Company Registration No. 09808126 (England and Wales)
AKARORA PROPERTIES LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 OCTOBER 2019
PAGES FOR FILING WITH REGISTRAR
Century House
Wargrave Road
Henley-on-Thames
RG9 2LT
AKARORA PROPERTIES LIMITED
CONTENTS
Page
Company information
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 7
AKARORA PROPERTIES LIMITED
COMPANY INFORMATION
- 1 -
Directors
Mr. G. Arora
Mrs. R. Arora
Company number
09808126
Registered office
4 Highfield
Chalfont St. Giles
Buckinghamshire
HP8 4HA
Accountants
Taylorcocks Thames Valley LLP
Century House
Wargrave Road
Henley-on-Thames
RG9 2LT
AKARORA PROPERTIES LIMITED
BALANCE SHEET
AS AT
31 OCTOBER 2019
31 October 2019
- 2 -
2019
2018
Notes
£
£
£
£
Fixed assets
Investment properties
2
164,224
164,224
Current assets
Debtors
3
11,297
12,935
Cash at bank and in hand
109
82
11,406
13,017
Creditors: amounts falling due within one year
4
(108,094)
(105,377)
Net current liabilities
(96,688)
(92,360)
Total assets less current liabilities
67,536
71,864
Creditors: amounts falling due after more than one year
5
(86,210)
(86,007)
Net liabilities
(18,674)
(14,143)
Capital and reserves
Called up share capital
6
2
2
Profit and loss reserves
(18,676)
(14,145)
Total equity
(18,674)
(14,143)
AKARORA PROPERTIES LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 OCTOBER 2019
31 October 2019
- 3 -
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 year ended 31 October 2019 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.
T
he members have 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.
The financial statements were approved by the board of directors and authorised for issue on 28 July 2020 and are signed on its behalf by:
Mr. G. Arora
Director
Company Registration No. 09808126
The notes on pages 4 to 7 form part of these financial statements
AKARORA PROPERTIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2019
- 4 -
1
Accounting policies
Company information
Akarora Properties Limited
(09808126)
is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
4 Highfield, Chalfont St. Giles, Buckinghamshire, HP8 4HA.
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, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
The financial statements have been prepared on a going concern basis, which assumes the company will continue in operational existence, and will be able to meet its liabilities as they fall due, for a period of at least twelve months from the date of approval of the financial statements.
true
As stated in note 7 the directors have reviewed the impact of COVID-19 on the operations and financial position of the company and have a reasonable expectation that the company has adequate resources to continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover represents rents receivable in the period from the investment propert
ies
held
.
1.4
Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure
. Subsequently it is measured
at fair value a
t
the reporting end date.
The surplus or deficit on revaluation is recognised in profit or loss.
Where fair value cannot be achieved without undue cost or effort, investment property is accounted for as tangible fixed assets.
1.5
Cash at bank and in hand
Cash at bank and in hand
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.
AKARORA PROPERTIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2019
1
Accounting policies
(Continued)
- 5 -
1.6
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
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.
1.7
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.
AKARORA PROPERTIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2019
- 6 -
2
Investment property
2019
£
Fair value
At 1 November 2018 and 31 October 2019
164,224
The investment properties were valued by the Directors as at 31 October 2019. The Directors consider there to have been no movement in the values of the properties in the year to 31 October 2019.
3
Debtors
2019
2018
Amounts falling due within one year:
£
£
Trade debtors
-
1,418
Other debtors
11,297
11,297
Prepayments and accrued income
-
220
11,297
12,935
4
Creditors: amounts falling due within one year
2019
2018
£
£
Trade creditors
1,074
-
Other creditors
106,020
104,377
Accruals and deferred income
1,000
1,000
108,094
105,377
AKARORA PROPERTIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2019
- 7 -
5
Creditors: amounts falling due after more than one year
2019
2018
Notes
£
£
Bank loans and overdrafts
57,638
57,435
Other borrowings
28,572
28,572
86,210
86,007
The aggregate amount of creditors for which security has been given amounted to £
57,638
(201
8
-
£
57,435
).
6
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
1 Ordinary A share of £1 each
1
1
1 Ordinary B share of £1 each
1
1
2
2
7
Events after the reporting date
At the date of the approval of these financial statements the COVID-19 pandemic is having a significant detrimental impact on the social and financial economies of the world. The impact of COVID-19 and the measures the UK Government have announced are likely to have an impact on the operations of the company and its customers for the forthcoming period. The duration of the measures announced to tackle the COVID-19 pandemic has not been defined and there is considerable uncertainty in measuring the potential impact of the measures on the company. These factors and any future policy announcements by the UK Government are largely outside of the control of the company’s directors, but could impact the company.
Accordingly, the financial statements are prepared on a going concern basis, under which assets are recovered and liabilities repaid in the ordinary course of business. The accompanying financial statements do not include adjustments that would need to be made in the case the company was unable to continue as a going concern, should the assumptions referred to above subsequently prove to be invalid.