Company No: 04774771 (England and Wales)

Contents

• Company Information
• Statement of Financial Position
• Notes to the Unaudited Financial Statements

DIRECTORS	Dr V M Hennessy
	Mr M W Jansen
SECRETARY	Dr V M Hennessy
	Mr M W Jansen
REGISTERED OFFICE	27 Oakfield Road
	Clifton
	Avon
	BS8 2AT
	Bristol
	United Kingdom
COMPANY NUMBER	04774771(England and Wales)
CHARTERED ACCOUNTANTS	Bishop Fleming LLP
	10 Temple Back
	Bristol
	BS1 6FL

		2020		2019
	Note	£		£
Fixed assets
Tangible assets	3	879,498		816,214
		879,498		816,214
Current assets
Debtors
- due within one year	4	72,348		252,048
- due after more than one year	4	71,423		64,653
Cash at bank and in hand		44,207		151,008
		187,978		467,709
Creditors
Amounts falling due within one year	5	( 485,632)		( 648,415)
Net current liabilities		(297,654)		(180,706)
Total assets less current liabilities		581,844		635,508
Creditors
Amounts falling due after more than one year	6	( 645,392)		( 604,450)
Provisions for liabilities		( 16,732)		( 11,664)
Net (liabilities)/assets		( 80,280)		19,394
Capital and reserves
Called-up share capital	7	180		180
Capital redemption reserve		50		50
Profit and loss account		( 80,510 )		19,164
Total shareholders' (deficit)/funds		( 80,280)		19,394

For the financial year ending 31 December 2020 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors’ responsibilities:

• The members have not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of International House Bristol Ltd (registered number: 04774771) were approved and authorised for issue by the Board of Directors on 29 September 2021. They were signed on its behalf by:

Dr V M Hennessy Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year.

General information and basis of accounting

International House Bristol Ltd (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is 27 Oakfield Road, Clifton, Avon, BS8 2AT, Bristol, , United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council.

The functional currency of International House Bristol Ltd is considered to be pounds sterling because that is the currency of the primary economic environment in which the Company operates.

Going concern

The Company has net liabilities of £80,280 as a result of maximising their investment in the business/business premises and the adverse effect of COVID-19 events and the deferral of their very strong order book. The company has downsized and restructured the business. The directors have carefully considered the ability to continue as a going concern and with the steps taken and the financial support of the directors and they believe that this is the appropriate basis on which to prepare the accounts.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Statement of Financial Position date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Profit and Loss Account in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

Turnover

Turnover is stated net of VAT and trade discounts and is recognised when the significant risks and rewards are considered to have been transferred to the buyer. Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a contract has only been partially completed at the Statement of Financial Position date turnover represents the fair value of the service provided to date based on the stage of completion of the contract activity at the Statement of Financial Position date. Where payments are received from customers in advance of services provided, the amounts are recorded as deferred income and included as part of creditors due within one year.

Finance costs

Finance costs are charged to the Profit and Loss Account over the term of the debt using the effective interest method so the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Statement of Financial Position date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws.

Deferred tax assets and liabilities are not discounted.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. Depreciation is provided on all tangible fixed assets, other than investment properties and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line/reducing balance basis over its expected useful life, as follows:

Freehold property - 2% straight line (excluding land)
Long-term leasehold property - straight line over the length of the lease
Motor vehicles - 25% reducing balance basis
Fixtures, fittings and equipment - 25% straight line

Borrowing costs

Borrowing costs that are directly attributable to the construction of tangible fixed assets are capitalised as part of the cost of those assets. Capitalisation begins when both finance costs and expenditures for the asset are being incurred and activities that are necessary to get the asset ready for use are in progress. Capitalisation ceases when substantially all the activities that are necessary to get the asset ready for use are complete.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Profit and Loss Account over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Statement of Financial Position date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts, except where the effect of discounting would be immaterial in such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified 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.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Statement of Financial Position date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

2. Employees

	2020		2019
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	48		53

3. Tangible assets

	Land and buildings		Leasehold improvements		Plant and machinery		Vehicles		Total
	£		£		£		£		£
Cost
At 01 January 2020	920,245		90,078		325,922		29,738		1,365,983
Additions	90,062		0		7,835		1,416		99,313
Disposals	0		0		0		( 26,123)		( 26,123)
At 31 December 2020	1,010,307		90,078		333,757		5,031		1,439,173
Accumulated depreciation
At 01 January 2020	141,595		90,078		291,385		26,711		549,769
Charge for the financial year	19,205		0		14,016		683		33,904
Disposals	0		0		0		( 23,998)		( 23,998)
At 31 December 2020	160,800		90,078		305,401		3,396		559,675
Net book value
At 31 December 2020	849,507		0		28,356		1,635		879,498
At 31 December 2019	778,650		0		34,537		3,027		816,214

4. Debtors

	2020		2019
	£		£
Debtors: amounts falling due within one year
Trade debtors	19,102		147,835
Prepayments	14,081		27,693
VAT recoverable	2,598		39,938
Other taxation and social security	26,167		10,373
Other debtors	10,400		26,209
	72,348		252,048
Debtors: amounts falling due after more than one year
Other debtors	71,423		64,653

5. Creditors: amounts falling due within one year

	2020		2019
	£		£
Bank loans and overdrafts (secured)	20,113		23,123
Trade creditors	84,350		94,670
Amounts owed to directors	190,649		197,019
Other creditors	26,704		89,321
Other loans (secured)	8,000		8,000
Accruals and deferred income	111,831		228,462
Other taxation and social security	40,394		7,820
Obligations under finance leases and hire purchase contracts (secured)	3,591		0
	485,632		648,415

6. Creditors: amounts falling due after more than one year

	2020		2019
	£		£
Bank loans (secured)	626,286		578,490
Other loans (secured)	19,106		25,960
	645,392		604,450

A legal charge is registered with Companies House in respect of all monies due or to become due from the company to Barclays Bank PLC. Security is provided on the freehold property, 2 Queens Avenue, Clifton, Bristol, BS8 1SE. Bank loans and overdrafts totalling £665,505 are secured.

On 8 February 2011, Dr V M Hennessy provided a personal guarantee limited to £220,000 plus interest in respect of liabilities of the company to Barclays Bank PLC.

In December 2018 the directors provided a personal guarantee of £40,000 plus interest in respect of liabilities of the company to Funding Circle.

Obligations under finance leases and hire purchase contracts are secured against the assets to which they relate.

7. Called-up share capital

	2020		2019
	£		£
Allotted, called-up and fully-paid
90 Ordinary A shares of £ 1.00 each	90		90
90 Ordinary B shares of £ 1.00 each	90		90
	180		180

8. Financial commitments

Commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

	2020		2019
	£		£
- within one year	1,739		48,142
- between one and five years	0		1,739
	1,739		49,881

9. Related party transactions

Transactions with the entity's directors

	2020		2019
	£		£
The directors (included within creditors: amounts falling due within one year)	190,649		197,019

At the year end £190,649 (2019 - £197,019) was owed to the directors. Interest is payable on the directors account at 10% and is fully provided in the financial statements and the provision of £20,348 (2019 - £nil) is included in other creditors.

During the year, the company paid dividends of £27,000 (2019 - £35,000) to the directors.