Richford Property Limited - Accounts to registrar (filleted) - small 18.2

RICHFORD PROPERTY LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2020

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTOR:

P C Richford

REGISTERED OFFICE:

C/o Richford Motor Services Limited

Dunsford Road

Meadow Lane Industrial Estate

Alfreton

Derbyshire

DE55 7RH

REGISTERED NUMBER:

11728695 (England and Wales)

SENIOR STATUTORY AUDITOR:

Hari Vasdev MEng FCA

AUDITORS:

Sibbalds Limited

Chartered Accountants and Statutory Auditor

Oakhurst House

57 Ashbourne Road

Derby

Derbyshire

DE22 3FS

FIXED ASSETS

Tangible assets

4

2,673,405

-

Investment property

5

103,228

1,258,829

2,776,633

1,258,829

CURRENT ASSETS

Debtors

6

44,372

100

Cash at bank

22,657

6,819

67,029

6,919

CREDITORS

Amounts falling due within one year

7

955,082

478,506

NET CURRENT LIABILITIES

(888,053

)

(471,587

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,888,580

787,242

CREDITORS

Amounts falling due after more than one year

8

1,834,041

787,150

NET ASSETS

54,539

92

CAPITAL AND RESERVES

Called up share capital

11

100

100

Retained earnings

54,439

(8

)

SHAREHOLDERS' FUNDS

54,539

92

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 Income and Retained Earnings has not been delivered.

The financial statements were approved by the director and authorised for issue on 24 June 2021 and were signed by:

P C Richford - Director

1.	STATUTORY INFORMATION

Richford Property 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.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Significant judgements and estimates

The company has elected to measure the freehold land and buildings leased to another group company at cost (less accumulated depreciation and impairment) rather than at fair value. As such, the freehold land and buildings are shown within tangible fixed assets.

Turnover

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

Turnover represents the rental income derived from leasing the freehold land and buildings to another group company which is recognised over the period to which it relates.

Tangible fixed assets

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

Freehold property

-

2% on cost

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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.

3.	EMPLOYEES AND DIRECTORS

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

4.	TANGIBLE FIXED ASSETS

Freehold

property

£

COST

Additions

1,533,560

Reclassification/transfer

1,155,601

At 30 September 2020

2,689,161

DEPRECIATION

Charge for year

15,756

At 30 September 2020

15,756

NET BOOK VALUE

At 30 September 2020

2,673,405

Included in cost of land and buildings is freehold land of £ 1,515,000 which is not depreciated.

5.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 October 2019

1,258,829

Reclassification/transfer

(1,155,601

)

At 30 September 2020

103,228

NET BOOK VALUE

At 30 September 2020

103,228

At 30 September 2019

1,258,829

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

44,272

-

Amounts owed by group undertakings

100

100

44,372

100

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Bank loans and overdrafts (see note 9)

91,188

30,402

Trade creditors

3,121

-

Amounts owed to group undertakings

825,495

447,104

Taxation and social security

32,778

-

Other creditors

2,500

1,000

955,082

478,506

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2020

2019

£

£

Bank loans (see note 9)

1,834,041

787,150

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

1,424,187

655,175

9.

LOANS

An analysis of the maturity of loans is given below:

2020

2019

£

£

Amounts falling due within one year or on demand:

Bank loans

91,188

30,402

Amounts falling due between one and two years:

Bank loans - 1-2 years

97,324

31,405

Amounts falling due between two and five years:

Bank loans - 2-5 years

312,530

100,570

Amounts falling due in more than five years:

2020

2019

£

£

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

1,424,187

655,175

10.	SECURED DEBTS

The following secured debts are included within creditors:

2020

2019

£

£

Bank loans

1,925,229

817,552

The loans are secured against the assets to which they relate. Details of other securities are provided in the other financial commitments note.

The first bank loan is repayable in monthly instalments and will be fully repaid in June 2039. Interest is charged at 2.4% above base rate.

The second bank loan is repayable in monthly instalments and will be fully repaid in January 2035. Interest is charged at 3.12% above base rate.

The third bank loan is repayable in monthly instalments and will be fully repaid in April 2035. Interest is charged at 2.98% above base rate.

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

100

Ordinary

£1

100

100

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

The Report of the Auditors was unqualified.

Hari Vasdev MEng FCA (Senior Statutory Auditor)

for and on behalf of Sibbalds Limited

13.	OTHER FINANCIAL COMMITMENTS

The company has an undertaking to its bankers for full group security incorporating debentures and corporate guarantees for the group's borrowings. The net amount outstanding to the bank in respect of the undertaking as at 30 September 2020 was £1,475,817 (2019 - £401,403).

The bank borrowings are secured by a fixed and floating charge over the assets of the group.

14.	POST BALANCE SHEET EVENTS

COVID-19

Overall risk to operations

Since 30 September 2020, the COVID-19 pandemic continues to severely impact many local economies around the globe. In many countries, businesses have been forced to cease or limit operations for long or indefinite periods of time. Measures taken to contain the spread of the virus including, travel bans, quarantines, social distancing and closure of non-essential services have triggered significant disruptions to businesses worldwide, resulting in an economic slowdown. Governments and banks have responded with monetary and fiscal interventions to stabilise the current economic conditions.Due to the nature of the company, operations have not been affected by the pandemic.

The company has determined that these events are non-adjusting subsequent events. Accordingly, the financial position and results for the year ended 30 September 2020 have not been adjusted to reflect the impact. The duration and impact of the COVID-19 pandemic currently remains unclear. It is not possible to reliably estimate the duration and severity of these consequences, as well as their impact the financial position and results of the company for future periods however there is no significant doubt about Richford Property Limited's ability to continue as a going concern.

15.	ULTIMATE PARENT COMPANY

The company's immediate and ultimate parent company is Richford Holdings Limited whose registered office is the same as that listed on page 1. Copies of the consolidated financial statements of Richford Holdings Limited are available from the Registrar of Companies, Companies House, Crown Way, Cardiff, CF4 3UZ.