Kelso Races Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC014994 (Scotland)

Unaudited Financial Statements for the Year Ended 31 May 2019

for

Kelso Races Limited

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

4

DIRECTORS:

G F Adam

D H Davidson

R L Miller-Bakewell

Mrs J Millar

R M Landale

M S Hunter

J M H Garratt

REGISTERED OFFICE:

The Racecourse

Kelso

Roxburghshire

TD5 7SX

REGISTERED NUMBER:

SC014994 (Scotland)

ACCOUNTANTS:

Douglas Home & Co Ltd

Chartered Accountants

47-49 The Square

Kelso

Roxburghshire

TD5 7HW

FIXED ASSETS

Intangible assets

4

5,000,000

-

Property, plant and equipment

5

1,445,164

599,717

Investments

6

30,600

30,600

6,475,764

630,317

CURRENT ASSETS

Inventories

4,671

4,060

Debtors

7

287,097

512,423

Cash at bank

116,967

249,894

408,735

766,377

CREDITORS

Amounts falling due within one year

8

346,572

568,795

NET CURRENT ASSETS

62,163

197,582

TOTAL ASSETS LESS CURRENT LIABILITIES

6,537,927

827,899

CREDITORS

Amounts falling due after more than one year

9

(457,517

)

(283,722

)

PROVISIONS FOR LIABILITIES

(1,085,500

)

(32,000

)

NET ASSETS

4,994,910

512,177

CAPITAL AND RESERVES

Called up share capital

2,000

1,150

Other reserves

157,090

157,090

Fair value reserve

4,455,000

-

Retained earnings

380,820

353,937

SHAREHOLDERS' FUNDS

4,994,910

512,177

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 2019 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

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

The financial statements were approved by the Board of Directors on 18 October 2019 and were signed on its behalf by:

J M H Garratt - Director

1.	STATUTORY INFORMATION

Kelso Races 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 as modified by the revaluation of certain assets.

The company meets its day to day working capital requirements through an overdraft facility which is repayable

on demand. The company expects to operate within the facility currently agreed and within that expected to be

agreed periodically with the company's bankers. These views are based on the company's plans and on the

successful outcome of discussions with the company's bankers.

Turnover

Turnover represents net income from raceday activities, excluding value added tax.

Intangible assets

Race day fixtures owned by the company are stated at valuation. Valuations are carried out annually by the

directors and reviewed for impairment.

Race day fixtures will be amortised over 40 years from the date of valuation.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Grandstands

-

4% on reducing balance and Over the remaining life of the lease

Freehold land

-

not provided

Improvements to property

-

Over the remaining life of the lease

Fixtures, fittings, plant and machinery

-

33% on cost and 25% on reducing balance

Stocks

Inventories are valued at the lower of cost and net realisable value, after making due allowance for obsolete and

slow moving items.

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 statement of financial position date.

Deferred tax

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

statement of financial position 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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held

under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases

are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element

of the future payments is treated as a liability.

Pension costs and other post-retirement benefits

The company contributes to the personal pension schemes of certain employees. Contributions payable for the

year are charged in the profit and loss account.

Grants and capital contributions

Capital contributions received from the Horserace Betting Levy Board are capitalised in the balance sheet and

amortised over a period specified at the time the grant was made. This amortisation appears in the Profit and

Loss account.

Media rights income

Income received in advance under media rights contracts is deferred and recognised evenly over the period of the

contract.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 11 (2018 - 11 ) .

4.	INTANGIBLE FIXED ASSETS

Race day

fixtures

£

COST OR VALUATION

Revaluations

5,000,000

At 31 May 2019

5,000,000

NET BOOK VALUE

At 31 May 2019

5,000,000

Cost or valuation at 31 May 2019 is represented by:

Race day

fixtures

£

Valuation in 2019

5,000,000

Race day fixtures were valued on an open market basis on 31 May 2019 by the directors .

5.	PROPERTY, PLANT AND EQUIPMENT

Fixtures,

Improvements

fittings,

Freehold

to

plant and

Grandstands

land

property

machinery

Totals

£

£

£

£

£

COST OR VALUATION

At 1 June 2018

1,162,247

-

748,921

499,515

2,410,683

Additions

-

-

297,740

164,280

462,020

Disposals

-

-

-

(26,500

)

(26,500

)

Revaluations

-

500,000

-

-

500,000

At 31 May 2019

1,162,247

500,000

1,046,661

637,295

3,346,203

DEPRECIATION

At 1 June 2018

853,877

-

559,521

397,568

1,810,966

Charge for year

38,121

-

33,041

37,204

108,366

Eliminated on disposal

-

-

-

(18,293

)

(18,293

)

At 31 May 2019

891,998

-

592,562

416,479

1,901,039

NET BOOK VALUE

At 31 May 2019

270,249

500,000

454,099

220,816

1,445,164

At 31 May 2018

308,370

-

189,400

101,947

599,717

Cost or valuation at 31 May 2019 is represented by:

Fixtures,

Improvements

fittings,

Freehold

to

plant and

Grandstands

land

property

machinery

Totals

£

£

£

£

£

Valuation in 2019

-

500,000

-

-

500,000

Cost

1,162,247

-

1,046,661

637,295

2,846,203

1,162,247

500,000

1,046,661

637,295

3,346,203

Freehold land was valued on an open market basis on 23 October 2019 by Sidney Phillips .

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Fixtures,

fittings,

plant and

machinery

£

COST OR VALUATION

At 1 June 2018

99,440

Additions

46,000

At 31 May 2019

145,440

DEPRECIATION

At 1 June 2018

41,445

Charge for year

20,950

At 31 May 2019

62,395

NET BOOK VALUE

At 31 May 2019

83,045

At 31 May 2018

57,995

6.	FIXED ASSET INVESTMENTS

Other

investments

£

COST

At 1 June 2018

and 31 May 2019

30,600

NET BOOK VALUE

At 31 May 2019

30,600

At 31 May 2018

30,600

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/5/19

31/5/18

£

£

Trade debtors

120,238

174,136

Other debtors

166,859

338,287

287,097

512,423

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/5/19

31/5/18

£

£

Hire purchase contracts

14,404

12,241

Trade creditors

165,682

229,002

Taxation and social security

46,781

25,652

Other creditors

119,705

301,900

346,572

568,795

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31/5/19

31/5/18

£

£

Hire purchase contracts

38,980

19,885

Other creditors

418,537

263,837

457,517

283,722

10.	SECURED DEBTS

The following secured debts are included within creditors:

31/5/19

31/5/18

£

£

Hire purchase contracts

53,384

32,126

Hire Purchase liabilities are secured on the assets to which they relate.