Drakestown Properties Ltd. - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 01824543 (England and Wales)

DRAKESTOWN PROPERTIES LTD.

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2019

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Chartered Certified Accountants' Report

7

DIRECTORS:

Mrs K J Hart

J R Hart

REGISTERED OFFICE:

The Riding School House

Bulls Lane

Wishaw

Sutton Coldfield

West Midlands

B76 9QW

REGISTERED NUMBER:

01824543 (England and Wales)

ACCOUNTANTS:

Phoenix Business Associates Limited

Chartered Certified Accountants

The Riding School House

Bulls Lane

Wishaw

Sutton Coldfield

West Midlands

B76 9QW

FIXED ASSETS

Tangible assets

4

36,711

11,062

Investment property

5

2,700,000

2,700,000

2,736,711

2,711,062

CURRENT ASSETS

Debtors

6

793,224

808,903

Cash at bank and in hand

17,896

45,111

811,120

854,014

CREDITORS

Amounts falling due within one year

7

1,937,727

1,954,329

NET CURRENT LIABILITIES

(1,126,607

)

(1,100,315

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,610,104

1,610,747

PROVISIONS FOR LIABILITIES

6,241

1,881

NET ASSETS

1,603,863

1,608,866

CAPITAL AND RESERVES

Called up share capital

2

2

Fair value revaluation reserve

8

859,412

859,412

Retained earnings

8

744,449

749,452

SHAREHOLDERS' FUNDS

1,603,863

1,608,866

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

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 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 Profit & Loss Account has not been delivered.

The financial statements were approved by the Board of Directors on 26 February 2020 and were signed on its behalf by:

Mrs K J Hart - Director

1.	STATUTORY INFORMATION

Drakestown Properties Ltd. is a private company, limited by shares , registered in England and Wales.

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.

Significant judgements and estimates

Investment Properties

The value of the properties is assessed by the directors or an independent property valuation specialist

at each reporting date using publicly available market evidence comprising primarily of values of

comparable properties in the area and national market statistics. However, it is inherently difficult to

assess the true market value of the properties without actively marketing the properties for sale.

Changes in accounting policies

As a result of the company adopting Financial Reporting Standard 102 (FRS 102) for the first time, the

company has changed its accounting policy with regard to deferred tax on investment properties.

Previously, a deferred tax provision was only required where there was a contractual obligation to sell a

property and therefore a known tax liability arising where relevant. FRS 102 has introduced a

requirement for deferred tax to be provided on investment property at each balance sheet date by

comparing the carrying fair value of the properties with their original cost, enhancement expenditure

and any reductions to potential capital gains such as by way of indexation allowances.

The company has therefore amended its accounting policy for this change and has, where applicable,

included a relevant deferred tax liability at the rate prevailing at the date of approval of the financial

statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,

rebates, value added tax and other sales taxes.

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

-

15% on reducing balance

Fixtures and fittings

-

15% on reducing balance

Computer equipment

-

33% on cost

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from

changes in fair value is recognised in profit or loss.

The company's properties are held for long-term investment and depreciation is not provided in respect

of such properties. At the balance sheet date the investment properties are included at their fair value.

This policy represents a departure from the statutory accounting principles, which require depreciation

to be provided on all fixed assets. The Directors considers that this policy is necessary in order that the

financial statements may give a true and fair view.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit & loss

account, 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.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the

company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2018 - 2 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Computer

machinery

fittings

equipment

Totals

£

£

£

£

COST

At 1 January 2019

2,100

13,061

2,382

17,543

Additions

492

30,397

1,649

32,538

At 31 December 2019

2,592

43,458

4,031

50,081

DEPRECIATION

At 1 January 2019

315

4,915

1,251

6,481

Charge for year

315

5,781

793

6,889

At 31 December 2019

630

10,696

2,044

13,370

NET BOOK VALUE

At 31 December 2019

1,962

32,762

1,987

36,711

At 31 December 2018

1,785

8,146

1,131

11,062

5.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 January 2019

and 31 December 2019

2,700,000

NET BOOK VALUE

At 31 December 2019

2,700,000

At 31 December 2018

2,700,000

As at the year end £2,700,000 (2018 : £2,700,000) of the investment property fair value was based on

a valuation by the directors, having used publicly available market evidence to assess the current

market value of each asset.

Any gain or loss arising from a change in fair value is recognised in profit or loss in that accounting

period.

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/12/19

31/12/18

£

£

Trade debtors

130,117

159,999

Other debtors

663,107

648,904

793,224

808,903

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/12/19

31/12/18

£

£

Bank loans and overdrafts

-

14

Trade creditors

-

5,640

Taxation and social security

2,282

23,199

Other creditors

1,935,445

1,925,476

1,937,727

1,954,329

8.

RESERVES

Fair

value

Retained

revaluation

earnings

reserve

Totals

£

£

£

At 1 January 2019

749,452

859,412

1,608,864

Profit for the year

25,997

25,997

Dividends

(31,000

)

(31,000

)

At 31 December 2019

744,449

859,412

1,603,861

The following reproduces the text of the report prepared for the directors in respect of the company's

annual unaudited financial statements. In accordance with the Companies Act 2006, the company is

only required to file a Balance Sheet. Readers are cautioned that the Profit & Loss Account and

certain other primary statements and the Report of the Directors are not required to be filed with the

Registrar of Companies.

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval

the financial statements of Drakestown Properties Ltd. for the year ended 31 December 2019 which comprise

the Profit & Loss Account, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity

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 Association of Chartered Certified Accountants, we are subject to its ethical and other professional requirements which are detailed at http://www.accaglobal.com/rulebook.

This report is made solely to the Board of Directors of Drakestown Properties Ltd., as a body, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Drakestown Properties Ltd. and state those matters that we have agreed to state to the Board of Directors of Drakestown Properties Ltd., as a body, in this report in accordance with the requirements of the Association of Chartered Certified Accountants as detailed at http://www.accaglobal.com/factsheet163. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and its Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that Drakestown Properties Ltd. 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 profit of Drakestown Properties Ltd.. You consider that Drakestown Properties Ltd. 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 Drakestown Properties Ltd.. 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.

Phoenix Business Associates Limited

Chartered Certified Accountants

The Riding School House

Bulls Lane

Wishaw

Sutton Coldfield

West Midlands

B76 9QW

26 February 2020