|
VERVE HORSHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Verve Horsham Limited ("the Company") is a private company limited by shares and incorporated in England and Wales. The registered office of the Company is 10 Blandford Street, London, W1U 4AZ.
The principal activity of the Company is that of holding property stock.
2.Accounting policies
|
|
|
Basis of preparation of financial statements
|
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The following principal accounting policies have been applied:
The financial statements have been prepared on the going concern basis. The directors consider the going concern basis to be appropriate because the Company is unlikely to incur any material costs during the next 12 months and the provider of the current loan to the Company has undertaken to roll over the existing loan on similar terms for a further 12 months on the expiry of the current loan in August 2025. At the date of approval of the financial statements, the lender and the company have entered into an agreement to roll over the existing loan with an increased loan facility of up to £300,000 for a further 12 months as anticipated. The directors are satisfied as to the strong financial position of the lender.
Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.
Land and building development costs are accounted for as stock of properties and is stated at the lower of cost and net realisable value. Cost is valued on the basis of direct costs plus attributable overheads. No element of profit is included in the valuation of land and buildings development costs.
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.
Short-term creditors are measured at the transaction price. 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.
|