Hand Laundry (Bury) Limited (The) - Limited company accounts 11.4

REGISTERED NUMBER: 00244914 (England and Wales)

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2013

FOR

HAND LAUNDRY (BURY) LIMITED (THE)

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditors

3

Profit and Loss Account

5

Statement of Total Recognised Gains and Losses

6

Balance Sheet

7

Notes to the Financial Statements

8

DIRECTORS:

Mr J W Bayne

Mrs S M K Bayne

Ms J I Murray

Mr D J Bayne

SECRETARY:

Mrs S M K Bayne

REGISTERED OFFICE:

75 Park Lane

Croydon

Surrey

CR9 1XS

REGISTERED NUMBER:

00244914 (England and Wales)

AUDITORS:

Kings Mill Partnership

Chartered Accountants and Statutory Auditors

75 Park Lane

Croydon

Surrey

CR9 1XS

The directors present their report with the financial statements of the company for the year ended 31 December 2013.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2013 to the date of this

report.

Mr J W Bayne

Mrs S M K Bayne

Ms J I Murray

Mr D J Bayne

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in accordance with

applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors

have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting

Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not

approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the

company and of the profit or loss of the company for that period. In preparing these financial statements, the directors

are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the

company's transactions and disclose with reasonable accuracy at any time the financial position of the company and

enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for

safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud

and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act

2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have

taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the

company's auditors are aware of that information.

AUDITORS

The auditors, Kings Mill Partnership, will be proposed for re-appointment at the forthcoming Annual General Meeting.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating

to small companies.

ON BEHALF OF THE BOARD:

Ms J I Murray - Director

26 September 2014

We have audited the financial statements of Hand Laundry (Bury) Limited (The) for the year ended 31 December 2013

on pages five to twelve. The financial reporting framework that has been applied in their preparation is applicable law

and the Financial Reporting Standard for Smaller Entities (effective April 2008) (United Kingdom Generally Accepted

Accounting Practice applicable to Smaller Entities).

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the

Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those

matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent

permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's

members as a body, for our audit work, for this report, or for the opinions we have formed.

Respective responsibilities of directors and auditors

As explained more fully in the Statement of Directors' Responsibilities set out on page two, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's (APB's) Ethical Standards for Auditors, including "APB Ethical Standard - Provisions Available for Small Entities (Revised)", in the circumstances set out in note sixteen to the financial statements.

Scope of the audit of the financial statements

An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give

reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error.

This includes an assessment of: whether the accounting policies are appropriate to the company's circumstances and

have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by

the directors; and the overall presentation of the financial statements. In addition, we read all the financial and

non-financial information in the Report of the Directors to identify material inconsistencies with the audited financial

statements and to identify any information that is apparently materially incorrect based on, or materially inconsistent

with, the knowledge acquired by us in the course of performing the audit. If we become aware of any apparent material

misstatements or inconsistencies we consider the implications for our report.

Opinion on financial statements

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2013 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice applicable to Smaller Entities; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Opinion on other matter prescribed by the Companies Act 2006

In our opinion the information given in the Report of the Directors for the financial year for which the financial

statements are prepared is consistent with the financial statements.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you

if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Paul Taylor FCA (Senior Statutory Auditor)

for and on behalf of Kings Mill Partnership

Chartered Accountants and Statutory Auditors

75 Park Lane

Croydon

Surrey

CR9 1XS

29 September 2014

TURNOVER

526,752

514,676

Administrative expenses

371,736

419,930

OPERATING PROFIT

2

155,016

94,746

Interest receivable and similar income

815

4,023

155,831

98,769

Interest payable and similar charges

140

140

PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION

155,691

98,629

Tax on profit on ordinary activities

3

33,101

22,359

PROFIT FOR THE FINANCIAL YEAR

122,590

76,270

PROFIT FOR THE FINANCIAL YEAR

122,590

76,270

Unrealised surplus (deficit) on

revaluation of investment properties

224,475

(310,781

)

TOTAL RECOGNISED GAINS AND LOSSES RELATING TO THE YEAR

347,065

(234,511

)

FIXED ASSETS

Tangible assets

5

519,159

535,994

Investments

6

8,996,461

8,455,841

9,515,620

8,991,835

CURRENT ASSETS

Debtors

7

58,805

44,595

Cash at bank and in hand

99,641

350,264

158,446

394,859

CREDITORS

Amounts falling due within one year

8

230,201

242,612

NET CURRENT (LIABILITIES)/ASSETS

(71,755

)

152,247

TOTAL ASSETS LESS CURRENT LIABILITIES

9,443,865

9,144,082

CREDITORS

Amounts falling due after more than one year

9

(2,000

)

(2,000

)

PROVISIONS FOR LIABILITIES

12

(6,006

)

(7,766

)

NET ASSETS

9,435,859

9,134,316

CAPITAL AND RESERVES

Called up share capital

13

31,200

31,200

Revaluation reserve

14

2,864,424

2,639,949

General Reserve

14

15,000

15,000

Capital Reserve

14

31,245

31,245

Profit and loss account

14

6,493,990

6,416,922

SHAREHOLDERS' FUNDS

9,435,859

9,134,316

The financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and with the Financial Reporting Standard for Smaller Entities (effective April 2008).

The financial statements were approved by the Board of Directors on 26 September 2014 and were signed on its behalf by:

Ms J I Murray - Director

1.	ACCOUNTING POLICIES

Accounting convention

The financial statements have been prepared under the historical cost convention as modified by the revaluation

of certain assets and in accordance with the Financial Reporting Standard for Smaller Entities (effective April

2008).

Turnover

Turnover represents the value of the letting of small commercial and industrial units during the year, excluding

Value Added Tax, and all arises within the UK.

Tangible fixed assets

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

Freehold property

-

2% on cost

Long leasehold

-

in accordance with the property

Plant and machinery

-

10% on cost

Motor vehicles

-

20% on cost

Deferred tax

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

sheet date.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the

period of the lease.

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 the profit and loss account in the period to which they relate.

Investment properties

Investment Properties are included in the Balance Sheet at a market value based on current rental income, as

valued by the Directors. Changes in the value of the Investment Properties are not reflected in the Profit and

Loss Account but are disclosed as a movement on the Investment Property Revaluation Reserve.

2.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2013

2012

£

£

Depreciation - owned assets

19,203

18,654

Profit on disposal of fixed assets

-

(9,637

)

Auditors' remuneration

8,800

8,800

Pension costs

9,265

8,663

Directors' remuneration and other benefits etc

120,314

148,635

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

1

1

3.

TAXATION

Analysis of the tax charge

The tax charge on the profit on ordinary activities for the year was as follows:

2013

2012

£

£

Current tax:

UK corporation tax

34,861

13,592

Deferred tax

(1,760

)

8,767

Tax on profit on ordinary activities

33,101

22,359

4.

DIVIDENDS

2013

2012

£

£

Ordinary shares of £1 each

Final

17,613

16,848

Interim

27,909

10,296

45,522

27,144

5.	TANGIBLE FIXED ASSETS

Freehold

Long

Plant and

Motor

property

leasehold

machinery

vehicles

Totals

£

£

£

£

£

COST

At 1 January 2013

160,817

401,175

32,386

43,516

637,894

Additions

-

-

2,368

-

2,368

At 31 December 2013

160,817

401,175

34,754

43,516

640,262

DEPRECIATION

At 1 January 2013

40,412

32,093

22,808

6,587

101,900

Charge for year

3,097

4,012

3,391

8,703

19,203

At 31 December 2013

43,509

36,105

26,199

15,290

121,103

NET BOOK VALUE

At 31 December 2013

117,308

365,070

8,555

28,226

519,159

At 31 December 2012

120,405

369,082

9,578

36,929

535,994

6.	FIXED ASSET INVESTMENTS

Investment

Properties

£

COST OR VALUATION

At 1 January 2013

8,455,841

Additions

316,145

Revaluations

224,475

At 31 December 2013

8,996,461

NET BOOK VALUE

At 31 December 2013

8,996,461

At 31 December 2012

8,455,841

Cost or valuation at 31 December 2013 is represented by:

Investment

Properties

£

Valuation in 2004

617,864

Valuation in 2005

117,450

Valuation in 2006

1,377,949

Valuation in 2007

547,995

Valuation in 2008

55,134

Valuation in 2009

39,634

Valuation in 2010

(235,154

)

Valuation in 2011

203,369

Valuation in 2012

(310,781

)

Valuation in 2013

224,475

Cost

6,358,526

8,996,461

If Investment properties had not been revalued they would have been included at the following historical cost:

2013

2012

£

£

Cost

6,054,756

6,054,756

Aggregate provisions

(1,173,388

)

(1,052,293

)

Investment properties were valued on a rental basis on 31 December 2013 by the directors .

The Companies Act 2006 requires that Fixed Assets are depreciated over their useful economic lives, however,

in the case of Investment Properties the Financial Reporting Standard for Smaller Entities states that this

accounting treatment would not show a true and fair view and that Investment Properties should be shown at

their market value. Accordingly, depreciation has not been charged

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2013

2012

£

£

Trade debtors

39,280

31,763

Other debtors

-

1,179

Directors' loan accounts

2,387

-

Prepayments and accrued income

17,138

11,653

58,805

44,595

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2013

2012

£

£

Loan from shareholders

-

376

Trade creditors

11,657

-

Corporation tax

34,861

13,592

Social security and other taxes

24,222

28,221

Other creditors

32,244

24,103

Accruals and deferred income

127,217

176,320

230,201

242,612

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2013

2012

£

£

Preference shares (see note 10)

2,000

2,000

Amounts falling due in more than five years:

Repayable otherwise than by instalments

Preference shares

2,000

2,000

10.	PREFERENCE SHARES

Details of shares shown as liabilities as follows:

Allotted and issued:

Number:

Class:

Nominal

2012

2011

value:

£

£

2,000

7% Preference

£1

2,000

2,000

11.	OPERATING LEASE COMMITMENTS

The following operating lease payments are committed to be paid within one year:

2013

2012

£

£

Expiring:

In more than five years

21,988

21,988

12.	PROVISIONS FOR LIABILITIES

2013

2012

£

£

Deferred tax

6,006

7,766

Deferred

tax

£

Balance at 1 January 2013

7,766

Credit to profit and loss account during year

(1,760

)

Balance at 31 December 2013

6,006

13.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2013

2012

value:

£

£

31,200

Ordinary

£1

31,200

31,200

14.

RESERVES

Profit

and loss

Revaluation

General

Capital

account

reserve

Reserve

Reserve

Totals

£

£

£

£

£

At 1 January 2013

6,416,922

2,639,949

15,000

31,245

9,103,116

Profit for the year

122,590

-

-

-

122,590

Dividends

(45,522

)

-

-

-

(45,522

)

Revaluation of investment

properties

-

224,475

-

-

224,475

At 31 December 2013

6,493,990

2,864,424

15,000

31,245

9,404,659

Corporation tax has not been provided in respect of the above revaluation. If all the properties were sold at the

market value shown they would give rise to a tax liability of £149,622.

15.	PENSION COMMITMENTS

The Pension Scheme is a defined contributions scheme, and is a fully insured scheme. Contributions due of

£9,236 (2012 £8,663) for the year have been paid during the year, at rates determined by the scheme.

16.	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, to provide tax advice and to represent us, as necessary, at tax tribunals, and assist with the

preparation of the financial statements.