The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

CMW Property and Machinery Limited is a private company limited by shares incorporated in England and Wales. The registered office is Cheshire House, Unit 7 Normans Road, Sutton, St. Helens, Merseyside, United Kingdom, WA9 4JQ.

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 £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The prior period financial statements were consolidated with the previous sole subsidiary, Cheshire Mouldings & Woodturnings Limited. This subsidiary was disposed of during the current financial period, and as a result consolidated accounts are not required as at 31 December 2024. As a result of this, the prior period financial information disclosed in these financial statements is not directly comparable to the prior period financial statements.

Atruet 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. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover represents rental income receivable, excluding value added tax.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, 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:

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.

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.

Investment property is carried at fair value plus incremental additions, determined by the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in nature, location or condition of the specific asset. No depreciation is provided.

Changes in fair value are recognised in the profit and loss account. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the balance sheet date. Fair values are determined from market-based evidence normally undertaken by professionally qualified valuers.

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally 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.

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

The average monthly number of persons (including directors) employed by the company during the year was:

Following the group restructure, properties rented to companies not within the group have been reclassified as and transferred to investment property.

Investment properties are valued by the directors and are reviewed at each year end date on an open market value for existing use basis.

Fixed asset investments are reviewed by the directors at each year end date and are held at market value.

The previous subsidiary Cheshire Mouldings & Woodturnings Limited was disposed of during the current financial period.

Secured loans

Bank loans of £93,298 (2023: £753,852) are secured in favour of HSBC Bank plc by a first-ranking debenture over all assets, an unlimited cross company guarantee, and a legal mortgage over the Company's freehold land and property.

Secured loans

Bank loans of £nil (2023: £3,202,244) are secured in favour of HSBC Bank plc by a first-ranking debenture over all assets, an unlimited cross company guarantee, and a legal mortgage over the Company's freehold land and property.

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Profit and loss reserves represent accumulated profits less equity dividends paid.

During the current year there have been non-cash distributions to Square Brick Investments Limited, the parent company, amounting to £3,664,817. The company had sufficient distributable reserves available for this. Following the group restructure in the year,the investment held in the previous subsidiary Cheshire Mouldings & Woodturnings Limited has been cleared by way of a dividend in specie.

Other reserves of £1,522,326 relate to capital contributions from Cheshire Mouldings & Woodturnings Limited, a previous subsidiary. This was an intercompany loan that was written off and a transfer of fixed assets.

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

The company owns investment properties for rental purposes. A number of these properties have committed tenants for the next 5 years.

At the reporting end date the company had contracted with tenants for the following minimum lease payments:

The Company rents property to Cheshire Mouldings & Woodturnings Limited, a company under common control. The amount charged in the year totalled £2,197,721 (2023: £2,304,720). At the period end £nil was owed to Cheshire Mouldings & Woodturnings Limited (2023: £765,410), included within other creditors.

At the period end Carney Properties IOM Limited, a company under common control, owed the Company £nil (2023: £338,256), included within other debtors. Square Brick Investments Limited, a company under common control, owed the Company £5,501 (2023: £3,048,863), also included within other debtors.

Other creditors falling due after more than one year represent amounts due to directors. At the year end amounts due to directors totalled £3,378,677 (2023: £99,739).

£nil (2023: £110,177) was owed by a director at the year end date and included within other debtors.