|
Registered number: 06479263
Erith Waste Management Limited
Financial statements
For the Period Ended 31 March 2024
|
|
Erith Waste Management Limited
Company Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hurst Accountants Limited
|
|
|
Chartered Accountants & Statutory Auditors
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Erith Waste Management Limited
Contents
|
|
|
|
|
|
Notes to the Financial Statements
|
|
|
|
Erith Waste Management Limited
Registered number: 06479263
Balance Sheet
As at 31 March 2024
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debtors: amounts falling due within one year
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Creditors: amounts falling due within one year
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets less current liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.
The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The Company has opted not to file the statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 2 to 6 form part of these financial statements.
|
|
Erith Waste Management Limited
Notes to the Financial Statements
For the Period Ended 31 March 2024
Erith Waste Management Limited ('the Company') is a private limited company domiciled and incorporated in England and Wales.
The address of its registered office and principal place of business is Waldens Depot, Waldens Road, Orpington, Kent, BR5 4EU.
2.Accounting policies
|
|
|
Basis of preparation of financial statements
|
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The reporting period is the 18 months ended 31 March 2024. As the previous reporting period was the year ended 30 September 2022, the comparative amounts presented in the financial statements are not entirely comparable.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies.
The following principal accounting policies have been applied:
The financial statements have been prepared on a going concern basis.
The Company has been meeting its working capital requirements through its cash balances and intercompany loans, and was party to the group headed by Watch It Come Down Limited’s facility agreement with Together Commercial Finance at the period-end.
During the period, the Group breached the terms of covenants under the previous facility with Shawbrook Bank, and tax liabilities totalling £2.3m were overdue for payment. In November 2023, the main trading company in the group, Pinden Limited, arranged a £5.5m commercial bridging loan which enabled the tax liabilities to be paid under the terms of a payment arrangement, and Shawbrook Bank loans and invoice discounting facilities were settled early. The bridging loan was initially repayable in November 2024, and an agreement has been made to extend the repayment date to November 2025, which is less than 12 months after the financial statements being approved.
The directors acknowledge that long-term financing facilities are not yet in place, and Group property assets have not yet been sold, at the date of these financial statements. Other options are being considered for the group, in order to make funds available to settle the bridging facility, including refinancing or obtaining an extension to the repayment date. The current position represents a material uncertainty over the group and Company’s ability to continue to trade as a going concern. However, given the significant value in the property assets held in the group headed by Watch It Come Down Limited, together with further group tangible assets, the Directors are very confident that either an extension to the repayment date, a long-term refinance, or property sale, will be achievable ahead of the repayment date.
The directors believe it is appropriate to prepare the financial statements to 31 March 2024 on a going concern basis.
|
|
Erith Waste Management Limited
Notes to the Financial Statements
For the Period Ended 31 March 2024
2.Accounting policies (continued)
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.
Revenue is recognised when the skips are delivered to customers.
Defined contribution pension plan
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 profit or loss 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.
Tangible fixed assets under the cost model 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, on a reducing balance basis.
Depreciation is provided on the following basis:
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 profit or loss.
Short-term debtors are measured at transaction price, less any impairment.
|
|
|
Cash and cash equivalents
|
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.
|
|
Erith Waste Management Limited
Notes to the Financial Statements
For the Period Ended 31 March 2024
2.Accounting policies (continued)
Short-term creditors are measured at the transaction price.
|
|
The average monthly number of employees, including directors, during the period was 7 (Year ended 30 September 2022: 7).
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Charge for the period on owned assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Erith Waste Management Limited
Notes to the Financial Statements
For the Period Ended 31 March 2024
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owed by group undertakings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Creditors: Amounts falling due within one year
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owed to group undertakings
|
|
|
|
|
Other taxation and social security
|
|
|
|
|
|
|
|
|
|
Accruals and deferred income
|
|
|
|
|
|
|
|
|
|
|
|
|
The Company had a cross-company guarantee in favour of Shawbrook Bank Limited. The cross-company guarantee was in relation to bank loans and finance leases provided to the group, totalling £4,841,186 at 30 September 2022. These loans were repaid during the period alongside refinancing; a £5.5m commercial bridging loan is now in place for the group headed by Watch It Come Down Limited, of which the Company is a member.
A fixed and floating charge now exists in favour of Close Brothers Limited over all the assets of the Company, in relation to Group invoice discounting liabilities totalling £1,168,189 (30 September 2022: £nil).
|
|
Erith Waste Management Limited
Notes to the Financial Statements
For the Period Ended 31 March 2024
The Company operates a defined pension contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. Contributions totalling £998 (30 September 2022: £1,553) were payable to the fund at the balance sheet date and is included in creditors.
Syd Bishop & Sons (Demolition) Limited is the immediate parent company. Syd Bishop & Sons (Demolition) Limited is incorporated in England and its registered office is Waldens Road, Orpington, Kent, BR5 4EU.
The Company's ultimate parent undertaking is Watch It Come Down Limited, which is the parent of the smallest group for which consolidated financial statements are drawn up of which this company is a member. Watch It Come Down Limited is incorporated in England and its registered office is Waldens Road, Orpington, Kent, BR5 4EU.
The ultimate controlling party is the Group's Board of Directors.
The auditors' report on the financial statements for the period ended 31 March 2024 was unqualified.
|
|
In their report, the auditors drew attention to note 2.2, whereby conditions exist which indicate that a material
uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. The material uncertainty is in relation to the group headed by Watch it Come Down Limited's ability to repay, or obtain an extension to the repayment date of, a bridging loan which is due to be repaid in November 2025, less than 12 months from the financial statements being approved. The auditors' opinion is not modified in respect of this matter.
|
The audit report was signed on 19 September 2025 by Anthony Woodings (Senior Statutory Auditor) on behalf of Hurst Accountants Limited.
|