Baytree Publishing Limited - Period Ending 2017-11-30

Registration number: 04603555

Baytree Publishing Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 30 November 2017

Deans Accountants And Business Advisors Ltd
Chartered Accountants and Business Advisors
27 North Bridge Street
Hawick
Borders
TD9 9BD

Baytree Publishing Limited

Contents

Company Information	1
Accountants' Report	2
Balance Sheet	3
Notes to the Financial Statements	4 to 9

Baytree Publishing Limited

Company Information

Director

MG Porter

Company secretary

Mr Mark Graham

Registered office

Thomas Muckle Building Bridge Street Rothbury Northumberland NE65 7SG

Accountants

Deans Accountants And Business Advisors Ltd Chartered Accountants and Business Advisors 27 North Bridge Street Hawick Borders TD9 9BD

Page 1

DEANS

Chartered Accountants

Chartered Accountants' Report to the Director on the Preparation of the Unaudited Statutory Accounts of
Baytree Publishing Limited for the Year Ended 30 November 2017

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Baytree Publishing Limited for the year ended 30 November 2017 as set out on pages 3 to 9 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 of Scotland (ICAS), we are subject to its ethical and other professional requirements which are detailed at http://www.icas.com/ethics/icas-code-of-ethics.

This report is made solely to the Board of Directors of Baytree Publishing Limited, as a body, in accordance with the terms of our engagement letter dated 3 November 2005. Our work has been undertaken solely to prepare for your approval the accounts of Baytree Publishing Limited and state those matters that we have agreed to state to the Board of Directors of Baytree Publishing 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 Baytree Publishing Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Baytree Publishing 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 loss of Baytree Publishing Limited. You consider that Baytree Publishing 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 Baytree Publishing 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.

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

Deans Accountants And Business Advisors Ltd
Chartered Accountants and Business Advisors
27 North Bridge Street
Hawick
Borders
TD9 9BD

13 August 2018

Page 2

Baytree Publishing Limited

(Registration number: 04603555)
Balance Sheet as at 30 November 2017

	Note	2017 £	2016 £
Fixed assets
Tangible assets	3	668	1,126
Current assets
Debtors	4	10,529	15,316
Cash at bank and in hand		47	11
		10,576	15,327
Creditors: Amounts falling due within one year	5	(29,493)	(26,257)
Net current liabilities		(18,917)	(10,930)
Total assets less current liabilities		(18,249)	(9,804)
Creditors: Amounts falling due after more than one year	5	-	(340)
Net liabilities		(18,249)	(10,144)
Capital and reserves
Called up share capital	6	3	3
Profit and loss account		(18,252)	(10,147)
Total equity		(18,249)	(10,144)

For the financial year ending 30 November 2017 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's 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 director acknowledges his 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 director on 13 August 2018
 

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

MG Porter
Director

The notes on pages 4 to 9 form an integral part of these financial statements.

Page 3

Baytree Publishing Limited

Notes to the Financial Statements for the Year Ended 30 November 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:
Thomas Muckle Building
Bridge Street
Rothbury
Northumberland
NE65 7SG
England

The principal place of business is:
Primrose Cottage
Wester Ulston
Jedburgh
Roxburghshire
TD8 6TS
Scotland

These financial statements were authorised for issue by the director on 13 August 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.

The financial statements are presented in Sterling (£) and rounded to the nearest £1.

Going concern

The company has net liabilities of £18,249 as at 30 November 2017. The company relies on the continued support of the directors to finance the day to day working requirements.

The directors consider it appropriate to prepare the Financial Statements on a going concern basis after consideration of all the information available about the foreseeable future (limited to one year from the date of approval of these financial statements) there is reasonable expectation that the company has adequate resources to remain in operational existence for the foreseeable future.

If adoption of the going concern basis was inappropriate, adjustments could be required to write down assets to the assessment of their recoverable value, to reclassify fixed assets as current assets and to provide for any further liabilities that may arise.

Page 4

Baytree Publishing Limited

Notes to the Financial Statements for the Year Ended 30 November 2017

Judgements

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made included:

Useful economic lives of tangible assets – the annual depreciation charge for tangible assets is sensitive to change in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on economic utilisation, and the physical condition of the assets.

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.

Sales of Goods
Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

Rendering of services
Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.

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
Office equipment	33% straight line
Motor vehicles	25% reducing balance

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 5

Baytree Publishing Limited

Notes to the Financial Statements for the Year Ended 30 November 2017

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.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the Profit and Loss Account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

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.

Financial instruments

Classification
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of it’s liabilities.
 Recognition and measurement
Where shares are issued, any component that creates, a financial liability of the company is presented as a liability in the balance sheet. The corresponding dividends relating to the liability component are charged as an interest expenses in the profit and loss account.
 Impairment
At the end of each reporting period financial instruments measured at fair value are assessed for objective evidence of impairment. The impairment loss is recognised in the profit and loss account.
 

Page 6

Baytree Publishing Limited

Notes to the Financial Statements for the Year Ended 30 November 2017

3	Tangible assets

	Office equipment  £	Motor vehicles  £	Total £
Cost or valuation
At 1 December 2016	1,018	8,350	9,368
At 30 November 2017	1,018	8,350	9,368
Depreciation
At 1 December 2016	367	7,875	8,242
Charge for the year	339	119	458
At 30 November 2017	706	7,994	8,700
Carrying amount
At 30 November 2017	312	356	668
At 30 November 2016	651	475	1,126

4

Debtors

	2017 £	2016 £
Trade debtors	3,042	5,906
Other debtors	7,487	9,410
	10,529	15,316

5

Creditors

Creditors: amounts falling due within one year

	Note	2017 £	2016 £
Due within one year
Bank loans and overdrafts	7	25,946	24,661
Trade creditors		883	550
Taxation and social security		-	366
Accruals and deferred income		679	680
Other creditors		1,985	-
		29,493	26,257

Creditors: amounts falling due after more than one year

	Note	2017 £	2016 £
Due after one year
Loans and borrowings	7	-	340

Page 7

Baytree Publishing Limited

Notes to the Financial Statements for the Year Ended 30 November 2017

6	Share capital

Allotted, called up and fully paid shares

	2017		2016
	No.	£	No.	£
Ordinary Share of £1 each	3	3	3	3

7	Loans and borrowings

	2017 £	2016 £
Non-current loans and borrowings
Finance lease liabilities	-	340

	2017 £	2016 £
Current loans and borrowings
Bank overdrafts	3,898	1,875
Finance lease liabilities	340	339
Other borrowings	21,708	22,447
	25,946	24,661

8	Related party transactions

Transactions with directors

2017	At 1 December 2016 £	Repayments by director £	At 30 November 2017 £
MG Porter
Loans are undated and unsecured. Interest has been charged at 2.75% on outstanding balances.	1,941	(1,941)	-

2016	At 1 December 2015 £	Advances to directors £	Repayments by director £	At 30 November 2016 £
MG Porter
Loans are undated and unsecured. Interest has been charged at 2.75% on outstanding balances.	9,476	1,941	(9,476)	1,941

Other transactions with directors

MG Porter (a director)
During the year MG Porter advanced loans to the company. These loans are repayable on demand, the amount due at 30 November was £1,670.

Page 8

Baytree Publishing Limited

Notes to the Financial Statements for the Year Ended 30 November 2017

Summary of transactions with other related parties

Cycle Guides Limited
(Cycle Guides is a company registered in Scotland in which M Porter is a shareholder and director.)
Cycle Guides Limited advanced loans to the company during the year. At the balance sheet date the amount due to them was £21,708 (2016 - £22,447.)
 

9	Transition to FRS 102

No adjustments are required in respect of the transition to FRS 102.

Page 9