Longford Investment (No.2) Limited - Accounts to registrar (filleted) - small 22.3

REGISTERED NUMBER: 07088770 (England and Wales)

Unaudited Financial Statements for the Year Ended 31 March 2022

for

LONGFORD INVESTMENT (NO 2) LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Directors' Responsibilities Statement

9

Independent Chartered Accountants' Review Report

10

DIRECTORS:

J Gwillim-David

Longford Investment Limited

SECRETARY:

Longford Investment Limited

REGISTERED OFFICE:

Merlin House

Charnham Lane

Hungerford

Berkshire

RG17 0EY

REGISTERED NUMBER:

07088770 (England and Wales)

ACCOUNTANTS:

Thorne Lancaster Parker

4th Floor

Venture House

27-29 Glasshouse Street

London

W1B 5DF

FIXED ASSETS

Investment property

4

3,249,999

3,249,999

CURRENT ASSETS

Debtors

5

87,432

82,967

Cash at bank

144,530

141,392

231,962

224,359

CREDITORS

Amounts falling due within one year

6

171,002

164,978

NET CURRENT ASSETS

60,960

59,381

TOTAL ASSETS LESS CURRENT LIABILITIES

3,310,959

3,309,380

CREDITORS

Amounts falling due after more than one year

7

2,980,236

3,031,693

NET ASSETS

330,723

277,687

CAPITAL AND RESERVES

Called up share capital

9

830

830

Retained earnings

10

329,893

276,857

SHAREHOLDERS' FUNDS

330,723

277,687

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2022 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 28 October 2022 and were signed on its behalf by:

J Gwillim-David - Director

1.	STATUTORY INFORMATION

Longford Investment (No 2) 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.

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 as modified by the revaluation of certain assets.

Turnover

Turnover represents the total amount receivable, net of value added tax, for services provided in the ordinary course of business.

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the income statement and transferred to Investment property revaluation reserve in the statement of changes in equity.

Financial instruments

The company has chosen to adopt Section 11 of FRS 102 in respect of financial instruments as it has only basic financial instruments.

a) Basic financial assets

Trade and other debtors, loans to fellow group companies, loans to related companies and bank balances, which are due within one year are initially recognised at transaction price and subsequently carried at amortised cost being the transaction price less any amounts settled and any impairment losses.

At the end of each reporting period basic financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss.

If there is decrease in the impairment loss arising from an event occurring after the impairment was recognised the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

A financial asset is derecognised only when the contractual rights to cash flows expire or are settled, or substantially all the risks and rewards of ownership are transferred to another party, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to seel the asset in its entirety to an unrelated third party.

b) Basic financial liabilities and equity

Financial liabilities are classified as liabilities and equity instruments according to the substance of the contractual arrangements entered into. an equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Trade creditors, other creditors and loans from fellow group and related companies are initially recognised at transaction price and subsequently carried at amortised cost, being transaction price less any amounts settled.

Other loans are initially recognised at the transaction price, including transaction costs and subsequently measured at amortised cost using the effective interest method. Interest expense is recognised on the basis of the effective interest method and is included in interest payable and other similar charges.

Basic financial liabilities are derecognised when the contractual obligation is discharged, cancelled or expired.

c) Equity instruments

The ordinary share capital of the company is classified as equity and recorded at fair value of the cash or other resources received pr receivable, net of direct costs of issuing the equity instruments.

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.

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2021 - NIL).

4.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 April 2021

and 31 March 2022

3,249,999

NET BOOK VALUE

At 31 March 2022

3,249,999

At 31 March 2021

3,249,999

The carrying value of investment property has been reviewed by J.Gwillim-David, a director. In her opinion the carrying value represents the open market value of the investment property at the balance sheet date.

Fair value at 31 March 2022 is represented by:

£

Valuation in 2020

(11,094

)

Cost

3,261,093

3,249,999

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade debtors

65,779

59,825

Other debtors

831

830

Deferred tax asset

2,107

2,107

Prepayments and accrued income

18,715

20,205

87,432

82,967

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Bank loans and overdrafts

40,712

40,712

Trade creditors

16,742

16,093

Tax

4,177

12,711

Social security and other taxes

14,000

24,985

Other creditors

17,142

-

Accruals and deferred income

78,229

70,477

171,002

164,978

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2022

2021

£

£

Bank loans - 1-2 years

41,905

41,905

Bank loans - 2-5 years

1,395,816

1,436,286

Other loans - 2-5 years

1,258,029

1,310,429

Other creditors

140,861

152,448

Accruals and deferred income

143,625

90,625

2,980,236

3,031,693

8.	SECURED DEBTS

Bank loans:

A bank loan of £1,478,433 is secured by way of a first legal mortgage over the freehold property. Interest is charged at 2.85% and is payable monthly. The loan is to be repaid at the end of the term on 26th November 2024.

Other loans:

Loan 1 of £940,614 is secured by way of a legal mortgage over the freehold property. Loan 2 of £317,415 is secured by way of legal mortgage charge over the freehold property. A loan of £117,414 from Longford Investment (No.1) Ltd is secured by way of legal mortgage over the freehold property.

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2022

2021

value:

£

£

830

Ordinary

£1

830

830

On 18th November 2020 the company purchased 150 of its own shares for £18,000.

10.

RESERVES

Within retained earnings, there is an amount of £8,986 in relation to the revaluation surplus on the company's investment properties net of deferred tax provision. This amount does not form part of the company's distributable reserves.

11.	RELATED PARTY DISCLOSURES

During the year the company was charged £69,156 (2021: £62,792) for services provided in the ordinary course of business by Longford Investment Ltd, a company under common control of the director. The balance due to Longford Investment Ltd at the year end was £1,800 (2021: £6,725).

The company has a loan from Longford Investment (No.1) Ltd, a company under common control of the director. The balance due at the year end was £117,414 (2021: £117,414).

At the balance sheet date included within creditors is an amount owed to the director J Gwillim-David of £1,258,029 (2021: £1,310,429). Interest is charged on this amount at open market rates

12.	ULTIMATE CONTROLLING PARTY

The controlling party is J Gwillim-David.

The following reproduces the text of the report prepared for the directors and members 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 Income Statement and certain other primary statements and the Report of the Directors are not required to be filed with the Registrar of Companies.

We confirm that as directors we have met our duty in accordance with the Companies Act 2006 to:

-	ensure that the company has kept proper accounting records;

-	prepare financial statements which give a true and fair view of the state of affairs of the company as at 31 March 2022 and of its profit for that period in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	follow the applicable accounting policies, subject to any material departures disclosed and explained in the notes to the financial statements.

ON BEHALF OF THE BOARD:

J Gwillim-David - Director

28 October 2022

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 Income Statement and certain other primary statements and the Report of the Directors are not required to be filed with the Registrar of Companies.

We have reviewed the financial statements of Longford Investment (No 2) Limited for the year ended 31 March 2022, which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and the related notes 1 to 12. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

This report is made solely to the company's directors, as a body, in accordance with our terms of engagement. Our review has been undertaken so that we might state to the directors those matters that we have agreed with them in our engagement letter and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's directors as a body for our work, for this report or the conclusions we have formed.

Directors' responsibility for the financial statements

As explained more fully in the Directors' Responsibilities Statement set out on page two, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view.

Accountants' responsibility

Our responsibility is to express a conclusion based on our review of the financial statements. We conducted our review in accordance with International Standard on Review Engagements (ISRE) 2400 (Revised), 'Engagements to review historical financial statements' and ICAEW Technical Release TECH 09/13AAF 'Assurance review engagements on historical financial statements'. ISRE 2400 also requires us to comply with the ICAEW Code of Ethics.

Scope of the assurance review

A review of financial statements in accordance with ISRE 2400 (Revised) is a limited assurance engagement. We have performed additional procedures to those required under a compilation engagement. These primarily consist of making enquiries of management and others within the entity, as appropriate, applying analytical procedures and evaluating the evidence obtained. The procedures performed in a review are substantially less than those performed in an audit conducted in accordance with International Standards on Auditing (UK and Ireland). Accordingly, we do not express an audit opinion on these financial statements.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the financial statements have not been prepared:

-	so as to give a true and fair view of the state of the company's affairs as at 31 March 2022 and of its profit for the year then ended;

-	in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	in accordance with the requirements of the Companies Act 2006.

Thorne Lancaster Parker

4th Floor

Venture House

27-29 Glasshouse Street

London

W1B 5DF

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