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REGISTERED NUMBER: 05456138 (England and Wales)















STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

FOR

K & N SURFACING LIMITED

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)






CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023




Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 5

Income Statement 9

Other Comprehensive Income 10

Balance Sheet 11

Statement of Changes in Equity 12

Cash Flow Statement 13

Notes to the Cash Flow Statement 14

Notes to the Financial Statements 15


K & N SURFACING LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 DECEMBER 2023







DIRECTORS: M Kirby
N N Neseyif





SECRETARIES: Ms K Jenkins
A Snelgrove





REGISTERED OFFICE: Addington Business Centre
24 Vulcan Way
New Addington
Surrey
CR0 9UG





REGISTERED NUMBER: 05456138 (England and Wales)





AUDITORS: Edwards Chartered Accountants
Statutory Auditor
409-411 Croydon Road
Beckenham
Kent
BR3 3PP

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their strategic report for the year ended 31 December 2023.

REVIEW OF BUSINESS
The company continues to successfully provide asphalt surfacing, construction and maintenance services in all sectors. The principal activities are the provision of skilled surfacing operatives.

RESULTS AND PERFORMANCE
The results of the company for the year show a profit on the ordinary activities before tax of £2,672,758. The shareholders' funds of the company total £9,921,674.

The performance of the company during the year has produced encouraging results.

BUSINESS ENVIRONMENT
The company's main clients include many of the biggest contractors throughout the UK.

STRATEGY
The company's success is dependent on the service quality, pricing, and ongoing management of its costs.

The company will continue to consolidate its position and concentrate its efforts on achieving maximum growth in its existing market segments and also hope to provide new services with more margins. We aim to improve efficiency in all areas of our operations with technology, innovation and creativity.

FUTURE DEVELOPMENTS
We are hoping the company will increase its turnover in the forthcoming year and continue to be profitable. The performance of the company will be linked to the Government and local authorities' decisions on how to spend their budgets.

ON BEHALF OF THE BOARD:





N N Neseyif - Director


26 July 2024

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report with the financial statements of the company for the year ended 31 December 2023.

DIVIDENDS
Interim dividends per share were paid as follows:
£20,700 - 31 March 2023
£710 - 30 April 2023
£11,200 - 31 July 2023
£2,180 - 31 August 2023
£720 - 30 September 2023
£680 - 31 October 2023
£670 - 30 November 2023
£680 - 31 December 2023
£37,540

The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2023 will be £ 1,501,600 .

Periodic dividends were voted during the year, totalling £37,540 per share.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report.

M Kirby
N N Neseyif

CHARITABLE DONATIONS AND EXPENDITURE
During the year, the company made charitable donations of £2,635 (2022: £905).

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements 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 company will continue in business.

The directors are 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 enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 DECEMBER 2023


AUDITORS
The auditors, Edwards Chartered Accountants, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





N N Neseyif - Director


26 July 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
K & N SURFACING LIMITED

Opinion
We have audited the financial statements of K & N Surfacing Limited (the 'company') for the year ended 31 December 2023 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The 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 company's affairs as at 31 December 2023 and of its 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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'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 directors' 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 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 directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our 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.

In connection with our audit of the financial statements, 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 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.

Opinions 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 Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
K & N SURFACING LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' 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 Statement of Directors' Responsibilities set out on page three, the directors are 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 directors determine 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 directors are responsible for assessing the 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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
K & N SURFACING LIMITED


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 a Report of the Auditors 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 financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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 can detect irregularities, including fraud is detailed below:

Our approach was as follows:

a) We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to include the Companies Act 2006, and relevant tax legislation. In addition, we have considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty.

b) We communicated identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

c) We examined the company's regulatory and legal correspondence and discussed with management any known or suspected instances of fraud or non-compliance with laws and regulations.

d) We assessed the risks of material misstatement in respect of fraud as follows:

i) We considered the use of remuneration incentive schemes and performance targets for management and did not identify any additional fraud risks
ii) The audit team discussed whether there were any areas that were susceptible to misstatement as part of their fraud discussion.
iii) In addressing the risk of management override of controls, we tested the appropriateness of journal entries. We also challenged assumptions and judgements made by management in their significant accounting estimates and judgements.
iv) We incorporated an element of unpredictability in the selection of the nature, timing and extent of our audit procedures.

Based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud, including:

Designing audit procedures to address, for example:
a) The possibility of fraudulent or corrupt payments made through third parties.
b) The risk of bribery and corruption.
c) The opportunity to segregate duties within the entity.

Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above.

Using our general commercial and sector experience and through discussions with management, we identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements as well as those arising from management's own assessment of the risks that irregularities may occur either because of fraud or error.

The engagement partner considers the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations.


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
K & N SURFACING LIMITED

Under ISA 240 (UK) there is a presumed risk that revenue may be misstated due to the improper recognition of revenue. To address this risk, we obtained an understanding of the company's revenue recognition policies and compared these to the accounting standard, performed a walkthrough to confirm our understanding of the processes and controls through which the business initiates, records, processes and reports revenue transactions.

We tested a sample of revenue transactions to supporting evidence and tested, on a sample basis, revenue related balances in the balance sheet.

We considered the extent to which the audit was considered capable of detecting irregularities: There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion.

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 Report of the Auditors.

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 2006. Our 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 a Report of the Auditors 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.




John Duggan (Senior Statutory Auditor)
for and on behalf of Edwards Chartered Accountants
Statutory Auditor
409-411 Croydon Road
Beckenham
Kent
BR3 3PP

26 July 2024

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023

2023 2022
Notes £    £   

TURNOVER 19,120,552 17,859,343

Cost of sales 14,190,159 12,764,345
GROSS PROFIT 4,930,393 5,094,998

Administrative expenses 2,314,027 2,176,621
2,616,366 2,918,377

Other operating income 27,900 28,438
OPERATING PROFIT 4 2,644,266 2,946,815

Interest receivable and similar income 95,541 11,395
2,739,807 2,958,210

Interest payable and similar expenses 5 67,049 36,994
PROFIT BEFORE TAXATION 2,672,758 2,921,216

Tax on profit 6 397,873 429,067
PROFIT FOR THE FINANCIAL YEAR 2,274,885 2,492,149

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023 2022
Notes £    £   

PROFIT FOR THE YEAR 2,274,885 2,492,149


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

2,274,885

2,492,149

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

BALANCE SHEET
31 DECEMBER 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 8 4,826,029 3,847,065

CURRENT ASSETS
Debtors 9 4,937,843 4,436,964
Cash at bank and in hand 4,322,677 3,792,224
9,260,520 8,229,188
CREDITORS
Amounts falling due within one year 10 3,090,143 2,117,590
NET CURRENT ASSETS 6,170,377 6,111,598
TOTAL ASSETS LESS CURRENT
LIABILITIES

10,996,406

9,958,663

CREDITORS
Amounts falling due after more than one
year

11

1,074,732

810,274
NET ASSETS 9,921,674 9,148,389

CAPITAL AND RESERVES
Called up share capital 13 40 40
Retained earnings 14 9,921,634 9,148,349
SHAREHOLDERS' FUNDS 9,921,674 9,148,389

The financial statements were approved by the Board of Directors and authorised for issue on 26 July 2024 and were signed on its behalf by:





N N Neseyif - Director


K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

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

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 January 2022 40 7,561,000 7,561,040

Changes in equity
Dividends - (904,800 ) (904,800 )
Total comprehensive income - 2,492,149 2,492,149
Balance at 31 December 2022 40 9,148,349 9,148,389

Changes in equity
Dividends - (1,501,600 ) (1,501,600 )
Total comprehensive income - 2,274,885 2,274,885
Balance at 31 December 2023 40 9,921,634 9,921,674

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023

2023 2022
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 4,183,219 4,174,980
Interest element of hire purchase payments
paid

(67,049

)

(36,994

)
Tax paid (557,164 ) (494,945 )
Net cash from operating activities 3,559,006 3,643,041

Cash flows from investing activities
Purchase of tangible fixed assets (2,045,729 ) (1,410,402 )
Sale of tangible fixed assets 3,542 180,584
Interest received 95,541 11,395
Net cash from investing activities (1,946,646 ) (1,218,423 )

Cash flows from financing activities
Capital repayments in year 419,693 39,435
Equity dividends paid (1,501,600 ) (904,800 )
Net cash from financing activities (1,081,907 ) (865,365 )

Increase in cash and cash equivalents 530,453 1,559,253
Cash and cash equivalents at beginning of
year

2

3,792,224

2,232,971

Cash and cash equivalents at end of year 2 4,322,677 3,792,224

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

NOTES TO THE CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
2023 2022
£    £   
Profit before taxation 2,672,758 2,921,216
Depreciation charges 1,029,534 813,245
Loss on disposal of fixed assets 33,689 53,484
Finance costs 67,049 36,994
Finance income (95,541 ) (11,395 )
3,707,489 3,813,544
(Increase)/decrease in trade and other debtors (500,879 ) 629,451
Increase/(decrease) in trade and other creditors 976,609 (268,015 )
Cash generated from operations 4,183,219 4,174,980

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2023
31.12.23 1.1.23
£    £   
Cash and cash equivalents 4,322,677 3,792,224
Year ended 31 December 2022
31.12.22 1.1.22
£    £   
Cash and cash equivalents 3,792,224 2,232,971


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.23 Cash flow At 31.12.23
£    £    £   
Net cash
Cash at bank and in hand 3,792,224 530,453 4,322,677
3,792,224 530,453 4,322,677
Debt
Finance leases (1,332,625 ) (419,693 ) (1,752,318 )
(1,332,625 ) (419,693 ) (1,752,318 )
Total 2,459,599 110,760 2,570,359

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1. STATUTORY INFORMATION

K & N Surfacing Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Freehold property - in accordance with the property
Long leasehold - in accordance with the property
Plant and machinery - 25% on reducing balance
Fixtures and fittings - 25% on cost
Motor vehicles - 33% on cost

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

2. ACCOUNTING POLICIES - continued

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 4,522,290 3,761,572
Social security costs 1,184,593 437,995
Other pension costs 74,000 63,001
5,780,883 4,262,568

The average number of employees during the year was as follows:
2023 2022

Administrative and direct staff 86 79

2023 2022
£    £   
Directors' remuneration 24,000 24,000

4. OPERATING PROFIT

The operating profit is stated after charging:

2023 2022
£    £   
Hire of plant and machinery 472,251 726,187
Equipment hire 76,336 77,728
Depreciation - owned assets 565,931 471,845
Depreciation - assets on hire purchase contracts 463,604 341,401
Loss on disposal of fixed assets 33,689 53,484
Auditor's remuneration 8,000 7,000

5. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Hire purchase 67,049 36,994

6. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2023 2022
£    £   
Current tax:
UK corporation tax 397,873 429,067
Tax on profit 397,873 429,067

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

7. DIVIDENDS
2023 2022
£    £   
Ordinary shares of £1 each
Interim 1,501,600 904,800

8. TANGIBLE FIXED ASSETS
Freehold Long Plant and
property leasehold machinery
£    £    £   
COST
At 1 January 2023 431,171 409,247 4,418,284
Additions - - 1,500,707
Disposals - - -
At 31 December 2023 431,171 409,247 5,918,991
DEPRECIATION
At 1 January 2023 - 3,820 2,127,337
Charge for year - 3,274 601,321
Eliminated on disposal - - -
At 31 December 2023 - 7,094 2,728,658
NET BOOK VALUE
At 31 December 2023 431,171 402,153 3,190,333
At 31 December 2022 431,171 405,427 2,290,947

Fixtures
and Motor
fittings vehicles Totals
£    £    £   
COST
At 1 January 2023 72,767 1,946,651 7,278,120
Additions 3,548 541,474 2,045,729
Disposals - (296,848 ) (296,848 )
At 31 December 2023 76,315 2,191,277 9,027,001
DEPRECIATION
At 1 January 2023 61,948 1,237,950 3,431,055
Charge for year 4,833 420,107 1,029,535
Eliminated on disposal - (259,618 ) (259,618 )
At 31 December 2023 66,781 1,398,439 4,200,972
NET BOOK VALUE
At 31 December 2023 9,534 792,838 4,826,029
At 31 December 2022 10,819 708,701 3,847,065

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

8. TANGIBLE FIXED ASSETS - continued

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Plant and Motor
machinery vehicles Totals
£    £    £   
COST
At 1 January 2023 2,483,133 167,560 2,650,693
Additions 1,386,580 - 1,386,580
At 31 December 2023 3,869,713 167,560 4,037,273
DEPRECIATION
At 1 January 2023 987,471 71,392 1,058,863
Charge for year 431,869 31,735 463,604
At 31 December 2023 1,419,340 103,127 1,522,467
NET BOOK VALUE
At 31 December 2023 2,450,373 64,433 2,514,806
At 31 December 2022 1,495,662 96,168 1,591,830

9. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 4,337,571 3,597,824
Other debtors 422,442 632,880
VAT 132,268 144,554
Prepayments and accrued income 45,562 61,706
4,937,843 4,436,964

10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Hire purchase contracts (see note 12) 677,586 522,351
Trade creditors 826,122 568,815
Tax 277,299 436,590
Social security and other taxes 196,336 139,945
Other creditors 58,543 72,300
Accruals and deferred income 1,054,257 377,589
3,090,143 2,117,590

11. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
2023 2022
£    £   
Hire purchase contracts (see note 12) 1,074,732 810,274

K & N SURFACING LIMITED (REGISTERED NUMBER: 05456138)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

12. LEASING AGREEMENTS

Minimum lease payments under hire purchase fall due as follows:

2023 2022
£    £   
Net obligations repayable:
Within one year 677,586 522,351
Between one and five years 1,074,732 810,274
1,752,318 1,332,625

13. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
40 Ordinary £1 40 40

14. RESERVES
Retained
earnings
£   

At 1 January 2023 9,148,349
Profit for the year 2,274,885
Dividends (1,501,600 )
At 31 December 2023 9,921,634

15. TRANSACTIONS WITH DIRECTORS

During the year, the company voted dividends of £375,400 in favour of each director.

At the balance sheet date, there were balances totalling £463,340 (2022: £463,340) due from the directors in respect of interest bearing loans. These amounts are included in other debtors.

16. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is the directors, jointly.