Registered number
04467440
T. Watts Scrap Metal Merchants Limited
Unaudited Filleted Accounts
31 July 2024
T. Watts Scrap Metal Merchants Limited
Registered number: 04467440
Balance Sheet
as at 31 July 2024
Notes 2024 2023
£ £
Fixed assets
Tangible assets 3 484,022 350,851
Investments 4 - 2,400,000
484,022 2,750,851
Current assets
Stocks 96,019 228,169
Debtors 5 771,958 779,081
Cash at bank and in hand 1,206,095 409,773
2,074,072 1,417,023
Creditors: amounts falling due within one year 6 (1,071,042) (808,207)
Net current assets 1,003,030 608,816
Total assets less current liabilities 1,487,052 3,359,667
Creditors: amounts falling due after more than one year 7 (55,462) (44,591)
Provisions for liabilities (112,076) (78,787)
Net assets 1,319,514 3,236,289
Capital and reserves
Called up share capital 500 500
Share premium 509,337 509,337
Capital redemption reserve 500 500
Profit and loss account 809,177 2,725,952
Shareholder's funds 1,319,514 3,236,289
The directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.
The member has not required the company to obtain an audit in accordance with section 476 of the Act.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.
The accounts have been prepared and delivered in accordance with the special provisions applicable to companies subject to the small companies regime. The profit and loss account has not been delivered to the Registrar of Companies.
Mr A A Allen
Director
Approved by the board on 16 April 2025
T. Watts Scrap Metal Merchants Limited
Notes to the Accounts
for the year ended 31 July 2024
1 Accounting policies
Basis of preparation
The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard).
Turnover
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.
Tangible fixed assets
Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:
Leasehold land and buildings over the lease term
Plant and machinery 20% reducing balance
Fixtures, fittings, tools and equipment 20% reducing balance
Investments
Investments in subsidiaries, associates and joint ventures are measured at cost less any accumulated impairment losses. Listed investments are measured at fair value. Unlisted investments are measured at fair value unless the value cannot be measured reliably, in which case they are measured at cost less any accumulated impairment losses. Changes in fair value are included in the profit and loss account.
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised.
Taxation
A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.
Leased assets
A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental to ownership. All other leases are classified as operating leases. The rights of use and obligations under finance leases are initially recognised as assets and liabilities at amounts equal to the fair value of the leased assets or, if lower, the present value of the minimum lease payments. Minimum lease payments are apportioned between the finance charge and the reduction in the outstanding liability using the effective interest rate method. The finance charge is allocated to each period during the lease so as to produce a constant periodic rate of interest on the remaining balance of the liability. Leased assets are depreciated in accordance with the company's policy for tangible fixed assets. If there is no reasonable certainty that ownership will be obtained at the end of the lease term, the asset is depreciated over the lower of the lease term and its useful life. Operating lease payments are recognised as an expense on a straight line basis over the lease term.
Pensions
Contributions to defined contribution plans are expensed in the period to which they relate.
2 Employees 2024 2023
Number Number
Average number of persons employed by the company 20 19
3 Tangible fixed assets
Land and buildings Plant and machinery etc Motor vehicles Total
£ £ £ £
Cost
At 1 August 2023 32,868 1,025,959 833,980 1,892,807
Additions - 160,200 125,000 285,200
Disposals - - (37,000) (37,000)
At 31 July 2024 32,868 1,186,159 921,980 2,141,007
Depreciation
At 1 August 2023 - 824,032 717,924 1,541,956
Charge for the year - 102,991 48,342 151,333
On disposals - - (36,304) (36,304)
At 31 July 2024 - 927,023 729,962 1,656,985
Net book value
At 31 July 2024 32,868 259,136 192,018 484,022
At 31 July 2023 32,868 201,927 116,056 350,851
4 Investments
Investments in
subsidiary
undertakings
£
Cost
At 1 August 2023 2,400,000
Disposals (2,400,000)
At 31 July 2024 -
5 Debtors 2024 2023
£ £
Trade debtors 154,491 241,565
Amounts owed by group undertakings and undertakings in which the company has a participating interest 464,703 296,101
Other debtors 152,764 241,415
771,958 779,081
6 Creditors: amounts falling due within one year 2024 2023
£ £
Bank loans and overdrafts 10,695 130,011
Obligations under finance lease and hire purchase contracts 28,853 10,390
Trade creditors 184,967 169,399
Amounts owed to group undertakings and undertakings in which the company has a participating interest 231,938 -
Taxation and social security costs 345,272 259,942
Other creditors 269,317 238,465
1,071,042 808,207
7 Creditors: amounts falling due after one year 2024 2023
£ £
Bank loans 12,231 22,435
Obligations under finance lease and hire purchase contracts 43,231 22,156
55,462 44,591
8 Loans 2024 2023
£ £
Creditors include:
Secured bank loans 72,576 152,605
The bank overdraft is secured by way of a cross guarantee with T. Watts Properties Limited and T. Watts Waste Limited. Hire purchase liabilities are secured on the assets concerned.
9 Contingent liabilities
The company has entered into an unlimited cross guarantee to secure certain bank borrowings of T. Watts Properties Limited and T.Watts Waste Limited. At 31 July 2024 the contingent liability in respect of this guarantee amounted to T. Watts Properties Limited £644,053 (2023: £672,125) and T. Watts Waste Limited £Nil (2023: £Nil).
10 Loans to directors
Description and conditions B/fwd Paid Repaid C/fwd
Repayable on demand. Interest charged at 2.25% £ £ £ £
Mr A A Allen
Directors loan account 157,945 131,414 (219,016) 70,343
157,945 131,414 (219,016) 70,343
11 Controlling party
The company was controlled throughout the year by Mr A. A. Allen, a director and the sole shareholder of the company.
12 Other information
T. Watts Scrap Metal Merchants Limited is a private company limited by shares and incorporated in England. Its registered office is:
Barkby Road
Leicester
Leicestershire
LE4 9LG
T. Watts Scrap Metal Merchants Limited 04467440 false 2023-08-01 2024-07-31 2024-07-31 VT Final Accounts April 2025 Mr A A Allen No description of principal activity 04467440 2022-08-01 2023-07-31 04467440 core:WithinOneYear 2023-07-31 04467440 core:AfterOneYear 2023-07-31 04467440 core:ShareCapital 2023-07-31 04467440 core:SharePremium 2023-07-31 04467440 core:OtherReservesSubtotal 2023-07-31 04467440 core:RetainedEarningsAccumulatedLosses 2023-07-31 04467440 2023-08-01 2024-07-31 04467440 bus:PrivateLimitedCompanyLtd 2023-08-01 2024-07-31 04467440 bus:AuditExemptWithAccountantsReport 2023-08-01 2024-07-31 04467440 bus:Director40 2023-08-01 2024-07-31 04467440 core:LandBuildings 2023-08-01 2024-07-31 04467440 core:PlantMachinery 2023-08-01 2024-07-31 04467440 core:Vehicles 2023-08-01 2024-07-31 04467440 bus:Director2 2023-08-01 2024-07-31 04467440 bus:Director2 1 2023-08-01 2024-07-31 04467440 countries:England 2023-08-01 2024-07-31 04467440 bus:FRS102 2023-08-01 2024-07-31 04467440 bus:FilletedAccounts 2023-08-01 2024-07-31 04467440 2024-07-31 04467440 core:WithinOneYear 2024-07-31 04467440 core:AfterOneYear 2024-07-31 04467440 core:ShareCapital 2024-07-31 04467440 core:SharePremium 2024-07-31 04467440 core:OtherReservesSubtotal 2024-07-31 04467440 core:RetainedEarningsAccumulatedLosses 2024-07-31 04467440 core:LandBuildings 2024-07-31 04467440 core:PlantMachinery 2024-07-31 04467440 core:Vehicles 2024-07-31 04467440 core:DisposalsRepaymentsInvestments 2024-07-31 04467440 bus:Director2 1 2024-07-31 04467440 2023-07-31 04467440 core:LandBuildings 2023-07-31 04467440 core:PlantMachinery 2023-07-31 04467440 core:Vehicles 2023-07-31 04467440 bus:Director2 1 2023-07-31 iso4217:GBP xbrli:pure