A_F_H_2008_LIMITED - Accounts

The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 31 December 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The director acknowledges his responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

A F H 2008 Limited is a private company limited by shares incorporated in England and Wales. The registered office is Park House, Park Lane, Lambley, Nottingham, Nottinghamshire, NG4 4DA.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

Cash at bank and in hand are basic financial assets and include cash in hand and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities, including creditors and loans from related companies are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.

Equity instruments issued by the company is share capital.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The average monthly number of persons (including directors) employed by the company during the year was 1 (2017 - 1).

The investments represent £5,150,000 of 5% variable rate guaranteed loan notes purchased for £5,750,000 in April 2008 from the director that were originally issued by A.F. Hunt (Builders) Holdings Limited during March 2005.

The loan notes may be redeemed, at par, in tranches of no more than £50,000, on the agreed quarter dates being 31 March, 30 June, 30 September and 31 December.

The loan notes are secured on certain investment properties held by A. F. Hunt (Builders) Holdings Limited.

Any outstanding loan notes will be redeemed at par on the earlier of the sale of these investment properties, held by A.F. Hunt (Builders) Holdings Limited, or at maturity on 31 December 2025.

In the event that the proceeds of the sale of the investment properties exceeds a net £6,000,000, an amount equal to the excess shall be due to A F H 2008 Limited.

The loan notes were subject to a revaluation in 2010 which reduced the carrying value by £748,770.

During the year the following transactions took place with A.F. Hunt (Builders) Holdings Limited and it's wholly owned subsidiary A.F. Hunt (Builders) Limited, a group in which A F Hunt, director, is considered to have effective control of certain investment properties.

£200,000 (2017 - £200,000) was received from the group in respect of redemption of the 5% variable rate guaranteed loan notes.

£100,000 (2017 - £100,000) was received from the group in respect of interest due on the 5% variable rate guaranteed loan notes.

Included in other debtors is £66,636 (2017 - £6,659) which represents the amount of interest overpaid on the 5% variable rate guaranteed loan notes overpaid at the year end.

Also during the year the company was loaned £150,000 (2017: £5,000) by Hartgrange Limited, a company controlled by A F Hunt. At the year end the company owes £155,000 (2017:£5,000) to Hartgrange Limited, this amount is included in other creditors.

Transactions in relation to loans granted to the company by the director during the year have been aggregated in the table below:

The balance owed to the director is included within other creditors falling due after more than one year.