Hatton Holdings Limited - Period Ending 2017-03-31

Registration number: 09443575

Hatton Holdings Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 March 2017

Lanham & Francis
Chartered Accountants
77a Cheap Street
Sherborne
Dorset
DT9 3BA

Hatton Holdings Limited

Contents

Company Information	1
Accountants' Report	2
Statement of Comprehensive Income	3
Balance Sheet	4
Statement of Changes in Equity	5
Notes to the Financial Statements	6 to 10

Hatton Holdings Limited

Company Information

Directors

Mr G A P Pole-Carew Mrs G E M Pole-Carew

Registered office

77a Cheap Street Sherborne Dorset DT9 3BA

Accountants

Lanham & Francis Chartered Accountants 77a Cheap Street Sherborne Dorset DT9 3BA

Page 1

Chartered Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Hatton Holdings Limited
for the Year Ended 31 March 2017

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Hatton Holdings Limited for the year ended 31 March 2017 as set out on pages 3 to 10 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at
http://www.icaew.com/en/members/regulations-standards-and-guidance/.

This report is made solely to the Board of Directors of Hatton Holdings 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 Hatton Holdings Limited and state those matters that we have agreed to state to the Board of Directors of Hatton Holdings Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Hatton Holdings Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Hatton Holdings 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 Hatton Holdings Limited. You consider that Hatton Holdings 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 Hatton Holdings 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.

Lanham & Francis
Chartered Accountants
77a Cheap Street
Sherborne
Dorset
DT9 3BA

29 January 2018

Page 2

Hatton Holdings Limited

Statement of Comprehensive Income for the Year Ended 31 March 2017

	Note	2017 £	2016 £
Profit/(loss) for the year		2,483	(8,183)
Total comprehensive income for the year		2,483	(8,183)

The notes on pages 6 to 10 form an integral part of these financial statements.

Page 3

Hatton Holdings Limited

(Registration number: 09443575)
Balance Sheet as at 31 March 2017

	Note	2017 £	2016 £
Fixed assets
Tangible assets	4	1,788	2,589
Current assets
Stocks	5	179,064	168,415
Debtors	6	9,296	2,068
Cash at bank and in hand		123	10
		188,483	170,493
Creditors: Amounts falling due within one year	7	(189,016)	(178,765)
Net current liabilities		(533)	(8,272)
Total assets less current liabilities		1,255	(5,683)
Creditors: Amounts falling due after more than one year	7	(6,951)	(2,496)
Net liabilities		(5,696)	(8,179)
Capital and reserves
Called up share capital		4	4
Profit and loss account		(5,700)	(8,183)
Total equity		(5,696)	(8,179)

For the financial year ending 31 March 2017 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 in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been 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 29 January 2018 and signed on its behalf by:
 

Mr G A P Pole-Carew

Director

The notes on pages 6 to 10 form an integral part of these financial statements.

Page 4

Hatton Holdings Limited

Statement of Changes in Equity for the Year Ended 31 March 2017

	Share capital £	Profit and loss account £	Total £
At 1 April 2016	4	(8,183)	(8,179)
Profit for the year	-	2,483	2,483
Total comprehensive income	-	2,483	2,483
At 31 March 2017	4	(5,700)	(5,696)

 

	Share capital £	Profit and loss account £	Total £
Loss for the year	-	(8,183)	(8,183)
Total comprehensive income	-	(8,183)	(8,183)
New share capital subscribed	4	-	4
At 31 March 2016	4	(8,183)	(8,179)

The notes on pages 6 to 10 form an integral part of these financial statements.

Page 5

Hatton Holdings Limited

Notes to the Financial Statements for the Year Ended 31 March 2017

1	General information

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

The address of its registered office is:
77a Cheap Street
Sherborne
Dorset
DT9 3BA

The principal place of business is:
Higher Waterston Farm
High Waterston
DORCHESTER
Dorset
DT2 7SW

These financial statements were authorised for issue by the Board on 29 January 2018.

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.

Going concern

At 31 March 2017 the company is insolvent and entirely reliant on the support of its directors. The directors will not withdraw this from the company and will provide finance to the company from personal resources to avoid any cashflow difficulties. The financial statements have therefore been prepared on a going concern basis. However the company has no stock insurance as the directors do not believe that this is economically viable. There is one particularly valuable item of stock. If this were to be stolen or in some way damaged, it is uncertain whether the company could continue trading.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of equine stock and provision of services in the ordinary course of the company’s activities. Turnover is shown net of value added tax and rebates.

The company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity and specific criteria have been met for each of the company's activities.

Tax

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the United Kingdom.

Page 6

Hatton Holdings Limited

Notes to the Financial Statements for the Year Ended 31 March 2017 (continued)

2	Accounting policies (continued)

Tangible assets

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

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:

Asset class	Depreciation method and rate
Furniture, fittings and equipment	20% on reducing balance
Other property, plant and equipment	3 years on cost

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits.

Trade debtors

Trade debtors are amounts due from customers for equine stock sold or services performed in the ordinary course of business.

Trade debtors are recognised at the transaction price.

Stocks

Equine stock is valued on a fair value basis less costs to sell. Brood mares and other purchased stock are initially valued at original cost to the company whilst a cost of rearing is applied to homebred stock from birth to the age of three years. Net realisable value is used for any equine stock with health issues which reduce the value of individual animals to below cost price.

This represents a change in accounting policy arising from the application of FRS102. However, the change in policy is not considered to have given rise to a material difference to the stock value, either in the current year or earlier years.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised at the transaction price.

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.

The interest expense is recognised as charged 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.

Page 7

Hatton Holdings Limited

Notes to the Financial Statements for the Year Ended 31 March 2017 (continued)

2	Accounting policies (continued)

Share capital

Ordinary shares are classified as equity.

Financial instruments

Classification
FRS 102 classifies financial instruments as either basic financial instruments or other financial instruments. The accounting treatment varies according to the classification.
Basic financial instruments are defined as one of the following:
- cash
- a debt instrument (such as accounts receivable and payable)
- commitment to receive a loan that satisfy certain criteria
- investments in non-convertible preference shares, and non puttable ordinary shares.

All other financial instruments are classed as other financial instruments and treated accordingly.

 Recognition and measurement
The company only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 2 (2016 - 2).

4	Tangible assets

	Furniture, fittings and equipment  £	Other property, plant and equipment  £	Total £
Cost or valuation
At 1 April 2016	1,417	2,055	3,472
At 31 March 2017	1,417	2,055	3,472
Depreciation
At 1 April 2016	472	411	883
Charge for the period	472	329	801
At 31 March 2017	944	740	1,684
Carrying amount
At 31 March 2017	473	1,315	1,788
At 31 March 2016	945	1,644	2,589

Page 8

Hatton Holdings Limited

Notes to the Financial Statements for the Year Ended 31 March 2017 (continued)

5

Stocks

	2017 £	2016 £
Other inventories	179,064	168,415

6

Debtors

	2017 £	2016 £
Trade debtors	6,662	868
Other debtors	2,634	1,200
Total current trade and other debtors	9,296	2,068

7

Creditors

	Note	2017 £	2016 £
Due within one year
Bank loans and overdrafts	8	12,951	10,716
Trade creditors		17,621	33,572
Taxation and social security		5,365	-
Other creditors		153,079	134,477
		189,016	178,765
Due after one year
Loans and borrowings	8	6,951	2,496

Page 9

Hatton Holdings Limited

Notes to the Financial Statements for the Year Ended 31 March 2017 (continued)

8	Loans and borrowings

	2017 £	2016 £
Non-current loans and borrowings
Other borrowings	6,951	2,496

	2017 £	2016 £
Current loans and borrowings
Other borrowings	12,951	10,716

9	Related party transactions

Transactions with directors

2016

Other transactions with directors

The company has assumed responsibility for certain bank loans in the names of the directors. These loans are therefore treated as company debts and interest arising thereon is charged to the profit and loss account. The outstanding balances on the loans at 31 March 2017 was £11,401 (2016 : £4,713), and the interest charged was £1,555 (2016 : £277).

10	Transition to FRS 102

The date of transition to FRS 102 was 17 February 2015. The company commenced trading on 17 February 2015 and there are no adjustments to reclassify or remeasure the original figures at 31 March 2016 or the period ended 31 March 2016 as a result of the implementation of FRS 102.

Page 10