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REGISTERED NUMBER: 00978584 (England and Wales)




















Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 March 2023

for

Taylor-Davis Limited

Taylor-Davis Limited (Registered number: 00978584)






Contents of the Financial Statements
for the Year Ended 31 March 2023




Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Statement of Comprehensive Income 9

Balance Sheet 10

Statement of Changes in Equity 11

Notes to the Financial Statements 12


Taylor-Davis Limited

Company Information
for the Year Ended 31 March 2023







DIRECTORS: C R Atkinson
S T Pearce
D J Rawlings
G R Atkinson
G P Atkinson





REGISTERED OFFICE: Moat Works
Moat Road
West Wilts Trading Estate
Westbury
BA13 4JF





REGISTERED NUMBER: 00978584 (England and Wales)

Taylor-Davis Limited (Registered number: 00978584)

Strategic Report
for the Year Ended 31 March 2023

The directors present their strategic report for the year ended 31 March 2023.

The principal activity of the company in the year under review was that of wholesaling of rigid packaging products.

REVIEW OF BUSINESS
The Directors are extremely pleased with the performance for the year with the results showing another strong set of results against a backdrop of an ongoing difficult economic and political climate, both domestically in the UK and more widely on a global scale. During this time, the Company has continued to supply its wide and varied customer base with a high level of service with quality products.

Supply related challenges and continued inflationary price influences have had to be overcome and this has required strong leadership from our Directors and Operational Senior Management Team to constantly monitor the situation.

We are a key distributor to many different markets and despite the issues highlighted above, we have, in the main, maintained continuity of supply of products where possible and we are extremely pleased as a business to have achieved this. Whilst the future certainly remains very uncertain, our strong infrastructure leaves us well positioned to deal with whatever may happen next.

We have since the year end completed the acquisition of a competitor in the same plastic and metal packaging distribution sector and this fellow subsidiary will work alongside our core business. We see this as a major strategic initiative and believe these businesses will complement each other.

Operating profitability has remained similar and as has been stated before this is because of the sound business principles applied by an experienced, stable, and well-managed management team and well-respected workforce.

Net Assets have increased by £1,501,892 due to the retention of profits in the Company.

PRINCIPAL RISKS AND UNCERTAINTIES
The directors have identified the following principal risks and uncertainties affecting the company:

Market risk: The company is affected by the market price of raw materials of both plastic and metal in the products it purchases from our manufacturing suppliers. There is little control we can directly influence over this other than maintain regular dialogue with our long-standing suppliers.

Legislative and regulatory risk: There are no new changes that have been introduced, but the Company does monitor any changes in legislative or regulatory risk.

Actions of competitors: We have highlighted above the acquisition of a major competitor and alongside this the directors continue to explore for new products and our Sales and Marketing teams are initiative-taking in looking for new opportunities especially in markets that we have not previously been involved in.

Operational risks: Cover is in place for the provision of general and fleet insurance for the operational aspects of the business. Taylor-Davis Limited also has a trade credit insurance policy over its book debts and in conjunction with a strictly controlled credit function we endeavour to minimise the risk of any bad debts.

In respect of our IT infrastructure there are robust controls to safeguard our data, provide backup information in the
event of disaster recovery and our hardware and software is monitored annually.


Taylor-Davis Limited (Registered number: 00978584)

Strategic Report
for the Year Ended 31 March 2023

KEY PERFORMANCE INDICATORS
2023 2022 2021
Turnover (£) 28,265,146 28,085,331 24,693,235
Gross profit (£) 7,077,046 6,582,768 5,755,152
Gross profit margin (%) 25.04 23.44 23.31
Profit before tax (£) 2,950,970 3,121,709 2,642,771

We have managed to increase our turnover, gross profit margin percentage and importantly our profit before tax. Our ongoing review of customer service means we are continually monitoring our efficiency levels which may result in changes to the depots out of which customers are serviced.

ON BEHALF OF THE BOARD:




S T Pearce - Director


21 November 2023

Taylor-Davis Limited (Registered number: 00978584)

Report of the Directors
for the Year Ended 31 March 2023

The directors present their report with the financial statements of the company for the year ended 31 March 2023.

DIVIDENDS
The total distribution of dividends for the year ended 31 March 2023 will be £895,013 (2022: £3,550,000).The directors recommend that no final dividend be paid.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 April 2022 to the date of this report.

C R Atkinson
S T Pearce
D J Rawlings
G R Atkinson
G P Atkinson

FINANCIAL INSTRUMENTS
The company uses various financial instruments including loans, cash equity capital and various items such as trade debtors and creditors that arise directly from its operations. The main purpose of these financial instruments is to raise finance for the company's operations.

Exposure to foreign currency, credit, liquidity and cash flow interest rate risks arises in the normal course of the company's business. These risks are limited by the company's financial management policies and practices described below.

Market risk
Market risk encompasses three types of risk being price risk, interest rate risk and currency risk.

Price risk
The company operates in a competitive market. If the company does not continue to compete effectively by developing its product range and responding to activities in the market it could lose customers and its results, cash flow and financial conditions could adversely be affected.

Interest rate risk
The company is exposed to interest rate risk through the impact of rate changes on interest-bearing borrowings. The company's policy is to obtain the most favourable interest rates available for its borrowings.

Interest is paid on assets being purchased through finance leases. All finance leases have a fixed rate of interest which applies for the duration of the agreement. Therefore there will be no effect to the interest payable in the event of future interest rate changes.

The company does not have significant interest-bearing assets and liabilities.

The company does not use any derivative instruments to reduce its economic exposure to changes in interest rates.

Foreign currency risk
The company makes purchases from a small number of suppliers whose invoices are denominated in currencies other than sterling. The most frequently used currencies other than sterling are the Euro and the US Dollar.

Credit risk
The company's principal assets are cash deposits and trade debtors. The credit risk associated with cash deposits is limited as the accounts are held with major UK high street banks only. The principal credit risk arises therefore from its trade debtors and the company manages closely its exposure to bad debts by strong credit control and credit checks for new accounts.

Liquidity risk
The company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably.

The company policy throughout the year has been to hold cash balances in readily accessible cash deposits and utilise leasing facilities for tangible asset acquisitions.


Taylor-Davis Limited (Registered number: 00978584)

Report of the Directors
for the Year Ended 31 March 2023

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
The auditors, Sumer Audit, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





S T Pearce - Director


21 November 2023

Report of the Independent Auditors to the Members of
Taylor-Davis Limited

Opinion
We have audited the financial statements of Taylor-Davis Limited (the 'company') for the year ended 31 March 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 March 2023 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Report of the Independent Auditors to the Members of
Taylor-Davis Limited


Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Capability of the audit in detecting irregularities, including fraud
Based on our understanding of the Company and industry, we identified that the principal risks of non-compliance with laws and regulations related to health and safety, employment law and company legislation, and we considered the extent to which non-compliance might have a material effect on the financial statements of the Company. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and taxation legislation. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to increase revenue or reduce expenditure, and management bias in accounting estimates and judgemental areas of the financial statements. Audit procedures performed by the audit engagement team included:

-
Discussions with management, including consideration of known or suspected instances of
non-compliance with laws and regulations and fraud;
- Understanding of management's internal controls designed to prevent and detect irregularities, and fraud;
- Reviewing the Company's legal costs to check for non-compliance with laws and regulations and fraud;
- Review of tax compliance with the involvement of our tax specialists in the audit;
-
Designing audit procedures to incorporate unpredictability around the nature, timing or extent of our testing
of expenses;
- Testing transactions entered into outside of the normal course of the Company's business; and
-
Identifying and testing journal entries, in particular any journal entries with fraud characteristics such as
journals with round numbers.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Report of the Independent Auditors to the Members of
Taylor-Davis Limited


Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Martin Longmore (Senior Statutory Auditor)
for and on behalf of Sumer Audit
Statutory Auditor
Chartered Accountants
County Gate
County Way
Trowbridge
Wiltshire
BA14 7FJ

21 November 2023

Taylor-Davis Limited (Registered number: 00978584)

Statement of Comprehensive
Income
for the Year Ended 31 March 2023

2023 2022
Notes £    £   

TURNOVER 4 28,265,146 28,085,331

Cost of sales 21,188,100 21,502,563
GROSS PROFIT 7,077,046 6,582,768

Administrative expenses 4,270,488 3,587,535
2,806,558 2,995,233

Other operating income 5 140,454 124,015
OPERATING PROFIT 2,947,012 3,119,248

Interest receivable and similar income 4,815 2,461
2,951,827 3,121,709

Interest payable and similar expenses 7 857 -
PROFIT BEFORE TAXATION 8 2,950,970 3,121,709

Tax on profit 9 554,065 617,565
PROFIT FOR THE FINANCIAL YEAR 2,396,905 2,504,144

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

2,396,905

2,504,144

Taylor-Davis Limited (Registered number: 00978584)

Balance Sheet
31 March 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 11 740,682 764,843
Investments 12 - -
740,682 764,843

CURRENT ASSETS
Stocks 13 3,184,373 3,239,869
Debtors 14 4,852,555 5,084,812
Cash at bank 3,594,839 1,188,887
11,631,767 9,513,568
CREDITORS
Amounts falling due within one year 15 4,645,661 4,087,134
NET CURRENT ASSETS 6,986,106 5,426,434
TOTAL ASSETS LESS CURRENT
LIABILITIES

7,726,788

6,191,277

PROVISIONS FOR LIABILITIES 17 230,045 196,426
NET ASSETS 7,496,743 5,994,851

CAPITAL AND RESERVES
Called up share capital 18 15,000 15,000
Retained earnings 7,481,743 5,979,851
SHAREHOLDERS' FUNDS 7,496,743 5,994,851

The financial statements were approved by the Board of Directors and authorised for issue on 21 November 2023 and were signed on its behalf by:





S T Pearce - Director


Taylor-Davis Limited (Registered number: 00978584)

Statement of Changes in Equity
for the Year Ended 31 March 2023

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 April 2021 15,000 7,025,707 7,040,707

Changes in equity
Dividends - (3,550,000 ) (3,550,000 )
Total comprehensive income - 2,504,144 2,504,144
Balance at 31 March 2022 15,000 5,979,851 5,994,851

Changes in equity
Dividends - (895,013 ) (895,013 )
Total comprehensive income - 2,396,905 2,396,905
Balance at 31 March 2023 15,000 7,481,743 7,496,743

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements
for the Year Ended 31 March 2023

1. STATUTORY INFORMATION

Taylor-Davis 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.

The presentation currency of the financial statements is the Pound Sterling (£).


2. STATEMENT OF COMPLIANCE

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" and the Companies Act 2006.

3. ACCOUNTING POLICIES

Basis of preparing the financial statements
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows;
the requirement of paragraph 3.17(d);
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirement of paragraph 33.7.

Preparation of consolidated financial statements
The financial statements contain information about Taylor-Davis Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Atkinson Equipment Group Limited, Moat Works, Moat Road, West Wilts Trading Estate, Westbury, Wilts, BA13 4JF

Significant judgements and estimates
In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below:

Trade and other receivables - The allowance for doubtful accounts involves significant management judgement and review of individual receivables based on individual customer creditworthiness, current economic trends and analysis of historical bad debts on a portfolio basis.

Stock provisions - Significant estimates are involved in the determination of stock provisions. Management exercise significant judgement in determining whether costs of stock items can be recovered. A provision is made where a loss can be reliably estimated.

Investments are stated at their historic cost to the company less, where appropriate, impairment provisions for any permanent or temporary diminution in value. The determination of the recoverable amount of an investment involves the use of estimates by management.

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

3. ACCOUNTING POLICIES - continued

Turnover
Turnover is measured at the fair value of the consideration received or receivable. Turnover is reduced for customer returns, rebates or other similar allowances and is net of value added taxes. Turnover includes revenue earned from the sale of goods.

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
- the company has transferred to the buyer the significant risks and rewards of ownership of the goods;
- the company retains neither continuing managerial involvement to the degree associated with ownership nor effective control over the goods sold;
- the amount of revenue can be measured reliably;
- it is probable that the economic benefits associated with the transaction can be measured reliably.

Specifically, revenue from the sale of goods is primarily recognised on delivery of goods to the customer.

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 provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under finance lease, over the lease term, whichever is shorter.

Plant and machinery- 20% on reducing balance and 20% on straight line
Fixtures and fittings- 33% on straight line, 30% on reducing balance, 15% on reducing balance
and 10% on reducing balance
Motor vehicles- 25% on reducing balance and 35% on reducing balance
Leasehold property
Improvement

- Over 10 years straight line


Impairment of non financial assets
At each reporting date, the company reviews the carrying amounts of its non financial assets to determine whether there is any indication that any items of property, plant and equipment have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in the profit and loss.

If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in the profit and loss.

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 Statement of Comprehensive Income, 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.


Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

3. ACCOUNTING POLICIES - continued
Taxation
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.

Research and development
Expenditure on research and development is written off in the year in which it is incurred.


Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

3. ACCOUNTING POLICIES - continued

Financial instruments
The company has chosen to adopt the requirements of sections 11 and 12 of FRS 102 in respect of the measurement and disclosure of financial instruments.

Trade and other debtors
Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities.

Impairment of financial assets
Financial assets, are assessed for indicators of impairment at the end of each reporting period. Financial assets are considered to be impaired when there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows of the investment have been affected.

For all other financial assets, objective evidence of impairment could include:

- significant financial difficulty of the issuer or counterparty; or
- breach of contract, such as a default or delinquency in interest or principal payments; or
- it becoming probable that the borrower will enter bankruptcy or financial re-organisation; or
- the disappearance of an active market for that financial asset because of financial difficulties.

For certain categories of financial asset, such as trade receivables, assets that are assessed not to be impaired individually are, in addition, assessed for impairment on a collective basis. Objective evidence of impairment for a portfolio of receivables could include the company's past experience of collecting payments, an increase in the number of delayed payments in the portfolio past the average credit period of 30 days, as well as observable changes in national or local economic conditions that correlate with default on receivables.

For financial assets carried at amortised cost, the amount of the impairment loss recognised is the difference between the asset's carrying amount and the present value of estimated future cash flows, discounted at the financial asset's original effective interest rate.

For financial assets carried at cost, the amount of the impairment loss is measured as the difference between the asset's carrying amount and the present value of the estimated future cash flows discounted at the current market rate of return for a similar financial asset. Such impairment loss will not be reversed in subsequent periods.

The carrying amount of the financial asset is reduced by the impairment loss directly for all financial assets with the exception of trade receivables, where the carrying amount is reduced through the use of an allowance account. When a trade receivable is considered uncollectible, it is written off against the allowance account. Subsequent recoveries of amounts previously written off are credited against the allowance account. Changes in the carrying amount of the allowance account are recognised in profit or loss.

For financial assets measured at amortised cost, if, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognised, the previously recognised impairment loss is reversed through profit or loss to the extent that the carrying amount of the investment at the date the impairment is reversed does not exceed what the amortised cost would have been had the impairment not been recognised.

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

3. ACCOUNTING POLICIES - continued

Trade and other creditors
Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method unless the effect of discounting would be immaterial, in which case they are stated at cost.

Related parties
For the purposes of these financial statements, a party is considered to be related to the company if:
(i) the party has the ability, directly or indirectly, through one or more intermediaries, to control the Company or exercise significant influence over the company in making financial and operating policy decisions, or has joint control over the company;
(ii) the company and the party are subject to common control;
(iii) the party is an associate of the company or a joint venture in which the company is a venturer;
(iv) the party is a member of key management personnel of the company or the company's parent, or a close family member of such an individual, or is an entity under the control, joint control or significant influence of such individuals;
(v) the party is a close family member of a party referred to in (i) or is an entity under the control, joint control or significant influence of such individuals; or
(vi) the party is a post-employment benefit plan which is for the benefit of employees of the company or of any entity that is a related party of the company.

Close family members of an individual are those family members who may be expected to influence, or be influenced by, that individual in their dealings with the entity.

Provisions for liabilities
Provisions are recognised when the company has a present obligation (legal or constructive) arising as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation and a reliable estimate can be made.

Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as interest expense.

Distributions to equity holders
Dividends and other distributions to company’s shareholders are recognised as a liability in the financial statements in the period in which the dividends and other distributions are approved by the company’s shareholders. These amounts are recognised in the statement of changes in equity.

4. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by geographical market is given below:

2023 2022
£    £   
United Kingdom 28,073,136 27,794,622
Europe 191,352 282,197
Rest of World 658 8,512
28,265,146 28,085,331

5. OTHER OPERATING INCOME
2023 2022
£    £   
Sundry receipts 140,454 109,346
Government grants - 14,669
140,454 124,015

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

6. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 2,867,369 2,783,643
Social security costs 295,911 272,056
Other pension costs 183,692 175,922
3,346,972 3,231,621

The average number of employees during the year was as follows:
2023 2022

Direct staff 45 53
Administrative staff 38 31
83 84

2023 2022
£    £   
Directors' remuneration 168,104 163,395
Directors' pension contributions to money purchase schemes 12,045 16,798

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

7. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Bank interest 38 -
Hire purchase 819 -
857 -

8. PROFIT BEFORE TAXATION

The profit is stated after charging/(crediting):

2023 2022
£    £   
Hire of plant and machinery 355 493
Depreciation - owned assets 209,313 232,796
Profit on disposal of fixed assets (1,865 ) (3,464 )
Auditors' remuneration 19,555 4,179
Foreign exchange differences 20,502 9,742
Cost of inventories recognised as expense 18,303,103 18,873,986
CJRS grant income - (14,669 )

9. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2023 2022
£    £   
Current tax:
UK corporation tax 557,447 599,309

Deferred tax (3,382 ) 18,256
Tax on profit 554,065 617,565

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

9. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2023 2022
£    £   
Profit before tax 2,950,970 3,121,709
Profit multiplied by the standard rate of corporation tax in the UK of 19%
(2022 - 19%)

560,684

593,125

Effects of:
Expenses not deductible for tax purposes 14,605 (1,072 )
Capital allowances in excess of depreciation (17,843 ) -
Depreciation in excess of capital allowances - 7,256
Deferred tax movement (3,381 ) 18,256
Total tax charge 554,065 617,565

10. DIVIDENDS
2023 2022
£    £   
Ordinary share capital shares of £1 each
Interim 895,013 3,550,000

11. TANGIBLE FIXED ASSETS
Improvements Fixtures
to Plant and and Motor
property machinery fittings vehicles Totals
£    £    £    £    £   
COST
At 1 April 2022 34,293 412,407 468,830 1,487,412 2,402,942
Additions - 23,780 11,245 178,811 213,836
Disposals - (57,900 ) (36,218 ) (207,747 ) (301,865 )
Reclassification/transfer - (102,329 ) 102,329 - -
At 31 March 2023 34,293 275,958 546,186 1,458,476 2,314,913
DEPRECIATION
At 1 April 2022 14,155 376,769 340,015 907,160 1,638,099
Charge for year 3,429 19,991 16,919 168,974 209,313
Eliminated on disposal - (57,900 ) (34,365 ) (180,916 ) (273,181 )
Reclassification/transfer - (102,329 ) 102,329 - -
At 31 March 2023 17,584 236,531 424,898 895,218 1,574,231
NET BOOK VALUE
At 31 March 2023 16,709 39,427 121,288 563,258 740,682
At 31 March 2022 20,138 35,638 128,815 580,252 764,843

12. FIXED ASSET INVESTMENTS

The company's investments at the Balance Sheet date in the share capital of companies include the following:

Graham Tyson Limited
Registered office: Moat Works, Moat Road, West Wilts trading estate, Westbury, BA13 4JF
Nature of business: Dormant
%
Class of shares: holding
Ordinary 100.00

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

13. STOCKS
2023 2022
£    £   
Finished goods 3,184,373 3,239,869

An impairment reversal was recognised in cost of sales against stock of £19,180 (2022: £20,089).

14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 4,426,395 4,670,892
Other debtors 1,586 20,000
Prepayments and accrued income 424,574 393,920
4,852,555 5,084,812

Trade debtors are stated after provisions for impairment of £38,916 (2022 - £20,232).

Amounts owed by group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.

15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade creditors 2,844,091 2,768,059
Amounts owed to group undertakings 728,127 212,603
Tax 26,528 112,814
Social security and other taxes 696,501 719,799
Other creditors 69,211 59,555
Accruals and deferred income 281,203 214,304
4,645,661 4,087,134

Amounts owed to group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.

The company bankers hold fixed and floating charges over all assets, book debts, chattels, goodwill and uncalled capital both present and future together with a unlimited multilateral guarantee given by the company and its parent company Atkinson Equipment Limited.

Included within other creditors are outstanding pension contributions of £16,698 (2022: £12,336).

16. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2023 2022
£    £   
Within one year 590,199 572,996
Between one and five years 1,870,876 2,117,832
In more than five years 579,006 717,321
3,040,081 3,408,149

17. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax 127,045 130,426
Other provisions 103,000 66,000
230,045 196,426

Taylor-Davis Limited (Registered number: 00978584)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

17. PROVISIONS FOR LIABILITIES - continued

Deferred Other
tax provisions
£    £   
Balance at 1 April 2022 130,426 112,170
Provided during year (3,381 ) (9,170 )
Balance at 31 March 2023 127,045 103,000

Deferred taxation relates to capital allowances in excess of depreciation.

Other provisions relate to dilapidations in respect of property operating leases.

18. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
15,000 Ordinary share capital £1 15,000 15,000

There are no restrictions on the distribution of dividends and the repayment of capital or voting rights.

19. ULTIMATE PARENT COMPANY

Atkinson Equipment Group Limited is regarded by the directors as being the company's ultimate parent company.

Atkinson Equipment Group Limited is the the company's ultimate parent company and has prepared group accounts for the financial year to 31 March 2023. This was the largest and smallest group preparing group accounts that incorporates the results of Taylor-Davis Limited.

20. CONTINGENT LIABILITIES

The group bank facilities are secured by a fixed charge over the group's leasehold property and a fixed and floating charge over the other assets and undertakings of the group.

The company is jointly and severally liable in respect of the value added tax liabilities of Atkinson Equipment Limited. The potential liability at 31 March 2023 is £85,163 (2022: liability of £40,571) although no liability is expected to arise.

21. RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

22. ULTIMATE CONTROLLING PARTY

There is no one ultimate controlling party.