Company No:
Contents
| Note | 2024 | 2023 | ||
| £ | £ | |||
| Restated - note 2 | ||||
| Fixed assets | ||||
| Tangible assets | 4 |
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| Investment property | 5 |
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| 170,285 | 173,131 | |||
| Current assets | ||||
| Debtors | 6 |
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| Cash at bank and in hand |
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| 33,767 | 34,717 | |||
| Creditors: amounts falling due within one year | 7 | (
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| Net current liabilities | (18,820) | (16,266) | ||
| Total assets less current liabilities | 151,465 | 156,865 | ||
| Creditors: amounts falling due after more than one year | 8 | (
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| Provision for liabilities | 9 | (
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| Net assets |
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| Capital and reserves | ||||
| Called-up share capital | 10 |
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| Revaluation reserve |
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| Profit and loss account | (
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| Total shareholder's funds |
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Director's responsibilities:
The financial statements of Harrapool Limited (registered number:
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Adam Macdonald
Director |
The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.
Harrapool Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in Scotland. The address of the Company's registered office is The Top Shop Ford Road, Broadford, Isle Of Skye, IV49 9AB, Scotland, United Kingdom.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.
The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.
At the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The director has agreed to make available funding to the company as required and monies due to the director will not be repaid until all other liabilities have been met. Consequently the director continues to adopt the going concern basis of accounting in preparing the financial statements.
In the company's accounts to 28 June 2023, the corporation tax provision required to be corrected by reversing the use of brought forward losses and to disallow a legal fee, giving rise to additional corporation tax due of £8,826. Section 455 tax payable was omitted for a loan which had been provided from the company to the partnership. The correct treatment gave rise to £9,209 section 455 tax payable. Finally, as the loan to the partnership was overdrawn by more than £10,000 this gave rise to taxable loan benefits in kind which had also been omitted at the time of preparing the accounts. The correct treatment was to include £492 of income tax and class 1A NIC. By accruing the £492 income tax and class 1A NIC, this led to a further reduction of the corporation tax provision of £93. The Retained Earnings were overstated by £10,846, thus a Prior Year Adjustment has been made in these accounts to correct the balances as at 28 June 2023.
Turnover is recognised on the accruals basis.
Short term benefits
The cost of short-term employee benefits are recognised as a liability and an expense.
Defined contribution schemes
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.
Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
| Land and buildings |
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| Plant and machinery |
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| Office equipment |
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The Company as lessor
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.
Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account.
The fair value is determined annually by the director, on an open market value for existing use basis.
Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.
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.
Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either 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.
Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
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.
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.
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.
| As previously reported | Adjustment | As restated | ||||
| Year ended 30 June 2023 | £ | £ | £ | |||
| Retained earnings | (9,227) | 10,846 | 1,619 | |||
| Corporation Tax (Debtor) | 0 | 9,209 | 9,209 | |||
| Corporation Tax (Creditor) | (1,345) | (17,888) | (19,233) | |||
| Accruals | (2,951) | (492) | (3,443) | |||
| Deferred Tax | (12,888) | (1,622) | (14,510) |
| 2024 | 2023 | ||
| Number | Number | ||
| Monthly average number of persons employed by the Company during the year, including the director |
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| Land and buildings | Plant and machinery | Office equipment | Total | ||||
| £ | £ | £ | £ | ||||
| Cost | |||||||
| At 01 July 2023 |
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| At 30 June 2024 |
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| Accumulated depreciation | |||||||
| At 01 July 2023 |
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| Charge for the financial year |
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| At 30 June 2024 |
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| Net book value | |||||||
| At 30 June 2024 |
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| At 30 June 2023 |
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| Investment property | |
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| Valuation | |
| As at 01 July 2023 |
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| As at 30 June 2024 |
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Valuation
The director believes that the valuation of £169,590 is an appropriate market value as at 28 June 2024.
| 2024 | 2023 | ||
| £ | £ | ||
| Amounts owed by related parties |
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| Corporation tax |
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| Other debtors |
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| £ | £ | ||
| Bank loans and overdrafts |
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| Trade creditors |
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| Accruals |
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| Taxation and social security |
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| Other creditors |
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The bank loan consists of a Coronavirus Bounce Back loan of £6,248 (2023 - £6,150) which is guaranteed by the UK government.
| 2024 | 2023 | ||
| £ | £ | ||
| Bank loans (secured) |
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| Other creditors |
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Amounts repayable after more than 5 years are included in creditors falling due over one year:
| 2024 | 2023 | ||
| £ | £ | ||
| Bank loans (secured) |
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| 2024 | 2023 | ||
| £ | £ | ||
| At the beginning of financial year | (
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| Credited to the Profit and Loss Account |
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| At the end of financial year | (
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| 2024 | 2023 | ||
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| Allotted, called-up and fully-paid | |||
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Other related party transactions
| 2024 | 2023 | ||
| £ | £ | ||
| Other related parties (creditor balance) | 42,227 | 39,227 | |
| Other related parties (debtor balance) | (24,335) | 0 |