Grapevine Telecom (Bath) Limited - Period Ending 2016-01-31

Registration number: 03481077

Grapevine Telecom (Bath) Limited

Unaudited Abbreviated Accounts

for the Year Ended 31 January 2016
 

MKL Accountants Limited
Chartered Certified Accountants
Herston Cross House
230 High Street
Swanage
Dorset
BH19 2PQ

Grapevine Telecom (Bath) Limited
Contents

Accountants' Report 1

Abbreviated Balance Sheet 2 to 3

Notes to the Abbreviated Accounts 4 to 6

The following reproduces the text of the accountants' report in respect of the company's annual financial statements, from which the abbreviated accounts (set out on pages 2 to 6) have been prepared.

Chartered Certified Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Grapevine Telecom (Bath) Limited
for the Year Ended 31 January 2016

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Grapevine Telecom (Bath) Limited for the year ended 31 January 2016 set out on pages from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Association of Chartered Certified Accountants, we are subject to its ethical and other professional requirements which are detailed at http://www.accaglobal.com/en/member/professional-standards/rules-standards/acca-rulebook.html.

This report is made solely to the Board of Directors of Grapevine Telecom (Bath) Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of Grapevine Telecom (Bath) Limited and state those matters that we have agreed to state to them, as a body, in this report in accordance with the requirements of the Association of Chartered Certified Accountants as detailed at http://www.accaglobal.com/content/dam/ACCA_Global/Technical/fact/technical-factsheet-163.pdf. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Grapevine Telecom (Bath) Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Grapevine Telecom (Bath) Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of Grapevine Telecom (Bath) Limited. You consider that Grapevine Telecom (Bath) Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of Grapevine Telecom (Bath) Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.

......................................

MKL Accountants Limited
Chartered Certified Accountants
Herston Cross House
230 High Street
Swanage
Dorset
BH19 2PQ

10 May 2016

Page 1

Grapevine Telecom (Bath) Limited
(Registration number: 03481077)
Abbreviated Balance Sheet at 31 January 2016

		Note			2016 £			2015 £
Fixed assets
Intangible fixed assets					648,235			648,235
Tangible fixed assets					19,984			21,956
					668,219			670,191
Current assets
Stocks					81,369			23,526
Debtors					(51,084)			(103,843)
Investments					51,768			-
Cash at bank and in hand					36,480			175,772
					118,533			95,455
Creditors: Amounts falling due within one year					(332,696)			(256,752)
Net current liabilities					(214,163)			(161,297)
Total assets less current liabilities					454,056			508,894
Creditors: Amounts falling due after more than one year					-			(201,816)
Provisions for liabilities					(1,080)			(1,252)
Net assets					452,976			305,826
Capital and reserves
Called up share capital		3			400			400
Profit and loss account					452,576			305,426
Shareholders' funds					452,976			305,826

The notes on pages 4 to 6 form an integral part of these financial statements.
Page 2

Grapevine Telecom (Bath) Limited
(Registration number: 03481077)
Abbreviated Balance Sheet at 31 January 2016
......... continued

For the year ending 31 January 2016 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime .

Approved by the Board on 10 May 2016 and signed on its behalf by:

.........................................
Mr B Vockins
Director

The notes on pages 4 to 6 form an integral part of these financial statements.
Page 3

Grapevine Telecom (Bath) Limited
Notes to the Abbreviated Accounts for the Year Ended 31 January 2016
......... continued

1	Accounting policies

Basis of preparation

The full financial statements, from which these abbreviated accounts have been extracted, have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (Effective January 2015).

Going concern

The financial statements have been prepared on a going concern basis.

Turnover

Turnover represents amounts chargeable, net of value added tax, in respect of the sale of goods and services to customers.

Government grants

Government grants in respect of capital expenditure are credited to a deferred income account and are released to profit over the expected useful lives of the relevant assets by equal annual instalments. Grants of a revenue nature are credited to income so as to match them with the expenditure to which they relate.

Goodwill

In exchange for an increased revenue share, the company purchased additional rights to the subscriber base. In considering whether to amortise this, the directors have reviewed the value of future contracts and consider that the market value of the contracts is in excess of the sum paid.

Amortisation

On basis that market value of the contracts exceeds the cost price, no amortisation is provided for.

Asset class	Amortisation method and rate
Goodwill	Valuation by directors

Depreciation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class	Depreciation method and rate
Fixtures and fittings	25% Reducing balance method
Office equipment	33% Reducing balance method

Investment properties

Page 4

Grapevine Telecom (Bath) Limited
Notes to the Abbreviated Accounts for the Year Ended 31 January 2016
......... continued

Certain of the company's properties are held for long-term investment. Investment properties are accounted for in accordance with the FRSSE, as follows: No depreciation is provided in respect of investment properties and they are revalued annually. The surplus or deficit on revaluation is transferred to the revaluation reserve unless a deficit below original cost, or its reversal, on an individual investment property is expected to be permanent, in which case it is recognised in the profit and loss account for the year. This treatment as regards the company's investment properties may be a departure from the requirements of the Companies Act concerning the depreciation of fixed assets. However, these properties are not held for consumption but for investment and the directors consider that systematic annual depreciation would be inappropriate. The accounting policy adopted is therefore necessary for the financial statements to give a true and fair view. Depreciation or amortisation is only one of many factors reflected in the annual valuation and the amount which might otherwise have been shown cannot be separately identified or quantified.

Current asset investments

Current asset investments are included at the lower of cost and net realisable value.

Stock

Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs.

Deferred tax

Deferred tax is recognised, without discounting, in respect of all timing differences between the treatment of certain items for taxation and accounting purposes, which have arisen but not reversed by the balance sheet date, except as required by the FRSSE. Deferred tax is measured at the rates that are expected to apply in the periods when the timing differences are expected to reverse, based on the tax rates and law enacted at the balance sheet date.

Hire purchase and leasing

Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability in the balance sheet. The corresponding dividends relating to the liability component are charged as interest expense in the profit and loss account.

Page 5

Grapevine Telecom (Bath) Limited
Notes to the Abbreviated Accounts for the Year Ended 31 January 2016
......... continued

2	Fixed assets

		Intangible assets £			Tangible assets £			Total £
Cost
At 1 February 2015		648,235			96,761			744,996
Additions		-			2,975			2,975
Disposals		-			(3,178)			(3,178)
At 31 January 2016		648,235			96,558			744,793
Depreciation
At 1 February 2015		-			74,805			74,805
Charge for the year		-			4,301			4,301
Eliminated on disposals		-			(2,532)			(2,532)
At 31 January 2016		-			76,574			76,574
Net book value
At 31 January 2016		648,235			19,984			668,219
At 31 January 2015		648,235			21,956			670,191

3	Share capital

Allotted, called up and fully paid shares

	2016						2015
		No.			£			No.			£
Ordinary Class A of £1 each		200			200			200			200
Ordinary Class B of £1 each		100			100			100			100
Ordinary Class C of £1 each		100			100			100			100
		400			400			400			400

Page 6