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REGISTERED NUMBER: 00880470 (England and Wales)















Financial Statements for the Year Ended 31 May 2024

for

MG Electric (Colchester) Limited

MG Electric (Colchester) Limited (Registered number: 00880470)






Contents of the Financial Statements
for the Year Ended 31 May 2024




Page

Company Information 1

Balance Sheet 2

Notes to the Financial Statements 4


MG Electric (Colchester) Limited

Company Information
for the Year Ended 31 May 2024







DIRECTORS: G M Martin
S J Martin





REGISTERED OFFICE: Unit 5 Altbarn Close
Wyncolls Road
Colchester
Essex
CO4 9HY





REGISTERED NUMBER: 00880470 (England and Wales)





ACCOUNTANTS: Xeinadin Colchester
2 Beacon End Courtyard
London Road
Stanway
Colchester
Essex
CO3 0NU

MG Electric (Colchester) Limited (Registered number: 00880470)

Balance Sheet
31 May 2024

31.5.24 31.5.23
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 4 561,993 346,927
Tangible assets 5 175,668 144,344
737,661 491,271

CURRENT ASSETS
Stocks 904,295 839,814
Debtors 6 566,548 563,723
Cash at bank and in hand 180,655 428,386
1,651,498 1,831,923
CREDITORS
Amounts falling due within one year 7 553,644 587,633
NET CURRENT ASSETS 1,097,854 1,244,290
TOTAL ASSETS LESS CURRENT
LIABILITIES

1,835,515

1,735,561

PROVISIONS FOR LIABILITIES 41,073 32,617
NET ASSETS 1,794,442 1,702,944

CAPITAL AND RESERVES
Called up share capital 100 100
Retained earnings 1,794,342 1,702,844
1,794,442 1,702,944

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 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.

MG Electric (Colchester) Limited (Registered number: 00880470)

Balance Sheet - continued
31 May 2024


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 Income Statement has not been delivered.

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 27 March 2025 and were signed on its behalf by:





G M Martin - Director


MG Electric (Colchester) Limited (Registered number: 00880470)

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

1. STATUTORY INFORMATION

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

Related party exemption
As a wholly owned subsidiary the company has taken advantage of the 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 its parent company.

Significant judgements and estimates
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is reviewed where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

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

Intangible assets
Intangible assets are initially measured at cost and subsequently measured at cost or valuation, net of amortisation and any impairment losses.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised to the profit and loss account.

Capitalised development costs represent the capitalisation of development costs arising from an internal project.

Amortisation is provided over 10 years, in order to write off each asset over its estimated useful life. Assets are amortised from the period they are available for use.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Plant and machinery etc - over 3 - 15 years and over 3 - 5 years

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised to the profit and loss account.

MG Electric (Colchester) Limited (Registered number: 00880470)

Notes to the Financial Statements - continued
for the Year Ended 31 May 2024

2. ACCOUNTING POLICIES - continued

Stocks
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Financial instruments
The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.

Debt instruments (other than those wholly payable or receivable within one year) including loans and other accounts receivable and payable, are initially measured at present value of the future cashflows and subsequently at amortised cost using the effective interest rate method. Debt instruments that are payable or receivable within one year, typical trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration to be expected to be paid or received. However if the arrangements of a short-term instrument constitutes a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in the case of an outright short term loan that is not at market value, the financial asset or liability is measured, initially at present value of future cashflow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment, if found, the impairment loss is taken to the income statement.

Financial assets and liabilities are offset, and the net amount reported on the balance sheet when there is an
enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability individually.

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.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

MG Electric (Colchester) Limited (Registered number: 00880470)

Notes to the Financial Statements - continued
for the Year Ended 31 May 2024

2. ACCOUNTING POLICIES - continued

Hire purchase and leasing commitments
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.

The assets of the scheme are held separately to those of the company.

3. EMPLOYEES AND DIRECTORS

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

4. INTANGIBLE FIXED ASSETS
Development
costs
£   
COST
At 1 June 2023 361,905
Additions 220,513
At 31 May 2024 582,418
AMORTISATION
At 1 June 2023 14,978
Amortisation for year 5,447
At 31 May 2024 20,425
NET BOOK VALUE
At 31 May 2024 561,993
At 31 May 2023 346,927

MG Electric (Colchester) Limited (Registered number: 00880470)

Notes to the Financial Statements - continued
for the Year Ended 31 May 2024

5. TANGIBLE FIXED ASSETS
Fixtures
Tools and Plant and and Motor
dies machinery fittings vehicles Totals
£    £    £    £    £   
COST
At 1 June 2023 598,552 51,054 259,562 4,250 913,418
Additions 4,210 - 56,298 - 60,508
At 31 May 2024 602,762 51,054 315,860 4,250 973,926
DEPRECIATION
At 1 June 2023 511,197 39,841 214,496 3,540 769,074
Charge for year 17,931 1,467 9,786 - 29,184
At 31 May 2024 529,128 41,308 224,282 3,540 798,258
NET BOOK VALUE
At 31 May 2024 73,634 9,746 91,578 710 175,668
At 31 May 2023 87,355 11,213 45,066 710 144,344

6. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.5.24 31.5.23
£    £   
Trade debtors 144,769 201,313
Amounts owed by group undertakings 270,255 209,831
Other debtors 151,524 152,579
566,548 563,723

7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.5.24 31.5.23
£    £   
Trade creditors 105,381 198,938
Taxation and social security 21,192 5,844
Other creditors 427,071 382,851
553,644 587,633

8. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
31.5.24 31.5.23
£    £   
Within one year 955 955
Between one and five years 1,910 2,865
2,865 3,820

MG Electric (Colchester) Limited (Registered number: 00880470)

Notes to the Financial Statements - continued
for the Year Ended 31 May 2024

9. RELATED PARTY DISCLOSURES

The company continues to occupy its current premises, from an entity under common control, at a favourable rate.

At the year end Martin Management Limited owed the company £30 (2023: £13). Both companies are under common control.

10. ULTIMATE CONTROLLING PARTY

Gonk Enterprises Ltd is the company's ultimate parent company.