7 5 M.G. Electrics Limited 04219002 false 2023-06-01 2024-05-31 2024-05-31 The principal activity of the company is Electrical Services. Digita Accounts Production Advanced 6.30.9574.0 true 04219002 2023-06-01 2024-05-31 04219002 2024-05-31 04219002 core:HirePurchaseContracts core:CurrentFinancialInstruments 2024-05-31 04219002 core:CurrentFinancialInstruments 2024-05-31 04219002 core:CurrentFinancialInstruments core:WithinOneYear 2024-05-31 04219002 core:Non-currentFinancialInstruments 2024-05-31 04219002 core:Non-currentFinancialInstruments core:AfterOneYear 2024-05-31 04219002 core:Goodwill 2024-05-31 04219002 core:FurnitureFittingsToolsEquipment 2024-05-31 04219002 core:MotorVehicles 2024-05-31 04219002 bus:SmallEntities 2023-06-01 2024-05-31 04219002 bus:AuditExemptWithAccountantsReport 2023-06-01 2024-05-31 04219002 bus:FilletedAccounts 2023-06-01 2024-05-31 04219002 bus:SmallCompaniesRegimeForAccounts 2023-06-01 2024-05-31 04219002 bus:RegisteredOffice 2023-06-01 2024-05-31 04219002 bus:CompanySecretary1 2023-06-01 2024-05-31 04219002 bus:Director1 2023-06-01 2024-05-31 04219002 bus:PrivateLimitedCompanyLtd 2023-06-01 2024-05-31 04219002 bus:Agent1 2023-06-01 2024-05-31 04219002 core:Goodwill 2023-06-01 2024-05-31 04219002 core:ComputerEquipment 2023-06-01 2024-05-31 04219002 core:FurnitureFittings 2023-06-01 2024-05-31 04219002 core:FurnitureFittingsToolsEquipment 2023-06-01 2024-05-31 04219002 core:MotorVehicles 2023-06-01 2024-05-31 04219002 core:PlantMachinery 2023-06-01 2024-05-31 04219002 countries:EnglandWales 2023-06-01 2024-05-31 04219002 2023-05-31 04219002 core:Goodwill 2023-05-31 04219002 core:FurnitureFittingsToolsEquipment 2023-05-31 04219002 core:MotorVehicles 2023-05-31 04219002 2022-06-01 2023-05-31 04219002 2023-05-31 04219002 core:HirePurchaseContracts core:CurrentFinancialInstruments 2023-05-31 04219002 core:CurrentFinancialInstruments 2023-05-31 04219002 core:CurrentFinancialInstruments core:WithinOneYear 2023-05-31 04219002 core:Non-currentFinancialInstruments 2023-05-31 04219002 core:Non-currentFinancialInstruments core:AfterOneYear 2023-05-31 04219002 core:FurnitureFittingsToolsEquipment 2023-05-31 04219002 core:MotorVehicles 2023-05-31 xbrli:pure iso4217:GBP

Registration number: 04219002

M.G. Electrics Limited

Unaudited Filleted Financial Statements

for the Year Ended 31 May 2024

 

M.G. Electrics Limited

Contents

Company Information

1

Accountants' Report

2

Statement of Financial Position

3 to 4

Notes to the Unaudited Financial Statements

5 to 10

 

M.G. Electrics Limited

Company Information

Director

M N Dearlove

Company secretary

Mrs G A Dearlove

Registered office

D S House
306 High Street
Croydon
Surrey
CR0 1NG

Accountants

DSK Partners LLP
Chartered AccountantsD S House
306 High Street
Croydon
Surrey
CR0 1NG

 

Chartered Accountants' Report to the Director on the Preparation of the Unaudited Statutory Accounts of
M.G. Electrics Limited
for the Year Ended 31 May 2024

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of M.G. Electrics Limited for the year ended 31 May 2024 as set out on pages 3 to 10 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at
http://www.icaew.com/regulation.

This report is made solely to the Board of Directors of M.G. Electrics Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of M.G. Electrics Limited and state those matters that we have agreed to state to the Board of Directors of M.G. Electrics Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than M.G. Electrics Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that M.G. Electrics Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of M.G. Electrics Limited. You consider that M.G. Electrics Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of M.G. Electrics Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.

......................................

DSK Partners LLP
Chartered Accountants
D S House
306 High Street
Croydon
Surrey
CR0 1NG

5 January 2025

 

M.G. Electrics Limited

(Registration number: 04219002)
Statement of Financial Position as at 31 May 2024

Note

2024
£

2023
£

Fixed assets

 

Tangible assets

5

64,576

33,417

Current assets

 

Debtors

6

127,312

89,674

Cash at bank and in hand

 

276,180

218,015

 

403,492

307,689

Creditors: Amounts falling due within one year

7

(210,205)

(178,026)

Net current assets

 

193,287

129,663

Total assets less current liabilities

 

257,863

163,080

Creditors: Amounts falling due after more than one year

7

(22,998)

(24,104)

Net assets

 

234,865

138,976

Capital and reserves

 

Called up share capital

2

2

Retained earnings

234,863

138,974

Shareholders' funds

 

234,865

138,976

 

M.G. Electrics Limited

(Registration number: 04219002)
Statement of Financial Position as at 31 May 2024 (continued)

For the financial year ending 31 May 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's responsibilities:

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and

The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the director has not delivered to the registrar a copy of the Income Statement.

Approved and authorised by the director on 5 January 2025
 

M N Dearlove
Director

   
     
 

M.G. Electrics Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
D S House
306 High Street
Croydon
Surrey
CR0 1NG
England

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

The presentation currency of the financial statements is Pound Sterling (£) rounded to the nearest Pound.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Tax

The tax expense for the period comprises current tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

 

M.G. Electrics Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024 (continued)

2

Accounting policies (continued)

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Plant & Machinery

25% Reducing Balance Method

Motore Vehicle

25% Reducing Balance Method

Fixtures & Fittings

15% Reducing Balance Method

Computer equipment

25% Reducing Balance Method

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

 

M.G. Electrics Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024 (continued)

2

Accounting policies (continued)

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the income statement over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the statement of financial position as a finance lease obligation.

Lease payments are apportioned between finance costs in the income statement and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

 

M.G. Electrics Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024 (continued)

2

Accounting policies (continued)

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Financial instruments

Classification
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities, or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
 

3

Staff numbers

The average number of persons employed by the company (including the director) during the year, was 7 (2023 - 5).

 

M.G. Electrics Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024 (continued)

4

Intangible assets

Goodwill
 £

Total
£

Cost or valuation

At 1 June 2023

5,000

5,000

At 31 May 2024

5,000

5,000

Amortisation

At 1 June 2023

5,000

5,000

At 31 May 2024

5,000

5,000

Carrying amount

At 31 May 2024

-

-

5

Tangible assets

Furniture, fittings and equipment
 £

Motor vehicles
 £

Total
£

Cost or valuation

At 1 June 2023

31,303

60,292

91,595

Additions

2,920

44,960

47,880

Disposals

-

(5,995)

(5,995)

At 31 May 2024

34,223

99,257

133,480

Depreciation

At 1 June 2023

27,408

30,770

58,178

Charge for the year

1,173

15,008

16,181

Eliminated on disposal

-

(5,455)

(5,455)

At 31 May 2024

28,581

40,323

68,904

Carrying amount

At 31 May 2024

5,642

58,934

64,576

At 31 May 2023

3,895

29,522

33,417

 

M.G. Electrics Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 May 2024 (continued)

6

Debtors

Current

2024
£

2023
£

Trade debtors

117,429

84,124

Prepayments

4,962

2,121

Other debtors

4,921

3,429

 

127,312

89,674

7

Creditors

Creditors: amounts falling due within one year

Note

2024
£

2023
£

Due within one year

 

Loans and borrowings

8

13,793

9,915

Trade creditors

 

30,511

23,474

Taxation and social security

 

39,163

27,781

Accruals and deferred income

 

2,395

1,350

Other creditors

 

124,343

115,506

 

210,205

178,026

Creditors: amounts falling due after more than one year

8

Loans and borrowings

Non-current loans and borrowings

2024
£

2023
£

Other borrowings

22,998

24,104

Current loans and borrowings

2024
£

2023
£

Hire purchase contracts

3,622

-

Other borrowings

10,171

9,915

13,793

9,915