Sidmouth Hotels Limited 04028342 false 2023-02-01 2024-01-31 2024-01-31 The principal activity of the company is the trading of Hotel Elizabeth and The Kingswood & Devoran Hotel Digita Accounts Production Advanced 6.30.9574.0 true false false 04028342 2023-02-01 2024-01-31 04028342 2024-01-31 04028342 core:OtherReservesSubtotal 2024-01-31 04028342 core:RetainedEarningsAccumulatedLosses 2024-01-31 04028342 core:ShareCapital 2024-01-31 04028342 core:FinanceLeases core:CurrentFinancialInstruments 2024-01-31 04028342 core:FinanceLeases core:Non-currentFinancialInstruments 2024-01-31 04028342 core:CurrentFinancialInstruments 2024-01-31 04028342 core:CurrentFinancialInstruments core:WithinOneYear 2024-01-31 04028342 core:Non-currentFinancialInstruments 2024-01-31 04028342 core:Non-currentFinancialInstruments core:AfterOneYear 2024-01-31 04028342 core:Goodwill 2024-01-31 04028342 core:OtherResidualIntangibleAssets 2024-01-31 04028342 core:CostValuation 2024-01-31 04028342 core:FurnitureFittingsToolsEquipment 2024-01-31 04028342 core:LandBuildings 2024-01-31 04028342 core:MotorVehicles 2024-01-31 04028342 core:OtherPropertyPlantEquipment 2024-01-31 04028342 1 2024-01-31 04028342 bus:SmallEntities 2023-02-01 2024-01-31 04028342 bus:Audited 2023-02-01 2024-01-31 04028342 bus:FullAccounts 2023-02-01 2024-01-31 04028342 bus:SmallCompaniesRegimeForAccounts 2023-02-01 2024-01-31 04028342 bus:RegisteredOffice 2023-02-01 2024-01-31 04028342 bus:Director1 2023-02-01 2024-01-31 04028342 bus:Director2 2023-02-01 2024-01-31 04028342 bus:Director3 2023-02-01 2024-01-31 04028342 bus:PrivateLimitedCompanyLtd 2023-02-01 2024-01-31 04028342 core:Goodwill 2023-02-01 2024-01-31 04028342 core:IntangibleAssetsOtherThanGoodwill 2023-02-01 2024-01-31 04028342 core:OtherResidualIntangibleAssets 2023-02-01 2024-01-31 04028342 core:ComputerEquipment 2023-02-01 2024-01-31 04028342 core:FurnitureFittings 2023-02-01 2024-01-31 04028342 core:FurnitureFittingsToolsEquipment 2023-02-01 2024-01-31 04028342 core:LandBuildings 2023-02-01 2024-01-31 04028342 core:MotorVehicles 2023-02-01 2024-01-31 04028342 core:OtherPropertyPlantEquipment 2023-02-01 2024-01-31 04028342 1 2023-02-01 2024-01-31 04028342 countries:AllCountries 2023-02-01 2024-01-31 04028342 1 2023-02-01 2024-01-31 04028342 2023-01-31 04028342 core:Goodwill 2023-01-31 04028342 core:OtherResidualIntangibleAssets 2023-01-31 04028342 core:FurnitureFittingsToolsEquipment 2023-01-31 04028342 core:LandBuildings 2023-01-31 04028342 core:MotorVehicles 2023-01-31 04028342 core:OtherPropertyPlantEquipment 2023-01-31 04028342 1 2023-01-31 04028342 2022-02-01 2023-01-31 04028342 2023-01-31 04028342 core:OtherReservesSubtotal 2023-01-31 04028342 core:RetainedEarningsAccumulatedLosses 2023-01-31 04028342 core:ShareCapital 2023-01-31 04028342 core:FinanceLeases core:CurrentFinancialInstruments 2023-01-31 04028342 core:FinanceLeases core:Non-currentFinancialInstruments 2023-01-31 04028342 core:CurrentFinancialInstruments 2023-01-31 04028342 core:CurrentFinancialInstruments core:WithinOneYear 2023-01-31 04028342 core:Non-currentFinancialInstruments 2023-01-31 04028342 core:Non-currentFinancialInstruments core:AfterOneYear 2023-01-31 04028342 core:Goodwill 2023-01-31 04028342 core:OtherResidualIntangibleAssets 2023-01-31 04028342 core:CostValuation 2023-01-31 04028342 core:FurnitureFittingsToolsEquipment 2023-01-31 04028342 core:LandBuildings 2023-01-31 04028342 core:MotorVehicles 2023-01-31 04028342 core:OtherPropertyPlantEquipment 2023-01-31 04028342 1 2023-01-31 04028342 1 2022-02-01 2023-01-31 04028342 1 2022-01-31 iso4217:GBP xbrli:pure

Registration number: 04028342

Sidmouth Hotels Limited

Filleted Financial Statements

for the Year Ended 31 January 2024

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Contents

Company Information

1

Statement of Directors' Responsibilities

2

Balance Sheet

3

Notes to the Financial Statements

4 to 13

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Company Information

Directors

M Seward

J Watson

T Seward

Registered office

The Esplanade
Sidmouth
Devon
EX10 8AT

Auditors

Thompson Jenner LLP
Statutory Auditors
28 Alexandra Terrace
Exmouth
Devon
EX8 1BD

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006 and in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Balance Sheet as at 31 January 2024

Note

2024
£

2023
£

Fixed assets

 

Intangible assets

4

672

2,520

Tangible assets

5

4,523,174

4,661,137

Investment property

6

350,000

350,000

Investments

3

3

 

4,873,849

5,013,660

Current assets

 

Stocks

8

14,850

14,850

Debtors

9

282,653

244,588

Cash at bank and in hand

 

12,139

3,589

 

309,642

263,027

Creditors: Amounts falling due within one year

10

(1,316,982)

(2,297,068)

Net current liabilities

 

(1,007,340)

(2,034,041)

Total assets less current liabilities

 

3,866,509

2,979,619

Creditors: Amounts falling due after more than one year

10

(1,001,760)

(116,667)

Provisions for liabilities

(353,750)

(365,707)

Net assets

 

2,510,999

2,497,245

Capital and reserves

 

Called up share capital

100

100

Other reserves

90,608

90,608

Profit and loss account

2,420,291

2,406,537

Total equity

 

2,510,999

2,497,245

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 Board on 29 October 2024 and signed on its behalf by:
 

.........................................
M Seward
Director

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

1

General information

The company is a private company limited by share capital, incorporated in England & Wales.

The address of its registered office is:
The Esplanade
Sidmouth
Devon
EX10 8AT
United Kingdom

2

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' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Group accounts not prepared

The company, and the group headed by it, qualify as small as set out in section 383 of the Companies Act and therefore the company and the group are considered eligible for the exemption from preparing group accounts as determined by reference to sections 384 and 399(2A) of the Companies Act.

Audit report

The Independent Auditors' Report was unqualified. The name of the Senior Statutory Auditor who signed the audit report on 30 October 2024 was Mr David Tucker, who signed for and on behalf of Thompson Jenner LLP.

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

Key sources of estimation uncertainty

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. See note 8 for the carrying amount of the property plant and equipment, and the accounting policies note for the useful economic lives for each class of assets.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and 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 when, the amount of revenue can be reliably measured and it is probable that future economic benefits will flow to the entity. As such revenue is recognised in the period in which the service has been provided to the customer. Deposits received in advance of the service being provided are deferred and released on provision of the service.

Government grants

The Coronavirus Job Retention Scheme grant has been credited to other income so as to match the grant to the underlying eligible furloughed staff expenditure which it relates.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income 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.

Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Land and buildings

Straight line over 50 years

Fixtures and fittings

20% reducing balance

Motor vehicles

25% reducing balance

Computer equipment

50% reducing balance

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Business combinations

Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.

Intangible assets

Intangible assets are stated in the Balance Sheet at cost less accumulated amortisation and impairment. They are amortised on a straight line basis over their estimated useful lives.

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class

Amortisation method and rate

Goodwill

10 years

Intangible assets other than goodwill

3 years

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

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.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

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 subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

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.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was 52 (2023 - 52).

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

4

Intangible assets

Goodwill
 £

Other intangible assets
 £

Total
£

Cost or valuation

At 1 February 2023

530,000

5,600

535,600

At 31 January 2024

530,000

5,600

535,600

Amortisation

At 1 February 2023

530,000

3,080

533,080

Amortisation charge

-

1,848

1,848

At 31 January 2024

530,000

4,928

534,928

Carrying amount

At 31 January 2024

-

672

672

At 31 January 2023

-

2,520

2,520

Amortisation is included in administration expenses in the profit and loss account

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

5

Tangible assets

Land and buildings
£

Fixtures and fittings
 £

Motor vehicles
 £

Computer equipment
 £

Total
£

Cost or valuation

At 1 February 2023

5,788,919

1,085,243

11,400

22,783

6,908,345

Additions

4,666

11,793

28,196

1,265

45,920

At 31 January 2024

5,793,585

1,097,036

39,596

24,048

6,954,265

Depreciation

At 1 February 2023

1,441,317

784,122

4,453

17,316

2,247,208

Charge for the year

112,725

60,852

7,024

3,282

183,883

At 31 January 2024

1,554,042

844,974

11,477

20,598

2,431,091

Carrying amount

At 31 January 2024

4,239,543

252,062

28,119

3,450

4,523,174

At 31 January 2023

4,347,602

301,121

6,947

5,467

4,661,137

Included within the net book value of land and buildings above is £4,239,543 (2023 - £4,347,602) in respect of freehold land and buildings.
 

Finance lease and hire purchase assets
Included within tangible fixed assets are assets held under finance lease, and hire purchase arrangements with a net book value of £35,189 (2023 - £15,785).

Assets held under finance lease, and hire purchase arrangements are pledged as security for their respective liabilities.

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

6

Investment properties

2024
 £

At 1 February 2021

350,000

At 31 January 2022

350,000

The fair value of the investment property is based on a valuation by a professional valuer in 2022. The directors have used this valuation as a basis for the current fair value.

7

Investments

2024
£

2023
£

Investments in subsidiaries

3

3

Subsidiaries

£

Cost or valuation

At 1 February 2023

3

At 31 January 2024

3

Carrying amount

At 31 January 2024

3

At 31 January 2023

3

8

Stocks

2024
£

2023
£

Other stocks

14,850

14,850

9

Debtors

2024
 £

2023
 £

Trade debtors

-

1,033

Amounts owed by connected company

107,265

107,265

Other debtors

175,388

136,290

Total current trade and other debtors

282,653

244,588

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

10

Creditors

Note

2024
 £

2023
 £

Due within one year

 

Loans and borrowings

11

51,661

157,928

Trade creditors

 

49,106

41,601

Amounts owed to connected company

 

1,034,597

1,888,979

Taxation and social security

 

150,042

145,780

Other creditors

 

31,576

62,780

 

1,316,982

2,297,068

Due after one year

 

Loans and borrowings

11

20,997

116,667

Amounts owed to connected company

 

980,763

-

 

1,001,760

116,667

11

Loans and borrowings

2024
£

2023
£

Current loans and borrowings

Bank borrowings

-

50,000

Bank overdrafts

45,203

101,167

Hire purchase and finance lease liabilities

6,458

6,761

51,661

157,928

2024
£

2023
£

Non-current loans and borrowings

Bank borrowings

-

116,667

Hire purchase and finance lease liabilities

20,997

-

20,997

116,667

Loans and borrowings are secured by a fixed and floating charge over all assets of the company.

The hire purchase and finance lease liabilities are secured on the individual assets financed.

 

Sidmouth Hotels Limited
(Registration number: 04028342)

Notes to the Financial Statements for the Year Ended 31 January 2024

12

Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £25,642 (2023 - £52,628). The total amounts due within one year is £22,354 (2023 - £26,986).

The total amount of guarantees not included in the balance sheet is £2,286,636 (2023 - £2,269,239). The company has acted as a guarantor on a bank loan provided to Sidmouth Hotels Holdings Limited, the parent company of Sidmouth Hotels Limited. The guarantee is secured by a fixed and floating charge over all the present and future assets of the company. The amount expected to be paid is nil (2023 - £nil).

13

Related party transactions

Transactions with directors

2024

At 1 February 2023
£

Advances to director
£

Repayments by director
£

At 31 January 2024
£

Interest free loan

109,940

139,046

(128,418)

120,568

         
       

 

2023

At 1 February 2022
£

Advances to director
£

Repayments by director
£

At 31 January 2023
£

Interest free loan

126,823

117,406

(134,289)

109,940

         
       

 

14

Parent and ultimate parent undertaking

The company's immediate parent is Sidmouth Hotels Holdings Limited, incorporated in England & Wales.