The Guild Tower Ltd - Accounts to registrar (filleted) - small 23.1.2

REGISTERED NUMBER: 07819506 (England and Wales)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

FOR

THE GUILD TOWER LTD

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

Directors:

T A Flack

L Rigby

Registered office:

4 Croft Court

Whitehills Business Park

Blackpool

FY4 5PR

Registered number:

07819506 (England and Wales)

Auditors:

NRB

1st Floor Waterside House

Waterside Drive

Wigan

Lancashire

WN3 5AZ

FIXED ASSETS

Intangible assets

4

-

210,579

Tangible assets

5

-

6,602

Investment property

6

3,500,000

5,500,000

3,500,000

5,717,181

CURRENT ASSETS

Debtors

7

4,044,287

3,751,838

Cash at bank and in hand

650

8,040

4,044,937

3,759,878

CREDITORS

Amounts falling due within one year

8

2,074,085

2,224,004

NET CURRENT ASSETS

1,970,852

1,535,874

TOTAL ASSETS LESS CURRENT LIABILITIES

5,470,852

7,253,055

CREDITORS

Amounts falling due after more than one year

9

(1,953,135

)

(1,864,181

)

PROVISIONS FOR LIABILITIES

10

(717,337

)

(1,217,337

)

NET ASSETS

2,800,380

4,171,537

CAPITAL AND RESERVES

Called up share capital

11

100

100

Fair value reserve

2,152,010

3,652,010

Retained earnings

648,270

519,427

SHAREHOLDERS' FUNDS

2,800,380

4,171,537

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 22 June 2023 and were signed on its behalf by:

L Rigby - Director

1.	STATUTORY INFORMATION

The Guild Tower 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 as modified by the revaluation of certain assets.

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

Preparation of the financial statement requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include:

Valuation of investment property :

The directors have used their judgement to asses the fair value of the property.

Turnover

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

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Development costs are being amortised evenly over their estimated useful life of ten years.

Tangible fixed assets

Tangible fixed assets are stated at cost 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 assets at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life, using rates between 1% and 25%.

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 Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

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.

Impairment

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in the income statement.

If an impairment loss subsequently reverses, the carry amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in the income statement.

Hire purchase and leasing commitments

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

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2020 - 2 ) .

4.	INTANGIBLE FIXED ASSETS

Development

costs

£

COST

At 1 January 2021

and 31 December 2021

245,437

AMORTISATION

At 1 January 2021

34,858

Amortisation for year

210,579

At 31 December 2021

245,437

NET BOOK VALUE

At 31 December 2021

-

At 31 December 2020

210,579

5.	TANGIBLE FIXED ASSETS

Fixtures

and

fittings

£

COST

At 1 January 2021

and 31 December 2021

6,602

DEPRECIATION

Charge for year

6,602

At 31 December 2021

6,602

NET BOOK VALUE

At 31 December 2021

-

At 31 December 2020

6,602

6.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 January 2021

5,500,000

Revaluations

(2,000,000

)

At 31 December 2021

3,500,000

NET BOOK VALUE

At 31 December 2021

3,500,000

At 31 December 2020

5,500,000

Fair value at 31 December 2021 is represented by:

£

Valuation in 2018

4,869,347

Valuation in 2021

(2,000,000

)

Cost

630,653

3,500,000

The directors consider that the investment property has a fair value of £3,500,000.

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

as restated

£

£

Trade debtors

204,474

77,351

Amounts owed by group undertakings

2,898,387

2,835,229

Other debtors

941,426

839,258

4,044,287

3,751,838

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

as restated

£

£

Trade creditors

928,071

1,242,978

Amounts owed to group undertakings

53,214

-

Taxation and social security

30,378

60,160

Other creditors

1,062,422

920,866

2,074,085

2,224,004

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.21

31.12.20

as restated

£

£

Bank loans

1,762,238

1,840,251

Other creditors

190,897

23,930

1,953,135

1,864,181

10.	PROVISIONS FOR LIABILITIES

31.12.21

31.12.20

as restated

£

£

Deferred tax

717,337

1,217,337

Deferred

tax

£

Balance at 1 January 2021

1,217,337

Credit to Income Statement during year

(500,000

)

Balance at 31 December 2021

717,337

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.21

31.12.20

value:

as restated

£

£

100

Ordinary

1

100

100

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

The Report of the Auditors was unqualified.

Catherine Rogers BSc FCA (Senior Statutory Auditor)

for and on behalf of NRB

13.	POST BALANCE SHEET EVENTS

On 17 May 2022, The Villa Group Limited, was dissolved by Companies House and removed from the registrar. An application has been submitted to reinstate the company. The directors support this decision and continue to support the company and wider businesses throughout the period.

14.	ULTIMATE CONTROLLING PARTY

The company's immediate parent is The Villa Group Limited, formerly known as Rigby Organisation Limited, incorporated in England and Wales.

15.	GOING CONCERN

The directors have reviewed the company's forecasts and projections for the 12 months ahead and, in particular, have considered the potential implications of the main tenant vacating the property in April 2023.

Level Preston Ltd remains the only tenant in the building and the business requires shareholder support to fund the ongoing costs of the business which they are happy to provide.

The premises is being marketed for sale with a long-term lease being put in place for Level to ensure its status as a going concern entity. As of the date of signing a sale for the building has been agreed at £3.5m.

The Directors have also instructed professional advisers to assess the rates position on the building and seek it being delisted until a new tenant is found or the premises is sold.

The Villa Group Limited, was dissolved by Companies House on 17 May 2022. An application to reinstate the company has been submitted and remains pending at the date of signing the audit report.

The company and directors have brought all outstanding documentation up to date and the directors application to Companies House is done on the basis that these records will ensure the company is compliant with Companies House filing requirements.

The company therefore continues to adopt the going concern basis in preparing its financial statements.