Sail Lofts - St Ives Limited - Accounts to registrar (filleted) - small 23.2.5

REGISTERED NUMBER: 07163707 (England and Wales)

Sail Lofts - St Ives Limited

Financial Statements

for the Period 3rd January 2022 to 1st January 2023

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

DIRECTORS:

Mrs E H Davies

R J Clark

P J D Hodgson FCA

REGISTERED OFFICE:

7 Sail Lofts

Porthmeor Road

St Ives

Cornwall

TR26 1GB

REGISTERED NUMBER:

07163707 (England and Wales)

AUDITORS:

Bishop Fleming LLP

Chartered Accountants and Statutory Auditors

Chy Nyverow

Newham Road

Truro

Cornwall

TR1 2DP

FIXED ASSETS

Tangible assets

4

2,403,676

2,456,476

Investments

5

1

1

2,403,677

2,456,477

CURRENT ASSETS

Stocks

6

2,422

2,607

Debtors

7

632,805

1,426,472

Cash at bank and in hand

21,336

80,532

656,563

1,509,611

CREDITORS

Amounts falling due within one year

8

(309,469

)

(347,724

)

NET CURRENT ASSETS

347,094

1,161,887

TOTAL ASSETS LESS CURRENT LIABILITIES

2,750,771

3,618,364

CREDITORS

Amounts falling due after more than one year

9

(620,794

)

(622,311

)

PROVISIONS FOR LIABILITIES

(3,158

)

(8,827

)

NET ASSETS

2,126,819

2,987,226

CAPITAL AND RESERVES

Called up share capital

100,001

100,001

Share premium

1,485,340

1,485,340

Retained earnings

541,478

1,401,885

SHAREHOLDERS' FUNDS

2,126,819

2,987,226

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 and authorised for issue by the Board of Directors and authorised for issue on 30th June 2023 and were signed on its behalf by:

R J Clark - Director

1.	STATUTORY INFORMATION

Sail Lofts - St Ives Limited is a private company, limited by shares, registered in England and Wales, registered number is 07163707. The registered office is 7 Sail Lofts, Porthmeor Road, St Ives, Cornwall TR26 1GB.

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.

Critical accounting judgements and key sources of estimation uncertainty

Apportionment of Freehold property historic cost between land and buildings

On acquisition of the company's freehold property, the valuation of land and buildings were not separately identified. The freehold was valued at £3,000,000 on incorporation excluding the integral features. Since then Slipway has been sold. The Directors estimate that the deemed historic cost of the land on which the company's freehold buildings are situated was £1,500,000 based on comparable market data. Therefore, the amount of the historic cost apportioned to freehold buildings has been estimated at £860,108.

Intercompany debt provision

The Directors have reviewed the balance sheet of its subsidiary company and believe that sufficient assets are held by the subsidiary to repay the debt in full.

The Director of the fellow group company has given a personal guarantee over the intercompany debt and on that basis, no provision has been recorded in respect of this debt.

Turnover

Turnover represents invoiced sales of goods and services, excluding value added tax. Turnover is recognised when the service is provided.

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 and not provided for on Land

Plant and machinery

-

20% on cost and 6.67% on cost

Website

-

25% on cost

Computer equipment

-

33% on cost

Included within Freehold property is land at an estimated historic cost of £1,500,000.

Stocks

Stocks are valued at the lower of cost and estimated selling price less costs to sell, after making due allowance for obsolete and slow moving items.

The cost formula used in measuing stock is FIFO.

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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

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.

Going concern

The company has generated a profit of £239,604 in the current year (Prior year: £795,632 profit). At the year-end date, the company had net current assets of £347,094 (Prior year: £1,161,887 assets) and net assets of £2,126,819 (Prior year: £2,987,226), having paid a dividend to the holding company of £1,100,000 during the year.

Management have prepared group cash flow projections for the period to June 2024 which demonstrate that they expect sufficient cash will be available to the group to continue to operate. The projections prepared include key judgements, in particular regarding the ongoing expected trading performance of the inn and restaurant sites held by a subsidiary company within the group and the directors assessment is reliant on the sites achieving certain levels of forecast trade performance.

Based on the review undertaken, the directors are of the opinion that the going concern basis remains appropriate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the period was 12 (2022 - 14 ) .

4.	TANGIBLE FIXED ASSETS

Freehold

Plant and

Computer

property

machinery

Website

equipment

Totals

£

£

£

£

£

COST

At 3rd January 2022

2,356,943

607,998

23,137

10,013

2,998,091

Additions

3,165

1,936

-

-

5,101

At 1st January 2023

2,360,108

609,934

23,137

10,013

3,003,192

DEPRECIATION

At 3rd January 2022

-

510,864

22,695

8,056

541,615

Charge for period

17,202

39,245

249

1,205

57,901

At 1st January 2023

17,202

550,109

22,944

9,261

599,516

NET BOOK VALUE

At 1st January 2023

2,342,906

59,825

193

752

2,403,676

At 2nd January 2022

2,356,943

97,134

442

1,957

2,456,476

Included within Freehold property is land at an estimates historic cost of £1,500,000.

5.	FIXED ASSET INVESTMENTS

Other

investment

£

COST

At 3rd January 2022

and 1st January 2023

1

NET BOOK VALUE

At 1st January 2023

1

At 2nd January 2022

1

6.

STOCKS

2023

2022

£

£

Stocks

2,422

2,607

7.

DEBTORS

2023

2022

£

£

Amounts falling due within one year:

Trade debtors

3,565

3,302

Amounts owed by group undertakings

411

2,629

Prepayments

10,695

10,113

14,671

16,044

Amounts falling due after more than one year:

Amounts owed by group undertakings

618,134

1,410,428

Aggregate amounts

632,805

1,426,472

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2023

2022

£

£

Trade creditors

12,706

13,650

Amounts owed to group undertakings

93,290

-

Social security and other taxes

1,380

1,418

VAT

10,708

15,070

Other creditors

10,491

43,869

Directors' current accounts

75,000

75,000

Accruals and deferred income

105,894

198,717

309,469

347,724

Accruals and deferred income includes deposits in advance for holidays of £86,826 (2nd January 2022: £190,005)

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2023

2022

£

£

Directors' loan accounts

620,794

622,311

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

The Report of the Auditors was unqualified.

Kevin Connor FCA (Senior Statutory Auditor)

for and on behalf of Bishop Fleming LLP

11.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption under the terms of Financial Reporting Standard '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.

12.	ULTIMATE PARENT COMPANY

The ultimate parent company is Porthmeor Holdings Ltd, a company registered in England and Wales. The registered office of Porthmeor Holdings Ltd is 7 Sail lofts, Porthmeor Road, St Ives, Cornwall, TR26 1GB.

The financial statements of the ultimate parent company may be obtained from Companies House.