Palm Springs Hotel Limited - Accounts to registrar (filleted) - small 23.2.5

REGISTERED NUMBER: 04824711 (England and Wales)

Unaudited Financial Statements

for the Year Ended 31 May 2023

for

Palm Springs Hotel Limited

Page

Company Information

1

Abridged Balance Sheet

2

Notes to the Financial Statements

4

DIRECTOR:

Mr P S Bahia

REGISTERED OFFICE:

69 High Street

Bideford

Devon

EX39 2AT

REGISTERED NUMBER:

04824711 (England and Wales)

ACCOUNTANTS:

R T Marke & Co Ltd

Chartered Accountants

69 High Street

Bideford

Devon

EX39 2AT

FIXED ASSETS

Intangible assets

5

-

-

Tangible assets

6

1,078,808

1,097,655

1,078,808

1,097,655

CURRENT ASSETS

Stocks

13,860

10,113

Debtors

127,029

34,109

Cash at bank and in hand

136,324

295,368

277,213

339,590

CREDITORS

Amounts falling due within one year

168,864

182,208

NET CURRENT ASSETS

108,349

157,382

TOTAL ASSETS LESS CURRENT LIABILITIES

1,187,157

1,255,037

CREDITORS

Amounts falling due after more than one year

7

(533,106

)

(619,398

)

PROVISIONS FOR LIABILITIES

(26,955

)

(28,205

)

NET ASSETS

627,096

607,434

CAPITAL AND RESERVES

Called up share capital

9

2

2

Retained earnings

627,094

607,432

SHAREHOLDERS' FUNDS

627,096

607,434

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 2023 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his 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.

All the members have consented to the preparation of an abridged Balance Sheet for the year ended 31 May 2023 in accordance with Section 444(2A) of the Companies Act 2006.

In accordance with Section 444 of the Companies Act 2006, the Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the director and authorised for issue on 26 February 2024 and were signed by:

Mr P S Bahia - Director

1.	STATUTORY INFORMATION

Palm Springs Hotel 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 presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

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. There were no material departures from that standard.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

The principal accounting policies adopted in the preparation of the financial statements are set out below and remain unchanged from the previous period, and also have been consistently applied within the same accounts.

Turnover

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

Goodwill

Goodwill representing the excess of the purchase price over the fair value of the net assets of undertakings acquired is capitalised in the balance sheet and is amortised by equal annual instalments over the expected useful economic life of 5 years.

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% straight line on property nil on land

Fixtures and fittings

-

20% straight line

Motor vehicles

-

25% straight line

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 by management.

Government grants

Government grants in respect of capital expenditure are treated as deferred income and are credited to the profit and loss account over the estimated useful life of the assets to which they relate.

Government grants in respect of revenue items are credited to the profit and loss account when they are receivable.

Stocks

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

Financial instruments

Basic financial instruments with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in administrative expenses. Loans and borrowings are initially recognised at the transaction price including transaction costs.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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.

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.

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

Having regard to the company's anticipated future revenues and costs including repayment of debt where appropriate, together with the expected availability of working capital, the director considers that it is appropriate to prepare the financial statements on the going concern basis.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 17 (2022 - 17 ) .

5.	INTANGIBLE FIXED ASSETS

Totals

£

COST

At 1 June 2022

and 31 May 2023

50,000

AMORTISATION

At 1 June 2022

and 31 May 2023

50,000

NET BOOK VALUE

At 31 May 2023

-

At 31 May 2022

-

6.	TANGIBLE FIXED ASSETS

Totals

£

COST

At 1 June 2022

1,715,672

Additions

6,444

At 31 May 2023

1,722,116

DEPRECIATION

At 1 June 2022

618,017

Charge for year

25,291

At 31 May 2023

643,308

NET BOOK VALUE

At 31 May 2023

1,078,808

At 31 May 2022

1,097,655

Included in cost of land and buildings is freehold land of £ 325,000 (2022 - £ 325,000 ) which is not depreciated.

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN FIVE YEARS

2023

2022

£

£

Repayable by instalments

Bank loans due after 5 years

111,905

253,083

8.	SECURED DEBTS

The following secured debts are included within creditors:

2023

2022

£

£

Bank loans

570,251

635,728

The bank loan is secured by fixed and floating charges over the company's assets.

Mr P S Bahia, the director, has given a personal guarantee of £250,000 relating to the company's bank borrowings.

Durrant Hotel Ltd, a company in which Mr P S Bahia is a director and 50% shareholder, has also provided security over the company's bank loan.

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2023

2022

value:

£

£

2

Ordinary

£1

2

2