REGISTERED NUMBER: |
Unaudited Financial Statements for the Year Ended 31 March 2024 |
for |
CROMDALE LIMITED |
REGISTERED NUMBER: |
Unaudited Financial Statements for the Year Ended 31 March 2024 |
for |
CROMDALE LIMITED |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Contents of the Financial Statements |
for the Year Ended 31 March 2024 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
CROMDALE LIMITED |
Company Information |
for the Year Ended 31 March 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Balance Sheet |
31 March 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 4 |
Investments | 5 |
Investment property | 6 |
CURRENT ASSETS |
Stocks |
Debtors | 7 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 8 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
9 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital |
Share premium |
Capital redemption reserve |
Retained earnings |
The directors acknowledge their responsibilities for: |
(a) | ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Balance Sheet - continued |
31 March 2024 |
The financial statements were approved by the Board of Directors and authorised for issue on |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements |
for the Year Ended 31 March 2024 |
1. | STATUTORY INFORMATION |
Cromdale Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared under he historical cost conversion, modified to include investment properties at fair value. The principal accounting policies are set out below. |
Preparation of consolidated financial statements |
The financial statements contain information about Cromdale Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements. |
Going concern |
The company has incurred losses for the year ended 31 March 2024 and is forecasting a further loss in the year ended 31 March 2025. As at 31 March 2024 the company had bank debt of £3.3m (2023 - £3.4m) and shareholder loans of £3.3m (2023 - £3.4m). The company is dependent on the continued support of its bankers and shareholders and the ongoing repayments of amounts owed by certain group undertakings, in order to service its debt. |
The directors have reviewed financial forecasts, including consideration over covenants and have adequate financial resources to meet its liabilities as they fall due for at least 12 months from signing these financial statements. Therefore the directors have continued to prepare the financial statements on the going concern basis. |
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. |
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. |
Turnover includes operating lease rentals and similar income. Annual rentals receivable under operating leases are credited to the profit and loss account on a straight line basis over the lease term. |
Tangible fixed assets |
Fixtures and fittings | - |
Motor vehicles | - |
The gain or loss arising on the disposal of an asset is determined as the difference between the sales proceeds and the carrying value of the asset, and is credited or charged to the profit and loss account. |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
Stocks |
Stocks include properties held for sale and are stated at lower of cost and new realisable value. Cost comprises of purchase consideration of the property and where applicable other costs incurred on acquisition. Net realisable value is calculated as estimated selling price of the property as an arm's length transaction. |
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in the profit and loss account. Reversals of impairment losses are also recognised in the profit and loss account. |
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 statement, 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 the 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 receivables within one year are not amortised. |
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, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 payments discounted at market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised costs, using the effective interest rate method. |
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. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Cash and cash equivalents |
Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks. |
Hire purchase and leasing commitments |
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases. |
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability. |
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Employee benefits |
The cost 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. |
Interest capitalised |
Interest payable on borrowings attributable to financial properties in the course of development is capitalised as a cost of the development. |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
4. | TANGIBLE FIXED ASSETS |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST |
At 1 April 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 March 2024 |
DEPRECIATION |
At 1 April 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
5. | FIXED ASSET INVESTMENTS |
Other |
investments |
£ |
COST |
At 1 April 2023 |
and 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
6. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 April 2023 |
and 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
6. | INVESTMENT PROPERTY - continued |
The fair value of the investment properties has been determined on the following basis: |
- Some of the company's investment properties were revalued on 4 September 2018 by Frank Knight LLP, international property advisors, to a value of £2,150,000. The basis of this valuation was open market value. |
- Some of the company's investment properties were revalued on 17 August 2021 by Allied Surveyors Limited, to a value of £1,360,000 |
- The company's other investment properties were revalued at 31 March 2018 by the directors to their open market value of £91,000 |
- The directors believe that the market value at 31 March 2024 is not thought to be materially different to the value established at each valuation date. |
On historic cost basis, the properties for the company would have been included at £3,144,578 (2023 - £3,144,578). |
7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Amounts owed by group undertakings are interest free and repayable on demand. |
8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts |
Hire purchase contracts |
Trade creditors |
Amounts owed to group undertakings |
Taxation and social security |
Other creditors |
The bank loans are secured. Amounts owed to group undertakings are interest free and payable on demand. |
Other loans attract interest between 5-10% per annum and are repayable per the terms detailed within the loan agreement. |
9. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans |
Hire purchase contracts |
Other creditors |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
9. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR - continued |
The bank loans are secured by fixed charges over properties held by the company. |
Other loans attract interest between 5-10% per annum and are repayable per the terms detailed within the loan agreement. |
10. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 31 March 2024 and 31 March 2023: |
2024 | 2023 |
£ | £ |
Balance outstanding at start of year |
Amounts advanced |
Amounts repaid | ( |
) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
During the year, a business in which a director is also a director and shareholder, leased a building from the company for £35,000 (2023 - £35,000). At the year end there was accrued income of £200,000 (2023 - £140,000) due in respect of this lease. |
Companies owned by the directors received £xx (2023 - £4,025) in relation to consultancy fees. The balance due to the companies at the year end was £xx (2022 - £4,025). |
At the year end, Bank of Scotland held a guarantee from a director of £250,000 (2023 - £250,000) in respect of the debts and liabilities of the company. |
11. | RELATED PARTY DISCLOSURES |
The company has taken advantage of the exemption in FRS 102 Section1AC.35 from the requirement to disclose transactions with 100% owned group companies. |
12. | CONTROLLING PARTY |
The company is controlled by the directors who direct the financial and operating policies. |
13. | SHARE PREMIUM ACCOUNT |
The share premium account represents the excess of par value received for the ordinary share capital on initial issue of shares. This reserve is non-distributable. |
CROMDALE LIMITED (REGISTERED NUMBER: SC125675) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
14. | RESERVES |
Profit and loss reserves |
The profit and loss account reserves represents cumulative profits and losses net of dividends and other adjustments. |
Other reserves |
Other reserves of £2,122,582 pertains to other comprehensive income recognised in prior years in respect of the write off of the negative investments held as creditors in previous years, which has been reclassified to subsidiaries following the acquisition in the prior year. The remaining £825,000 pertains to the cash consideration, recognised as an investment in the parent company, which was effectively repaid by the acquired subsidiaries cash reserves following the acquisition. |