Risort Power Generation Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC375860 (Scotland)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

FOR

RISORT POWER GENERATION LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTOR:

J Macleod

SECRETARY:

R Morrison

REGISTERED OFFICE:

Raebhat House

North Shawbost

Isle of Lewis

HS2 9BD

REGISTERED NUMBER:

SC375860 (Scotland)

SENIOR STATUTORY AUDITOR:

Calum Macdonald

AUDITORS:

CIB Audit

Statutory Auditor

63 Kenneth Street

Stornoway

Isle of Lewis

HS1 2DS

BANKERS:

The Co-operative Bank plc

1 Balloon Street

Manchester

M60 4EP

FIXED ASSETS

1,327,494

Tangible assets

3

1,238,051

CURRENT ASSETS

164,204

Debtors

4

129,766

490,682

Cash at bank and in hand

394,314

654,886

524,080

CREDITORS

214,837

Amounts falling due within one year

5

210,648

440,049

NET CURRENT ASSETS

313,432

1,767,543

TOTAL ASSETS LESS CURRENT LIABILITIES

1,551,483

CREDITORS

1,406,223

Amounts falling due after more than one year

6

1,258,814

361,320

NET ASSETS

292,669

CAPITAL AND RESERVES

2

Called up share capital

2

361,318

Retained earnings

292,667

361,320

SHAREHOLDERS' FUNDS

292,669

The financial statements have been prepared and delivered in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the director on 12 August 2019 and were signed by:

J Macleod - Director

1.	STATUTORY INFORMATION

Risort Power Generation Limited is a private company, limited by shares , registered in Scotland. The company's

registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The financial statements are prepared in sterling which is the functional currency of the charity.

The directors consider that there are no material uncertainties about the company's ability to continue as a going

concern. The directors also consider that there are no significant areas of judgements, estimates or key

assumptions that affect items in the accounts.

Turnover

Turnover represents sales of goods and services, excluding value added tax. Turnover is recognised when the

risks and rewards associated with the transaction have transferred to the purchaser.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery etc

-

5% on cost

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to

the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or

substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance

sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from

those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws

that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal

of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they

will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the

balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling

at the date of transaction. Exchange differences are taken into account in arriving at the operating result. Where

there are related or matching forward contracts in respect of trading transactions, the rates of exchange specified

in those contracts have been used.

Lease commitments

Rentals paid under operating leases are charged to the profit and loss account as incurred over the period of the

lease.

Grants

Grants of a revenue nature are taken to the Profit and Loss Account in the year in which the related expenditure

is undertaken. Grants received which are related to capital expenditure are capitalised in the Balance Sheet under

Creditors due after more than one year until the project is complete. At that point these grants are released to

the Profit and Loss Account on the same basis as the related capital expenditure is depreciated.

3.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 January 2018

and 31 December 2018

1,788,858

DEPRECIATION

At 1 January 2018

461,364

Charge for year

89,443

At 31 December 2018

550,807

NET BOOK VALUE

At 31 December 2018

1,238,051

At 31 December 2017

1,327,494

No loan interest has been capitalised during the year ended 31 December 2018. The total interest capitalised to

31 December 2018 is £3,995.

4.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.18

31.12.17

£

£

Trade debtors

63,307

23,249

Other debtors

66,459

140,955

129,766

164,204

5.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.18

31.12.17

£

£

Bank loans and overdrafts

114,939

114,939

Trade creditors

788

166

Amounts owed to group undertakings

40,000

40,000

Taxation and social security

1,843

5,101

Other creditors

53,078

54,631

210,648

214,837

6.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.18

31.12.17

£

£

Bank loans

1,067,590

1,214,999

Amounts owed to group undertakings

191,224

191,224

1,258,814

1,406,223

31.12.18

31.12.17

£

£

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more than 5 years by instalments

515,535

662,944

7.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.18

31.12.17

£

£

Bank loans

1,182,529

1,329,938

The bank loan is secured by a standard security over the lease of the wind turbine site at Cnoc Airigh Mhic

Crishnidh, South Shawbost, Isle of Lewis, by a floating charge over the company's assets and undertakings and

by an assignation in security of the rights under the grid connection agreement relating to the wind farm

development.

8.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Calum Macdonald (Senior Statutory Auditor)

for and on behalf of CIB Audit

9.	RELATED PARTY DISCLOSURES

The company is a wholly owned trading subsidiary of Horshader Community Development which has been set up

to develop community-owned renewable energy projects. Horshader Community Development is a charitable

company limited by guarantee incorporated in Scotland.

The company has received loans from its parent company to assist in the development of a community wind

energy project. There is no scheduled repayment date and the loan bears interest at 4%. The balance of this loan

at 31 December 2018 was £191,224 (2017 - £191,224). Interest paid on the loan during the year was £9,250

(2017 - £9,032). The parent advanced a loan of £40,000 during the year to assist with working capital. This

loan will be repaid as soon as the company's cash flows allow.

During the year ended 31 December 2018, the company purchased services of £11,920 (2017 - £11,517) from its

parent company. The company also made gift aid payments of £283,965 (2017 - £141,061) to its parent

company during the year. The amounts owed by the company to its parent company at 31 December 2018 are

£37,956 (2017 - £28,222).

10.	APB ETHICAL STANDARD - PROVISIONS AVAILABLE FOR SMALL ENTITIES

In common with many other businesses of our size and nature we use our auditors to prepare and submit returns

to the tax authorities and assist with the preparation of the financial statements.