining term of the lease and the fact that the property is currently over rented.
The valuation was presented with a Material Valuation Uncertainty as a result of the ongoing impact of the Covid 19 pandemic on the global economy and on the real estate market, with lower levels of transaction activity and hence a relevant /sufficient market evidence on which to base judgement. This does not mean the valuation cannot be relied upon, just that it should be considered with less certainty and a higher degree of caution.
This compiled with the current vacancy has prompted the directors to take a more prudent view, and they therefore have not uplifted their valuation of £550,000 which represents a 15% provision against the stated fair value above in either the current or prior year. This position will be reviewed and the valuation updated, when either the property is re-let or there is a more definite plan for the future of the property.

6 Debtors

20232022
££
Trade debtors -  
10,000
 
Other debtors
1,368
  -  
1,368
 
10,000
 

7 Creditors: amounts falling due within one year

20232022
££
Taxation and social security
19,832
 
18,085
 
Other creditors
2,670
 
1,320
 
22,502
 
19,405
 

9 Controlling party

The share capital of the company is held in equal parts between two extended families and consequently there is no ultimate controlling party.