Checkmate Flexible Engineering Limited - Accounts to registrar (filleted)

REGISTERED NUMBER: 06034618 (England and Wales)

Unaudited Financial Statements for the Year Ended 31 December 2024

for

Checkmate Flexible Engineering Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

P W Auston

G S Szulc

K Lake

REGISTERED OFFICE:

Bank Chambers

61 High Street

Cranbrook

Kent

TN17 3EG

REGISTERED NUMBER:

06034618 (England and Wales)

ACCOUNTANTS:

McCabe Ford Williams

Bank Chambers

61 High Street

Cranbrook

Kent

TN17 3EG

FIXED ASSETS

Intangible assets

4

-

Tangible assets

5

294,548

320,210

294,548

320,210

CURRENT ASSETS

Stocks

434,217

434,473

Debtors

6

462,049

175,777

Cash at bank and in hand

1,795,500

1,820,617

2,691,766

2,430,867

CREDITORS

Amounts falling due within one year

7

533,832

586,039

NET CURRENT ASSETS

2,157,934

1,844,828

TOTAL ASSETS LESS CURRENT
LIABILITIES

2,452,482

2,165,038

PROVISIONS FOR LIABILITIES

38,802

41,738

NET ASSETS

2,413,680

2,123,300

CAPITAL AND RESERVES

Called up share capital

5,210

Retained earnings

8

2,408,470

2,118,090

2,413,680

2,123,300

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

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

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 by the Board of Directors and authorised for issue on 18 September 2025 and were signed on its behalf by:

P W Auston - Director

K Lake - Director

G S Szulc - Director

1.	STATUTORY INFORMATION

Checkmate Flexible Engineering 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

Significant judgements and estimates

In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered 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 to which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods. The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are the recognition of profits on stock made in accordance with contracts and depreciation charges that are calculated with reference to the useful economic life of fixed assets.

Management also review the carrying value of investments and consider if they have experienced a permanent diminution in value and make appropriate adjustments

Turnover

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

Goodwill

On 31 March 2014, goodwill was acquired in respect of a flexible rubber engineering business. The directors have reviewed the useful economic life of the intangible goodwill recorded in the balance sheet and determined that the overall amortisation period from acquisition should be 7 years and the goodwill is now fully written down.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

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

-

20% on cost

Computer equipment

-

33% on cost

Stocks

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

Financial instruments

The company enters into basic financial instruments that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties and loans to related parties.

a) Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less impairment losses for bad and doubtful debts.

b) Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand.

c) Impairment of financial assets

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 objective evidence of impairment is found, an impairment loss is recognised in profit or loss.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and the best estimate, which is an approximation, of the amount that the company would receive for the asset if it were to be sold at the reporting date.

d) Trade and other creditors

Debt instruments like loans and other accounts payable are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method. Debt instruments that are payable within one year, typically trade payables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an outright short-term loan not at market rate, the financial asset is measured, initially and subsequently, at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Financial assets and liabilities are offset and the net amount reported in the statement of financial position 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 simultaneously.

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.

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

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 pension costs charged against profits represent the amount of the contribution payable to the scheme in respect of the accounting period.

Intangible fixed assets

In 2014, the company acquired the intellectual property rights of the Anaconda bulge wave energy project and this cost is being amortised evenly over its estimated useful life of five years.

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.

Foreign exchange forward contracts in place at the year end are retranslated at the forward exchange rate prevailing at the year end and any gains or losses are taken into account in arriving at the operating result.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 29 (2023 - 35 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2024

and 31 December 2024

1,120,000

AMORTISATION

At 1 January 2024

and 31 December 2024

1,120,000

NET BOOK VALUE

At 31 December 2024

-

At 31 December 2023

-

5.	TANGIBLE FIXED ASSETS

Improvements

to

Plant and

Motor

Computer

property

machinery

vehicles

equipment

Totals

£

COST

At 1 January 2024

187,419

517,319

26,921

62,324

793,983

Additions

-

7,070

46,194

1,852

55,116

At 31 December 2024

187,419

524,389

73,115

64,176

849,099

DEPRECIATION

At 1 January 2024

70,113

336,741

11,217

55,702

473,773

Charge for year

11,761

52,732

12,823

3,462

80,778

At 31 December 2024

81,874

389,473

24,040

59,164

554,551

NET BOOK VALUE

At 31 December 2024

105,545

134,916

49,075

5,012

294,548

At 31 December 2023

117,306

180,578

15,704

6,622

320,210

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

Trade debtors

332,198

74,837

VAT

34,514

61,563

Prepayments

95,337

39,377

462,049

175,777

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

Trade creditors

182,381

234,045

Tax

93,416

113,039

Social security and other taxes

22,409

16,649

Other creditors

194,410

166,354

Accrued expenses

41,216

55,952

533,832

586,039

8.

RESERVES

During 2021 the company transferred the assets and business not relating to its flexible engineering operations into a separate company using a section 110 demerger. This reduced the company's reserves by £2.919m. As part of the demerger, the shares in the company were transferred to a new holding company, Checkmate Flexible Engineering Holdings Limited. Following this, on 1 March 2021, the company declared a dividend of £2.856m to its new holding company. The controlling shareholder of Checkmate Flexible Engineering Holdings Limited then sold 51% of his shareholding to an Employee Ownership Trust for £2.856m with £2.566m paid during 2021 and the balance payable over a period of up to 4 years. The balance of dividends of £290,000 was reflected as a liability of this company at the 2021 year end and has subsequently been paid.