REGISTERED NUMBER: |
Strategic Report, |
Report of the Directors and |
Financial Statements |
for the Year Ended 31 December 2023 |
for |
DAVID SPEAR COMMERCIALS LIMITED |
REGISTERED NUMBER: |
Strategic Report, |
Report of the Directors and |
Financial Statements |
for the Year Ended 31 December 2023 |
for |
DAVID SPEAR COMMERCIALS LIMITED |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Contents of the Financial Statements |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 5 |
Report of the Independent Auditors | 7 |
Income Statement | 11 |
Other Comprehensive Income | 12 |
Balance Sheet | 13 |
Statement of Changes in Equity | 14 |
Cash Flow Statement | 15 |
Notes to the Cash Flow Statement | 16 |
Notes to the Financial Statements | 18 |
DAVID SPEAR COMMERCIALS LIMITED |
Company Information |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants & |
Statutory Auditor |
Fairway House |
Links Business Park |
St Mellons, Cardiff |
CF3 OLT |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
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 |
David Spear Commercials Limited is a family owned and run business, whose principal activities are the retail and maintenance of new and used commercial vehicles. |
The company saw a slight drop in key metrics as reflected in the industry. Turnover decreased by .59% to finish at £37.13 million. The company reported a gross profit of £3.3 million and a profit before tax of £2.01 million, decreases of 41.62% and 55.49% on the respective 2022 figures. These figures reflect the commercial vehicle market in the 2023 financial year. |
The company's key financial performance indicators are summarised below: |
2023 | 2022 | Change |
£ | £ | % |
Turnover | 37,130,112 | 37,349,691 | -0.59% |
Gross Profit | 3,313,418 | 5,675,188 | -41.62% |
Profit before tax | 2,010,173 | 4,516,223 | -55.49% |
Retained Profits | 11,089,632 | 9,695,273 | 14.38% |
Shareholders' Funds | 11,689,426 | 10,295,067 | 13.54% |
The commercial vehicle market has returned to pre pandemic levels, whereby stock has become more plentiful and demand has levelled. This has led to a more competitive market which is challenging at times. |
The company's future focus is to maintain its reputable position within the market by continuing to source good quality stock and provide excellent after-care service to customers. The company will seek to reinvest recent profits in order to improve business efficiency and grow in a sustainable manner. |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Strategic Report |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
Operating Risk |
The company is operating in a competitive market, the success of the company depends on supplying the client with a great product at a competitive price the ongoing care of customer is paramount to retain repeat business. |
Market Risk |
There are a number of potential risks and uncertainties as the company is reliant on the new/used vehicle market and therefore any change in the level of activity within the sector is likely to affect results. The market is competitive in the UK and the directors believe that the market will remain so in the foreseeable future. |
The management team consider the implications of all significant business decisions and risks and they are re-assessed on a regular basis to ensure any change in the company operations or externally are identified and managed appropriately. |
Financial Risk |
The company's activities expose it to a number of financial risks including credit, cash flow and liquidity. The use of financial instruments is monitored by the director. The company's principal financial instruments comprise of bank balance, stocking loan, trade debtors, trade creditors and loans to t he company. |
Cash flow risk |
Interest bearing assets and liabilities are held at a fixed rate ensuring certainty of cash flow. |
Credit risk |
As a privately owned company the company's principal financial assets are bank balances, cash, trade and other receivables including retained profit. The company manages credit risk in respect of trade debtors by continually monitoring credit limits and amount outstanding. |
The credit risk on liquid funds are limited as counterpart's are banks with high credit ratings assigned by international credit rating agencies. |
Liquidity risk |
In order to maintain liquidity for ongoing operations the company uses a mix of long term and short term finance. The company manages the liquidity risk by monitoring working capital ensuring there is sufficient funds to meet payments. The company manages the balance outstanding as part of its overall working capital. |
Going concern |
The company has recorded a pre-tax profit of £2,010,173. Current liabilities have decreased during the year with net assets increasing by £1,393,340 from £7,621,290 in 2022 to £9,014,630 in 2023. |
The directors have considered the company's ability to continue trading for a period extending to at least twelve months from the date of approval of these financial statements. The directors are satisfied taking into account, trading performance, gross profitability and market conditions that the company has adequate resources to continue in operational existence for the foreseeable future. Accordingly the directors have concluded that it is appropriate to continue to adopt the going concern basis. |
ON BEHALF OF THE BOARD: |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Strategic Report |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
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 |
No interim dividends were paid during the year ended 31 December 2023. |
The directors recommend final dividends per share as follows: |
Ordinary A shares 1 shares |
Ordinary B Shares 1 shares |
Ordinary C shares 1 shares |
The total distribution of dividends for the year ended 31 December 2023 will be £ |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
GOING CONCERN |
The financial statements are prepared under the going concern basis. The directors believe this is appropriate, they believe that for the foreseeable future the company will be able to meet its liabilities as they fall due. The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for a period of 12 months from the date of approval of these financial statements. |
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. |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Report of the Directors |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued |
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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Hayvenhursts Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
David Spear Commercials Limited |
Opinion |
We have audited the financial statements of David Spear Commercials 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. |
Report of the Independent Auditors to the Members of |
David Spear Commercials Limited |
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. |
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 pages five and six, 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 |
David Spear Commercials 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. |
As part of an audit in accordance with ISAs, we exercise professional judgment and maintain |
professional scepticism throughout the audit. We also: |
Obtain an understanding of internal control relevant to the audit in order to design audit |
procedures that are appropriate in the circumstances, but not for the purpose of |
expressing an opinion on the effectiveness of the Company's internal control. |
Evaluate the appropriateness of accounting policies used and the reasonableness of |
accounting estimates and related disclosures made by management. |
Conclude on the appropriateness of management's use of the going concern basis of |
accounting and, based on the audit evidence obtained, whether a material uncertainty |
exists relating to events or conditions that may cast significant doubt on the Company's |
ability to continue as a going concern. If we conclude that a material uncertainty exists, |
we are required to draw attention in our auditor's report to the related disclosures in the |
financial statements or, if such disclosures are inadequate, to modify our opinion. Our |
conclusions are based on the audit evidence obtained up to the date of our auditor's |
report. However, future events or conditions may cause the Company to cease to |
continue as a going concern. |
We communicate with those charged with governance regarding, among other matters, the |
planned scope and timing of the audit and significant audit findings, including any significant |
deficiencies in internal control that we identify during our audit. |
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. |
Report of the Independent Auditors to the Members of |
David Spear Commercials Limited |
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. |
for and on behalf of |
Chartered Accountants & |
Statutory Auditor |
Fairway House |
Links Business Park |
St Mellons, Cardiff |
CF3 OLT |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Income Statement |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Administrative expenses | ( |
) | ( |
) |
1,627,759 | 4,333,543 |
Other operating income |
OPERATING PROFIT | 5 |
Interest receivable and similar income |
2,010,173 | 4,524,817 |
Interest payable and similar expenses |
6 |
( |
) |
PROFIT BEFORE TAXATION |
Tax on profit | 7 | ( |
) | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Other Comprehensive Income |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME |
Revaluation reserve |
Income tax relating to other comprehensive income |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Balance Sheet |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investment property | 10 |
CURRENT ASSETS |
Stocks | 11 |
Debtors | 12 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 13 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 16 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 17 |
Revaluation reserve | 18 |
Retained earnings | 18 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Statement of Changes in Equity |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Revaluation | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2023 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Cash Flow Statement |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) |
Tax paid | ( |
) | ( |
) |
Net cash from operating activities | ( |
) |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets | ( |
) |
Interest received |
Net cash from investing activities | ( |
) |
Cash flows from financing activities |
Capital repayments in year | ( |
) | ( |
) |
Amount introduced by directors | 65,491 | - |
Amount withdrawn by directors | (55,469 | ) | (70,247 | ) |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
(Decrease)/increase in cash and cash equivalents | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
1,763,343 |
Cash and cash equivalents at end of year |
2 |
2,024,822 |
2,497,504 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
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 |
Depreciation charges |
Loss on disposal of fixed assets |
Other Finance Costs | 173,872 | - |
Finance costs | - | 8,594 |
Finance income | (135,488 | ) | - |
2,060,509 | 4,561,974 |
Decrease/(increase) in stocks | ( |
) |
Increase in trade and other debtors | ( |
) | ( |
) |
(Decrease)/increase in trade and other creditors | ( |
) |
Cash generated from operations |
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 | 2,024,822 | 2,497,504 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 2,497,504 | 1,763,343 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Cash Flow Statement |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
3. | ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,497,504 | (472,682 | ) | 2,024,822 |
2,497,504 | ( |
) | 2,024,822 |
Debt |
Debts falling due within 1 year | (3,800,000 | ) | 2,800,000 | (1,000,000 | ) |
(3,800,000 | ) | 2,800,000 | (1,000,000 | ) |
Total | (1,302,496 | ) | 2,327,318 | 1,024,822 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | STATUTORY INFORMATION |
David Spear Commercials Limited is a |
2. | STATEMENT OF COMPLIANCE |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Significant judgements and estimates |
The financial statements are prepared under the going concern basis. The directors believe this is appropriate as they believe that the company has the necessary resources at its disposal to meet its liabilities as they fall due. |
The Directors have a reasonable expectation that the company has adequate resources to continue in operational existence for a period of 12 months from the date of approval of these financial statements. |
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 |
Hire Vehicles | - |
Motor vehicles | - |
Equipment | - |
Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
3. | ACCOUNTING POLICIES - continued |
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. |
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. |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries |
Other pension costs |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2023 | 2022 |
Directors | 2 | 2 |
Employees | 23 | 23 |
2023 | 2022 |
£ | £ |
Directors' remuneration |
5. | OPERATING PROFIT |
The operating profit is stated after charging: |
2023 | 2022 |
£ | £ |
Hire of plant and machinery |
Depreciation - owned assets |
Depreciation - assets on hire purchase contracts or finance leases |
Loss on disposal of fixed assets |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank loan interest |
7. | 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 |
Deferred tax | ( |
) |
Tax on profit |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
7. | TAXATION - continued |
Tax effects relating to effects of other comprehensive | income |
There were no tax effects for the year ended 31 December 2023. |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Revaluation reserve |
8. | DIVIDENDS |
2023 | 2022 |
£ | £ |
Ordinary A shares shares of 1 each |
Final |
Ordinary B Shares share of 1 |
Final |
Ordinary C shares share of 1 |
Final |
9. | TANGIBLE FIXED ASSETS |
Fixtures |
Hire | and | Motor |
Vehicles | fittings | vehicles | Equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 | ( |
) |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts or finance leases are as follows: |
Hire |
Vehicles |
£ |
COST |
At 1 January 2023 |
DEPRECIATION |
At 1 January 2023 | ( |
) |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
10. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 January 2023 |
and 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Fair value at 31 December 2023 is represented by: |
£ |
Valuation in 2018 | 1,446,290 |
Valuation in 2019 | 526,338 |
Valuation in 2020 | 735,330 |
Valuation in 2021 | (49,928 | ) |
2,658,030 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
10. | INVESTMENT PROPERTY - continued |
If Investment properties had not been revalued they would have been included at the following historical cost: |
2023 | 2022 |
£ | £ |
Cost | 846,598 | 846,598 |
Investment properties were valued on an open market basis on 14 January 2019 by Jones Lang LaSalle Limited . |
11. | STOCKS |
2023 | 2022 |
£ | £ |
Stocks |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade debtors |
Amounts owed by associates |
Prepayments |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Bank loans and overdrafts (see note 14) |
Trade creditors |
Tax | ( |
) |
Social security and other taxes |
Smart Pensions | 3,248 | - |
VAT | 370,470 | 353,820 |
Other creditors |
Directors' current accounts | 145,538 | 135,516 |
Accrued expenses |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
14. | LOANS |
An analysis of the maturity of loans is given below: |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on demand: |
Stocking Loan | 1,000,000 | 3,800,000 |
15. | SECURED DEBTS |
The following secured debts are included within creditors: |
2023 | 2022 |
£ | £ |
Bank loans |
Loan are secured by fixed and floating charges over the assets of the business. |
16. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
£ | £ |
Deferred tax | 5,240 | 5,240 |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Balance at 31 December 2023 |
17. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary A shares | 1 | 100 | 100 |
Ordinary B Shares | 1 | 1 | 1 |
Ordinary C shares | 1 | 1 | 1 |
102 | 102 |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
18. | RESERVES |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
At 1 January 2023 | 10,294,965 |
Profit for the year |
Dividends | ( |
) | ( |
) |
At 31 December 2023 | 11,689,324 |
19. | RELATED PARTY DISCLOSURES |
£ |
Spear Vehicle Hire Limited | 1,774,051 |
Granary Project Limited | 1,000 |
Caru Campers Limited | 2,000 |
Britannia Capital Investments Limited | 525,000 |
Spear Plant Hire Limited | 110,526.54 |
20. | AUDITOR LIABILITY LIMITATION AGREEMENT |
As prescribed in the audit engagement letter dated 19th February 2024 the advice given by our Auditors is for our sole use and does not constitute advice to any third party to whom we may communicate it. |
Our Auditor will provide the professional services outlined in that engagement letter with reasonable care and skill. However, they will not be responsible for any losses, penalties, surcharges, interest or additional tax liabilities arising from the supply by ourselves or others of incorrect or incomplete information, or from the failure by ourselves or others to supply any appropriate information or our failure to act on their advice or respond promptly to communications from them or the tax authorities. |
We agreed to hold harmless and indemnify our Auditor against any misrepresentation (intentional or unintentional) supplied to our Auditor orally or in writing in connection with this agreement. We have agreed that we will not bring any claim in connection with services provided to the company by the audit firm against any of its employees on a personal basis. |
We will not hold our Auditor, or their principles, or their directors or their staff, responsible, to the fullest extent permitted by law, for any loss suffered by us arising from any misrepresentation (intentional or unintentional) supplied to our Auditors orally or in writing in connection with services they provide to the company, against any of their directors or employees personally. |
The Auditors' work is not, unless there is a legal or regulatory requirement, to be made available to third parties without their written permission and they will accept no responsibility to third parties for any aspect of their professional services or work that is made available. |
DAVID SPEAR COMMERCIALS LIMITED (REGISTERED NUMBER: 03884273) |
Notes to the Financial Statements - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
21. | POST BALANCE SHEET EVENTS |
On the 25th June 2024, the company undertook a restructure resulting in David Spear Commercials Limited becoming a whole owned subsidiary of Britannia Capital Investment Holdings Limited. |
22. | ULTIMATE CONTROLLING PARTY |
In The year under review the Ultimate Controlling parties of the Company were Mr D. Spear and Mrs S. Spear. |