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Registered number: 09329964









Q.N. (HOLDINGS) LIMITED







CONSOLIDATED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

 
Q.N. (HOLDINGS) LIMITED
 
 
COMPANY INFORMATION


Directors
Q Ahmed 
N Ahmed 




Registered number
09329964



Registered office
QN House
Unit 4 Loughton Business Centre

5 Langston Road

Loughton

IG10 3FL




Independent auditors
Haslers
Chartered Accountants & Statutory Auditor

Old Station road

Loughton

Essex

IG10 4PL





 
Q.N. (HOLDINGS) LIMITED
 

CONTENTS



Page
Group strategic report
 
1 - 3
Directors' report
 
4
Directors' responsibilities statement
 
5
Independent auditors' report
 
6 - 9
Consolidated statement of comprehensive income
 
10
Consolidated balance sheet
 
11 - 12
Company balance sheet
 
13
Consolidated statement of changes in equity
 
14 - 15
Company statement of changes in equity
 
16
Consolidated statement of cash flows
 
17 - 18
Consolidated analysis of net debt
 
19
Notes to the financial statements
 
20 - 41


 
Q.N. (HOLDINGS) LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction
 
The directors present the strategic report for the year ended 31 December 2024. 

Business review
 
Turnover in the group reduced as compared to the previous year.  This was mainly due to the end of the government contract in one of the hotels and closing the hotel for the refurbishment. 
Inflationary pressures remained during the year however the group managed to keep cost increases below inflation rate. 
The group made a pre-tax loss of £1,273,728 (2023: £864,890 profit).
£444,486 of exceptional costs are included in this loss.   
Future Developments 
The group is exploring rebranding a hotel within the subsidiary entity Q.N. Hotels (Wrexham) Limited to another brand in 2026. 

Principal risks and uncertainties
 
The principal risks and uncertainties facing the business (apart from those associated with a general economic downturn) relate to the management of cash and borrowing requirements.

Key performance indicators
 
In the opinion of the directors the key performance indicators are occupancy, average room rate and revenue per available room.

Page 1

 
Q.N. (HOLDINGS) LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

Section 172(1) statement
 
Section 414CZA(1) of the Companies Act 2006 requires the directors to explain how they considered the matters set out in section 172(1) (a) to (f) of the Companies Act 2006 (‘S172 (1)’) when performing their duty to promote the success of the company. When making decisions, each director ensures that they act in the way that would most likely promote the company’s success for the benefit of its members as a whole, and in doing so have regard (amongst other matters) to the following matters: 
(a) The likely consequences of any decision in the long term 
The directors understand the business and the evolving environment in which the company operates, including the challenges of operating in the current inflationary period.  The directors are  actively looking at ways to reduce its energy costs and consumption.
(b) The interests of the company’s employees 
The directors recognise that the success of the business depends on attracting, retaining and motivating high quality employees. The directors take into account the implications of decisions which may affect their perception as a responsible employer, on determining remuneration and benefits, and on providing a healthy and safe workplace environment, where relevant. The company utilises the services of an external company to audit that the company is providing a safe and healthy working environment to its employees.  The company hosts a Celebrate Service week which as created to say a big ‘thank you’ to all our colleagues who go above and beyond to deliver True Hospitality.  We celebrate and recognise colleagues who make our guests and those we interact with every day, feel welcome and care for, recognised and respected.  
 
Page 2

 
Q.N. (HOLDINGS) LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


(c) The need to foster the company's business relationships with suppliers, customers and others 
The directors seek to promote strong mutually beneficial relationships with suppliers, customers, the regulators and authorities. Such general principles are critical in the delivery of the company’s strategy. The Company has strong relationships with suppliers by adhering to the payment terms.  The loyalty programmes insures that the customer feels valued and rewarded for his business.   
(d) The impact of the company’s operations on the community and the environment 
The company is committed to understanding the interests of these stakeholder groups. The directors receive information on these topics on a periodic basis to provide relevant information for specific board decisions.  The company participates in the Green Engage programme and is committed to reducing its carbon footprint.   
(
e) The desirability of the company maintaining a reputation for high standards of business conduct 
The directors recognise the importance of acting in ways which promote high standards of business conduct. The board periodically reviews and approves clear operating frameworks to ensure that its high standards are maintained both within the businesses and the business relationships the company has with stakeholders. As a result of these reviews it was felt important to carry out the Open Lobby refurbishments in 2 of the hotels.   
(f) The need to act fairly as between members of the company 
The directors aim to act fairly as between the company’s members when delivering the company’s strategy. The company is an Equal Opportunities employer and conducts regular audits to insure that this is being met.  The company also has a thorough grievance procedure.   


This report was approved by the board on 25 September 2025 and signed on its behalf.



Q Ahmed
Director

Page 3

 
Q.N. (HOLDINGS) LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

The directors present their report and the financial statements for the year ended 31 December 2024.

Principal activity

The principal activity of the company continued to be that of a holding company. The principal activity of the group continued to be that of hotels and similar accomodation.

Results and dividends

The loss for the year, after taxation, amounted to £1,273,728 (2023 - profit £864,890).

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

Directors

The directors who served during the year were:

Q Ahmed 
N Ahmed 

Future developments

The Company is exploring rebranding the hotel to another brand in 2026.  

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Group since the year end.

Auditors

The auditorsHaslerswill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 25 September 2025 and signed on its behalf.
 





Q Ahmed
Director

Page 4

 
Q.N. (HOLDINGS) LIMITED
 
 
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 Group and of the profit or loss of the Group for that period.

 In preparing these financial statements, the directors are required to:

select suitable accounting policies for the Group's financial statements 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 Group 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 the Group and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 5

 
Q.N. (HOLDINGS) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF Q.N. (HOLDINGS) LIMITED
 

Opinion


We have audited the financial statements of Q.N. (Holdings) Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated statement of comprehensive income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 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 Group's and of the parent Company's affairs as at 31 December 2024 and of the Group's loss for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 Group's or the parent 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.


Page 6

 
Q.N. (HOLDINGS) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF Q.N. (HOLDINGS) LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.


Opinion 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 Group 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 Group 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 Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent Company 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 set out on page 5, 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 Group's and the parent 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 Group or the parent Company or to cease operations, or have no realistic alternative but to do so.


Page 7

 
Q.N. (HOLDINGS) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF Q.N. (HOLDINGS) LIMITED (CONTINUED)


Auditors' 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 Auditors' 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 Group 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:

Based on our understanding of the legal and regulatory frameworks that are applicable to the entity we have considered those that have a direct and indirect material impact on the financial statements and operations of the company. These include but are not limited to the Companies Act 2006, GDPR, Employment and Health & Safety legislation, tax legislation.
We obtained an understanding of how the company are complying with those legal and regulatory frameworks by making inquiries to the management. We corroborated our inquiries through our review of documentation generated and assessing the extent of compliance with the relevant laws and regulations.
We discussed among the audit engagement team regarding the opportunities and incentives, including management override of controls, that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.
As a result of performing the above, we identified the greatest potential for material misstatements due to fraud are in the following areas, and our specific procedures performed to address these are described below:
The risk of management override of controls is the area where the financial statements were most susceptible to material misstatement due to fraud. In addition, the key principal risks related to the existence of inappropriate journal entries to impact the profit for the year and management bias in accounting estimates.
Procedures performed to address these were as follows:
•  Walkthrough testing was carried out to identify and assess the design effectiveness of controls     management have in place to prevent and detect fraud, including known of suspected instances or non-   compliance with laws and regulations and fraud,
•  Understanding how those charged with governance considered and addressed the potential for override      of controls or other inappropriate influence over the financial reporting process,
•  Using analytical procedures to identify any unusual or unexpected relationships that may indicate risks of
 material misstatements due to fraud,
•  Assessing the appropriateness of accounting estimates and challenging any significant assumptions or
 judgements made by management,
• Incorporating testing of manual journal entries that were posted throughout the year. In particular, we    focused on material journal entries, round sum journal entries, unauthorised journals, and journal entries   posted outside normal business working hours. These were scrutinised for evidence of unusual entries
 

Page 8

 
Q.N. (HOLDINGS) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF Q.N. (HOLDINGS) LIMITED (CONTINUED)



Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


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 2006Our 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 Auditors' 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.





Matthew Wells ACA (Senior statutory auditor)
for and on behalf of
Haslers
Chartered Accountants
Statutory Auditor
Old Station road
Loughton
Essex
IG10 4PL

25 September 2025
Page 9

 
Q.N. (HOLDINGS) LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
Note
£
£

  

Turnover
 4 
8,676,678
10,202,911

Cost of sales
  
(5,264,859)
(4,798,757)

Gross profit
  
3,411,819
5,404,154

Administrative expenses
  
(3,787,695)
(4,141,412)

Exceptional administrative expenses
  
(444,486)
-

Other operating income
 5 
33,521
28,054

Operating (loss)/profit
 6 
(786,841)
1,290,796

Interest receivable and similar income
 10 
-
43,414

Interest payable and similar expenses
 11 
(486,887)
(469,320)

(Loss)/profit before taxation
  
(1,273,728)
864,890

(Loss)/profit for the financial year
  
(1,273,728)
864,890

  

Unrealised surplus on revaluation of tangible fixed assets
  
499,187
52,095

Reversal of deferred taxation
  
567,887
(25,664)

Other comprehensive income for the year
  
1,067,074
26,431

Total comprehensive income for the year
  
(206,654)
891,321

  

  

The notes on pages 20 to 41 form part of these financial statements.

Page 10

 
Q.N. (HOLDINGS) LIMITED
REGISTERED NUMBER: 09329964

CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Intangible assets
 15 
17,246
18,496

Tangible assets
 16 
16,625,430
15,575,669

  
16,642,676
15,594,165

Current assets
  

Stocks
 18 
52,610
48,524

Debtors
 19 
1,751,416
1,331,460

Cash at bank and in hand
 20 
1,026,674
2,383,704

  
2,830,700
3,763,688

Creditors: amounts falling due within one year
 21 
(2,968,898)
(9,220,434)

Net current liabilities
  
 
 
(138,198)
 
 
(5,456,746)

Total assets less current liabilities
  
16,504,478
10,137,419

Creditors: amounts falling due after more than one year
 22 
(7,150,000)
(8,400)

Provisions for liabilities
  

Deferred taxation
 25 
-
(567,887)

  
 
 
-
 
 
(567,887)

Net assets
  
9,354,478
9,561,132


Capital and reserves
  

Called up share capital 
 26 
9,700
9,700

Share premium account
 27 
17,476,650
17,476,650

Revaluation reserve
 27 
3,563,639
2,496,565

Capital redemption reserve
 27 
990,300
990,300

Profit and loss account
 27 
(12,685,811)
(11,412,083)

Equity attributable to owners of the parent Company
  
9,354,478
9,561,132


Page 11

 
Q.N. (HOLDINGS) LIMITED
REGISTERED NUMBER: 09329964
    
CONSOLIDATED BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2024

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 25 September 2025.




Q Ahmed
Director

The notes on pages 20 to 41 form part of these financial statements.

Page 12

 
Q.N. (HOLDINGS) LIMITED
REGISTERED NUMBER: 09329964

COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Investments
 17 
1,000,000
1,000,000

  
1,000,000
1,000,000

Current assets
  

Debtors
 19 
6,331,052
-

Cash at bank and in hand
 20 
759,001
-

  
7,090,053
-

Creditors: amounts falling due within one year
 21 
(1,036,967)
(985,300)

Net current assets/(liabilities)
  
 
 
6,053,086
 
 
(985,300)

Total assets less current liabilities
  
7,053,086
14,700

  

Creditors: amounts falling due after more than one year
 22 
(7,150,000)
-

  

Net (liabilities)/assets
  
(96,914)
14,700


Capital and reserves
  

Called up share capital 
 26 
9,700
9,700

Capital redemption reserve
 27 
990,300
990,300

Profit and loss account brought forward
  
(985,300)
(985,300)

Loss/(profit) for the year
  
(111,614)
-

Profit and loss account carried forward
  
(1,096,914)
(985,300)

  
(96,914)
14,700


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 25 September 2025.


Q Ahmed
Director

The notes on pages 20 to 41 form part of these financial statements.

Page 13
 

 
Q.N. (HOLDINGS) LIMITED


 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024



Called up share capital
Share premium account
Capital redemption reserve
Revaluation reserve
Profit and loss account
Total equity


£
£
£
£
£
£


At 1 January 2024
9,700
17,476,650
990,300
2,496,565
(11,412,083)
9,561,132



Comprehensive income for the year


Loss for the year

-
-
-
-
(1,273,728)
(1,273,728)


Surplus on revaluation of freehold property
-
-
-
275,937
-
275,937


Surplus on revaluation of leasehold property
-
-
-
223,250
-
223,250


Reversal of deferred taxation
-
-
-
567,887
-
567,887



Other comprehensive income for the year
-
-
-
1,067,074
-
1,067,074



Total comprehensive income for the year
-
-
-
1,067,074
(1,273,728)
(206,654)



At 31 December 2024
9,700
17,476,650
990,300
3,563,639
(12,685,811)
9,354,478



The notes on pages 20 to 41 form part of these financial statements.

Page 14

 

 
Q.N. (HOLDINGS) LIMITED


 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023



Called up share capital
Share premium account
Capital redemption reserve
Revaluation reserve
Profit and loss account
Total equity


£
£
£
£
£
£


At 1 January 2023
9,700
17,476,650
990,300
2,470,134
(12,276,973)
8,669,811



Comprehensive income for the year


Profit for the year

-
-
-
-
864,890
864,890


Surplus on revaluation of leasehold property
-
-
-
52,095
-
52,095


Tax relating to other comprehensive income
-
-
-
(25,664)
-
(25,664)



Other comprehensive income for the year
-
-
-
26,431
-
26,431



Total comprehensive income for the year
-
-
-
26,431
864,890
891,321



At 31 December 2023
9,700
17,476,650
990,300
2,496,565
(11,412,083)
9,561,132



The notes on pages 20 to 41 form part of these financial statements.

Page 15
 
Q.N. (HOLDINGS) LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024


Called up share capital
Capital redemption reserve
Profit and loss account
Total equity

£
£
£
£

At 1 January 2024
9,700
990,300
(985,300)
14,700


Comprehensive income for the year

Loss for the year
-
-
(111,614)
(111,614)


At 31 December 2024
9,700
990,300
(1,096,914)
(96,914)



COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Capital redemption reserve
Profit and loss account
Total equity

£
£
£
£

At 1 January 2023
9,700
990,300
(985,300)
14,700


At 31 December 2023
9,700
990,300
(985,300)
14,700


The notes on pages 20 to 41 form part of these financial statements.

Page 16

 
Q.N. (HOLDINGS) LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
£
£

Cash flows from operating activities

(Loss)/profit for the financial year
(1,273,728)
864,890

Adjustments for:

Amortisation of intangible assets
1,250
1,250

Depreciation of tangible assets
544,131
549,670

Loss on disposal of tangible assets
51,888
(37,594)

Interest paid
486,887
469,320

Interest received
-
(43,414)

(Increase)/decrease in stocks
(4,086)
4,565

(Increase)/decrease in debtors
(419,956)
108,882

(Decrease) in creditors
(890,063)
(1,519,053)

Corporation tax received/(paid)
143,764
(162,640)

Net cash generated from operating activities

(1,359,913)
235,876


Cash flows from investing activities

Purchase of tangible fixed assets
(1,419,843)
(985,523)

Sale of tangible fixed assets
273,250
184,074

Interest received
-
43,414

Net cash from investing activities

(1,146,593)
(758,035)

Cash flows from financing activities

New secured loans
7,150,000
-

Repayment of loans
(5,529,563)
(241,141)

Repayment of/new finance leases
-
(38,326)

Interest paid
(486,887)
(469,320)

Net cash used in financing activities
1,133,550
(748,787)
Page 17

 
Q.N. (HOLDINGS) LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


2024
2023

£
£



Net (decrease) in cash and cash equivalents
(1,372,956)
(1,270,946)

Cash and cash equivalents at beginning of year
2,383,704
3,654,650

Cash and cash equivalents at the end of year
1,010,748
2,383,704


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
1,026,674
2,383,704

Bank overdrafts
(15,926)
-

1,010,748
2,383,704


The notes on pages 20 to 41 form part of these financial statements.

Page 18

 
Q.N. (HOLDINGS) LIMITED
 

CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2024




At 1 January 2024
Cash flows
At 31 December 2024
£

£

£

Cash at bank and in hand

2,383,704

(1,357,030)

1,026,674

Bank overdrafts

-

(15,926)

(15,926)

Debt due after 1 year

(8,400)

(7,141,600)

(7,150,000)

Debt due within 1 year

(5,537,963)

5,535,068

(2,895)


(3,162,659)
(2,979,488)
(6,142,147)

The notes on pages 20 to 41 form part of these financial statements.

Page 19

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

Q.N. (Holdings) Limited is a private company limited by shares incorporated in England and Wales, registration number 09329964. The registered office is QN House Unit 4, Loughton Business Centre, 5 Langston Road, Loughton, Essex, IG10 3FL. The principal activity of the company is that of a holding company.

2.Accounting policies

 
2.1

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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
In accordance with the transitional exemption available in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102.

 
2.3

Going concern

The company Q.N. (Holdings) Limited obtained a loan in the year from Metro bank, allowing for repayment of the Coutt's Bank Loan held in Q.N. Hotels Limited.
Funds from this Metro loan are accessible across the Q.N. (Holdings) Group.
At the time of approving the financial statements, based on the budgets and post year-end results, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Page 20

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.4

Revenue

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

Revenue is recognised when services have been rendered, and is derived primarily from the rental of rooms, conference and banqueting, food and beverage sales.
 
Revenue is derived from hotel operations, and arose wholly in the United Kingdom.

 
2.5

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.6

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.7

Finance costs

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.

 
2.8

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

 
2.9

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Group in independently administered funds.

Page 21

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.10

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

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 values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


 
2.11

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Group but are presented separately due to their size or incidence.

 
2.12

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Franchise Fees
-
20
years

Page 22

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.13

Tangible fixed assets

Tangible fixed assets under the cost model are stated 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 charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property
-
See Below
Long-term leasehold property
-
See Below
Plant and machinery
-
15%
Straight Line
Fixtures, fittings and equipment
-
15%
Straight Line

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 profit or loss.

Property is held at fair value, determined by external valuers and and derived from the 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. No depreciation is provided. Changes in fair value are recognised in profit or loss.

 
2.14

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the balance sheet date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.
Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

 
2.15

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted Group shares, whose market value can be reliably determined, are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Consolidated statement of comprehensive income for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

Page 23

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

  
2.16

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis.
At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss

 
2.17

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.

 
2.18

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 24 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.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.19

Creditors

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.

Page 24

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.20

Financial instruments

Financial instruments are recognised in the Group's Balance sheet when the Group becomes party to the contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

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 Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Page 25

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.20
Financial instruments (continued)

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

Page 26

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Key sources of estimation uncertainty
The estimates and assumptions which have a signifcant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Valuation of land and buildings
The company has adopted the revaluation model for its land and buildings. At the end of each reporting period, the directors update their assessment of the fair value of each property, taking into account the most recent independent valuations. The directors determine a property’s value within a range of reasonable fair value estimates. 
During the year to 31 December 2024, a formal valuation was carried out by an independent RICS Chartered Surveyor. The valuation technique used in arriving at the value of the land and buildings in these financial statements was based on discounted future cash flows as valuers considers this approach to the one most likely to be adopted by potential purchasers. The valuation model considers the present value of net cashflows to be generated by the property taking into account expected rental growth and occupancy rate among other things. The expected net cashflows are discounted using a risk adjusted discount rate. The valuation of property at fair value is a source of significant estimation uncertainty as determining this involves the use of significant assumptions which include the discount rate.


4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Hotel Operations
8,676,678
10,202,911

8,676,678
10,202,911


All turnover arose within the United Kingdom.

Page 27

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

5.


Other operating income

2024
2023
£
£

Net rents receivable
33,521
28,054

33,521
28,054



6.


Operating (loss)/profit

The operating (loss)/profit is stated after charging:

2024
2023
£
£

Depreciation of tangible fixed assets
544,131
423,105

Amortisation of intangible fixed assets
1,250
1,250

Other operating lease rentals
132,860
108,521


7.


Auditors' remuneration

During the year, the Group obtained the following services from the Company's auditors:


2024
2023
£
£

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements
57,185
54,350

All other non-audit services
6,265
5,650

Page 28

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

8.


Employees

Staff costs, including directors' remuneration, were as follows:


Group
Group
2024
2023
£
£


Wages and salaries
3,571,015
3,231,733

Social security costs
266,561
239,279

Cost of defined contribution scheme
60,909
53,466

3,898,485
3,524,478


The average monthly number of employees, including the directors, during the year was as follows:



Group
Group
Company
Company
        2024
        2023
        2024
        2023
            No.
            No.
            No.
            No.









Hotel service staff
163
149
-
-



Administration and management staff
30
30
-
-



Directors
2
3
2
3

195
182
2
3


9.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
125,581
224,370

Group contributions to defined contribution pension schemes
1,321
1,981

126,902
226,351


During the year retirement benefits were accruing to no directors (2023 - 1) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £99,897 (2023 - £99,600).

The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £1,321 (2023 - £1,321).

Page 29

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

10.


Interest receivable

2024
2023
£
£


Other interest receivable
-
43,414

-
43,414


11.


Interest payable and similar expenses

2024
2023
£
£


Bank interest payable
486,887
469,320

486,887
469,320


12.


Taxation


2024
2023
£
£



Total current tax
-
-

Deferred tax

Total deferred tax
-
-


-
-
Page 30

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 - 23.5%). The differences are explained below:

2024
2023
£
£


(Loss)/profit on ordinary activities before tax
(1,273,727)
864,890


(Loss)/profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.5%)
(351,047)
203,249

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
182,700
-

Capital allowances for year in excess of depreciation
(18,330)
(58,192)

Utilisation of tax losses
-
160,223

Unrelieved tax losses carried forward
155,406
-

Other differences leading to an increase (decrease) in the tax charge
31,271
2,757

Group relief
-
(308,037)

Total tax charge for the year
-
-


Factors that may affect future tax charges

There are group tax losses carried forward to be utilised against future profits.


13.


Exceptional items

2024
2023
£
£


Writeoff of Directors Loan Balance
399,442
-

Writeoff of Intercompany Balances
(62,242)
-

Finance Arrangement Costs
107,286
-

444,486
-

Page 31

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

14.


Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. The loss after tax of the parent Company for the year was £111,614 (2023 - £NIL).


15.


Intangible assets

Group





Franchise fees

£



Cost


At 1 January 2024
24,996



At 31 December 2024

24,996



Amortisation


At 1 January 2024
6,500


Charge for the year on owned assets
1,250



At 31 December 2024

7,750



Net book value



At 31 December 2024
17,246



At 31 December 2023
18,496



The company had no intangible fixed assets at 31 December 2024 or 31 December 2023.

Page 32

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

16.


Tangible fixed assets

Group






Freehold property
Long-term leasehold property
Plant and machinery
Motor vehicles
Fixtures and fittings

£
£
£
£
£



Cost or valuation


At 1 January 2024
4,378,633
9,226,162
1,059,889
412,244
6,759,703


Additions
-
-
-
-
1,419,843


Disposals
-
-
-
(124,754)
(223,250)


Revaluations
275,937
223,250
-
-
-



At 31 December 2024

4,654,570
9,449,412
1,059,889
287,490
7,956,296



Depreciation


At 1 January 2024
-
-
1,014,596
37,203
5,209,163


Charge for the year on owned assets
-
-
12,786
43,124
488,221


Disposals
-
-
-
(22,866)
-



At 31 December 2024

-
-
1,027,382
57,461
5,697,384



Net book value



At 31 December 2024
4,654,570
9,449,412
32,507
230,029
2,258,912



At 31 December 2023
4,378,633
9,226,162
45,293
375,041
1,550,540
Page 33

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

           16.Tangible fixed assets (continued)


Total

£



Cost or valuation


At 1 January 2024
21,836,631


Additions
1,419,843


Disposals
(348,004)


Revaluations
499,187



At 31 December 2024

23,407,657



Depreciation


At 1 January 2024
6,260,962


Charge for the year on owned assets
544,131


Disposals
(22,866)



At 31 December 2024

6,782,227



Net book value



At 31 December 2024
16,625,430



At 31 December 2023
15,575,669

The company had no tangible fixed assets at 31 December 2024 or 31 December 2023.

Page 34

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

           16.Tangible fixed assets (continued)




The net book value of land and buildings may be further analysed as follows:


2024
2023
£
£

Freehold
4,654,570
4,378,633

Long leasehold
9,449,412
9,226,162

14,103,982
13,604,795



17.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2024
1,000,000



At 31 December 2024
1,000,000





Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Class of shares

Holding

Q.N. Hotels Limited
Ordinary
100%
Q.N. Hotels (Wrexham) Limited
Ordinary
100%
Swanfield Limited
Ordinary
100%
Q.N. Hotels (Aylesbury) Limited
Ordinary
100%

The registered office of all subsidiaries is QN House, Loughton Business Centre, 5 Langston Road, Loughton, Essex, IG10 3FL.
Investments of Q.N. Hotels (Wrexham) Limited, Swanfield Limited and Q.N. Hotels (Aylesbury) Limited are held indirectly through the Company's 100% investment in Q.N. Hotels Limited.

Page 35

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Subsidiary undertakings (continued)

The aggregate of the share capital and reserves as at 31 December 2024 and the profit or loss for the year ended on that date for the subsidiary undertakings were as follows:

Name
Aggregate of share capital and reserves
Profit/(Loss)
£
£

Q.N. Hotels Limited
7,394,138
(1,005,933)

Q.N Hotels (Wrexam) Limited
930,366
241,045

Swanfield Limited
3,536,173
711,551

Q.N. Hotels (Aylesbury) Limited
-
-


18.


Stocks

Group
Group
2024
2023
£
£

Food and drink
52,610
48,524

52,610
48,524


The difference between purchase price or production cost of stocks and their replacement cost is not material.

Page 36

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

19.


Debtors

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£



Trade debtors
225,720
204,955
-
-

Amounts owed by group undertakings
-
-
5,666,119
-

Other debtors
1,228,729
1,106,125
664,933
-

Prepayments and accrued income
296,967
20,380
-
-

1,751,416
1,331,460
6,331,052
-



20.


Cash and cash equivalents

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Cash at bank and in hand
1,026,674
2,383,704
759,001
-

Less: bank overdrafts
(15,926)
-
-
-

1,010,748
2,383,704
759,001
-



21.


Creditors: Amounts falling due within one year

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Bank overdrafts
15,926
-
-
-

Bank loans
-
5,537,963
-
-

Trade creditors
899,710
1,136,274
-
-

Amounts owed to group undertakings
-
-
985,300
985,300

Corporation tax
362,171
218,296
-
-

Other taxation and social security
569,100
695,634
-
-

Other creditors
344,732
229,126
-
-

Accruals and deferred income
777,259
1,403,141
51,667
-

2,968,898
9,220,434
1,036,967
985,300


Page 37

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

22.


Creditors: Amounts falling due after more than one year

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Bank loans
7,150,000
8,400
7,150,000
-

7,150,000
8,400
7,150,000
-


The company forms part of a cross company guarantee securing the Metro bank borrowings of Q.N. (Holdings) Limited. At 31 December 2024 these borrowings amounted to £7,150,000 (2023: £Nil).
In 2023, the company formed part of a cross company guarantee securing the Coutt's bank borrowings of Q.N. Hotels Limited. At 31 December 2024 these borrowings amounted to £Nil  (2023: £5,529,563).
The bank has a charge over the leasehold property and other assets of the company in respect of these borrowings.
Finance costs incurred on the Metro loan are borne by the entities over which the bank holds security, aportioned at the market value of the secured properties.


23.


Loans


Analysis of the maturity of loans is given below:


Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Amounts falling due within one year

Bank loans
-
5,537,963
-
-


-
5,537,963
-
-

Amounts falling due 1-2 years

Bank loans
17,314
8,400
17,314
-


17,314
8,400
17,314
-

Amounts falling due 2-5 years

Bank loans
7,132,686
-
7,132,686
-


7,150,000
5,546,363
7,150,000
-


Page 38

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

24.


Financial instruments

Group
Group
2024
2023
£
£

Financial assets

Financial assets measured at fair value through profit or loss
1,026,674
2,383,704




Financial assets measured at fair value through profit or loss comprise of cash at bank and in hand.


25.


Deferred taxation


Group



2024


£






At beginning of year
(567,887)


Utilised in year
567,887



At end of year
-

Company


£Nil deferred tax in the Company for the year ended 31 December 2024 (2023: £Nil).


The deferred taxation balance is made up as follows:

Group
Group
2024
2023
£
£

Property revaluations
-
(567,887)

-
(567,887)

Page 39

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

26.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



9,700 (2023 - 9,700) Ordinary Shares shares of £1.00 each
9,700
9,700



27.


Reserves

Share premium account

The share premium account represents the premium arising on the issue of shares net of issue costs.

Revaluation reserve

The revaluation reserve represents cumulative effects of fair value adjustments net of deferred tax and other adjustments.

Capital redemption reserve

The capital redemption reserve account represents non-distributable reserves arising on the repurchase of the company's own shares.

Profit and loss account

The profit and loss account represents cumulative profits and losses net of dividends and other adjustments.


28.


Pension commitments

The Group operates a defined contribution retirement scheme for all qualifying employees. The assets of the schemes are held separately from those of the company and in an independently administered fund.
The pension cost charge represents contributions payable by the Group to the fund and amounted to £60,909 (2023: £53,466). Contributions totaling £28,553 (2023: 13,693) were payable to the fund at the balance sheet date and are included in creditors.

Page 40

 
Q.N. (HOLDINGS) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

29.


Commitments under operating leases

At 31 December 2024 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
2024
2023
£
£

Not later than 1 year
19,087
28,986

Later than 1 year and not later than 5 years
-
19,087

19,087
48,073


30.


Related party transactions

During the year, the group was charged rent of £96,000 (2023: £74,001) for the use of a property owed by a company under common control.
During the year the group received a management charge of £25,000 (2023: £Nil) from a company under common control. 
As at 31 December 2024, amounts due from other companies under common control amounted to £1,203,792 (2023: £515,120).
As at 31 December 2024, directors owed the group £Nil (2023: £390,208).
As at 31 December 2024, a director was owed £2,895 by the group (2023: £Nil)
In the year 2024, a person with significant control earned £106,000 (2023: £69,300) as an employee of the group.


31.


Controlling party

The ultimate controlling parties are Q Ahmed and N Ahmed by virtue of their shareholding.

Page 41