Company registration number 00614997 (England and Wales)
HAM MANOR FARMS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 MARCH 2023
PAGES FOR FILING WITH REGISTRAR
HAM MANOR FARMS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
HAM MANOR FARMS LIMITED
BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 1 -
31 March 2023
30 April 2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
761,518
770,324
Investment property
4
410,000
410,000
1,171,518
1,180,324
Current assets
Stocks
352,546
324,772
Debtors
5
114,698
59,267
Cash at bank and in hand
3,159,787
933
3,627,031
384,972
Creditors: amounts falling due within one year
6
(1,000,095)
(1,268,419)
Net current assets/(liabilities)
2,626,936
(883,447)
Total assets less current liabilities
3,798,454
296,877
Provisions for liabilities
(66,629)
(66,629)
Net assets
3,731,825
230,248
Capital and reserves
Called up share capital
10,000
10,000
Non-distributable profits reserve
342,699
342,699
Distributable profit and loss reserves
3,379,126
(122,451)
Total equity
3,731,825
230,248
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial period ended 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the period in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
HAM MANOR FARMS LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2023
31 March 2023
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 19 December 2023 and are signed on its behalf by:
Mr P Langmead
Director
Company Registration No. 00614997
HAM MANOR FARMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 MARCH 2023
- 3 -
1
Accounting policies
Company information
Ham Manor Farms Limited is a private company limited by shares incorporated in England and Wales. The registered office is Roundstone Farm, Littlehampton Road, Ferring, Worthing, West Sussex, United Kingdom, BN12 6PW.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of investment properties at fair value. The principal accounting policies adopted are set out below.
The financial statements relate to Ham Manor Farms Limited as an individual entity.
1.2
Going concern
The cash balance at the year end and the current level of trading and profitability would not appear to be adequate enough to cover another year's trading. The company's principal creditor is the directors. As at the year end amounts owed to the directors totalled £1,102,205. They have confirmed that they will continue to provide financial support to the company and thus considers the going concern basis to continue to be applicable to the preparation of the company's accounts.
1.3
Reporting period
The company has changed its year end to 31 March from 30 April and, as such, these accounts are for an eleven month period. This has been actioned due to align naturally with the tax year. Consequently, the comparative amounts presented in the financial statements (including the related notes) are not entirely comparable.
1.4
Turnover
Turnover represents the amount derived from ordinary activities, stated net of value added tax. Farming income is recognised upon despatch of goods. Rental income, included within other income, is recognised in respect of the period to which it relates.
1.5
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
Not depreciated
Plant and equipment
12.5% on reducing balance
Fixtures and fittings
25% on cost
Office equipment
33% on cost and 10% on reducing balance
Tractors & motor vehicles
25% on reducing balance
HAM MANOR FARMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.6
Investment properties
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.
1.7
Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.
Included within stock are biological assets which are included at the lower of cost and estimated selling price less costs to sell.
1.8
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.9
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
HAM MANOR FARMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 5 -
1.10
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.11
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.12
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.13
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.14
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
HAM MANOR FARMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 6 -
1.15
As a result of COVID-19 Ham Manor Farms Limited have incurred additional expenses to comply with safety requirements and social distancing both on the farm and the PYO farm, which reopened to the public in the previous trading year.
1.16
Transfer to revaluation reserve
Gains or losses on fair value of investment property have been transferred from retained earnings to a specific non-distributable reserve; a revaluation reserve. Similarly all deferred tax relating to these fair value movements have been transferred to the same reserve.
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2023
2022
Number
Number
Total
13
12
3
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost or valuation
At 1 May 2022
500,505
833,010
1,333,515
Additions
42,556
61,771
104,327
Disposals
(60,000)
(54,000)
(114,000)
At 31 March 2023
483,061
840,781
1,323,842
Depreciation and impairment
At 1 May 2022
563,191
563,191
Depreciation charged in the period
51,493
51,493
Eliminated in respect of disposals
(52,360)
(52,360)
At 31 March 2023
562,324
562,324
Carrying amount
At 31 March 2023
483,061
278,457
761,518
At 30 April 2022
500,505
269,819
770,324
Freehold land and buildings includes certain land and buildings which have previously been valued. On a
historical cost basis, land and buildings would have been included at £459,987 (2022 - £459,987).
The company has adopted the transitional exemptions of FRS 102 allowing for a previous revaluation to be used as deemed cost.
HAM MANOR FARMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
3
Tangible fixed assets
(Continued)
- 7 -
4
Investment property
2023
£
Fair value
At 1 May 2022 and 31 March 2023
410,000
If investment property had not been revalued it would have been included at historical cost as at 31 March 2023 of £41,191 (2022: £41,191).
The investment properties were valued on an open market basis on 30 April 2022 by P Langmead.
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
69,662
27,155
Other debtors
45,036
32,112
114,698
59,267
6
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
20,257
Trade creditors
26,076
17,457
Taxation and social security
807,033
8,737
Other creditors
166,986
1,221,968
1,000,095
1,268,419
The following secured debts are included within creditors:
Bank overdrafts of £Nil. (2022 - £20,257).
The bank overdraft is secured by a legal charge over certain freehold property.