George LB Limited - Limited company accounts 17.3

REGISTERED NUMBER: 05961854 (England and Wales)

Report of the Directors and

Financial Statements

for the Year Ended 31 March 2017

for

GEORGE LB LIMITED

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditors

3

Income Statement

4

Abridged Balance Sheet

5

Statement of Changes in Equity

6

Notes to the Financial Statements

7

Directors:

G Richardson

M Gross

Secretary:

J E Cooper

Registered office:

Clifton Square

Alderley Edge

Cheshire

SK9 7NW

Registered number:

05961854 (England and Wales)

Auditors:

Haines Watts Manchester Limited, Statutory Auditor

Northern Assurance Buildings

9-21 Princess Street

Manchester

M2 4DN

The directors present their report with the financial statements of the company for the year ended 31 March 2017.

Directors

The directors shown below have held office during the whole of the period from 1 April 2016 to the date of this report.

G Richardson

M Gross

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;

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 ought to have

taken as a director in order to make himself aware of any relevant audit information and to establish that the company's

auditors are aware of that information.

Auditors

The auditors, Haines Watts Manchester Limited, Statutory Auditor, will be proposed for re-appointment at the

forthcoming Annual General Meeting.

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

companies.

On behalf of the board:

G Richardson - Director

28 February 2018

We have audited the financial statements of George LB Limited for the year ended 31 March 2017 on pages four to

nine. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom

Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting

Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

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 Ethical Standards for Auditors.

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 March 2017 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; 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, based on the work undertaken in the course of our audit, 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, and has been prepared in accordance with applicable legal requirements. In the light of the knowledge and

understanding of the company and its environment, we have not identified any material misstatements in the Report of

the Directors.

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.

David Fort FCA (Senior Statutory Auditor)

for and on behalf of Haines Watts Manchester Limited, Statutory Auditor

Northern Assurance Buildings

9-21 Princess Street

Manchester

M2 4DN

28 February 2018

Turnover

752,830

1,506,939

Cost of sales

(1,648,799

)

(3,335,729

)

Gross loss

(895,969

)

(1,828,790

)

Administrative expenses

(727,511

)

(256,210

)

(1,623,480

)

(2,085,000

)

Other operating income

27,483

24,335

Operating loss

5

(1,595,997

)

(2,060,665

)

Interest receivable and similar income

60,138

76,557

(1,535,859

)

(1,984,108

)

Interest payable and similar expenses

(594,580

)

(458,185

)

Loss before taxation

(2,130,439

)

(2,442,293

)

Tax on loss

-

-

Loss for the financial year

(2,130,439

)

(2,442,293

)

Current assets

Stocks

4,705,384

6,297,071

Debtors

1,033,192

648,938

Cash at bank

150,707

263,023

5,889,283

7,209,032

Creditors

Amounts falling due within one year

7,671,853

7,238,931

Net current liabilities

(1,782,570

)

(29,899

)

Total assets less current liabilities

(1,782,570

)

(29,899

)

Creditors

Amounts falling due after more than one year

9,617,601

9,239,833

Net liabilities

(11,400,171

)

(9,269,732

)

Capital and reserves

Called up share capital

6

1,000

1,000

Retained earnings

(11,401,171

)

(9,270,732

)

Shareholders' funds

(11,400,171

)

(9,269,732

)

The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

All the members have consented to the preparation of an abridged Balance Sheet for the year ended 31 March 2017 in accordance with Section 444(2A) of the Companies Act 2006.

The financial statements were approved by the Board of Directors on 28 February 2018 and were signed on its behalf by:

G Richardson - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2015

1,000

(6,828,439

)

(6,827,439

)

Changes in equity

Total comprehensive income

-

(2,442,293

)

(2,442,293

)

Balance at 31 March 2016

1,000

(9,270,732

)

(9,269,732

)

Changes in equity

Total comprehensive income

-

(2,130,439

)

(2,130,439

)

Balance at 31 March 2017

1,000

(11,401,171

)

(11,400,171

)

1.	Statutory information

George LB Limited 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 the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Significant judgements and estimates

Estimates and judgements are continually evaluated and are based on historical experience and other factors,

including expectations of future events that are believed to be reasonable under the circumstances. There are

not considered to be any critical judgements in applying the company's accounting policies other than those

noted in note 3. The company makes estimates and assumptions concerning the future. The resulting

accounting estimates will by definition, seldom equal the actual results. There are no estimates or assumptions

which give a significant risk of causing a material adjustment to the carrying amounts of assets or liabilities within

the next financial year other than those noted in note 3.

Turnover

Turnover represents rents receivable and the consideration received or receivable on the sale of properties. The

sales are accounted for on legal completion.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Stocks are

recognised as an expense in the period in which the related revenue is recognised.

Cost is determined on the actual cost method. Cost includes the purchase price and any costs attributable to

bringing the stock to its present location and condition.

At the end of each reporting period stocks are assessed for impairment. If an item of stock is impaired, the

identified stock is reduced to its selling price less costs to complete and sell and an impairment charge is

recognised in the profit and loss account. Where a reversal of the impairment is recognised the impairment

charge is reversed, up to the original impairment loss, and is recognised as a credit in the profit and loss

account.

Taxation

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

Cash

Cash and cash equivalents includes cash in hand, deposits held at call with banks other short-term highly liquid

investments with original maturities of three months or less and bank overdrafts. Bank overdrafts are shown

within borrowings in current liabilities.

Going concern

The company made a loss for the year ended 31 March 2017 and had net liabilities at that date.

The company's cash flow projections reveal that it will continue to make profitable property disposals in the next

12 months. These will enable the company to repay all third party creditors. Any remaining distributable profits

will be available to repay related party creditors.

On the basis of the above, the directors are confident that the company will have adequate resources to continue

in operational existence for the foreseeable future. For this reason they continue to adopt the going concern

basis in preparing the financial statements. These financial statements do not include any adjustments that

would result if the going concern basis of preparation is inappropriate.

Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at

transaction price. Any losses arising from impairment are recognised in the profit and loss account in

administrative expenses.

Loans and borrowings

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently,

they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement

constitutes a finance transaction it is measured at present value.

Share capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary

shares or options are shown in equity as a deduction, net of tax, from the proceeds.

3.	Critical accounting judgements and key sources of estimation uncertainty

The company purchases, leases and sells properties and is subject to the sensitivity of the property market. As a

result it is necessary to consider the recoverability of the cost of stock and the associated provisioning required.

When calculating the stock provision, management considers the nature and condition of the properties, as well

as applying assumptions around anticipated saleability of finished goods.

4.	Employees and directors

The average number of employees during the year was 2 (2016 - 2 ) .

5.	Operating loss

The operating loss is stated after charging:

2017

2016

£

£

Interest and similar expenses payable to group entities

465,372

457,876

6.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

2017

2016

value:

£

£

650

'A' Ordinary shares

£1

650

650

350

'B' Ordinary shares

£1

350

350

1,000

1,000

7.	Related party disclosures

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.

Other related parties

2017

2016

£

£

Amounts due from related parties

1,146

1,146

The above loans are interest free and repayable on demand.

8.

Control

The company is controlled by Threadmet Properties Limited, a company incorporated in England, as it holds

100% of the allotted share capital.

Threadmet Properties Limited is the sole parent company of the group of which the company is a member and

for which group accounts are drawn up. Copies of the group accounts are available from Clifton Square, Alderley

Edge, Cheshire, SK9 7NW.