Company registration number 08406125 (England and Wales)
BURTONS VEHICLE SYSTEMS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
PAGES FOR FILING WITH REGISTRAR
BURTONS VEHICLE SYSTEMS LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
BURTONS VEHICLE SYSTEMS LIMITED
BALANCE SHEET
AS AT 31 OCTOBER 2023
31 October 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
11,827
12,419
Current assets
Stocks
172,413
118,585
Debtors
5
45,000
50,834
Cash at bank and in hand
1,811
776
219,224
170,195
Creditors: amounts falling due within one year
6
(159,390)
(670,838)
Net current assets/(liabilities)
59,834
(500,643)
Total assets less current liabilities
71,661
(488,224)
Provisions for liabilities
(2,566)
Net assets/(liabilities)
69,095
(488,224)
Capital and reserves
Called up share capital
100
100
Profit and loss reserves
68,995
(488,324)
Total equity
69,095
(488,224)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
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 30 July 2024 and are signed on its behalf by:
Mr D C Burton
Director
Company registration number 08406125 (England and Wales)
BURTONS VEHICLE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
- 2 -
1
Accounting policies
Company information
Burtons Vehicle Systems Limited is a private company limited by shares incorporated in England and Wales. The registered office is Guardian Industrial Estate, Pattenden Lane, Marden, Kent, TN12 9QD. The principal place of business is Atlantic House, Pattenden Lane, Marden, Kent, TN12 9QS.
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.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
These financial statements are prepared on the going concern basis which assumes the continued financial support of other group companies. This support includes unlimited cross guarantees provided by group companies in relation to bank borrowings.
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.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods). Revenue from the supply of services is recognised by reference to the stage of completion at the balance sheet date.
1.4
Tangible fixed assets
Tangible fixed assets are measured at cost, net of depreciation.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:
Land and buildings Leasehold
20% straight line
Plant and machinery
15-25% reducing balance and 10-50% straight line
Fixtures, fittings & equipment
10% straight line
Computer equipment
33% straight line
Motor vehicles
25-50% straight line
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.
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.
BURTONS VEHICLE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 3 -
1.6
Financial instruments
The company has elected to apply the recognition and measurement 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.
Basic financial assets
Basic financial assets, which include debtors, are measured at transaction price including transaction costs.
Basic financial liabilities
Basic financial liabilities, including creditors, bank overdrafts and loans from fellow group companies are recognised at transaction price.
1.7
Taxation
The tax expense represents the sum of the tax currently payable or receivable and deferred tax.
Current tax
Current tax represents the amount of tax payable or receivable in respect of the taxable profit (or loss) for the current or past reporting periods. It is measured at the amount expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted by the balance sheet 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. Deferred tax is measured at the tax rate that is expected to apply to the reversal of the related difference, using tax rates enacted or substantively enacted at the balance sheet date.
1.8
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.9
Leases
Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, and hire purchase contracts are capitalised in the balance sheet and are depreciated over the shorter of the lease term and the asset's useful lives. A corresponding liability is recognised for the lower of the fair value of the leased asset and the present value of the minimum lease payments in the balance sheet. Lease payments are apportioned between the reduction of the lease liability and finance charges so as to achieve a constant 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.
BURTONS VEHICLE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 4 -
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (excluding directors) employed by the company during the year was:
2023
2022
Number
Number
Total
10
8
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 November 2022
19,141
55,463
74,604
Additions
3,760
4,847
8,607
At 31 October 2023
22,901
60,310
83,211
Depreciation and impairment
At 1 November 2022
19,141
43,044
62,185
Depreciation charged in the year
345
8,854
9,199
At 31 October 2023
19,486
51,898
71,384
Carrying amount
At 31 October 2023
3,415
8,412
11,827
At 31 October 2022
12,419
12,419
BURTONS VEHICLE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 5 -
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
34,593
38,282
Amounts owed by group undertakings
1,748
111
Other debtors
8,659
10,169
45,000
48,562
Deferred tax asset
2,272
45,000
50,834
6
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
21,892
531,537
Trade creditors
44,989
57,944
Amounts owed to group undertakings
936
492
Taxation and social security
37,478
30,434
Other creditors
54,095
50,431
159,390
670,838
The bank overdraft is secured by a fixed and floating charge over all assets of the company.
The obligations under hire purchase and finance leases included in Other creditors, amounting to £nil (2022 - £5,607), are secured on the assets to which they relate.
7
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
Senior Statutory Auditor:
David Hill BA FCA
Statutory Auditor:
Dendy Neville Limited
Date of audit report:
30 July 2024
8
Financial commitments, guarantees and contingent liabilities
The company has provided unlimited cross guarantees to the bank in respect of the borrowings of the parent company, Burtons of Maidstone Limited and its subsidiaries. As at 31 October 2023, the group's net indebtedness to the bank amounted to £415,000 (2022 - £674,000).
BURTONS VEHICLE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 6 -
9
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
£
£
125,000
175,000
10
Parent company
The immediate and ultimate parent undertaking and controlling party is Burtons of Maidstone Limited, which prepares group financial statements. The registered office of Burtons of Maidstone Limited is Guardian Industrial Estate, Pattenden Lane, Marden, Kent, TN12 9QD.