Company Registration No. 03489766 (England and Wales)
ARROW COURT INDUSTRIAL ESTATE LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
PAGES FOR FILING WITH REGISTRAR
ARROW COURT INDUSTRIAL ESTATE LTD
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
ARROW COURT INDUSTRIAL ESTATE LTD
BALANCE SHEET
- 1 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
3
2,098
2,796
Investment properties
4
1,509,887
1,500,000
1,511,985
1,502,796
Current assets
Debtors
5
14,899
13,186
Cash at bank and in hand
78
2,029
14,977
15,215
Creditors: amounts falling due within one year
6
(29,192)
(10,266)
Net current (liabilities)/assets
(14,215)
4,949
Total assets less current liabilities
1,497,770
1,507,745
Creditors: amounts falling due after more than one year
7
(164,801)
(189,565)
Provisions for liabilities
(184,176)
(184,308)
Net assets
1,148,793
1,133,872
Capital and reserves
Called up share capital
8
100
100
Revaluation reserve
9
330,221
330,221
Profit and loss reserves
10
818,472
803,551
Total equity
1,148,793
1,133,872
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 May 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.
ARROW COURT INDUSTRIAL ESTATE LTD
BALANCE SHEET (CONTINUED)
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 22 August 2024 and are signed on its behalf by:
Mr D J Williams
Director
Company Registration No. 03489766
ARROW COURT INDUSTRIAL ESTATE LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
- 3 -
1
Accounting policies
Company information
Arrow Court Industrial Estate Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 1 Knights Court, Archers Way, Battlefield Enterprise Park, Shrewsbury, Shropshire, SY1 3GA.
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. The principal accounting policies adopted are set out below.
1.2
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.
Rent receivable is accounted for on an accruals basis.
1.3
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 machinery
25% reducing balance
Fixtures, fittings & equipment
25% 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.
1.4
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 or at fair value on transfer/reclassification from Freehold Property with any fair value uplift being accounted for in the revaluation reserve. Subsequently it is measured at fair value at the reporting end date, with subsequent changes in fair value recognised in profit or loss. Investment properties are valued using RICS open market valuation on a freehold basis. Revaluations of such properties are undertaken by McCartneys LLP Chartered Surveyors.
ARROW COURT INDUSTRIAL ESTATE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 4 -
1.5
Cash at bank and in hand
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.6
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.
1.7
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Total
2
2
ARROW COURT INDUSTRIAL ESTATE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 5 -
3
Tangible fixed assets
Plant and machinery
Fixtures, fittings & equipment
Total
£
£
£
Cost
At 1 June 2023 and 31 May 2024
5,960
17,179
23,139
Depreciation and impairment
At 1 June 2023
5,818
14,525
20,343
Depreciation charged in the year
35
663
698
At 31 May 2024
5,853
15,188
21,041
Carrying amount
At 31 May 2024
107
1,991
2,098
At 31 May 2023
142
2,654
2,796
4
Investment property
2024
£
Fair value
At 1 June 2023
1,500,000
Additions
9,887
At 31 May 2024
1,509,887
Investment property comprises of approximately 36 industrial units at Arrow Court, Kington, Herefordshire . The fair value of the investment property has been arrived at on the basis of a valuation carried out by McCartneys LLP Chartered Surveyors, who are not connected with the company. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties as at 31 May 2023.
The directors believe that there has been no change in the fair market value since this date other than the cost of building improvements.
5
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
14,899
11,336
Other debtors
1,850
14,899
13,186
ARROW COURT INDUSTRIAL ESTATE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 6 -
6
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans and overdrafts
8,861
Corporation tax
10,830
7,426
Other taxation and social security
6,651
Accruals and deferred income
2,850
2,840
29,192
10,266
7
Creditors: amounts falling due after more than one year
2024
2023
Notes
£
£
Directors loans
113,710
137,457
Government grants
51,091
52,108
164,801
189,565
8
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
9
Revaluation reserve
2024
2023
£
£
At the beginning and end of the year
330,221
330,221
10
Profit and loss reserves
2024
2023
£
£
At the beginning of the year
803,551
348,335
Profit for the year
44,921
485,216
Dividends declared and paid in the year
(30,000)
(30,000)
At the end of the year
818,472
803,551
ARROW COURT INDUSTRIAL ESTATE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
10
Profit and loss reserves
(Continued)
- 7 -
Included within profit and loss reserves are non-distributable profits, as set out below:
2024
2023
£
£
Non-distributable profits included above
At the beginning of the year
453,251
-
Non distributable profits in the year
-
453,251
At the end of the year
453,251
453,251
Distributable profits
365,221
350,300
Profit and loss reserves include non distributable reserves as shown above, which relate to fair value adjustments in respect of investment property, adjusted for associated deferred tax provision.
11
Directors' transactions
Dividends totalling £30,000 (2023 - £30,000) were paid in the year in respect of shares held by the company's directors.