Company Registration No. 11712323 (England and Wales)
EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
FINANCIAL STATEMENTS
FOR THE PERIOD ENDED
31 MARCH 2023
31 March 2023
PAGES FOR FILING WITH REGISTRAR
EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 1 -
31 March 2023
30 June 2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
32,152
38,088
Current assets
Debtors
5
893,191
634,134
Cash at bank and in hand
35,111
45,370
928,302
679,504
Creditors: amounts falling due within one year
6
(1,349,549)
(1,260,765)
Net current liabilities
(421,247)
(581,261)
Total assets less current liabilities
(389,095)
(543,173)
Provisions for liabilities
(9,127)
(9,127)
Net liabilities
(398,222)
(552,300)
Capital and reserves
Called up share capital
7
100
100
Profit and loss reserves
8
(398,322)
(552,400)
Total equity
(398,222)
(552,300)

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

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

The financial statements were approved by the board of directors and authorised for issue on 1 November 2023 and are signed on its behalf by:
Mrs K O'Hanlon
MM Allen
Director
Director
Company Registration No. 11712323
EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 MARCH 2023
- 2 -
1
Accounting policies
Company information

East West Compass Limited (Formerly Chaswest Limited) is a private company limited by shares incorporated in England and Wales. The registered office is 1st Floor, County House, 100 New London Road, Chelmsford, Essex, CM2 0RG.

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, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

 

 

The financial statements of the company are consolidated in the financial statements of East West Group Limited. These consolidated financial statements are available from its registered office, 1st Floor, County House, 100 New London Road, Chelmsford, Essex, CM2 0RG.

1.2
Going concern

These financial statements are prepared on the going concern basis. The directors have a reasonable expectation that the company will continue in operational existence for the foreseeable future. The directors have have assessed the loss making results and current negative reserves position and consider that this situation is temporary and the company will return to profitability in the near future.

 

On the basis that there is still the continued support from the parent company to continue with its operations, the directors consider it appropriate to prepare the financial statements on the going concern basis.

1.3
Reporting period

The reporting period for these financial statements has been reduced to 9 months. The period has been reduced to remain in line with the period of the parent company, which has also been reduced to 9 months. The comparative amounts presented in the financial statements are therefore not entirely comparable as they relate to a 12 month period.

EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 3 -
1.4
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes.

Revenue from contracts for the provision of 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 and materials, 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.

1.5
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:

Fixtures and fittings
25% reducing balance
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.

1.6
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.

1.7
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.

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.

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.

EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
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 payments 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. 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.

1.9
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.

 

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 profit and loss account, 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.

EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 5 -
1.11
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.

1.12
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.13
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
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Accrued income

Accrued income relates to sales invoices raised post year end in respect of work performed pre year end. The amounts are easily identifiable as the invoices clearly detail the period to which the work relates. The main uncertainty relates to completeness of accrued income, but this is addressed by the cut off procedures performed.

3
Employees

The average monthly number of persons (including directors) employed by the company during the period was:

2023
2022
Number
Number
Total
25
24
EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
- 6 -
4
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 July 2022
129,277
Additions
1,484
At 31 March 2023
130,761
Depreciation and impairment
At 1 July 2022
91,189
Depreciation charged in the period
7,420
At 31 March 2023
98,609
Carrying amount
At 31 March 2023
32,152
At 30 June 2022
38,088
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
531,139
489,981
Corporation tax recoverable
-
0
57,475
Amounts owed by group undertakings
100
100
Other debtors
361,952
86,578
893,191
634,134
6
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
249,980
181,286
Corporation tax
38,444
-
0
Other taxation and social security
251,557
221,274
Other creditors
809,568
858,205
1,349,549
1,260,765
7
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and unpaid
Ordinary of £1 each
100
100
100
100
EAST WEST COMPASS LIMITED (FORMERLY CHASWEST LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 MARCH 2023
- 7 -
8
Profit and loss reserves

All profit and loss reserves are deemed distributable.

9
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

Other matters which we are required to address
The corresponding figures are unaudited.
Senior Statutory Auditor:
Paul Forster
Statutory Auditor:
Rickard Luckin Limited
10
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:

2023
2022
£
£
103,360
152,320
11
Parent company

In this and the preceding financial year, the immediate and ultimate parent undertaking is East West Group Limited, a company incorporated in England and Wales. Consolidated financial statements are available from Companies House.

 

The controlling party is Mrs K O'Hanlon by virtue of her shareholding in the parent company, in both the current and preceding year.

12
Related party transactions
Transactions with related parties

At the year end, the company was owed £100 (2022: £100) by it's parent company.

 

At the year end, the company owed a fellow group company £566,124 (2022: £624,575).

 

The company has taken advantage of the exemption available in FRS102 whereby it has not disclosed transactions with any wholly owned group members.

2023-03-312022-07-01false02 November 2023CCH SoftwareCCH Accounts Production 2023.300No description of principal activityThis audit opinion is unqualifiedMrs K O'HanlonMM AllenTW Granthamfalse117123232022-07-012023-03-31117123232023-03-31117123232022-06-3011712323core:OtherPropertyPlantEquipment2023-03-3111712323core:OtherPropertyPlantEquipment2022-06-3011712323core:CurrentFinancialInstrumentscore:WithinOneYear2023-03-3111712323core:CurrentFinancialInstrumentscore:WithinOneYear2022-06-3011712323core:CurrentFinancialInstruments2023-03-3111712323core:CurrentFinancialInstruments2022-06-3011712323core:ShareCapital2023-03-3111712323core:ShareCapital2022-06-3011712323core:RetainedEarningsAccumulatedLosses2023-03-3111712323core:RetainedEarningsAccumulatedLosses2022-06-3011712323bus:Director12022-07-012023-03-3111712323bus:Director22022-07-012023-03-3111712323core:FurnitureFittings2022-07-012023-03-3111712323core:MotorVehicles2022-07-012023-03-31117123232021-07-012022-06-3011712323core:OtherPropertyPlantEquipment2022-06-3011712323core:OtherPropertyPlantEquipment2022-07-012023-03-3111712323core:WithinOneYear2023-03-3111712323core:WithinOneYear2022-06-3011712323bus:PrivateLimitedCompanyLtd2022-07-012023-03-3111712323bus:SmallCompaniesRegimeForAccounts2022-07-012023-03-3111712323bus:FRS1022022-07-012023-03-3111712323bus:Audited2022-07-012023-03-3111712323bus:Director32022-07-012023-03-3111712323bus:FullAccounts2022-07-012023-03-31xbrli:purexbrli:sharesiso4217:GBP