1 March 2022 v2023.18.1 limited_company_frs_102_section_1a_v1_1_0 companies_houseSoftwarefalsetruetruetrueNo description of principal activitytruexbrli:purexbrli:sharesiso4217:GBP071579562022-03-012023-02-28071579562023-02-28071579562022-02-2807157956core:WithinOneYear2023-02-2807157956core:WithinOneYear2022-02-2807157956core:AfterOneYear2023-02-2807157956core:AfterOneYear2022-02-2807157956core:ShareCapital2023-02-2807157956core:ShareCapital2022-02-2807157956core:RetainedEarningsAccumulatedLosses2023-02-2807157956core:RetainedEarningsAccumulatedLosses2022-02-2807157956bus:Director12022-03-012023-02-2807157956bus:RegisteredOffice2022-03-012023-02-2807157956core:NetGoodwill2022-03-012023-02-2807157956core:Goodwill2022-03-012023-02-2807157956core:PlantMachinery2022-03-012023-02-2807157956core:MotorVehicles2022-03-012023-02-2807157956core:FurnitureFittingsToolsEquipment2022-03-012023-02-28071579562021-03-012022-02-2807157956core:NetGoodwill2023-02-2807157956core:PlantMachinery2022-03-0107157956core:PlantMachinery2023-02-2807157956core:PlantMachinery2022-02-2807157956core:BetweenOneFiveYears2023-02-2807157956core:BetweenOneFiveYears2022-02-280715795612022-03-012023-02-2807157956countries:EnglandWales2022-03-012023-02-2807157956bus:AuditExemptWithAccountantsReport2022-03-012023-02-2807157956bus:PrivateLimitedCompanyLtd2022-03-012023-02-2807157956bus:SmallEntities2022-03-012023-02-2807157956bus:FullAccounts2022-03-012023-02-28
Company registration number:
07157956
Eastwest Cargo Services Limited
Unaudited Filleted Financial Statements for the year ended
28 February 2023
Eastwest Cargo Services Limited
Report to the board of directors on the preparation of the unaudited statutory financial statements of Eastwest Cargo Services Limited
Year ended
28 February 2023
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the
financial statements
of
Eastwest Cargo Services Limited
for the year ended
28 February 2023
which comprise the income statement, statement of financial position and related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Association of Chartered Certified Accountants, we are subject to its ethical and other professional requirements which are detailed at https://www.accaglobal.com/​content/​dam/​ACCA_Global/​Members/​Doc/​rule/​2018-rulebook.pdf.
This report is made solely to the Board of Directors of
Eastwest Cargo Services Limited
, as a body, in accordance with the terms of our engagement letter dated 1 July 2023. Our work has been undertaken solely to prepare for your approval the
financial statements
of
Eastwest Cargo Services Limited
and state those matters that we have agreed to state to the Board of Directors of
Eastwest Cargo Services Limited
, as a body, in this report in accordance with the requirements of the Association of Chartered Certified Accountants as detailed at https://www.accaglobal.com/​content/​dam/​ACCA_Global/​Technical/​fact/​technical-factsheet-163.pdf. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than
Eastwest Cargo Services Limited
and its Board of Directors, as a body, for our work or for this report.
It is your duty to ensure that
Eastwest Cargo Services 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
Eastwest Cargo Services Limited
. You consider that
Eastwest Cargo Services 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 Eastwest Cargo Services 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.
Emery & Co Accountants Limited
Suite 10 - Old Cottage Hospital
Leicester Road
Ashby-De-La-Zouch
Leicestershire
LE65 1DB
United Kingdom
Date:
19 September 2023
Eastwest Cargo Services Limited
Statement of Financial Position
28 February 2023
20232022
Note££
Fixed assets    
Tangible assets 6
6,398
 
8,099
 
Current assets    
Debtors 7
143,855
 
263,813
 
Cash at bank and in hand
253,613
 
169,300
 
397,468
 
433,113
 
Creditors: amounts falling due within one year 8
(176,720
)
(207,210
)
Net current assets
220,748
 
225,903
 
Total assets less current liabilities 227,146   234,002  
Creditors: amounts falling due after more than one year 9
(23,280
)
(33,213
)
Provisions for liabilities
(1,343
)
(2,024
)
Net assets
202,523
 
198,765
 
Capital and reserves    
Called up share capital
100
 
100
 
Profit and loss account
202,423
 
198,665
 
Shareholders funds
202,523
 
198,765
 
For the year ending
28 February 2023
, the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Director's responsibilities:
  • 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;
  • The director acknowledges their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These
financial statements
have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies’ regime.
In accordance with Section 444 of the Companies Act 2006, the income statement has not been delivered.
These
financial statements
were approved by the board of directors and authorised for issue on
19 September 2023
, and are signed on behalf of the board by:
Mr A Wijesundara
Director
Company registration number:
07157956
Eastwest Cargo Services Limited
Notes to the Financial Statements
Year ended
28 February 2023

1 General information

The company is a private company limited by shares and is registered in England and Wales. The address of the registered office is
101 & 81 Beverley Road
,
Castle Donington
,
Derby
,
DE74 2SA
, England.

2 Statement of compliance

These
financial statements
have been prepared in compliance with FRS 102 Section 1A, 'The Financial Reporting Standard applicable to the UK and Republic of Ireland'.

3 Accounting policies

Basis of preparation

The
financial statements
have been prepared on the historical cost basis, as modified by the revaluation of certain assets.
The
financial statements
are prepared in sterling, which is the functional currency of the company.

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.

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.

Going concern

The directors believe that the company's financial statements should be prepared on a going concern basis on the grounds that current and future sources of funding or support will be more than adequate for the company's needs. They have considered a period of twelve months from the date of approval of the financial statements.

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.

Turnover

Turnover is measured at the fair value of the consideration received or receivable for goods supplied, net of discounts and Value Added Tax.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer, usually on despatch of the goods; the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

Current tax

Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Goodwill

Purchased goodwill arises on business acquisitions and represents the difference between the cost of acquisition and the fair values of the identifiable assets and liabilities acquired.
Goodwill is initially recorded at cost, and is subsequently stated at cost less any accumulated amortisation and accumulated impairment losses. It is amortised on a straight-line basis over the useful economic life of the asset. Where a reliable estimate of the useful life of goodwill cannot be made, the life is presumed not to exceed five years.

Intangible assets

Intangible assets are initially measured at cost and are subsequently measured at cost less any accumulated amortisation and accumulated impairment losses or at a revalued amount. However, Intangible assets acquired as part of a business combination are only recognised separately from goodwill when they arise from contractual or other legal rights, are separable, the expected future economic benefits are probable and the cost or value can be measured reliably.
Any intangible assets carried at a revalued amount are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses.
An increase in the carrying amount of an asset as a result of a revaluation is recognised in other comprehensive income and accumulated in capital and reserves. However, the increase is recognised in profit or loss to the extent that it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves. If a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess is recognised in profit or loss.
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Goodwill
10% straight line

Tangible assets

Tangible assets are initially measured at cost, and are subsequently measured at cost less any accumulated depreciation and accumulated impairment losses or at a revalued amount.
Any tangible assets carried at a revalued amount are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
An increase in the carrying amount of an asset as a result of a revaluation is recognised in other comprehensive income and accumulated in capital and reserves. However, the increase is recognised in profit or loss to the extent that it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves. If a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess is recognised in profit or loss.
Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Plant and machinery
25% reducing balance
Motor vehicles
25% reducing balance
Fixtures, fittings and equipment
33% reducing balance

Impairment

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Finance leases and hire purchase contracts

Assets held under finance leases are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset.
Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the transaction price and are subsequently measured as follows: Debt instruments are subsequently measured at amortised cost and commitments to receive a loan and to make a loan to another entity are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment.
All other financial instruments, including derivatives, are initially recognised at fair value, which is normally the transaction price and are subsequently measured at fair value, with any changes recognised in profit or loss.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.
All equity instruments regardless of significance, and other financial assets that are individually significant, are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics.
Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is more likely than not that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured on an undiscounted basis at the tax rates that would apply in the periods in which timing differences are expected to reverse, based on tax rates and laws enacted at the statement of financial position date.

Provisions for liabilities

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event; it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.
Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised in finance costs in profit or loss in the period it arises.

Defined contribution pension plan

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

Operating leases

A lease is classified as an operating lease if it does not transfer substantially all the risks and rewards incidental to ownership. Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

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.

4 Average number of employees

The average number of persons employed by the company during the year was
7
(2022:
7.00
).

5 Intangible assets

Goodwill
£
Cost  
At
1 March 2022
and
28 February 2023
5,025
 
Amortisation  
At
1 March 2022
and
28 February 2023
5,025
 
Carrying amount  
At
28 February 2023
-  
At 28 February 2022 -  

6 Tangible assets

Plant and machinery etc.
£
Cost  
At
1 March 2022
39,104
 
Additions
582
 
At
28 February 2023
39,686
 
Depreciation  
At
1 March 2022
31,005
 
Charge
2,283
 
At
28 February 2023
33,288
 
Carrying amount  
At
28 February 2023
6,398
 
At 28 February 2022
8,099
 

7 Debtors

20232022
££
Trade debtors
139,845
 
260,128
 
Other debtors
4,010
 
3,685
 
143,855
 
263,813
 

8 Creditors: amounts falling due within one year

20232022
££
Bank loans and overdrafts
9,932
 
9,687
 
Trade creditors
93,051
 
133,358
 
Taxation and social security
51,590
 
45,964
 
Other creditors
22,147
 
18,201
 
176,720
 
207,210
 

9 Creditors: amounts falling due after more than one year

20232022
££
Bank loans and overdrafts
23,280
 
33,213
 

10 Operating leases

The company as lessee    
20232022
££
Not later than 1 year
17,000
 
17,000
 
Later than 1 year and not later than 5 years
7,333
 
24,333
 
24,333
 
41,333
 

11 Guarantees and other financial commitments

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases of £NIL (2022: £3,798).

12 Director's advances, credit and guarantees

Included within other creditors is a balance of £1,546 (2022: £8,439) due to the director Mr A Wijesundara. This loan is interest free and repayable on demand.
During the year, dividends of £42,000 (2022: £2,000) were paid to the director.

13 Controlling party

The company was controlled by Mr A Wijesundara, by virtue of his shareholding.