Nailer Properties Limited - Period Ending 2016-12-31

Registration number: 08461340

Nailer Properties Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 December 2016

Nailer Properties Limited

Contents

Company Information	1
Accountants' Report	2
Balance Sheet	3 to 4
Statement of Changes in Equity	5
Notes to the Financial Statements	6 to 11

Nailer Properties Limited

Company Information

Directors

K J Roberts J A Roberts

Registered office

5 Prospect Place Millennium Way Pride Park Derby DE24 8HG

Bankers

Lloyds Bank PLC Compton Ashbourne Derbyshire DE1 1DY

Accountants

Ashgates Corporate Services Limited  5 Prospect Place Millennium Way Pride Park Derby DE24 8HG

Page 1

Chartered Certified Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Nailer Properties Limited
for the Year Ended 31 December 2016

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Nailer Properties Limited for the year ended 31 December 2016 as set out on pages 3 to 11 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 Nailer Properties 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 Nailer Properties Limited and state those matters that we have agreed to state to the Board of Directors of Nailer Properties Limited, 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 Nailer Properties Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Nailer Properties 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 Nailer Properties Limited. You consider that Nailer Properties 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 Nailer Properties 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.

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

Ashgates Corporate Services Limited
5 Prospect Place
Millennium Way
Pride Park
Derby
DE24 8HG

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

Page 2

Nailer Properties Limited

(Registration number: 08461340)
Balance Sheet as at 31 December 2016

	Note	2016 £	2015 £
Fixed assets
Tangible assets	4	3,670	256
Investment property	5	435,000	275,000
Investments		200	200
		438,870	275,456
Current assets
Debtors	7	1,415	363
Cash at bank and in hand		14,214	64,638
		15,629	65,001
Creditors: Amounts falling due within one year	8	(25,050)	(28,602)
Net current (liabilities)/assets		(9,421)	36,399
Total assets less current liabilities		429,449	311,855
Creditors: Amounts falling due after more than one year	8	(268,012)	(175,330)
Provisions for liabilities		(24)	(51)
Net assets		161,413	136,474
Capital and reserves
Called up share capital		400	400
Fair value reserve		9,012	20,648
Profit and loss account		152,001	115,426
Total equity		161,413	136,474

The notes on pages 6 to 11 form an integral part of these financial statements.

Page 3

Nailer Properties Limited

(Registration number: 08461340)
Balance Sheet as at 31 December 2016

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

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the Board on 14 May 2017 and signed on its behalf by:
 

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

K J Roberts

Director

The notes on pages 6 to 11 form an integral part of these financial statements.

Page 4

Nailer Properties Limited

Statement of Changes in Equity for the Year Ended 31 December 2016

	Share capital £	Fair value reserve £	Profit and loss account £	Total £
At 1 January 2016	400	20,648	115,426	136,474
Profit for the year	-	-	108,811	108,811
Total comprehensive income	-	-	108,811	108,811
Dividends	-	-	(83,872)	(83,872)
Transfers	-	(11,636)	11,636	-
At 31 December 2016	400	9,012	152,001	161,413

	Share capital £	Fair value reserve £	Profit and loss account £	Total £
At 1 January 2015	400	17,848	97,804	116,052
Profit for the year	-	-	95,348	95,348
Total comprehensive income	-	-	95,348	95,348
Dividends	-	-	(74,926)	(74,926)
Transfers	-	2,800	(2,800)	-
At 31 December 2015	400	20,648	115,426	136,474

The notes on pages 6 to 11 form an integral part of these financial statements.

Page 5

Nailer Properties Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

1	General information

The company is a private company limited by share capital incorporated in England.

The address of the registered office is given in the company information on page 1 of these financial statements.

The principal place of business is:
34 Gregorys Way
Belper
Derbyshire
DE56 0HS

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

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

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

The financial statements are presented in sterling (£).

Tax

The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Page 6

Nailer Properties Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Asset class	Depreciation method and rate
Furniture, fittings and equipment	25% reducing balance basis

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate. The values are observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 2 (2015 - 2).

Page 7

Nailer Properties Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

4	Tangible assets

	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 January 2016	607	607
Additions	3,548	3,548
At 31 December 2016	4,155	4,155
Depreciation
At 1 January 2016	351	351
Charge for the year	134	134
At 31 December 2016	485	485
Carrying amount
At 31 December 2016	3,670	3,670
At 31 December 2015	256	256

5	Investment properties

	2016 £
At 1 January	275,000
Additions	171,636
Fair value adjustments	(11,636)
At 31 December	435,000

The fair values of the investement properties were reviewed by the directors at 31 December 2016. The fair values have been determined by carrying out a review of the property and investment yields in the area. These properties were valued at £435,000 (2015 - £275,000) which includes a new property valued at £150,000 (2015 - £nil).

Page 8

Nailer Properties Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

6	Investments

	2016 £	2015 £
Investments in subsidiaries	200	200

Subsidiaries	£
Cost or valuation
At 1 January 2016	200
Provision
Carrying amount
At 31 December 2016	200
At 31 December 2015	200

7

Debtors

	2016 £	2015 £
Other debtors	1,415	363
	1,415	363

8

Creditors

	Note	2016 £	2015 £
Due within one year
Bank loans and overdrafts	9	6,997	3,968
Trade creditors		361	-
Amounts owed to group undertakings and undertakings in which the company has a participating interest		-	22,000
Other creditors		17,692	2,634
		25,050	28,602
Due after one year
Loans and borrowings	9	268,012	175,330

Page 9

Nailer Properties Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

9	Loans and borrowings

	2016 £	2015 £
Non-current loans and borrowings
Bank borrowings	268,012	175,330

	2016 £	2015 £
Current loans and borrowings
Bank borrowings	6,997	3,968

The above bank borrowings are secured on the assets of the company including all investment properties.

10	Non adjusting events after the financial period

The following dividends have been paid after the balance sheet date: January 2017 - £4,656 on ordinary shares February 2017 - £4,656 on ordinary shares March 2017 - £4,656 on ordinary shares April 2017 - £4,640 on ordinary shares

11	Transition to FRS 102

The financial statements are the company's first financial statements that comply with FRS102. The date of the transition to FRS102 was 1 January 2015.

Deferred tax:
Under previous GAAP, the company did not make any adjustments for deferred tax on revalued non-current assets. Under FRS102 the company is required to recognise the deferred tax. The deferred tax liabilities were deemed immaterial as at 1 January 2015 and 31 December 2015 so no adjustment has been made for the year ended 31 December 2015.

Investment properties:
Investment properties are to be recorded at fair value at each reporting date with changes in such value being recognised in the profit and loss account.

The differences noted above have resulted in there being no changes to the company’s balance sheet, either at transition or at the comparative date. The changes have resulted in adjustments to the comparative profit and loss account, details of which can be found below:

Page 10

Nailer Properties Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Profit and Loss Account for the year ended 31 December 2015
 

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Turnover		10,487	-	-	10,487
Cost of sales		(12,605)	-	-	(12,605)
Gross loss		(2,118)	-	-	(2,118)
Other operating income		99,926	-	-	99,926
Operating profit		97,808	-	-	97,808
Gain on financial assets at fair value through profit and loss account		-	2,800	-	2,800
Other interest receivable and similar income		840	-	-	840
Interest payable and similar expenses		(6,117)	-	-	(6,117)
		(5,277)	2,800	-	(2,477)
Profit before tax		92,531	2,800	-	95,331
Taxation		17	-	-	17
Profit for the financial year		92,548	2,800	-	95,348

The reclassification adjustment noted above relates to the gain on valuation of the Investment Properties, under FRS102 the gain is to be recognised in the Profit and Loss account as opposed to the Statement of Recognised Gains and Losses, which was applicable under old UK GAAP.

Page 11