The Forward Property Group Limited

	Page
Statement of Financial Position	1—2
Notes to the Financial Statements	3—8

1. General Information

The Forward Property Group Limited is a private company, limited by shares, incorporated in England & Wales, registered number 05827610 . The registered office is The Old Laundry, Lady Mary Square, Rostherne Lane, Rostherne, Knutsford, Cheshire, WA16 6SA.

The principal activity is property investment and development.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements are prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with the FRS 102 Section 1A Small Entities - The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006.

2.2. Going Concern Disclosure

The company has net current liabilities of £2,486,656 (2023: £2,503,928), including £2,278,779 (2023: £2,430,615) owed to group and related undertakings with no fixed repayment terms. Assurances have been received that financial support and extension of these facilities will be made available if required, and accordingly the financial statements are prepared on the going concern basis.

2.3. Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates and value added tax. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

the amount of revenue can be measured reliably:

it is probable that the company will receive the consideration due under the contract;

the stage of completion of the contract at the end of the reporting period can be measured reliably; and

the costs incurred and the costs to complete the contract can be measured reliably.

Turnover consists of rents receivable from investment properties, excluding VAT where relevant.

Page 3

Page 4

The Forward Property Group Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.4. Tangible Fixed Assets and Depreciation

Tangible fixed assets, other than investment assets, and investment properties (see 1.5 below), are measured at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & Machinery etc.

25% on cost

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of comprehensive income.

Investment assets are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through the Income Statement if fair value can be measured reliably. Otherwise they are measured at cost less impairment.

2.5. Investment Properties

All investment properties are carried at fair value, with changes in fair value being recognised in the Income Statement. The directors of the company have valued the properties themselves based on such factors as current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. In this case the fair value is considered to be an open market value. The determined fair value of the investment property is most sensitive to the estimated yield. No depreciation is provided for investment properties.

Deferred taxation is provided on revaluation gains at the rate expected to apply when the property is sold.

2.6. Stocks and Work in Progress

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

Work-in-progress represents cumulative costs of property under development. Work in progress is carried at the lower of cost and net realisable value. Impairment losses are recognised immediately in the Income Statement.

2.7. Financial Instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the company would receive for the asset if it were sold at the balance sheet date.

Page 4

Page 5

The Forward Property Group Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.8. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the Income Statement because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair value of liabilities acquired and the amount that will be assessed for tax.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and asset reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current or deferred tax for the year is recognised in the Income Statement, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

2.9. Debtors and Creditors

Debtors:

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors:

Short term creditors are measured at the transaction proce. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.10. Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than twenty four hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 2 (2023: 2)

Page 5

Page 6

The Forward Property Group Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

4. Tangible Assets

	Investment Properties	Plant & Machinery etc.	Total
	£	£	£
Cost or Valuation
As at 1 January 2024	12,545,000	56,886	12,601,886
Disposals	-	(6,541 )	(6,541 )

As at 31 December 2024	12,545,000	50,345	12,595,345

Depreciation
As at 1 January 2024	-	27,123	27,123
Provided during the period	-	1,282	1,282
Disposals	-	(6,541 )	(6,541 )

As at 31 December 2024	-	21,864	21,864

Net Book Value
As at 31 December 2024	12,545,000	28,481	12,573,481

As at 1 January 2024	12,545,000	29,763	12,574,763

Cost or valuation as at 31 December 2024 represented by:

	Investment Properties	Plant & Machinery etc.	Total
	£	£	£
At cost	12,545,000	50,345	12,595,345

	12,545,000	50,345	12,595,345

The 2024 valuation of the investment properties held by the company is made by the directors and based as far as possible on recent independent professional valuations obtained for several of the properties. The valuations are on an open market value, existing use basis.

If the investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:

2024 - £10,175,074

2023 - £10,175,074.

5. Stocks

	2024	2023
	£	£
Work in progress	171,689	171,689

Page 6

Page 7

The Forward Property Group Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

6. Debtors

	2024	2023
	£	£
Due within one year
Trade debtors	207,519	206,677
Prepayments and accrued income	73,548	164,814
Other debtors	100,661	88,107
Amounts owed by group undertakings	10,860	1,768
Amounts owed by related undertakings	50,612	26,810

	443,200	488,176

7. Creditors: Amounts Falling Due Within One Year

	2024	2023
	£	£
Trade creditors	28,726	15,010
Bank loans and overdrafts	152,627	152,627
Corporation tax	42,610	21,038
VAT	48,280	6,667
Other creditors	115,572	109,660
Accruals and deferred income	555,624	545,267
Amounts owed to group undertakings	906,169	987,425
Amounts owed to related undertakings	1,434,082	1,471,768

	3,283,690	3,309,462

8. Creditors: Amounts Falling Due After More Than One Year

	2024	2023
	£	£
Bank loans	2,218,033	2,370,660
Amounts owed to group undertakings	4,000,000	4,000,000

	6,218,033	6,370,660

9. Deferred Taxation

The provision for deferred taxation is made up of the required provision in respect of property revaluation surpluses, and accelerated capital allowances

	2024	2023
	£	£
Accelerated capital allowances	230,491	216,419
Revaluation of investment properties	321,038	321,038

	551,529	537,457

Page 7

Page 8

The Forward Property Group Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

10. Share Capital

	2024	2023
	£	£
Allotted, Called up and fully paid	2	2

11. Related Party Transactions

Under UK GAAP the company is exempt from the requirement to disclose transactions with wholly owned members of the same group.

During the year fees for property management services amounting to £13,750 (2023: £13,750) were charged by Crest Property Management Limited, a company controlled by the directors and their associates.

Working capital loans were also advanced between the company and related parties from time to time.

At 31 December 2024, debtors (note 6) includes the following amounts due from related parties, entities ultimately controlled by the directors:

St Baldreds Estates Limited £13,887 (2023: £1,585).

Crest Commercial Property Limited £33,523 (2023: £21,529).

At 31 December 2024, creditors (note 7) includes the following amounts due to related parties, entities ultimately controlled by the directors:

Crest Property Management Limited £1,434,082 (2023: £1,471,768).

These working capital financing loan balances are interest free and have no formal or fixed repayment terms.

12. Ultimate Controlling Party

The company's parent company and controlling party is Forward Construction and Developments Limited by virtue of it's ownership of 100% of the issued share capital in the company.

13. Secured creditors

Included within creditors falling due within one year, and creditors falling due after more than one year, are bank loans and overdrafts of £2,351,250 (2023: £2,493,750) which are secured. Security is by way of fixed charges over two of the investment properties of the company.

Page 8

		2024		2023
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	4		12,573,481		12,574,763

			12,573,481		12,574,763
CURRENT ASSETS
Stocks	5	171,689		171,689
Debtors	6	443,200		488,176
Cash at bank and in hand		182,145		145,669

		797,034		805,534
Creditors: Amounts Falling Due Within One Year	7	(3,283,690 )		(3,309,462 )

NET CURRENT ASSETS (LIABILITIES)			(2,486,656 )		(2,503,928 )

TOTAL ASSETS LESS CURRENT LIABILITIES			10,086,825		10,070,835

Creditors: Amounts Falling Due After More Than One Year	8		(6,218,033 )		(6,370,660 )

PROVISIONS FOR LIABILITIES
Deferred Taxation	9		(551,529 )		(537,457 )

NET ASSETS			3,317,263		3,162,718

CAPITAL AND RESERVES
Called up share capital	10		2		2
Income Statement			3,317,261		3,162,716

SHAREHOLDERS' FUNDS			3,317,263		3,162,718