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2024-12-31-accounts

COMPANY NUMBER RS008837

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

FINANCIAL STATEMENTS

PERIOD ENDED 31 DECEMBER 2024

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

FINANCIAL STATEMENTS

PERIOD ENDED 31 DECEMBER 2024

CONTENTS PAGE
The report of the directors 1
Independent accountant's report to the members 2
Income statement 3
Balance sheet 4 - 5
Notes to the financial statements 6 - 8

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

THE REPORT OF THE DIRECTORS

PERIOD ENDED 31 DECEMBER 2024

The directors have the pleasure in presenting their report and the unaudited financial statements of the society for the period ended 31 December 2024.

PRINCIPAL ACTIVITIES

The principal activity of the society during the year was to carry on business for the benefit of the community at large.

DIRECTORS

The following directors served during the year:-

Resigned 16th October 2024 Resigned 16th October 2024

Co-opted 16th October 2024

Company Secretary:

Registered office: Lochranza Centre Lochranza Isle of Arran KA28 8HL

Signed on behalf of the directors on:

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PAGE 1

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

INDEPENDENT ACCOUNTANTS' REPORT TO THE MEMBERS OF NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

PERIOD ENDED 31 DECEMBER 2024

We report on the financial statements of the society for the year ended 31 December 2024 on pages 3 to 8.

This report is made solely to the members of the society as a body. Our reporting work has been undertaken so that we might conclude to the members on those matters we are required to state to them in an independent accountant’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the society and its members as a body, for our work, for this report, or for the opinion we have formed as independent accountant.

RESPECTIVE RESPONSIBILITIES OF MANAGEMENT COMMITTEE AND THE INDEPENDENT ACCOUNTANT

The Directors are responsible for the preparation of the financial statements and they consider that an audit is not required for this year and that an independent accountant’s report is needed.

It is our responsibility to carry out procedures designed to enable us to conclude on, and report our opinion on, the financial statements.

BASIS OF THE INDEPENDENT ACCOUNTANT'S OPINION

Our procedures consisted of comparing the financial statements with the books of account kept by the society and making such limited enquiries of the officers of the society as we considered necessary for the purpose of this report. These procedures provide the only assurance expressed in our opinion.

INDEPENDENT ACCOUNTANT'S OPINION

In our opinion as independent accountant:

(1) the financial statements are in agreement with those accounting records kept by the society under the Co-operative and Community Benefit Societies Act 2014, s.75;

(2) having regard only to, and on the basis of, the information contained in those accounting records, the financial statements have been drawn up in a manner consistent with the accounting requirements of the applicable legislation; and

(3) the society satisfied the financial criteria enabling it to disapply the requirement to have an audit of the financial statements for the year as specified in the Co-operative and Community Benefit Societies Act 2014, s.84(1), as amended by the Co-operative and Community Benefit Societies Act 2014 (Amendments to Audit Requirements) Order 2018.

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Suite 2, Ashton Square Business Centre, 22 Ashton Square, Dunstable, Bedfordshire, LU6 3PH Reporting independent accountants and Chartered Certified Accountant

PAGE 2

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

INCOME STATEMENT

PERIOD ENDED 31 DECEMBER 2024

Notes
Income
Expenditure
Other operating income
2
Profit/(loss) for the financial period
2024
£
-
(67,175)
99,410
32,235
2023
£
-
(65,641)
9,824
(55,816)

PAGE 3

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

BALANCE SHEET

PERIOD ENDED 31 DECEMBER 2024

FIXED ASSETS
Notes
Investment in subsidiary company
Investment property
4
Hotel Refurbishments Capitalised
5
Office Equipment
5
CURRENT ASSETS
Other debtors
6
Cash at bank and in hand
CREDITORS: Amounts falling due
within one year
7
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
NET ASSETS
CAPITAL AND RESERVES
Community share subscription
9
Contributor share subscription
9
Restricted funds
10
Unrestricted funds
MEMBERS FUNDS
2024
£
£
1
440,000
189,975
4,838
2024
£
£
1
440,000
189,975
4,838
2023
£
£
1
440,000
66,727
6,048
2023
£
£
1
440,000
66,727
6,048
634,814 512,776
5,989
111,680
111,371 35,183
164,755
194,283
117,669
6,298
199,939
5,655
746,185 707,059
746,185 707,059
86
92,250
680,299
(26,450)
85
88,500
677,158
(58,684)
746,185 707,059

The society is satisfied that it is entitled to exemption from the requirement to obtain an audit under section 84 of the Co-operative and Community Benefit Societies Act 2014 (the Act).

The members have not required the society to obtain an audit of its financial statements for the year in question in accordance with the Act.

PAGE 4

The directors of the society acknowledge their responsibilities for:

(i) ensuring that the society keeps proper accounting records which comply with sections 75 of the Co-operative and Community Benefit Societies Act 2014 (the Act);

(ii) establishing and maintain a satisfactory system of its books of accounts, its cash holdings and all its receipts and remittances in order to comply with section 75 of the Act, and

(iii) preparing financial statements which gives a true and fair view of the state of affairs of the society as at the end of the financial period and or its profit or loss for the period in accordance with the requirements of sections 79 and 80, and which otherwise comply with the requirements of the Act relating to financial statements, so far as applicable to the society.

These financial statements have been prepared in accordance with FRS 102 Section 1 A Small Entities.

These financial statements were approved by the Directors and authorised for issue on the

21 July 2025 and signed on their behalf by:

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PAGE 5

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

NOTES TO THE FINANCIAL STATEMENTS

PERIOD ENDED 31 DECEMBER 2024

1. COMPLIANCE WITH ACCOUNTING STANDARDS

The financial statements have been prepared in accordance with the provisions of FRS 102 Section 1A Small Entities. There were no material departures from that standard.

2. ACCOUNTING POLICIES

The principal accounting policies adopted in the preparation of the financial statements are set out below and have been consistently applied within the same accounts.

Basis of preparation

The accounts have been prepared under the historical cost convention and are presented in £ sterling.

Investment property

Investment property is included at market fair value. Gains are recognised in the income statement.

Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

Hotel refurbishment 10% reducing balance Office equipment 20% reducing balance

3. OTHER OPERATING INCOME

Donations
Grants
Sundry income
4. INVESTMENT PROPERTY
Fair value
At 1st January 2024
Additions
At 31st December 2024
2024
2023
£
£
402
834
88,508
6,730
10,500
2,261
99,410
9,824
Hotel
Total
£
£
440,000
440,000
-
-
440,000
440,000

The fair value of the investment property has been determined by the directors by reference to recent market prices of similar properties in the area at 31 December 2024.

PAGE 6

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

PERIOD ENDED 31 DECEMBER 2024

5. TANGIBLE FIXED ASSETS
Hotel
Refurbish-
ments
Cost or Vaulation
£
At 1st January 2024
74,141
Additions
144,356
At 31st December 2024
218,497
Depreciation
At 1st January 2024
7,414
Charge for the year
21,108
At 31st December 2024
28,522
Net book value
At 1st January 2024
66,727
At 31st December 2024
189,975
6. OTHER DEBTORS
North Arran Community Benefit Society Related party transactions
Payroll advance
7. CREDITORS: Amounts falling due within one year
Trade creditors
Accruals
Payroll liabilities
Hotel
Refurbish-
ments
£
74,141
144,356
Office
Total
Equipment
£
£
7,560
81,701
-
144,356
218,497 7,560
226,057
7,414
21,108
1,512
8,926
1,210
22,318
28,522 2,722
31,244
66,727 6,048
72,775
189,975 4,838
194,813
2024
2023
£
£
4,789
35,183
1,200
-
5,989
35,183
2024
2023
£
£
1,190
1,469
3,060
2,060
2,048
2,127
6,298
5,655

8. RELATED PARTY TRANSACTIONS

Lochranza Community Inn Limited is a wholly owned subsidiary of North Arran Community Benefit Society Limited. During the period expenses were paid on behalf of Lochranza Community Inn Limited. As at 31 December 2024 Lochranza Community Inn Ltd owed North Arran Community Benefit Society Limited £4,789 (2023 - £35,183).

PAGE 7

NORTH ARRAN COMMUNITY BENEFIT SOCIETY LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

PERIOD ENDED 31 DECEMBER 2024

9. SHARE CAPITAL

The company does not have an authorised share capital. Each adult member owns one share in the society which is not transferrable. The share is cancelled if an indivudal ceases to be a member.

As at 1 January 2024
Shares issued
As at 31 December 2024
Community
Shares
£
Contributor
Shares
£
85
88,500
1
3,750
86
92,250

10. MOVEMENT IN FUNDS

Scottish Land Fund - Capital
Community Ownership Fund
Royal Countryside
CPF
ARIA
Community Asset Maintenance
Total restricted funds
Unrestricted funds
Restricted Fund comparative
Scottish Land Fund
Community Ownership Fund
Depn to
At 1 Jan 24
Income
Expenditure
unrestricted
At 31 Dec 24
483,643
(54,669)
(25,537)
403,437
193,515
(3,558)
189,957
25,000
(3,275)
(2,172)
19,552
49,750
(919)
48,831
15,484
(114)
15,370
3,150
3,150
677,158
93,384
(61,502)
(28,742)
680,299
(58,684)
10,902
(7,410)
28,742
(26,450)
618,474
104,286
(68,911)
-
653,849
At 1 Jan 23
Income
Expenditure
At 31 Dec 23
442,000
41,643
-
483,643
-
250,000
(56,485)
193,515

The Scottish Land Fund Grant was used to purchase the investment property and to fund any capitalised refubishments.

11. NET ASSETS OVER FUNDS

11. NET ASSETS OVER FUNDS
Investment in subsidiary
Investment properties
Hotel Refurb Capitalised
Office Equipment
Other debtors
Cash at bank and in hand
Creditors falling due within one year
Unrestricted
Restricted
Funds
Funds
Total
£
£
£
1
-
1
-
440,000
440,000
12,574
177,401
189,975
-
4,838
4,838
5,989
-
5,989
53,621
58,059
111,680
(6,298)
-
(6,298)
65,887
680,299
746,185

PAGE 8