REGISTERED NUMBER: |
Unaudited Financial Statements |
for the Year Ended 31 December 2023 |
for |
R2 Developments Ltd |
REGISTERED NUMBER: |
Unaudited Financial Statements |
for the Year Ended 31 December 2023 |
for |
R2 Developments Ltd |
R2 Developments Ltd (Registered number: 07092621) |
Contents of the Financial Statements |
for the Year Ended 31 December 2023 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
R2 Developments Ltd |
Company Information |
for the Year Ended 31 December 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
BUSINESS ADDRESS: |
REGISTERED NUMBER: |
ACCOUNTANTS: |
Chartered Accountants |
The Mills |
Canal Street |
Derby |
DE1 2RJ |
R2 Developments Ltd (Registered number: 07092621) |
Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 4 |
Investments | 5 |
CURRENT ASSETS |
Stocks |
Debtors | 6 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 7 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 8 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 9 |
Retained earnings |
SHAREHOLDERS' FUNDS |
The directors acknowledge their responsibilities for: |
(a) | ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
R2 Developments Ltd (Registered number: 07092621) |
Balance Sheet - continued |
31 December 2023 |
In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
R2 Developments Ltd (Registered number: 07092621) |
Notes to the Financial Statements |
for the Year Ended 31 December 2023 |
1. | STATUTORY INFORMATION |
R2 Developments Ltd is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Preparation of consolidated financial statements |
The financial statements contain information about R2 Developments Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements. |
Turnover |
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover and profit on sales of residential properties are included within the financial statements where legal completion has taken place by the end of the financial period. |
Turnover and profit in relation to development contracts are recognised where the profitable outcome of the contract can be assessed with reasonable certainty. The turnover and profit recognised reflects that part of the total turnover and profit currently estimated to arise over the duration of the contract that fairly represents the turnover and profit attributable to work performed at the accounting date. Full provision is made for losses on all contracts in the period in which they are first forseen. |
Tangible fixed assets |
Plant and machinery | - |
Office equipment | - |
Investments in associates |
(i) Subsidiary undertakings |
Investments in subsidiaries are initially valued at cost and reviewed annually for signs of impairment. If an impairment loss is identified, this is recognised immediately in the profit and loss account and the value of the investment is reduced accordingly. |
(ii) Joint ventures |
Investments in joint ventures are stated at cost less provision for impairment. |
R2 Developments Ltd (Registered number: 07092621) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
The cost of work in progress includes direct costs. Where necessary, provisions are made against work in progress to value it at the lower of cost and net realisable value. Net realisable value is based on normal selling price less further costs expected to be incurred on completion and disposal. |
Investments in sites where planning has not yet been granted are initially included at cost. Regular reviewed for impairment are performed considering the existing use value of the site and the likelihood of obtaining planning permission. Provisions are made against cost where necessary. |
Direct pre-development costs have been recognised as an asset in stocks and work in progress. Where it is probable that the site will be developed and provided that is in accordance with FRS102, such costs meet the definition of an asset. Such costs are reviewed regularly for evidence of impairment. |
Options purchased in respect of land are capitalised initially at cost and included within work in progress. Regular reviews are carried out for impairment in the value of these options, and provisions made accordingly to reflect the loss of value. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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 material timing differences that have originated but not reversed at the balance sheet date. |
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. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
R2 Developments Ltd (Registered number: 07092621) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2023 |
4. | TANGIBLE FIXED ASSETS |
Plant and | Office |
machinery | equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
5. | FIXED ASSET INVESTMENTS |
Investments |
Investments | in |
in joint | subsidiary |
ventures | companies | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 170 |
Disposals | ( |
) | (85 | ) |
At 31 December 2023 | 85 |
NET BOOK VALUE |
At 31 December 2023 | 85 |
At 31 December 2022 | 170 |
6. | DEBTORS |
2023 | 2022 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Amounts owed by group undertakings |
Amounts owed by associates |
Other debtors |
Prepayments and accrued income |
Amounts falling due after more than one year: |
Amounts owed by group undertakings |
Aggregate amounts |
R2 Developments Ltd (Registered number: 07092621) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2023 |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Tax |
Social security and other taxes |
Other creditors |
Directors' current accounts | 3,457,470 | 2,707,470 |
Accrued expenses |
8. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
£ | £ |
Deferred tax | 5,000 | 6,500 |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Utilised during year | ( |
) |
Balance at 31 December 2023 |
9. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary A | £1 | 50 | 50 |
Ordinary B | £1 | 3,100,050 | 3,100,050 |
Ordinary C | £1 | 4,000,000 | 4,000,000 |
Ordinary D | £1 | 3,000,000 | 3,000,000 |
Redeemable preference | £1 | 3,000,000 | 3,000,000 |
13,100,100 | 13,100,100 |
R2 Developments Ltd (Registered number: 07092621) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2023 |
10. | RELATED PARTY DISCLOSURES |
During the year the company has recorded turnover of £1,828,059 (2022: £3,158,971) and loans of £nil (2022: £3,374,172) to a subsidiary. At the year end the subsidiary owed R2 Developments Limited £7,360,698 (2022: £10,647,932). Interest on the loan has been charged of £239,598 (2022: £396,732). Total loan interest of £1,379,723 (2022: £1,140,123) remained outstanding at the year end and is included in debtors. Interest was charged at 4.5% on £3,000,000 of the loan, . Interest has been charged at 5.5% on £2,392,340 (2022: £5,739,575) of the loan. The remaining element of the loan is repayable on demand and does not attract any interest. |
During the previous year the company claimed corporation tax group loss relief from a subsidiary company of £75,824. £213,854 was outstanding at the previous year end in relation to group loss relief and was included within creditors. |
The company has made loans to joint ventures. At the year end a total of £240,173 (2022: £1,329,233) was included in debtors relating to loans and accrued interest on the loans to joint ventures. Interest has been charged to the borrowers during the year of £49,397 (2022: £15,158). |
At the year end the company owed £nil (2022: £500,000) to a related party in relation to an amount loaned in a prior year. Interest was charged at a rate of 12%. Interest of £nil (2022: £60,000) was accrued during the year. |
At the year end the company owed the directors £3,346,492 (2022: £2,707,470). |