| Miller Rose Limited |
| Notes to the Accounts |
| for the year ended 31 March 2024 |
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| 1 |
Accounting policies |
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Accounting convention |
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These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view. |
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The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £. |
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The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. |
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Going concern |
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The company continues to be supported by the directors who have provided loans to the company. At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and for at least a period of 12 months from the date of approving the accounts. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements. |
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Turnover |
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Turnover represents the rental income receivable. Rental income is recognised in accordance with the terms of the lease. |
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Investment properties |
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Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss. |
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Cash and cash equivalents |
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Cash and cash equivalents are basic financial instruments and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. |
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Financial instruments |
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The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. |
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Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument. |
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Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
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| 1 |
Accounting policies (Continued) |
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Basic financial assets |
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Basic financial assets, which include other debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the financial asset is measured at the present value of the future receipts discounted at a market rate of interest. |
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Classification of financial liabilities |
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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. |
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Basic financial liabilities |
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Basic financial liabilities, including other creditors and mortgage loans, 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 payments discounted at a market rate of interest. |
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Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
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Equity instruments |
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Equity instruments issued by the company are recorded at the fair value of proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company. |
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Taxation |
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The tax expense represents the sum of the current tax expense and deferred tax expense. Current tax assets are recognised when tax paid exceeds the tax payable. |
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Current and deferred tax is charged or credited to profit or loss, except when it relates to items charged or credited to other comprehensive income or equity, when the tax follows the transaction or event it relates to and is also charged or credited to other comprehensive income, or equity. |
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Current tax assets and current tax liabilities and deferred tax assets and deferred tax liabilities are offset, if and only if, there is a legally enforceable right to set off the amounts and the entity intends either to settle on the net basis or to realise the asset and settle the liability simultaneously. |
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Current tax is based on taxable profit for the year. Current tax assets and liabilities are measured using tax rates that have been enacted or substantively enacted by the reporting date. |
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Deferred tax is calculated at the tax rates that are expected to apply to the period when the asset is realised or the liability is settled based on tax rates that have been enacted or substantively enacted by the reporting date. |
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Deferred tax liabilities are recognised in respect of all timing differences that exist at the reporting date. Timing differences are differences between taxable profits and total comprehensive income that arise from the inclusion of income and expenses in tax assessments in different periods from their recognition in the financial statements. Deferred tax assets are recognised only to the extent that it is probable that they will be recovered by the reversal of deferred tax liabilities or other future taxable profits. |
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For investment properties measured at fair value (except investment property with a limited useful life held by the company to consume substantially all of its economic benefit), deferred tax is measured using the tax rates and allowances that apply to the sale of the asset or property. |
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| 2 |
Employees |
2024 |
|
2023 |
| Number |
Number |
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Average number of persons employed by the company |
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Total (excluding Directors) |
0 |
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0 |
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| 3 |
Gain on revaluation of investments |
2024 |
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2023 |
| £ |
£ |
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Fair value gains/(losses) |
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Changes in the fair value of investment properties |
27,000 |
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14,000 |
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| 3 |
Investment property |
2024 |
| £ |
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Fair value |
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At 1 April 2023 |
414,000 |
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Revaluation |
27,000 |
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At 31 March 2024 |
441,000 |
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The investment property is stated at the current marked value as determined by the directors on an annual review basis. The valuation is based on a review of comparable properties in the same location. |
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The investment property is let out to tenants under operating leases. |
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If investment properties were stated on an historical cost basis rather than a fair value basis, the amounts would have been included as follows: |
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2024 |
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2023 |
| £ |
£ |
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Cost |
366,653 |
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366,653 |
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Accumulated depreciation |
- |
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- |
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Carrying amount |
366,653 |
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366,653 |
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| 4 |
Creditors: amounts falling due within one year |
2024 |
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2023 |
| £ |
£ |
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Other creditors |
148,236 |
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248,236 |
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| 5 |
Creditors: amounts falling due after one year |
2024 |
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2023 |
| £ |
£ |
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Bank loans |
261,032 |
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261,032 |
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Creditors include: |
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Amounts payable otherwise than by instalment falling due for payment after more than five years |
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261,032 |
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261,032 |
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The loan is secured on the company's investment property |
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| 6 |
Provisions for liabilities |
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2024 |
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2023 |
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£ |
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£ |
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Deferred tax liabilities |
7,332 |
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2,308 |
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| 9 |
Related party transactions |
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Transactions with related parties |
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During the year the company entered into the following transactions with related parties: |
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2024 |
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2023 |
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Amounts due to related parties |
£ |
£ |
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Key management personnel |
146,236 |
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246,236 |
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The amounts owed to key management personnel are amounts loaned to the company. |
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The loan is interest free and repayable on three months notice given by the directors. |
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| 7 |
Other information |
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Miller Rose Limited is a private company limited by shares and incorporated in England. Its registered office is: |
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Longview |
|
Lunghurst Road |
|
Woldingham |
|
Surrey |
|
CR3 7EG |
