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REGISTERED NUMBER: SC205745 (Scotland)












UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2024

FOR

RTS CONTRACTS LIMITED

RTS CONTRACTS LIMITED (REGISTERED NUMBER: SC205745)

CONTENTS OF THE FINANCIAL STATEMENTS
for the year ended 30 April 2024










Page

Company Information 1

Balance Sheet 2

Notes to the Financial Statements 3


RTS CONTRACTS LIMITED

COMPANY INFORMATION
for the year ended 30 April 2024







DIRECTORS: M Lambert
D L Rose





SECRETARY: A H Houghton





REGISTERED OFFICE: Ellersley House
30 Miller Road
Ayr
South Ayrshire
KA7 2AY





REGISTERED NUMBER: SC205745 (Scotland)





ACCOUNTANTS: Magma Audit LLP
16 Davy Court
Castle Mound Way
Rugby, CV23 0UZ
Magma Audit LLP is part
Of the Dains Group

RTS CONTRACTS LIMITED (REGISTERED NUMBER: SC205745)

BALANCE SHEET
30 April 2024

2024 2023
Notes £    £   
FIXED ASSETS
Tangible assets 4 2,354 4,031
Investments 5 - 15,000
2,354 19,031

CURRENT ASSETS
Stocks 6 4,306 10,375
Debtors 7 4,474,148 3,771,911
Cash at bank 38,542 110,351
4,516,996 3,892,637
CREDITORS
Amounts falling due within one year 8 (3,020,959 ) (2,408,276 )
NET CURRENT ASSETS 1,496,037 1,484,361
TOTAL ASSETS LESS CURRENT
LIABILITIES

1,498,391

1,503,392

CAPITAL AND RESERVES
Called up share capital 180 180
Capital redemption reserve 220 220
Retained earnings 1,497,991 1,502,992
1,498,391 1,503,392

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 April 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 April 2024 in accordance with Section 476 of the Companies Act 2006.

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

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 29 January 2025 and were signed on its behalf by:





D L Rose - Director


RTS CONTRACTS LIMITED (REGISTERED NUMBER: SC205745)

NOTES TO THE FINANCIAL STATEMENTS
for the year ended 30 April 2024


1. STATUTORY INFORMATION

RTS Contracts Limited is a limited company, registered in Scotland. Its registered office address is Ellersley House, 30 Miller Road, Ayr, South Ayrshire, Scotland, KA7 2AY and the registered number is SC205745.

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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The presentation currency of the financial statements is pound sterling (£) and figures are rounded to the nearest £1.

Turnover
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company 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:

Rendering of services
Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

- the amount of revenue can be measured reliably;
- it is probable that the Company will receive the consideration due under the contract;
- the stage of completion of the contract at the end of the reporting period can be measured reliably; and
- the costs incurred and the costs to complete the contract can be measured reliably.

Contracts in progress
The policy used to determine the contract revenue recognised in the period is the percentage of completion method. The method used to determine the percentage of completion is to obtain third party surveys of the work performed.

Short-term contract work in progress is stated at cost.

Attributable profit is taken when the outcome of long-term contracts can be assessed with reasonable certainty and is included within amounts recoverable on contracts. Profit is then attributed on the basis of the percentage of work completed. Provisions are made in full for any foreseeable losses on contracts. Advance payments received from customers are shown as payments received on account and are included in creditors until there is a right to set off against the value of work undertaken.

Tangible fixed assets
Tangible fixed assets 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.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using a straight line basis, as indicated below.

Motor vehicles-25% straight line method
Fixtures and fittings-25% straight line method

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the profit and loss account.

RTS CONTRACTS LIMITED (REGISTERED NUMBER: SC205745)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the year ended 30 April 2024


2. ACCOUNTING POLICIES - continued

Stocks
Stocks are stated at estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress include labour and attributable overheads.

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 complete and sell. The impairment loss is recognised immediately in the Profit and Loss Account.

Financial instruments
(i) Financial assets

Basic financial assets, including trade and other debtors, cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest rate method.

(ii) Financial liabilities

Basic financial liabilities, including trade and other creditors are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Taxation
The tax expense for the year comprises current and deferred tax.

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the Balance Sheet date, except that:

- The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
- Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Both current and deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Fixed asset investments
Investment in the subsidiary company is held at cost less accumulated impairment losses.

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.

Operating leases
Rentals paid under operating leases are charged to the Profit and Loss Account on a straight line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

RTS CONTRACTS LIMITED (REGISTERED NUMBER: SC205745)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the year ended 30 April 2024


2. ACCOUNTING POLICIES - continued

Pension costs and other post-retirement benefits
The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in the Profit and Loss Account 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 Company in independently administered funds.

3. EMPLOYEES AND DIRECTORS

The average number of employees during the year was 11 (2023 - 14 ) .

4. TANGIBLE FIXED ASSETS
Fixtures
and Motor
fittings vehicles Totals
£    £    £   
COST
At 1 May 2023
and 30 April 2024 76,228 86,296 162,524
DEPRECIATION
At 1 May 2023 72,197 86,296 158,493
Charge for year 1,677 - 1,677
At 30 April 2024 73,874 86,296 160,170
NET BOOK VALUE
At 30 April 2024 2,354 - 2,354
At 30 April 2023 4,031 - 4,031

5. FIXED ASSET INVESTMENTS
Trade
investment
£   
COST
At 1 May 2023 165,000
Disposals (165,000 )
At 30 April 2024 -
PROVISIONS
At 1 May 2023 150,000

Eliminated on disposal (150,000 )
At 30 April 2024 -
NET BOOK VALUE
At 30 April 2024 -
At 30 April 2023 15,000

RTS CONTRACTS LIMITED (REGISTERED NUMBER: SC205745)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the year ended 30 April 2024


6. STOCKS
2024 2023
£    £   
Stocks 3,312 2,601
Work-in-progress 994 7,774
4,306 10,375

7. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade debtors 2,291,258 1,729,066
Amounts owed by group undertakings 601,143 415,773
Other debtors 1,581,747 1,627,072
4,474,148 3,771,911

8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade creditors 2,271,740 1,987,661
Amounts owed to group undertakings - 9,426
Taxation and social security 373,078 154,822
Other creditors 376,141 256,367
3,020,959 2,408,276

The parent company, RTS Construction Group Limited, has provided a guarantee over the overdraft and credit card facilities of the Company. This guarantee is limited to £192,000.

9. CONTINGENT LIABILITIES

The company is part of a group VAT registration with other related party companies under common control. The company is jointly and severally liable for the liabilities of the VAT group to which it belongs. At 30 April 2024, the group VAT liability amounted to £311,935 (2023: £169,962) of which £311,559 (2023: £134,776) is due from RTS Contracts Limited.

10. RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

At the year end, a director owed £386,212 (2023: £388,239) in the form of a directors' loan account. The maximum outstanding in the year was £437,365 (2023: £338,329). The loan is interest free and repayable on demand.

At the year end a balance of £188,370 (2023: £9,426 due to) was due from a company under common ownership. The loan is interest free and repayable on demand.

During the year, sales of £556,350 (2023: £3,830,918) and were made with a company under common ownership. At the year end, a balance of £1,526,515 (2023: £1,133,416) was due from the company.