(1) General Information
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The company is a private company limited by shares and is registered in England and Wales, registered number 00581799. The address of the registered office is Trevoole, Praze, Camborne, Cornwall, TR14 0PJ. |
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(2) Statement of compliance
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These individual financial statements have been prepared in accordance with FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" Section 1A and Companies Act 2006, as applicable to companies subject to the small companies' regime. |
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(3) Significant Accounting Policies
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Basis of Preparation
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The financial statements have been prepared under the historical cost basis and in accordance with the Companies Act 2006. The presentation and functional currency of the company is pounds sterling. The financial statements are presented in pound sterling (£) unless stated otherwise. |
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Turnover
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Turnover is measured at the fair value of the consideration received or receivable, net of discounts, rebates, valued added tax and other sales taxes. |
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Property, plant and equipment
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Property, plant and equipment are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
| Asset class and depreciation rate | Land and Buildings | | Plant and Machinery | 5% reducing balance | Short Leasehold Properties | | Investment Properties | | Long Leasehold Properties | | Commercial Vehicles | | Fixtures and Fittings | 15% reducing balance | Equipment | 33% reducing balance | Motor Cars | 25% reducing balance |
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Inventories
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Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving items.
Cost is calculated using the first-in,-first-out method and includes all purchase, transport and handling costs in bringing stocks to their present location and condition. |
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Leasing and Hire Purchase Contracts
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Rentals paid under operating leases are charged to the income statement on a straight line basis over the period of the lease. |
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Taxation
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Corporation tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and 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 end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period 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 assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current or deferred tax for the year is recognised in the income statement except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively. |
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Pensions
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The company operates two defined pension contribution schemes. Contributions payable to the company's pension schemes are charged to the income statement in the period to which they relate. |
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Government Grant
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Government grants are recognised in the income statement in an appropriate manner that matches them with the expenditure towards which they are intended to contribute.
Grants for immediate financial support or to cover costs already incurred are recognised immediately in the income statement. Grants towards general activities of the entity over a specific period are recognised in the income statement over that period.
Grants towards fixed assets are recognised over the expected useful lives of the related assets and are treated as deferred income and released to the income statement over the useful life of the asset concerned.
All grants in the income statement are recognised when all conditions for receipt have been complied with. |
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(4) Employees
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During the year, the average number of employees including director was 6 (2022 : 6). |
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(5) Tangible fixed assets
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| Plant and Machinery | Fixtures and Fittings | Equipment | Motor Vehicles | Totals | | £ | £ | £ | £ | £ | Cost | | | | | | As at 01 August 2022 | 295,229 | 33,330 | 45,753 | 13,495 | 387,807 | Additions | - | 22,000 | 425 | - | 22,425 | As at 31 July 2023 | 295,229 | 55,330 | 46,178 | 13,495 | 410,232 | Depreciation | | | | | | As at 01 August 2022 | 196,902 | 32,035 | 42,557 | 13,488 | 284,982 | For the year | 4,916 | 3,494 | 1,195 | 2 | 9,607 | As at 31 July 2023 | 201,818 | 35,529 | 43,752 | 13,490 | 294,589 | Net book value | | | | | | As at 31 July 2023 | 93,411 | 19,800 | 2,426 | 5 | 115,643 | As at 31 July 2022 | 98,327 | 1,295 | 3,196 | 7 | 102,825 |
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(6) Inventories
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| | | 2023 | | 2022 | | £ | | £ | | Stock - Materials | 173,644 | | 191,804 | | | | | | 173,644 | | 191,804 |
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(7) Debtors
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Amounts falling due within one year
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| | | 2023 | | 2022 | | £ | | £ | | Trade debtors | 127,524 | | 70,767 | Other debtors | 1,184 | | 1,002 | | | | | | 128,708 | | 71,769 |
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(8) Creditors: Amounts falling due within one year
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| | | 2023 | | 2022 | | £ | | £ | | Trade creditors | 36,126 | | 43,761 | Bank loans and overdrafts | 6,892 | | - | | | | | Other taxes and social security | 24,585 | | 9,671 | Other creditors | 67,909 | | 53,101 | Accruals and deferred income | 8,000 | | 3,400 | | 143,512 | | 109,933 |
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(9) Provision for liabilities
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| | | 2023 | | 2022 | | £ | | £ | | | | | | Deferred taxation | 22,000 | | 19,500 | | 22,000 | | 19,500 |
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(10) Share capital and reserves
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| Alloted,called up and fully paid: | 2023 | | 2022 | | £ | | £ | | 98,784 (2022 : 98,784) Ordinary Share of £ 1 each | 98,784 | | 98,784 | | 98,784 | | 98,784 | | | | Retained earnings | | | 2023 | | | | £ | At 1 August 2022 | | | 134,322 | Profit of the year | | | 16,220 | | | | | At 31 July 2023 | | | 150,542 | |
Retained earnings
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Called up and fully paid: | Retained earnings | | | 2023 | | | | £ | | At 1 August 2022 | | | 134,322 | Profit of the year | | | 16,220 | | | | | At 31 July 2023 | | | 150,542 | |
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(11) Commitments, guarantees and contingencies
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Other financial commitments
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At the balance sheet date, the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases which fall due as follows:. |
| | | 31 July 2023 | | 31 July 2022 | | | £ | | £ | | Within One year | | 0 | | 248 | Between one and five years | | 0 | | 0 | Later than five years | | 0 | | 0 | Total | | 0 | | 248 | |
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(12) Stock of materials and work in progress
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At 31 July 2023 the company held a stock of materials amounting to £172,678 and work in progress of £966 (2022: £191,384 and £420 respectively). |
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(13) Other information
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The company's assets are held subject to a debenture in favour of the director, Mr David Handley. |
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