Company registration number 08748182 (England and Wales)
CITY FARM SYSTEMS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2025
PAGES FOR FILING WITH REGISTRAR
CITY FARM SYSTEMS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 28 FEBRUARY 2025
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The directors present their annual report and financial statements for the year ended 28 February 2025.
Principal activities
The principal activity of the company continued to be that of city farming.
Review of the business
The UK continues to be a tough place to operate. VCs confirm they see being a grant funded university spinout as the most significant part of de-risking their investments although this appears simply an excuse not to undertake sensible due diligence. 2024-5 has, again, seen significant failures in the vertical farming sector. Recent news has been about the failure of Plenty Inc. burning through $1bn and Jones Food Co being abandoned by Ocado. Not one of these failures has shown an ability to change the business model or address the UN's SDGs.
The need for what City Farm Systems offers has never been greater. Last year's nomination for Earthshot Prize was a welcome relief and confirmation of our thinking. Unfortunately the silo thinking continues and, with the sudden focus on Africa only made it very unlikely the nomination would result in a prize. It is increasingly obvious that the focus on the ultimate solution for each of their 5 pillars does not award broader solutions. Our concept is a solution that gives a good result in each of 4 pillars and, therefore, a contribution to the 5th (sea). Overall this gives an ability to lower carbon that is greater than any individually focussed concept. This is nowhere more significant that when looking at the benefits we offer for the built environment.
In this light we now think of our modular, automated greenhouses as the agritech equivalent of the solar PV panel. Like PV, when mounted on a roof, the building has most to gain. The comparisons are compelling with many of the same characteristics. However the concept of distributed growing where we can despatch 1kg of seed and hand 1tonne of the freshest produce to the customer at the point of need not only consumes the building's Scopes1&2 carbon emissions but avoids the need to create them at a remote location. Compared to the current failing supply chains the reduction in carbon and energy needed is far greater than PV can achieve.
In the past year City Farm Systems has continued to build significant contacts and now has income earning agreements with Healthy Air Technology and links to a building efficiency consultancy at board level where they intend to include CFS in future projects. The sustainability consultant for this company also has links with significant fruit growers where our thinking is being promoted and expected to lead to an exciting project that will reduce their operating costs and the cost of extending the growing season.
Yet again the number of people urging us to continue grows with an increasing number recognising that we have solution that addresses the significant issues other solution providers face.
CITY FARM SYSTEMS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2025
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Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr J G Lodge
Mr O W Lodge
(Resigned 31 December 2024)
Mr S C Pattenden
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies' exemption.
On behalf of the board
Mr J G Lodge
Director
11 August 2025
CITY FARM SYSTEMS LIMITED
BALANCE SHEET
AS AT 28 FEBRUARY 2025
28 February 2025
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28 February 2025
29 February 2024
£
£
£
£
Fixed assets
2,044
2,726
Current assets
14,971
20,689
Creditors: amounts falling due within one year
(64,826)
(47,731)
Net current liabilities
(49,855)
(27,042)
Total assets less current liabilities
(47,811)
(24,316)
Creditors: amounts falling due after more than one year
(363,802)
(358,916)
Net liabilities
(411,613)
(383,232)
Capital and reserves
(411,613)
(383,232)
Notes to the financial statements
1
Financial commitments, guarantees and contingencies
The company is committed to a property lease from which it undertakes its business. Included in current assets is £1,040 (2024 - £1,040) held as a rent deposit.
At the reporting date the company has £5,653 (2024 - £3,642) outstanding financial commitments for future minimum lease payments under non-cancellable operating leases.
Going concern
Notwithstanding the negative shareholders' funds the financial statements have been prepared on a going concern basis. Management do not intend to liquidate the company or to cease trading and believe there is an alternative to doing so. Management have taken into account all information available about the future including the 12 months from authorisation of the balance sheet.
Creditors: amounts falling due after more than one year
There are no formal repayment terms in place in respect of monies due to the company directors and connected persons from the company. The company directors and connected persons do not intend to receive repayments within 12 months of the balance sheet date. £336,981 (2024 - £323,025) due to the company directors and connected persons has been included in creditors: amounts falling due after more than one year.
2
Employees
The average number of persons, including directors, employed by the company during the year was as follows:
2025
2024
Number
Number
Employees
4
4
CITY FARM SYSTEMS LIMITED
BALANCE SHEET (CONTINUED)
AS AT 28 FEBRUARY 2025
28 February 2025
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City Farm Systems Limited is a private company limited by shares incorporated in England and Wales. The registered office is 1st Floor, Pinnacle, 20 Tudor Road, READING, RG1 1NH.
For the year ended 28 February 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the micro-entity provisions and in accordance with FRS 105 'The Financial Reporting Standard applicable to the Micro-entities Regime' and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
The financial statements were approved by the board of directors and authorised for issue on 11 August 2025 and are signed on its behalf by:
Mr J G Lodge
Director
Company registration number 08748182 (England and Wales)