Registration number:
Burley Property Investment Company Limited
for the Period from 24 June 2023 to 30 June 2024
Burley Property Investment Company Limited
Contents
Company Information |
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Directors' Report |
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Income statement |
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Statement of Financial Position |
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Statement of Changes in Equity |
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Notes to the Unaudited Financial Statements |
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Accountants' Report |
Burley Property Investment Company Limited
Company Information
Directors |
H M Whyle M F Mendham S P M Cuff |
Company secretary |
M F Mendham |
Registered office |
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Solicitors |
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Accountants |
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Burley Property Investment Company Limited
Directors' Report for the Period from
24 June 2023 to 30 June 2024
The directors present their report and the financial statements for the period from 24 June 2023 to 30 June 2024.
Principal activity
The principal activity of the company is property management.
Directors of the company
The directors who held office during the period and up to the date of approval of this report were as follows:
Going concern
The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis in preparing the annual financial statements.
Events after the financial period
There have been no significant events between the year end and the date of approval of these financial statements which would require a change to, or disclosure in the financial statement.
Directors' liabilities
The company has made qualifying third party indemnity provisions for the benefit of its directors which were made during the year and remain in force at the date of this report.
Small companies provision statement
The directors have taken advantage of the small companies exemptions provided by sections 414B and 415A of the Companies Act 2006 from the requirement to prepare a strategic report and in preparing the directors’ report on the grounds that the company is entitled to prepare its accounts for the year in accordance with the small companies regime.
Approved and authorised by the
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Burley Property Investment Company Limited
Income statement
for the Period from 24 June 2023 to 30 June 2024
Note |
2024 |
2023 |
|
Revenue |
|
|
|
Cost of sales |
( |
( |
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Gross profit |
|
|
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Administrative expenses |
( |
( |
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Other operating income |
|
|
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Operating profit |
406,743 |
365,961 |
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Gain on revaluation of investment properties |
|
- |
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Other interest receivable and similar income |
|
|
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Interest payable and similar expenses |
( |
- |
|
266,088 |
9 |
||
Profit before tax |
|
|
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Taxation |
( |
( |
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Profit for the financial period |
|
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Burley Property Investment Company Limited
(Registration number: 00328557)
Statement of Financial Position as at 30 June 2024
Note |
2024 |
2023 |
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Non-current assets |
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Property, plant and equipment |
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Current assets |
|||
Receivables |
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|
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Cash at bank and in hand |
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|
|
|
|
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Payables: Amounts falling due within one year |
( |
( |
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Net current assets |
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|
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Total assets less current liabilities |
|
|
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Provisions for liabilities |
( |
( |
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Net assets |
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|
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Equity |
|||
Called up share capital |
453 |
453 |
|
Capital redemption reserve |
147 |
147 |
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Other reserves |
1,478,300 |
1,277,675 |
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Retained earnings |
3,567,741 |
3,490,243 |
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Shareholders' funds |
5,046,641 |
4,768,518 |
For the financial period ending 30 June 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
• |
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• |
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006 and in accordance with the provisions of FRS 102 Section 1A - small entities.
The financial statements of Burley Property Investment Company Limited were approved and authorised for issue by the
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Director
Burley Property Investment Company Limited
Statement of Changes in Equity
for the Period from 24 June 2023 to 30 June 2024
Share capital |
Capital redemption reserve |
Other reserve |
Retained earnings |
Total |
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At 24 June 2023 |
|
|
|
|
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Profit for the period |
- |
- |
- |
|
|
Dividends |
- |
- |
- |
( |
( |
Transfers |
- |
- |
200,625 |
(200,625) |
- |
At 30 June 2024 |
|
|
|
|
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Share capital |
Capital redemption reserve |
Non-distributable reserve |
Retained earnings |
Total |
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At 24 June 2022 |
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|
|
|
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Profit for the period |
- |
- |
- |
|
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Dividends |
- |
- |
- |
( |
( |
At 23 June 2023 |
453 |
147 |
1,277,675 |
3,490,243 |
4,768,518 |
Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024
General information |
Burley Property Investment Company Limited (the 'company') is a private company limited by share capital, registered in England and Wales under the Companies Act. The address of the registered office is given on page 1. The nature of the company’s operations and its principal activities are set out in the directors' report on page 2.
Accounting policies |
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Going concern
The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis in preparing the annual financial statements.
Statement of compliance
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' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The functional currency of the company is considered to be pound sterling (£) because that is the currency of the primary economic environment in which the company operates. The financial statements are presented in pound sterling (£).
Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024 (continued)
2 |
Accounting policies (continued) |
Critical judgements and key sources of estimation uncertainties
The preparation of financial statements in conformity with FRS 102 requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. The judgements, estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are discussed below:
Valuation of investment property portfolio
The investment property portfolio was revalued at the year end to its fair value on the basis of market value. Market value represents the figure that would appear in a hypothetical contract of sale between a willing buyer and a willing seller. Market value is estimated without regard to costs of sale. Property valuation is inherently subjective and contains a number of assumptions upon which they are based.
The assumptions on which the valuation have been based include, but are not limited to, matters such as recent comparable market transactions on arm’s length terms, the tenure and tenancy details for the properties, ground conditions at the properties and the structural condition of the properties. Any variation in the valuations would have a material effect on the profit after tax and the net asset value of the company. The carrying amount at the year end was £4,585,000 (2023: £4,585,000).
Revenue recognition
Revenue comprises the fair value of the consideration received or receivable from rental properties in the ordinary course of the company’s activities. Revenue is shown net of value added tax (where applicable) and rent rebates.
The company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the company and when specific criteria have been met.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024 (continued)
2 |
Accounting policies (continued) |
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used.
Property, plant and equipment
Property, plant and equipment are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of property, plant and equipment includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Fittings fixtures and equipment |
20%, 50% and 100% |
Investment property
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Receivables
Trade and other receivables that are receivable within one year and do not constitute a financing transaction are recorded at the undiscounted amount expected to be received, net of impairment. Those that are receivable after more than one year or that constitute a financing transaction are recorded initially at fair value less transaction costs and subsequently at amortised cost, net of impairment.
Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024 (continued)
2 |
Accounting policies (continued) |
Payables
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade and other payables are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade and other payables that are payable within one year and do not constitute a financing transaction are recorded at the undiscounted amount expected to be paid. Those that are payable after more than one year or that constitute a financing transaction are recorded initially at transaction price and subsequently at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Staff numbers |
The average number of persons employed by the company (including directors) during the period, was
Taxation |
Tax charged/(credited) in the income statement
2024 |
2023 |
|
Current taxation |
||
UK corporation tax |
|
|
UK corporation tax adjustment to prior periods |
- |
|
101,333 |
75,070 |
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Deferred taxation |
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Arising from origination and reversal of timing differences |
|
- |
Tax expense in the income statement |
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Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024 (continued)
4 |
Taxation (continued) |
The tax on profit before tax for the period is the same as the standard rate of corporation tax in the UK (2023 - higher than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2024 |
2023 |
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Profit before tax |
|
|
Corporation tax at standard rate |
|
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Increase in UK and foreign current tax from adjustment for prior periods |
- |
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Tax increase from effect of capital allowances and depreciation |
- |
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Total tax charge |
|
|
Deferred tax
Property, plant and equipment |
Freehold properties |
Leasehold properties |
Furniture, fittings and equipment |
Total |
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Cost or valuation |
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At 24 June 2023 |
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|
|
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Revaluations |
( |
|
- |
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At 30 June 2024 |
|
|
|
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Depreciation |
||||
At 24 June 2023 |
- |
- |
|
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At 30 June 2024 |
- |
- |
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Carrying amount |
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At 30 June 2024 |
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|
- |
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At 23 June 2023 |
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|
- |
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Included within the net book value of land and buildings above is £4,052,500 (2023 - £4,135,000) in respect of freehold land and buildings.
Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024 (continued)
Receivables |
2024 |
2023 |
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Trade receivables |
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Prepayments |
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|
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Cash and cash equivalent |
2024 |
2023 |
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Cash at bank |
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Payables |
Note |
2024 |
2023 |
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Due within one year |
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Trade payables |
|
|
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Social security and other taxes |
|
|
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Corporation tax |
101,333 |
74,713 |
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Accruals and deferred income |
|
|
|
|
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Provisions for liabilities |
Deferred tax |
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At 24 June 2023 |
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Additional provisions |
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At 30 June 2024 |
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Deferred tax liability represents timing difference arising on the taxation of fair value adjustments relating to the company's investment properties. Deferred tax is provided at tax rates expected to apply when they crystallise based on tax rates and laws that have been enacted or substantially enacted by the year end.
Burley Property Investment Company Limited
Notes to the Unaudited Financial Statements
for the Period from 24 June 2023 to 30 June 2024 (continued)
Share capital and reserves |
Allotted, called up and fully paid shares
2024 |
2023 |
|||
No. |
£ |
No. |
£ |
|
|
|
453 |
|
453 |
The company has one class of share capital which carries no right fixed income.
Reserves
The profit and loss account reserve represents cumulative profit or losses net of dividends paid and other adjustments.
The capital redemption reserve represents a statutory, non-distributable reserve into which amounts are transferred following the redemption or purchase of the company's own shares out of distributable profits.
The other reserve represents the cumulative effect of revaluations of investment properties which are revalued to fair value at each reporting date. This reserve forms part of the company's non-distributable reserves.
Dividends |
2024 |
2023 |
|||
£ |
£ |
|||
Interim dividend of £ |
226,500 |
176,670 |
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Controlling party |
Events after the financial period |
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Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Burley Property Investment Company Limited
for the Period Ended 30 June 2024
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Burley Property Investment Company Limited for the period ended 30 June 2024 as set out on pages 3 to 12 from the company's accounting records and from information and explanations you have given us.
As a practising firm of accountants, we are subject to ethical and other professional requirements.
This report is made solely to the Board of Directors of Burley Property Investment Company Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of Burley Property Investment Company Limited and state those matters that we have agreed to state to the Board of Directors of Burley Property Investment Company Limited, as a body, in this report. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Burley Property Investment Company Limited and its Board of Directors as a body for our work or for this report.
It is your duty to ensure that Burley Property Investment Company Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of Burley Property Investment Company Limited. You consider that Burley Property Investment Company Limited is exempt from the statutory audit requirement for the period.
We have not been instructed to carry out an audit or a review of the accounts of Burley Property Investment Company Limited. 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 accounts.
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For and on behalf of
19 Cedar Road
Sutton
Surrey
SM2 5DA