Company No:
Contents
Note | 2024 | 2023 | ||
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Fixed assets | ||||
Investment property | 3 |
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15,300,000 | 17,000,000 | |||
Current assets | ||||
Debtors | 4 |
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Cash at bank and in hand |
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2,323,773 | 1,855,145 | |||
Creditors: amounts falling due within one year | 5 | (
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Net current liabilities | (8,885,142) | (6,181,682) | ||
Total assets less current liabilities | 6,414,858 | 10,818,318 | ||
Creditors: amounts falling due after more than one year | 6 | (
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Provision for liabilities | (
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Net (liabilities)/assets | (
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Capital and reserves | ||||
Called-up share capital | 8 |
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Profit and loss account | (
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Total shareholders' (deficit)/funds | (
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The financial statements of Cobb House Limited (registered number:
C A Eyre
Director |
The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.
Cobb House Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Centenary House Peninsula Park, Rydon Lane, Exeter, EX2 7XE, United Kingdom.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.
The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.
The directors have assessed the Balance Sheet and likely future cash flows at the date of approving these financial statements. The directors have taken into consideration that one of the financial covenants was in breach at the 31 March 2024 but have been in communication with the bank and are now operating within the revised covenant facility. All bank loans have been reclassified as current liabilities in the accounts. The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence and to meet its financial obligations as they fall due for at least 12 months from the date of signing these financial statements. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.
Incentives in the form of rent-free periods are spread on a straight line basis over the period of the lease term.
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.
Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on tax rates and laws substantively enacted at the balance sheet date. Deferred tax assets and liabilities are not discounted.
The company holds the following financial instruments:
• Short term trade and other debtors and creditors;
• Cash and bank balances;
• Interest rate swap ; and
• Long-term bank and other loans
Apart from the interest rate swap, all other financial instruments are classified as basic.
The company has chosen to apply the recognition and measurement principles in FRS102.
Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument and derecognised when in the case of assets, the contractual rights to cash flows from the assets expire or substantially all the risks and rewards of ownership are transferred to another party, or in the case of liabilities, when the company’s obligations are discharged, expire or are cancelled.
Instruments are initially measured at transaction price, including transaction costs, and are subsequently carried at the undiscounted amount of the cash or other consideration expected to be paid or received, after taking account of impairment adjustments.
Loans are initially measured at transaction price, including transaction costs, and are subsequently carried at amortised cost using the effective interest method.
Fair value measurement
Interest rate swaps are classified as financial assets or financial liabilities and recorded at their fair value at the year end with gains and losses recognised in profit and loss.
2024 | 2023 | ||
Number | Number | ||
Monthly average number of persons employed by the Company during the year, including directors |
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Investment property | |
£ | |
Valuation | |
As at 01 April 2023 |
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Fair value movement | (1,700,000) |
As at 31 March 2024 |
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Valuation
Investment property is being held at directors valuation at the balance sheet date. One of the directors is a chartered surveyor.
2024 | 2023 | ||
£ | £ | ||
Prepayments |
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Derivative financial instruments |
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Other debtors |
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£ | £ | ||
Bank loans |
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Accruals |
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Taxation and social security |
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Other creditors |
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Loan and other borrowings are secured by fixed charges over the company's investment property. Additionally, bank borrowings are secured by a composite guarantee from two companies under common control.
2024 | 2023 | ||
£ | £ | ||
Bank loans (secured) |
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Other loans |
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Amounts repayable after more than 5 years are included in creditors falling due over one year:
2024 | 2023 | ||
£ | £ | ||
Bank loans |
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The carrying values of the Company’s financial assets and liabilities measured at fair value through the profit and loss are summarised by category below:
2024 | 2023 | ||
£ | £ | ||
Financial assets at fair value | |||
Derivative financial assets due within one year |
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2024 | 2023 | ||
£ | £ | ||
Allotted, called-up and fully-paid | |||
Nil
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12,000 | 12,000 |
Other financial commitments
An unlimited intercompany composite guarantee has been given in favour of Handelsbanken, by the company and two further companies under common control. All amounts under this guarantee are secured by a fixed charge over the company's investment property. The amount guaranteed at the year end is £5,250,000 (2023: £5,250,000).
The audit report was signed by Robert Deare on behalf of PKF Francis Clark.