1 September 2022 v2024.40.1 limited_company_frs_102_section_1a_v1_1_1 companies_houseSoftwarefalsetruetruetrueNo description of principal activityfalsetruexbrli:purexbrli:sharesiso4217:GBP048733162022-09-012023-08-31048733162023-08-31048733162022-08-3104873316core:WithinOneYear2023-08-3104873316core:WithinOneYear2022-08-3104873316core:ShareCapital2023-08-3104873316core:ShareCapital2022-08-3104873316core:SharePremium2023-08-3104873316core:SharePremium2022-08-3104873316core:RevaluationReserve2023-08-3104873316core:RevaluationReserve2022-08-3104873316core:RetainedEarningsAccumulatedLosses2023-08-3104873316core:RetainedEarningsAccumulatedLosses2022-08-3104873316bus:Director12022-09-012023-08-3104873316bus:RegisteredOffice2022-09-012023-08-3104873316core:PatentsTrademarksLicencesConcessionsSimilar2022-09-012023-08-3104873316core:MotorVehicles2022-09-012023-08-3104873316core:FurnitureFittings2022-09-012023-08-31048733162021-09-012022-08-3104873316core:IntangibleAssetsOtherThanGoodwill2023-08-3104873316core:IntangibleAssetsOtherThanGoodwill2022-09-0104873316core:IntangibleAssetsOtherThanGoodwill2022-09-012023-08-3104873316core:IntangibleAssetsOtherThanGoodwill2022-08-3104873316core:LandBuildings2022-09-0104873316core:PlantMachinery2022-09-01048733162022-09-0104873316core:PlantMachinery2022-09-012023-08-3104873316core:LandBuildings2023-08-3104873316core:PlantMachinery2023-08-3104873316core:LandBuildings2022-08-3104873316core:PlantMachinery2022-08-310487331612022-09-012023-08-3104873316countries:EnglandWales2022-09-012023-08-3104873316bus:AuditExempt-NoAccountantsReport2022-09-012023-08-3104873316bus:PrivateLimitedCompanyLtd2022-09-012023-08-3104873316bus:SmallEntities2022-09-012023-08-3104873316bus:FullAccounts2022-09-012023-08-31
Company registration number:
04873316
MT Components Ltd
Unaudited Filleted Financial Statements for the year ended
31 August 2023
MT Components Ltd
Statement of Financial Position
31 August 2023
20232022
Note££
Fixed assets    
Intangible assets 5
1
 
121
 
Tangible assets 6
205,669
 
207,765
 
205,670
 
207,886
 
Current assets    
Stocks
132,320
 
329,679
 
Debtors 7
190,411
 
167,458
 
Cash at bank and in hand
(3,023
)
10,314
 
319,708
 
507,451
 
Creditors: amounts falling due within one year 8
(1,427,605
)
(1,593,290
)
Net current liabilities
(1,107,897
)
(1,085,839
)
Total assets less current liabilities (902,227 ) (877,953 )
Capital and reserves    
Called up share capital
2,000
 
2,000
 
Share premium
59,000
 
59,000
 
Revaluation reserve
103,876
 
103,876
 
Profit and loss account
(1,067,103
)
(1,042,829
)
Shareholders deficit
(902,227
)
(877,953
)
For the year ending
31 August 2023
, the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Director's responsibilities:
  • 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;
  • The director acknowledges their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These
financial statements
have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies’ regime.
In accordance with Section 444 of the Companies Act 2006, the income statement has not been delivered.
These
financial statements
were approved by the board of directors and authorised for issue on
30 August 2024
, and are signed on behalf of the board by:
Wai Hung Sum
Director
Company registration number:
04873316
MT Components Ltd
Notes to the Financial Statements
Year ended
31 August 2023

1 General information

The company is a private company limited by shares and is registered in England and Wales. The address of the registered office is
Unit C, Nexus Point Way
,
Holford Industrial Park
,
Birmingham
,
B6 7AF
, United Kingdom.

2 Statement of compliance

These
financial statements
have been prepared in compliance with FRS 102 Section 1A, 'The Financial Reporting Standard applicable to the UK and Republic of Ireland'.

3 Accounting policies

Basis of preparation

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The
financial statements
are prepared in sterling, which is the functional currency of the company.
The following principal accounting policies have been applied:

Going concern

These financial statements have been prepared on the going concern basis, as adequate cash resources will be made available to cover the Company's requirements by the directors, for at least the next twelve months.

Turnover

Turnover is measured at the fair value of the consideration received or receivable for goods supplied, net of discounts and Value Added Tax.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer, usually on despatch of the goods; the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

Intangible assets

Intangible assets are initially measured at cost and are subsequently measured at cost less any accumulated amortisation and accumulated impairment losses or at a revalued amount. However, Intangible assets acquired as part of a business combination are only recognised separately from goodwill when they arise from contractual or other legal rights, are separable, the expected future economic benefits are probable and the cost or value can be measured reliably.
Any intangible assets carried at a revalued amount are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses.
An increase in the carrying amount of an asset as a result of a revaluation is recognised in other comprehensive income and accumulated in capital and reserves. However, the increase is recognised in profit or loss to the extent that it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves. If a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess is recognised in profit or loss.
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Patents, trademarks and licences
Over their estimated useful lives

Tangible assets

Tangible assets are initially measured at cost, and are subsequently measured at cost less any accumulated depreciation and accumulated impairment losses or at a revalued amount.
Any tangible assets carried at a revalued amount are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
An increase in the carrying amount of an asset as a result of a revaluation is recognised in other comprehensive income and accumulated in capital and reserves. However, the increase is recognised in profit or loss to the extent that it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves. If a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess is recognised in profit or loss.
Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Motor vehicles
20% reducing balance
Fixtures and fittings
25% reducing balance

Impairment

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stocks to their present location and condition.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the transaction price and are subsequently measured as follows: Debt instruments are subsequently measured at amortised cost and commitments to receive a loan and to make a loan to another entity are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment.
All other financial instruments, including derivatives, are initially recognised at fair value, which is normally the transaction price and are subsequently measured at fair value, with any changes recognised in profit or loss.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.
All equity instruments regardless of significance, and other financial assets that are individually significant, are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics.
Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution pension plan

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

Operating leases

A lease is classified as an operating lease if it does not transfer substantially all the risks and rewards incidental to ownership. Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Foreign currencies

The company's functional and presentational currency is GBP. Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.
At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.
Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Statement of Comprehensive Income except when deferred in other comprehensive income as qualifying cash flow hedges.
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income with 'finance income or costs'. All other foreign exchange gains and losses are presented in the Statement of Comprehensive Income within 'other operating income'.

4 Average number of employees

The average number of persons employed by the company during the year was
7
(2022:
10.00
).

5 Intangible assets

Other intangible assets
£
Cost  
At
1 September 2022
and
31 August 2023
7,113
 
Amortisation  
At
1 September 2022
6,992
 
Charge
120
 
At
31 August 2023
7,112
 
Carrying amount  
At
31 August 2023
1
 
At 31 August 2022
121
 

6 Tangible assets

Land and buildingsPlant and machinery etc.Total
£££
Cost      
At
1 September 2022
190,000
 
148,269
 
338,269
 
Additions -  
2,925
 
2,925
 
At
31 August 2023
190,000
 
151,194
 
341,194
 
Depreciation      
At
1 September 2022
-  
130,504
 
130,504
 
Charge -  
5,021
 
5,021
 
At
31 August 2023
-  
135,525
 
135,525
 
Carrying amount      
At
31 August 2023
190,000
 
15,669
 
205,669
 
At 31 August 2022
190,000
 
17,765
 
207,765
 

Investment property

The valuations were made on an open market value for existing use basis. The director sought advice regarding the open market value of the investment property and considers the value of the property to be £190,000 at the year end. The historic cost of the investment property as at 31 August 2015 amounted to £86,124. As at 31 August 2021, the director reviewed the open market value of the property and considered the agreed revalued amount of £190,000 is a fair value to be disclosed as at year end in the financial statements.
No provision has been made for deferred tax on the gain recognised. The potential deferred tax liabilities in respect of this revaluation is approximately £nil (2022: £nil) due to no future profits can be foreseen at the moment.

7 Debtors

20232022
££
Trade debtors
171,050
 
136,945
 
Other debtors
19,361
 
30,513
 
190,411
 
167,458
 

8 Creditors: amounts falling due within one year

20232022
££
Trade creditors
1,369,379
 
1,417,665
 
Taxation and social security
46,554
 
12,166
 
Other creditors
11,672
 
163,459
 
1,427,605
 
1,593,290
 

9 Guarantees and other financial commitments

Pension commitments
The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £9,871 (2022: £8,891). Contributions totalling £772 (2022: £991) were payable to the fund at the balance sheet date.

11 Controlling party

The ultimate controlling parties of the company is WH Sum, who is the shareholder and the director of the company.