Company registration number 00958642 (England and Wales)
Lawton Tools Limited
Unaudited financial statements
For the year ended 31 October 2023
Lawton Tools Limited
Contents
Page
Balance sheet
1
Notes to the financial statements
2 - 5
Lawton Tools Limited
Balance sheet
As at 31 October 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
3
2,364
7,707
Tangible assets
4
28,233
12,955
30,597
20,662
Current assets
Stocks
121,718
65,375
Debtors
5
460,999
321,236
Cash at bank and in hand
846
457
583,563
387,068
Creditors: amounts falling due within one year
6
(536,253)
(274,776)
Net current assets
47,310
112,292
Net assets
77,907
132,954
Capital and reserves
Called up share capital
7
10
10
Profit and loss reserves
77,897
132,944
Total equity
77,907
132,954
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 October 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 30 July 2024 and are signed on its behalf by:
Mr E M Horsley
Director
Company registration number 00958642 (England and Wales)
LAWTON TOOLS LIMITED
Lawton Tools Limited
Notes to the financial statements
FOR THE YEAR ENDED 31 OCTOBER 2023
- 2 -
1
Accounting policies
Company information
Lawton Tools Limited is a private company limited by shares incorporated in England and Wales. The registered office is 72 Newcastle Road, Cheshire, CW11 1LT, Sandbach.
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 represents amounts receivable for goods and services net of VAT and trade discounts.
1.3
Intangible fixed assets other than goodwill
Amortisation 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:
Computer software
25% straight line
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
25% straight line
Fixtures, fittings & equipment
15% straight line
Motor vehicles
25% straight line
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
Stock is valued at the lower of cost and net realisable value.
1.6
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
LAWTON TOOLS LIMITED
Lawton Tools Limited
Notes to the financial statements (continued)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 3 -
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.
1.7
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
9
8
3
Intangible fixed assets
Other
£
Cost
At 1 November 2022 and 31 October 2023
21,371
Amortisation and impairment
At 1 November 2022
13,664
Amortisation charged for the year
5,343
At 31 October 2023
19,007
Carrying amount
At 31 October 2023
2,364
At 31 October 2022
7,707
LAWTON TOOLS LIMITED
Lawton Tools Limited
Notes to the financial statements (continued)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 4 -
4
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 November 2022
153,308
Additions
26,000
At 31 October 2023
179,308
Depreciation and impairment
At 1 November 2022
140,353
Depreciation charged in the year
10,722
At 31 October 2023
151,075
Carrying amount
At 31 October 2023
28,233
At 31 October 2022
12,955
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
413,397
284,022
Other debtors
1,600
999
Prepayments and accrued income
7,230
966
422,227
285,987
Deferred tax asset
38,772
35,249
460,999
321,236
6
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
35,710
81,616
Trade creditors
190,934
123,970
Taxation and social security
24,867
12,233
Other creditors
271,644
43,702
Accruals and deferred income
13,098
13,255
536,253
274,776
LAWTON TOOLS LIMITED
Lawton Tools Limited
Notes to the financial statements (continued)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 5 -
7
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
10
10
10
10
8
Related party transactions
Transactions with related parties
During the year the company entered into the following transactions with related parties:
Mr E M Horsley and Mrs J A Horsley (Directors) are materially interested as shareholders in Lawton Tools (Rail Products) Limited.
Transactions in the year with Lawton Tools (Rail Products) Ltd were as follows:
Sales £31,450 (2022 £28,449)
Purchases £51,675 (2022 £43,214)
The year end balances with Lawton Tools (Rail Products) Ltd were as follows:
Trade debtors £1,927 (2022 £2,474)
Trade creditors £6,265 (2022 £10,522)
Other creditors £251,188 (2022 £14,636)
Mr E M Horsley and Mrs J A Horsley (Directors) were also materially interested as shareholders in Lawton Tool Vending Limited. On 31 October 2022 Lawton Tool Vending Limited ceased to trade and on 1 November 2022 the business was transferred to Lawton Tools Limited. An outstanding loan balance of £40,025 due from Lawton Tool Vending Limited has been written off in these financial statements.
Transactions in the year with Lawton Tool Vending Limited were as follows:
The year end balances with Lawton Tool Vending Limited were as follows;
Trade debtors £nil (2022 £73,092)
Other debtors £nil (2022 £726)
Other creditors £nil (2022 £8,600)
During the year the company rented its trading premises from Mr E M Horsley and Mrs J A Horsley at an amount of £9,600 (2022 £9,600).