Sovereign Business Jets Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 04806292 (England and Wales)

SOVEREIGN BUSINESS JETS LIMITED

FINANCIAL STATEMENTS FOR THE PERIOD 1 DECEMBER 2018 TO 31 MARCH 2019

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

J P Ball

J Benbow

D E Jacobson

REGISTERED OFFICE:

Buncton Barn

Buncton Lane

Bolney

Haywards Heath

West Sussex

RH17 5RE

REGISTERED NUMBER:

04806292 (England and Wales)

AUDITORS:

Wilkins Kennedy Audit Services

Statutory Auditor

Anglo House

Bell Lane Office Village

Bell Lane

Amersham

Buckinghamshire

HP6 6FA

FIXED ASSETS

Tangible assets

4

-

3,757

Investments

5

-

336,800

-

340,557

CURRENT ASSETS

Debtors

6

760,508

562,069

Cash at bank and in hand

50,080

87,642

810,588

649,711

CREDITORS

Amounts falling due within one year

7

(973,563

)

(1,870,932

)

NET CURRENT LIABILITIES

(162,975

)

(1,221,221

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(162,975

)

(880,664

)

CAPITAL AND RESERVES

Called up share capital

400

400

Retained earnings

(163,375

)

(881,064

)

(162,975

)

(880,664

)

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

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 20 December 2019 and were signed on its behalf by:

J P Ball - Director

1.	STATUTORY INFORMATION

Sovereign Business Jets 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.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Financial reporting standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption in preparing these financial

statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and

Republic of Ireland"

- the requirement of Section 7 Statement of Cash Flows;

- the requirement of Section 33 Related Party Disclosures paragraph 33.1A

Turnover

Turnover represents net invoiced sales of services, excluding value added tax.

Revenue from contracts for the provision of professional services is recognised by reference to the

stage of completion when the stage of completion, costs incurred and costs to complete can be

estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in

relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the

outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses

recognised that it is probable will be recovered.

Tangible fixed assets

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

Plant and machinery etc

-

25% reducing balance

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Taxation

Taxation for the period 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 period 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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at

the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of

exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at

the operating result.

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 profit or loss in the period to which they relate.

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are

measured initially at fair value, net of transaction costs and are measured subsequently at amortised

cost using the effective method, less any impairment.

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty

on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no

more than three months from the date of acquisition and that are readily convertible to known amounts

of cash with insignificant risk of change in value.

Financial instruments

The company only enters into basic financial instruments transactions that result in the recognition of

financial assets and liabilities like trade and other debtors and creditors, loans from banks and other

third parties, loans to related parties and investments in non-puttable ordinary shares.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and

other accounts receivable and payable, are initially measured at present value of the future cash lows

and subsequently at amortised cost using the effective interest method. Debt instruments that are

repayable or receivable within one year, typically trade debtors and trade creditors, are measured,

initially and subsequently, at the undiscounted amount of the cash or other consideration expected to

be paid or received. However, if the arrangements of a short-term instrument constitute a financing

transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a

rate of interest that is not a market rate or in case of an out-right short-term loan at market rate, the

financial asset or liability is measured, initially, at the present value of the future cash flow discounted

at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets that are measured at cost and amortised cost are assessed at the end of each

reporting period for objective evidence of impairment. If objective evidence of impairment is found, an

impairment loss is recognised in the Income Statement.

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank

loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at

amortised cost using the effective interest method.

Going concern

Aviation By Westminster Limited has confirmed that they will provide support to enable the company to

fulfil its financial obligations as and when they fall due.

The directors have prepared cashflow forecasts and have assessed that the operating cashflows

generated, together with the financial support outlined above is adequate to ensure that the company

will meet its liabilities as and when they fall due for a period of at least twelve months from the date

from which these accounts were approved. On this basis the directors are of the opinion that the

financial statements should be drawn up on a going concern basis.

Critical accounting estimates and key sources of estimation uncertainty

Significant estimates and judgements

The preparation of financial statements in compliance with FRS 102 requires management to make

judgements, estimates and assumptions that affect the application of policies and reported profits

during the financial year. Estimates and judgements are continually evaluated and are based on

experience and other factors that are believed to be reasonable under current circumstances. Although

these estimates are management's best knowledge of the amount, events or actions, actual results

ultimately may differ from these estimates.

In the directors' opinion, there are no significant estimates and judgements that they consider to be

applicable to the financial statements.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the period was 12 (2018 - 13 ) .

4.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 December 2018

5,759

Additions

1,975

Disposals

(7,734

)

At 31 March 2019

-

DEPRECIATION

At 1 December 2018

2,002

Charge for period

419

Eliminated on disposal

(2,421

)

At 31 March 2019

-

NET BOOK VALUE

At 31 March 2019

-

At 30 November 2018

3,757

5.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 December 2018

336,800

Disposals

(336,800

)

At 31 March 2019

-

NET BOOK VALUE

At 31 March 2019

-

At 30 November 2018

336,800

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade debtors

593,164

255,804

Other debtors

167,344

306,265

760,508

562,069

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade creditors

147,685

282,385

Amounts owed to group undertakings

-

1,240,903

Taxation and social security

37,165

24,634

Other creditors

788,713

323,010

973,563

1,870,932

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2019

2018

£

£

Within one year

62,527

16,500

9.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

David Green MA (Cantab) ACA (Senior Statutory Auditor)

for and on behalf of Wilkins Kennedy Audit Services

10.	RELATED PARTY DISCLOSURES

As at 31 March 2019, the company owed £258,527 (2018: £nil) to Westminster Enterprises Limited, a

company under common control.