IRIS Accounts Production v24.2.0.383 04403045 Board of Directors Board of Directors 1.1.23 31.12.23 31.12.23 false true false false true false iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh044030452022-12-31044030452023-12-31044030452023-01-012023-12-31044030452021-12-31044030452022-01-012022-12-31044030452022-12-3104403045ns15:EnglandWales2023-01-012023-12-3104403045ns14:PoundSterling2023-01-012023-12-3104403045ns10:Director12023-01-012023-12-3104403045ns10:Director22023-01-012023-12-3104403045ns10:PrivateLimitedCompanyLtd2023-01-012023-12-3104403045ns10:SmallEntities2023-01-012023-12-3104403045ns10:AuditExempt-NoAccountantsReport2023-01-012023-12-3104403045ns10:SmallCompaniesRegimeForDirectorsReport2023-01-012023-12-3104403045ns10:SmallCompaniesRegimeForAccounts2023-01-012023-12-3104403045ns10:FullAccounts2023-01-012023-12-3104403045ns10:Director32023-01-012023-12-3104403045ns10:RegisteredOffice2023-01-012023-12-3104403045ns5:CurrentFinancialInstruments2023-12-3104403045ns5:CurrentFinancialInstruments2022-12-3104403045ns5:Non-currentFinancialInstruments2023-12-3104403045ns5:Non-currentFinancialInstruments2022-12-3104403045ns5:ShareCapital2023-12-3104403045ns5:ShareCapital2022-12-3104403045ns5:RetainedEarningsAccumulatedLosses2023-12-3104403045ns5:RetainedEarningsAccumulatedLosses2022-12-3104403045ns5:ShortLeaseholdAssetsns5:LandBuildings2022-12-3104403045ns5:PlantMachinery2022-12-3104403045ns5:FurnitureFittings2022-12-3104403045ns5:ShortLeaseholdAssetsns5:LandBuildings2023-01-012023-12-3104403045ns5:PlantMachinery2023-01-012023-12-3104403045ns5:FurnitureFittings2023-01-012023-12-3104403045ns5:ShortLeaseholdAssetsns5:LandBuildings2023-12-3104403045ns5:PlantMachinery2023-12-3104403045ns5:FurnitureFittings2023-12-3104403045ns5:ShortLeaseholdAssetsns5:LandBuildings2022-12-3104403045ns5:PlantMachinery2022-12-3104403045ns5:FurnitureFittings2022-12-3104403045ns5:MotorVehicles2022-12-3104403045ns5:ComputerEquipment2022-12-3104403045ns5:MotorVehicles2023-01-012023-12-3104403045ns5:ComputerEquipment2023-01-012023-12-3104403045ns5:MotorVehicles2023-12-3104403045ns5:ComputerEquipment2023-12-3104403045ns5:MotorVehicles2022-12-3104403045ns5:ComputerEquipment2022-12-3104403045ns5:CurrentFinancialInstrumentsns5:WithinOneYear2023-12-3104403045ns5:CurrentFinancialInstrumentsns5:WithinOneYear2022-12-3104403045ns5:Non-currentFinancialInstruments2023-01-012023-12-31
REGISTERED NUMBER: 04403045 (England and Wales)












UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

FOR

AVALCO LIMITED

AVALCO LIMITED (REGISTERED NUMBER: 04403045)

CONTENTS OF THE FINANCIAL STATEMENTS
for the year ended 31 December 2023










Page

Company Information 1

Balance Sheet 2

Notes to the Financial Statements 4


AVALCO LIMITED

COMPANY INFORMATION
for the year ended 31 December 2023







DIRECTORS: Mr C J Clear
Mr B Ross
Mr D Ross



REGISTERED OFFICE: The Fluid Power Centre
Watling Street
Nuneaton
Warwickshire
CV11 6BQ



REGISTERED NUMBER: 04403045 (England and Wales)



ACCOUNTANTS: Magma Audit LLP
Unit 2
Charnwood Edge Business Park
Syston Road
Leicester
LE7 4UZ



BANKERS: National Westminster Bank plc
13 The Borough
Hinckley
Leicestershire
LE10 1NW

AVALCO LIMITED (REGISTERED NUMBER: 04403045)

BALANCE SHEET
31 December 2023

2023 2022
Notes £    £   
FIXED ASSETS
Tangible assets 4 69,559 42,388

CURRENT ASSETS
Stocks 151,911 69,693
Debtors 5 83,725 88,096
Cash at bank 117,147 219,243
352,783 377,032
CREDITORS
Amounts falling due within one year 6 (127,638 ) (131,884 )
NET CURRENT ASSETS 225,145 245,148
TOTAL ASSETS LESS CURRENT
LIABILITIES

294,704

287,536

CREDITORS
Amounts falling due after more than one
year

7

(36,319

)

(30,127

)
NET ASSETS 258,385 257,409

CAPITAL AND RESERVES
Called up share capital 10,000 10,000
Retained earnings 248,385 247,409
258,385 257,409

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2023 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:
(a)ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and
(b)preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

AVALCO LIMITED (REGISTERED NUMBER: 04403045)

BALANCE SHEET - continued
31 December 2023


The 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 Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 16 May 2024 and were signed on its behalf by:




Mr C J Clear - Director



Mr B Ross - Director


AVALCO LIMITED (REGISTERED NUMBER: 04403045)

NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 December 2023


1. COMPANY INFORMATION

Avalco Limited is a private limited company, limited by shares, registered in England and Wales. Its registered office address is The Fluid Power Centre, Watling Street, Nuneaton, Warwickshire, CV11 6BQ and the registered number is 04403045.

2. ACCOUNTING POLICIES

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 £.

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 and other sales related taxes. The fair value of consideration takes into account trade discount, settlement discounts and volume rebates.

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), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

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:

Leasehold improvements20% straight line basis
Plant and machinery15% straight line basis
Fixtures and fittings15% straight line basis
Computer equipment25% straight line basis
Motor vehicles33.3% straight line basis

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.

Stocks
Stocks are stated at the lower of the 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.

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.

AVALCO LIMITED (REGISTERED NUMBER: 04403045)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the year ended 31 December 2023


2. ACCOUNTING POLICIES - continued

Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Cash and cash equivalents
Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Operating leases
Leases are classified as hire purchase whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Rentals payable under operating leases, including any lease incentives received, are charged to income 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 lease asset are consumed.

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

AVALCO LIMITED (REGISTERED NUMBER: 04403045)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the year ended 31 December 2023


2. ACCOUNTING POLICIES - continued

Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

3. EMPLOYEES AND DIRECTORS

The average number of employees during the year was 4 (2022 - 4 ) .

4. TANGIBLE FIXED ASSETS
Fixtures
Leasehold Plant and and
improvements machinery fittings
£    £    £   
COST
At 1 January 2023 5,971 1,410 6,808
Additions 5,363 - -
Disposals - - -
At 31 December 2023 11,334 1,410 6,808
DEPRECIATION
At 1 January 2023 5,971 1,325 5,428
Charge for year 767 61 962
Eliminated on disposal - - -
At 31 December 2023 6,738 1,386 6,390
NET BOOK VALUE
At 31 December 2023 4,596 24 418
At 31 December 2022 - 85 1,380

Motor Computer
vehicles equipment Totals
£    £    £   
COST
At 1 January 2023 86,246 3,939 104,374
Additions 50,900 524 56,787
Disposals (37,670 ) - (37,670 )
At 31 December 2023 99,476 4,463 123,491
DEPRECIATION
At 1 January 2023 45,766 3,496 61,986
Charge for year 27,503 323 29,616
Eliminated on disposal (37,670 ) - (37,670 )
At 31 December 2023 35,599 3,819 53,932
NET BOOK VALUE
At 31 December 2023 63,877 644 69,559
At 31 December 2022 40,480 443 42,388

AVALCO LIMITED (REGISTERED NUMBER: 04403045)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the year ended 31 December 2023


5. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 77,417 77,098
Amounts owed by associates - 4,360
Other debtors 350 391
Directors' current accounts 56 -
Prepayments 5,902 6,247
83,725 88,096

6. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Hire purchase contracts 19,318 12,892
Trade creditors 74,891 70,312
Amounts owed to associates - 325
Corporation tax 12,806 6,700
Social security and other taxes 15,712 17,463
Directors' current accounts - 20,000
Accruals and deferred income 4,911 4,192
127,638 131,884

7. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2023 2022
£    £   
Hire purchase contracts 36,319 30,127

Obligations under hire purchase contracts totalling £55,638 (2022 £43,019) are secured on the assets of the company in which they relate.