VAN BODIES (LANCS) LIMITED


Directors	BAMBER, Morag
	STEVENSON, Robert


Company Secretary	BAMBER, Morag


Registered Address	Eastgate
	White Lund Industrial Estate
	Morecambe
	LA3 3DY


Registered Number	01221795 (England and Wales)

Notes to the Financial Statements
for the year ended 31 August 2024

1.	Accounting policies

	Statutory information
	The company is a private company limited by shares and registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

	Going concern
	At the balance sheet date the company's balance sheet was overdrawn showing a net deficit. The major creditor of the company is the Directors. They have confirmed that they will not demand repayment of this loan if it would prejudice the payment of external creditors. They have confirmed that they will continue to support the business. The business has recently returned to profitability and has traded profitably over recent months. The directors of the business plan to continue to trade until an acceptable offer has been received for their property. For the above reasons the company continues to adopt the going concern basis for these financial statements.

Going concern

At the balance sheet date the company's balance sheet was overdrawn showing a net deficit. The major creditor of the company is the Directors. They have confirmed that they will not demand repayment of this loan if it would prejudice the payment of external creditors. They have confirmed that they will continue to support the business.

The business has recently returned to profitability and has traded profitably over recent months.

The directors of the business plan to continue to trade until an acceptable offer has been received for their property.
 
For the above reasons the company continues to adopt the going concern basis for these financial statements.

	Turnover policy
	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/or 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.

Turnover policy

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/or 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.

	Employee benefits
	DO NOT USE

	Foreign currency translation
	Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to the Income Statement

Foreign currency translation

Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to the Income Statement

	Current taxation
	Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

	Deferred tax
	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.

Deferred tax

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.

	Tangible fixed assets and depreciation
	Tangible fixed assets are stated at cost or valuation less depreciation. 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 disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Income Statement Depreciation is provided on all tangible fixed assets as follows: Plant and machinery - 20% reducing balance Fixtures and fittings - 15%/25% reducing balance and 1/3 straight line Vehicles - 25% reducing balance

Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost or valuation less depreciation. 

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 disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Income Statement

Depreciation is provided on all tangible fixed assets as follows:

Plant and machinery - 20% reducing balance
Fixtures and fittings  - 15%/25% reducing balance and 1/3 straight line
Vehicles - 25% 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 where the difference between cost and fair value is material. 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 Income Statement.

Investments

Investments in subsidiaries, associates and joint ventures are measured at cost less any accumulated impairment losses. Listed investments are measured at fair value where the difference between cost and fair value is material. 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 Income Statement.

	Finance leases and hire purchase contracts
	Assets held under finance leases which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, and hire purchase contracts are capitalised in the Statement of Financial Position. They are depreciated over the shorter of their useful lives or the term of the lease. All other lease arrangements are classified as an operating lease

	Stocks and work in progress
	Stocks are valued at the lower of cost and estimated selling price (less any associated costs to enable such sales to complete). At each date of Statement of Financial Position, 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 Income Statement. Work in progress is valued on the basis of direct costs plus attributable overheads based on normal level of activity. Provision is made for any foreseeable losses where appropriate. No element of profit is included in the valuation of work in progress.

Stocks and work in progress

Stocks are valued at the lower of cost and estimated selling price (less any associated costs to enable such sales to complete). 

At each date of Statement of Financial Position, 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 Income Statement.

Work in progress is valued on the basis of direct costs plus attributable overheads based on normal level of activity. Provision is made for any foreseeable losses where appropriate. No element of profit is included in the valuation of work in progress.

	Trade and other debtors
	Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.

Trade and other debtors

Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.

	Trade and other creditors
	Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.

	Financial instruments
	The company 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.

2.	Average number of employees


		2024		2023
	Average number of employees during the year	8		8

3.	Tangible fixed assets

	Plant & machinery	Vehicles	Fixtures & fittings	Total
	£	£	£	£
Cost or valuation
At 01 September 23	43,259	106,564	40,561	190,384
At 31 August 24	43,259	106,564	40,561	190,384
Depreciation and impairment
At 01 September 23	41,055	36,775	39,811	117,641
Charge for year	441	17,447	339	18,227
At 31 August 24	41,496	54,222	40,150	135,868
Net book value
At 31 August 24	1,763	52,342	411	54,516
At 31 August 23	2,204	69,789	750	72,743

4.	Impairment of tangible fixed assets
	At each reporting period end date. the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any)

5.	Stocks

	2024	2023
	£	£
Raw materials and consumables	55,950	105,162
Total	55,950	105,162

6.	Debtors: amounts due within one year

	2024	2023
	£	£
Trade debtors / trade receivables	1,895	6,116
Amounts owed by group undertakings	358,281	357,187
Other debtors	31,530	20,572
Prepayments and accrued income	12,959	1,422
Total	404,665	385,297

7.	Creditors: amounts due within one year

	2024	2023
	£	£
Trade creditors / trade payables	199,871	109,916
Bank borrowings and overdrafts	174,926	79,739
Amounts owed to related parties	237,741	234,146
Taxation and social security	47,288	50,547
Finance lease and HP contracts	62,831	8,248
Other creditors	98,154	45,549
Accrued liabilities and deferred income	7,118	7,131
Total	827,929	535,276


	Included in creditors due in less than one year are balances totalling £179,434 (2023 - £28,408) which are secured by the company. There is a legal charge in place, in respect of the company bank, over the land and assets of the company.

8.	Creditors: amounts due after one year

	2024	2023
	£	£
Bank borrowings and overdrafts	-	115,244
Other creditors	-	62,141
Total	-	177,385


	Included in creditors due in more than one year are balances totalling £NIL (2023 - £177,385) which are secured by the company

9.	Obligations under finance leases

		2024		2023
		£		£
	Finance lease and HP contracts	62,831		70,389

10.	Parent-subsidiary relationships
	The shares in the company are held by the parent company, VB Properties Limited, a company registered in England & Wales.

	Notes	2024		2023
		£	£	£	£
Fixed assets
Tangible assets	3		54,516		72,743
			54,516		72,743
Current assets
Stocks	5	55,950		105,162
Debtors	6	404,665		385,297
Cash at bank and on hand		-		112
		460,615		490,571
Creditors amounts falling due within one year	7	(827,929)		(535,276)
Net current assets (liabilities)			(367,314)		(44,705)
Total assets less current liabilities			(312,798)		28,038
Creditors amounts falling due after one year	8		-		(177,385)
Net assets			(312,798)		(149,347)
Capital and reserves
Called up share capital			2,010		2,010
Profit and loss account			(314,808)		(151,357)
Shareholders' funds			(312,798)		(149,347)