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Registered number: 01043583









M. T. DEVELOPMENTS LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
M. T. DEVELOPMENTS LIMITED
 
 
COMPANY INFORMATION


Director
A G Williams 




Company secretary
J C Davy



Registered number
01043583



Registered office
2 Station Road

Lichfield

WS13 6HX




Independent auditors
PKF Smith Cooper Audit Limited
Statutory Auditors

158 Edmund Street

Birmingham

B3 2HB





 
M. T. DEVELOPMENTS LIMITED
 

CONTENTS



Page
Group strategic report
1
Director's report
2 - 3
Independent auditors' report
4 - 7
Consolidated statement of comprehensive income
8
Consolidated balance sheet
9 - 10
Company balance sheet
11 - 13
Consolidated statement of changes in equity
13
Company statement of changes in equity
13
Consolidated statement of cash flows
14 - 15
Consolidated analysis of net debt
16
Notes to the financial statements
17 - 38


 
M. T. DEVELOPMENTS LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The Group continued its activities as a retailer of motor vehicle tyres, exhaust systems and ancillary products and services in the UK.

Business review
 
Turnover has increased by 14% from £20.8m to £23.8m and gross profit improved to 52.8% (2022 - 50.9%).
The number of trading outlets was 36 (
2022 - 36).

Principal risks and uncertainties
 
The Group purchases tyres and other products from national distributors and wholesalers, the cost of which has to be carefully monitored to ensure that gross margins are maintained at appropriate levels.
The director regularly review market trends and customer data to assist in making strategic decisions.

Financial key performance indicators
 
The Director considers the Group's KPIs to be gross profit 52.8% (2022 - 50.9%), net profit before tax 8.3% (2022 - 6.1%), gross profit per depot £54k (2022 - £34k) and earnings before interest, taxation, depreciation and amortisation £2.6m (2022 - £1.8m).

Future developments
 
The Group continues to focus on the development of its retail chain of depots, which stood at 36 (2022 - 36) sites at the Group year-end. A new depot opened in February 2024. The Director is continually investigating further potential sites for their outlet chain.


This report was approved by the board on 4 September 2024 and signed on its behalf.




A G Williams
Director

Page 1

 
M. T. DEVELOPMENTS LIMITED
 
 
 
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The director presents his report and the financial statements for the year ended 31 December 2023.

Director's responsibilities statement

The director is responsible for preparing the Group strategic report, the Director's report and the consolidated financial statements in accordance with applicable law and regulations.
 
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.

 In preparing these financial statements, the director is required to:


select suitable accounting policies for the Group's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group and to enable him to ensure that the financial statements comply with the Companies Act 2006He is also responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The profit for the year, after taxation, amounted to £1,647,605 (2022 - £986,342).

Interim dividends on the Ordinary shares of £1,505,000 were paid during the year. The Director recommends that no final dividend be paid.
The total distribution of dividends was £1,505,000 (
2022 - £790,000).

Director

The director who served during the year was:

A G Williams 

Matters covered in the strategic report

Comments on future developments are disclosed in the strategic report on page 1.

Page 2

 
M. T. DEVELOPMENTS LIMITED
 
 
 
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Disclosure of information to auditors

The director at the time when this Director's report is approved has confirmed that:
 
so far as he is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

he has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Post balance sheet events

Post balance sheet events are disclosed in the notes to these financial statements.

Auditors

The auditorsPKF Smith Cooper Audit Limitedwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 4 September 2024 and signed on its behalf.
 





A G Williams
Director

Page 3

 
M. T. DEVELOPMENTS LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF M. T. DEVELOPMENTS LIMITED
 

Opinion


We have audited the financial statements of M. T. Developments Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2023, which comprise the Consolidated statement of comprehensive income, the Consolidated balance sheet, the Company balance sheet, the Consolidated statement of cash flows, the Consolidated statement of changes in equity, the Company statement of changes in equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 December 2023 and of the Group's profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.


Page 4

 
M. T. DEVELOPMENTS LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF M. T. DEVELOPMENTS LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The director is responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Group strategic report and the Director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Group strategic report and the Director's report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group strategic report or the Director's report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent Company financial statements are not in agreement with the accounting records and returns; or
certain disclosures of director's remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Director's responsibilities statement set out on page 2, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the director is responsible for assessing the Group's and the parent Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the Group or the parent Company or to cease operations, or have no realistic alternative but to do so.

Page 5

 
M. T. DEVELOPMENTS LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF M. T. DEVELOPMENTS LIMITED (CONTINUED)



Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the Group and industry, key laws and regulations that we have identified included:

Companies Act;
Tax legislation; and
Health and safety and employment legislation.

We identified that the principal risk of fraud or non-compliance with laws and regulations related to:

Management bias in respect of accounting estimates and judgements made;
Management override of control; and
Posting of unusual journals or transactions.

We focused on those areas that could give rise to a material misstatement in the Group financial statements. Our procedures included, but were not limited to:

Enquiry of management and those charged with governance and review of correspondence around actual and potential litigation and claims, including instances of non-compliance with laws and regulations and fraud;
Reviewing legal expenditure in the year to identify instances of non-compliance with laws and regulations and fraud;
Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and
Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias, including the carrying value of investment property.

It is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
Page 6

 
M. T. DEVELOPMENTS LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF M. T. DEVELOPMENTS LIMITED (CONTINUED)




A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Stephen Newman (Senior statutory auditor)
  
for and on behalf of
PKF Smith Cooper Audit Limited
 
Statutory Auditors
  
158 Edmund Street
Birmingham
B3 2HB

9 September 2024
Page 7

 
M. T. DEVELOPMENTS LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
23,750,850
20,796,008

Cost of sales
  
(11,217,451)
(10,221,211)

Gross profit
  
12,533,399
10,574,797

Administrative expenses
  
(10,286,726)
(9,194,099)

Other operating income
 5 
13,794
47,449

Fair value movements
  
-
3,868

Operating profit
 6 
2,260,467
1,432,015

Interest receivable and similar income
 10 
65,025
3,876

Interest payable and similar expenses
 11 
(177,717)
(139,348)

Profit before taxation
  
2,147,775
1,296,543

Tax on profit
 12 
(500,170)
(310,201)

Profit for the financial year
  
1,647,605
986,342

  

There were no recognised gains and losses for 2023 or 2022 other than those included in the consolidated statement of comprehensive income.

The notes on pages 17 to 38 form part of these financial statements.

Page 8

 
M. T. DEVELOPMENTS LIMITED
REGISTERED NUMBER: 01043583

CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Intangible assets
 15 
55,036
110,075

Tangible assets
 16 
9,042,797
10,463,441

Investment property
 18 
900,000
900,000

  
9,997,833
11,473,516

Current assets
  

Stocks
 19 
1,787,111
1,766,471

Debtors: amounts falling due within one year
 20 
6,856,471
6,291,336

Cash at bank and in hand
 21 
2,822,681
1,973,239

  
11,466,263
10,031,046

Creditors: amounts falling due within one year
 22 
(8,184,982)
(7,474,446)

Net current assets
  
 
 
3,281,281
 
 
2,556,600

Total assets less current liabilities
  
13,279,114
14,030,116

Creditors: amounts falling due after more than one year
 23 
(969,131)
(1,750,563)

Provisions for liabilities
  

Deferred taxation
 27 
(218,082)
(330,257)

Net assets
  
12,091,901
11,949,296


Capital and reserves
  

Called up share capital 
 28 
99
99

Revaluation reserve
 29 
201,756
202,466

Profit and loss account
 29 
11,890,046
11,746,731

  
12,091,901
11,949,296


Page 9

 
M. T. DEVELOPMENTS LIMITED
REGISTERED NUMBER: 01043583
    
CONSOLIDATED BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2023

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




A G Williams
Director

Date: 4 September 2024

The notes on pages 17 to 38 form part of these financial statements.

Page 10

 
M. T. DEVELOPMENTS LIMITED
REGISTERED NUMBER: 01043583

COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 16 
7,015,540
7,188,496

Investments
 17 
660,000
660,000

Investment Property
 18 
900,000
900,000

  
8,575,540
8,748,496

Current assets
  

Debtors: amounts falling due within one year
 20 
7,060
9,990

Cash at bank and in hand
 21 
2,104,203
1,241,150

  
2,111,263
1,251,140

Creditors: amounts falling due within one year
 22 
(5,073,164)
(4,432,594)

Net current liabilities
  
 
 
(2,961,901)
 
 
(3,181,454)

Total assets less current liabilities
  
5,613,639
5,567,042

  

Creditors: amounts falling due after more than one year
 23 
(547,159)
(580,859)

Provisions for liabilities
  

Deferred taxation
 27 
(67,051)
(135,551)

Net assets
  
4,999,429
4,850,632


Capital and reserves
  

Called up share capital 
 28 
99
99

Revaluation reserve
 29 
197,735
197,735

Profit and loss account brought forward
  
4,652,798
4,638,410

Profit for the year
  
1,653,797
808,256

Other changes in the profit and loss account

  

(1,505,000)
(793,868)

Profit and loss account carried forward
  
4,801,595
4,652,798

  
4,999,429
4,850,632


Page 11

 
M. T. DEVELOPMENTS LIMITED
REGISTERED NUMBER: 01043583
    
COMPANY BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2023

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




A G Williams
Director

Date: 4 September 2024

The notes on pages 17 to 38 form part of these financial statements.

Page 12

 
M. T. DEVELOPMENTS LIMITED
REGISTERED NUMBER: 01043583

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£


At 1 January 2022
99
199,433
11,553,422
11,752,954



Profit for the year
-
-
986,342
986,342

Dividends
-
-
(790,000)
(790,000)

Transfer from profit and loss account
-
3,033
(3,033)
-



At 1 January 2023
99
202,466
11,746,731
11,949,296



Profit for the year
-
-
1,647,605
1,647,605

Dividends
-
-
(1,505,000)
(1,505,000)

Transfer from profit and loss account
-
(710)
710
-


At 31 December 2023
99
201,756
11,890,046
12,091,901


The notes on pages 17 to 38 form part of these financial statements.


COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£


At 1 January 2022
99
193,867
4,638,410
4,832,376



Profit for the year
-
-
808,256
808,256

Dividends
-
-
(790,000)
(790,000)

Transfer from profit and loss account
-
3,868
(3,868)
-



At 1 January 2023
99
197,735
4,652,798
4,850,632



Profit for the year
-
-
1,653,797
1,653,797

Dividends
-
-
(1,505,000)
(1,505,000)


At 31 December 2023
99
197,735
4,801,595
4,999,429


The notes on pages 17 to 38 form part of these financial statements.

Page 13

 
M. T. DEVELOPMENTS LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
1,647,605
986,342

Adjustments for:

Amortisation of intangible assets
55,039
50,692

Depreciation of tangible assets
446,219
470,669

Loss / (profit) on disposal of tangible assets
57,691
(10,857)

Interest payable
177,717
139,348

Interest receivable
(65,025)
(3,876)

Taxation charge
500,170
310,201

(Increase) in stocks
(20,640)
(120,161)

(Increase) in debtors
(491,806)
(695,898)

Increase in creditors
681,241
1,060,798

Net fair value losses/(gains) recognised in P&L
-
(3,868)

Corporation tax (paid)
(448,439)
(48,191)

Net cash generated from operating activities

2,539,772
2,135,199


Cash flows from investing activities

Purchase of tangible fixed assets
(351,841)
(587,142)

Sale of tangible fixed assets
2,034,723
1,207,000

Interest received
65,025
3,876

HP interest paid
(97,776)
(123,399)

Net cash from investing activities

1,650,131
500,335
Page 14

 
M. T. DEVELOPMENTS LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023


2023
2022

£
£



Cash flows from financing activities

Repayment of loans
(40,218)
(287,214)

Repayment of/new finance leases
(1,715,302)
(1,198,541)

Dividends paid
(1,505,000)
(790,000)

Interest paid
(79,941)
(15,949)

Net cash used in financing activities
(3,340,461)
(2,291,704)

Net increase in cash and cash equivalents
849,442
343,830

Cash and cash equivalents at beginning of year
1,973,239
1,629,409

Cash and cash equivalents at the end of year
2,822,681
1,973,239


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
2,822,681
1,973,239

2,822,681
1,973,239


The notes on pages 17 to 38 form part of these financial statements.

Page 15

 
M. T. DEVELOPMENTS LIMITED
 

CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2023





At 1 January 2023
Cash flows
New finance leases
At 31 December 2023
£

£

£

£

Cash at bank and in hand

1,973,239

849,442

-

2,822,681

Debt due after 1 year

(580,859)

33,700

-

(547,159)

Debt due within 1 year

(80,782)

3,259

-

(77,523)

Finance leases

(1,521,068)

1,715,302

(766,148)

(571,914)


(209,470)
2,601,703
(766,148)
1,626,085

The notes on pages 17 to 38 form part of these financial statements.

Page 16

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

M T Developments Limited is a private limited company, limited by shares and incorporated in England, United Kingdom. The address of the registered office is given in the company information of these financial statements. The nature of the Group's operations and principal activities are described in the Strategic report on page 1.
The financial statements are prepared in Sterling which is the functional currency of the Group. The financial statements level of rounding is to the nearest £1.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.

 
2.3

Going concern

The director is mindful that the balance sheet of the Company at 31 December 2023 shows net current liabilities of £2,961,901. This is due to amounts owed to wholly owned subsidiary Mr Tyre Limited. The short-term finance is not formalised within the group and Mr Tyre Limited has given its assurance that it will support the Company financially, should the need arise, to meet its obligations as they fall due.
On this basis, the director has a reasonable expectation that the Company has adequate resources to continue in operational existence for the 12 months from approval of the financial statements and, accordingly, the going concern basis of preparation has been adopted in the financial statements.

Page 17

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Foreign currency translation

Functional and presentation currency
The Company and Group's functional and presentational currency is GBP.
Transactions and balances
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.
Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of exchange ruling at the balance sheet date.

 
2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:
Sale of goods

Revenue from the sale of tyres, exhausts and ancillary goods are recognised when tyres are dispatched to a customer or goods are fitted to a customer vehicle on the basis that the Group no longer has control over the goods sold, the amount can be measured reliably, it is probable the Group will receive consideration and costs incurred in respect of the transaction can be measured reliably.
Rendering of services

Revenue from services is recognised in the period in which the services are performed on the basis it is probable the Group will receive consideration and costs incurred in respect of the transactions can be measured reliably.

 
2.6

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to the Consolidated statement of comprehensive income on a straight-line basis over the lease term.

 
2.7

Interest income

Interest income is recognised in the Consolidated statement of comprehensive income using the effective interest method.

 
2.8

Finance costs

Finance costs are charged to the Consolidated statement of comprehensive income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 18

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

Borrowing costs

All borrowing costs are recognised in the Consolidated statement of comprehensive income in the year in which they are incurred.

 
2.10

Pensions

Defined contribution pension plan
The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.
The contributions are recognised as an expense in the Consolidated statement of comprehensive income when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Group in independently administered funds.

 
2.11

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Consolidated statement of comprehensive income, unless it relates to items in other comprehensive income or directly in equity. In such cases, the restated tax is also recognised in other comprehensive income or directly in equity.
Current tax liabilities are measured at the amount expected to be paid, based on tax rates and laws that are enacted or substantively enacted at the balance sheet date.
Deferred tax is accounted for using the balance sheet liability method and is calculated using rates of taxation enacted or substantively enacted at the balance sheet date which are expected to apply when the asset or liability is settled.
Deferred tax liabilities are generally recognised for all taxable temporary timing differences. Deferred tax assets are only recognised to the extent that it is probable that taxable profits will be available against which deductible temporary timing differences can be utilised.

 
2.12

Intangible assets

Goodwill
Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Consolidated statement of comprehensive income over its useful economic life. The Director has assessed the economic benefit of goodwill to be ten years.

Page 19

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.13

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Freehold land and buildings are not depreciated. It is the Group's practice to maintain these assets in a continual state of sound repair and to make improvements thereto from time to time and, accordingly, the Director considers that the lives of these assets are so long, and residual values (based on prices prevailing at the time of acquisition) are so high, that depreciation would not be material and, therefore, is not charged to the Consolidated statement of comprehensive income.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following basis.


Freehold property
-
Not depreciated
Long-term leasehold property
-
Over period of the lease
Plant and machinery
-
15% on reducing balance
Motor vehicles
-
10% to 25% on reducing balance
Fixtures and fittings
-
15% on reducing balance

The carrying values of tangible fixed assets are reviewed for impairment when events or changes in circumstances indicate the carrying value may be affected.



 
2.14

Revaluation of tangible fixed assets

Some freehold property and certain plant and equipment were revalued in previous periods. Under the transitional exemptions of FRS102 paragraph 35.10, the Director has determined this revaluation as deemed cost.

 
2.15

Investment property

Investment property is carried at fair value determined annually by the Director derived from available third party valuations, current market rents and investment property yields for comparable real estate, adjusted, if necessary, for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the Consolidated statement of comprehensive income. 

 
2.16

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Page 20

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.17

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to sell. Cost is based on the cost of purchase on a first in, first out basis.
At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to sell. The impairment loss is recognised immediately in the Consolidated statement of comprehensive income.

 
2.18

Debtors

Short-term debtors are measured at transaction price, less any impairment.

 
2.19

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.20

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

  
2.21

Provisions for liabilities

Provisions are made where an event has taken place that gives the Group a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to the Consolidated statement of comprehensive income in the year that the Group becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Balance sheet.

Page 21

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.22

Financial instruments

The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Consolidated statement of comprehensive income.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Group would receive for the asset if it were to be sold at the balance sheet date.

 
2.23

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities at the balance sheet date and the amounts reported for revenue and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.
The director considers the estimate and judgement likely to have a significant effect on the amounts recognised in the financial statements is:
The key estimate and assumptions adopted in the financial statements related to the carrying value of investment property.

Page 22

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


Turnover

The whole of the turnover is attributable to sale of motor vehicle tyres, exhaust systems and ancillary products and services.

All turnover arose within the United Kingdom.


5.


Other operating income

2023
2022
£
£

Net rents receivable
13,794
47,449

13,794
47,449



6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Other operating lease rentals
578,470
472,551

Depreciation in respect of tangible fixed assets
446,219
470,668

Amortisation in respect of intangible fixed assets
55,039
50,692


7.


Auditors' remuneration

During the year, the Group obtained the following services from the Company's auditors:


2023
2022
£
£

Fees payable to the Group's auditors for the audit of the Group's financial statements
29,000
27,000

Page 23

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

8.


Employees

Staff costs, including director's remuneration, were as follows:


Group
Group
2023
2022
£
£


Wages and salaries
6,335,030
5,569,664

Social security costs
635,391
585,162

Cost of defined contribution scheme
136,260
104,617

7,106,681
6,259,443


The average monthly number of employees, including the director, during the year was as follows:


        2023
        2022
            No.
            No.







Management, admin and fitters.
207
201


9.


Director's remuneration

The remuneration paid to the Group's sole director (who is therefore also the highest paid director) was £729,287 (2022 - £846,020).





The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £NIL (2022 - £NIL).


10.


Interest receivable

2023
2022
£
£


Bank interest receivable
65,025
3,876

Page 24

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

11.


Interest payable and similar expenses

2023
2022
£
£


Bank interest payable
75,083
15,949

Finance leases and hire purchase contracts
97,776
123,399

Other interest payable
4,858
-

177,717
139,348

Page 25

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
616,860
277,058

Adjustments in respect of previous periods
(4,515)
-


Total current tax
612,345
277,058

Deferred tax


Origination and reversal of timing differences
(112,860)
(25,626)

Changes to tax rates
-
31,409

Adjustments in respect of previous periods
685
27,360

Total deferred tax
(112,175)
33,143


Taxation on profit on ordinary activities
500,170
310,201

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - higher than) the standard rate of corporation tax in the UK of 23.5% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
2,147,775
1,296,543


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2022 - 19%)
504,727
246,343

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
3,673
5,584

Capital allowances for year in excess of depreciation
2,460
4,305

Adjustments to tax charge in respect of prior periods
(3,830)
27,986

Capital gains
-
1,048

Remeasurement of deferred tax for changes in rate
(6,860)
24,935

Total tax charge for the year
500,170
310,201



Page 26

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
12.Taxation (continued)


Factors that may affect future tax charges

There were no factors that may affect future tax charges.


13.


Dividends

2023
2022
£
£


Dividends
1,505,000
790,000


14.


Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. The profit after tax of the parent Company for the year was £1,653,797 (2022 - £808,256).


15.


Intangible assets

Group





Goodwill

£



Cost


At 1 January 2023
1,591,786



At 31 December 2023

1,591,786



Amortisation


At 1 January 2023
1,481,711


Charge for the year
55,039



At 31 December 2023

1,536,750



Net book value



At 31 December 2023
55,036



At 31 December 2022
110,075


Page 27

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
           15.Intangible assets (continued)


Company




Goodwill

£



Cost


At 1 January 2023
85,001



At 31 December 2023

85,001



Amortisation


At 1 January 2023
85,001



At 31 December 2023

85,001



Net book value



At 31 December 2023
-



At 31 December 2022
-

Page 28

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

16.


Tangible fixed assets

Group






Freehold property
Long-term leasehold property
Plant and machinery
Motor vehicles
Fixtures and fittings
Total

£
£
£
£
£
£



Cost or valuation


At 1 January 2023
7,020,598
247,934
2,847,090
2,797,722
920,380
13,833,724


Additions
100,117
55,789
168,695
747,953
45,435
1,117,989


Disposals
(273,073)
-
-
(2,206,530)
-
(2,479,603)



At 31 December 2023

6,847,642
303,723
3,015,785
1,339,145
965,815
12,472,110



Depreciation


At 1 January 2023
-
86,863
2,037,798
520,986
724,636
3,370,283


Charge for the year on owned assets
-
29,463
123,978
37,042
32,756
223,239


Charge for the year on financed assets
-
-
5,046
217,934
-
222,980


Disposals
-
-
-
(387,189)
-
(387,189)



At 31 December 2023

-
116,326
2,166,822
388,773
757,392
3,429,313



Net book value



At 31 December 2023
6,847,642
187,397
848,963
950,372
208,423
9,042,797



At 31 December 2022
7,020,598
161,071
809,292
2,276,736
195,744
10,463,441

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2023
2022
£
£



Plant and machinery
79,449
33,640

Motor vehicles
726,489
2,095,241

805,938
2,128,881

Page 29

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

           16.Tangible fixed assets (continued)


Company






Freehold property

£

Cost or valuation


At 1 January 2023
7,188,496


Additions
100,117


Disposals
(273,073)



At 31 December 2023

7,015,540





At 1 January 2023
-



At 31 December 2023

-



Net book value



At 31 December 2023
7,015,540



At 31 December 2022
7,188,496






Page 30

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

17.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost


At 1 January 2023
660,000



At 31 December 2023
660,000





Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Principal activity

Class of shares

Holding

Mr. Tyre Limited
2 Station Road, Lichfield, WS13 6HX
Tyres and exhausts
Ordinary
100%


18.


Investment property

Group and Company


Freehold investment property

£



Valuation


At 1 January 2023
900,000



At 31 December 2023
900,000

The investment property was subject to a valuation by RICS external valuers in March 2022 on a market value basis. The Director is of the opinion that this valuation is reasonable estimate of the market value at 31 December 2023.







Page 31

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

19.


Stocks

Group
Group
2023
2022
£
£

Goods for resale
1,787,111
1,766,471


The difference between purchase price or production cost of stocks and their replacement cost is not material.


20.


Debtors

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£


Trade debtors
136,916
153,018
5,664
5,664

Other debtors
6,297,899
5,732,911
1,396
4,326

Prepayments and accrued income
421,656
405,407
-
-

6,856,471
6,291,336
7,060
9,990



21.


Cash and cash equivalents

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Cash at bank and in hand
2,822,681
1,973,239
2,104,203
1,241,150


Page 32

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

22.


Creditors: Amounts falling due within one year

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loans
77,523
80,782
77,523
80,782

Trade creditors
2,846,270
2,921,113
2,946
2,946

Amounts owed to group undertakings
-
-
4,811,304
4,279,218

Corporation tax
499,202
265,226
108,905
8,474

Other taxation and social security
706,646
596,159
-
-

Obligations under finance lease and hire purchase contracts
149,942
351,364
-
-

Other creditors
3,496,026
3,002,347
-
-

Accruals and deferred income
409,373
257,455
72,486
61,174

8,184,982
7,474,446
5,073,164
4,432,594


The bank loans are secured by a mortgage debenture over the assets of the Group. Amounts due under finance leases and hire purchase contracts are secured on the relevant assets.


23.


Creditors: Amounts falling due after more than one year

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loans
547,159
580,859
547,159
580,859

Net obligations under finance leases and hire purchase contracts
421,972
1,169,704
-
-

969,131
1,750,563
547,159
580,859


The bank loans are secured by a mortgage debenture over the assets of the Group. Amounts due under finance leases and hire purchase contracts are secured on the relevant assets.



Page 33

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

24.


Loans


Analysis of the maturity of loans is given below:


Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Amounts falling due within one year

Bank loans
77,523
80,782
77,523
80,782

Amounts falling due 1-2 years

Bank loans
77,523
185,027
77,523
185,027

Amounts falling due 2-5 years

Bank loans
469,636
395,832
469,636
395,832


624,682
661,641
624,682
661,641



25.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

Group
Group
2023
2022
£
£

Within one year
149,942
351,364

Between 1-5 years
421,972
1,169,704

571,914
1,521,068

Page 34

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

26.


Financial instruments

Group

Group
Company

Company
2023
2022
2023
2022
£
£
£
£

Financial assets

Financial assets measured at transaction price through the Statement of comprehensive income
2,822,681
1,973,239
2,104,203
1,241,150

Financial assets that are debt instruments measured at transaction price less impairment
5,121,275
4,642,787
5,664
5,664

7,943,956
6,616,026
2,109,867
1,246,814


Financial liabilities

Financial liabilities measured at transaction price
(7,376,351)
(6,842,556)
(5,511,418)
(5,004,979)


Financial assets measured at transaction price through profit and loss comprise cash at bank and in hand.


Financial assets that are debt instruments measured at transaction price less impairment comprise trade and other debtors.


Financial liabilities measured at transaction price comprise bank loans, trade creditors, amounts due to group companies, other creditors and accruals and deferred income.


27.


Deferred taxation


Group



2023


£






At beginning of year
(330,257)


Credit to Consolidated statement of comprehensive income
112,175



At end of year
(218,082)

Page 35

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
27.Deferred taxation (continued)

Company


2023


£






At beginning of year
(135,551)


Credit to statement of comprehensive income
68,500



At end of year
(67,051)

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Accelerated capital allowances
(151,633)
(197,903)
(602)
(834)

Other short term timing differences
(66,449)
(132,354)
(66,449)
(134,717)

(218,082)
(330,257)
(67,051)
(135,551)


28.


Share capital

2023
2022
£
£
Authorised, allotted, called up and fully paid



99 (2022 - 99) Ordinary shares of £1.00 each
99
99



29.


Reserves

Revaluation reserve

This reserve records increases in the fair value of freehold property and plant and machinery at the transition date, 1 January 2014. It is adjusted for property disposals and the depreciation of revalued assets.

Profit and loss account

This reserve records all current and prior period retained profits and losses.


30.


Contingent liabilities

The company is a member of a VAT group and is jointly and severally liable for the amount of VAT owed by Mr Tyre (Motor Sport) Limited. At the balance sheet date the liability was £26,805 (2022 - £nil).

Page 36

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

31.


Capital commitments




At 31 December 2023 the Group had capital commitments as follows:


Group
Group
2023
2022
£
£

Contracted for but not provided in these financial statements
104,000
278,000


32.


Pension commitments

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £136,260 (2022 - £104,617). Contributions totaling £nil (2022 - £nil) were payable to the fund at the balance sheet date.


33.


Commitments under operating leases

At 31 December 2023 the Group had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
2023
2022
£
£

Not later than 1 year
439,675
411,301

Later than 1 year and not later than 5 years
1,651,062
1,197,267

Later than 5 years
401,963
249,290

2,492,700
1,857,858
Page 37

 
M. T. DEVELOPMENTS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

34.


Transactions with directors

The following loan to the Director subsisted during the years ended 31 December 2023 and 31 December 2022:

.



2023
2022
£
£



Balance at 1 January
4,462,105
3,759,709

Amounts advanced
2,961,722
1,035,943

Amounts repaid
(2,642,468)
(333,547)

Balance at 31 December
4,781,359
4,462,105

Amounts advanced were interest free and held no conditions.


35.


Related party transactions

The company has taken advantage of the exemption in paragraph 33.1A of Financial Reporting Standard 102 from the requirement to disclose transactions with wholly owned members of the group.
During the year payments and repayments were made on a loan to the group from Mr Tyre (Motor Sport) Limited, a company in which Mr AG Williams is a director and shareholder. Services recharges amounted to £468,199 (
2022 - £439,307). The unsecured amount outstanding at the balance sheet date was £3,485,438 (2022 - £2,989,889).
The company paid dividends on Ordinary shares to Mr AG Williams in the amount of £1,550,000 (
2022 - £790,000).
Key management personnel
The directors of the Group companies, have authority and responsibility for planning, directing and controlling the activities of the Group and are considered key management personnel. Total remuneration of these individuals was £1,061,727 (2022 - £1,097,206).


36.


Post balance sheet events

Since the year end the Group has entered into a new 10-year lease for one of its existing depots, at an annual rental of £40,200.
Interim dividends of £1,450,000 have been paid since the year end. 


37.


Controlling party

The Group is controlled by Mr AG Williams by virtue of his 100% holding of the issued share capital of M.T. Developments Limited.

 
Page 38