Company registration number 10918814 (England and Wales)
Lustrum Retail Limited
Unaudited financial statements
For the year ended 31 August 2023
Lustrum Retail Limited
Contents
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 6
Lustrum Retail Limited
Balance sheet
As at 31 August 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Investment property
3
7,510,752
6,000,000
Current assets
Debtors
4
543,143
484,946
Cash at bank and in hand
86,566
13,027
629,709
497,973
Creditors: amounts falling due within one year
5
(2,989,645)
(3,442,344)
Net current liabilities
(2,359,936)
(2,944,371)
Total assets less current liabilities
5,150,816
3,055,629
Creditors: amounts falling due after more than one year
6
(3,542,962)
(1,763,205)
Provisions for liabilities
7
(467,784)
(270,127)
Net assets
1,140,070
1,022,297
Capital and reserves
Called up share capital
8
1,350
1,350
Non-distributable profits reserve
9
1,553,352
1,301,593
Distributable profit and loss reserves
(414,632)
(280,646)
Total equity
1,140,070
1,022,297
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 31 August 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.
Lustrum Retail Limited
Balance sheet (CONTINUED)
As at 31 August 2023
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 15 April 2024 and are signed on its behalf by:
Mr E C Chantler
Director
Company registration number 10918814 (England and Wales)
Lustrum Retail Limited
Notes to the financial statements
For the year ended 31 August 2023
- 3 -
1
Accounting policies
Company information
Lustrum Retail Limited is a private company limited by shares incorporated in England and Wales. The registered office is 17 Alvaston Business Park, Middlewich Road, Cheshire, CW5 6PF, Nantwich. The business address is 4th Floor, Steam Mill Business Centre, Steam Mill Street, Chester, CH3 5AN.
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 investment properties at fair value. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover represents rental and other related income and is recognised at the fair value of the consideration received or receivable, net of VAT.
1.3
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 (lease premiums) and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.
1.4
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.
1.5
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.
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.
1.6
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
Lustrum Retail Limited
Notes to the financial statements (CONTINUED)
For the year ended 31 August 2023
1
Accounting policies
(Continued)
- 4 -
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
4
4
3
Investment property
2023
£
Fair value
At 1 September 2022
6,000,000
Additions
1,061,336
Revaluations
449,416
At 31 August 2023
7,510,752
The investment property was valued on an open market basis, as at 31 August 2023 by the directors of the company.
The investment property is held under a lease which includes an annual commitment for ground rent of £17,500 for 250 years from 2020.
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
129,777
101,402
Unpaid share capital
1,350
1,350
Other debtors
296,363
262,003
Prepayments and accrued income
115,653
120,191
543,143
484,946
Lustrum Retail Limited
Notes to the financial statements (CONTINUED)
For the year ended 31 August 2023
- 5 -
5
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
102,256
179,600
Other borrowings
1,523,550
1,523,550
Trade creditors
31,926
(551)
Taxation and social security
19,267
Deferred income
138,391
87,093
Other creditors
1,100,224
1,539,055
Accruals and deferred income
74,031
113,597
2,989,645
3,442,344
The bank loans are secured by a fixed charge over the investment property and floating charges over the assets of the company.
Included in other creditors is a loan from a related party of £1,100,224 (2022 - £1,530,383), which is secured by way of a fixed charge over the property.
6
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
3,542,962
1,763,205
The bank loans are secured by a fixed charge over the investment property and floating charges over the assets of the company.
7
Provisions for liabilities
2023
2022
£
£
Deferred tax liabilities
467,784
270,127
8
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and not fully paid
A Ordinary shares of £1 each
1,080
1,080
1,080
1,080
B Ordinary shares of £1 each
270
270
270
270
1,350
1,350
1,350
1,350
Lustrum Retail Limited
Notes to the financial statements (CONTINUED)
For the year ended 31 August 2023
- 6 -
9
Non-distributable profits reserve
2023
2022
£
£
At the beginning of the year
1,301,593
1,220,207
Non distributable profits in the year
251,759
81,386
At the end of the year
1,553,352
1,301,593
Non-distributable reserves represents the fair value increase of the investment property above its original cost less the associated deferred tax liability. During the year the fair value increase was £449,416 (2022 - increase of £100,477) and there was an increase in the deferred tax liability of £197,657 (2022 - increase £19,091).
10
Related party transactions
Transactions with related parties
During the year the company entered into the following transactions with related parties:
Loan interest and other similar charges
Expenditure
2023
2022
2023
2022
£
£
£
£
Entities under the control of key management personnel
292,292
262,855
9,051
24,729
The following amounts were outstanding at the reporting end date:
2023
2022
Amounts due to related parties
£
£
Entities under the control of key management personnel
1,106,091
1,551,149
Shareholders
1,523,550
1,523,550