Company registration number 08059326 (England and Wales)
HC QS LIMITED
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023
HC QS LIMITED
COMPANY INFORMATION
Directors
Mr J Brown
Mr R J Mayer
Company number
08059326
Registered office
2 - 6 Boundary Row
London
SE1 8HP
Accountants
Bryden Johnson Limited
Kings Parade
Lower Coombe Street
Croydon
Surrey
CR0 1AA
Business address
Suite 122 Capital Business Centre
22 Carlton Road
South Croydon
Surrey
CR2 0BS
HC QS LIMITED
CONTENTS
Page
Directors' report
1
Accountants' report
2
Profit and loss account
3
Balance sheet
4 - 5
Statement of changes in equity
6
Notes to the financial statements
7 - 10
HC QS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MAY 2023
- 1 -
The directors present their annual report and financial statements for the year ended 31 May 2023.
Principal activities
The principal activity of the company continued to be that of quantity surveying.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr J Brown
Mr R J Mayer
Small companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
On behalf of the board
Mr J Brown
Mr R J Mayer
Director
Director
5 October 2023
HC QS LIMITED
ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF HC QS LIMITED FOR THE YEAR ENDED 31 MAY 2023
- 2 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of HC QS Limited for the year ended 31 May 2023 set out on pages 3 to 10 from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at http://www.icaew.com/en/members/regulations-standards-and-guidance.
This report is made solely to the board of directors of HC QS Limited, as a body, in accordance with the terms of our engagement letter dated 22 June 2023. Our work has been undertaken solely to prepare for your approval the financial statements of HC QS Limited and state those matters that we have agreed to state to the board of directors of HC QS Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than HC QS Limited and its board of directors as a body, for our work or for this report.
It is your duty to ensure that HC QS Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of HC QS Limited. You consider that HC QS Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of HC QS Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Bryden Johnson Limited
11 October 2023
Chartered Accountants
Kings Parade
Lower Coombe Street
Croydon
Surrey
CR0 1AA
HC QS LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MAY 2023
- 3 -
2023
2022
£
£
Turnover
4,516,065
4,000,200
Cost of sales
(3,538,988)
(2,937,386)
Gross profit
977,077
1,062,814
Administrative expenses
(400,840)
(406,462)
Operating profit
576,237
656,352
Interest receivable and similar income
1,926
2,410
Profit before taxation
578,163
658,762
Tax on profit
(120,725)
(128,874)
Profit for the financial year
457,438
529,888
The profit and loss account has been prepared on the basis that all operations are continuing operations.
HC QS LIMITED
BALANCE SHEET
- 4 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
29,740
34,229
Current assets
Debtors
4
706,426
686,672
Cash at bank and in hand
542,369
381,803
1,248,795
1,068,475
Creditors: amounts falling due within one year
5
(678,851)
(611,275)
Net current assets
569,944
457,200
Total assets less current liabilities
599,684
491,429
Creditors: amounts falling due after more than one year
6
(90,909)
(136,364)
Net assets
508,775
355,065
Capital and reserves
Called up share capital
7
8,002
8,002
Share premium account
12,082
12,082
Other reserves
114,050
114,050
Profit and loss reserves
374,641
220,931
Total equity
508,775
355,065
For the financial year ended 31 May 2023 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.
The 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 in accordance with the provisions applicable to companies subject to the small companies regime.
HC QS LIMITED
BALANCE SHEET (CONTINUED)
- 5 -
The financial statements were approved by the board of directors and authorised for issue on 5 October 2023 and are signed on its behalf by:
Mr J Brown
Mr R J Mayer
Director
Director
Company Registration No. 08059326
HC QS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2023
- 6 -
Share capital
Share premium account
Other reserves
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 June 2021
8,002
12,082
114,050
137,967
272,101
Year ended 31 May 2022:
Profit and total comprehensive income for the year
-
-
-
529,888
529,888
Dividends
-
-
-
(446,924)
(446,924)
Balance at 31 May 2022
8,002
12,082
114,050
220,931
355,065
Year ended 31 May 2023:
Profit and total comprehensive income for the year
-
-
-
457,438
457,438
Dividends
-
-
-
(303,728)
(303,728)
Balance at 31 May 2023
8,002
12,082
114,050
374,641
508,775
HC QS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023
- 7 -
1
Accounting policies
Company information
HC QS Limited is a private company limited by shares incorporated in England and Wales. The registered office is 2 - 6 Boundary Row, London, SE1 8HP.
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 amounts 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 services provided in the normal course of business, and is shown net of VAT.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.3
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:
Land and buildings Leasehold
10% straight line
Fixtures, fittings & equipment
25% straight line
Computer equipment
33% straight line
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.
1.4
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible 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.
HC QS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 8 -
1.5
Cash at bank and in hand
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.
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.
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.
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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts 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.
1.8
Taxation
The tax expense represents the sum of the tax currently payable.
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.
1.9
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.
HC QS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 9 -
1.10
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 leases asset are consumed.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
29
29
3
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 June 2022
32,612
79,123
111,735
Additions
1,849
1,849
At 31 May 2023
32,612
80,972
113,584
Depreciation and impairment
At 1 June 2022
2,989
74,517
77,506
Depreciation charged in the year
3,261
3,077
6,338
At 31 May 2023
6,250
77,594
83,844
Carrying amount
At 31 May 2023
26,362
3,378
29,740
At 31 May 2022
29,623
4,606
34,229
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
651,541
643,737
Other debtors
54,885
42,935
706,426
686,672
HC QS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 10 -
5
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
45,455
45,455
Trade creditors
222,117
126,851
Corporation tax
120,725
128,875
Other taxation and social security
191,305
194,260
Other creditors
99,249
115,834
678,851
611,275
6
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
90,909
136,364
7
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of 1p each
18,074
18,074
181
181
Ordinary F shares of 1p each
782,115
782,115
7,821
7,821
800,189
800,189
8,002
8,002
8
Parent company
The parent company is HCQS Holdings Limited. The registered office is 2 - 6 Boundary Row, London, SE1 8HP.