LINNABRECK_DEVELOPMENTS_( - Accounts


Company Registration No. SC208215 (Scotland)
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2018
PAGES FOR FILING WITH REGISTRAR
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
COMPANY INFORMATION
Directors
E Russell-Duff
K Russell-Duff
Secretary
K Russell-Duff
Company number
SC208215
Registered office
Linnabreck
Beaquoy
Dounby
Orkney
KW17 2HY
Accountants
A J B Scholes Ltd
8 Albert Street
Kirkwall
Orkney
KW15 1HP
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
CONTENTS
Page
Accountants' report
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 8
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
REPORT TO THE DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY ACCOUNTS OF LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
- 1 -

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Linnabreck Developments (Scotland) Limited for the year ended 30 June 2018 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.

 

As a practising member firm of the ICAS we are subject to its ethical and other professional requirements which are detailed at https://www.icas.com/FrameworkforthePreparationofAccounts.

This report is made solely to the Board of Directors of Linnabreck Developments (Scotland) Limited, as a body, in accordance with the terms of our engagement letter dated 19 January 2009. Our work has been undertaken solely to prepare for your approval the financial statements of Linnabreck Developments (Scotland) Limited and state those matters that we have agreed to state to the Board of Directors of Linnabreck Developments (Scotland) Limited, as a body, in this report in accordance with the requirements of the ICAS as detailed at https://www.icas.com/FrameworkforthePreparationofAccounts. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Linnabreck Developments (Scotland) Limited and its Board of Directors as a body, for our work or for this report.

It is your duty to ensure that Linnabreck Developments (Scotland) Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Linnabreck Developments (Scotland) Limited. You consider that Linnabreck Developments (Scotland) Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Linnabreck Developments (Scotland) Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

A J B Scholes Ltd
31 January 2019
Chartered Accountants
8 Albert Street
Kirkwall
Orkney
KW15 1HP
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
BALANCE SHEET
AS AT
30 JUNE 2018
30 June 2018
- 2 -
2018
2017
Notes
£
£
£
£
Fixed assets
Tangible assets
2
-
216
Investment properties
3
345,000
345,000
345,000
345,216
Current assets
Debtors
198
63
Cash at bank and in hand
3,177
3,100
3,375
3,163
Creditors: amounts falling due within one year
4
(2,710)
(2,696)
Net current assets
665
467
Total assets less current liabilities
345,665
345,683
Provisions for liabilities
5
(42,205)
(42,205)
Net assets
303,460
303,478
Capital and reserves
Called up share capital
6
113,194
113,194
Profit and loss reserves
190,266
190,284
Total equity
303,460
303,478

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 30 June 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
BALANCE SHEET (CONTINUED)
AS AT
30 JUNE 2018
30 June 2018
- 3 -
The financial statements were approved by the board of directors and authorised for issue on 31 January 2019 and are signed on its behalf by:
K Russell-Duff
Director
Company Registration No. SC208215
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2018
- 4 -
1
Accounting policies
Company information

Linnabreck Developments (Scotland) Limited is a private company limited by shares incorporated in Scotland. The registered office is Linnabreck, Beaquoy, Dounby, Orkney, KW17 2HY.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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 financial statements have been prepared under the historical cost convention, modified to include investment properties at fair value. The principal accounting policies adopted are set out below.

1.2
Turnover

Turnover represents amounts receivable in the period for property letting, net of VAT where applicable.

1.3
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and machinery
25% reducing balance
Computer equipment
25% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.4
Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.

 

Where fair value cannot be achieved without undue cost or effort, investment property is accounted for as tangible fixed assets.

1.5
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
1
Accounting policies
(Continued)
- 5 -

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.6
Cash at bank and in hand

Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.7
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

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

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.

Classification of 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 company after deducting all of its liabilities.

LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
1
Accounting policies
(Continued)
- 6 -
Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

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

 

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

1.8
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.9
Taxation

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

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes 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 reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date 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 is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
- 7 -
2
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 July 2017 and 30 June 2018
10,939
Depreciation and impairment
At 1 July 2017
10,723
Depreciation charged in the year
216
At 30 June 2018
10,939
Carrying amount
At 30 June 2018
-
At 30 June 2017
216
3
Investment property
2018
£
Fair value
At 1 July 2017 and 30 June 2018
345,000

Investment property comprises two residential properties held for their rental potential and capital appreciation. The fair value of the investment properties has been arrived at on the basis of valuations carried out by the directors. The valuations were made on an open market value basis by reference to market evidence of transaction prices for similar properties.

4
Creditors: amounts falling due within one year
2018
2017
£
£
Bank loans and overdrafts
-
6
Other creditors
2,710
2,690
2,710
2,696

Creditors falling due within one year include loans from the directors totalling £2,150 (2017: £2,150). The loans are interest free and there are no formal repayment terms.

5
Provisions for liabilities
2018
2017
£
£
Deferred tax liabilities
42,205
42,205
LINNABRECK DEVELOPMENTS (SCOTLAND) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
- 8 -
6
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
113,194Ordinary shares of £1 each
113,194
113,194
113,194
113,194
7
Non-distributable profits reserve
2018
2017
£
£
At the beginning of the year
179,924
-
Increase in fair vaue of investment properties (net of taxation)
-
179,924
At the end of the year
179,924
179,924
2018-06-302017-07-01falseCCH SoftwareCCH Accounts Production 2018.310No description of principal activity31 January 2019E Russell-DuffK Russell-DuffMiss Katryn Russell-DuffSC2082152017-07-012018-06-30SC208215bus:Director12017-07-012018-06-30SC208215bus:CompanySecretaryDirector12017-07-012018-06-30SC208215bus:Director22017-07-012018-06-30SC208215bus:CompanySecretary12017-07-012018-06-30SC208215bus:RegisteredOffice2017-07-012018-06-30SC2082152018-06-30SC2082152017-06-30SC208215core:OtherPropertyPlantEquipment2017-06-30SC208215core:CurrentFinancialInstruments2018-06-30SC208215core:CurrentFinancialInstruments2017-06-30SC208215core:ShareCapital2018-06-30SC208215core:ShareCapital2017-06-30SC208215core:RetainedEarningsAccumulatedLosses2018-06-30SC208215core:RetainedEarningsAccumulatedLosses2017-06-30SC208215core:ShareCapitalOrdinaryShares2018-06-30SC208215core:ShareCapitalOrdinaryShares2017-06-30SC208215core:PlantMachinery2017-07-012018-06-30SC208215core:ComputerEquipment2017-07-012018-06-30SC208215core:OtherPropertyPlantEquipment2017-06-30SC208215core:OtherPropertyPlantEquipment2018-06-30SC208215core:OtherPropertyPlantEquipment2017-07-012018-06-30SC208215bus:OrdinaryShareClass12017-07-012018-06-30SC208215bus:OrdinaryShareClass12018-06-30SC208215bus:PrivateLimitedCompanyLtd2017-07-012018-06-30SC208215bus:FRS1022017-07-012018-06-30SC208215bus:AuditExemptWithAccountantsReport2017-07-012018-06-30SC208215bus:SmallCompaniesRegimeForAccounts2017-07-012018-06-30SC208215bus:FullAccounts2017-07-012018-06-30xbrli:purexbrli:sharesiso4217:GBP