S. M. M. SERVICES LIMITED - Limited company accounts 23.2

REGISTERED NUMBER: 02690786 (England and Wales)

REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

FOR

S. M. M. SERVICES LIMITED

Page

Company Information

1

Report of the Director

2

Income Statement

3

Balance Sheet

4

Notes to the Financial Statements

5

DIRECTOR:

S.W. May

SECRETARY:

Mrs S. B. May

REGISTERED OFFICE:

20, Solway Road,

East Dulwich,

London

SE22 9BG

REGISTERED NUMBER:

02690786 (England and Wales)

ACCOUNTANTS:

Bennett & Co

The Annexe

Minerva House

Bordyke

Tonbridge

Kent

TN9 1NR

BANKERS:

HSBC Bank PLC

The director presents his report with the financial statements of the company for the year ended 31 December 2022.

PRINCIPAL ACTIVITIES

The principal activities of the company in the year under review were those of Heating, Ventilating and Air Conditioning Contractors.

DIVIDENDS

An interim dividend of £100.00 per share was paid on 1 December 2022. The director recommends that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2022 will be £ 10,000 .

DIRECTOR

S.W. May held office during the whole of the period from 1 January 2022 to the date of this report.

ON BEHALF OF THE BOARD:

Mrs S. B. May - Secretary

26 September 2023

TURNOVER

299,458

432,722

Cost of sales

148,095

264,716

GROSS PROFIT

151,363

168,006

Administrative expenses

128,724

141,540

22,639

26,466

Other operating income

-

23,006

OPERATING PROFIT

4

22,639

49,472

Interest receivable and similar income

178

6

PROFIT BEFORE TAXATION

22,817

49,478

Tax on profit

5

4,666

9,628

PROFIT FOR THE FINANCIAL YEAR

18,151

39,850

FIXED ASSETS

Tangible assets

7

41,500

35,000

CURRENT ASSETS

Stocks

8

7,500

5,000

Debtors

9

64,052

120,910

Cash at bank and in hand

333,404

412,199

404,956

538,109

CREDITORS

Amounts falling due within one year

10

119,470

254,274

NET CURRENT ASSETS

285,486

283,835

TOTAL ASSETS LESS CURRENT
LIABILITIES

326,986

318,835

CAPITAL AND RESERVES

Called up share capital

11

100

Retained earnings

12

326,886

318,735

SHAREHOLDERS' FUNDS

326,986

318,835

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2022 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the director and authorised for issue on 26 September 2023 and were signed by:

S.W. May - Director

1.	STATUTORY INFORMATION

S. M. M. SERVICES LIMITED is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant & Machinery

-

20% on reducing balance

Office Equipment

-

15% on reducing balance

Motor Vehicles

-

25% on reducing balance

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

3.	EMPLOYEES AND DIRECTORS

31.12.22

31.12.21

£

Wages and salaries

100,475

107,899

Social security costs

4,472

4,737

104,947

112,636

The average number of employees during the year was as follows:

31.12.22

31.12.21

Site Maintenance Operatives

2

Office Administration

2

4

31.12.22

31.12.21

£

Director's remuneration

34,800

4.	OPERATING PROFIT

The operating profit is stated after charging:

31.12.22

31.12.21

£

Depreciation - owned assets

7,597

5,249

5.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.12.22

31.12.21

£

Current tax:

UK corporation tax

4,500

9,650

Adjustment in respect of previous year

166

(22

)

Tax on profit

4,666

9,628

UK corporation tax has been charged at 19% (2021 - 19%).

6.

DIVIDENDS

31.12.22

31.12.21

£

Ordinary Shares shares of £1 each

Interim

10,000

7.	TANGIBLE FIXED ASSETS

Plant &

Office

Motor

Machinery

Equipment

Vehicles

Totals

£

COST

At 1 January 2022

30,426

48,479

27,922

106,827

Additions

1,929

168

12,000

14,097

Disposals

-

(5,486

)

(5,486

)

At 31 December 2022

32,355

48,647

34,436

115,438

DEPRECIATION

At 1 January 2022

22,426

31,479

17,922

71,827

Charge for year

929

2,168

4,500

7,597

Eliminated on disposal

-

(5,486

)

(5,486

)

At 31 December 2022

23,355

33,647

16,936

73,938

NET BOOK VALUE

At 31 December 2022

9,000

15,000

17,500

41,500

At 31 December 2021

8,000

17,000

10,000

35,000

8.

STOCKS

31.12.22

31.12.21

£

Work in Progress

7,500

5,000

9.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.22

31.12.21

£

Trade debtors

58,512

119,010

Prepayments

5,540

1,900

64,052

120,910

10.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.22

31.12.21

£

Trade creditors

49,739

125,149

Corporation Tax

14,163

39,578

PAYE and Social Security

5,352

4,166

Value Added Tax

1,750

17,070

Directors' current accounts

39,466

63,811

Accrued expenses

9,000

4,500

119,470

254,274

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.22

31.12.21

value:

£

300

Ordinary Shares

£1

100

12.

RESERVES

Retained

earnings

£

At 1 January 2022

318,735

Profit for the year

18,151

Dividends

(10,000

)

At 31 December 2022

326,886