Royal Naval Club & RAYC Ltd - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 08803953 (England and Wales)

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2019

FOR

ROYAL NAVAL CLUB AND ROYAL ALBERT YACHT

CLUB LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

Chartered Accountants' Report

7

DIRECTORS:

Rear Adml J G Tolhurst, CB

Mr J R Lear

Commander W J G Smith

Mr B C Bellinger

Mr P Tribe

Mr A Saunders

Mrs K Butwilowska

Mr A F Polson

Mr J Hill

Mr G LeMaistre

Mr P Casey

Mr P Hill

REGISTERED OFFICE:

17 Pembroke Road

Portsmouth

Hampshire

PO1 2NT

REGISTERED NUMBER:

08803953 (England and Wales)

ACCOUNTANTS:

Rothmans LLP

Chartered Accountants

Chilworth Point

1 Chilworth Road

Southampton

SO16 7JQ

FIXED ASSETS

Tangible assets

4

1,340,104

1,390,011

CURRENT ASSETS

Stocks

6,990

7,310

Debtors

5

14,544

9,304

Cash at bank and in hand

56,315

6,449

77,849

23,063

CREDITORS

Amounts falling due within one year

6

198,887

170,559

NET CURRENT LIABILITIES

(121,038

)

(147,496

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,219,066

1,242,515

CREDITORS

Amounts falling due after more than one year

7

84,110

100,205

NET ASSETS

1,134,956

1,142,310

RESERVES

Other reserves

9

15,234

15,234

Income and expenditure account

9

1,119,722

1,127,076

1,134,956

1,142,310

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2019 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their 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 surplus or deficit 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 Statement of Comprehensive Income has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 20 July 2020 and were signed on its behalf by:

Mr G LeMaistre - Director

1.	STATUTORY INFORMATION

Royal Naval Club and Royal Albert Yacht Club Limited is a private company, limited by guarantee , 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 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.

REVENUE RECOGNITION

Income is recognised in the period in which the Club is entitled to receipt of that income and when the amount

can be measured with reasonable accuracy. In accordance with this policy:

House and catering sales are recognised on the date of purchase.

Revenue from functions are included within house and catering sales and are recognised on the date of the

event.

Office rents and mooring rents receivable are recognised on an accruals basis.

Subscription receipts are recognised on an accruals basis over the membership year which is coterminous with

the accounting year.

TANGIBLE FIXED ASSETS

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

Short leasehold

-

Over the length of the lease

Equipment

-

20% on reducing balance and 5% on cost

Fixtures and fittings

-

20% on reducing balance

The directors are of the opinion that residual value of the freehold property will exceed the cost value and

therefore it would not be appropriate to depreciate.

The freehold property is a mixed use property as a portion of the building is let out as office space. The directors

are of the opinion that the offices should not be split out as investment property as this would incur undue cost

and effort and the cost would outweigh the benefits to the users of the accounts.

The short leasehold moorings are stated at historical cost less accumulated depreciation and any accumulated

impairment losses. Historical cost included expenditure that is directly attributable to bringing the asset to the

location and condition necessary for it to be capable of operating in the manner intended by management.

The heritage assets relates to antiques held by the club for their contribution to knowledge and culture. The

antiques are reviewed for impairment annually and any impairment losses are taken to the profit and loss

account annually. As these antiques will not be sold or disposed of their insurance value is deemed the most

appropriate value to be used.

The assets' residual values, useful lives and depreciation methods are reviewed and if appropriate are adjusted

if there is an indication of a significant change the last reporting date.

STOCKS

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and

slow moving items.

PENSIONS

The club operates a defined contribution pension scheme. Contributions payable for the year are charged in the

profit and loss account.

SHORT-TERM DEBTORS AND CREDITORS

Debtors and creditors receivable and payable within one year or upon demand are recorded at transaction price

whether or not a rate of interest is charged on the balance. Any losses arising from impairment are recognised in

the income statement in other operating expenses.

FINANCIAL INSTRUMENTS

The club only has financial assets and financial liabilities of a kind that qualify as basic financial instruments.

Basic financial instruments are initially recognised at transaction value and subsequently measured at their

settlement value with the exception of bank loans which are subsequently measured at amortised cost using the

effective interest method.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 15 (2018 - 26 ) .

4.	TANGIBLE FIXED ASSETS

Improvements

Freehold

Short

to

property

leasehold

property

£

£

£

COST

At 1 January 2019

850,000

10,833

96,877

Additions

-

-

-

Disposals

-

(10,833

)

-

At 31 December 2019

850,000

-

96,877

DEPRECIATION

At 1 January 2019

-

9,333

-

Charge for year

-

1,500

-

Eliminated on disposal

-

(10,833

)

-

At 31 December 2019

-

-

-

NET BOOK VALUE

At 31 December 2019

850,000

-

96,877

At 31 December 2018

850,000

1,500

96,877

Fixtures

Heritage

and

Equipment

assets

fittings

Totals

£

£

£

£

COST

At 1 January 2019

67,530

406,250

12,355

1,443,845

Additions

4,328

-

-

4,328

Disposals

-

(43,547

)

-

(54,380

)

At 31 December 2019

71,858

362,703

12,355

1,393,793

DEPRECIATION

At 1 January 2019

36,196

-

8,305

53,834

Charge for year

6,717

-

2,471

10,688

Eliminated on disposal

-

-

-

(10,833

)

At 31 December 2019

42,913

-

10,776

53,689

NET BOOK VALUE

At 31 December 2019

28,945

362,703

1,579

1,340,104

At 31 December 2018

31,334

406,250

4,050

1,390,011

The impairment loss recognised on tangible fixed assets in the period was £Nil (2018: £19,167) and is included

in administrative expenses in the income statement. Short leasehold assets are depreciated over the length of

the lease and following the company's impairment review it was noted that the value in use was less than the

valuation in the financial statements.

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade debtors

3,053

1,811

Prepayments and accrued income

11,491

7,493

14,544

9,304

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Debentures

47,500

21,000

Bank loans and overdrafts

87,828

86,776

Trade creditors

18,814

19,375

Social security and other taxes

17,633

15,597

Other creditors

14,028

7,641

Subscriptions and moorings

-

7,534

Accruals and deferred income

13,084

12,636

198,887

170,559

Interest is charged on the debentures at 3% per annum and they are repayable on demand.

Interest on bank lending is payable at market rates.

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2019

2018

£

£

Bank loans - 1-2 years

20,031

20,031

Bank loans - 2-5 years

38,586

38,586

Bank loans more than

5 years by instalments

25,493

41,588

84,110

100,205

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more than

5 years by instalments

25,493

41,588

25,493

41,588

8.	SECURED DEBTS

The following secured debts are included within creditors:

2019

2018

£

£

Bank overdrafts

67,797

66,745

Bank loans

104,141

120,236

171,938

186,981

The bank holds a First Legal charge over the freehold property and its associated assets. Included in total loans

outstanding at 31 December 2019 is £25,493 (2018: £41,558) due to be paid by instalments after five years.

9.

RESERVES

Income

and

expenditure

Other

account

reserves

Totals

£

£

£

At 1 January 2019

1,127,076

15,234

1,142,310

Deficit for the year

(7,354

)

(7,354

)

At 31 December 2019

1,119,722

15,234

1,134,956

10.	LIMITED BY GUARANTEE

The company is limited by guarantee and has no share capital.

In the event of a winding up of the company, every member undertakes to contribute to the assets of the

company, such an amount as may be required but not exceeding £1.

The following reproduces the text of the report prepared for the directors 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 Statement of Comprehensive Income and certain other primary

statements and the Report of the Directors 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 Royal Naval Club and Royal Albert Yacht Club Limited for the year ended 31 December 2019

which comprise the Statement of Comprehensive Income, 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 the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed within the ICAEW's regulations and guidance at http://www.icaew.com/en/membership/regulations-standards-and-guidance.

This report is made solely to the Board of Directors of Royal Naval Club and Royal Albert Yacht Club Limited, as a body, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Royal Naval Club and Royal Albert Yacht Club Limited and state those matters that we have agreed to state to the Board of Directors of Royal Naval Club and Royal Albert Yacht Club Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Royal Naval Club and Royal Albert Yacht Club Limited and its Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that Royal Naval Club and Royal Albert Yacht Club Limited 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 loss of Royal Naval Club and Royal Albert Yacht Club Limited. You consider that Royal Naval Club and Royal Albert Yacht Club Limited 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 Royal Naval Club and Royal Albert Yacht Club Limited. 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.

Rothmans LLP

Chartered Accountants

Chilworth Point

1 Chilworth Road

Southampton

SO16 7JQ

Date: .............................................