Company registration number 04300484 (England and Wales)
FINE IRON LIMITED
Unaudited Financial Statements
for the Year Ended 31 May 2023
FINE IRON LIMITED
Contents
Page
Company information
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 8
FINE IRON LIMITED
Company Information
- 1 -
Director
Mr T L Stephens
Secretary
Ms D R Stephens
Company number
04300484
Registered office
Building 1
Upper Gilfach
Aberbran
Brecon
Powys
Wales
LD3 9NL
Accountants
Mitchell Meredith Ltd
St Davids House
48 Free Street
Brecon
Powys
UK
LD3 7BN
FINE IRON LIMITED
Balance Sheet
As at 31 May 2023
- 2 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
105,356
91,427
Current assets
Stocks
24,424
18,300
Debtors
5
44,605
69,437
Cash at bank and in hand
8,845
14,154
77,874
101,891
Creditors: amounts falling due within one year
6
(114,996)
(126,787)
Net current liabilities
(37,122)
(24,896)
Total assets less current liabilities
68,234
66,531
Creditors: amounts falling due after more than one year
7
(35,600)
(49,320)
Provisions for liabilities
(17,993)
(16,212)
Net assets
14,641
999
Capital and reserves
Called up share capital
3
3
Profit and loss reserves
14,638
996
Total equity
14,641
999
FINE IRON LIMITED
Balance Sheet
As at 31 May 2023
- 3 -

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

For the financial year ended 31 May 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The director acknowledges his 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 and signed by the director and authorised for issue on 8 February 2024
Mr T L Stephens
Director
Company Registration No. 04300484
FINE IRON LIMITED
Notes to the Financial Statements
For the Year Ended 31 May 2023
- 4 -
1
Accounting policies
Company information

Fine Iron Limited is a private company limited by shares incorporated in England and Wales. The registered office is Building 1, Upper Gilfach, Aberbran, Brecon, Powys, Wales, LD3 9NL.

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 the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2
Turnover

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

 

The company recognises Turnover when:

The amount of Turnover can be reliably measured;

it is probable that future economic benefits will flow to the entity;

and specific criteria have been met for each of the company's activities.

1.3
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

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 equipment
15% reducing balance
Fixtures and fittings
20% reducing balance
Motor vehicles
25% reducing balance
FINE IRON LIMITED
Notes to the Financial Statements
For the Year Ended 31 May 2023
1
Accounting policies
- 5 -

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
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible 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.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.6
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

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, 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 measured at transaction price.

FINE IRON LIMITED
Notes to the Financial Statements
For the Year Ended 31 May 2023
1
Accounting policies
- 6 -
Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are recognised at transaction price.

 

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 at transaction price.

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.

 

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.

1.10
Retirement benefits

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

1.11
Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

 

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

FINE IRON LIMITED
Notes to the Financial Statements
For the Year Ended 31 May 2023
- 7 -
2
Employees

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

2023
2022
Number
Number
Total
6
5
3
Intangible fixed assets
Goodwill
£
Cost
At 1 June 2022 and 31 May 2023
105,000
Amortisation and impairment
At 1 June 2022 and 31 May 2023
105,000
Carrying amount
At 31 May 2023
-
0
At 31 May 2022
-
0
4
Tangible fixed assets
Plant and equipment
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
Cost
At 1 June 2022
218,993
1,447
32,744
253,184
Additions
21,528
2,850
6,000
30,378
At 31 May 2023
240,521
4,297
38,744
283,562
Depreciation and impairment
At 1 June 2022
134,293
290
27,174
161,757
Depreciation charged in the year
14,153
279
2,017
16,449
At 31 May 2023
148,446
569
29,191
178,206
Carrying amount
At 31 May 2023
92,075
3,728
9,553
105,356
At 31 May 2022
84,700
1,157
5,570
91,427
FINE IRON LIMITED
Notes to the Financial Statements
For the Year Ended 31 May 2023
- 8 -
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
-
0
32,057
Amounts owed by group undertakings and undertakings in which the company has a participating interest
43,374
34,836
Other debtors
1,231
2,544
44,605
69,437
6
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
17,800
21,880
Trade creditors
16,672
14,492
Taxation and social security
20,239
5,824
Other creditors
60,285
84,591
114,996
126,787
7
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
35,600
49,320
8
Loans and overdrafts
2023
2022
£
£
Bank loans
53,400
71,200
Payable within one year
17,800
21,880
Payable after one year
35,600
49,320

Bank Borrowings

Natwest Business interruption loan is denominated in GBP and the final instalment is due on 29 April 2026. The carrying amount at year end is £53,400 (2022 - £71,200).

The bank borrowings are secured by any security held by the Bank for the customer's liabilities.

2023-05-312022-06-01false08 February 2024CCH SoftwareCCH Accounts Production 2023.300No description of principal activityMr T L StephensMs D R Stephensfalse043004842022-06-012023-05-3104300484bus:Director12022-06-012023-05-3104300484bus:CompanySecretary12022-06-012023-05-3104300484bus:RegisteredOffice2022-06-012023-05-31043004842023-05-31043004842022-05-3104300484core:PlantMachinery2023-05-3104300484core:FurnitureFittings2023-05-3104300484core:MotorVehicles2023-05-3104300484core:PlantMachinery2022-05-3104300484core:FurnitureFittings2022-05-3104300484core:MotorVehicles2022-05-3104300484core:CurrentFinancialInstrumentscore:WithinOneYear2023-05-3104300484core:CurrentFinancialInstrumentscore:WithinOneYear2022-05-3104300484core:Non-currentFinancialInstrumentscore:AfterOneYear2023-05-3104300484core:Non-currentFinancialInstrumentscore:AfterOneYear2022-05-3104300484core:CurrentFinancialInstruments2023-05-3104300484core:CurrentFinancialInstruments2022-05-3104300484core:ShareCapital2023-05-3104300484core:ShareCapital2022-05-3104300484core:RetainedEarningsAccumulatedLosses2023-05-3104300484core:RetainedEarningsAccumulatedLosses2022-05-3104300484core:Goodwill2022-06-012023-05-3104300484core:PlantMachinery2022-06-012023-05-3104300484core:FurnitureFittings2022-06-012023-05-3104300484core:MotorVehicles2022-06-012023-05-31043004842021-06-012022-05-3104300484core:NetGoodwill2022-05-3104300484core:NetGoodwill2023-05-3104300484core:NetGoodwill2022-05-3104300484core:PlantMachinery2022-05-3104300484core:FurnitureFittings2022-05-3104300484core:MotorVehicles2022-05-31043004842022-05-3104300484core:WithinOneYear2023-05-3104300484core:WithinOneYear2022-05-3104300484core:Non-currentFinancialInstruments2023-05-3104300484core:Non-currentFinancialInstruments2022-05-3104300484bus:PrivateLimitedCompanyLtd2022-06-012023-05-3104300484bus:SmallCompaniesRegimeForAccounts2022-06-012023-05-3104300484bus:FRS1022022-06-012023-05-3104300484bus:AuditExemptWithAccountantsReport2022-06-012023-05-3104300484bus:FullAccounts2022-06-012023-05-31xbrli:purexbrli:sharesiso4217:GBP