Angraflat Development Company Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC550891 (Scotland)

Angraflat Development Company Limited

Audited Financial Statements

for the Year Ended 31st December 2020

Page

Company information

1

Statement of financial position

2

to

3

Notes to the financial statements

4

to

6

Directors:

G W Hobkirk

R J Jones

A G Wemyss

Secretary:

G H Young BA CA

Registered office:

Academy House

Shedden Park Road

Kelso

Roxburghshire

TD5 7AL

Business address:

Angraflat Road

Kelso

Roxburghshire

TD5 7NS

Registered number:

SC550891 (Scotland)

Auditors:

Douglas Home & Co (Audit) Limited

47-49 The Square

Kelso

Roxburghshire

TD5 7HW

Fixed assets

Tangible assets

4

6,164,133

6,284,192

Current assets

Debtors

5

15,102

21,514

Cash at bank

14,656

3,293

29,758

24,807

Creditors

Amounts falling due within one year

6

4,243,372

4,279,703

Net current liabilities

(4,213,614

)

(4,254,896

)

Total assets less current liabilities

1,950,519

2,029,296

Creditors

Amounts falling due after more than one year

7

(1,984,420

)

(2,076,741

)

Provisions for liabilities

(13,748

)

(311

)

Net liabilities

(47,649

)

(47,756

)

Capital and reserves

Called up share capital

1

1

Retained earnings

(47,650

)

(47,757

)

(47,649

)

(47,756

)

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 Statement of income and retained earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 13th May 2021 and were signed on its behalf by:

R J Jones - Director

A G Wemyss - Director

1.	Statutory information

Angraflat Development Company 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.

Tangible fixed assets

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

Freehold property

-

2% on cost

Equipment, furniture and fittings

-

10% on cost

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.

Financial instruments

The following liabilities are classified as financial instruments - trade creditors, accruals, bank loans and other loans.

Bank loans are initially measured at the present value of future payments, discounted at a market rate of interest, and subsequently at amortised cost using the effective interest method.

Trade creditors, accruals and other loans are measured at the undiscounted amount of the cash or other consideration expected to be paid or received.

Financial assets that are measured at amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Income and Retained Earnings.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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.

Provisions

Provisions are set up only where it is probable that a present obligation exists as a result of an event prior to the balance sheet date and that a payment will be required in settlement that can be estimated reliably. Where material, provisions are calculated on a discounted basis.

Employee benefits

Short term employee benefits, including holiday pay, are recognised as an expense in the Statement of Income and Retained Earnings in the period in which they are incurred.

Going concern

The directors acknowledge the negative reserves at the year end. From the company's incorporation to December 2018 they had been constructing the new care units with no trading income. From 1st January 2019 the company started receiving rental income and the company has shown a net profit before tax in both the years ended 31st December 2019 and 31st December 2020. The directors fully expect the company to continue being profitable in the year to 31st December 2021. Accordingly, they continue to adopt the going concern basis in preparing these financial statements.

3.	Employees and directors

The average number of employees during the year was NIL (2019 - NIL).

4.	Tangible fixed assets

Equipment,

furniture

Freehold

and

property

fittings

Totals

£

£

£

Cost

At 1st January 2020

6,205,786

175,728

6,381,514

Disposals

(6,500

)

-

(6,500

)

At 31st December 2020

6,199,286

175,728

6,375,014

Depreciation

At 1st January 2020

82,058

15,264

97,322

Charge for year

95,986

17,573

113,559

At 31st December 2020

178,044

32,837

210,881

Net book value

At 31st December 2020

6,021,242

142,891

6,164,133

At 31st December 2019

6,123,728

160,464

6,284,192

Included in freehold property is freehold land of £283,913 (2019 - £283,913) which is not depreciated.

The aggregate amount of finance costs capitalised in land and buildings is £43,068 (2019 - £43,068).

5.

Debtors: amounts falling due within one year

2020

2019

£

£

Other debtors

15,102

21,514

6.

Creditors: amounts falling due within one year

2020

2019

£

£

Bank loans and overdrafts

90,345

36,909

Trade creditors

781

124,857

Amounts owed to group undertakings

3,946,348

3,911,391

Other creditors

205,898

206,546

4,243,372

4,279,703

7.

Creditors: amounts falling due after more than one year

2020

2019

£

£

Bank loans

1,984,420

2,076,741

8.	Secured debts

The following secured debts are included within creditors:

2020

2019

£

£

Bank loans

2,074,765

2,113,650

The Royal Bank of Scotland Plc holds security over an area of land owned by the company and by way of a floating charge over the property.

9.	Disclosure under Section 444(5B) of the Companies Act 2006

The Report of the auditors was unqualified.

Alan Drummond BA CA FMAAT (Senior Statutory Auditor)

for and on behalf of Douglas Home & Co (Audit) Limited

10.	Related party disclosures

Angraflat Development Company Limited is a fully owned subsidiary of Queen's House (Kelso) Limited. Queen's House (Kelso) Limited is a private company, limited by guarantee, registered in Scotland.

During the year Queen's House (Kelso) Limited paid for goods and services totalling £15,123 (2019 - £24,526) on behalf of Angraflat Development Company Limited.

During the year Angraflat Development Company Limited paid for goods and services totalling £120 (2019 - £nil) on behalf of Queen's House (Kelso) Limited.

During the year the company received rent of £200,000 (2019 - £200,000) from Queen's House (Kelso) Limited.

At 2020 Angraflat Development Company Limited were due Queen's House (Kelso) Limited £3,946,348 (2019 - £3,911,391). This loan is unsecured, interest free and is repayable on demand.

All transactions were done at market value.