Craigie Property Investments Ltd. - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC415627 (Scotland)

Unaudited Financial Statements for the Year Ended 30 June 2019

for

Craigie Property Investments Ltd.

Page

Company Information

1

Chartered Accountants' Report

2

Balance Sheet

3

Notes to the Financial Statements

5

DIRECTOR:

Mr A Lusk

REGISTERED OFFICE:

Unit 2

Southhook Road

Kilmarnock

Ayrshire

KA1 2NN

REGISTERED NUMBER:

SC415627 (Scotland)

ACCOUNTANTS:

The Collins Partnership

Chartered Accountants

Westburn Business Centre

McNee Road

Prestwick

Ayrshire

KA9 2PB

The following reproduces the text of the report prepared for the director in respect of the company's annual

unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file

a Balance Sheet. Readers are cautioned that the Profit and loss and certain other primary statements and the

Report of the Director are not required to be filed with the Registrar of Companies.

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the

financial statements of Craigie Property Investments Ltd. for the year ended 30 June 2019 which comprise the Profit and

Loss Account, Balance Sheet and the related notes from the company's accounting records and from information and

explanations you have given us.

As a practising member firm of ICAS, we are subject to its ethical and other professional requirements which are detailed at http://www.icas.com/accountspreparationguidance.

This report is made solely to the director of Craigie Property Investments Ltd. in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Craigie Property Investments Ltd. and state those matters that we have agreed to state to the director of Craigie Property Investments Ltd. in this report in accordance with the requirements of ICAS as detailed at http://www.icas.com/accountspreparationguidance. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and its director for our work or for this report.

It is your duty to ensure that Craigie Property Investments Ltd. has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Craigie Property Investments Ltd.. You consider that Craigie Property Investments Ltd. is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Craigie Property Investments Ltd.. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

The Collins Partnership

Chartered Accountants

Westburn Business Centre

McNee Road

Prestwick

Ayrshire

KA9 2PB

28 May 2020

FIXED ASSETS

Tangible assets

4

2,845

4,742

Investment property

5

5,194,576

3,044,462

5,197,421

3,049,204

CURRENT ASSETS

Debtors

6

187,220

152,756

Cash at bank and in hand

386,567

176,486

573,787

329,242

CREDITORS

Amounts falling due within one year

7

2,535,355

2,154,823

NET CURRENT LIABILITIES

(1,961,568

)

(1,825,581

)

TOTAL ASSETS LESS CURRENT LIABILITIES

3,235,853

1,223,623

CREDITORS

Amounts falling due after more than one year

8

-

(405,726

)

PROVISIONS FOR LIABILITIES

10

(443,082

)

(39,490

)

NET ASSETS

2,792,771

778,407

CAPITAL AND RESERVES

Called up share capital

11

100

100

Revaluation reserve

12

2,001,568

255,406

Retained earnings

12

791,103

522,901

SHAREHOLDERS' FUNDS

2,792,771

778,407

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 June 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 June 2019 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 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 Profit and Loss Account has not been delivered.

The financial statements were approved by the director and authorised for issue on 28 May 2020 and were signed by:

Mr A Lusk - Director

1.	STATUTORY INFORMATION

Craigie Property Investments Ltd. is a private company, limited by shares , registered in Scotland. 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.

Going Concern

The current and future cash position of the company has been reviewed by the Director. This included a

comprehensive review of current trading performance and of the forecasted cash requirements, covering a period

beyond one year from the date of approval of the financial statements.

The Director also recognises that the company's position is reliant on the continued support of associated

companies in which the Director has an interest. This support is evidenced through further investment as long

term capital.

On the basis of all of the above the Director considers it appropriate to prepare the financial statements on a

going concern basis.

COVID-19

At the date of signing these financial statements the Coronavirus Pandemic is still having a Global impact. The

company continues to operate in a restricted way during this period. Whilst the overall impact still remains

uncertain for the UK economy the Director believes that with the steps which have been taken, ongoing

Government support and the commitment of all staff and the loyalty of customers, that the business will be in a

position to come through this period and continue in operation for the next year and beyond.

Turnover/revenue recognition

The figure in the accounts represents rental income earned and services provided.

Tangible fixed assets

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

Electronic equipment & fittings

-

25% on cost

Investment property

Under FRS 102, investment properties should be measured at their fair value at each reporting date, with changes

in fair value recognised through the Profit & Loss Account.

Having early adopted the Amendments to FRS 102 Triennial review 2017, there is no longer a requirement for

the person or persons carrying out the valuation to be independent of the company and based on a strict

revaluation cycle. The requirement going forward therefore is that at each balance sheet date the valuation should

be considered by the Director based on his knowledge of the sector and economic climate and impaired or

uplifted accordingly, unless the Director deems it fit and proper to engage the services of an external expert.

FRS 102, also requires the company to provide for deferred tax on the timing difference arising on the date of

transition, which represents the full revaluation gain less indexed cost, to the appropriate date.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account,

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.

Financial instruments

Financial assets and liabilities are recognised when the company becomes a party to the contractual provisions of

the instrument and are classified in accordance with their underlying economic reality. The company has two

main categories of financial instruments, which are loans and other receivables and other financial liabilities:

Loans and other receivables

Loans and other receivables are non-derivative financial assets with fixed or determinable payments that are not

quoted in an active market. Upon recognition, these assets are measured at fair value less directly related

transaction expenses. In successive periods these are measured at amortised cost, and any differences between

acquisition cost and redemption value is accounted for over the borrowing period by using the effective interest

method. If transaction costs are immaterial and the credit period is short, amortised cost is equal to the nominal

value less any allowance for credit losses.

Other financial liabilities

Other financial liabilities are recognised initially at fair value, net of transaction costs incurred. In successive

periods these are measured at amortised cost. Any differences between acquisition cost and redemption value is

accounted for over the borrowing period by using the effective interest method. If transaction costs are

immaterial and the credit period is short, amortised cost is equal to the nominal value.

Impairment of financial instruments

A provision for impairment is established when there is objective evidence that, as a result of one or more events

that occurred after the initial recognition, the estimated future cash flows have been impacted.

Cash and cash equivalents

Cash and cash equivalents comprise cash held by the company and short term bank deposits with an original

maturity of three months or less from inception and are subject to insignificant risk of changes in value.

Impairment of fixed assets

At each reporting date, the company reviews the carrying amounts of its tangible and intangible fixed assets to

determine whether there is any indication that those assets have suffered an impairment loss. If any such

indication exists, the recoverable amount of the asset is estimated in order to determine the amount of the

impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the

company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2018 - NIL).

4.	TANGIBLE FIXED ASSETS

Electronic

equipment

& fittings

£

COST

At 1 July 2018

and 30 June 2019

7,587

DEPRECIATION

At 1 July 2018

2,845

Charge for year

1,897

At 30 June 2019

4,742

NET BOOK VALUE

At 30 June 2019

2,845

At 30 June 2018

4,742

5.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 July 2018

3,044,462

Additions

2,150,114

At 30 June 2019

5,194,576

NET BOOK VALUE

At 30 June 2019

5,194,576

At 30 June 2018

3,044,462

The investment properties have been included at fair value based on the knowledge and expertise of the sector by

the Director and in conjunction with the company's professional advisers. Certain Investment Properties were

revalued in these accounts based on a professional valuation carried out by DM Hall Chartered Surveyors, 15

Miller Road, Ayr in August 2019, as at 30 June 2019.

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade debtors

5,523

5,420

Amounts owed by associates

181,697

146,810

Prepayments and accrued income

-

526

187,220

152,756

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Bank loans and overdrafts

405,750

16,290

Trade creditors

1,826

6,017

Amounts owed to associates

1,732,679

1,678,070

Corporation tax

63,868

52,676

Other creditors

163,926

163,926

Director's loan account

146,595

221,615

Accruals and deferred income

18,052

13,305

Deposits held in advance

2,659

2,924

2,535,355

2,154,823

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2019

2018

£

£

Bank loans - 1-2 years

-

16,790

Bank loans - 2-5 years

-

388,936

-

405,726

9.	SECURED DEBTS

The following secured debts are included within creditors:

2019

2018

£

£

Bank loans

405,750

422,016

Bank borrowings are secured by a bond and floating charge over the company's assets and by a standard security

over certain investment properties.

10.	PROVISIONS FOR LIABILITIES

2019

2018

£

£

Deferred tax

Accelerated capital allowances

541

901

Other timing differences

442,541

38,589

443,082

39,490

Deferred

tax

£

Balance at 1 July 2018

39,490

Credit to Profit and Loss Account during year

(360

)

Recognised on revaluation of

certain Investment Properties

403,952

Balance at 30 June 2019

443,082

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2019

2018

value:

£

£

100

Ordinary

£1

100

100

12.

RESERVES

Retained

Revaluation

earnings

reserve

Totals

£

£

£

At 1 July 2018

522,901

255,406

778,307

Profit for the year

268,202

268,202

Deferred tax on revaluation

-

(403,952

)

(403,952

)

Gain on revaluation

-

2,150,114

2,150,114

At 30 June 2019

791,103

2,001,568

2,792,671

13.	DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 30 June 2019 and

30 June 2018:

2019

2018

£

£

Mr A Lusk

Balance outstanding at start of year

221,615

320,515

Amounts advanced

-

1,120

Amounts repaid

(75,020

)

(100,020

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

146,595

221,615

The balance on the Director's loan account is interest free and repayable on demand.

14.	RELATED PARTY DISCLOSURES

During the year the company undertook transactions with the following companies in which Mr & Mrs A Lusk

have an interest:

(a) The company undertook transactions with Lusk Construction Limited to the value of £Nil. Mr & Mrs Lusk

have ultimate control of this company. As at 30 June 2019, £1,469,860 remained outstanding and due to Lusk

Construction Limited (2018: £1,469,860).

(b) During previous years the company undertook transactions with Lumax Homes Limited. Mr & Mrs Lusk

have ultimate control of this company. The amount outstanding and due to Lumax Homes Limited as at 30 June

2019 was £40,392 (2018: £40,392).

(c) During the year the company had transactions with A L Plumbing & Heating Limited to the value of

£45,765. Mr & Mrs Lusk have ultimate control of this company. As at 30 June 2019 £181,697 was due and

payable by A L Plumbing & Heating Limited (2018: £135,932).

(d) During the year the company entered into net transactions to a value of £30,000 with Lumax Homes

(Holdings) Limited, a company in which Mr & Mrs A Lusk own 100% of the issued share capital. As at 30 June

2019, £197,818 remained outstanding and due to Lumax Homes (Holdings) Limited (2018: £167,818).

(e) During the year the company received income on behalf of Magnum Contracts Limited, a company in which

the Director has a 50% interest. As at 30 June, £20,259 remains due to that company (2018: £10,878 outstanding

and due from that company).

(f) During the year the company received income for A & D Properties, a business in which the Director is the

principal, of £4,350. As at 30 June 2019 this balance remained outstanding and due to A & D Properties (2018:

£Nil).

15.	POST BALANCE SHEET EVENTS

Since the financial year end the company has engaged in a further development project involving substantial

capital spend all with a view to expanding the company's activities further. This will be reflected in the accounts

to 30th June 2020 and beyond.

16.	CONTROLLING PARTY

The company is under the control of Mr and Mrs A Lusk by virtue of their combined 100% shareholding.