REGISTERED NUMBER: |
Audited Financial Statements |
For The Year Ended 30 June 2024 |
for |
Treats Investments Limited |
REGISTERED NUMBER: |
Audited Financial Statements |
For The Year Ended 30 June 2024 |
for |
Treats Investments Limited |
Treats Investments Limited (Registered number: 03545956) |
Contents of the Financial Statements |
For The Year Ended 30 June 2024 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
Treats Investments Limited |
Company Information |
For The Year Ended 30 June 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditors |
276 Preston Road |
Harrow |
Middlesex |
HA3 0QA |
Treats Investments Limited (Registered number: 03545956) |
Balance Sheet |
30 June 2024 |
30/6/24 | 30/6/23 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 5 |
Investment property | 6 |
CURRENT ASSETS |
Debtors: amounts falling due within one year | 7 |
Cash at bank and in hand |
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 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 12 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 13 |
Profit and loss account | 14 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements |
For The Year Ended 30 June 2024 |
1. | STATUTORY INFORMATION |
Treats Investments Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with applicable United Kingdom accounting standards, including Financial Reporting Standard 102 - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' ('FRS 102'), and with the Companies Act 2006. The financial statements have been prepared on the historical cost basis except for the modification to a fair value basis for certain financial instruments as specified in the accounting policies below. |
The financial statements are presented in Sterling (£), which is the company's functional currency. |
Financial Reporting Standard 102 - reduced disclosure exemptions |
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" |
- the requirement of Section 7 Statement of Cash Flows; |
- the requirement of Section 3 Financial Statement Presentation paragraph 3.17(d); |
- the requirement of Section 33 Related Party Disclosure paragraph 33.7. |
Under FRS 102, the Company has taken advantage of the above exemption on the basis that it is a qualifying entity and the parent company includes the results of this company in its published consolidated financial statements as stated in the Ultimate Parent Company note. |
Significant judgements and estimates |
The company makes certain judgements and estimates regarding the future. Judgements and estimates are continually evaluated based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. In the future, actual experience may differ from these judgements and estimates. The judgements and estimates that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. |
Judgements: |
(i) Depreciation rates |
Annual rates applied in the depreciation policies are based on experience and past performance. Rates are continuously under assessment which may lead to revision in the future. |
(ii) Valuation of investment property |
Valuation of investment property is based on the directors' best estimate from the knowledge of the market. |
Turnover |
Turnover represents sales (excluding VAT) of services, net of discounts, provided in the normal course of its trading activity. The sales are recognised when services have been rendered. The turnover of the hotel is derived primarily from the room rental and sale of food and beverage. The turnover is recognised based on the date of arrival of the guest. |
Rental income |
Rental income represents rent receivable from letting of own investment property. |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Freehold property | - |
Long leasehold | - |
Plant and machinery | - |
Fixtures and fittings | - |
Computer equipment | - |
Tangible fixed assets are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. |
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using either a straight line or reducing balance method, as indicated above. |
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. |
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss. |
Freehold property is not depreciated on the grounds that the carrying value is maintained in excess of the historical costs. This departs from the requirements of S.17 FRS 102 in order to present a true and fair view. |
Investment property |
In accordance with FRS 102, investment properties shall be measured at fair value at each reporting date with changes in fair value recognised in the Statement of Comprehensive Income. |
Taxation |
Current tax is recognised for the amount of income tax payable in respect of the taxable profit for the current or past reporting periods using the tax rates and laws that that have been enacted or substantively enacted by the reporting date. |
Deferred tax is provided in full on timing differences which result in an obligation at the balance sheet date to |
pay more tax, or a right to pay less tax, at a future date, at rates expected to apply when they crystallise, based on current tax rates and law. Timing differences arise from the inclusion of items of income and expenditure in taxation computations in periods different from those in which they are included in the financial statements. Deferred tax assets are recognised to the extent that it is regarded as more likely than not that they will be recovered. Deferred tax assets and liabilities are not discounted. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
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. |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
The Company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments. |
(i) Financial assets |
Basic financial assets (including trade and other receivables, cash and bank balances) are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method. |
At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. The impairment loss is recognised in the Statement of Comprehensive Income. |
(ii) Financial liabilities |
Basis financial liabilities (including trade and other payables, bank loans, loans from fellow group companies) 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 receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Debtors |
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value (net of transaction costs) and are measured subsequently at amortised cost using the effective interest method, less any impairment. |
Creditors |
Short term trade creditors are measured at the transaction price. Other financial liabilities (including bank loans) are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. |
Cash and cash equivalents |
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. |
Going concern |
The directors have reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, which is a period of at least 12 months from the date of signing these financial statements. The company also has support from group companies and has secured finance with the company's banks. Therefore, the financial statements have been prepared on a going concern basis. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
4. | AUDITORS' REMUNERATION |
30/6/24 | 30/6/23 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
7,500 |
7,000 |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
5. | TANGIBLE FIXED ASSETS |
Freehold | Long | Plant and |
property | leasehold | machinery |
£ | £ | £ |
COST |
At 1 July 2023 |
Additions |
Disposals |
Reclassification/transfer | ( |
) |
At 30 June 2024 |
DEPRECIATION |
At 1 July 2023 |
Charge for year |
Eliminated on disposal |
At 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
Fixtures |
and | Computer |
fittings | equipment | Totals |
£ | £ | £ |
COST |
At 1 July 2023 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) |
Reclassification/transfer |
At 30 June 2024 |
DEPRECIATION |
At 1 July 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) | ( |
) |
At 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
6. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 July 2023 |
and 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
Fair value at 30 June 2024 is represented by: |
£ |
Valuation in 2014 | 2,113,197 |
Valuation in 2015 | 20,000 |
Valuation in 2016 | 40,000 |
Valuation in 2017 | 70,000 |
Valuation in 2018 | 80,000 |
Valuation in 2021 | 290,000 |
Cost | 286,803 |
2,900,000 |
If the investment property had not been revalued it would have been included at the following historical cost: |
30/6/24 | 30/6/23 |
£ | £ |
Cost | 286,803 | 286,803 |
The investment property was valued on an open market basis on 12 March 2025 by the directors . |
7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30/6/24 | 30/6/23 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
The amounts owed by group undertakings are non interest bearing loans and receivable on demand. |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30/6/24 | 30/6/23 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Taxation and social security |
Other creditors |
The amounts owed to group undertakings are non interest bearing loans and repayable on demand. |
9. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
30/6/24 | 30/6/23 |
£ | £ |
Bank loans (see note 10) |
Amounts falling due in more than five years: |
Repayable otherwise than by instalments |
Bank loans more 5 yrs non-inst |
Repayable by instalments |
Bank loans more 5 yr by instal | 2,552,220 | 2,551,253 |
10. | LOANS |
An analysis of the maturity of loans is given below: |
30/6/24 | 30/6/23 |
£ | £ |
Amounts falling due in more than five years: |
Repayable otherwise than by instalments |
Bank loans more 5 yrs non-inst | 7,581,930 | 7,587,349 |
Repayable by instalments |
Bank loans more 5 yr by instal | 2,552,220 | 2,551,253 |
Interest payable on bank loans are calculated at 2% per annum over Base Rate plus mandatory costs. There are financial covenants attached to this loan such as minimum EBITDA and maximum Dividends and gross leverage. |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
11. | SECURED DEBTS |
The following secured debts are included within creditors: |
30/6/24 | 30/6/23 |
£ | £ |
Bank loans |
The bank loans are secured by a fixed and floating charge over the assets and related undertakings of the company and inter company guarantees. |
12. | PROVISIONS FOR LIABILITIES |
30/6/24 | 30/6/23 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Fair value of investment |
property | 605,403 | 605,403 |
648,713 | 659,657 |
Deferred |
tax |
£ |
Balance at 1 July 2023 |
Accelerated capital allowances | (10,944 | ) |
Tax on fair value movement |
Balance at 30 June 2024 |
13. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 30/6/24 | 30/6/23 |
value: | £ | £ |
Ordinary | £1 | 300 | 300 |
Treats Investments Limited (Registered number: 03545956) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
14. | RESERVES |
Profit |
and loss |
account |
£ |
At 1 July 2023 |
Profit for the year |
Dividends | ( |
) |
At 30 June 2024 |
The retained earnings at the balance sheet date include £7,402,302 (2023: £7,402,302) which are not distributable profits arising on revaluation of investment property after provision for deferred taxation and other property acquired as a result of group reorganisation. |
15. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Auditors' Report was unqualified. |
for and on behalf of |
16. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
17. | ULTIMATE CONTROLLING PARTY |
For the year ended 30 June 2024 and 30 June 2023: |
The ultimate controlling party is Mr A Merali. |
18. | ULTIMATE PARENT COMPANY |
For the year ended 30 June 2024 and 30 June 2023: |
In the opinion of the directors the ultimate parent company is Treats Holdings Limited, a company incorporated in England and Wales. The smallest and largest group of which the company is a member and for which group consolidated financial statements are prepared is Treats Holdings Limited. The group financial statements are available at the company's registered office address, 7 Greenock Road, Acton, London W3 8DU. |