Company Registration No. 09905587 (England and Wales)
SR PROPERTIES (HARROW) LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
PAGES FOR FILING WITH REGISTRAR
SR PROPERTIES (HARROW) LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
SR PROPERTIES (HARROW) LIMITED
BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 1 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investment properties
3
1,650,000
1,650,000
Current assets
Cash at bank and in hand
18,626
10,129
Creditors: amounts falling due within one year
4
(836,811)
(861,206)
Net current liabilities
(818,185)
(851,077)
Total assets less current liabilities
831,815
798,923
Creditors: amounts falling due after more than one year
5
(453,454)
(445,238)
Provisions for liabilities
(42,324)
(33,116)
Net assets
336,037
320,569
Capital and reserves
Called up share capital
7
2
2
Investment property reserve
170,104
184,312
Profit and loss reserves
165,931
136,255
Total equity
336,037
320,569
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 March 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
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 30 September 2024 and are signed on its behalf by:
K Kotecha
Director
Company Registration No. 09905587
SR PROPERTIES (HARROW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
1
Accounting policies
Company information
SR Properties (Harrow) Limited is a private company limited by shares incorporated in England and Wales. The registered office is 1st Floor, 78 High Road, London, United Kingdom, NW10 2PX.
1.1
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 investment properties at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, on the basis that the company continues to receive financial support from the directors. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover represents rental income receivable from investment property.
Turnover is recognised at the fair value of the consideration received or receivable in the normal course of business.
1.4
Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is measured using the fair value model and stated at its fair value as the reporting end date. The surplus or deficit on revaluation is recognised in the profit and loss account.
1.5
Cash at bank and in hand
Cash at bank and in hand are basic financial assets and include cash in hand and deposits held at call with banks.
1.6
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.
SR PROPERTIES (HARROW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 3 -
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 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 receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
1.7
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.
1.8
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.
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.
1.9
Investment property reserve
The investment property reserve comprises the fair value uplift on the company's investment property net of the associated deferred tax. Any movement in the fair value of the investment property and/or the deferred tax associated with it during the year is transferred from the profit and loss account into this reserve as a reserve movement in the Statement of Changes in Equity. The reserve is non-distributable.
2
Employees
The company had no employees during the current or the previous year.
2024
2023
Number
Number
Total
SR PROPERTIES (HARROW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -
3
Investment property
2024
£
Fair value
At 1 April 2023
1,650,000
Additions
5,000
Revaluations
(5,000)
At 31 March 2024
1,650,000
The fair value of the investment property has been arrived on the basis of valuation carried out by the directors of the company at 31 March 2024. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
If the revalued investment property was stated on a historical cost basis rather than a fair value basis, the amount would have been £1,437,572 (2023: £1,432,572).
4
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
9,211
26,638
Corporation tax
8,845
7,262
Other creditors
807,963
823,001
Accruals and deferred income
10,792
4,305
836,811
861,206
5
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans and overdrafts
453,454
445,238
The bank has the following securities on the loans:-
- A first legal charge over the investment properties and their associated assets.
- A debenture over the company's whole assets and undertaking.
- A guarantee by the directors limited to £250,000 plus interest and costs.
6
Provisions for liabilities
2024
2023
£
£
Deferred tax liabilities
42,324
33,116
SR PROPERTIES (HARROW) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
6
Provisions for liabilities
(Continued)
- 5 -
Deferred tax arising on revaluation gains on investment property is provided at a rate of 25% (2023: 25%).
7
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
2
2
2
2