Safehomehodge Limited - Abbreviated accounts 16.1

REGISTERED NUMBER: 05328145 (England and Wales)

SAFEHOMEHODGE LIMITED

ABBREVIATED UNAUDITED ACCOUNTS

FOR THE YEAR ENDED 31 JULY 2015

Page

Company Information

1

Abbreviated Balance Sheet

2

to

3

Notes to the Abbreviated Accounts

4

to

7

DIRECTOR:

G C Payne

SECRETARY:

G C Payne

REGISTERED OFFICE:

6 Rhydypenau Close

Cardiff

CF14 0NF

REGISTERED NUMBER:

05328145 (England and Wales)

ACCOUNTANTS:

Gerald Thomas

Chartered Accountants

3 New Mill Court

Swansea Enterprise Park

Swansea

SA7 9FG

FIXED ASSETS

Tangible assets

2

1,641,667

2,237,500

Investments

3

5

5

1,641,672

2,237,505

CURRENT ASSETS

Debtors

6,052

17,411

Cash at bank

1

989

6,053

18,400

CREDITORS

Amounts falling due within one year

4

5,713,281

6,368,304

NET CURRENT LIABILITIES

(5,707,228

)

(6,349,904

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(4,065,556

)

(4,112,399

)

CAPITAL AND RESERVES

Called up share capital

5

100

100

Revaluation reserve

206,723

252,773

Profit and loss account

(4,272,379

)

(4,365,272

)

SHAREHOLDERS' FUNDS

(4,065,556

)

(4,112,399

)

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 July 2015.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 July 2015 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his 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 abbreviated accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

The financial statements were approved by the director on 27 April 2016 and were signed by:

G C Payne - Director

1.	ACCOUNTING POLICIES

Accounting convention

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

revaluation of the company's freehold and long leasehold investment properties and in accordance

with the Financial Reporting Standard for Smaller Entities (effective April 2008).

Preparation of consolidated financial statements

The financial statements contain information about Safehomehodge Limited as an individual company

and do not contain consolidated financial information as the parent of a group. The company has taken

the option under Section 398 of the Companies Act 2006 not to prepare consolidated financial

statements.

Turnover

Turnover represents amounts derived from the rental and insurance income which fall within the

company's ordinary activities after deduction of value added tax.

Revenue recognition

Revenue relating to rental and insurance income is recognised evenly over the period to which it

relates.

Where payments are received from tenants in advance, the amounts are recorded as deferred income

and included as part of Creditors due within one year.

Tangible fixed assets

The company's freehold and long leasehold buildings are treated as investment properties and are

included at open market value. The basis of the valuation is set out in note 6.

In accordance with the Financial Reporting Standards for Smaller Entities, no depreciation is provided

on the company's investment properties. This represents a departure from the Companies Act 2006

requirements concerning the depreciation of fixed assets. The director considers that the adoption of

this policy is necessary to give a true and fair view.

Surpluses or deficits on individual properties are transferred to the investment revaluation reserve,

except that a deficit which is expected to be permanent and which is in excess of any previously

recognised surplus over cost relating to the same property, or the reversal of such a deficit, is charged

(or credited) to the profit and loss account.

Taxation

Current tax, including UK corporation tax and foreign tax, is provided at amounts expected to be paid

(or recovered) using the tax rates and laws that have been enacted or substantively enacted by the

balance sheet date.

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

the balance sheet date where transactions or events that result in an obligation to pay more tax in the

future or a right to pay less tax in the future have occurred at the balance sheet date. Timing

differences are differences between the company's taxable profits and its results as stated in the

financial statements that arise from the inclusion of gains and losses in tax assessments in periods

different from those in which they are recognised in the financial statements.

A net deferred tax asset is regarded as recoverable and therefore recognised only to the extent that,

on the basis of all available evidence, it can be regarded as more likely than not that there will be

suitable taxable profits from which the future reversal of the underlying timing differences can be

deducted.

Deferred tax is measured on a non-discounted basis.

Going concern

The company has made a loss in the year ended 31 July 2015 and has net current liabilities and net

liabilities at the balance sheet date. The company is dependent on the continued support of its loan

providers. The director considers that this support will continue for the foreseeable future, as the

company's loan providers seek a controlled sale of the company's investment properties, (over which

the company's loan providers have a first legal charge), in the next few years.

Subject to the continuing support of its loan providers, the director is satisfied that the company has

adequate resources to continue in operational for existence for the foreseeable future. Accordingly,

the director continues to adopt the going concern basis in preparing the financial statements.

If the company were unable to continue in operational existence for the foreseeable future,

adjustments would have to be made to reduce the balance sheet values of assets to their recoverable

amounts, to provide for future liabilities that might arise and to reclassify fixed assets as current

assets.

2.	TANGIBLE FIXED ASSETS

Total

£

COST OR VALUATION

At 1 August 2014

2,237,500

Disposals

(565,833

)

Revaluations

(30,000

)

At 31 July 2015

1,641,667

NET BOOK VALUE

At 31 July 2015

1,641,667

At 31 July 2014

2,237,500

3.	FIXED ASSET INVESTMENTS

Investments

other

than

loans

£

COST

At 1 August 2014

and 31 July 2015

5

NET BOOK VALUE

At 31 July 2015

5

At 31 July 2014

5

The company's investments at the Balance Sheet date in the share capital of companies include the

following:

Memorial Buildings (Ruthin) Management Company Limited

Nature of business: Dormant

%

Class of shares:

holding

Ordinary share capital

100.00

2015

2014

£

£

Aggregate capital and reserves

1

1

North Wales Estates Ltd

Nature of business: Property investment

%

Class of shares:

holding

Ordinary share capital

100.00

2015

2014

£

£

Aggregate capital and reserves

123,103

(17,732

)

Profit/(loss) for the year

140,835

(17,733

)

4.

CREDITORS

Creditors include an amount of £ 4,181,847 (2014 - £ 4,776,037 ) for which security has been given.

5.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2015

2014

value:

£

£

100

Ordinary

£1

100

100

6.	RELATED PARTY DISCLOSURES

7.	ULTIMATE CONTROLLING PARTY