Company registration number 07186358 (England and Wales)
E W SMITH GARAGE LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
PAGES FOR FILING WITH REGISTRAR
E W SMITH GARAGE LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
E W SMITH GARAGE LIMITED
BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
3
162,260
185,167
Tangible assets
4
439,708
447,400
601,968
632,567
Current assets
Stocks
5,000
5,000
Debtors
5
196,256
198,803
Cash at bank and in hand
669,422
632,440
870,678
836,243
Creditors: amounts falling due within one year
6
(306,426)
(259,959)
Net current assets
564,252
576,284
Total assets less current liabilities
1,166,220
1,208,851
Provisions for liabilities
(6,580)
(6,359)
Net assets
1,159,640
1,202,492
Capital and reserves
Called up share capital
7
100
100
Profit and loss reserves
1,159,540
1,202,392
Total equity
1,159,640
1,202,492
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 March 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.
The financial statements were approved by the board of directors and authorised for issue on 26 November 2023 and are signed on its behalf by:
E W Smith
Director
Company Registration No. 07186358
E W SMITH GARAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
- 2 -
1
Accounting policies
Company information
E W Smith Garage Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit 1 - Chepping Park, Lincoln Road, Cressex Industrial Estate, High Wycombe, Buckinghamshire, HP12 3RB.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover arises from the provision of maintenance and repairs services to motor vehicles.
Turnover is measured at the fair value of the consideration received or receivable for the rendering of such services, and is shown net of discounts and VAT.
1.3
Intangible fixed assets - goodwill
Acquired goodwill is written off in equal annual instalments over its estimated useful economic life, estimated at 20 years.
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:
Land and buildings Freehold
2% straight line
Plant and machinery
25% 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.
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.
E W SMITH GARAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 3 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.6
Financial instruments
The company has elected to apply the provisions of Section 11 ”Basic Financial Instruments” 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.
Basic financial assets
Short term debtors are measured at transaction price less any provision for impairment. Loans receivable are measured initially at fair value, net of transaction costs and are subsequently carried at amortised costs using the effective interest method, less any provision for impairment.
Basic financial liabilities
Short term creditors are measured at transaction price. Other financial liabilities, including bank loans and other loans, are measured initially at fair value, net of transaction costs and are subsequently carried at amortised costs using the effective interest method.
1.7
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.
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.
1.8
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.9
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.
E W SMITH GARAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 4 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
11
11
3
Intangible fixed assets
Goodwill
£
Cost
At 1 April 2022 and 31 March 2023
458,142
Amortisation and impairment
At 1 April 2022
272,975
Amortisation charged for the year
22,907
At 31 March 2023
295,882
Carrying amount
At 31 March 2023
162,260
At 31 March 2022
185,167
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 April 2022
469,260
112,488
581,748
Additions
12,526
12,526
At 31 March 2023
469,260
125,014
594,274
Depreciation and impairment
At 1 April 2022
56,311
78,037
134,348
Depreciation charged in the year
9,385
10,833
20,218
At 31 March 2023
65,696
88,870
154,566
Carrying amount
At 31 March 2023
403,564
36,144
439,708
At 31 March 2022
412,949
34,451
447,400
E W SMITH GARAGE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 5 -
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
163,868
160,505
Other debtors
32,388
38,298
196,256
198,803
6
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
191,410
138,086
Taxation and social security
77,212
86,701
Other creditors
37,804
35,172
306,426
259,959
7
Called up share capital
2023
2022
£
£
Ordinary share capital
Issued and fully paid
51 Ordinary A shares of £1 each
51
51
29 Ordinary B shares of £1 each
29
29
20 Ordinary C shares of £1 each
20
20
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
£
£
Within one year
7,402
8,085
Between two and five years
13,201
1,089
20,603
9,174