Company registration number SC229556 (Scotland)
FAIRWIND (ORKNEY) LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
PAGES FOR FILING WITH REGISTRAR
FAIRWIND (ORKNEY) LTD
CONTENTS
Page
Accountants' report
1
Balance sheet
2
Notes to the financial statements
3 - 5
FAIRWIND (ORKNEY) LTD
REPORT TO THE DIRECTOR ON THE PREPARATION OF THE UNAUDITED STATUTORY ACCOUNTS OF FAIRWIND (ORKNEY) LTD
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Fairwind (Orkney) Ltd for the year ended 31 March 2024 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the ICAS we are subject to its ethical and other professional requirements which are detailed at https://icas.com/icas-framework-preparation-of-accounts.
This report is made solely to the board of directors of Fairwind (Orkney) Ltd, as a body, in accordance with the terms of our engagement letter dated 3 November 2008. Our work has been undertaken solely to prepare for your approval the financial statements of Fairwind (Orkney) Ltd and state those matters that we have agreed to state to the board of directors of Fairwind (Orkney) Ltd, as a body, in this report in accordance with the requirements of the ICAS as detailed at https://icas.com/icas-framework-preparation-of-accounts. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Fairwind (Orkney) Ltd and its board of directors as a body, for our work or for this report.
It is your duty to ensure that Fairwind (Orkney) Ltd has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Fairwind (Orkney) Ltd. You consider that Fairwind (Orkney) Ltd is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Fairwind (Orkney) Ltd. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
A.J.B. Scholes Ltd
15 November 2024
Chartered Accountants
8 Albert Street
Kirkwall
Orkney
KW15 1HP
FAIRWIND (ORKNEY) LTD
BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 2 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investments
3
1
1
Current assets
Debtors
4
399
357
Cash at bank and in hand
278
278
677
635
Creditors: amounts falling due within one year
5
(27,106)
(26,434)
Net current liabilities
(26,429)
(25,799)
Net liabilities
(26,428)
(25,798)
Capital and reserves
Called up share capital
6
100
100
Profit and loss reserves
(26,528)
(25,898)
Total equity
(26,428)
(25,798)
The director of the company has 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 director acknowledges his 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 and signed by the director and authorised for issue on 15 November 2024
D Gowland
Director
Company registration number SC229556 (Scotland)
FAIRWIND (ORKNEY) LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -
1
Accounting policies
Company information
Fairwind (Orkney) Ltd is a private company limited by shares incorporated in Scotland. The registered office is New Horries, Deerness, Orkney, KW17 2QL.
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
Going concern
The accounts report net liabilities of £26,428. The company is funded by a loan from the director which is interest free and subject to no formal repayment terms. The director will continue to support the company and have therefore prepared these financial statements on the going concern basis.true
1.3
Fixed asset investments
Interests in associates are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
1.4
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand.
1.5
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. Financial assets classified as receivable within one year are not amortised.
FAIRWIND (ORKNEY) LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 4 -
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. Financial liabilities classified as payable within one year are not amortised.
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.
1.6
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.
1.7
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Total
3
Fixed asset investments
2024
2023
£
£
Shares in group undertakings and participating interests
1
1
Fixed asset investments not carried at market value
Investments in associates are stated at historic cost less provision for any diminution in value.
The cost at the year end was £1 (2022: £1).
FAIRWIND (ORKNEY) LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -
4
Debtors
2024
2023
Amounts falling due within one year:
£
£
Other debtors
399
357
5
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
1
1
Other creditors
27,105
26,433
27,106
26,434
Creditors falling due within one year include loans from the directors of £26,645 (2023: £25,973). The loans are interest free and there are no formal repayment terms.
6
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
7
Financial commitments, guarantees and contingent liabilities
The company has entered into joint development and loan agreements with Future Electric Holdings Limited Partnership. Under the terms of the agreements, in specified situations the company may be required to pay to Future Electric Holdings LP sums equivalent to 25% of any loans advanced by Future Electric Holdings LP to The Orkney Wind Power Company Limited, its subsidiaries and any other joint development agreement participants, plus interest at a rate of 6% per annum.
No circumstances have yet arisen requiring the company to make any payment to Future Electric Holdings LP.
The company has granted to Future Electric Holdings LP a floating charge over specified assets, as security for any sums due under the loan agreement.
Future Electric Holdings (General Partner) Limited, general partner, holds 75% of the issued share capital in The Orkney Wind Power Company Limited. Fairwind (Orkney) Ltd holds 25% of the issued share capital in The Orkney Wind Power Company Limited.