SEA LADY TRAWLERS LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2018
Company Registration No. SC537730 (Scotland)
PAGES FOR FILING WITH REGISTRAR
SEA LADY TRAWLERS LTD
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 10
SEA LADY TRAWLERS LTD
BALANCE SHEET
AS AT
31 OCTOBER 2018
31 October 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Intangible assets
3
835,000
-
Tangible assets
4
1,340,549
1,016,988
Investments
5
3,000
-
2,178,549
1,016,988
Current assets
Debtors
6
257,568
153,905
Cash at bank and in hand
3,035
71,800
260,603
225,705
Creditors: amounts falling due within one year
7
(890,695)
(887,425)
Net current liabilities
(630,092)
(661,720)
Total assets less current liabilities
1,548,457
355,268
Creditors: amounts falling due after more than one year
8
(2,602)
-
Provisions for liabilities
(249,908)
(193,228)
Net assets
1,295,947
162,040
Capital and reserves
Called up share capital
9
100
100
Revaluation reserve
10
1,116,889
-
Profit and loss reserves
178,958
161,940
Total equity
1,295,947
162,040
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 2018 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.
SEA LADY TRAWLERS LTD
BALANCE SHEET (CONTINUED)
AS AT
31 OCTOBER 2018
31 October 2018
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 22 May 2019 and are signed on its behalf by:
Mr Tom Nicholson
Director
Company Registration No. SC537730
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2018
- 3 -
1
Accounting policies
Company information
Sea Lady Trawlers Ltd is a
private
company
limited by shares
incorporated in Scotland.
The registered office is
Nivens Quay, Port Street, Annan, Dumfriesshire, DG12 6BN.
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
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for
the sales of shellfish & fish
provided in the normal course of business
, and
is shown net of VAT and other sales related taxes
.
The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Turnover is recognised when goods are physically delivered to the customer.
1.3
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.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date
where
it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the
fair
value of the asset can be measured reliably.
Intangible assets comprise of fishing licences. Such assets are attached to associated fishing vessels and are therefore amortised on a straight line basis over the estimated useful life of the vessel, 15 years. Intangible assets are stated at cost less amortisation and are reviewed for impairment whenever there is an indication that the carrying value may be impaired.
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:
Licences
6.67% straight line
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 equipment
12.5% reducing balance
Motor vehicles
25% reducing balance
Fishing Vessels
6.67% straight line
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
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
.
1.5
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
The investments are assessed for impairment at each reporting date
and
any
impairment
losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company
. Control is
the power to govern the financial and operating policies of
the
entity so as to obtain benefits from its activities.
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities
.
1.6
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.
1.7
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.
1.8
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.
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
1
Accounting policies
(Continued)
- 5 -
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.
1.9
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.
1.10
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.
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
1
Accounting policies
(Continued)
- 6 -
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 the profit and loss account so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases,
including
any lease incentives received, are charged to income 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 asset are consumed.
2
Exceptional costs/(income)
2018
2017
£
£
Amounts owed to group undertakings written off
(70,939)
-
During the year to 31 October 2018, amounts owed of £70,939, to fellow group undertaking TN Trawlers Ltd, were written off due to the cessation of that company in the year.
3
Intangible fixed assets
Other
£
Cost or valuation
At 1 November 2017
-
Revaluation
835,000
At 31 October 2018
835,000
Amortisation and impairment
At 1 November 2017 and 31 October 2018
-
Carrying amount
At 31 October 2018
835,000
At 31 October 2017
-
Licences
with a carrying amount of
£835,000
were revalued at
7th December 2018
by
Moray Firth Marine Surveys Ltd
, independent valuers not connected with the company
. Valuation is based on the Current Market Transfer Value of the licence and under the assumption that the licence would transfer to the purchaser upon any sale of the associated vessel.
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
3
Intangible fixed assets
(Continued)
- 7 -
If revalued assets were stated on an historical cost basis rather than a fair value basis, the total amounts included would have been as follows:
2018
2017
£
£
Cost
-
-
Accumulated amortisation
-
-
Carrying value
-
-
The revaluation surplus is disclosed in note 10.
4
Tangible fixed assets
Plant and machinery etc
Fishing Vessels
Total
£
£
£
Cost or valuation
At 1 November 2017
4,750
1,031,979
1,036,729
Additions
53,301
31,430
84,731
Revaluation
(4,750)
236,591
231,841
At 31 October 2018
53,301
1,300,000
1,353,301
Depreciation and impairment
At 1 November 2017
444
19,297
19,741
Depreciation charged in the year
13,290
29,770
43,060
Revaluation
(982)
(49,067)
(50,049)
At 31 October 2018
12,752
-
12,752
Carrying amount
At 31 October 2018
40,549
1,300,000
1,340,549
At 31 October 2017
4,306
1,012,682
1,016,988
Fishing vessels
with a carrying amount of
£1,300,000
were revalued at
7th December 2018
by
Moray Firth Marine Surveys Ltd
, independent valuers not connected with the company on the basis of market value.
The valuation is on the basis that the vessel would be purchased complete with transfer of the fishing licence attached. Fishing equipment included within Plant and machinery has been reduced to a carrying value of £nil, as this has been included in the overall vessel value.
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
4
Tangible fixed assets
(Continued)
- 8 -
If revalued assets were stated on an historical cost basis rather than a fair value basis, the total amounts included would have been as follows:
2018
2017
£
£
Cost
1,068,159
1,036,729
Accumulated depreciation
(49,511)
(19,741)
Carrying value
1,018,648
1,016,988
The revaluation surplus is disclosed in note 10.
5
Fixed asset investments
2018
2017
£
£
Investments
3,000
-
Movements in fixed asset investments
Investments other than loans
£
Cost or valuation
At 1 November 2017
-
Additions
3,000
At 31 October 2018
3,000
Carrying amount
At 31 October 2018
3,000
At 31 October 2017
-
The above investment of £3,000 represents share capital purchased in Fraserburgh Inshore Fisherman Ltd, a privately owned company not listed on a recognised stock exchange. The investment has been stated at cost as it is not possible to obtain a reliable fair value of this investment at the reporting date.
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
- 9 -
6
Debtors
2018
2017
Amounts falling due within one year:
£
£
Trade debtors
9,387
46,078
Amounts owed by group undertakings
119,174
29,013
Other debtors
129,007
78,814
257,568
153,905
7
Creditors: amounts falling due within one year
2018
2017
£
£
Trade creditors
156,531
51,663
Amounts owed to group undertakings
707,787
815,504
Taxation and social security
4,195
10,758
Other creditors
22,182
9,500
890,695
887,425
8
Creditors: amounts falling due after more than one year
2018
2017
£
£
Other creditors
2,602
-
Included within 'other creditors' are hire purchase agreements outstanding of £8,847 (2017 - £nil), which are secured against the asset to which they relate.
9
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
100 Ordinary of £1 each
100
100
100
100
SEA LADY TRAWLERS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2018
- 10 -
10
Revaluation reserve
2018
2017
£
£
At the beginning of the year
-
-
Revaluation surplus arising in the year
1,116,889
-
At the end of the year
1,116,889
-
11
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2018
2017
£
£
5,200
5,200
12
Related party transactions
Sea Lady Trawlers Ltd is a related party of Newbie Services Annan Ltd by virtue of common directorship. Included within 'other debtors' at 31 October 2018 is an interest free loan due of £56,000 (2017 - £66,000). This loan is repayable on demand.
Sea Lady Trawlers Ltd is a related party of Ptarmigan Trawlers Ltd by virtue of common directorship. Included within 'other debtors' at 31 October 2018 is an interest free loan due of £1,579 (2017 - £nil). This loan is repayable on demand.