Company registration number 10609018 (England and Wales)
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
PAGES FOR FILING WITH REGISTRAR
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
BALANCE SHEET
AS AT 31 MARCH 2023
31 March 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
4
149
Tangible assets
5
5,908
2,511
5,908
2,660
Current assets
Debtors
6
724,960
833,593
Cash at bank and in hand
581,948
185,585
1,306,908
1,019,178
Creditors: amounts falling due within one year
7
(756,719)
(489,864)
Net current assets
550,189
529,314
Net assets
556,097
531,974
Reserves
Income and expenditure account
556,097
531,974
Members' funds
556,097
531,974
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
BALANCE SHEET (CONTINUED)
AS AT 31 MARCH 2023
31 March 2023
- 2 -
The directors of the company have elected not to include a copy of the income and expenditure 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 5 September 2023 and are signed on its behalf by:
Mr Timothy Keeping
Director
Company Registration No. 10609018
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
- 3 -
1
Accounting policies
Company information
Southampton Business Improvement District Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is Eagle Lab, Portland Terrace, Southampton, Hampshire, England, SO14 7SJ.
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
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Income and expenditure
Income and expenses are included in the financial statements as they become receivable or due.
Income is split into the following streams:
BID levy
Grant income
Commercial income
Partnership income
Sponsorship income
The BID levy revenue is billed for each financial year and is recognised within that financial year. Any received in advance is included within deferred revenue and any billed after the period is included as accrued revenue.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
Commercial income, partnership income, and sponsorship income are recognised in the period in which the services invoiced have been provided.
1.4
Research and development expenditure
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
1.5
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
Amortisation 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:
Website costs
20% Straight line
1.6
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:
Fixtures and fittings
20% Straight line
Computers
20% 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 surplus or deficit.
1.7
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets. A provision is made for any impairment loss and taken to the profit and loss account.
1.8
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.
1.9
Financial instruments
The company only enters into Basic financial instrument transactions.
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.
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 5 -
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.
1.10
Taxation
The company is exempt from corporation tax, it being a company not carrying on a business for the purposes of making a profit.
1.11
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.
1.12
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
1.14
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
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.
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 6 -
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
7
7
4
Intangible fixed assets
Website costs
£
Cost
At 1 April 2022 and 31 March 2023
3,994
Amortisation and impairment
At 1 April 2022
3,845
Amortisation charged for the year
149
At 31 March 2023
3,994
Carrying amount
At 31 March 2023
At 31 March 2022
149
5
Tangible fixed assets
Fixtures and fittings
Computers
Total
£
£
£
Cost
At 1 April 2022
4,522
9,341
13,863
Additions
220
5,200
5,420
At 31 March 2023
4,742
14,541
19,283
Depreciation and impairment
At 1 April 2022
4,059
7,293
11,352
Depreciation charged in the year
418
1,605
2,023
At 31 March 2023
4,477
8,898
13,375
Carrying amount
At 31 March 2023
265
5,643
5,908
At 31 March 2022
463
2,048
2,511
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 7 -
6
Debtors
2023
2022
Amounts falling due within one year:
£
£
BID levy due
306,193
358,928
Other debtors
11,466
156,000
Prepayments and accrued income
407,301
318,665
724,960
833,593
7
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
74,252
23,488
Corporation tax
29
Deferred income
436,739
242,304
Other creditors
193,889
138,789
Accruals and deferred income
51,810
85,283
756,719
489,864
8
Members' liability
The company is limited by guarantee, not having a share capital and consequently the liability of members is limited, subject to an undertaking by each member to contribute to the net assets or liabilities of the company on winding up such amounts as may be required not exceeding £1.
9
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.
Senior Statutory Auditor:
Angela Trainor
Statutory Auditor:
HJS Accountants Limited
SOUTHAMPTON BUSINESS IMPROVEMENT DISTRICT LTD
A COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 8 -
10
Related party transactions
Hampshire Chamber of Commerce
Hampshire Chamber of Commerce is a related party by virtue of Mr Nicolas Barwood being a director and also being director of Southampton Business Improvement District Ltd.
During the year, purchases of £1,179 (2022: £712) have been made from Hampshire Chamber of Commerce.
Stakks Pancake House Limited
Stakks Pancake House Limited is a related party by virtue of Anna Copper being a director and shareholder and also being director of Southampton Business Improvement District Ltd.
During the year, purchases of £26 (2022: £24) have been made from Stakks Pancake House Limited.
The Event Cartel Limited
The Event Cartel Limited is a related party by virtue of Gary Bennetton being a director and also being director of Southampton Business Improvement District Ltd.
During the year, purchases of £5,700 (2022: nil) have been made from The Event Cartel Limited.
WJ French & Son Limited
WJ French & Son Limited is a related party by virtue of Caroline Osman being a director and shareholder and also being director of Southampton Business Improvement District Ltd.
During the year, purchases of £83 (2022: £nil) have been made from WJ French and Son Limited.
Southampton 2025 Trust
Southampton 2025 Trust is a related party by virtue of Timothy Keeping and Laura Read being directors of both Southampton 2025 Trust and Southampton Business Improvement District Ltd.
During the year, sales of £116,561 (2022: £24,581) were made to Southampton 2025 Trust relating to the City of Culture bid.
During the year, purchases of £11,250 (2022: £nil) have been made from Southampton 2025 Trust.