Company registration number 07024181 (England and Wales)
LANCASHIRE CRUSHERS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023
PAGES FOR FILING WITH REGISTRAR
LANCASHIRE CRUSHERS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
LANCASHIRE CRUSHERS LIMITED
BALANCE SHEET
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
1,640,696
1,227,773
Current assets
Stocks
211,649
226,510
Debtors
4
561,836
720,973
Cash at bank and in hand
90,457
80,096
863,942
1,027,579
Creditors: amounts falling due within one year
5
(1,194,936)
(1,481,963)
Net current liabilities
(330,994)
(454,384)
Total assets less current liabilities
1,309,702
773,389
Creditors: amounts falling due after more than one year
6
(778,888)
(290,948)
Provisions for liabilities
(243,747)
(221,452)
Net assets
287,067
260,989
Capital and reserves
Called up share capital
7
100
100
Profit and loss reserves
286,967
260,889
Total equity
287,067
260,989
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 July 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 and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
LANCASHIRE CRUSHERS LIMITED
BALANCE SHEET (CONTINUED)
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 28 November 2023 and are signed on its behalf by:
Mrs T J Slater
Mr P Slater
Director
Director
Company registration number 07024181 (England and Wales)
LANCASHIRE CRUSHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023
- 3 -
1
Accounting policies
Company information
Lancashire Crushers Limited is a private company limited by shares incorporated in England and Wales. The registered office is Mentor House, Ainsworth Street, Blackburn, Lancashire, BB1 6AY.
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
Going concern
During the trueyear the company has continued to invest in plant and machinery to expand the business activities.
This further investment was funded by hire purchase finance, a proportion of which is disclosed in current liabilities leading to the company disclosing net current liabilities. The company meets the hire purchase commitments from working capital cash flow.
In addition further working capital finance is provided through an invoice discounting facility.
Therefore the directors consider that the company is a going concern and have prepared the financial statements on this basis.
1.3
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. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
1.4
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:
Plant and machinery
10% reducing balance
Fixtures, fittings & equipment
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.
LANCASHIRE CRUSHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 4 -
1.5
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
1.6
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.
1.7
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.
1.8
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.
1.9
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.
LANCASHIRE CRUSHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 5 -
1.10
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
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
14
16
3
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 August 2022
2,388,466
Additions
912,486
Disposals
(775,443)
At 31 July 2023
2,525,509
Depreciation and impairment
At 1 August 2022
1,160,693
Depreciation charged in the year
161,262
Eliminated in respect of disposals
(437,142)
At 31 July 2023
884,813
Carrying amount
At 31 July 2023
1,640,696
At 31 July 2022
1,227,773
LANCASHIRE CRUSHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
3
Tangible fixed assets
(Continued)
- 6 -
The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.
2023
2022
£
£
Plant and machinery
805,929
1,149,541
805,929
1,149,541
Depreciation charge for the year in respect of leased assets
101,811
155,945
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
495,801
641,673
Other debtors
66,035
79,300
561,836
720,973
5
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
10,285
10,650
Obligations under finance leases
340,675
253,185
Invoice discounting
344,096
302,490
Trade creditors
170,168
489,580
Taxation and social security
10,465
51,911
Other creditors
316,147
366,407
Accruals and deferred income
3,100
7,740
1,194,936
1,481,963
The company's invoice discounting facility is secured by way of a fixed and floating charge over the assets of the company.
Net obligations under finance lease and hire purchase contracts are secured by fixed charges on the assets concerned.
LANCASHIRE CRUSHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 7 -
6
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
18,333
28,333
Obligations under finance leases
710,555
212,615
Other borrowings
50,000
50,000
778,888
290,948
7
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
8
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
£
£
1,853,209
2,101,124
9
Directors' transactions
During the year, the company operated loan accounts with the directors of the company. At the balance sheet date the company owed £172,764 (2022 - £206,582) to Mrs T Slater and £186,205 (2022 - £189,113) to Mr P Slater.
Within Mrs T Slater's loan account balance is an amount of £50,000 (2022 - £50,000) which is due after 12 months.