The Villa (Levens) Limited - Accounts to registrar (filleted) - small 23.1.2

REGISTERED NUMBER: 08678175 (England and Wales)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

FOR

THE VILLA (LEVENS) LIMITED

Page

Balance Sheet

1

Notes to the Financial Statements

2

FIXED ASSETS

Tangible assets

4

3,131,213

3,180,694

CURRENT ASSETS

Stocks

23,627

26,280

Debtors

5

1,781,547

1,218,830

1,805,174

1,245,110

CREDITORS

Amounts falling due within one year

6

4,339,395

3,963,099

NET CURRENT LIABILITIES

(2,534,221

)

(2,717,989

)

TOTAL ASSETS LESS CURRENT LIABILITIES

596,992

462,705

CREDITORS

Amounts falling due after more than one year

7

1,074,975

1,072,959

NET LIABILITIES

(477,983

)

(610,254

)

CAPITAL AND RESERVES

Called up share capital

9

240,000

240,000

Retained earnings

(717,983

)

(850,254

)

SHAREHOLDERS' FUNDS

(477,983

)

(610,254

)

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 director and authorised for issue on 22 June 2023 and were signed by:

L Rigby - Director

1.	STATUTORY INFORMATION

The Villa (Levens) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address are as below:

Registered number:

08678175

Registered office:

4 Croft Court

Whitehills Business Park

Blackpool

FY4 5PR

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.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

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

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible assets at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life, using rates between 1% and 25%.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

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 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.

Impairment

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in the income statement.

If an impairment loss subsequently reverses, the carry amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in the income statement.

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.

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.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 52 (2020 - 61 ) .

4.	TANGIBLE FIXED ASSETS

Freehold

Plant and

Motor

property

machinery

vehicles

Totals

£

£

£

£

COST

At 1 January 2021

3,722,497

725,782

6,570

4,454,849

Additions

1,448

1,548

-

2,996

At 31 December 2021

3,723,945

727,330

6,570

4,457,845

DEPRECIATION

At 1 January 2021

597,226

672,091

4,838

1,274,155

Charge for year

37,240

13,923

1,314

52,477

At 31 December 2021

634,466

686,014

6,152

1,326,632

NET BOOK VALUE

At 31 December 2021

3,089,479

41,316

418

3,131,213

At 31 December 2020

3,125,271

53,691

1,732

3,180,694

5.

DEBTORS

31.12.21

31.12.20

£

£

Amounts falling due within one year:

Trade debtors

15,894

(3,619

)

Amounts owed by group undertakings

1,147,774

879,389

Other debtors

578,728

303,065

1,742,396

1,178,835

Amounts falling due after more than one year:

Other debtors

39,151

39,995

Aggregate amounts

1,781,547

1,218,830

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Bank loans and overdrafts

150,224

108,170

Hire purchase contracts

-

1,053

Trade creditors

159,902

101,541

Amounts owed to group undertakings

1,041,697

835,677

Taxation and social security

1,243,150

1,081,075

Other creditors

1,744,422

1,835,583

4,339,395

3,963,099

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.21

31.12.20

£

£

Bank loans

1,074,975

1,072,959

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

732,117

648,890

8.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.21

31.12.20

£

£

Bank loans

1,160,689

1,178,976

Hire purchase contracts

-

1,053

1,160,689

1,180,029

Debt is secured by way of both a fixed and floating charge against the company's assets.

9.	CALLED UP SHARE CAPITAL

Allotted and issued:

Number:

Class:

Nominal

31.12.21

31.12.20

value:

£

£

240,000

Share capital 1

1

240,000

240,000

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

The Report of the Auditors was unqualified.

Catherine Rogers BSc FCA (Senior Statutory Auditor)

for and on behalf of NRB

11.	POST BALANCE SHEET EVENTS

On 17 May 2022, The Villa Group Limited, was dissolved by Companies House and removed from the registrar. An application has been submitted to reinstate the company. The directors support this decision and continue to support the company and wider businesses throughout the period.

12.	ULTIMATE CONTROLLING PARTY

The company's immediate parent is The Villa Group Limited, formerly known as Rigby Organisation Limited, incorporated in England and Wales.

13.	GOING CONCERN

The directors have reviewed the company's forecasts and projections for the 12 months ahead and, in particular, have considered the potential implications of the current cost of living crisis.

The directors believe based on this and current forecasts that the business will survive the current crisis and indications are that trading activity will improve throughout 2023 and 2024.

The directors have also tendered the energy supply contracts and secured and initial fixed price contract through to 30th September 2023 and then from 1st October 2023 will enter into a flexible basket contract facilitated by sister company LG Energy Group Limited. Energy prices will reduce from c56p per unit down to c28p per unit during the fixed contact and then down to c21p for electricity which is the main cost.

The expiry of the banking facilities for The Villa Wrea Green and The Villa Levens in September 2023 is also considered a risk although the Directors are in discussions with various lenders to refinance these facilities and are confident in doing so.

The Villa Group Limited, was dissolved by Companies House on 17 May 2022. An application to reinstate the company has been submitted and remains pending at the date of signing the audit report.

The company and directors have brought all outstanding documentation up to date and the directors application to Companies House is done on the basis that these records will ensure the company is compliant with Companies House filing requirements.

The company therefore continues to adopt the going concern basis in preparing its financial statements.