Anchortoken (1985) Limited - Period Ending 2017-05-31

Registration number: 1916220

Anchortoken (1985) Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 May 2017

Young & Co
Chartered Accountants
Bewell House
Bewell Street
Hereford
Herefordshire
HR4 0BA

Anchortoken (1985) Limited

Contents

Company Information	1
Accountants' Report	2
Balance Sheet	3 to 4
Notes to the Financial Statements	5 to 12

Anchortoken (1985) Limited

Company Information

Directors

Mrs E A Broughton Mr A H Collins

Company secretary

Mrs E A Broughton

Registered office

Bewell House Bewell Street Hereford Herefordshire HR4 0BA

Accountants

Young & Co Chartered Accountants Bewell House Bewell Street Hereford Herefordshire HR4 0BA

Page 1

Chartered Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Anchortoken (1985) Limited
for the Year Ended 31 May 2017

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Anchortoken (1985) Limited for the year ended 31 May 2017 as set out on pages 3 to 12 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 Anchortoken (1985) 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 Anchortoken (1985) Limited and state those matters that we have agreed to state to the Board of Directors of Anchortoken (1985) 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 Anchortoken (1985) Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Anchortoken (1985) 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 Anchortoken (1985) Limited. You consider that Anchortoken (1985) 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 Anchortoken (1985) 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.

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

Young & Co
Chartered Accountants
Bewell House
Bewell Street
Hereford
Herefordshire
HR4 0BA

28 February 2018

Page 2

Anchortoken (1985) Limited

(Registration number: 1916220)
Balance Sheet as at 31 May 2017

	Note	2017 £	(As restated) 2016 £
Fixed assets
Investment property	3	700,000	675,000
Current assets
Debtors	4	1,823	22,086
Cash at bank and in hand		137,675	130,035
		139,498	152,121
Creditors: Amounts falling due within one year	5	(108,761)	(88,542)
Net current assets		30,737	63,579
Total assets less current liabilities		730,737	738,579
Creditors: Amounts falling due after more than one year	5	(17,942)	(39,892)
Net assets		712,795	698,687
Capital and reserves
Called up share capital		249,989	249,989
Profit and loss account		462,806	448,698
Total equity		712,795	698,687

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.

The notes on pages 5 to 12 form an integral part of these financial statements.

Page 3

Anchortoken (1985) Limited

(Registration number: 1916220)
Balance Sheet as at 31 May 2017
(continued)

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 28 February 2018 and signed on its behalf by:
 

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

Mr A H Collins

Director

The notes on pages 5 to 12 form an integral part of these financial statements.

Page 4

Anchortoken (1985) 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 and Wales.

The address of its registered office is:
Bewell House
Bewell Street
Hereford
Herefordshire
HR4 0BA
United Kingdom

The principal place of business is:
The Old Boatyard
Clovelly View
Turnchapel
Plymouth
PL9 9SY

These financial statements were authorised for issue by the Board on 28 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.

Page 5

Anchortoken (1985) Limited

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

2	Accounting policies (continued)

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use 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.

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.

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.

Page 6

Anchortoken (1985) Limited

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

2	Accounting policies (continued)

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.

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.

Page 7

Anchortoken (1985) Limited

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

3	Investment properties

	2017 £
At 1 June	675,000
Fair value adjustments	25,000
At 31 May	700,000

The fair value of investment property is the open market value as determined by the directors.

There has been no valuation of investment property by an independent valuer.

4

Debtors

	2017 £	2016 £
Trade debtors	1,823	1,841
Other debtors	-	20,245
Total current trade and other debtors	1,823	22,086

5

Creditors

	Note	2017 £	2016 £
Due within one year
Bank loans and overdrafts	6	22,391	21,649
Other creditors		86,370	66,893
		108,761	88,542
Due after one year
Loans and borrowings	6	17,942	39,892

Page 8

Anchortoken (1985) Limited

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

6	Loans and borrowings

	2017 £	2016 £
Non-current loans and borrowings
Bank borrowings	17,942	39,892

	2017 £	2016 £
Current loans and borrowings
Bank borrowings	22,391	21,649

Bank borrowings

Bank loan is denominated in £ with a nominal interest rate of 3.5%, and the final instalment is due on 11 March 2019. The carrying amount at year end is £40,333 (2016 - £61,541). It is secured by a mortgage over the company's investment property and fixed and floating charges over the assets of the company

7

Dividends

	2017	2016
	£	£
Final dividend of £0.20 (2016 - £0.20) per ordinary share	49,998	49,998

Page 9

Anchortoken (1985) Limited

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

8	Transition to FRS 102

Following the adoption of FRS102, the accounting policy in respect of investment property has changed. Previously investment property was shown at valuation as freehold property in tangible fixed assets, and changes in revaluation were recognised as a movement in the revaluation reserve. FRS102 requires that investment property is classified separately to tangible fixed assets, and the change in fair value is recognised as part of the profit or loss for the year. Consequently, investment property has been reclassified within fixed assets and the revaluation reserve has been restated to form part of the profit and loss reserve.

In addition, the provision for deferred tax has also been reviewed to take into account the deferred tax charge on the fair value adjustment. However, it was found that no deferred tax provision was required.

Page 10

Anchortoken (1985) Limited

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

8	Transition to FRS 102 (continued)

Balance Sheet at 1 June 2015
 

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets		675,000	(675,000)	-	-
Investment property		-	675,000	-	675,000
		675,000	-	-	675,000
Current assets
Debtors		23,318	-	-	23,318
Cash at bank and in hand		206,204	-	-	206,204
		229,522	-	-	229,522
Creditors: Amounts falling due within one year		(108,789)	-	-	(108,789)
Net current assets		120,733	-	-	120,733
Total assets less current liabilities		795,733	-	-	795,733
Creditors: Amounts falling due after more than one year		(60,910)	-	-	(60,910)
Net assets		734,823	-	-	734,823
Capital and reserves
Called up share capital		(249,989)	-	-	(249,989)
Revaluation reserve		(113,824)	113,824	-	-
Profit and loss account		(371,010)	(113,824)	-	(484,834)
Total equity		(734,823)	-	-	(734,823)

Page 11

Anchortoken (1985) Limited

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

8	Transition to FRS 102 (continued)

Balance Sheet at 31 May 2016
 

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets		675,000	(675,000)	-	-
Investment property		-	675,000	-	675,000
		675,000	-	-	675,000
Current assets
Debtors		22,086	-	-	22,086
Cash at bank and in hand		130,035	-	-	130,035
		152,121	-	-	152,121
Creditors: Amounts falling due within one year		(88,541)	-	-	(88,541)
Net current assets		63,580	-	-	63,580
Total assets less current liabilities		738,580	-	-	738,580
Creditors: Amounts falling due after more than one year		(39,893)	-	-	(39,893)
Net assets		698,687	-	-	698,687
Capital and reserves
Called up share capital		(249,989)	-	-	(249,989)
Revaluation reserve		(113,824)	113,824	-	-
Profit and loss account		(334,874)	(113,824)	-	(448,698)
Total equity		(698,687)	-	-	(698,687)

Page 12