Company registration number 05922868 (England and Wales)
BAYNARDS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2023
PAGES FOR FILING WITH REGISTRAR
BAYNARDS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
BAYNARDS LIMITED
BALANCE SHEET
AS AT
30 SEPTEMBER 2023
30 September 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
500,001
Current assets
Debtors
5
2,143
212,952
Investments
6
450,000
Cash at bank and in hand
341,583
112,326
793,726
325,278
Creditors: amounts falling due within one year
7
(327,300)
(128,316)
Net current assets
466,426
196,962
Total assets less current liabilities
466,426
696,963
Creditors: amounts falling due after more than one year
8
(183,270)
Provisions for liabilities
(33,360)
(45,860)
Net assets
433,066
467,833
Capital and reserves
Called up share capital
100
100
Fair value reserve
9
187,391
224,891
Profit and loss reserves
245,575
242,842
Total equity
433,066
467,833
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 30 September 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 members have 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.
BAYNARDS LIMITED
BALANCE SHEET (CONTINUED)
AS AT
30 SEPTEMBER 2023
30 September 2023
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 22 March 2024 and are signed on its behalf by:
L Thomas
Director
Company registration number 05922868 (England and Wales)
BAYNARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2023
- 3 -
1
Accounting policies
Company information
Baynards Limited is a private company limited by shares incorporated in England and Wales. The registered office is 42 Chapel Lane, Letty Green, Hertford, Hertfordshire, SG14 2PA.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
1.2
Going concern
At the balance sheet date the directors had decided to sell the remaining investment property and subsequently wind up the company, as such, the accounts have been prepared on the break up basis. The investment property has been reallocated from fixed assets to current assets and the long term loan has been reallocated to creditors due within one year.true
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable, provided in the normal course of business, and is shown net of VAT and other sales related taxes. Turnover represents the value of gross rents receivable for the year.
1.4
Investment property
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in the fair value reserve.
1.5
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant and equipment
25% Straight Line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.6
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
BAYNARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 4 -
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8
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.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
BAYNARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 5 -
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
3
3
BAYNARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2023
- 6 -
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost or valuation
At 1 October 2022
500,000
21,636
521,636
Disposals
(21,636)
(21,636)
Revaluation
(50,000)
(50,000)
Transfers
(450,000)
(450,000)
At 30 September 2023
Depreciation and impairment
At 1 October 2022
21,635
21,635
Eliminated in respect of disposals
(21,635)
(21,635)
At 30 September 2023
Carrying amount
At 30 September 2023
At 30 September 2022
500,000
1
500,001
The land and buildings relate to freehold investment property. The investment property was revalued to £450,000 on 30 September 2023. The valuation was made by the directors on an open market value basis by reference to market evidence of transaction prices for similar properties.
The investment property has been transferred from tangible fixed assets to current asset investments during the year as the property was held for sale.
Historical cost
There is no cumulative depreciation based on historical cost for 2022.
Freehold Land and Buildings
2023
2022
£
£
Cost
-
229,249
BAYNARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2023
- 7 -
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
200
200
Other debtors
1,943
212,752
2,143
212,952
6
Current asset investments
2023
2022
£
£
Investment property held for sale
450,000
The current asset investment consists of an investment property that has been transferred from tangible fixed assets on the basis that it was held for sale during the year.
7
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
183,270
Corporation tax
3,108
2,443
Other creditors
140,922
125,873
327,300
128,316
The bank loan is secured by way of a charge over the company's investment property.
8
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
183,270
The bank loans and mortgages are secured by way of a charge over the company's investment property.
Creditors which fall due after five years are as follows:
2023
2022
£
£
Payable other than by instalments
-
183,270
BAYNARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2023
- 8 -
9
Fair value reserve
2023
2022
£
£
At the beginning of the year
224,891
401,554
Loss on fair value adjustments
(50,000)
Effect of change in tax rate arising on deferred tax provision arising on revaluation
-
(10,377)
Reversal of deferred tax liability on sale
12,500
10,631
Fair value adjustment transferred to profit or loss on sale of investment property
(176,917)
At the end of the year
187,391
224,891
10
Subsequent Events
On 9 February 2024 the client completed on the sale of the remaining investment property for a sales price of £450,000.
11
Related party transactions
The following amounts were outstanding at the reporting end date:
2023
2022
Amounts due to related parties
£
£
Thomas Arthur & Gordon Limited
120,070
119,187
B A S Thomas is a director and shareholder of Thomas Arthur & Gordon Limited.
The above loan is interest free and repayable on demand
12
Directors' transactions
During the year the company continued to provide a loan to the director, B A S Thomas, on which interest has been charged at 2%. This loan is repayable on demand. Further advances totalling £32,247 were made during the year and the loan balance was fully repaid to the company during the year.
During the year the director provided a loan to the company totalling £10,630 which remained outstanding at the year end date.
Description
% Rate
Opening balance
Amounts advanced
Interest charged
Amounts repaid
Closing balance
£
£
£
£
£
B Thomas -
2.00
210,809
34,247
3,390
(259,076)
(10,630)
210,809
34,247
3,390
(259,076)
(10,630)
13
Ultimate controlling party
The company is under the control of B A S Thomas.