Callendar Farm Limited - Period Ending 2018-11-30

Registration number: 07080289

Prepared for the registrar

Callendar Farm Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 30 November 2018

Callendar Farm Limited

(Registration number: 07080289)
Balance Sheet as at 30 November 2018

	Note	2018  £	2017  £
Fixed assets
Investment property	3	256,666	230,737
Current assets
Stocks		1,122,248	990,222
Debtors	4	3,227	24,315
Cash at bank and in hand		3,583	16,340
		1,129,058	1,030,877
Creditors: Amounts falling due within one year	5	(438,972)	(340,927)
Net current assets		690,086	689,950
Total assets less current liabilities		946,752	920,687
Deferred tax liabilities		(1,898)	-
Net assets		944,854	920,687
Capital and reserves
Called up share capital		10,100	10,100
Revaluation reserve		25,929	-
Profit and loss account		908,825	910,587
Total equity		944,854	920,687

For the financial year ending 30 November 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the Board on 7 June 2019 and signed on its behalf by:
 

A C Bateman

Director

The notes on pages 2 to 5 form an integral part of these financial statements.
- 1 -

Callendar Farm Limited

Notes to the Financial Statements for the Year Ended 30 November 2018

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
5 The Priory
Old London Road
Canwell
Sutton Coldfield
B75 5SH

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods, rents received and the provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the company.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

- 2 -

Callendar Farm Limited

Notes to the Financial Statements for the Year Ended 30 November 2018

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Financial instruments

Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

 Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

 Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.
 

Stocks

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 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.

- 3 -

Callendar Farm Limited

Notes to the Financial Statements for the Year Ended 30 November 2018

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.

Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

3

Investment properties

	£
At 1 December 2017	230,737
Fair value adjustments	25,929
At 30 November 2018	256,666

4

Debtors

	Note	2018  £	2017  £
Amounts owed by related parties	6	-	10,100
Other debtors		3,227	14,215
		3,227	24,315

5

Creditors

	2018  £	2017  £
Due within one year
Trade creditors	218,174	112,143
Other creditors	-	694
Accrued expenses	950	9,900
Corporation tax liability	219,848	218,190
	438,972	340,927

- 4 -

Callendar Farm Limited

Notes to the Financial Statements for the Year Ended 30 November 2018

6

Related party transactions

Summary of transactions with other related parties

At 30 November 2018, the company was owed £nil (2017: £1,000) by M Dobson in the form of a director's loan account.

At 30 November 2018, the company was owed £nil (2017: £1,000) by A Bateman in the form of a director's loan account.

At 30 November 2018, the company was owed £nil (2017: £8,100) by its shareholders.

No interest was charged on these balances and there are no fixed repayment terms.
 

- 5 -