Registration number:
Prepared for the registrar
for the
Year Ended 31 December 2023
Swedish Lifestyle Homes No.2 Limited
Contents
Company Information |
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Balance Sheet |
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Notes to the Financial Statements |
Swedish Lifestyle Homes No.2 Limited
Company Information
Directors |
J Harris D Fish |
Registered office |
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Auditors |
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Swedish Lifestyle Homes No.2 Limited
(Registration number: 10192568)
Balance Sheet as at 31 December 2023
Note |
2023 |
2022 |
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Current assets |
|||
Debtors |
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|
|
Creditors: Amounts falling due within one year |
( |
( |
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Total assets less current liabilities |
( |
( |
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Provisions |
- |
(21,000) |
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Net liabilities |
( |
( |
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Capital and reserves |
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Called up share capital |
1 |
1 |
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Profit and loss account |
(251,104) |
(210,933) |
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Shareholders' deficit |
(251,103) |
(210,932) |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.
Approved and authorised by the
Director
Swedish Lifestyle Homes No.2 Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' .
Basis of preparation
These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.
The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.
Going concern
Following the completion of site development and sales of plots in previous years, the company intends to cease trading as soon as the opportunity exists. Accordingly, the directors do not consider it appropriate to prepare the financial statements on a going concern basis.
Critical accounting 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 amounts 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
Judgements
Management provide for the cost of remedials work required on completed plots. The carrying value of the remedials provision is £nil (2022 - £21,000). |
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and the provision of services in the ordinary course of the company's activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The Company recognises revenue and profit on sale of development properties at the point of legal completion. Profit is recognised on a plot by plot basis, by reference to the margin forecast across the relevant development site. Due to the development cycle often exceeding one financial year, plot margins are forecast, taking in to account the allocation of site-wide development costs such as infrastructure, and estimates required for the cost to complete such developments.
Swedish Lifestyle Homes No.2 Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
Key sources of estimation uncertainty
Due to the nature of development activity and, in particular, the length of the development cycle, the Company has to allocate site wide development costs between being built and/or completed in the current year and those for future years. It also has to make estimates of the cost to compete such developments. These estimates are reflected in the margin recognised on developments in relation to sales recognised in the current and future years. There is a degree of inherent uncertainty in making such estimates. The Company has established internal controls that are designed to ensure an effective assessment of estimates of the costs to complete on longer term site to have greater estimation than sites of shorter duration. If forecast costs were expected to be high than the net realisable value of work in progress, an impairment of inventory could arise.
The company's margin recognition policy is based on the margin forecast for each site. These margins reflect estimated sales prices and costs for each site. This is a method of allocating total forecast costs, representing both land and build costs, of a site to each individual unit. Sales prices and build costs are inherently uncertain as they are influenced by changes in external market factors, such as, the availability and affordability of mortgages, changes in customer demand or build cost inflation.
Management have implemented internal procedures to assess site acquisition and forecasting to assist financial appraisal processes. Site appraisals are prepared on a regular basis to account for any changes in sales price or forecast build costs, and this the margin on the site. The carrying amount of work in progress is £nil (2022 - £nil).
Tax
The tax expense for the year comprises current tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.
Provisions
Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Swedish Lifestyle Homes No.2 Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
Financial instruments
Classification
Recognition and measurement
Impairment
For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.
Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Debtors |
2023 |
2022 |
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Trade debtors |
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Other debtors |
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Creditors |
2023 |
2022 |
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Due within one year |
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Amounts due to group undertakings |
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Other creditors |
- |
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Accrued expenses |
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Provisions |
Remedials |
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At 1 January 2023 |
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Provisions used |
( |
At 31 December 2023 |
- |
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Swedish Lifestyle Homes No.2 Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
The remedials provision has been calculated based on managements best estimate of the remedials costs to be incurred on a limited number of completed sites.
Share capital |
Allotted, called up and fully paid shares
2023 |
2022 |
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No. |
£ |
No. |
£ |
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1 |
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1 |
Parent and ultimate parent undertaking |
The consolidated financial statements of the group are available to the public and may be obtained from Skogsudden, SE-351 89 Vӓxjӧ, Sweden.
Audit report |