Kingfield Community Sports Centre Limited - Period Ending 2017-05-31

Registration number: 03425394

Kingfield Community Sports Centre Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 May 2017

Kingfield Community Sports Centre Limited

Contents

Company Information	1
Balance Sheet	2 to 3
Notes to the Financial Statements	4 to 15

Kingfield Community Sports Centre Limited

Company Information

Directors

James Richard Aughterson Mark Harris

Registered office

Q3, The Square Randalls Way Leatherhead Surrey KT22 7TW

Page 1

Kingfield Community Sports Centre Limited

(Registration number: 03425394)
Balance Sheet as at 31 May 2017

	Note	2017 £	2016 £
Fixed assets
Tangible assets	3	2,312,837	2,292,407
Investments	4	102	102
		2,312,939	2,292,509
Current assets
Debtors	5	49,373	3,147
Cash at bank and in hand		7,917	34,752
		57,290	37,899
Creditors: Amounts falling due within one year	6	(65,407)	(74,093)
Net current liabilities		(8,117)	(36,194)
Total assets less current liabilities		2,304,822	2,256,315
Creditors: Amounts falling due after more than one year	6	(6,231,471)	(6,048,415)
Net liabilities		(3,926,649)	(3,792,100)
Capital and reserves
Called up share capital		1,000	1,000
Share premium reserve		985,870	985,870
Capital contribution reserve		932,148	932,148
Other reserves		1,664,751	1,664,751
Profit and loss account		(7,510,418)	(7,375,869)
Total equity		(3,926,649)	(3,792,100)

For the financial year ending 31 May 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.

The notes on pages 4 to 15 form an integral part of these financial statements.

Page 2

Kingfield Community Sports Centre Limited

(Registration number: 03425394)
Balance Sheet as at 31 May 2017

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 14 February 2018 and signed on its behalf by:
 

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

James Richard Aughterson

Director

The notes on pages 4 to 15 form an integral part of these financial statements.

Page 3

Kingfield Community Sports Centre Limited

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

1	General information

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

The address of its registered office is:
Q3, The Square
Randalls Way
Leatherhead
Surrey
KT22 7TW
United Kingdom

These financial statements were authorised for issue by the Board on 14 February 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 except that as disclosed in the accounting policies certain items are shown at fair value.

Going concern

These financial statements have been prepared on a going concern basis. The Company is dependent upon financial support from its sole shareholder to fund working capital. The shareholder has stated that it is his present intention to support the Company for twelve months from the date of these financial statements being signed. Based on this support the directors believe that the going concern basis is appropriate for the preparation of these financial statements.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

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.

Page 4

Kingfield Community Sports Centre Limited

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

Tax

The tax expense for the period comprises current 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.

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 countries where the company operates and generates taxable income.

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:

Asset class	Depreciation method and rate
Land	No depreciation is charged
Buildings	Straight line basis over 25 - 75 years

Business combinations

Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.

Investments

Fixed asset investments are stated at historical cost less provision for any diminution in value.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Page 5

Kingfield Community Sports Centre Limited

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

Trade debtors

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

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

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 initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

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.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Page 6

Kingfield Community Sports Centre Limited

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

3	Tangible assets

	Land and buildings £	Total £
Cost or valuation
At 1 June 2016	3,181,808	3,181,808
Additions	70,476	70,476
At 31 May 2017	3,252,284	3,252,284
Depreciation
At 1 June 2016	889,401	889,401
Charge for the year	50,046	50,046
At 31 May 2017	939,447	939,447
Carrying amount
At 31 May 2017	2,312,837	2,312,837
At 31 May 2016	2,292,407	2,292,407

Included within the net book value of land and buildings above is £2,312,837 (2016 - £2,292,407) in respect of freehold land and buildings.
 

Page 7

Kingfield Community Sports Centre Limited

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

4	Investments

	2017 £	2016 £
Investments in subsidiaries	102	102

Subsidiaries	£
Cost or valuation
At 1 June 2016	5,236,116
Provision
At 1 June 2016	5,236,014
Carrying amount
At 31 May 2017	102
At 31 May 2016	102

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking	Registered office	Holding	Proportion of voting rights and shares held
			2017	2016
Subsidiary undertakings
Woking Football Club Limited	Kingfield Stadium Kingfield Road Woking Surrey GU22 9AA	510,317 "B" Ordinary Shares	0%	0%
	England

The principal activity of Woking Football Club Limited is professional football club

The loss for the financial period of Woking Football Club Limited was £126,811 and the aggregate amount of capital and reserves at the end of the period was £(3,655,415).

Page 8

Kingfield Community Sports Centre Limited

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

5

Debtors

	2017 £	2016 £
Trade debtors	49,373	-
Other debtors	-	3,147
	49,373	3,147

6

Creditors

Creditors: amounts falling due within one year

	2017 £	2016 £
Due within one year
Trade creditors	41,279	46,025
Taxation and social security	4,334	-
Accruals and deferred income	16,270	19,833
Other creditors	3,524	8,235
	65,407	74,093

Creditors: amounts falling due after more than one year

	Note	2017 £	2016 £
Due after one year
Loans and borrowings	8	4,293,077	4,247,590
Other non-current financial liabilities		1,938,394	1,800,825
		6,231,471	6,048,415

7	Share capital

Allotted, called up and fully paid shares

	2017		2016
	No.	£	No.	£
Ordinary of £1 each	1,000	1,000	1,000	1,000

Page 9

Kingfield Community Sports Centre Limited

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

8	Loans and borrowings

	2017 £	2016 £
Non-current loans and borrowings
Other borrowings	4,293,077	4,247,590

Other borrowings

Director's loan is denominated in with a nominal interest rate of above the base lending rate of HSBC Bank of 3%, and the final instalment is due on 14 February 2019. The carrying amount at year end is £4,193,077 (2016 - £4,147,590).

This loan is secured by a debenture granting a second charge on the assets of Kingfield Community Sports Centre Ltd, behind Woking Borough Council.

Other loan is denominated in with a nominal interest rate of 0%, and the final instalment is due on 14 February 2019. The carrying amount at year end is £100,000 (2016 - £100,000).

9	Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £1,664,751 (2016 - £1,664,751). In accordance with a Heads of Terms agreement dated 18 August 1995, the loan from Woking Borough Council of £1,664,571 (2015: £1,664,571) is secured over the company's freehold property. In 2013 the loan was novated with Woking Football Club Limited as a third party with various enforceable rights and obligations.

This loan is not repayable, except in very unlikely circumstances such as Woking Football Club Limited relocating.

Under the Heads of Terms, Woking Borough Council will offer further financial assistance if Woking Football Club Limited's team gain promotion to the Football League and satisfy the other obligations under the loan agreement. The maximum sum to be advanced will be 50% of the cost of Phase 2 of the Football Club development or £2 million, whichever is the lower.

Interest will be charged on the advance at a fixed rate of 5% per annum but will only become chargeable on 1 January next following the fourth anniversary of the first admission of the Club as a member of the Football League, provided the club is still a member of the Football League on the first anniversary of such first admission. If the club is no longer a member on the fourth anniversary then interest will not become chargeable until 1 January following the date of readmission to the Football League. Any interest chargeable will be borne by Woking Football Club Limited.

The amount received from Woking Borough Council is reflected in "Other Reserves".

Page 10

Kingfield Community Sports Centre Limited

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

10	Related party transactions

James Aughterson, a director of the company, is a Chartered Accountant and the proprietor of Aughtersons Chartered Accountants. Aughtersons Chartered Accountants provides the company with accountancy, tax and commercial advice and services. During the year, Aughtersons Chartered Accountants charged the company £23,400 plus VAT (2016: £15,544 plus VAT) for the services provided. At the balance sheet date the amount due to James Aughterson was £11,985 (2016 - £5,083).

11	Transition to FRS 102

The company has adopted FRS 102 Section 1A as from 31 May 2015.

The main resulting change is that the loan of £1,664,751 from Woking Borough Council has been recategorised as "Other Reserves" in accordance with the amortised cost measurement rules.

Page 11

Kingfield Community Sports Centre Limited

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

Balance Sheet at 1 June 2015
 

	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets	2,253,204	-	-	2,253,204
Investments	102	-	-	102
	2,253,306	-	-	2,253,306
Current assets
Debtors	2,608	-	-	2,608
Cash at bank and in hand	43,371	-	-	43,371
	45,979	-	-	45,979
Creditors: Amounts falling due within one year	(152,652)	100,000	-	(52,652)
Net current (liabilities)/assets	(106,673)	100,000	-	(6,673)
Total assets less current liabilities	2,146,633	100,000	-	2,246,633
Creditors: Amounts falling due after more than one year	(7,279,963)	(100,000)	1,664,751	(5,715,212)
Net (liabilities)/assets	(5,133,330)	-	1,664,751	(3,468,579)

Page 12

Kingfield Community Sports Centre Limited

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

	As originally reported £	Reclassification £	Remeasurement £	As restated £
Capital and reserves
Called up share capital	(1,000)	-	-	(1,000)
Share premium reserve	(985,870)	-	-	(985,870)
Capital redemption reserve	(932,148)	-	-	(932,148)
Other reserves	-	-	(1,664,751)	(1,664,751)
Profit and loss account	7,052,348	-	-	7,052,348
Total equity	5,133,330	-	(1,664,751)	3,468,579

Page 13

Kingfield Community Sports Centre Limited

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

Balance Sheet at 31 May 2016
 

	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets	2,292,407	-	-	2,292,407
Investments	102	-	-	102
	2,292,509	-	-	2,292,509
Current assets
Debtors	3,146	-	-	3,146
Cash at bank and in hand	34,752	-	-	34,752
	37,898	-	-	37,898
Creditors: Amounts falling due within one year	(174,094)	100,000	-	(74,094)
Net current (liabilities)/assets	(136,196)	100,000	-	(36,196)
Total assets less current liabilities	2,156,313	100,000	-	2,256,313
Creditors: Amounts falling due after more than one year	(7,613,166)	(100,000)	1,664,751	(6,048,415)
Net (liabilities)/assets	(5,456,853)	-	1,664,751	(3,792,102)

Page 14

Kingfield Community Sports Centre Limited

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

	As originally reported £	Reclassification £	Remeasurement £	As restated £
Capital and reserves
Called up share capital	(1,000)	-	-	(1,000)
Share premium reserve	(985,870)	-	-	(985,870)
Capital redemption reserve	(932,148)	-	-	(932,148)
Other reserves	-	-	(1,664,751)	(1,664,751)
Profit and loss account	7,375,871	-	-	7,375,871
Total equity	5,456,853	-	(1,664,751)	3,792,102

Page 15