|
| Responsibilities of directors |
| As explained more fully in the directors’ responsibilities statement, the directors are responsible for the preparation of the company 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 company financial statements that are free from material misstatement, whether due to fraud or error. |
|
| In preparing the company 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 company 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 company financial statements. |
|
| Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance with laws and regulations are set out below. |
|
| A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. |
|
| Extent to which the audit was considered capable of detecting irregularities, including fraud |
| Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion. |
|
| 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 together with the FRS 102 and AQUIS Rules and regulations. We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items. |
|
| In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the company’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the company for fraud. The laws and regulations we considered in this context for the UK operations were General Data Protection Regulation (GDPR), taxation legislation, and employment legislation. |
|
| Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors’ and other management and inspection of regulatory and legal correspondence, if any. |
|
| We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within judgement and estimates, and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management and the Council about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, and reading minutes of meetings of those charged with governance. |
|
| 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. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of nondetection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. |
|
| 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. |
|
|
| Lee Lederberg |
| (Senior Statutory Auditor) |
|
| for and on behalf of |
| Edwards Veeder (UK) Limited |
|
4 Broadgate |
|
Broadway Business Park |
|
Chadderton, Oldham |
|
OL9 9XA |
| Statutory Auditor |
|
| 11 August 2025 |
|
| Prospect Securities PLC |
| Statement of Cash Flows |
| for the year ended 31 March 2025 |
|
| Notes |
|
2025 |
|
2024 |
| £ |
£ |
| Operating activities |
| (Loss)/profit for the financial year |
(377) |
|
3,028 |
|
| Adjustments for: |
| Loss on the disposal of investments |
2,388 |
|
- |
| Loss on revaluation of investments |
- |
|
5,681 |
| Interest payable |
5 |
|
- |
| Tax on profit on ordinary activities |
474 |
|
504 |
| Increase in stocks |
(48,127) |
|
(105,730) |
| (Increase)/decrease in debtors |
(392) |
|
977 |
| Increase/(decrease) in creditors |
33,001 |
|
(3,865) |
|
|
|
(13,028) |
|
(99,405) |
|
| Interest paid |
|
|
(5) |
|
- |
| Corporation tax paid |
(501) |
|
(781) |
|
| Cash used in operating activities |
(13,534) |
|
(100,186) |
|
|
|
|
|
|
| Investing activities |
| Payments to acquire investments |
- |
|
(16,581) |
| Proceeds from sale of investments |
13,512 |
|
- |
|
| Cash generated by/(used in) investing activities |
13,512 |
|
(16,581) |
|
|
|
|
|
|
| Financing activities |
| New loans |
- |
|
116,963 |
|
| Cash generated by financing activities |
- |
|
116,963 |
|
|
|
|
|
|
| Net cash (used)/generated |
| Cash used in operating activities |
(13,534) |
|
(100,186) |
| Cash generated by/(used in) investing activities |
13,512 |
|
(16,581) |
| Cash generated by financing activities |
- |
|
116,963 |
|
| Net cash (used)/generated |
(22) |
|
196 |
|
| Cash and cash equivalents at 1 April |
800 |
|
604 |
| Cash and cash equivalents at 31 March |
778 |
|
800 |
|
|
|
|
|
|
| Cash and cash equivalents comprise: |
| Cash at bank |
778 |
|
800 |
|
|
|
|
|
|
|
| Prospect Securities PLC |
| Notes to the Accounts |
| for the year ended 31 March 2025 |
|
| 1 |
General information |
|
|
The company is a public company limited by shares, registered in England and Wales. The address of the registered office is c/o Jacksons Chartered Accountants, First Floor, Albion House, 32 Albion Street, Hull, HU1 3TE. |
|
|
| 2 |
Statement of compliance |
|
|
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK'. |
|
|
| 3 |
Summary of significant 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. |
|
|
The financial statements are prepared in sterling, which is the functional currency of the entity. |
|
|
Revenue recognition |
|
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. |
|
|
Investments |
|
Investments in subsidiaries, associates and joint ventures are measured at cost less any accumulated impairment losses. Listed investments are measured at fair value. Unlisted investments are measured at fair value unless the value cannot be measured reliably, in which case they are measured at cost less any accumulated impairment losses. Changes in fair value are included in the profit and loss account. |
|
|
Stocks |
|
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised. |
|
|
Financial instruments |
|
A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. |
|
|
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. |
|
|
Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. |
|
|
Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
|
|
Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship. |
|
|
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. |
|
|
For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics. |
|
|
Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised. |
|
|
Taxation |
|
A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. 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. Current and deferred tax assets and liabilities are not discounted. |
|
|
Provisions |
|
Provisions (ie liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
|
|
Foreign currency translation |
|
Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss. |
|
|
| 4 |
Analysis of turnover |
2025 |
|
2024 |
| £ |
£ |
|
|
Rental income |
26,741 |
|
18,026 |
|
Management services |
- |
|
7,000 |
|
|
|
|
|
|
26,741 |
|
25,026 |
|
|
|
|
|
|
|
|
|
|
By geographical market: |
|
|
UK |
26,741 |
|
25,026 |
|
|
|
|
|
|
|
|
|
|
| 5 |
Operating profit |
2025 |
|
2024 |
| £ |
£ |
|
This is stated after charging: |
|
|
Auditors' remuneration for audit services |
4,620 |
|
4,410 |
|
|
|
|
|
|
|
|
|
|
| 6 |
Staff costs |
2025 |
|
2024 |
| £ |
£ |
|
|
Wages and salaries |
- |
|
- |
|
Social security costs |
- |
|
- |
|
Other pension costs |
- |
|
- |
|
|
|
|
|
|
- |
|
- |
|
|
|
|
|
|
|
|
|
|
|
Average number of employees during the year |
Number |
Number |
|
|
Administration |
2 |
|
2 |
|
|
|
|
|
|
2 |
|
2 |
|
|
|
|
|
|
|
|
|
|
| 7 |
Interest payable |
2025 |
|
2024 |
| £ |
£ |
|
|
Late payment of VAT |
5 |
|
- |
|
|
|
|
|
|
|
|
|
|
| 8 |
Taxation |
2025 |
|
2024 |
| £ |
£ |
|
Analysis of charge in period |
|
Current tax: |
|
UK corporation tax on profits of the period |
472 |
|
499 |
|
Adjustments in respect of previous periods |
2 |
|
5 |
|
|
|
|
|
|
474 |
|
504 |
|
|
|
|
|
|
|
|
|
|
|
Tax on profit on ordinary activities |
474 |
|
504 |
|
|
|
|
|
|
|
|
|
|
|
Factors affecting tax charge for period |
|
The differences between the tax assessed for the period and the standard rate of corporation tax are explained as follows: |
|
|
|
|
|
|
|
2025 |
|
2024 |
| £ |
£ |
|
Profit on ordinary activities before tax |
97 |
|
3,532 |
|
|
|
|
|
|
|
|
|
|
Standard rate of corporation tax in the UK |
19% |
|
19% |
|
| £ |
£ |
|
Profit on ordinary activities multiplied by the standard rate of corporation tax |
|
18 |
|
671 |
|
|
Effects of: |
|
Losses carried forward |
- |
|
(1,251) |
|
Items not taxable |
454 |
|
1,079 |
|
Adjustments to tax charge in respect of previous periods |
2 |
|
5 |
|
|
Current tax charge for period |
474 |
|
504 |
|
|
|
|
|
|
|
|
|
|
|
Factors that may affect future tax charges |
|
|
|
| 9 |
Stocks |
2025 |
|
2024 |
| £ |
£ |
|
|
Property |
261,497 |
|
213,370 |
|
|
|
|
|
|
|
|
|
|
| 10 |
Debtors |
2025 |
|
2024 |
| £ |
£ |
|
|
Other debtors |
619 |
|
227 |
|
|
|
|
|
|
|
|
|
|
| 11 |
Investments held as current assets |
2025 |
|
2024 |
| £ |
£ |
|
Fair value |
|
Listed investments |
- |
|
15,900 |
|
|
|
|
|
|
|
|
|
|
|
| 12 |
Creditors: amounts falling due within one year |
2025 |
|
2024 |
| £ |
£ |
|
|
Corporation tax |
472 |
|
499 |
|
Other taxes and social security costs |
- |
|
800 |
|
Other creditors |
145,513 |
|
122,938 |
|
Accruals and deferred income |
6,236 |
|
4,410 |
|
|
|
|
|
|
152,221 |
|
128,647 |
|
|
|
|
|
|
|
|
|
|
| 13 |
Creditors: amounts falling due after one year |
2025 |
|
2024 |
| £ |
£ |
|
|
Other creditors |
62,410 |
|
53,010 |
|
|
|
|
|
|
|
|
|
|
| 14 |
Share capital |
Nominal |
|
2025 |
|
2025 |
|
2024 |
| value |
Number |
£ |
£ |
|
Allotted, called up and fully paid: |
|
Ordinary shares |
£1 each |
|
5,250,000 |
|
52,500 |
|
52,500 |
|
|
|
|
|
|
|
|
|
|
| 15 |
Profit and loss account |
2025 |
|
2024 |
| £ |
£ |
|
|
At 1 April |
(3,860) |
|
(6,888) |
|
(Loss)/profit for the financial year |
(377) |
|
3,028 |
|
|
At 31 March |
(4,237) |
|
(3,860) |
|
|
|
|
|
|
|
|
|
|
| 16 |
Related party transactions |
|
|
At the year end £62,410 (2024 - £53,010) is due to Ventura Finance Limited, a company controlled by Mark Jackson. £9,400 was advanced during the year. It is interest free and repayable after twelve months. |
|
|
At the year end £108,013 (2024 - £116,913) is due to Mark Jackson. £8,900 was repaid during the year. It is interest free and repayable on demand. |
|
|
At the year end £10,500 (2024 - £6,000) was due to Small Company Reporting Limited, a company controlled by Mark Jackson. The £4,500 was advanced during the year. It is interest free and repayable on demand. |
|
|
At the year end, £27,000 (2024 - £Nil) was due to Cavendish Print Limited, a company controlled by Mark Jackson. The £27,000 was advanced during the year. It is interest free and repayable on demand. |
|
|
| 17 |
Controlling party |
|
|
The company is controlled by Mark Jackson. |