SJS (4) Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 02232689 (England and Wales)

SJS (4) Limited

Financial Statements

for the period

30 September 2019 to 30 September 2020

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

O A Quarmby

D N Murray

P R P Morris

REGISTERED OFFICE:

3rd Floor

Airedale House

Albion Street

Leeds

West Yorkshire

LS1 5AW

REGISTERED NUMBER:

02232689 (England and Wales)

AUDITORS:

SMH Jolliffe Cork Audit Ltd

Chartered Accountants & Statutory Auditor

33 George Street

Wakefield

West Yorkshire

WF1 1LX

CURRENT ASSETS

Stocks

1,159,272

156,631

Debtors

4

32,226

7,023

Cash at bank

76,319

3,989

1,267,817

167,643

CREDITORS

Amounts falling due within one year

5

248,051

179,456

NET CURRENT ASSETS/(LIABILITIES)

1,019,766

(11,813

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,019,766

(11,813

)

CREDITORS

Amounts falling due after more than one year

6

1,150,000

-

NET LIABILITIES

(130,234

)

(11,813

)

CAPITAL AND RESERVES

Called up share capital

8

10,100

10,100

Retained earnings

(140,334

)

(21,913

)

SHAREHOLDERS' FUNDS

(130,234

)

(11,813

)

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 29 June 2021 and were signed on its behalf by:

O A Quarmby - Director

1.	STATUTORY INFORMATION

SJS (4) 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 functional and presentation currency for the company is the pound sterling (£). All financial information presented has been rounded to the nearest (£), unless otherwise stated.

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.

Going concern

The company had net current liabilities of £130,234 at the year ended 30 September 2020.

Since the year end, SJS (4) Limited, has drawn down funds by way of an additional loan from a privately owned commercial finance provider, secured against property assets it previously acquired. Together with previous loans, these have been used for working capital purposes within SJS (4) Limited and provided additional working capital for the parent company, St James Securities Group Limited and its other subsidiaries.

At the signing of these accounts and on the back of the exchange of the Funding Agreements below and by one of the Group's other companies, SJS (Derby) Limited , negotiations are well progressed with a well-established and specialist property development company, to enter into a Joint Venture Partnership with St James Securities Group Ltd. Funds will be provided that will enable SJS (4) Limited to repay the loans that have been provided by the privately owned commercial finance provider. In addition, this will provide a dynamic and innovative partnership which will secure future funding and a formidable springboard for future development.

On 27 July 2020, the company entered into a Development Agreement with Derby City Council to build a £1.8m Public Square for Derby City Council. The Public Square is owned by Derby City Council but is the focal point for a major regeneration development that SJS (4) Ltd owns or has major interest in, together with other members of the St James Securities Group, on a 6 acre site in Derby City Centre, known as Becketwell. Work commenced in 8 February 2021 and is ongoing. It is being Forward Funded by Derby City Council and it is anticipated that the Public Square will be completed by Spring 2023.

On 29 April 2021, the company exchanged a conditional Forward Funding Development Agreement with Derby City Council to build a 3,500 capacity performance venue, also at Becketwell, Derby. An operator has been chosen, terms agreed and legals are well advanced with the largest worldwide entertainment provider, ASM Global. It is anticipated that the Development Agreement will become unconditional by December 2021. Derby City Council will reimburse all of the costs of work in progress that SJS (4) Limited has incurred to date and provide Forward Funding when work commences in January 2022. It will generate a capital value of £45.8m when completed in late 2024.

Going concern - continued

The directors feel that the business has done everything it can to ensure its continued operation through the Covid-19 pandemic.

When making their assessment of the company's ability to continue as a going concern, the directors acknowledge that uncertainties do exist over profitability and availability of funds. However, after considering the above, the directors of SJS (4) Limited have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover

Turnover comprises the invoiced value of goods and services supplied by the company, net of value added tax and trade discounts. In the case of long term contracts turnover is calculated as the proportion of total expected amounts recoverable for each contract.

Rental income is recognised on a straight line basis over the term of the lease. Lease incentives granted are recognised as an integral part of the total rental income.

Work in progress

Work in progress is valued on the basis of direct costs plus attributable overheads based on normal level of activity. Provision is made for any foreseeable losses where appropriate. No element of profit is included in the valuation of work in progress.

Financial instruments

The company has chosen to adopt the Sections 11 and 12 of FRS 102 in respect of financial instruments.

Financial assets

Basic financial assets, including trade and other debtors and cash and bank balances 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.

The company has no 'Other financial assets'.

Financial assets are derecognised when (a) the contractual rights to the cashflow from the asset expire or are settled or (b) substantially all the risks and rewards of ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial liabilities

Basic financial liabilities, including trade and other creditors and hire purchase contracts, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

The company has no 'Other financial liabilities'.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Taxation

Taxation for the period 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 period 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.

Long term contracts

Profit on long term contracts is taken as the work is carried out, if the final outcome can be assessed with reasonable certainty. The profit is calculated on a prudent basis, to reflect the proportion of work carried out at the year end, by recording the turnover and related costs as contract activity progresses. Turnover is calculated as the proportion of total expected amounts recoverable for each contract. Profits derived from variations on contracts are recognised only when they have been accepted by the customer. Full provision is made for losses on contracts in the year in which they are first foreseen.

3.	EMPLOYEES AND DIRECTORS

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

4.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

3,925

-

VAT

-

7,023

Prepayments

28,301

-

32,226

7,023

5.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade creditors

18,342

22,204

Amounts owed to group undertakings

172,776

156,447

VAT

16,245

-

Other creditors

221

-

Accruals and deferred income

40,467

805

248,051

179,456

6.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2020

2019

£

£

Other loans

1,150,000

-

7.	SECURED DEBTS

The following secured debts are included within creditors:

2020

2019

£

£

Other loans

1,150,000

-

The other loans are secured by way of a fixed charge over the freehold land and buildings at Colyear Street, Derby, the leasehold land and buildings known as Mezzanine Floor, Laurie House, Colyear Street Derby and the freehold land and buildings at 13-15 Victoria Street, Derby. Security has also been provided in the form of a negative pledge and a floating charge over all assets of the company.

8.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

10,100

Ordinary

£1

10,100

10,100

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

The Report of the Auditors was unqualified.

Claire Lawton FCA DChA (Senior Statutory Auditor)

for and on behalf of SMH Jolliffe Cork Audit Ltd

10.	RELATED PARTY DISCLOSURES

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.

11.	POST BALANCE SHEET EVENTS

Since the year end, SJS (4) Limited, has drawn down funds by way of an additional loan from a privately owned commercial finance provider, secured against property assets it previously acquired. Together with previous loans, these have been used for working capital purposes within SJS (4) Limited and provided additional working capital for the parent company, St James Securities Group Limited, and its other subsidiaries.

On 27 July 2020, the company entered into a Development Agreement to build a £1.8m Public Square for Derby City Council. The Public Square is owned by Derby City Council but is the focal point for a major regeneration development that SJS (4) Ltd owns or has major interests in, together with other members of the St James Securities Group, on a 6 acre site in Derby City Centre, known as Becketwell. Work commenced on 8 February 2021 and is ongoing. It is being Forward Funded by Derby City Council and it is anticipated that the Public Square will be completed by Spring 2023.

On 29 April 2021, the company exchanged a conditional Forward Funding Development Agreement with Derby City Council to build a 3,500 capacity performance venue, also at Becketwell, Derby. An operator has been chosen, terms agreed and legals are well advanced with one of the largest worldwide entertainment provider, ASM Global. It is anticipated that the Development Agreement will become unconditional by December 2021. Derby City Council will reimburse all of the costs of work in progress that SJS (4) Limited has incurred to date and provide Forward Funding when work commences in January 2022. It will generate a capital value of £45.8m when completed in late 2024.

12.	ULTIMATE CONTROLLING PARTY

The ultimate controlling party is O A Quarmby.