Company registration number 9450992 (England and Wales)
BOWER HOMES LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023
PAGES FOR FILING WITH REGISTRAR
BOWER HOMES LIMITED
CONTENTS
Page
Balance sheet
1
Statement of changes in equity
2
Notes to the financial statements
3 - 6
BOWER HOMES LIMITED
BALANCE SHEET
AS AT
28 FEBRUARY 2023
28 February 2023
- 1 -
2023
2022
as restated
Notes
£
£
£
£
Current assets
Stocks
438,713
555,812
Debtors
3
4,359
110
Cash at bank and in hand
329,716
444,623
772,788
1,000,545
Creditors: amounts falling due within one year
4
(581,169)
(636,012)
Net current assets
191,619
364,533
Creditors: amounts falling due after more than one year
5
(35,153)
(357,751)
Net assets
156,466
6,782
Capital and reserves
Called up share capital
110
110
Profit and loss reserves
156,356
6,672
Total equity
156,466
6,782
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 28 February 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 29 November 2023 and are signed on its behalf by:
Mr J Arnold
Director
Company Registration No. 9450992
BOWER HOMES LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 2 -
Share capital
Profit and loss reserves
Total
£
£
£
As restated for the period ended 28 February 2022:
Balance at 1 March 2021
110
22,831
22,941
Year ended 28 February 2022:
Loss and total comprehensive income for the year
-
(16,159)
(16,159)
Balance at 28 February 2022
110
6,672
6,782
Year ended 28 February 2023:
Profit and total comprehensive income for the year
-
149,684
149,684
Balance at 28 February 2023
110
156,356
156,466
BOWER HOMES LIMITED
STATEMENT OF CHANGES IN EQUITY (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 3 -
1
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.
2
Accounting policies
Company information
Bower Homes Limited is a private company limited by shares incorporated in England and Wales. The registered office is River House, 1 Maidstone Road, Sidcup, Kent, United Kingdom, DA14 5RH.
2.1
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.
2.2
Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.
2.3
Stocks
Work in progress, being property development, is valued at the lower of cost and net realisable value. The company capitalises interest on specific finance raised once development commences and until practical completion, based on the total actual finance cost incurred on borrowings during the year.
2.4
Cash and cash equivalents
Cash and cash equivalents in the balance sheet comprise cash at banks and in hand and short term deposits with an original maturity date of three months or less.
2.5
Financial instruments
Basic financial assets
Trade and other receivables are measured at transaction price less any impairment unless the arrangement
constitutes a financing transaction in which case the transaction is measured at the present value of the future receipts discounted at the prevailing market rate of interest . Loans are initially measured at fair value and are subsequently measured at amortised cost using the effective interest method less any impairment.
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.
BOWER HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023
2
Accounting policies
(Continued)
- 4 -
Basic financial liabilities
Trade and other payables are measured at their transaction price unless the arrangement constitutes a financing transaction in which case the transaction is measured at present value of future payments discounted at prevailing market rate of interest. Other financial liabilities are initially measured at fair value net of their transaction costs. They are subsequently measured at amortised cost using the effective interest method.
2.6
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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.
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.
2.7
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2.8
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group, or those which have been deemed to have been transacted under normal market conditions.
BOWER HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
2
Accounting policies
(Continued)
- 5 -
2.9
Significant judgements and estimates
The preparation of financial statements requires management to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 a continuing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
There are no significant judgements or estimates included within these financial statements.
3
Debtors
2023
2022
Amounts falling due within one year:
£
£
Other debtors
4,359
110
4
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
6,220
6,220
Trade creditors
1,446
41
Corporation tax
31,340
3,337
Other creditors
542,163
626,414
581,169
636,012
Included within bank loans is the current portion of a BBLS totalling £6,220 (2022: £6,220) . The full term is 6 years, inclusive of a 12 month interest free period which is subsidised by the government in full. It attracts a fixed interest rate of 2.50% from the 13th month.
5
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
35,153
357,751
BOWER HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
5
Creditors: amounts falling due after more than one year
(Continued)
- 6 -
Included within bank loans is the non current portion of a BBLS totalling £35,153 (2022: £40,251). The full term is 6 years, inclusive of a 12 month interest free period which is subsidised by the government in full. It attracts a fixed interest rate of 2.50% from the 13th month.
Also included within bank loans is a mortgage totalling £0 (2022: £317,053).
The legal mortgage included under bank loans is secured by way of a fixed charge dated 14/09/2018 in relation to the following:
- all legal interest in the property.
- all rents receivable from any lease granted.
- all of the goodwill of the owner's business carried out on at the property.
- all fixtures and fittings, plant and machinery not forming part of the property.
6
Prior period adjustment
Reconciliation of changes in equity
1 March
28 February
2021
2022
£
£
Adjustments to prior year
Overprovision of prior year corporation tax deemed material
-
37,995
Equity as previously reported
22,941
(31,213)
Equity as adjusted
22,941
6,782
Analysis of the effect upon equity
Profit and loss reserves
-
37,995
Reconciliation of changes in loss for the previous financial period
2022
£
Adjustments to prior year
Overprovision of prior year corporation tax deemed material
37,995
Loss as previously reported
(54,154)
Loss as adjusted
(16,159)