REGISTERED NUMBER: |
Unaudited Financial Statements for the Year Ended 31 May 2024 |
for |
MHG COMMERCIAL INVESTMENTS LLP |
REGISTERED NUMBER: |
Unaudited Financial Statements for the Year Ended 31 May 2024 |
for |
MHG COMMERCIAL INVESTMENTS LLP |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Contents of the Financial Statements |
FOR THE YEAR ENDED 31 MAY 2024 |
Page |
General Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
MHG COMMERCIAL INVESTMENTS LLP |
General Information |
FOR THE YEAR ENDED 31 MAY 2024 |
DESIGNATED MEMBERS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
ACCOUNTANTS: |
3rd Floor |
St George's House |
56 Peter Street |
Manchester |
M2 3NQ |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Balance Sheet |
31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Investment property | 4 |
CURRENT ASSETS |
Stocks |
Debtors | 5 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 6 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
7 |
NET ASSETS ATTRIBUTABLE TO MEMBERS |
1,176,561 |
1,225,513 |
LOANS AND OTHER DEBTS DUE TO MEMBERS |
8 |
1,176,561 |
1,225,513 |
TOTAL MEMBERS' INTERESTS |
Loans and other debts due to members | 8 | 1,176,561 | 1,225,513 |
The members acknowledge their responsibilities for: |
(a) | ensuring that the LLP keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 as applied to LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the LLP 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 as applied to LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008 relating to financial statements, so far as applicable to the LLP. |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Balance Sheet - continued |
31 MAY 2024 |
The financial statements were approved by the members of the LLP and authorised for issue on |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Notes to the Financial Statements |
FOR THE YEAR ENDED 31 MAY 2024 |
1. | STATUTORY INFORMATION |
Mhg Commercial Investments LLP is registered in England and Wales. The LLP's registered number and registered office address can be found on the General Information page. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102. The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the requirements of the Statement of Recommended Practice, Accounting by Limited Liability Partnerships. The financial statements are prepared in sterling, which is the functional currency of the limited liability partnership. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. |
Turnover |
Turnover represents the amounts recoverable for the services provided to clients, excluding value added tax, under contractual obligations which are performed gradually over time in relation to property leasing and recharged costs. |
If, at the Balance sheet date, completion of contractual obligations is dependent on external factors (and thus outside the control of the Limited Liability Partnership), then revenue is recognised only when the event occurs. In such cases, costs incurred up to the Balance sheet date are carried forward as work in progress. |
Investment property |
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. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss. |
Stocks |
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs, overheads and directly attributable borrowing costs that have been incurred in bringing the stocks to their present location and condition. |
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential. |
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 profit or loss. Reversals of impairment losses are also recognised in profit or loss. |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
The limited liability partnership 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 limited liability partnership's statement of financial position when the limited liability partnership becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset and 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 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 receivable within one year are not amortised. |
Derecognition of financial assets |
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the limited liability partnership transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
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 limited liability partnership 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 a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Derecognition of financial liabilities |
Financial liabilities are derecognised when the limited liability partnership’s obligations expire or are discharged or cancelled. |
Going concern |
The members have satisfied themselves that the entity can continue to operate as a going concern, on the basis that they will continue to support the company for the foreseeable future. |
In their assessment of going concern the members observe that the LLP has net assets and will continue to operate with ongoing support from members. |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
2. | ACCOUNTING POLICIES - continued |
Members' participating interests |
Members' participation rights are the rights of a member against the LLP that arise under the members' agreement (for example, in respect of amounts subscribed or otherwise contributed remuneration and profits). |
Members' participation rights in the earnings or assets of the LLP are analysed between those that are, from the LLP's perspective, either a financial liability or equity, in accordance with section 22 of FRS 102. A member's participation rights including amounts subscribed or otherwise contributed by members, for example members' capital, are classed as liabilities unless the LLP has an unconditional right to refuse payment to members, in which case they are classified as equity. |
All amounts due to members that are classified as liabilities are presented within 'Loans and other debts due to members' and, where such an amount relates to current year profits, they are recognised within ‘Members' remuneration charged as an expense’ in arriving at the relevant year’s result. Undivided amounts that are classified as equity are shown within ‘Members' other interests’. Amounts recoverable from members are presented as debtors and shown as amounts due from members within members’ interests. |
Once an unavoidable obligation has been created in favour of members through allocation of profits or other means, any undrawn profits remaining at the reporting date are shown as ‘Loans and other debts due to members’ to the extent they exceed debts due from a specific member. |
3. | EMPLOYEE INFORMATION |
The average number of employees during the year was |
4. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 June 2023 |
and 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
The investment property to which the revaluation adjustment relates was acquired during 2020 and is shown above at fair value. The directors consider that the fair value of the investment properties at 31 May 2024 in total is as stated above. |
Fair value at 31 May 2024 is represented by: |
£ |
Valuation in 2024 | 3,242,738 |
MHG COMMERCIAL INVESTMENTS LLP (REGISTERED NUMBER: OC422464) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
5. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Other debtors |
6. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts |
Trade creditors |
Other creditors |
7. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans |
8. | LOANS AND OTHER DEBTS DUE TO MEMBERS |
In the event of a winding up the above amounts will rank equally with unsecured creditors. |
9. | RELATED PARTY TRANSACTIONS |
During the year MHG Commercial Investments LLP made loans of £800 and repayments of £513 (2023: made loan advances of £581,196 to Mansion House Group Limited and received loan repayments of £348,000 from Mansion House Group Limited). At the year end, the balance owed from Mansion House Group Limited was £136,320 (2023: £136,607 owed to Mansion House Group Limited). |
During the year MHG Commercial Investments LLP made loan advances of £36,499 to MHG Investments LLP and received loan repayments of £20232 from MHG Investments LLP (2023:made loan advances of £11,343 to MHG Investments LLP and received loan repayments of £231 from MHG Investments LLP). At the year end, the balance owed from MHG Investments LLP was £0 (2023: £16,267). |
During the year MHG Commercial Investments LLP made loan advances of £1,394,198 to Mansion House Project Management Ltd (MHPM Ltd) and received loan repayments of £1,473,117 from MHPM Ltd (2023: made loan advances of £436,600 to MHPM Ltd and received loan repayments of £182,329 from MHPM Ltd). At the year end the balance owed from MHPM Ltd was £252,840 (2023: £331,759). |
These balances are included within 'other debtors'. |
These entities are all related by virtue of their relationship to R J Peel, a member of this LLP, who is also a member or a shareholder of the above entities. |