Swanston Farm Limited - Accounts to registrar - small 17.1.1

REGISTERED NUMBER: SC192334 (Scotland)

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2016

FOR

SWANSTON FARM LIMITED

Page

Company Information

1

Report of the Accountants

2

Balance Sheet

3

Notes to the Financial Statements

5

DIRECTORS:

Mr A McClung

Mr C A Mcclung

Ms A L Mcclung

SECRETARY:

Mr C A Mcclung

REGISTERED OFFICE:

111 Swanston Road

Edinburgh

EH10 7DS

REGISTERED NUMBER:

SC192334 (Scotland)

ACCOUNTANTS:

Atkinson & Co Limited

Chartered Accountants

Victoria House

87 High Street

Tillicoultry

Clackmannanshire

FK13 6AA

SOLICITORS:

Turcan Connell

Princes Exchange

1 Earl Grey Street

Edinburgh

EH3 9EE

The following reproduces the text of the report prepared for the directors and members in respect of

the company's annual unaudited financial statements. In accordance with the Companies Act 2006,

the company is only required to file a Balance Sheet. Readers are cautioned that the Income Statement

and certain other primary statements and the Directors' Report are not required to be filed with the

Registrar of Companies.

In accordance with our terms of engagement, and in order to assist you to fulfil your duties under the

Companies Act 2006, we have prepared the financial statements of the company on pages 4 to 13 from the

accounting records and information and explanations supplied to us.

This report is made to the Company's Board of Directors, as a body, in accordance with the terms of our

engagement. Our work has been undertaken to enable us to prepare the financial statements on behalf of the

Company's Board of Directors and for no other purpose. To the fullest extent permitted by law, we do not

accept or assume responsibility to anyone other than the Company and the Company's Board of Directors, as

a body, for our work or for this report.

We have carried out this engagement in accordance with best practice guidance issued by the Institute of

Chartered Accountants of Scotland and have complied with the ethical guidance laid down by the Institute

relating to members undertaking the preparation of financial statements.

You have acknowledged on the balance sheet as at 31 December 2016 your duty to ensure that the company

has kept adequate accounting records and to prepare financial statements that give a true and fair view under

the Companies Act 2006. You consider that the company is exempt from the statutory requirement for an

audit for the year.

We have not been instructed to carry out an audit of the financial statements. 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 financial statements

Atkinson & Co Limited

Chartered Accountants

Victoria House

87 High Street

Tillicoultry

Clackmannanshire

FK13 6AA

Date: .............................................

FIXED ASSETS

Tangible assets

5

8,129,986

8,079,599

CURRENT ASSETS

Stocks

6

23,007

23,959

Debtors

7

50,480

54,870

Cash at bank and in hand

149,465

90,099

222,952

168,928

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

8

(1,613,995

)

(1,563,224

)

NET CURRENT LIABILITIES

(1,391,043

)

(1,394,296

)

TOTAL ASSETS LESS CURRENT LIABILITIES

6,738,943

6,685,303

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

9

(1,582,512

)

(1,618,511

)

PROVISIONS FOR LIABILITIES

(477,781

)

(464,804

)

NET ASSETS

4,678,650

4,601,988

CAPITAL AND RESERVES

Called up share capital

11

985

985

Share premium

2,161,488

2,161,488

Revaluation reserve

2,087,241

2,087,241

Retained earnings

428,936

352,274

SHAREHOLDERS' FUNDS

4,678,650

4,601,988

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st December 2016.

The members have not required the company to obtain an audit of its financial statements for the year ended 31st December 2016 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their 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 of Part 15 of the Companies Act 2006 relating to small companies.

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 on 9th May 2017 and were signed on its behalf by:

Mr A McClung - Director

1.	STATUTORY INFORMATION

Swanston Farm Limited is a private company, limited by shares , registered in Scotland. The

company's registered number and registered office address can be found on the Company Information

page.

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding

discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

not provided

Plant and machinery

-

25% on reducing balance

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% per annum straight line

All fixed assets are initially recorded at cost.

Government grants

Government grants have been recognised in line with the accruals model. Grants totalling £16,437

(2015: £6,910) were received from the Scottish Government to support farming activities.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for

obsolete and slow moving items.

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 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 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

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet.

Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held

under finance leases are depreciated over their estimated useful lives or the lease term, whichever is

the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The

capital element of the future payments is treated as a liability.

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.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 31 .

5.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST OR VALUATION

At 1st January 2016

7,948,965

102,760

256,996

9,958

8,318,679

Additions

59,152

4,200

27,658

-

91,010

At 31st December 2016

8,008,117

106,960

284,654

9,958

8,409,689

DEPRECIATION

At 1st January 2016

-

59,149

169,973

9,958

239,080

Charge for year

-

11,952

28,671

-

40,623

At 31st December 2016

-

71,101

198,644

9,958

279,703

NET BOOK VALUE

At 31st December 2016

8,008,117

35,859

86,010

-

8,129,986

At 31st December 2015

7,948,965

43,611

87,023

-

8,079,599

Cost or valuation at 31st December 2016 is represented by:

Fixtures

Freehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

Valuation in 2002

313,460

-

-

-

313,460

Valuation in 2003

1,754,358

-

-

-

1,754,358

Valuation in 2004

206,297

-

-

-

206,297

Valuation in 2007

1,372,891

-

-

-

1,372,891

Valuation in 2009

5,500

-

-

-

5,500

Valuation in 2011

(1,420,692

)

-

-

-

(1,420,692

)

Valuation in 2014

377,238

-

-

-

377,238

Cost

5,399,065

106,960

284,654

9,958

5,800,637

8,008,117

106,960

284,654

9,958

8,409,689

If Land and Buildings had not been revalued they would have been included at the following

historical cost:

2016

2015

£

£

Cost

5,399,065

-

Value of land in freehold land and buildings

8,008,117

-

Land and Buildings were valued on an open market basis on 24th November 2014 by Graham & Sibbald

.

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Fixtures

Plant and

and

machinery

fittings

Totals

£

£

£

COST OR VALUATION

At 1st January 2016

and 31st December 2016

36,003

48,756

84,759

DEPRECIATION

At 1st January 2016

12,119

22,025

34,144

Charge for year

5,971

6,683

12,654

At 31st December 2016

18,090

28,708

46,798

NET BOOK VALUE

At 31st December 2016

17,913

20,048

37,961

At 31st December 2015

23,884

26,731

50,615

6.

STOCKS

2016

2015

£

£

Stocks

23,007

23,959

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2016

2015

£

£

Trade debtors

4,647

4,189

Other debtors

17,215

39,143

Directors' loan accounts

-

7,707

Prepayments

28,618

3,831

50,480

54,870

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2016

2015

£

£

Bank loans and overdrafts

89,000

71,860

Preference shares

1,125,737

1,125,737

Hire purchase contracts

12,706

22,576

Trade creditors

43,823

60,424

Tax

32,244

8,773

Social security and other taxes

8,592

4,259

VAT

21,109

16,816

Other creditors

40,382

39,914

Credit Card

-

1,604

Directors' loan accounts

192,321

180,078

Accrued expenses

48,081

31,183

1,613,995

1,563,224

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2016

2015

£

£

Bank loans - 2-5 years

1,575,702

1,604,039

Hire purchase contracts

6,810

14,472

1,582,512

1,618,511

10.	SECURED DEBTS

The following secured debts are included within creditors:

2016

2015

£

£

Bank loans

1,664,702

1,675,899

Santander UK PLC hold a bond and floating charge against the company's assets as security for loans

advanced..

Part of Swanston Farm is subject to a standard security in favour of Gilbert McClung (Kelso) Limited.

In addition the following hold standard security over the company's assets for any amounts which may

at any time become due:

Clydesdale Bank PLC

The Governor and Company of the Bank of Scotland

The Royal Bank of Scotland PLC

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2016

2015

value:

£

£

985

Ordinary

£1

985

985

12.	RELATED PARTY DISCLOSURES

The company was under the control of Mr A McClung throughout the current and previous year. Mr

A McClung is a director and the majority shareholder in Swanston Farm Ltd.

Included within creditors are loans of £192,321 (2015: £180,078) from the directors:

Included within debtors are loans of Nil (2015: £7,707) due to the company from the directors.