SRA Ventures Ltd. is a private company limited by shares incorporated in Scotland. The registered office is 4c New Mart Road, Edinburgh, EH14 1RL.
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 £.
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.
Revenue comprises of rents receivable and is recognised in the period to which it relates.
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.
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.
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, 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.
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.
The average monthly number of persons (including directors) employed by the company during the year was:
The company’s investment property is carried in the Balance Sheet at a directors' valuation of £19,398,000. A professional valuation was carried out by an independent Chartered Surveyor, Lambert Smith Hampton, in March 2022. In reaching their valuation the directors have considered published trends in the Scottish commercial property market since the previous external valuation was obtained and the condition of each property.
Amounts owed by group undertakings are unsecured, interest-free and repayable on demand.
Amounts owed to group undertakings due within one year are are unsecured, interest-free and repayable on demand.
Amounts owed to group undertakings due after more than one year are unsecured. A market rate of interest is charged and included within interest payable and similar expenses.
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
The Bank of Scotland lending in the parent company is secured by a corporate cross guarantee with the parent company, E-net Holdings Ltd. and fellow subsidiaries, SRAV Property Limited and Shastra Property & Development Ltd. The bank also hold a bond and floating charge over the whole assets of the company and standard security over the investment property. The bank loans comprise a £6,000,000 term loan and £9,700,000 revolving credit facility with a balance of £10,862,145 (2023 - £12,024,000) drawn down at year end.
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
The company has taken advantage of the exemption available under FRS 102 Section 1A from disclosing transactions with its subsidiary undertakings on the grounds that they are 100% owned.
During the year the company received funds of £nil (2023 - £240,000) and made repayments of £nil (2023 - £240,000) to Estock Limited, a company controlled by S Rasul. There were also £6,391 (2023 - £9,204) of costs recharged during the year. As at 31 March 2024, an amount of £1,119 (2023 - £2,901) was owed by Estock Limited.
During the year, the company received funds of £nil (2023 - £255,000) from 3S Investment Properties Limited, a company controlled by S Rasul, and made repayments of £nil (2023 - £255,000). As at 31 March 2024, an amount of £nil (2023 - £nil) was due to 3S Investment Properties Limited.
During the year the company received funds of £nil (2023 - £11,000) from MSZ Property Limited, a company controlled by S Rasul, and made repayments of £nil (2023 - £11,000). There were also £500 (2023 - £nil) of expenses incurred on behalf of MSZ Property Limited during the year. As at 31 March 2024, an amount of £nil (2023 - £nil) was owed by MSZ Property Limited.
During the year the company received funds of £nil (2023 - £18,000) from Newmart Investments Limited, a company controlled by S Rasul, and made repayments of £nil (2023 - £18,000). As at 31 March 2024, an amount of £nil (2023 - £nil) was owed by Newmart Investments Limited.
During the year, S Rasul had recharged expenses of £8,529 (2023 - £43,227). An amount of £29,659 (2023 - £8,961)was repaid by the company. As at 31 March 2024, there was an amount of £16,550 (2023 - £37,680) due to S Rasul.
During the year the company received funds of £nil (2023 - £105,000) from Strategic Commercial Investments Limited, a company controlled by S Rasul, and made repayments of £nil (2023 - £150,000). There were also £572 (2023 - £nil) of expenses incurred on behalf of Strategic Commercial Investments Limited during the year. As at 31 March 2024, an amount of £500 (2023 - £nil) was owed by Strategic Commercial Investments Limited.
Included in administrative expenses is a debtor write off of £nil (2023 - £15,429) with Crowd Kitchens Limited, a company controlled by S Rasul. As at 31 March 2024, an amount of £nil (2023 - £nil) was owed by Crowd Kitchens Limited.
During the year, the company incurred expenses of £711 (2023 - £100) on behalf of E-Net Distribution Limited, a company controlled by S Rasul. The company also received funds from this company of £nil (2023 - £67,000) and repayments were made of £nil (2023 - £67,000) to E-Net Distribution Limited. During the year fixed assets totalling £nil (2023 - £6,600) were purchased from E-Net Distribution Limited. As at 31 March 2024, an amount of £nil (2023 - £nil) was due from E-Net Distribution Limited.
The above balances are unsecured, interest free and repayable on demand.