Company Registration Number 05049788 (England and Wales)
SENEX CAPITAL LIMITED
ACCOUNTS
FOR THE PERIOD ENDED 31 OCTOBER 2023
PAGES FOR FILING WITH REGISTRAR
SENEX CAPITAL LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 9
SENEX CAPITAL LIMITED
BALANCE SHEET
AS AT
31 OCTOBER 2023
31 October 2023
- 1 -
31 October 2023
30 April 2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
23,524
15,887
Investment property
4
3,199,280
3,199,280
Investments
5
248,531
1,251,176
3,471,335
4,466,343
Current assets
Stocks
6
5,037,699
8,394,338
Debtors
7
20,789,427
169,029
Cash at bank and in hand
181,405
25,827,126
8,744,772
Creditors: amounts falling due within one year
8
(13,755,742)
(795,577)
Net current assets
12,071,384
7,949,195
Total assets less current liabilities
15,542,719
12,415,538
Creditors: amounts falling due after more than one year
9
(4,248,126)
Provisions for liabilities
(841,632)
(1,294,614)
Net assets
14,701,087
6,872,798
Capital and reserves
Called up share capital
8,506
10,001
Share premium account
590,000
590,000
Other reserves
1,174,320
1,174,320
Profit and loss reserves
12,928,261
5,098,477
Total equity
14,701,087
6,872,798
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
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 31 July 2024 and are signed on its behalf by:
Mr R G Simpson
Director
Company registration number 05049788 (England and Wales)
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 OCTOBER 2023
- 2 -
1
Accounting policies
Company information
Senex Capital Limited is a private company limited by shares incorporated in England and Wales. The registered office is Quarry Fields Industrial Estate, Mere, Warminster, Wiltshire, BA12 6LA.
1.1
Reporting period
These financial statements represent a period of 18 months after a decision was made to extend this reporting period end to 31 October 2023. Therefore, direct comparison of figures in the comparative period is not possible.
1.2
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 apart from the departure noted below, which is deemed necessary in order to give a true and fair view. 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. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group.
1.3
Turnover
Turnover represents amounts receivable for property sales, rental income and related services net of VAT and trade discounts.
Property sales are recognised on the date of completion. Rental income and related services are recognised on a time basis whereby the turnover represents rental income for the year in question.
1.4
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:
Fixtures, fittings & equipment
15% & 33% reducing balance
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.
1.5
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 profit or loss.
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 3 -
1.6
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
1.7
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.
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.
1.8
Stocks
Stocks transferred from investment properties are initially recognised and carried at the lower of deemed cost (fair value at the date of change in use) and estimated selling price less costs to complete and sell. As previously stated, this departure from a specific requirement of FRS 102 is necessary to give a true and fair view.
Other stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of replacement cost and cost, adjusted where applicable for any loss of service potential.
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 4 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.9
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.
1.10
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 debtors 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.
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, including creditors, 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 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. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.11
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.
1.12
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 5 -
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.
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.
1.13
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.
1.14
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.
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2023
2022
Number
Number
Total
3
3
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
- 6 -
3
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 May 2022
254,264
Additions
15,000
At 31 October 2023
269,264
Depreciation and impairment
At 1 May 2022
238,377
Depreciation charged in the period
7,363
At 31 October 2023
245,740
Carrying amount
At 31 October 2023
23,524
At 30 April 2022
15,887
4
Investment property
2023
£
Fair value
At 1 May 2022 and 31 October 2023
3,199,280
Investment property comprises commercial property. The fair value of the investment property has been arrived at on the basis of a valuation carried out at 31 October 2023 by Mr R G Simpson, a company director. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
5
Fixed asset investments
2023
2022
£
£
Shares in group undertakings and participating interests
100
770,536
Other investments other than loans
248,431
480,640
248,531
1,251,176
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
5
Fixed asset investments
(Continued)
- 7 -
Movements in fixed asset investments
Shares in subsidiaries
Other investments
Total
£
£
£
Cost or valuation
At 1 May 2022
770,536
480,640
1,251,176
Disposals
(727,446)
(240,000)
(967,446)
At 31 October 2023
43,090
240,640
283,730
Impairment
At 1 May 2022
-
-
-
Impairment losses
42,990
(7,791)
35,199
At 31 October 2023
42,990
(7,791)
35,199
Carrying amount
At 31 October 2023
100
248,431
248,531
At 30 April 2022
770,536
480,640
1,251,176
6
Stocks
2023
2022
£
£
Stocks
5,037,699
8,394,338
The stock balance of £5,037,699 at the year end relates to assets that were reclassified in a previous accounting period from investment properties and subsequent legal fees incurred since their transfer.
7
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
2,111,857
19,269
Amounts owed by group undertakings
82,344
Other debtors
18,677,570
67,416
20,789,427
169,029
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
- 8 -
8
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
4,886,702
Trade creditors
256,285
81,165
Amounts owed to group undertakings
79,635
10,025
Corporation tax
3,000,540
154,579
Other taxation and social security
1,654,218
24,152
Other creditors
3,878,362
525,656
13,755,742
795,577
9
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
4,248,126
10
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2023
2022
£
£
32,608
11
Control
The company is under the control of Mr R G Simpson.
12
Directors' transactions
Interest free loans have been granted to the company by its directors as follows:
Description
% Rate
Opening balance
Amounts advanced
Closing balance
£
£
£
Mr R G Simpson -
-
655
1,022,582
1,023,237
655
1,022,582
1,023,237
SENEX CAPITAL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 OCTOBER 2023
- 9 -
13
Related party transactions
The following amounts were outstanding at the reporting end date:
2023
2022
Amounts due to related parties
£
£
Other related parties
374,734
-
Fortress Mere Limited, a company which Mr R G Simpson is also a director of, has provided loans to Senex Capital Ltd, of which £40,339 (2022: £188 Senex Capital was owed) was owing at the reporting date.
During the period, several subsidiary companies were disposed of whilst having loans provided to Senex Capital. The following was owed to each former subsidiary at 31 October 2023
Charles Farris Limited: £ 53,332
Direct Candles Limited: £ 85,171
Rathborne Investments £195,890
2023
2022
Amounts due from related parties
£
£
Other related parties
59,729
67,416
Fortress Norton Limited, a company which Mr R G Simpson is also a director of, has been provided with loans from Senex Capital Ltd, of which £34,409 (2022: £32,116) was outstanding at the reporting date.
Beaubridge LLP, a partnership which Mr R G Simpson is a designated member of, has been provided with loans from Senex Capital Ltd, of which £25,000 (2022: £25,000) was outstanding at the reporting date.
Beaubridge Swansea LLP, a partnership which Senex Capital Ltd is a member of, has been provided with loans from Senex Capital Ltd, of which £Nil (2022: £10,112) was outstanding at the reporting date.
Fortress Hamilton Limited, a company which Mr R G Simpson is also a director of, has been provided with a loan of £320 (2022: £Nil) during the year and the full balance remained owed at the reporting date.
Other information
The company has also taken advantage of the exemption under FRS 102.33.1A :
"Disclosures need not be given of transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member."
14
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
Senior Statutory Auditor:
Mark Nolan FCA
Statutory Auditor:
Alliott Wingham Limited
Date of audit report:
31 July 2024