Natosa Ltd

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—6

1. General Information

Natosa Ltd is a private company, limited by shares, incorporated in England & Wales, registered number 12522311 . The registered office is 10 Cherington Road, Cheadle, Stockport, Cheshire, SK8 1LN.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Significant judgements and estimations

Reliance on trust arrangements to present the accounts on a substance over form basis

In these accounts, the entries related to investment properties, long-term third-party loans and most of the directors' loan balances reflect the underlying substance of the arrangements, but do not reflect the legal ownership arrangements for the investment properties or the associated mortgage contracts.

Shortly after the company was incorporated, it acquired the full equitable interest in the investment properties by a transaction with the unincorporated Natosa partnership. Accordingly, there has been no change in the legal ownership arrangements or in the various mortgage deeds. Therefore, at each balance sheet date, the legal owners of the properties as registered at the Land Registry, and the persons legally liable to repay the mortgage loans, remain Mr & Mrs Thompson as before.

There is a formal trust document supporting this interpretation, and, in accordance with UK Generally Accepted Accounting Practice (GAAP), these accounts are prepared to reflect the underlying substance of the transaction rather than its form.

Treatment of Stamp Duty Land Tax (SDLT) on the initial vesting of the investment properties in the company

No SDLT has been borne by the company in its acquisition of the investment properties of the Natosa partnership. At the time of the transaction the directors have relied on expert advice from a Chartered Tax adviser. He confirmed that the company was able to rely on Schedule 15 of FA 2023 and that o SDLT was payable.

2.3. Turnover

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 is reduced for estimated customer returns, rebates and other similar allowances.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

Revenue recognition

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. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.

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Natosa Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

2.4. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. 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:

Motor Vehicles	25% RBM
Computer Equipment	33% SLM

2.5. Investment Properties

All investment properties are carried at fair value determined annually 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 for. Changes in fair value are recognised in the profit and loss account.

2.6. Taxation

Corporation 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 statement of comprehensive income because of items of income or expense that are taxable or deductible in other year 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.

As reported under the heading 'Significant Judgements and estimates' the accounts reflect the substance of the property ownership and mortgage arrangements rather than their legal form However, the Capital Gains Tax liability arising on the original transfer into the company of the whole of the investment property portfolio of the Natosa partnership was borne by the partners and is not therefore a deferred tax liability of this company. As the investment properties have not been revalued since their original acquisition by the company, no deferred tax asset or liability arises in this regard.

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 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 profit or loss, 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.

3. Average Number of Employees

Average number of employees, including directors, during the year was: NIL (2024: 2)

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Natosa Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

4. Investment Property

	2025
	£
Fair Value
As at 1 April 2024	3,205,000
Disposals	(1,260,000 )

As at 31 March 2025	1,945,000

If investment property had been accounted for under historical cost accounting rules, the amounts would be:

	2025	2024
	£	£
Cost	1,945,000	3,205,000

During 2020, the director transferred properties amounting to £4,125,000 to the company. Of these properties, disposals amounting to £920,000 were made in the 2023 financial year, with a further £1,260,000 disposed of in the current financial year.

5. Debtors

	2025	2024
	£	£
Due within one year
Other debtors (2)	195	195

6. Creditors: Amounts Falling Due Within One Year

	2025	2024
	£	£
Trade creditors	-	(1 )
Corporation tax	39	115
Other Creditors-Fairmont Spencer Ltd	-	10,822
Rent Deposits	1,388	3,561
Other creditors - Fairmont Spencer Property Services Ltd	3,000	3,000
Accruals and deferred income	2,294	2,194
Directors' loan accounts	66,286	27,502

	73,007	47,193

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

	2025	2024
	£	£
Bank loans	1,601,384	2,547,473
Directors loan account	301,384	638,368

	1,902,768	3,185,841

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Natosa Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

8. Share Capital

	2025	2024
	£	£
Allotted, Called up and fully paid	100	100

9. Related Party Transactions

The company was incorporated on 17 March 2020 and commence trading on 6 April 2020. The conpany is under the control of the directors Mr N Thompson and his wife.

Mr and Mrs Thompson sold their partnership property business to Natosa Ltd at Maket Value on 5 April 2020.

The company also paid Mr Thompson £750 (PY:£750) as a contribution towards the cost of operating the business from his premises.

Mr. Thompson is director of Natosa ,Fairmont Spencer Ltd & UP47 Ltd, during the year £4140 has been paid to UP47 Ltd and balance of £3,000 to Fairmont Spencer Property Services Ltd.

In 2020, an investment property portfolio legally owned by a director was transferred to the Company by way of a Declaration of Trust. Under this arrangement, the director confirmed that the properties were held beneficially for the Company, and all rights to income, gains and risks associated with the properties vested in the Company from that date.

During the financial year ended 2025, the Company disposed of one of the properties subject to the Declaration of Trust, namely 39/41 Albany Road. The property was sold for £1,295,550. The resulting gain or loss on disposal has been recognised in the profit or loss for the year in accordance with the Company’s accounting policies for investment properties.

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		2025		2024
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets			347		694
Investment Properties	4		1,945,000		3,205,000

			1,945,347		3,205,694
CURRENT ASSETS
Debtors	5	195		195
Cash at bank and in hand		1,948		1,224

		2,143		1,419
Creditors: Amounts Falling Due Within One Year	6	(73,007 )		(47,193 )

NET CURRENT ASSETS (LIABILITIES)			(70,864 )		(45,774 )

TOTAL ASSETS LESS CURRENT LIABILITIES			1,874,483		3,159,920

Creditors: Amounts Falling Due After More Than One Year	7		(1,902,768 )		(3,185,841 )

NET LIABILITIES			(28,285 )		(25,921 )

CAPITAL AND RESERVES
Called up share capital	8		100		100
Profit and Loss Account			(28,385 )		(26,021 )

SHAREHOLDERS' FUNDS			(28,285)		(25,921)