Company registration number 06023500 (England and Wales)
GRACEFUL GARDENS (HEVER) LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2022
PAGES FOR FILING WITH REGISTRAR
GRACEFUL GARDENS (HEVER) LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
GRACEFUL GARDENS (HEVER) LIMITED
BALANCE SHEET
AS AT
31 JANUARY 2022
31 January 2022
page 1
2022
2021
Notes
£
£
£
£
Fixed assets
Tangible assets
4
37,607
49,968
Current assets
Stocks
12,833
17,593
Debtors
5
6,302
Cash at bank and in hand
19,696
12,833
43,591
Creditors: amounts falling due within one year
6
(113,993)
(114,811)
Net current liabilities
(101,160)
(71,220)
Total assets less current liabilities
(63,553)
(21,252)
Creditors: amounts falling due after more than one year
7
(57,135)
(57,425)
Provisions for liabilities
(2,228)
(4,971)
Net liabilities
(122,916)
(83,648)
Capital and reserves
Called up share capital
10,000
10,000
Profit and loss reserves
(132,916)
(93,648)
Total equity
(122,916)
(83,648)
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 31 January 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The director acknowledges his responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he member has not required the company to obtain an audit of its financial statements for the year 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.
GRACEFUL GARDENS (HEVER) LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 JANUARY 2022
31 January 2022
page 2
The financial statements were approved and signed by the director and authorised for issue on 25 October 2022
M. Agate
Director
Company Registration No. 06023500
GRACEFUL GARDENS (HEVER) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2022
page 3
1
Accounting policies
Company information
Graceful Gardens (Hever) Limited is a
private
company
limited by shares
incorporated in
England and Wales
.
The registered office is
Gabriel's Farm, Marsh Green Road, Edenbridge, Kent, TN8 5PP.
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 a
mounts
in these financial statements are
rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
The company relies on an overdraft facility and the support of its director to provide day to day working capital. As there is no indication that this support will be withdrawn, the director considers it appropriate to prepare the accounts on the basis that the company is a going concern.
true
1.3
Turnover
Turnover, which is shown net of VAT, represents amounts receivable for the company's landscaping services, which are billed upon completion of each project or stage of a project.
1.4
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:
Plant and machinery
10% straight line
Motor vehicles
20% straight line
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
.
1.5
Stocks
Stock comprises plants and other nursery supplies used in the company's principal activity.
Work in progress comprises the cost of work incurred to date which will be billed upon completion of each project.
Stock
and work in progress are
valued at the lower of cost and net realisable value.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.6
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.
GRACEFUL GARDENS (HEVER) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2022
1
Accounting policies
(Continued)
page 4
1.7
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.
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 and bank overdrafts,
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
paymen
ts 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. A
m
ounts 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.
1.8
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 taxation is provided in full in respect of taxation deferred by timing differences between the treatment of certain items for taxation and accounting purposes. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is more likely than not that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. The deferred tax balance has not been discounted.
1.9
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.
GRACEFUL GARDENS (HEVER) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2022
1
Accounting policies
(Continued)
page 5
1.10
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.11
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair
value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
1.12
Government grants
Government grants are recognised at the fair value of the asset receive
d
or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met
. Where a
grant does not specify performance conditions
it
is recognised in income when the proceeds are received or receivable
. A grant received before the recognition criteria are satisfied is recognised as a liability.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2022
2021
Number
Number
Total
7
5
GRACEFUL GARDENS (HEVER) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2022
page 6
4
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 February 2021 and 31 January 2022
84,263
Depreciation and impairment
At 1 February 2021
34,295
Depreciation charged in the year
12,361
At 31 January 2022
46,656
Carrying amount
At 31 January 2022
37,607
At 31 January 2021
49,968
5
Debtors
2022
2021
Amounts falling due within one year:
£
£
Other debtors
6,302
6
Creditors: amounts falling due within one year
2022
2021
£
£
Bank loans and overdrafts
58,687
59,116
Taxation and social security
41,043
41,247
Other creditors
14,263
14,448
113,993
114,811
Included in other creditors are o
bligations under
finance lease
contracts
which
are secured against the assets financed.
In the previous year, the b
ank loan
w
as made under the Coronavirus
Business Interruption
Loan Scheme, which
wa
s
80
% guaranteed by the government. Interest
wa
s charged at a
n
annual rate of
5.7
%
over the bank's base rate
. Interest for the first 12 months
was
paid by the government and no capital repayments
were
due for the first
30
months
.
In February 2021, the company secured a Bounce Back Loan which repaid the Business Interruption Loan in full at that date. The Bounce Back Loan is 100%
guaranteed by the government. Interest is charged at a fixed annual rate of
2.5
%. Interest for the first 12 months is paid by the government and no capital repayments are due for the first 12 months
.
GRACEFUL GARDENS (HEVER) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2022
page 7
7
Creditors: amounts falling due after more than one year
2022
2021
£
£
Bank loans and overdrafts
46,635
40,625
Obligations under finance leases
10,500
16,800
57,135
57,425
Included in other creditors are o
bligations under
finance lease
contracts
which
are secured against the assets financed.
In the previous year, the b
ank loan
w
as made under the Coronavirus
Business Interruption
Loan Scheme, which
wa
s
80
% guaranteed by the government. Interest
wa
s charged at a
n
annual rate of
5.7
%
over the bank's base rate
. Interest for the first 12 months
was
paid by the government and no capital repayments
were
due for the first
30
months
.
In February 2021, the company secured a Bounce Back Loan which repaid the Business Interruption Loan in full at that date. The Bounce Back Loan is 100%
guaranteed by the government. Interest is charged at a fixed annual rate of
2.5
%. Interest for the first 12 months is paid by the government and no capital repayments are due for the first 12 months
.