Highworth Homes Ltd - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 07964850 (England and Wales)

Unaudited Financial Statements for the Year Ended 29 February 2020

for

Highworth Homes Ltd

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

D Slattery

S M Slattery

REGISTERED OFFICE:

2 Cricklade Court

Old Town

Swindon

Wiltshire

SN1 3EY

REGISTERED NUMBER:

07964850 (England and Wales)

ACCOUNTANTS:

Morley & Co (UK) Ltd

Chartered Certified Accountants,

2 Cricklade Court

Old Town

Swindon

Wiltshire

SN1 3EY

FIXED ASSETS

Tangible assets

4

30,936

44,918

CURRENT ASSETS

Stocks

2,779,525

2,686,698

Debtors

5

62,390

28,097

Cash at bank

113,660

11,976

2,955,575

2,726,771

CREDITORS

Amounts falling due within one year

6

1,809,859

1,979,964

NET CURRENT ASSETS

1,145,716

746,807

TOTAL ASSETS LESS CURRENT LIABILITIES

1,176,652

791,725

CREDITORS

Amounts falling due after more than one year

7

(718,176

)

(224,743

)

PROVISIONS FOR LIABILITIES

(5,469

)

(8,098

)

NET ASSETS

453,007

558,884

CAPITAL AND RESERVES

Called up share capital

300

300

Retained earnings

452,707

558,584

SHAREHOLDERS' FUNDS

453,007

558,884

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 29 February 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 29 February 2020 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 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 Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 26 June 2020 and were signed on its behalf by:

S M Slattery - Director

1.	STATUTORY INFORMATION

Highworth Homes Ltd 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.

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.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

-

20% on cost

Motor vehicles

-

20% on cost

Computer equipment

-

20% on cost

Stocks

Work in progress is valued at the lower of cost and net realisable value.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Taxation

Taxation for the year 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 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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Financial instruments

Basic financial instruments, including trade and other receivables and payables, cash and bank balances, bank loans and loans to or from other group companies are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2019 - 2 ) .

4.	TANGIBLE FIXED ASSETS

Plant and

Motor

Computer

machinery

vehicles

equipment

Totals

£

£

£

£

COST

At 1 March 2019

12,904

49,771

2,840

65,515

Disposals

-

(2,800

)

-

(2,800

)

At 29 February 2020

12,904

46,971

2,840

62,715

DEPRECIATION

At 1 March 2019

6,508

13,142

947

20,597

Charge for year

1,966

9,395

568

11,929

Eliminated on disposal

-

(747

)

-

(747

)

At 29 February 2020

8,474

21,790

1,515

31,779

NET BOOK VALUE

At 29 February 2020

4,430

25,181

1,325

30,936

At 28 February 2019

6,396

36,629

1,893

44,918

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Motor

vehicles

£

COST

At 1 March 2019

and 29 February 2020

38,475

DEPRECIATION

At 1 March 2019

7,054

Charge for year

7,695

At 29 February 2020

14,749

NET BOOK VALUE

At 29 February 2020

23,726

At 28 February 2019

31,421

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

as restated

£

£

Other debtors

-

192

Tax

-

12,424

VAT

26,140

14,880

Accrued income

35,000

-

Prepayments

1,250

601

62,390

28,097

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

as restated

£

£

Hire purchase contracts

7,165

7,165

Trade creditors

38,495

25,492

Tax

10,162

-

Social security and other taxes

2,152

1,630

Hampton Developments Ltd

165,301

330,000

Directors' current accounts

1,462,634

1,564,359

Accrued expenses

123,950

51,318

1,809,859

1,979,964

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2020

2019

as restated

£

£

Hire purchase contracts

18,176

24,743

Directors' loan accounts

700,000

200,000

718,176

224,743

8.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

As at 29th February 2020, the company owed the director, S Slattery the sum of £1,773,848 (2019 restated: £1,643,054) £700,000 is repayable after more than one year after the balance sheet date and £1,073,848 is repayable on demand.

As at 29th February 2020, the company owed the director, D Slattery the sum of £388,785, (2019 restated: £121,306) repayable on demand.

Interest has been accrued on the loans at a rate of 10% per annum.

9.	GOING CONCERN

As with all businesses, it is difficult to fully predict the effect that COVID-19 will have on the company in the next 12 months, but based on the information available, the directors believe that the company is well placed to manage its financing and other business risks satisfactorily and have a reasonable expectation that the company will have adequate resources to continue in operation for at least 12 months from the signing date of these financial statements. They therefore consider it appropriate to adopt the going concern basis of accounting in preparing the financial statements.