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REGISTERED NUMBER: 10112488 (England and Wales)












Report of the Directors and

Financial Statements for the Year Ended 30 September 2024

for

Property Finance Capital (No 3) Limited

Property Finance Capital (No 3) Limited (Registered number: 10112488)






Contents of the Financial Statements
for the year ended 30 September 2024




Page

Company Information 1

Report of the Directors 2

Report of the Independent Auditors 4

Statement of Comprehensive Income 8

Balance Sheet 9

Statement of Changes in Equity 10

Notes to the Financial Statements 11


Property Finance Capital (No 3) Limited

Company Information
for the year ended 30 September 2024







DIRECTORS: S D Meller
B L Rubins
J Rubins
A H Kay





SECRETARY: Ms L Sivasubramanian





REGISTERED OFFICE: 1st Floor
Healthaid House
Marlborogh Hill
Harrow
Middlesex
HA1 1UD





BUSINESS ADDRESS: Building 2
Imperial Place
Maxwell Road
Borehamwood
Hertfordshire
WD6 1JN





REGISTERED NUMBER: 10112488 (England and Wales)





AUDITORS: Grant Harrod Lerman Davis LLP
Chartered Accountants
Statutory Auditors
1st Floor
Healthaid House
Marlborough Hill
Harrow
Middlesex
HA1 1UD

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Report of the Directors
for the year ended 30 September 2024

The directors present their report with the financial statements of the company for the year ended 30 September 2024.

FUTURE DEVELOPMENTS
The directors draw your attention to the uncertainty referred to in Note 2 to the accounts. This reflects losses which arise from the company being unable to recover amounts due from a fellow group member, such losses in turn reduce amounts repayable to bondholders, who consequently risk a shortfall on repayment of up to four hundred and twenty thousand pounds. Discussions are ongoing with then company's immediate parent, which is considering making good any shortfall up to 50%, which would be payable over several years.

EVENTS SINCE THE END OF THE YEAR
Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 October 2023 to the date of this report.

S D Meller
B L Rubins
J Rubins
A H Kay

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
The auditors, Grant Harrod Lerman Davis LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.


Property Finance Capital (No 3) Limited (Registered number: 10112488)

Report of the Directors
for the year ended 30 September 2024

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

ON BEHALF OF THE BOARD:





S D Meller - Director


22 January 2025

Report of the Independent Auditors to the Members of
Property Finance Capital (No 3) Limited

Opinion
We have audited the financial statements of Property Finance Capital (No 3) Limited (the 'company') for the year ended 30 September 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 30 September 2024 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material uncertainty related to going concern
We draw attention to Note 2 in the financial statements - 'Basis of preparation', which indicates that the company may be unable to repay its participants' loans in the event they do not recover the amounts owed to them by a fellow group member. As stated in Note 2, these events or conditions, along with other matters as set forth in Note 2, indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Other information
The directors are responsible for the other information. The other information comprises the information in the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Report of the Directors has been prepared in accordance with applicable legal requirements.

Report of the Independent Auditors to the Members of
Property Finance Capital (No 3) Limited


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the directors were not entitled to take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page two, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Report of the Independent Auditors to the Members of
Property Finance Capital (No 3) Limited


Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We have considered the nature of the company's industry and its control environment, and reviewed the company's documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of acts by the company which would be contrary to applicable laws and regulations, including fraud. These included but were not limited to compliance with the UK's Companies Act regulations and tax legislation.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

We focused on laws and regulations that could give rise to a material misstatement in the company financial statements. Our tests included, but were not limited to:

- Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with relevant laws and regulations discussed above;

- Enquiries of management

- Reading minutes of meetings of the Board;

- In addressing the risk of fraud though management override of controls, testing the appropriateness of a sample of journal entries and other adjustments; and

- Assessing whether the judgements made in making accounting estimates are indicative of a potential bias;

- Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Report of the Independent Auditors to the Members of
Property Finance Capital (No 3) Limited


Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Roshni Prajapati FCCA (Senior Statutory Auditor)
for and on behalf of Grant Harrod Lerman Davis LLP
Chartered Accountants
Statutory Auditors
1st Floor
Healthaid House
Marlborough Hill
Harrow
Middlesex
HA1 1UD

22 January 2025

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Statement of Comprehensive
Income
for the year ended 30 September 2024

2024 2023
Notes £    £   

TURNOVER - -

Cost of sales 192,186 -
GROSS PROFIT 192,186 -

OPERATING PROFIT and
PROFIT BEFORE TAXATION 192,186 -

Tax on profit 6 - -
PROFIT FOR THE FINANCIAL YEAR 192,186 -

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

192,186

-

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Balance Sheet
30 September 2024

2024 2023
Notes £    £   
CURRENT ASSETS
Debtors 7 668,607 476,421
Cash at bank 3,050 3,050
671,657 479,471
CREDITORS
Amounts falling due within one year 8 (1,476,321 ) (1,476,321 )
NET CURRENT LIABILITIES (804,664 ) (996,850 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

(804,664

)

(996,850

)

CAPITAL AND RESERVES
Called up share capital 10 710 710
Share premium 11 2,440 2,440
Retained earnings 11 (807,814 ) (1,000,000 )
SHAREHOLDERS' FUNDS (804,664 ) (996,850 )

The financial statements were approved by the Board of Directors and authorised for issue on 22 January 2025 and were signed on its behalf by:





S D Meller - Director


Property Finance Capital (No 3) Limited (Registered number: 10112488)

Statement of Changes in Equity
for the year ended 30 September 2024

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1 October 2022 710 (1,000,000 ) 2,440 (996,850 )

Changes in equity
Balance at 30 September 2023 710 (1,000,000 ) 2,440 (996,850 )

Changes in equity
Total comprehensive income - 192,186 - 192,186
Balance at 30 September 2024 710 (807,814 ) 2,440 (804,664 )

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Notes to the Financial Statements
for the year ended 30 September 2024

1. STATUTORY INFORMATION

Property Finance Capital (No 3) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


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" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

There is significant uncertainty as to whether the entity will continue as a going concern as it is almost certain the entity is unable to recover amounts owed from Alternative Bridging (UK2) Limited (ABUK2). This causes doubt as to whether the company can settle its liabilities and commitments in the normal course of business. Partial redemptions are being made as and when the final loan is redeeming in ABUK2, however the parent company Alternative Bridging Corporation has guaranteed the entity will meet its running costs whilst avenues are explored to settle the remaining liabilities.

Accordingly, relevant provisions have been made to the financial statements where necessary relating to the recoverability and classification of the assets carrying amounts or the amount and classification of liabilities that might be necessary should the entity not continue as a going concern. At this time, the directors are of the opinion that no decision has been made in regards to the settlement of the company's liabilities.

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 requirements of Section 7 Statement of Cash Flows;
the requirement of paragraph 3.17(d);
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and
11.48(c).

Related party exemption
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

Financial instruments
Financial assets and financial liabilities are recognised when the Company becomes party to the contractual provisions of the instrument. Financial instruments are classified according to substance of the contractual arrangements entered into.

Basic financial assets
Basic financial assets, which include debtors and cash and bank balances 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.

Basic financial liabilities
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies which are classified as payable within one year are measured at the transaction price. Other financial liabilities, including bank loans, classified as payable in more than one year are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method unless the effect of discounting would be immaterial, in which case they are stated at cost.

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Notes to the Financial Statements - continued
for the year ended 30 September 2024

2. ACCOUNTING POLICIES - continued

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.

3. JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. The key accounting policies and key sources of judgement relates to the recoverability of debtors and recognition of revenue.

4. EMPLOYEES AND DIRECTORS

There were no staff costs for the year ended 30 September 2024 nor for the year ended 30 September 2023.

The average number of employees during the year was as follows:
2024 2023

Directors 4 4

2024 2023
£    £   
Directors' remuneration - -

5. OPERATING PROFIT

The operating profit in the year for the company was £192,186 (2023: £Nil)

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Notes to the Financial Statements - continued
for the year ended 30 September 2024

6. TAXATION

Analysis of the tax charge
No liability to UK corporation tax arose for the year ended 30 September 2024 nor for the year ended 30 September 2023.

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2024
£   
Profit before tax 192,186
Profit multiplied by the standard rate of corporation tax in the UK of 25% 48,047

Effects of:
Expenses not deductible for tax purposes (48,047 )
Total tax charge -

7. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Amounts owed by group undertakings 668,607 476,421

Amounts owing from group companies are funds used in that subsidiary to facilitate lending. Significant bad debt provisions were needed to be made in that subsidiary in an earlier year, which in turn result in the full amounts due not being repaid. Therefore balances are stated to its recoverable amount.

8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Participants' loans 1,076,321 1,476,321
Amounts owed to group undertakings 400,000 -
1,476,321 1,476,321

Included within participants' loans are secured amounts totalling £1,076,321 (2023: £1,476,321). See note 9 for details.

9. SECURED DEBTS

The following secured debts are included within creditors:

2024 2023
£    £   
Participants' loans 1,076,321 1,476,321

The participants' loans are secured on first and second charges over advances made by Alternative Bridging (UK 2) Limited, a fellow subsidiary of Alternative Bridging Corporation Limited.

Property Finance Capital (No 3) Limited (Registered number: 10112488)

Notes to the Financial Statements - continued
for the year ended 30 September 2024

10. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
100 A Shares £1 100 100
61 B £10 610 610
710 710

11. RESERVES
Retained Share
earnings premium Totals
£    £    £   

At 1 October 2023 (1,000,000 ) 2,440 (997,560 )
Profit for the year 192,186 192,186
At 30 September 2024 (807,814 ) 2,440 (805,374 )

12. ULTIMATE PARENT COMPANY

The ultimate controlling parent is Southern Group Limited by virtue of its controlling shareholding in Alternative Bridging Corporation Limited, the immediate parent company.

13. RELATED PARTY DISCLOSURES

The company's working capital is provided by loans from B shareholders.

Included within participants' loans are amounts of £48,212 (2023: £66,129) being loans from London and Counties Flats Ltd, a company of whom S Sharpe is a director and also a director of the immediate parent company.

14. POST BALANCE SHEET EVENTS

As a result of significant provisioning needing to be made within Alternative Bridging (UK2) Limited, a subsidiary of the company, the company will not be in a position to repay amounts owing to its participants in full. Alternative Bridging Corporation Limited, the parent company is considering making good to the participants up to 50% of this shortfall.