REGISTERED NUMBER: SC462631 (Scotland)

Unaudited Financial Statements

for the Year Ended 31 December 2024

for

Sprang Terras Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

Mr E Terras

Mr A Sprang

REGISTERED OFFICE:

64 Kyle Street

Ayr

Ayrshire

KA7 1RZ

REGISTERED NUMBER:

SC462631 (Scotland)

ACCOUNTANTS:

Gillespie & Anderson

Chartered Accountants

Westburn Business Centre

McNee Road

Prestwick

KA9 2PB

FIXED ASSETS

Tangible assets

4

6,918

11,571

CURRENT ASSETS

Debtors

5

150,035

114,340

Cash at bank

8,427

13,080

158,462

127,420

CREDITORS

Amounts falling due within one year

6

157,914

120,796

NET CURRENT ASSETS

548

6,624

TOTAL ASSETS LESS CURRENT LIABILITIES

7,466

18,195

CREDITORS

Amounts falling due after more than one year

7

(4,928

)

(14,929

)

PROVISIONS FOR LIABILITIES

(1,297

)

(2,256

)

NET ASSETS

1,241

1,010

CAPITAL AND RESERVES

Called up share capital

10

200

200

Retained earnings

1,041

810

SHAREHOLDERS' FUNDS

1,241

1,010

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 Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 23 September 2025 and were signed on its behalf by:

Mr A Sprang - Director

Mr E Terras - Director

1.	STATUTORY INFORMATION

Sprang Terras Limited is a private company, limited by shares , registered in Scotland. 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 the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Going concern

The current and future cash position of the company has been reviewed by the directors. This includes a comprehensive review of current trading performance and of the forecasted cash requirements, covering a period beyond one year from the date of approval of the financial statements.

On this basis, the directors consider it appropriate to prepare the financial statements on a going concern basis.

Significant judgements and estimates

The directors have made judgements, estimates and assumptions that affect the amounts reported within the financial statements during the year. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. The estimates, assumptions and judgements made by the directors that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the financial statements are addressed and detail is provided in the associated notes.

Fees earned/revenue recognition

Fees comprise the fair value of the consideration received or receivable for the sale of goods and rendering of services in the ordinary course of the company's activities. Fees are presented, net of value-added tax, rebates and discounts.

The company recognises revenue when the amount of revenue and related cost can be reliably measured, it is probable that the collectability of the related receivables is reasonably assured and when the specific criteria for each of the company's activities are met.

Amounts due under contract for services

The directors have made certain assumptions and judgements about the future in relation to services provided to clients during the year which have not been billed but are recognised on the balance sheet as at 31 December 2024. However, in order to determine the value of these services, judgement is made by the directors in order to value the amount due from clients in line with the fair value of the work performed. This includes any contingent elements to services provided and is also dependent on factors outside the control of the company.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Equipment, fixtures and fittings

-

15% on reducing balance

Computer equipment

-

25% on cost

Tangible fixed assets are stated at cost less depreciation.

Impairment of fixed assets

At each reporting date, the company reviews the carrying amounts of its tangible fixed 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 amount of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs

Financial instruments

Financial assets and liabilities are recognised when the company becomes a party to the contractual provisions of the instrument and are classified in accordance with their underlying economic reality. The company has two main categories of financial instruments, which are loans and other receivables and other financial liabilities:

Loans and other receivables

Loans and other receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Upon recognition, these assets are measured at fair value less directly related transaction expenses. In successive periods these are measured at amortised cost, and any differences between acquisition cost and redemption value is accounted for over the borrowing period by using the effective interest method. If transaction costs are immaterial and the credit period is short, amortised cost is equal to the nominal value less any allowance for credit losses.

Other financial liabilities

Other financial liabilities are recognised initially at fair value, net of transaction costs incurred. In successive periods these are measured at amortised cost. Any differences between acquisition cost and redemption value is accounted for over the borrowing period by using the effective interest method. If transaction costs are immaterial and the credit period is short, amortised cost is equal to the nominal value.

Impairment of financial instruments

A provision for impairment is established when there is objective evidence that, as a result of one or more events that occurred after the initial recognition, the estimated future cash flows have been impacted.

Cash and cash equivalents

Cash and cash equivalents comprise cash held by the company and short term bank deposits with an original maturity of three months or less from inception and are subject to insignificant risk of changes in value.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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.

Hire purchase and leasing commitments

Where assets are financed by leasing agreements that give rights approximating to ownership (finance leases), the assets are treated as if they had been purchased outright. The amount capitalised is the present value of the minimum lease payments payable over the term of the lease. The corresponding leasing commitments are shown as amounts payable to the lessor. Depreciation on the relevant assets is charged to the profit and loss account over the shorter of estimated useful economic life and the period of the lease.

Lease payments are analysed between capital and interest components so that the interest element of the payment is charged to the profit and loss account over the period of the lease and is calculated so that it represents a constant proportion of the balance of capital repayments outstanding. The capital part reduces the amounts payable to the lessor.

All other leases are treated as operating leases. Their annual rentals are charged to the profit and loss account on a straight line basis over the terms of the lease.

Pension costs and other post-retirement benefits

The company operates a money purchase pension scheme in the form of employee personal pension plans. The contracts are between the individual and the pension provider and all funds are held externally by a third party pension provider. Pension contributions are charged to the profit and loss account in the period to which they relate.

Employment benefits

The total cost of employee benefits to which employees have become entitled as a result of service rendered to the entity during the reporting period are recognised and charged to the profit and loss account in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 10 (2023 - 9 ) .

4.	TANGIBLE FIXED ASSETS

Equipment,

fixtures

and

Computer

fittings

equipment

Totals

£

£

£

COST

At 1 January 2024

and 31 December 2024

9,225

34,944

44,169

DEPRECIATION

At 1 January 2024

5,125

27,473

32,598

Charge for year

671

3,982

4,653

At 31 December 2024

5,796

31,455

37,251

NET BOOK VALUE

At 31 December 2024

3,429

3,489

6,918

At 31 December 2023

4,100

7,471

11,571

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade debtors

51,079

42,252

Due under contract for service

72,207

37,440

Other debtors

26,749

34,648

150,035

114,340

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Bank loans and overdrafts

10,905

10,905

Taxation and social security

56,226

29,130

Other creditors

90,783

80,761

157,914

120,796

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2024

2023

£

£

Bank loans

4,928

14,929

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2024

2023

£

£

Within one year

28,071

28,071

Between one and five years

33,857

30,642

In more than five years

6,375

59,946

68,303

118,659

The company has three ongoing operating leases in relation to office equipment and rent of office.

9.	SECURED DEBTS

The following secured debts are included within creditors:

2024

2023

£

£

Bank loans

15,833

25,834

Bank borrowings are secured by way of a bond and floating charge over the assets of the company and under the Government backed guarantee scheme in respect of the bank loan.

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2024

2023

value:

£

£

100

Ordinary "A"

1

100

100

100

Ordinary "B"

1

100

100

200

200

11.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 31 December 2024 and 31 December 2023:

2024

2023

£

£

Mr A Sprang

Balance outstanding at start of year

18,715

13,054

Amounts advanced

22,760

34,361

Amounts repaid

(29,000

)

(28,700

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

12,475

18,715

The overdrawn director's loan account was repaid within 9 months of the year end.

12.	RELATED PARTY DISCLOSURES

During the year the company paid rent of £25,500 (2023: £25,500) to the wife of a director, for use of the company's premises.At the year end, the balance due to this related party was £Nil (2023: £Nil).

Director's loan account

The company operates a loan account with one of the the directors. At the year end, the balance due to the director was £30,252 (2023: £17,883). This loan is unsecured, interest free and has no fixed repayment terms.

13.	ULTIMATE CONTROLLING PARTY

The company is under the joint control of Mr E Terras and Mr A Sprang by virtue of their 100% holding in the company.