4 Rent Limited - Period Ending 2018-10-31

Registration number: 09809822

4 Rent Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 October 2018

Boon and Worth Limited
Mortimer House
Holmer Road
Hereford
Herefordshire
HR4 9TA

4 Rent Limited

Contents

Company Information	1
Balance Sheet	2 to 3
Notes to the Financial Statements	4 to 9

4 Rent Limited

Company Information

Directors

Ms KAL Turner Ms L Wellings BJE Day

Registered office

Mortimer House Holmer Road Hereford HR4 9TA

Accountants

Boon and Worth Limited Mortimer House Holmer Road Hereford Herefordshire HR4 9TA

Page 1

4 Rent Limited

(Registration number: 09809822)
Balance Sheet as at 31 October 2018

	Note	2018 £	2017 £
Fixed assets
Tangible assets	4	7,107	8,884
Investment property	5	740,000	528,083
		747,107	536,967
Current assets
Debtors	6	1,391	-
Cash at bank and in hand		7,276	9,427
		8,667	9,427
Creditors: Amounts falling due within one year	7	(79,021)	(401,956)
Net current liabilities		(70,354)	(392,529)
Total assets less current liabilities		676,753	144,438
Creditors: Amounts falling due after more than one year	7	(541,114)	(255,764)
Provisions for liabilities		(38,145)	-
Net assets/(liabilities)		97,494	(111,326)
Capital and reserves
Called up share capital	8	100	100
Profit and loss account		97,394	(111,426)
Total equity		97,494	(111,326)

For the financial year ending 31 October 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

The notes on pages 4 to 9 form an integral part of these financial statements.

Page 2

4 Rent Limited

(Registration number: 09809822)
Balance Sheet as at 31 October 2018

Approved and authorised by the Board on 25 April 2019 and signed on its behalf by:
 

.........................................

Ms KAL Turner
Director

.........................................

BJE Day
Director

The notes on pages 4 to 9 form an integral part of these financial statements.

Page 3

4 Rent Limited

Notes to the Financial Statements for the Year Ended 31 October 2018

1	General information

The company is a private company limited by share capital, incorporated in England.

The address of its registered office is:
Mortimer House
Holmer Road
Hereford
HR4 9TA
England

These financial statements were authorised for issue by the Board on 25 April 2019.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Tax

The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Page 4

4 Rent Limited

Notes to the Financial Statements for the Year Ended 31 October 2018

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Page 5

4 Rent Limited

Notes to the Financial Statements for the Year Ended 31 October 2018

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Furniture and fittings	20% reducing balance

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 3 (2017 - 3).

Page 6

4 Rent Limited

Notes to the Financial Statements for the Year Ended 31 October 2018

4	Tangible assets

	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 November 2017	11,996	11,996
At 31 October 2018	11,996	11,996
Depreciation
At 1 November 2017	3,112	3,112
Charge for the year	1,777	1,777
At 31 October 2018	4,889	4,889
Carrying amount
At 31 October 2018	7,107	7,107
At 31 October 2017	8,884	8,884

Included within the net book value of land and buildings above is £Nil (2017 - £Nil) in respect of freehold land and buildings.
 

5	Investment properties

	2018 £
At 1 November	528,083
Fair value adjustments	211,917
At 31 October	740,000

There has been no valuation of investment property by an independent valuer.

6

Debtors

	2018 £	2017 £
Prepayments	1,391	-
	1,391	-

Page 7

4 Rent Limited

Notes to the Financial Statements for the Year Ended 31 October 2018

7

Creditors

Creditors: amounts falling due within one year

	2018 £	2017 £
Due within one year
Accruals and deferred income	1,500	23,590
Other creditors	77,521	378,366
	79,021	401,956

Creditors: amounts falling due after more than one year

	Note	2018 £	2017 £
Due after one year
Loans and borrowings	9	541,114	255,764

8	Share capital

Allotted, called up and fully paid shares

	2018		2017
	No.	£	No.	£
Ordinary shares of £1 each	100	100	100	100

9	Loans and borrowings

	2018 £	2017 £
Non-current loans and borrowings
Bank borrowings	541,114	255,764

Page 8

4 Rent Limited

Notes to the Financial Statements for the Year Ended 31 October 2018

10	Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £Nil (2017 - £Nil).

The total amount of guarantees not included in the balance sheet is £Nil (2017 - £Nil).

The total amount of contingencies not included in the balance sheet is £Nil (2017 - £Nil).

11	Transition to FRS 102

During the period it has been decided by the directors to adopt FRS 102 Section 1A standard. The basis of this decision is that the company purchased an investment property during the year and FRS 105 standard that was used previously is no longer deemed suitable.

During the transition between standards no balances were reclassified or had to be restated.

Page 9