4 false false false false true true false false false false false false true false false false false false false No description of principal activity 2023-10-01 Sage Accounts Production Advanced 2024 - FRS102_2024 764,341 1,436,370 7,691,973 69,682 7,761,655 7,761,655 7,691,973 xbrli:pure xbrli:shares iso4217:GBP 07111467 2023-10-01 2024-09-30 07111467 2024-09-30 07111467 2023-09-30 07111467 2022-10-01 2023-09-30 07111467 2023-09-30 07111467 2022-09-30 07111467 core:Subsidiary1 2023-10-01 2024-09-30 07111467 bus:RegisteredOffice 2023-10-01 2024-09-30 07111467 bus:OrdinaryShareClass2 2023-10-01 2024-09-30 07111467 bus:LeadAgentIfApplicable 2023-10-01 2024-09-30 07111467 bus:Director1 2023-10-01 2024-09-30 07111467 bus:Director2 2023-10-01 2024-09-30 07111467 bus:Director4 2023-10-01 2024-09-30 07111467 bus:Director5 2023-10-01 2024-09-30 07111467 core:WithinOneYear 2024-09-30 07111467 core:WithinOneYear 2023-09-30 07111467 core:HedgingReserve 2022-10-01 2023-09-30 07111467 core:RetainedEarningsAccumulatedLosses 2022-10-01 2023-09-30 07111467 core:HedgingReserve 2023-10-01 2024-09-30 07111467 core:RetainedEarningsAccumulatedLosses 2023-10-01 2024-09-30 07111467 core:AfterOneYear 2024-09-30 07111467 core:AfterOneYear 2023-09-30 07111467 core:ShareCapital 2024-09-30 07111467 core:ShareCapital 2023-09-30 07111467 core:HedgingReserve 2024-09-30 07111467 core:HedgingReserve 2023-09-30 07111467 core:RetainedEarningsAccumulatedLosses 2024-09-30 07111467 core:RetainedEarningsAccumulatedLosses 2023-09-30 07111467 core:ShareCapital 2022-09-30 07111467 core:RetainedEarningsAccumulatedLosses 2022-09-30 07111467 1 2023-10-01 2024-09-30 07111467 1 2022-10-01 2023-09-30 07111467 core:CostValuation core:Non-currentFinancialInstruments 2023-09-30 07111467 core:Non-currentFinancialInstruments core:RevaluationsIncreaseDecreaseInInvestments 2024-09-30 07111467 core:CostValuation core:Non-currentFinancialInstruments 2024-09-30 07111467 core:Non-currentFinancialInstruments 2024-09-30 07111467 core:Non-currentFinancialInstruments 2023-09-30 07111467 bus:LeadAgentIfApplicable 2022-10-01 2023-09-30 07111467 bus:MediumEntities 2023-10-01 2024-09-30 07111467 bus:Audited 2023-10-01 2024-09-30 07111467 bus:Medium-sizedCompaniesRegimeForAccounts 2023-10-01 2024-09-30 07111467 bus:PrivateLimitedCompanyLtd 2023-10-01 2024-09-30 07111467 bus:FullAccounts 2023-10-01 2024-09-30 07111467 bus:OrdinaryShareClass2 2024-09-30 07111467 bus:OrdinaryShareClass2 2023-09-30 07111467 core:RevaluationReserve 2023-10-01 2024-09-30
COMPANY REGISTRATION NUMBER: 07111467
Burgh Island Holdings Limited
Financial Statements
30 September 2024
Burgh Island Holdings Limited
Financial Statements
Year ended 30 September 2024
Contents
Page
Officers and professional advisers
1
Strategic report
2
Directors' report
4
Independent auditor's report to the members
6
Statement of comprehensive income
10
Statement of financial position
11
Statement of changes in equity
12
Statement of cash flows
13
Notes to the financial statements
14
Burgh Island Holdings Limited
Officers and Professional Advisers
The board of directors
Mr P Booth-Clibborn
Mr G Fuchs
Ms J Ward
Ms S Kennedy (Appointed 31 March 2025)
Registered office
10 Canberra House
Corbygate Business Park
Corby
Northamptonshire
England
NN17 5JG
Trading address:
Burgh Island Hotel
Burgh Island
Bigbury on Sea
Kingsbridge
Devon
TQ7 4BG
Auditor
Shaw Gibbs (Audit) Limited
Chartered accountants & statutory auditor
264 Banbury Road
Oxford
Oxfordshire
OX2 7DY
Burgh Island Holdings Limited
Strategic Report
Year ended 30 September 2024
The directors present their Strategic Report and Audited Financial Statements for the year ended 30 September 2024. Principle activity The principal activity of the company remains the operation of Burgh Island Hotel and The Pilchard Inn and café, just off the south coast of Devon near Bigbury on Sea. The hotel has panoramic views overlooking Bigbury on Sea and Batham beaches. The hotel was developed by Archie Nettlefold in the 1930's after he purchased the island from George Chirgwin. Despite some turbulent periods the hotel has evolved into a classic example of Art Deco architecture containing one of the most comprehensive collections of Art Deco furnishings and accessories in the UK. As current custodians of the hotel the Directors' objective is to maintain the ambiance of the 1930s whilst utilising 21st century technology in an unintrusive way to enhance the guest experience. The hotel is situated on a tidal island which reinforces the guests experience of leaving the 21st century behind but increases the operational challenges with bringing staff and supplies to and from the island on a timely basis. The Pilchard Inn, a 14th century original smugglers inn, named after the pilchard fishing that took place when fishermen occupied the island, offers food and beverages to eat in and takeaway. Although the actual pub is cosy, the surrounding area has been developed to allow many more visitors to sit outside and enjoy the food and drinks on offer either from the pub or from the takeaway café below the actual Inn.
Business Review The directors have successfully managed to promote the hotel throughout the year, and it continues to feature heavily on TV and in major national and local publications. Consequently, the hotel has benefitted from high occupancy and the directors are pleased to report that guest satisfaction levels are extremely good. During the previous year, the directors had made the decision to sell the hotel and the Pilchard to new custodians, however, the business was taken off the market at the end of 2023 with the intention of keeping and developing it. As a result, there has been substantial capital investment in the buildings and building services. In addition, rising overheads and higher finance costs resulting from a change of banks have resulted in smaller profit margins despite consistent rates of occupancy. The operational challenges faced by the hotel remain the management and development of a hotel on a tidal island. Staff recruitment and retention, however, have improved due to by the provision of bespoke staff accommodation and a road map designed to identify opportunities for staff training and development. Results Results for the year were: loss before tax £764,341 (2023: profit £1,436,370). Cashflow remained positive throughout the year and the company was able to comfortably service its debts. The directors take a very prudent view of cash reserves and monitor discretionary spending very closely.
Principal Risks and Uncertainties As in previous years these risks remain common with other hospitality businesses, both nationally and locally. Specifically the directors have identified the following: - The inflationary pressure on family incomes is now a risk mitigated in the case of Burgh island by the proportion of business from repeat customers. In addition the uniqueness of Burgh Island allows the hotel to benefit from extensive PR and successfully obtaining prime time TV exposure on a number of different TV travel shows. This linked with local advertising and social media marketing has been very successful. - The costs of supplies has impacted all hospitality businesses. Cost management is therefore a key focus for the local management team and the Directors. The company retains a commitment to use local suppliers, and develop long term relationships wherever possible, to improve quality and reduce delivery times, cost and the carbon footprint. - Competition from other hospitality businesses both in UK and wider afield. Now that travel restrictions have been lifted more customers will be looking at the options available by travelling overseas. Management review forward bookings and trends on a regular basis. - A change in government and the affect that will have on the employment, economic and environmental issues locally to Deven and nationally. Key Performance Indicators The Directors use a number of key performance indicators to manage and control the hotel and Pilchard. For the hotel the KPIs are room rates, percentage occupancy, PEVPAR, TREVPAR, gross margins, EBITDA and cashflow. For the Pilchard the KPIs are gross margin and EBITDA. All KPIs are measured and reported on a monthly basis.
This report was approved by the board of directors on 13 July 2025 and signed on behalf of the board by:
Mr G Fuchs
Director
Registered office:
10 Canberra House
Corbygate Business Park
Corby
Northamptonshire
England
NN17 5JG
Burgh Island Holdings Limited
Directors' Report
Year ended 30 September 2024
The directors present their report and the financial statements of the company for the year ended 30 September 2024 .
Directors
The directors who served the company during the year were as follows:
Mr P Booth-Clibborn
Mr G Fuchs
Ms J Ward
Ms S Kennedy (Appointed 31 March 2025)
Dividends
The directors do not recommend the payment of a dividend.
Disclosure of information in the strategic report
In line with section 414C (11) of Companies Act 2006 disclosures relating to future developments and business relationships have been made in the Strategic Report.
Directors' responsibilities statement
The directors are responsible for preparing the strategic report, directors' report 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 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 judgments 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. Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
This report was approved by the board of directors on 13 July 2025 and signed on behalf of the board by:
Mr G Fuchs
Director
Registered office:
10 Canberra House
Corbygate Business Park
Corby
Northamptonshire
England
NN17 5JG
Burgh Island Holdings Limited
Independent Auditor's Report to the Members of Burgh Island Holdings Limited
Year ended 30 September 2024
Opinion
We have audited the financial statements of Burgh Island Holdings Limited (the 'company') for the year ended 30 September 2024 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity, statement of cash flows and the related notes, 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 FRS 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 loss for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 auditor's 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.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
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 strategic report or the directors' report. We have nothing to report in respect of the following matters in relation to which 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.
Responsibilities of directors
As explained more fully in the directors' responsibilities statement, 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 is 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.
Auditor's 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 an auditor’s report 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. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice and relevant Taxation legislation. We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management, going concern and the valuation of the investment in subsidiary. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing regulatory correspondence and professional fees, proof in total testing on the completeness of income, reviewing accounting estimates for biases and calculating NAV of the subsidiary company to test the valuation. Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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 an auditor's report 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.
Robyn Liddell
(Senior Statutory Auditor)
For and on behalf of
Shaw Gibbs (Audit) Limited
Chartered accountants & statutory auditor
264 Banbury Road
Oxford
Oxfordshire
OX2 7DY
14 July 2025
Burgh Island Holdings Limited
Statement of Comprehensive Income
Year ended 30 September 2024
2024
2023
Note
£
£
Administrative expenses
92,323
40,075
--------
--------
Operating loss
( 92,323)
( 40,075)
Gain on financial assets at fair value through profit or loss
69,682
2,182,973
Other interest receivable and similar income
7
73,970
103,709
Interest payable and similar expenses
8
815,670
810,237
---------
------------
(Loss)/profit before taxation
( 764,341)
1,436,370
Tax on (loss)/profit
9
---------
------------
(Loss)/profit for the financial year and total comprehensive income
( 764,341)
1,436,370
---------
------------
All the activities of the company are from continuing operations.
Burgh Island Holdings Limited
Statement of Financial Position
30 September 2024
2024
2023
Note
£
£
Fixed assets
Investment in subsidiaries
10
7,761,655
7,691,973
Current assets
Debtors
11
6,000
3,241,060
Cash at bank and in hand
22,634
137,486
--------
------------
28,634
3,378,546
Creditors: amounts falling due within one year
12
1,702,676
4,732,667
------------
------------
Net current liabilities
1,674,042
1,354,121
------------
------------
Total assets less current liabilities
6,087,613
6,337,852
Creditors: amounts falling due after more than one year
13
7,583,128
7,069,026
------------
------------
Net liabilities
( 1,495,515)
( 731,174)
------------
------------
Capital and reserves
Called up share capital
14
266,000
266,000
Fair value reserve
15
1,043,703
974,021
Profit and loss account
15
( 2,805,218)
( 1,971,195)
------------
------------
Shareholders deficit
( 1,495,515)
( 731,174)
------------
------------
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.
These financial statements were approved by the board of directors and authorised for issue on 13 July 2025 , and are signed on behalf of the board by:
Mr G Fuchs
Director
Company registration number: 07111467
Burgh Island Holdings Limited
Statement of Changes in Equity
Year ended 30 September 2024
Called up share capital
Fair value reserve
Profit and loss account
Total
£
£
£
£
At 1 October 2022
266,000
( 2,433,544)
( 2,167,544)
Profit for the year
1,436,370
1,436,370
Other comprehensive income for the year:
Reclassification from fair value reserve to profit and loss account
974,021
(974,021)
---------
---------
------------
------------
Total comprehensive income for the year
974,021
462,349
1,436,370
At 30 September 2023
266,000
974,021
( 1,971,195)
( 731,174)
Loss for the year
( 764,341)
( 764,341)
Other comprehensive income for the year:
Reclassification from fair value reserve to profit and loss account
69,682
(69,682)
---------
---------
------------
------------
Total comprehensive income for the year
69,682
( 834,023)
( 764,341)
---------
------------
------------
------------
At 30 September 2024
266,000
1,043,703
( 2,805,218)
( 1,495,515)
---------
------------
------------
------------
Burgh Island Holdings Limited
Statement of Cash Flows
Year ended 30 September 2024
2024
2023
£
£
Cash flows from operating activities
(Loss)/profit for the financial year
( 764,341)
1,436,370
Adjustments for:
Gain on financial assets at fair value through profit or loss
(69,682)
(2,182,973)
Other interest receivable and similar income
( 73,970)
( 103,709)
Interest payable and similar expenses
815,670
810,237
Changes in:
Trade and other debtors
21,846
21,385
Trade and other creditors
9,730
( 5,669)
---------
------------
Cash generated from operations
( 60,747)
( 24,359)
Interest paid
( 331,527)
( 313,234)
---------
---------
Net cash used in operating activities
( 392,274)
( 337,593)
---------
---------
Cash flows from financing activities
Bank loans repaid
( 4,685,000)
( 220,000)
Repayments of other loans
100,000
Repayments of loans from group undertakings
4,972,422
525,000
Proceeds from group borrowings
( 10,000)
10,000
------------
---------
Net cash from financing activities
277,422
415,000
------------
---------
Net (decrease)/increase in cash and cash equivalents
( 114,852)
77,407
Cash and cash equivalents at beginning of year
137,486
60,079
---------
---------
Cash and cash equivalents at end of year
22,634
137,486
---------
---------
Burgh Island Holdings Limited
Notes to the Financial Statements
Year ended 30 September 2024
1. General information
The Company is a private Company limited by shares, registered in England and Wales. The address of the registered office is 10 Canberra House, Corbygate Business Park, Corby, Northamptonshire, NN17 5JG, England.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss. The financial statements are prepared in sterling, which is the functional currency of the entity.
Consolidation
The entity has taken advantage of the option not to prepare consolidated financial statements contained in Section S400/S401 para C of the Companies Act 2006 on the basis that the entity is consolidated further up the group structure. A copy of the group accounts can be obtained from Office Space in Town Limited, whose registered office is 10 Canberra House, Corbygate Business Park, Corby, Northants, NN17 5JG.
Going concern
These accounts have been prepared on the going concern basis, on the understanding that the shareholders will continue to financially support the company. In July 2024 the facility between Burgh Island Holdings Limited and Coutts Bank expired and was replaced by a facility between Burgh Island Limited and Metro Bank. The new facility provided additional capital of £750,000 which was used for further refurbishment and enhancement of the hotel. The financing with Metro Bank has only two covenants being the ratio of EBITDA to interest costs and Loan to Value. The directors took advantage of the traditionally quiet month of January to close the Hotel and complete the programme of renovation works begun in the previous year. As a result, the EBITDA to interest costs ratio for the first quarter of 2025 was not met. Since then, revenue has exceeded or is at least in line with budget, bookings are healthy, occupancy levels over 90% have prevailed and the expectation is that the EBITDA to interest costs ratio for the second quarter will be met. Cashflow within the business is robust and no further borrowing is anticipated. Taking account of all the above it is therefore the opinion of the directors of the company that it is appropriate to prepare financial statements on a going concern basis.
Significant judgements and estimates
The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the company accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed within the individual accounting policies below.
Investments
Fixed asset Investments accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in the profit or loss.
The fair value of the investments are based upon the underlying assets of the subsidiaries. The assets are valued on a regular basis by an external, independent and professionally qualified valuer having recent experience in the location and category of the assets being valued. The valuation comprises of the physical assets along with an assessment of their value in use within the business. As a result, the net assets of the subsidiary are believed to have an accurate reflection on the fair value of the underlying investment.
Financial instruments
Cash and cash equivalents in the balance sheet comprise cash at banks and in hand and short term deposits with an original maturity date of three months or less. Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the statement of comprehensive income under administrative expenses. 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 entity after deducting all of its financial liabilities. Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability. Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost.
4. Auditor's remuneration
2024
2023
£
£
Fees payable for the audit of the financial statements
4,990
4,990
-------
-------
5. Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
2024
2023
No.
No.
Management staff
4
4
----
----
6. Key management personnel
The combined remuneration package of Key Management Personnel is deemed to be that of the directors remuneration packaged detailed in note 8.
7. Other interest receivable and similar income
2024
2023
£
£
Interest on loans and receivables
73,970
103,709
--------
---------
8. Interest payable and similar expenses
2024
2023
£
£
Interest on banks loans and overdrafts
296,487
322,534
Interest on other loans
5,081
Other interest payable and similar charges
514,102
487,703
---------
---------
815,670
810,237
---------
---------
9. Tax on (loss)/profit
Reconciliation of tax income
The tax assessed on the (loss)/profit on ordinary activities for the year is higher than (2023: lower than) the standard rate of corporation tax in the UK of 25 % (2023: 19 %).
2024
2023
£
£
(Loss)/profit on ordinary activities before taxation
( 764,341)
1,436,370
---------
------------
(Loss)/profit on ordinary activities by rate of tax
( 191,085)
272,910
Effect of expenses not deductible for tax purposes
141,933
92,664
Effect of revenue exempt from tax
( 17,421)
( 414,765)
Unused tax losses
66,573
49,191
---------
------------
Tax on (loss)/profit
---------
------------
10. Investment in subsidiaries
Shares in group undertakings
£
Valuation
At 1 October 2023
7,691,973
Revaluations
69,682
------------
At 30 September 2024
7,761,655
------------
Impairment
At 1 October 2023 and 30 September 2024
------------
Carrying amount
At 30 September 2024
7,761,655
------------
At 30 September 2023
7,691,973
------------
Burgh Island Holdings Limited owns 4 £1 ordinary shares of Burgh Island Limited making it a wholly owned subsidiary. Burgh Island Limited was incorporated in England and Wales. The address of the registered office is 10 Canberra House, Corbygate Business Park, Corby, Northamptonshire, NN17 5JG, England.
Subsidiaries, associates and other investments
Registered office
Class of share
Percentage of shares held
Subsidiary undertakings
Burgh Island Limited
10 Canberra House
Ordinary
100
Corbygate Business Park
Corby
Northamptonshire
NN17 5JG
11. Debtors
2024
2023
£
£
Amounts owed by group undertakings
3,213,215
Prepayments and accrued income
23,545
Other debtors
6,000
4,300
-------
------------
6,000
3,241,060
-------
------------
12. Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans and overdrafts
4,685,000
Trade creditors
1,718
1,201
Amounts owed to group undertakings
1,694,150
10,000
Accruals and deferred income
6,800
36,458
Other creditors
8
8
------------
------------
1,702,676
4,732,667
------------
------------
13. Creditors: amounts falling due after more than one year
2024
2023
£
£
Preference shares - Loan
7,583,128
7,069,026
------------
------------
Included within creditors: amounts falling due after more than one year is an amount of £Nil (2023: £6,260,459) in respect of liabilities payable or repayable otherwise than by instalments which fall due for payment after more than five years from the reporting date.
The preference shares do not entitle the holder to receive notice of or to attend or vote at any general meeting of the Company. The preference shares will provide a cumulative fixed preferential dividend of 12% per annum. Part of the fixed dividend, 5% per annum, is payable annually in arrears with the balance of the 12% per annum dividend payable upon redemption.
14. Called up share capital
Issued, called up and fully paid
2024
2023
No.
£
No.
£
Ordinary shares of £ 1 each
266,000
266,000
266,000
266,000
---------
---------
---------
---------
Ordinary class shares have full rights to vote and rights to dividend distribution.
15. Reserves
Profit and loss account - This reserve records retained earnings and accumulated losses. Fair Value reserve - This reserve records the Fair Value movements on investments recognised in the profit and loss.
16. Analysis of changes in net debt
At 1 Oct 2023
Cash flows
At 30 Sep 2024
£
£
£
Cash at bank and in hand
137,486
(114,852)
22,634
Debt due within one year
(4,695,000)
3,000,850
(1,694,150)
------------
------------
------------
( 4,557,514)
2,885,998
( 1,671,516)
------------
------------
------------
17. Related party transactions
The Company has availed itself of the exemption contained within FRS 102 Section 1AC.35 Related Party Disclosure not to disclose details of transactions with fellow group entities concluded under normal market conditions.
18. Controlling party
Office Space in Town Limited is the ultimate controlling party. A copy of the group accounts can be obtained from Office Space in Town Limited, whose registered office is 10 Canberra House, Corbygate Business Park, Corby, Northants, NN17 5JG.