Registration number:
Hesgyn Limited
for the Year Ended 31 July 2023
Hesgyn Limited
Contents
Company Information |
|
Balance Sheet |
|
Notes to the Unaudited Financial Statements |
Hesgyn Limited
Company Information
Directors |
Mr John David White Mrs Karen Lesley White |
Registered office |
|
Accountants |
|
Hesgyn Limited
(Registration number: 09109204)
Balance Sheet as at 31 July 2023
Note |
2023 |
2022 |
|
Fixed Assets |
|||
Investment property |
|
|
|
Current assets |
|||
Debtors |
|
- |
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current liabilities |
( |
( |
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Net assets |
|
|
|
Capital and Reserves |
|||
Called up share capital |
100 |
100 |
|
Retained Earnings |
35,735 |
30,729 |
|
Shareholders' funds |
35,835 |
30,829 |
For the financial year ending 31 July 2023 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
• |
|
• |
The Directors acknowledge their 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. As permitted by section 444 (5A) of the Companies Act 2006, the Directors have not delivered to the registrar a copy of the Profit and Loss Account.
Approved and authorised by the
......................................... |
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
General information |
The Company is a private company limited by share capital, incorporated in United Kingdom.
The address of its registered office is:
England
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 smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
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.
Impact from the Covid-19 Pandemic
During 2020 and 2021, the spread of COVID-19 severely impacted many local economies around the globe. In many countries, businesses were forced to cease or limit operations for long or indefinite periods of time. Measures taken to contain the spread of the virus, including travel bans, quarantines, social distancing, and closures of non-essential services have triggered significant disruptions to businesses worldwide, resulting in an economic slowdown. Global stock markets have also experienced great volatility and a significant weakening. Governments and central banks have responded with monetary and fiscal interventions to try and stabilise economic conditions.
However, the UK government subsequently announced the end to the remaining domestic rules relating to Coronavirus from the end of February 2022 and outlined its new strategy.
With the UK governments relaxation of the Coronavirus regulations, the directors have concluded that these events are non-adjusting subsequent events. Accordingly, the financial position and results of operations as of and for the period ended 31 July 2023 have not been adjusted to reflect their impact. The duration and impact of the COVID-19 pandemic, as well as the effectiveness of government and central bank responses, still remains unclear at this time. It is not possible to reliably estimate the duration and severity of these consequences, as well as their impact on the financial position and results of the Company for future periods.
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
Going concern
The financial statements have been prepared on a going concern basis .The company made a profit before tax of £21,506 during the period ended 31st July 2023 and a loss in 2022 of £15,872. The Company also had net current liabilities of £209,052 as at 31 July 2023, (2022; net current liabilities £186,058). These conditions indicate the existence of a material uncertainty that may cast significant doubt about the Company's ability to continue as a going concern.
However, the Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the forseeable future and have confirmed their intention to provide the necesary funding to cover the company's liabilities and expenditure for the forthcoming year.
Judgements
Preparation of the financial statements requires management to make significant judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that the actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on items in the financial statements where these judgements have been made include: |
1. As with most UK companies, we are still unsure about the impact following the Brexit vote, now the UK has left the EU. We are involved in the investment property and development sectors, which are usually at the forefront of economic cycles. We have to make significant judgements as to how we feel the economy will perform in the forthcoming years and how that will effect our investment in possible further property investments, which we are monitoring closely. |
2. The calculation of tax liabilities involves uncertainties in the application of complex tax laws. Determining tax provisions therefore requires judgement on the treatment of certain transactions. Deferred tax is recognised on tax losses not yet used and on temporary differences where it is probable that there will be a taxable revenue against which these can be offset. Management has made judgements as to the probability of future taxable revenues being generated against which tax losses will be available for offset. |
Key sources of estimation uncertainty
There is a revaluation in one of the investment properties based on the Director's opinion for the current year. The investment property located in 8 Beach Court, Anglsey has a market value of £140,000 being the same as last year; whilst 1 Lower Bank Street, Farsley has been revalued by the Directors at a market value of £218,000 (2022 - £190,000).
The carrying amount of both properties in total is £358,000 (2022 -£330,000).
Tangible Assets
Tangible assets are stated in the balance sheet 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 |
Office Equipment |
33% Straight Line |
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
Investment property
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 Debtors
Trade Debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade Debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the Company will not be able to collect all amounts due according to the original terms of the receivables.
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.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
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.
Dividends
Dividend distribution to the Company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
Staff numbers |
The average number of persons employed by the Company (including Directors) during the year, was
Tangible Assets |
Office equipment |
Total |
|
Cost or valuation |
||
At 1 August 2022 |
|
|
At 31 July 2023 |
|
|
Depreciation |
||
At 1 August 2022 |
|
|
At 31 July 2023 |
|
|
Carrying amount |
||
At 31 July 2023 |
- |
- |
Investment properties |
2023 |
|
At 1 August |
|
Fair value adjustments |
|
At 31 July |
|
The Properties Valuations are based on the Directors independent assessment. There is revaluation in Farsley for the year. Farsley is now worth £218,000, from £190,000 in 2021, based on sales in the last year on the same road. Anglsey is currently worth £140,000 from £160,000 in 2020, based on a sale of 2 apartments in the building that were heavily discounted for sale last year.
There has been no valuation of investment properties by an independent valuer.
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
Creditors |
Creditors: amounts falling due within one year
Note |
2023 |
2022 |
|
Due within one year |
|||
Loans and borrowings |
|
|
|
Accruals and deferred income |
|
|
|
|
|
Creditors: amounts falling due after more than one year
Note |
2023 |
2022 |
|
Due after one year |
|||
Loans and borrowings |
|
|
Share capital |
Allotted, called up and fully paid shares
2023 |
2022 |
|||
No. |
£ |
No. |
£ |
|
|
|
100 |
|
100 |
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
Loans and borrowings |
2023 |
2022 |
|
Non-current loans and borrowings |
||
Bank borrowings |
|
|
2023 |
2022 |
|
Current loans and borrowings |
||
Other borrowings |
|
|
Bank borrowings
|
Dividends |
Interim dividends paid
2023 |
2022 |
|||
Interim dividend of £ |
|
|
||
Hesgyn Limited
Notes to the Unaudited Financial Statements for the Year Ended 31 July 2023
Related party transactions |
Transactions with Directors |
2023 |
At 1 August 2022 |
Dividends for Director |
Other payments made to Company by Director |
At 31 July 2023 |
Mr John David White |
||||
Director's loan account |
( |
( |
(60,250) |
( |
Mrs Karen Lesley White |
||||
Director's loan account |
( |
( |
(60,250) |
( |
2022 |
At 1 August 2021 |
Dividends for Director |
Other payments made to Company by Director |
At 31 July 2022 |
Mr John David White |
||||
Director's loan account |
( |
( |
(7,693) |
( |
Mrs Karen Lesley White |
||||
Director's loan account |
( |
( |
(7,693) |
( |
Dividends paid to Directors
2023 |
2022 |
|||
Mr John David White |
||||
Interim dividend |
2,000 |
2,000 |
||
Mrs Karen Lesley White |
||||
Interim dividend |
14,500 |
14,000 |
||
Parent and ultimate parent undertaking |
The ultimate controlling party is