REGISTERED NUMBER: 11525761 (England and Wales) |
Group Strategic Report, |
Report of the Directors and |
Consolidated Financial Statements |
For The Year Ended 30 June 2023 |
for |
Stortford Holdings Limited |
REGISTERED NUMBER: 11525761 (England and Wales) |
Group Strategic Report, |
Report of the Directors and |
Consolidated Financial Statements |
For The Year Ended 30 June 2023 |
for |
Stortford Holdings Limited |
Stortford Holdings Limited (Registered number: 11525761) |
Contents of the Consolidated Financial Statements |
For The Year Ended 30 June 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 5 |
Consolidated Statement of Comprehensive Income | 8 |
Consolidated Balance Sheet | 9 |
Company Balance Sheet | 10 |
Consolidated Statement of Changes in Equity | 11 |
Company Statement of Changes in Equity | 12 |
Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Financial Statements | 15 |
Stortford Holdings Limited |
Company Information |
For The Year Ended 30 June 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Registered Auditor |
10-12 Mulberry Green |
Old Harlow |
Essex |
CM17 0ET |
Stortford Holdings Limited (Registered number: 11525761) |
Group Strategic Report |
For The Year Ended 30 June 2023 |
The directors present their strategic report of the company and the group for the year ended 30 June 2023. |
The group achieved a turnover of circa £49 million. Net profits of circa £885k were below Board expectations due to the continued challenges the business faced regarding ongoing increases in material and labour costs, a challenging client who we have worked hard throughout the year to reduce our exposure to and an increased number of projects experiencing delays and / or disruption which negatively impacted our margins. |
Stortford Holdings have continued to add to its portfolio of high-quality projects with both existing and new Tier 1 clients. At the time of writing the current order book for 2023/24, 2024/25 stands at £47 million with good visibility of projects, advised by our clients, for 2023/24 and 2024/25 onwards which will bolster our order book to provide a robust and secure position to weather the market challenges ahead. |
The business strategy of maintaining and building upon our relationships with our 'blue chip' clients, diversification of market sectors and product offerings has, once again, continued to be successful and will prove vital as we navigate the various uncertainties the UK construction market is generally facing. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The Board recognise the risks facing the business continue to evolve and at the time of writing the principal risks identified are inflation, protracted final account agreements affecting good cashflow, persistent skilled labour shortages and political uncertainty. |
The Board maintain and review a Strategic Risk Register of the business to ensure the risk management strategy is fully reviewed and implemented on a monthly basis. |
KEY PERFORMANCE INDICATORS |
Gross Profit Margin: |
2023: 6.58% (2022: 6.87%) |
Net Profit Margin: |
2023: 1.80% (2022: 1.76%) |
Liquidity (current ratio): |
2023: 130.61% (2022: 129.77%) |
ON BEHALF OF THE BOARD: |
Stortford Holdings Limited (Registered number: 11525761) |
Report of the Directors |
For The Year Ended 30 June 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 30 June 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of service providers and installers of commercial interiors. |
DIVIDENDS |
Interim dividends per share were paid as follows: |
A Ordinary £1 shares | £5,700 | - 30 June 2023 |
Ordinary Redeemable B £20,000 shares | £3,129.82 | - 30 June 2023 |
The directors recommend that no final dividends be paid. |
The total distribution of dividends for the year ended 30 June 2023 will be £ 483,837 . |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 July 2022 to the date of this report. |
Other changes in directors holding office are as follows: |
POLITICAL DONATIONS AND EXPENDITURE |
Donations made during the year of £6,986 (2022: £7,123) were wholly in relation to registered charities. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
Stortford Holdings Limited (Registered number: 11525761) |
Report of the Directors |
For The Year Ended 30 June 2023 |
AUDITORS |
The auditors, Giess Wallis Crisp LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Stortford Holdings Limited |
Opinion |
We have audited the financial statements of Stortford Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 June 2023 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 30 June 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Stortford Holdings Limited |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Based on our understanding of the the company and the industry in which they operate, we identified the significant laws and regulations in relation to this company as being: financial reporting legislation (including Companies Act 2006) and taxation legislation (including corporation tax act 2010), and we considered the extent to which non-compliance might have a material effect on the financial statements. These laws and regulations could have a direct impact on the financial statements. As part of the planning process we evaluated the management's incentives and opportunities for fraudulent manipulation of the financial statements and concluded that the principal risk is related to the possible override of controls by management. The results of the above assessment were communicated to the engagement team during the engagement team briefing prior to the commencement of the audit field work. |
Audit procedures performed in response to the potential risks relating to irregularities, fraud and non-compliance with laws and regulations comprised of: |
- Enquiries of management and those charged with governance. |
- Evaluation and testing of the effectiveness of internal controls via a combination of walkthrough testing and detailed controls testing. |
- Testing the appropriateness of entries in the nominal ledger, including journal entries. |
- Review and testing of transactions either side of the end of the reporting period. |
- Analytical review of the financial statements at both planning and completion stage to identify any anomalies or unexpected movements in account balances which may be indicative of fraud. |
- Inspection and examination of legal invoices and correspondence. |
The results of the above audit procedures were that no instances of non-compliance with laws and regulations were identified and no instances of material fraud were identified. |
Report of the Independent Auditors to the Members of |
Stortford Holdings Limited |
There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. There is therefore an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISA's (UK). |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors 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 members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Registered Auditor |
10-12 Mulberry Green |
Old Harlow |
Essex |
CM17 0ET |
Stortford Holdings Limited (Registered number: 11525761) |
Consolidated Statement of Comprehensive Income |
For The Year Ended 30 June 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 5 | 49,074,457 | 53,917,242 |
Cost of sales | 45,846,683 | 50,214,169 |
GROSS PROFIT | 3,227,774 | 3,703,073 |
Administrative expenses | 2,695,073 | 3,039,139 |
532,701 | 663,934 |
Other operating income | 486,077 | 359,932 |
OPERATING PROFIT | 7 | 1,018,778 | 1,023,866 |
Interest receivable and similar income | 2,686 | 761 |
1,021,464 | 1,024,627 |
Interest payable and similar expenses | 8 | 136,361 | 76,619 |
PROFIT BEFORE TAXATION | 885,103 | 948,008 |
Tax on profit | 9 | 97,189 | 48,061 |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME |
Revaluation of freehold property | 17,100 | - |
Income tax relating to other comprehensive income |
(17,100 |
) |
- |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
- |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
787,914 |
899,947 |
Profit attributable to: |
Owners of the parent | 787,914 | 904,540 |
Non-controlling interests | - | (4,593 | ) |
787,914 | 899,947 |
Total comprehensive income attributable to: |
Owners of the parent | 787,914 | 904,540 |
Non-controlling interests | - | (4,593 | ) |
787,914 | 899,947 |
Stortford Holdings Limited (Registered number: 11525761) |
Consolidated Balance Sheet |
30 June 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 | 56,906 | 66,524 |
Tangible assets | 13 | 981,729 | 1,090,643 |
Investments | 14 | 29,700 | 29,700 |
1,068,335 | 1,186,867 |
CURRENT ASSETS |
Debtors: amounts falling due within one year | 15 | 8,538,452 | 8,485,151 |
Debtors: amounts falling due after more than one year |
15 |
905,083 |
1,080,290 |
Cash at bank and in hand | 3,038,075 | 2,095,933 |
12,481,610 | 11,661,374 |
CREDITORS |
Amounts falling due within one year | 16 | 8,863,133 | 8,153,982 |
NET CURRENT ASSETS | 3,618,477 | 3,507,392 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
4,686,812 |
4,694,259 |
CREDITORS |
Amounts falling due after more than one year |
17 |
(653,924 |
) |
(962,786 |
) |
PROVISIONS FOR LIABILITIES | 21 | (105,878 | ) | (82,404 | ) |
NET ASSETS | 3,927,010 | 3,649,069 |
CAPITAL AND RESERVES |
Called up share capital | 22 | 75 | 9,111 |
Revaluation reserve | 23 | 135,750 | 152,850 |
Retained earnings | 23 | 3,791,185 | 3,487,108 |
SHAREHOLDERS' FUNDS | 3,927,010 | 3,649,069 |
The financial statements were approved by the Board of Directors and authorised for issue on 20 November 2023 and were signed on its behalf by: |
S F Shearing - Director |
Stortford Holdings Limited (Registered number: 11525761) |
Company Balance Sheet |
30 June 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 |
Tangible assets | 13 |
Investments | 14 |
CURRENT ASSETS |
Debtors: amounts falling due within one year | 15 |
Cash in hand |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 22 |
Retained earnings | 23 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 725,563 | 762,973 |
The financial statements were approved by the Board of Directors and authorised for issue on |
Stortford Holdings Limited (Registered number: 11525761) |
Consolidated Statement of Changes in Equity |
For The Year Ended 30 June 2023 |
Called up |
share | Retained | Revaluation |
capital | earnings | reserve |
£ | £ | £ |
Balance at 1 July 2021 | 26,857 | 3,044,568 | 152,850 |
Changes in equity |
Issue of share capital | (17,746 | ) | - | - |
Dividends | - | (462,000 | ) | - |
Total comprehensive income | - | 904,540 | - |
Balance at 30 June 2022 | 9,111 | 3,487,108 | 152,850 |
Changes in equity |
Issue of share capital | (9,036 | ) | - | - |
Dividends | - | (483,837 | ) | - |
Total comprehensive income | - | 787,914 | - |
Deferred tax | - | - | (17,100 | ) |
Balance at 30 June 2023 | 75 | 3,791,185 | 135,750 |
Non-controlling | Total |
Total | interests | equity |
£ | £ | £ |
Balance at 1 July 2021 | 3,224,275 | 90,089 | 3,314,364 |
Changes in equity |
Issue of share capital | (17,746 | ) | - | (17,746 | ) |
Dividends | (462,000 | ) | - | (462,000 | ) |
Total comprehensive income | 904,540 | (4,593 | ) | 899,947 |
Disposal of non-controlling |
interest | - | (85,496 | ) | (85,496 | ) |
Balance at 30 June 2022 | 3,649,069 | - | 3,649,069 |
Changes in equity |
Issue of share capital | (9,036 | ) | - | (9,036 | ) |
Dividends | (483,837 | ) | - | (483,837 | ) |
Total comprehensive income | 787,914 | - | 787,914 |
Deferred tax | (17,100 | ) | - | (17,100 | ) |
Balance at 30 June 2023 | 3,927,010 | - | 3,927,010 |
Stortford Holdings Limited (Registered number: 11525761) |
Company Statement of Changes in Equity |
For The Year Ended 30 June 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 July 2021 |
Changes in equity |
Issue of share capital | ( |
) | - | ( |
) |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 June 2022 |
Changes in equity |
Issue of share capital | ( |
) | - | ( |
) |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 June 2023 |
Stortford Holdings Limited (Registered number: 11525761) |
Consolidated Cash Flow Statement |
For The Year Ended 30 June 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 2,277,847 | (875,756 | ) |
Interest paid | (126,067 | ) | (65,041 | ) |
Interest element of hire purchase payments paid |
(10,294 |
) |
(11,578 |
) |
Tax paid | (137,739 | ) | (21,437 | ) |
Net cash from operating activities | 2,003,747 | (973,812 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (18,289 | ) | (114,990 | ) |
Sale of tangible fixed assets | - | 1,131 |
Interest received | 2,686 | 761 |
Net cash from investing activities | (15,603 | ) | (113,098 | ) |
Cash flows from financing activities |
New loans in year | - | 800,000 |
Loan repayments in year | (266,667 | ) | (66,666 | ) |
Capital repayments in year | (42,462 | ) | (41,148 | ) |
Amount introduced by directors | 622,287 | 463,445 |
Amount withdrawn by directors | (633,434 | ) | (524,245 | ) |
Loan notes repaid | (103,904 | ) | (301,093 | ) |
"B" shares redeemed | (138,000 | ) | - |
Equity dividends paid | (483,837 | ) | (462,000 | ) |
Net cash from financing activities | (1,046,017 | ) | (131,707 | ) |
Increase/(decrease) in cash and cash equivalents | 942,127 | (1,218,617 | ) |
Cash and cash equivalents at beginning of year |
2 |
2,095,933 |
3,314,550 |
Cash and cash equivalents at end of year | 2 | 3,038,060 | 2,095,933 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Cash Flow Statement |
For The Year Ended 30 June 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 885,103 | 948,008 |
Depreciation charges | 126,682 | 204,319 |
Loss on disposal of fixed assets | 10,136 | 88,986 |
Impairment of financial assets | 200,000 | - |
Finance costs | 136,361 | 76,619 |
Finance income | (2,686 | ) | (761 | ) |
1,355,596 | 1,317,171 |
Increase in trade and other debtors | (76,996 | ) | (1,810,404 | ) |
Increase/(decrease) in trade and other creditors | 999,247 | (382,523 | ) |
Cash generated from operations | 2,277,847 | (875,756 | ) |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 30 June 2023 |
30/6/23 | 1/7/22 |
£ | £ |
Cash and cash equivalents | 3,038,075 | 2,095,933 |
Bank overdrafts | (15 | ) | - |
3,038,060 | 2,095,933 |
Year ended 30 June 2022 |
30/6/22 | 1/7/21 |
£ | £ |
Cash and cash equivalents | 2,095,933 | 3,314,550 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1/7/22 | Cash flow | At 30/6/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,095,933 | 942,142 | 3,038,075 |
Bank overdrafts | - | (15 | ) | (15 | ) |
2,095,933 | 942,127 | 3,038,060 |
Debt |
Finance leases | (138,170 | ) | 42,462 | (95,708 | ) |
Debts falling due within 1 year | (861,537 | ) | 232,871 | (628,666 | ) |
Debts falling due after 1 year | (866,667 | ) | 266,666 | (600,001 | ) |
(1,866,374 | ) | 541,999 | (1,324,375 | ) |
Total | 229,559 | 1,484,126 | 1,713,685 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements |
For The Year Ended 30 June 2023 |
1. | STATUTORY INFORMATION |
Stortford Holdings Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | STATEMENT OF COMPLIANCE |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The Group financial statements incorporate the financial statements of Stortford Holdings Ltd (the 'Company') and entities controlled by the Company (its subsidiaries) made up to 30th June each year. |
The results of subsidiaries disposed of during the period are included in the consolidated income statement until the effective date of disposal. |
Significant judgements and estimates |
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 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. |
Significant risks relating to estimation and judgement are detailed in note 4. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover is derived from one-off jobs and contracts. Turnover from one-off jobs is measured through an internal assessment of work carried out based on time incurred and materials utilised or percentage of completion depending on the nature of the contract. |
Turnover from contracts comprises the fair value of construction carried out in the year, based on an internal assessment of work carried out. Once the outcome of a contract can be estimated reliably, margin is recognised in the Statement of Income on a stage of contract completion basis by reference to the costs incurred to date and total forecast costs on the contract as a whole. Costs include labour and attributable overheads. |
Losses expected in bringing a contract to completion are recognised immediately. Where the outcome of claims is uncertain, the company only recognises revenue and the associated margin where it is probable that the client will approve the variation. |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales tax. |
Goodwill |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
3. | ACCOUNTING POLICIES - continued |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Freehold property | - |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Recognition and impairment of tangible fixed assets |
Tangible fixed assets are initially measured at cost and subsequently measured at cost net of depreciation and any impairment losses. |
Freehold property is being recognised under the fair value model less accumulated depreciation. |
The entity reviews the carrying value's of its tangible fixed assets at each reporting date, to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the estimated recoverable value of the asset is used to determine the extent of the impairment loss (if any). |
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 statement of financial position 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 trade and other receivables 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. |
Impairment of financial assets |
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date. |
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. |
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
Derecognition of financial assets |
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
3. | ACCOUNTING POLICIES - continued |
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, including trade and other payables, 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 receipts 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. |
Other financial liabilities |
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate unless hedge accounting is applied and the hedge is a cash flow hedge. |
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value though profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy. |
Derecognition of financial liabilities |
Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. The rate of tax substantively enacted at the balance sheet date in which the timing difference were expected to reverse was 25%. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
3. | ACCOUNTING POLICIES - continued |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Amounts recoverable on contracts |
Amounts recoverable on contracts at the year end are valued at the contract costs plus margin, less any foreseeable losses to date as described in the turnover accounting policy above, taking into account payments received on account to date. |
Where the cost-plus margin less any foreseeable losses is in excess of payments on account, the excess is included as "amounts recoverable on contracts" under debtors in the Statement of Financial Position. Where payments on account are in excess of cost plus margin less any foreseeable losses, the excess is included as "excess payments on account" under creditors in the Statement of Financial Position. |
4. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In preparing these financial statements, the directors have made the following material assessment: |
Amounts recoverable on contracts |
Determination of the turnover and profitability of customer contracts. Factors taken into consideration are the assessment of the time to complete the project, the project performance to date, assessment of future costs to complete the contract, assessment of future payments to be received, assessment of future costs of rectification and guarantee work, impact of any variations claims. |
Customer contracts' turnover and profitability values consider issues such as the project plan and performance against the plan, project completion date, contracted costs and estimate of cost rates based on known rates, factoring in likely increases in inflation or price rises, approved variations, contracted sales value. |
5. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
2023 | 2022 |
£ | £ |
Rendering of services | 49,074,457 | 53,917,242 |
49,074,457 | 53,917,242 |
All of the group's turnover originated and was delivered within the UK. |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
6. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 5,539,248 | 5,731,345 |
Social security costs | 646,008 | 596,594 |
Other pension costs | 167,819 | 171,994 |
6,353,075 | 6,499,933 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Management | 4 | 4 |
Administration | 15 | 10 |
Direct | 81 | 87 |
The average number of employees by undertakings that were proportionately consolidated during the year was NIL (2022 - NIL). |
2023 | 2022 |
£ | £ |
Directors' remuneration | 55,000 | 63,012 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 1 | 1 |
7. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Hire of equipment | 600,429 | 1,003,951 |
Depreciation - owned assets | 75,453 | 127,712 |
Depreciation - assets on hire purchase contracts | 41,613 | 66,990 |
Loss on disposal of fixed assets | 10,136 | 88,986 |
Goodwill amortisation | 9,618 | 9,617 |
Auditors' remuneration | 45,000 | 17,266 |
Foreign exchange differences | 409 | 22,169 |
Government Grants | - | (14,300 | ) |
Research and development | 507,687 | 813,266 |
Government grants recognised relate to amounts received for the Coronavirus Job Retention Scheme (prior year only) and have been presented as other operating income in the Income Statement. |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank interest | 17,953 | 26,251 |
Bank loan interest | 72,980 | 29,441 |
Interest on late tax | 24,040 | 1,248 |
Loan note interest | 11,094 | 8,101 |
Hire purchase | 10,294 | 11,578 |
136,361 | 76,619 |
9. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 90,815 | 72,310 |
Deferred tax | 6,374 | (24,249 | ) |
Tax on profit | 97,189 | 48,061 |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax | 885,103 | 948,008 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 - 19 %) |
168,170 |
180,122 |
Effects of: |
Expenses not deductible for tax purposes | 13,178 | 31,220 |
Income not taxable for tax purposes | (783 | ) | - |
R&D Enhanced Deductions | (113,092 | ) | (160,162 | ) |
Amortisation on Goodwill | 1,827 | - |
Effect in change of tax rate | 26,641 | - |
Adjustments in respect of a previous period | 1,248 | (3,119 | ) |
allowable |
Total tax charge | 97,189 | 48,061 |
Tax effects relating to effects of other comprehensive income |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Revaluation of freehold property | 17,100 | (17,100 | ) | - |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
9. | TAXATION - continued |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Revaluation of freehold property |
The tax effects relating to effects of other comprehensive income are solely related to the change in tax rate (25% from 19%) applied to timing differences arsing from tangible fixed assets held under the fair value model. |
10. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
11. | DIVIDENDS |
2023 | 2022 |
£ | £ |
A Ordinary shares of £1 each |
Interim | 427,500 | 360,000 |
Ordinary Redeemable B shares of £20,000 each |
Interim | 56,337 | 102,000 |
483,837 | 462,000 |
12. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 July 2022 |
and 30 June 2023 | 96,178 |
AMORTISATION |
At 1 July 2022 | 29,654 |
Amortisation for year | 9,618 |
At 30 June 2023 | 39,272 |
NET BOOK VALUE |
At 30 June 2023 | 56,906 |
At 30 June 2022 | 66,524 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
13. | TANGIBLE FIXED ASSETS |
Group |
Improvements |
Freehold | to | Plant and |
property | property | machinery |
£ | £ | £ |
COST OR VALUATION |
At 1 July 2022 | 550,000 | 431,506 | 7,608 |
Additions | - | - | - |
Disposals | - | - | - |
At 30 June 2023 | 550,000 | 431,506 | 7,608 |
DEPRECIATION |
At 1 July 2022 | - | 70,199 | 889 |
Charge for year | - | 34,663 | 2,534 |
Eliminated on disposal | - | - | - |
At 30 June 2023 | - | 104,862 | 3,423 |
NET BOOK VALUE |
At 30 June 2023 | 550,000 | 326,644 | 4,185 |
At 30 June 2022 | 550,000 | 361,307 | 6,719 |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 July 2022 | 388,684 | 113,660 | 1,491,458 |
Additions | 18,289 | - | 18,289 |
Disposals | (29,834 | ) | - | (29,834 | ) |
At 30 June 2023 | 377,139 | 113,660 | 1,479,913 |
DEPRECIATION |
At 1 July 2022 | 297,524 | 32,203 | 400,815 |
Charge for year | 59,031 | 20,838 | 117,066 |
Eliminated on disposal | (19,697 | ) | - | (19,697 | ) |
At 30 June 2023 | 336,858 | 53,041 | 498,184 |
NET BOOK VALUE |
At 30 June 2023 | 40,281 | 60,619 | 981,729 |
At 30 June 2022 | 91,160 | 81,457 | 1,090,643 |
Cost or valuation at 30 June 2023 is represented by: |
Improvements |
Freehold | to | Plant and |
property | property | machinery |
£ | £ | £ |
Valuation in 2021 | 550,000 | - | - |
Cost | - | 431,506 | 7,608 |
550,000 | 431,506 | 7,608 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
13. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
Valuation in 2021 | - | - | 550,000 |
Cost | 377,139 | 113,660 | 929,913 |
377,139 | 113,660 | 1,479,913 |
If freehold property had not been revalued it would have been included at the following historical cost: |
2023 | 2022 |
£ | £ |
Cost | 265,000 | 265,000 |
Aggregate depreciation | 66,250 | 60,950 |
Freehold property was valued on an open market basis on 25 June 2021 by Kemsley LLP . |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 July 2022 | 135,066 | 113,660 | 248,726 |
Reclassification/transfer | 1,262 | - | 1,262 |
At 30 June 2023 | 136,328 | 113,660 | 249,988 |
DEPRECIATION |
At 1 July 2022 | 111,845 | 32,203 | 144,048 |
Charge for year | 20,775 | 20,838 | 41,613 |
At 30 June 2023 | 132,620 | 53,041 | 185,661 |
NET BOOK VALUE |
At 30 June 2023 | 3,708 | 60,619 | 64,327 |
At 30 June 2022 | 23,221 | 81,457 | 104,678 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
14. | FIXED ASSET INVESTMENTS |
Group |
Unlisted |
investments |
£ |
COST |
At 1 July 2022 |
and 30 June 2023 | 29,700 |
NET BOOK VALUE |
At 30 June 2023 | 29,700 |
At 30 June 2022 | 29,700 |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 July 2022 |
and 30 June 2023 |
NET BOOK VALUE |
At 30 June 2023 |
At 30 June 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Stortford House, 231 London Road, Bishops Stortford, Hertfordshire, United Kingdom, CM23 3LA |
Nature of business: |
% |
Class of shares: | holding |
The financial statements of Stortford Interiors (UK) Ltd are included in the consolidated financial statements of Stortford Holdings Ltd. |
Registered office: Stortford House, 231 London Road, Bishops Stortford, Hertfordshire, United Kingdom, CM23 3LA |
Nature of business: |
% |
Class of shares: | holding |
The financial statements of Arcade Tiling Ltd are not consolidated in the financial statements of Stortford Holdings Limited at the year end. Arcade Tiling was divested from the group during the prior year and its net income was included in the consolidated income statement of Stortford Holdings Limited, up until the date of disposal. |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
15. | DEBTORS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 1,125,597 | 2,575,339 |
Amounts owed by group undertakings | - | - |
Amounts recoverable on contract | 6,557,365 | 5,621,510 |
Other debtors | 24,814 | 24,223 |
Directors' current accounts | 20,136 | 19,039 | - | - |
VAT | 333,229 | - |
Prepayments and accrued income | 477,311 | 245,040 |
8,538,452 | 8,485,151 |
Amounts falling due after more than one | year: |
Amounts recoverable on contract | 905,083 | 1,080,290 |
Aggregate amounts | 9,443,535 | 9,565,441 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 18) | 266,682 | 266,667 |
Other loans (see note 18) | 361,999 | 594,870 |
Hire purchase contracts (see note 19) | 41,785 | 42,051 |
Trade creditors | 5,425,492 | 4,904,516 |
Tax | 92,064 | 138,988 |
Social security and other taxes | 567,717 | 696,180 |
VAT | - | 73,391 | - | - |
Other creditors | 1,889,882 | 1,268,553 |
Directors' current accounts | - | 10,050 | - | - |
Accrued expenses | 217,512 | 158,716 |
8,863,133 | 8,153,982 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2023 | 2022 |
£ | £ |
Bank loans (see note 18) | 600,001 | 866,667 |
Hire purchase contracts (see note 19) | 53,923 | 96,119 |
653,924 | 962,786 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank overdrafts | 15 | - |
Bank loans | 266,667 | 266,667 |
Other loans | 361,999 | 594,870 |
628,681 | 861,537 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 255,556 | 266,667 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 344,445 | 522,222 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans repayable after |
more than five years | - | 77,778 | - | - |
- | 77,778 | - | - |
The above total loan balance includes loan notes totalling £nil (2022: £103,905) which are repayable over a term of within one year at an interest rate of 3.75%. The loan notes have been fully repaid during the current financial year. |
The remainder of the above other loans represent the liability element of the "Ordinary Redeemable B Shares" and totals £362,000 (2022: £490,964) at the year end. This amount represents the present value of the total value of the shares, being £500,000, which has been discounted at an interest rate of 3.75% over a period of 3 and a half years, when the shares must be redeemed. The shares are being redeemed at a rate of one share per month until December 2023, when the final redemption will be made. The entity is obligated to redeem the shares under contractual agreement, therefore the remaining value of share capital is presented fully as a financial liability. |
The interest rate of 3.75% has been used to mirror the rate of the loan notes. Included in the loan value outstanding at the year end is £9,036 (2022: £17,746) which represents the unwinding of the loan at 3.75% over the past 12 months. The remainder of the "Ordinary Redeemable B Shares" are classified as equity as per Note 22. |
Bank loans bear an interest rate of 3.99% APR over base. |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
19. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 41,785 | 42,051 |
Between one and five years | 53,923 | 96,119 |
95,708 | 138,170 |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 43,500 | 45,000 |
Between one and five years | - | 22,500 |
43,500 | 67,500 |
The total expense during the period in respect of non-cancellable operating leases was £66,000 (2022: £45,000). These commitments relate to two rented premises with break clauses dated 31/12/2023 and June 2024. |
20. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank overdraft | 15 | - |
Bank loans | 866,668 | 1,133,334 |
Loan Notes | - | 103,905 | - | 103,905 |
866,683 | 1,237,239 |
The bank loans and overdraft facilities are secured by way of a debenture including a fixed charge over all present freehold and leasehold property; First fixed charge over book and other debts, chattels, goodwill and uncalled capital, both present and future; and first floating charge over all assets and undertaking both present and future. |
Hire purchase liabilities are all secured on the assets concerned. |
Loan notes are secured by way of fixed and floating charges over the assets of the company and undertaking assets. |
21. | PROVISIONS FOR LIABILITIES |
Group |
2023 | 2022 |
£ | £ |
Deferred tax | 105,878 | 82,404 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
21. | PROVISIONS FOR LIABILITIES - continued |
Group |
Deferred |
tax |
£ |
Balance at 1 July 2022 | 82,404 |
Charge to Statement of Comprehensive Income during year | 6,374 |
Fair value asset rate change | 17,100 |
Balance at 30 June 2023 | 105,878 |
22. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
A Ordinary | £1 | 75 | 75 |
Ordinary Redeemable B | £20,000 | - | 9,036 |
75 | 9,111 |
The Ordinary Redeemable B Shares are now presented fully as a financial liability in accordance with the applicable Accounting Standards and the underlying substance of the balance, being a contractual obligation to deliver cash. The share value of £nil (2022: £9,036) represents the unwound present value of the equity element of the redeemable shares, unwound at an interest rate of 3.75% over a period of 3 and a half years when the shares will be redeemed. |
During the financial year 7 Ordinary Redeemable "B" Shares were redeemed at par, reducing the total number of shares of this type to 18 from 25. |
23. | RESERVES |
Group |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
At 1 July 2022 | 3,487,108 | 152,850 | 3,639,958 |
Profit for the year | 787,914 | 787,914 |
Dividends | (483,837 | ) | (483,837 | ) |
Deferred tax | - | (17,100 | ) | (17,100 | ) |
At 30 June 2023 | 3,791,185 | 135,750 | 3,926,935 |
Company |
Retained |
earnings |
£ |
At 1 July 2022 |
Profit for the year |
Dividends | ( |
) |
At 30 June 2023 |
Stortford Holdings Limited (Registered number: 11525761) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 June 2023 |
24. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to directors subsisted during the years ended 30 June 2023 and 30 June 2022: |
2023 | 2022 |
£ | £ |
J P Nania |
Balance outstanding at start of year | 3,854 | (41,948 | ) |
Amounts advanced | 190,483 | 149,247 |
Amounts repaid | (194,337 | ) | (103,445 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | 3,854 |
S F Shearing |
Balance outstanding at start of year | (5,000 | ) | (10,000 | ) |
Amounts advanced | 147,500 | 125,000 |
Amounts repaid | (142,500 | ) | (120,000 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | (5,000 | ) |
S Harvey |
Balance outstanding at start of year | 15,136 | 10,136 |
Amounts advanced | 147,500 | 125,000 |
Amounts repaid | (142,500 | ) | (120,000 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 20,136 | 15,136 |
J J Sheehan |
Balance outstanding at start of year | (5,000 | ) | (10,000 | ) |
Amounts advanced | 147,500 | 125,000 |
Amounts repaid | (142,500 | ) | (120,000 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | (5,000 | ) |
All directors loans were provided on the basis that they were repayable on demand and interest free. |
Guarantees |
Each of the Directors: James Nania, James Sheehan, Steve Harvey and Scott Shearing have entered into personal guarantee's with HSBC to the value of £20,000 that are in existence at the year end. These guarantee's are in respect of the recovery loan. |
25. | ULTIMATE CONTROLLING PARTY |
There is no one ultimate controlling party. |