Company Registration No. SC393327 (Scotland)
PTARMIGAN HOMES LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2020
PAGES FOR FILING WITH REGISTRAR
PTARMIGAN HOMES LIMITED
CONTENTS
Page
Statement of financial position
1 - 2
Notes to the financial statements
3 - 9
PTARMIGAN HOMES LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2020
31 March 2020
- 1 -
2020
2019
Notes
£
£
£
£
Fixed assets
Intangible assets
3
84,177
129,330
Tangible assets
4
4,229
6,077
88,406
135,407
Current assets
Stocks
151,913
151,913
Debtors
5
77,764
139,742
Cash at bank and in hand
2,439
64,537
232,116
356,192
Creditors: amounts falling due within one year
6
(636,140)
(557,316)
Net current liabilities
(404,024)
(201,124)
Total assets less current liabilities
(315,618)
(65,717)
Creditors: amounts falling due after more than one year
7
-
(44,732)
Net liabilities
(315,618)
(110,449)
Capital and reserves
Called up share capital
9
90,100
90,100
Profit and loss reserves
(405,718)
(200,549)
Total equity
(315,618)
(110,449)
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial year ended 31 March 2020 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 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.
PTARMIGAN HOMES LIMITED
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 MARCH 2020
31 March 2020
- 2 -
The financial statements were approved and signed by the director and authorised for issue on 17 March 2021
M A Roy
Director
Company Registration No. SC393327
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2020
- 3 -
1
Accounting policies
Company information
Ptarmigan Homes Limited is a
private
company
limited by shares
incorporated in Scotland.
The registered office is
Castle House, Fairways Business Park, Inverness, United Kingdom, IV2 6AA.
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
These financial statements have been prepared on a going concern basis. The director is aware of the net liability and net current liability position of the company which is reliant on the continued support of the director and suppliers of the company to provide credit. The company has streamlined the business during the year and the support of key suppliers has been confirmed. The director expects the company to make profits in the next financial year and on this basis, it is considered appropriate to prepare the financial statements on a going concern basis.
In common with most businesses the company is facing potential issues in respect of the COVID-19 pandemic. This is an ongoing situation and the company is adopting a strategy to manage the everchanging situation as effectively as possible.
The director is satisfied that these events do not affect the company's ability to continue as a going concern and this basis is appropriate for the preparation of the accounts.
1.3
Turnover
Turnover from a contract to provide services is recognised based on the proportion of the service provided during the year at the transaction price received or receivable, excluding discounts and value added taxes.
Turnover from a construction contract is recognised as the value of work done in the year based on surveyors' valuation of the work performed to date. If a surveyor's valuation is not available, the company only recognise income to the extent of any contract costs that it is probable will be
recoverable. These costs must also be recognised in the period that they are incurred.
The company will recognise as an expense immediately any costs whose recovery is not probable. When it is probable that total contract costs will exceed total contract revenue on a construction contract, the value of the expected loss is included as an expense immediately.
1.4
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated
amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 5 years.
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2020
1
Accounting policies
(Continued)
- 4 -
1.5
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Amortisation 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:
Intellectual property
5 years
1.6
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:
Office equipment
20% reducing balance
Computers
33% on cost
Motor vehicles
25% reducing balance
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
.
1.7
Impairment of fixed assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company
estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
1.8
Stocks
Stock and work in progress are stated at the lower of cost and net realisable value. The net
realisable value of construction work in progress, which includes attributable profit on contracts and
is determined on the basis of the measured work of the balance sheet date, is included in debtors.
Deductions are made for net foreseeable losses and progress payments received. Payments
received in excess of net realisable value on a contract are included in creditors.
1.9
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.
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2020
1
Accounting policies
(Continued)
- 5 -
1.10
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 statement of financial position 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.
1.11
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs
.
Dividends payable on equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.
1.12
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 income statement 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.
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2020
1
Accounting policies
(Continued)
- 6 -
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 income statement, 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.
1.13
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.
1.14
Retirement benefits
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund. Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due
.
1.15
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 lease
s
asset are consumed.
1.16
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation
in the period
are included in profit or loss.
1.17
Short term debtors are measured at the transaction price, less any impairment.
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2020
- 7 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 5 (2019 - 7).
2020
2019
Number
Number
Total
5
7
3
Intangible fixed assets
Goodwill
Other
Total
£
£
£
Cost
At 1 April 2019 and 31 March 2020
216,764
9,000
225,764
Amortisation and impairment
At 1 April 2019
92,534
3,900
96,434
Amortisation charged for the year
43,353
1,800
45,153
At 31 March 2020
135,887
5,700
141,587
Carrying amount
At 31 March 2020
80,877
3,300
84,177
At 31 March 2019
124,230
5,100
129,330
4
Tangible fixed assets
Office equipment
Computers
Motor vehicles
Total
£
£
£
£
Cost
At 1 April 2019
4,360
3,255
3,580
11,195
Additions
48
112
-
160
At 31 March 2020
4,408
3,367
3,580
11,355
Depreciation and impairment
At 1 April 2019
1,538
1,902
1,678
5,118
Depreciation charged in the year
573
960
475
2,008
At 31 March 2020
2,111
2,862
2,153
7,126
Carrying amount
At 31 March 2020
2,297
505
1,427
4,229
At 31 March 2019
2,822
1,353
1,902
6,077
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2020
- 8 -
5
Debtors
2020
2019
Amounts falling due within one year:
£
£
Trade debtors
53,999
104,459
Gross amounts owed by contract customers
9,874
17,126
Other debtors
11,600
15,473
Prepayments and accrued income
2,291
2,684
77,764
139,742
6
Creditors: amounts falling due within one year
2020
2019
£
£
Other borrowings
76,031
46,571
Trade creditors
211,576
138,519
Taxation and social security
10,191
12,359
Other creditors
9,692
765
Accruals and deferred income
328,650
359,102
636,140
557,316
7
Creditors: amounts falling due after more than one year
2020
2019
£
£
Other creditors
-
44,732
8
Retirement benefit schemes
2020
2019
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
4,783
4,192
The company operates a defined contribution pension scheme. The assets of the scheme are held
separately from those of the company in an independently
administered fund.
Contributions tota
l
ling £673
(2019 - £348) were payable to the fund at the reporting date and are
included in other creditors.
PTARMIGAN HOMES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2020
- 9 -
9
Called up share capital
2020
2019
2020
2019
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
Ordinary B shares of £1 each
90,000
90,000
90,000
90,000
90,100
90,100
90,100
90,100
All Ordinary shares rank equally with regards to voting rights, entitlement to dividends and all other matters. Ordinary B shares are entitled to dividends but do not hold any voting rights.
10
Directors' transactions
During the year the director introduced funds of £9,679 (201
9
- £
350
) and the company paid expenses on behalf of the director of £nil (201
9
- £
1,000
).
At the year end the company owed the director £
9,019
which is included in other creditors (2019 - £660 due from the director included in other debtors).
Loans to the director are repayable on demand and no interest is charged.