Company registration number 07273077 (England and Wales)
ESSENTIAL PROPERTY (NW) LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023
PAGES FOR FILING WITH REGISTRAR
ESSENTIAL PROPERTY (NW) LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
ESSENTIAL PROPERTY (NW) LIMITED
BALANCE SHEET
AS AT 31 AUGUST 2023
31 August 2023
- 1 -
2023
2022
as restated
Notes
£
£
£
£
Fixed assets
Tangible assets
4
1,204
1,417
Investment property
5
4,970,000
4,907,000
4,971,204
4,908,417
Current assets
Debtors
6
1,676,278
2,282,553
Cash at bank and in hand
2,254
4,618
1,678,532
2,287,171
Creditors: amounts falling due within one year
7
(258,360)
(56,092)
Net current assets
1,420,172
2,231,079
Total assets less current liabilities
6,391,376
7,139,496
Provisions for liabilities
(203,536)
Net assets
6,187,840
7,139,496
Capital and reserves
Called up share capital
5,900,002
5,900,002
Profit and loss reserves
287,838
1,239,494
Total equity
6,187,840
7,139,496
The notes on pages 2 to 5 form part of these financial statements.
In accordance with section 444 of the Companies Act 2006, all of the members of the company have consented to the preparation of abridged financial statements pursuant to paragraph 1A of Schedule 1 to the Small Companies and Groups (Accounts and Directors’ Report) Regulations (SI 2008/409)(b).
The director of the company has 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 and signed by the director and authorised for issue on 30 August 2024
Mr B Borbely
Director
Company registration number 07273077 (England and Wales)
ESSENTIAL PROPERTY (NW) LIMITED
BALANCE SHEET (CONTINUED)
AS AT 31 AUGUST 2023
31 August 2023
- 2 -
1
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the director is 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.
2
Accounting policies
Company information
Essential Property (NW) Limited is a private company limited by shares incorporated in England and Wales. The registered office is 1 Abbey Square, Chester, England, CH1 2HU.
2.1
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.
2.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
2.3
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
15% on reducing balance
Computers
33% on 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.
ESSENTIAL PROPERTY (NW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023
2
Accounting policies
(Continued)
- 3 -
2.4
Investment properties
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.
2.5
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.
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.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
1
ESSENTIAL PROPERTY (NW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2023
- 4 -
4
Tangible fixed assets
Total
£
Cost
At 1 September 2022 and 31 August 2023
15,471
Depreciation and impairment
At 1 September 2022
14,054
Depreciation charged in the year
213
At 31 August 2023
14,267
Carrying amount
At 31 August 2023
1,204
At 31 August 2022
1,417
5
Investment property
2023
£
Fair value
At 1 September 2022
4,907,000
Revaluations
63,000
At 31 August 2023
4,970,000
Investment properties were valued on an open market basis on 01/08/2018 by Smith and Sons Property Consultants.
6
Debtors
2023
2022
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
1,676,278
2,282,553
7
Creditors: amounts falling due within one year
2023
2022
£
£
Amounts owed to group undertakings
130,347
52,122
Corporation tax
115,633
Accruals and deferred income
12,380
3,970
258,360
56,092
ESSENTIAL PROPERTY (NW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2023
- 5 -
8
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:
Diccon Thornely
Statutory Auditor:
Sedulo Audit Limited
Date of audit report:
30 August 2024
9
Parent company
The ultimate controlling party is Mr B Borbely by virtue of his 100% shareholding in the parent company Assum Limited (company no. 13846280 Registered Office 1 Abbey Square, Chester, CH1 2HU)
10
Prior period adjustment
Reconciliation of changes in equity
1 August
31 August
2021
2022
£
£
Adjustments to prior year
Increase value of investment property
-
513,857
Equity as previously reported
205,118
6,625,639
Equity as adjusted
205,118
7,139,496
Analysis of the effect upon equity
Profit and loss reserves
-
513,857
Reconciliation of changes in profit for the previous financial period
2022
£
Adjustments to prior year
Increase value of investment property
513,857
Profit as previously reported
520,522
Profit as adjusted
1,034,379