IRIS Accounts Production v23.3.0.418 SC048634 Board of Directors 1.5.22 30.4.23 30.4.23 hoteliers. ++ REVIEW OF BUSINESS The results for the year and financial position of the company are as shown in the annexed financial statements. ++ The result for the year is considered to be satisfactory for the year in light of current economic conditions. ++ KEY INDICATORS ++ The company monitors occupancy levels in the local areas of each hotel to ensure it is operating competitively within its markets. true false true true false false true false Ordinary 1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureSC0486342022-04-30SC0486342023-04-30SC0486342022-05-012023-04-30SC0486342021-04-30SC0486342021-05-012022-04-30SC0486342022-04-30SC048634ns16:Scotland2022-05-012023-04-30SC048634ns15:PoundSterling2022-05-012023-04-30SC048634ns11:Director12022-05-012023-04-30SC048634ns11:CompanySecretary12022-05-012023-04-30SC048634ns11:PrivateLimitedCompanyLtd2022-05-012023-04-30SC048634ns11:FRS1022022-05-012023-04-30SC048634ns11:Audited2022-05-012023-04-30SC048634ns11:LargeMedium-sizedCompaniesRegimeForDirectorsReport2022-05-012023-04-30SC048634ns11:LargeMedium-sizedCompaniesRegimeForAccounts2022-05-012023-04-30SC048634ns11:FullAccounts2022-05-012023-04-30SC048634ns11:OrdinaryShareClass12022-05-012023-04-30SC048634ns11:Director22022-05-012023-04-30SC048634ns11:Director32022-05-012023-04-30SC048634ns11:RegisteredOffice2022-05-012023-04-30SC048634ns6:CurrentFinancialInstruments2023-04-30SC048634ns6:CurrentFinancialInstruments2022-04-30SC048634ns6:ShareCapital2023-04-30SC048634ns6:ShareCapital2022-04-30SC048634ns6:RetainedEarningsAccumulatedLosses2023-04-30SC048634ns6:RetainedEarningsAccumulatedLosses2022-04-30SC048634ns6:ShareCapital2021-04-30SC048634ns6:RetainedEarningsAccumulatedLosses2021-04-30SC048634ns6:RetainedEarningsAccumulatedLosses2021-05-012022-04-30SC048634ns6:RetainedEarningsAccumulatedLosses2022-05-012023-04-30SC04863442022-05-012023-04-30SC04863442021-05-012022-04-30SC04863412022-05-012023-04-30SC048634ns6:OwnedOrFreeholdAssetsns6:LandBuildings2022-05-012023-04-30SC048634ns6:PlantMachinery2022-05-012023-04-30SC048634ns6:FurnitureFittings2022-05-012023-04-30SC048634ns11:HighestPaidDirector2022-05-012023-04-30SC048634ns11:HighestPaidDirector2021-05-012022-04-30SC048634ns6:PlantEquipmentOtherAssetsUnderOperatingLeases2022-05-012023-04-30SC048634ns6:PlantEquipmentOtherAssetsUnderOperatingLeases2021-05-012022-04-30SC048634ns6:OwnedAssets2022-05-012023-04-30SC048634ns6:OwnedAssets2021-05-012022-04-30SC048634ns11:OrdinaryShareClass12021-05-012022-04-30SC048634ns6:LandBuildings2022-04-30SC048634ns6:PlantMachinery2022-04-30SC048634ns6:FurnitureFittings2022-04-30SC048634ns6:LandBuildings2022-05-012023-04-30SC048634ns6:LandBuildings2023-04-30SC048634ns6:PlantMachinery2023-04-30SC048634ns6:FurnitureFittings2023-04-30SC048634ns6:LandBuildings2022-04-30SC048634ns6:PlantMachinery2022-04-30SC048634ns6:FurnitureFittings2022-04-30SC048634ns6:WithinOneYearns6:CurrentFinancialInstruments2023-04-30SC048634ns6:WithinOneYearns6:CurrentFinancialInstruments2022-04-30SC048634ns6:DeferredTaxation2022-04-30SC048634ns6:DeferredTaxation2022-05-012023-04-30SC048634ns6:DeferredTaxation2023-04-30SC048634ns11:OrdinaryShareClass12023-04-30SC048634ns6:RetainedEarningsAccumulatedLosses2022-04-30SC0486342ns11:Director22022-04-30SC0486342ns11:Director22021-04-30SC0486342ns11:Director22022-05-012023-04-30SC0486342ns11:Director22021-05-012022-04-30SC0486342ns11:Director22023-04-30SC0486342ns11:Director22022-04-30
REGISTERED NUMBER: SC048634 (Scotland)













STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2023

FOR

SAMUEL SOLLEY (HOTELS) LIMITED

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 4

Statement of Comprehensive Income 7

Balance Sheet 8

Statement of Changes in Equity 9

Cash Flow Statement 10

Notes to the Cash Flow Statement 11

Notes to the Financial Statements 12


SAMUEL SOLLEY (HOTELS) LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 30 APRIL 2023







DIRECTORS: S H Solley
L A Solley
I S Solley





SECRETARY: I S Solley





REGISTERED OFFICE: Kings Manor Hotel
100 Milton Road East
EDINBURGH
EH15 2NP





REGISTERED NUMBER: SC048634 (Scotland)





AUDITORS: Bannerman Johnstone Maclay
Chartered Accountants
and Statutory Auditor
213 St Vincent Street
Glasgow
G2 5QY

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2023


The directors present their strategic report for the year ended 30 April 2023.

The principal activity of the company in the year under review was that of hoteliers.

REVIEW OF BUSINESS
The results for the year and financial position of the company are shown in the annexed financial statements.

The directors are pleased with the results for the year in light of the current economic conditions, with occupancy rates and revenue per available room increasing in comparison to the previous year.

The results since the year end have seen a continued improvement in revenue per available room and the directors are confident the business will remain profitable in the coming year.

FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES
Whilst the immediate risk faced by the business as a result of the pandemic has receded, the company still remains exposed to a variety of financial risks, price risk, liquidity risk and credit risk. The company's overall market risk management programme focuses on the unpredictability of the ever changing market. The company does not use derivative financial instruments to manage risk and as such, no hedge accounting is applied.

The policies set by the board of directors are implemented by the company's finance departments under the supervision of the directors.

PRICE RISK
The company is exposed to commodity price risk as a result of its operations and to manage price risk, monitoring of prices is carried out monthly. Where appropriate, prices are negotiated in advance for the coming year.

CREDIT RISK
The company has implemented a policy that requires credit checks on potential customers before sales are made. The amount of exposure to any individual company is subject to a limit, which is reassessed regularly by the Board.

LIQUIDITY RISK
The company continues to have sufficient funds for its operations and was able to repay its remaining bank loans during the year.

Staff recruitment and retention continues to pose problems due to the inflationary pressures on wages. The gas and electricity price rises both pre and post year-end have also had an impact on liquidity. We continue to look at ways of mitigating these extra costs.

KEY PERFORMANCE INDICATORS
The company monitors occupancy levels in the local areas of each hotel to ensure it is operating competitively within its markets. We have recently adopted a more aggressive pricing strategy which is starting to show better yield.

CARBON FOOTPRINT
When refurbishments are carried out, consideration is given to energy efficiency.

ON BEHALF OF THE BOARD:





I S Solley - Secretary


22 November 2023

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 APRIL 2023


The directors present their report with the financial statements of the company for the year ended 30 April 2023.

DIVIDENDS
There were dividends of £119,995 for the year ended 30th April 2023 (2022: nil).

DIRECTORS
The directors shown below have held office during the whole of the period from 1 May 2022 to the date of this report.

S H Solley
L A Solley
I S Solley

CHARITABLE DONATIONS AND EXPENDITURE
During the year the company was involved in many charitable fund raising events.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the 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 of the profit or loss of the company 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 transactions and disclose with reasonable accuracy at any time the financial position of the company 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 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 company'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 company's auditors are aware of that information.

AUDITORS
The auditors, Bannerman Johnstone Maclay, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:



I S Solley - Secretary


22 November 2023

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
SAMUEL SOLLEY (HOTELS) LIMITED


Opinion
We have audited the financial statements of Samuel Solley (Hotels) Limited (the 'company') for the year ended 30 April 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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 company's affairs as at 30 April 2023 and of its 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 company 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 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 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 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 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
SAMUEL SOLLEY (HOTELS) LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the 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, or returns adequate for our audit have not been received from branches not visited by us; or
- the 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 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 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:

- We obtained an understanding of the legal and regulatory frameworks applicable to the company and the sector
in which it operates. We determined that the following laws and regulations were the most significant: the
Companies Act 2006 and UK corporate taxation laws.
- We obtained an understanding of how the company is complying with those legal and regulatory frameworks by
making enquires to the management.
- We assessed the susceptibility of the company's financial statements to material misstatement, including how
fraud might occur. Audit procedures performed by the engagement team included:

- identifying and assessing the design and effectiveness of controls management has in place to prevent and
detect fraud;

- understanding how those charged with governance considered and addressed the potential for override of
controls or other inappropriate influence over the financial reporting process;
- challenging assumptions and judgements made by management in its significant accounting estimates;

- identifying and testing journal entries, in particular any journal entries posted with unusual accounting
combinations; and
- assessing the extent of compliance with relevant laws and regulations.

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
SAMUEL SOLLEY (HOTELS) LIMITED


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.




Douglas Paton BSc CA (Senior Statutory Auditor)
for and on behalf of Bannerman Johnstone Maclay
Chartered Accountants
and Statutory Auditor
213 St Vincent Street
Glasgow
G2 5QY

22 November 2023

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 APRIL 2023

2023 2022
Notes £    £   

TURNOVER 7,990,440 6,619,470

Cost of sales 1,663,585 1,326,383
GROSS PROFIT 6,326,855 5,293,087

Administrative expenses 6,041,786 4,923,259
285,069 369,828

Other operating income - 249,639
OPERATING PROFIT 4 285,069 619,467

Interest receivable and similar income 14,466 4,258
299,535 623,725

Interest payable and similar expenses 5 3,683 11,545
PROFIT BEFORE TAXATION 295,852 612,180

Tax on profit 6 124,655 142,901
PROFIT FOR THE FINANCIAL YEAR 171,197 469,279

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

171,197

469,279

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

BALANCE SHEET
30 APRIL 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 8 5,320,083 5,492,027

CURRENT ASSETS
Stocks 9 53,237 52,751
Debtors 10 373,473 420,535
Cash at bank and in hand 1,407,250 1,590,961
1,833,960 2,064,247
CREDITORS
Amounts falling due within one year 11 1,301,333 1,795,706
NET CURRENT ASSETS 532,627 268,541
TOTAL ASSETS LESS CURRENT
LIABILITIES

5,852,710

5,760,568

PROVISIONS FOR LIABILITIES 13 159,201 118,261
NET ASSETS 5,693,509 5,642,307

CAPITAL AND RESERVES
Called up share capital 14 58,534 58,534
Retained earnings 15 5,634,975 5,583,773
SHAREHOLDERS' FUNDS 5,693,509 5,642,307

The financial statements were approved by the Board of Directors and authorised for issue on 22 November 2023 and were signed on its behalf by:





S H Solley - Director


SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2023

Called up
share Retained Total
capital earnings equity
£    £    £   

Balance at 1 May 2021 58,534 5,114,494 5,173,028

Changes in equity
Total comprehensive income - 469,279 469,279
Balance at 30 April 2022 58,534 5,583,773 5,642,307

Changes in equity
Dividends - (119,995 ) (119,995 )
Total comprehensive income - 171,197 171,197
Balance at 30 April 2023 58,534 5,634,975 5,693,509

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

CASH FLOW STATEMENT
FOR THE YEAR ENDED 30 APRIL 2023

2023 2022
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 615,573 1,287,925
Interest paid (3,683 ) (11,545 )
Tax paid (73,189 ) -
Net cash from operating activities 538,701 1,276,380

Cash flows from investing activities
Purchase of tangible fixed assets (37,099 ) (55,570 )
Interest received 10,466 258
Interest on directors loan received 4,000 8,500
Net cash from investing activities (22,633 ) (46,812 )

Cash flows from financing activities
Loan repayments in year (579,784 ) (692,315 )
Equity dividends paid (119,995 ) -
Net cash from financing activities (699,779 ) (692,315 )

(Decrease)/increase in cash and cash equivalents (183,711 ) 537,253
Cash and cash equivalents at beginning of
year

2

1,590,961

1,053,708

Cash and cash equivalents at end of year 2 1,407,250 1,590,961

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE CASH FLOW STATEMENT
FOR THE YEAR ENDED 30 APRIL 2023


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
2023 2022
£    £   
Profit before taxation 295,852 612,180
Depreciation charges 209,043 207,924
Finance costs 3,683 11,545
Finance income (14,466 ) (4,258 )
494,112 827,391
Increase in stocks (486 ) (5,168 )
Increase in trade and other debtors (3,314 ) (27,558 )
Increase in trade and other creditors 125,261 493,260
Cash generated from operations 615,573 1,287,925

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 April 2023
30.4.23 1.5.22
£    £   
Cash and cash equivalents 1,407,250 1,590,961
Year ended 30 April 2022
30.4.22 1.5.21
£    £   
Cash and cash equivalents 1,590,961 1,053,708


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.5.22 Cash flow At 30.4.23
£    £    £   
Net cash
Cash at bank and in hand 1,590,961 (183,711 ) 1,407,250
1,590,961 (183,711 ) 1,407,250
Debt
Debts falling due within 1 year (579,784 ) 579,784 -
(579,784 ) 579,784 -
Total 1,011,177 396,073 1,407,250

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023


1. STATUTORY INFORMATION

Samuel Solley (Hotels) Limited is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


2. ACCOUNTING POLICIES

Basis of preparing the financial statements
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. The financial statements have been prepared under the historical cost convention.

Critical accounting judgements and key sources of estimation uncertainty
The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the Balance sheet date and the amounts reported during the year for revenue and costs. However the nature of estimation means that actual outcomes could differ from those estimates. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the useful economic lives and residual values of the assets. Useful lives and residual values are reassessed annually. They are assessed where necessary to reflect current estimates based on economic utilisation and physical condition.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold property - 2% on cost
Plant and machinery - 20% on cost and 10% on cost
Fixtures and fittings - 10% on cost

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


2. ACCOUNTING POLICIES - continued

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 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 certain debtors and cash and bank balances, are initially measured at transaction price including transactions 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.

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 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. 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. .

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the 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.


SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


2. ACCOUNTING POLICIES - continued
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.

Hire purchase and leasing commitments
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 company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Stocks
Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items and consists of liquor, food and sundry items.


3. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 3,439,001 3,072,031
Social security costs 335,816 287,532
Other pension costs 109,955 148,011
3,884,772 3,507,574

The average number of employees during the year was as follows:
2023 2022

Staff 213 202
Directors 3 3
216 205

2023 2022
£    £   
Directors' remuneration 250,000 238,993
Directors' pension contributions to money purchase schemes 20,000 40,000

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 1 1

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


3. EMPLOYEES AND DIRECTORS - continued

Information regarding the highest paid director is as follows:
2023 2022
£    £   
Emoluments etc 100,000 100,000
Pension contributions to money purchase schemes 20,000 40,000

4. OPERATING PROFIT

The operating profit is stated after charging:

2023 2022
£    £   
Hire of plant and machinery 8,517 8,396
Depreciation - owned assets 209,043 207,924
Auditors' remuneration 16,225 18,125

5. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Bank loan interest 3,683 11,545

6. 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 83,715 123,565

Deferred tax:
Timing differences origination
and reversal 40,940 19,336
Tax on profit 124,655 142,901

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


6. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2023 2022
£    £   
Profit before tax 295,852 612,180
Profit multiplied by the standard rate of corporation tax in the UK of
19.493% (2022 - 19%)

57,670

116,314

Effects of:
Expenses not deductible for tax purposes 2,962 5,041
Depreciation in excess of capital allowances 23,083 13,988
Deferred tax 40,940 19,336
Loss utilised in year - (11,778 )
Total tax charge 124,655 142,901

7. DIVIDENDS
2023 2022
£    £   
Ordinary shares of £1 each
Interim 119,995 -

8. TANGIBLE FIXED ASSETS
Fixtures
Freehold Plant and and
property machinery fittings Totals
£    £    £    £   
COST
At 1 May 2022 9,080,964 63,811 1,332,699 10,477,474
Additions - 34,110 2,989 37,099
At 30 April 2023 9,080,964 97,921 1,335,688 10,514,573
DEPRECIATION
At 1 May 2022 3,670,457 44,787 1,270,203 4,985,447
Charge for year 181,102 9,668 18,273 209,043
At 30 April 2023 3,851,559 54,455 1,288,476 5,194,490
NET BOOK VALUE
At 30 April 2023 5,229,405 43,466 47,212 5,320,083
At 30 April 2022 5,410,507 19,024 62,496 5,492,027

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


9. STOCKS
2023 2022
£    £   
Stocks 53,237 52,751

There is no material difference between the replacement cost of stocks and their balance sheet amounts.


10. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 27,615 29,316
Directors' loan accounts 200,000 200,000
Tax 65,000 115,376
Prepayments and accrued income 80,858 75,843
373,473 420,535

11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Bank loans and overdrafts (see note 12) - 579,784
Trade creditors 206,725 230,576
Tax 83,715 123,565
Social security and other taxes 55,633 47,942
VAT 259,744 181,400
Other creditors 139,475 127,703
Accrued expenses 556,041 504,736
1,301,333 1,795,706

12. LOANS

An analysis of the maturity of loans is given below:

2023 2022
£    £   
Amounts falling due within one year or on demand:
Bank loans - 579,784

13. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax
Accelerated capital allowances 159,201 118,261

SAMUEL SOLLEY (HOTELS) LIMITED (REGISTERED NUMBER: SC048634)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


13. PROVISIONS FOR LIABILITIES - continued

Deferred
tax
£   
Balance at 1 May 2022 118,261
Provided during year 40,940
Balance at 30 April 2023 159,201

14. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
58,534 Ordinary £1 58,534 58,534

15. RESERVES
Retained
earnings
£   

At 1 May 2022 5,583,773
Profit for the year 171,197
Dividends (119,995 )
At 30 April 2023 5,634,975

16. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 30 April 2023 and 30 April 2022:

2023 2022
£    £   
L A Solley
Balance outstanding at start of year 200,000 204,500
Amounts advanced 4,000 4,000
Amounts repaid (4,000 ) (8,500 )
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year 200,000 200,000

There was an interest rate of 2% (2022: 2.25%) charged on the loan during the year.