Company registration number 01426706 (England and Wales)
PAIN CAR SALES LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2024
PAGES FOR FILING WITH REGISTRAR
PAIN CAR SALES LIMITED
CONTENTS
Page
Accountants' report
1
Statement of financial position
2 - 3
Notes to the financial statements
4 - 9
PAIN CAR SALES LIMITED
CHARTERED ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF PAIN CAR SALES LIMITED FOR THE YEAR ENDED 31 AUGUST 2024
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Pain Car Sales Limited for the year ended 31 August 2024 which comprise, the statement of financial position and the related notes 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 https://www.icaew.com/regulation.
This report is made solely to the board of directors of Pain Car Sales Limited, as a body, in accordance with the terms of our engagement letter dated 22 February 2022. Our work has been undertaken solely to prepare for your approval the financial statements of Pain Car Sales Limited and state those matters that we have agreed to state to the board of directors of Pain Car Sales 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 Pain Car Sales Limited and its board of directors as a body, for our work or for this report.
It is your duty to ensure that Pain Car Sales Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Pain Car Sales Limited. You consider that Pain Car Sales 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 financial statements of Pain Car Sales 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 financial statements.
Carpenter Box
4 April 2025
Chartered Accountants
Amelia House
Crescent Road
Worthing
West Sussex
BN11 1RL
PAIN CAR SALES LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT 31 AUGUST 2024
31 August 2024
- 2 -
2024
2023
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
3
1,329
2,344
Investment property
4
2,500,000
2,152,554
2,501,329
2,154,898
Current assets
Inventories
12,500
18,850
Trade and other receivables
5
3,264
2,150
Investments
6
10,790
8,280
Cash and cash equivalents
18,007
22,602
44,561
51,882
Current liabilities
7
(497,328)
(473,795)
Net current liabilities
(452,767)
(421,913)
Total assets less current liabilities
2,048,562
1,732,985
Non-current liabilities
8
(140,190)
(150,522)
Provisions for liabilities
(148,700)
(68,400)
Net assets
1,759,672
1,514,063
Equity
Called up share capital
10
100,000
100,000
Retained earnings
1,659,672
1,414,063
Total equity
1,759,672
1,514,063
The directors of the company have elected not to include a copy of the income statement within the financial statements.true
For the financial year ended 31 August 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
PAIN CAR SALES LIMITED
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 AUGUST 2024
31 August 2024
- 3 -
The financial statements were approved by the board of directors and authorised for issue on 4 April 2025 and are signed on its behalf by:
Mrs S A *Williams
Director
Company registration number 01426706 (England and Wales)
PAIN CAR SALES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2024
- 4 -
1
Accounting policies
Company information
Pain Car Sales Limited is a private company limited by shares incorporated in England and Wales. The registered office is 5 Chute Avenue, Worthing, West Sussex, BN13 3DX.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £1.
The financial statements have been prepared under the historical cost convention, modified to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The directors have considered relevant information, including the company’s principal risks and uncertainties, forecast future cash flows and the impact of subsequent events in making their assessment.true
Based on these assessments and having regard to the resources available to the entity, the directors have concluded that there is no material uncertainty and that they can continue to adopt the going concern basis in preparing the annual report and financial statements.
1.3
Revenue
Revenue represents the amounts receivable in respect of vehicles sold and services provided during the period exclusive of VAT, including commissions. Vehicle sales and related costs are recognised when the company has fulfilled all of its obligations under the sale contract.
1.4
Property, plant and equipment
Property, plant and equipment are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant and machinery
25% straight line per annum
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 credited or charged to profit or loss.
1.5
Investment properties
Investment property, which is property held to earn rentals and for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in the income statement.
1.6
Inventories
Inventories are stated at the lower of cost and estimated selling price less costs to complete and sell.
PAIN CAR SALES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
1
Accounting policies
(Continued)
- 5 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of inventories over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include deposits held at call with banks.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Basic financial assets
Basic financial assets, which include other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost.
Basic financial liabilities
Basic financial liabilities, including trade and other payables, 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. Financial liabilities classified as payable within one year are not amortised.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense.
1.12
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
PAIN CAR SALES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 6 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 2 (2023 - 2).
3
Property, plant and equipment
Plant and machinery etc
£
Cost
At 1 September 2023 and 31 August 2024
4,062
Depreciation and impairment
At 1 September 2023
1,718
Depreciation charged in the year
1,015
At 31 August 2024
2,733
Carrying amount
At 31 August 2024
1,329
At 31 August 2023
2,344
4
Investment property
2024
£
Fair value
At 1 September 2023
2,152,554
Revaluations
347,446
At 31 August 2024
2,500,000
The directors valued the company's investment properties held at the balance sheet date at their open market value of £2,500,000 (2023 - £2,152,554). On a historical cost basis, the freehold investment properties would have been included at a cost of £1,545,545 (2023 - £1,545,545).
A provision has been made for the tax on the chargeable gain that would arise if the company's investment properties were to be sold at their carrying values in these financial statements.
A floating charge is held over one of the investment properties.
PAIN CAR SALES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 7 -
5
Trade and other receivables
2024
2023
Amounts falling due within one year:
£
£
Trade receivables
1,070
Other receivables
2,194
2,150
3,264
2,150
6
Current asset investments
2024
2023
£
£
Other investments
10,790
8,280
7
Current liabilities
2024
2023
£
£
Bank loans
16,976
16,976
Trade payables
113
Taxation and social security
5,350
2,407
Other payables
475,002
454,299
497,328
473,795
8
Non-current liabilities
2024
2023
£
£
Bank loans and overdrafts
140,190
150,522
The bank loan is secured over assets held by the company.
Creditors which fall due after five years are as follows:
2024
2023
£
£
Payable by instalments
93,948
111,387
PAIN CAR SALES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 8 -
9
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
300
600
Revaluations
148,400
67,800
148,700
68,400
2024
Movements in the year:
£
Liability at 1 September 2023
68,400
Charge to profit or loss
80,300
Liability at 31 August 2024
148,700
10
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100,000
100,000
100,000
100,000
11
Retained earnings
Included in retained earnings are non-distributable amounts of £798,155 (2023 - £530,709), relating to the fair value movements on investment properties held by the company.
12
Operating lease commitments
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2024
2023
£
£
Within one year
15,000
15,000
Between two and five years
50,000
60,000
In over five years
5,000
65,000
80,000
PAIN CAR SALES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
12
Operating lease commitments
(Continued)
- 9 -
Lessor
At the reporting end date the company had contracted with tenants for the following minimum lease payments:
2024
2023
£
£
Within one year
39,000
39,000
Between two and five years
130,000
156,000
In over five years
13,000
169,000
208,000
13
Related party transactions
The directors received £46,000 dividends from the company during the year (2023 - £27,000). At the statement of financial position date, the company owed the directors £442,204 (2023 - £402,562), which is included in other payables.
The company paid dividends of £0 (2023 - £18,000) to the remaining shareholders, which are related parties to the directors. At the statement of financial position date, the company owed the shareholders £0 (2023 - £18,000), which is included in other payables.