Harlech Commercial Finance Limited - Period Ending 2018-10-31
Harlech Commercial Finance Limited - Period Ending 2018-10-31
Registration number:
Harlech Commercial Finance Limited
Filleted
for the Year Ended 31 October 2018
Severn House
Hazell Drive
Newport
South Wales
NP10 8FY
Harlech Commercial Finance Limited
Contents
Company Information |
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Accountants' Report |
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Balance Sheet |
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Statement of Changes in Equity |
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Notes to the Financial Statements |
Harlech Commercial Finance Limited
Company Information
Directors |
Mr N A McDonagh Mrs S M McDonagh |
Company secretary |
Mrs S M McDonagh |
Registered office |
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Accountants |
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Page 1 |
Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
Harlech Commercial Finance Limited
for the Year Ended 31 October 2018
As described on the balance sheet you are responsible for the compilation of the accounts for the year ended 31 October 2018, as set out on pages 3 to 11, and you consider that the company is exempt from an audit. In accordance with your instructions we have compiled the unaudited accounts from the accounting records and from information and explanations supplied to us.
Hazell Drive
Newport
South Wales
NP10 8FY
Page 2 |
Harlech Commercial Finance Limited
(Registration number: 06004947)
Balance Sheet as at 31 October 2018
Note |
2018 |
2017 |
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Fixed assets |
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Tangible assets |
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Investment property |
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Current assets |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
( |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
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Profit and loss account |
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Total equity |
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Page 3 |
Harlech Commercial Finance Limited
(Registration number: 06004947)
Balance Sheet as at 31 October 2018
For the financial year ending 31 October 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
• |
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• |
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
.........................................
Mr N A McDonagh
Director
Page 4 |
Harlech Commercial Finance Limited
Statement of Changes in Equity for the Year Ended 31 October 2018
Share capital |
Profit and loss account |
Total |
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At 1 November 2017 |
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Profit for the year |
- |
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Total comprehensive income |
- |
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Dividends |
- |
( |
( |
At 31 October 2018 |
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Share capital |
Profit and loss account |
Total |
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At 1 November 2016 |
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Profit for the year |
- |
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Total comprehensive income |
- |
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Dividends |
- |
( |
( |
At 31 October 2017 |
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Page 5 |
Harlech Commercial Finance Limited
Notes to the Financial Statements for the Year Ended 31 October 2018
General information |
The company registration number is: 06004947
The company is a private company limited by share capital incorporated in United Kingdom.
The address of its registered office is:
These financial statements were authorised for issue by the
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.
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 |
Short leasehold land and buildings |
10% straight line |
Fixtures and fittings |
20% straight line |
Motor vehicles |
20% straight line |
Investment property
Page 6 |
Harlech Commercial Finance Limited
Notes to the Financial Statements for the Year Ended 31 October 2018
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Asset class |
Amortisation method and rate |
Goodwill |
Straight line over 10 years |
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.
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.
Page 7 |
Harlech Commercial Finance Limited
Notes to the Financial Statements for the Year Ended 31 October 2018
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.
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.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Page 8 |
Harlech Commercial Finance Limited
Notes to the Financial Statements for the Year Ended 31 October 2018
Intangible assets |
Goodwill |
Total |
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Cost or valuation |
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At 1 November 2017 |
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At 31 October 2018 |
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Amortisation |
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At 1 November 2017 |
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At 31 October 2018 |
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Carrying amount |
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At 31 October 2018 |
- |
- |
Tangible assets |
Short leasehold land and buildings |
Fixtures and fittings |
Motor vehicles |
Total |
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Cost or valuation |
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At 1 November 2017 |
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Additions |
- |
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- |
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At 31 October 2018 |
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Depreciation |
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At 1 November 2017 |
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Charge for the year |
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At 31 October 2018 |
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Carrying amount |
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At 31 October 2018 |
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At 31 October 2017 |
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Included within the net book value of land and buildings above is £742 (2017 - £1,395) in respect of short leasehold land and buildings.
Page 9 |
Harlech Commercial Finance Limited
Notes to the Financial Statements for the Year Ended 31 October 2018
Investment properties |
2018 |
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At 1 November |
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Additions |
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At 31 October |
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The directors consider that the investment properties are carried at fair value.
There has been no valuation of investment property by an independent valuer.
Debtors |
2018 |
2017 |
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Trade debtors |
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Other debtors |
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Creditors |
Note |
2018 |
2017 |
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Due within one year |
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Bank loans and overdrafts |
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Taxation and social security |
- |
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Corporation tax |
34,095 |
20,434 |
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Directors' current accounts |
771 |
10 |
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Accruals and deferred income |
1,649 |
1,625 |
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Due after one year |
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Loans and borrowings |
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Share capital |
Allotted, called up and fully paid shares
2018 |
2017 |
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No. |
£ |
No. |
£ |
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10 |
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10 |
Page 10 |
Harlech Commercial Finance Limited
Notes to the Financial Statements for the Year Ended 31 October 2018
Loans and borrowings |
2018 |
2017 |
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Non-current loans and borrowings |
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Bank borrowings |
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Finance lease liabilities |
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2018 |
2017 |
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Current loans and borrowings |
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Finance lease liabilities |
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Bank borrowings
The bank loan is secured by a fixed charge over the investment property on the company balance sheet. |
Other borrowings
The hire purchase contract is secured by a fixed charge against the motor vehicle on the company balance sheet.
Dividends |
Interim dividends paid
2018 |
2017 |
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Interim dividend of £3,400 (2017 - £8,570) per each |
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Related party transactions |
Key management personnel
Relationship: Directors
Summary of transactions with key management
Page 11 |