K.A. Nichols Electrical Limited - Accounts to registrar (filleted)

REGISTERED NUMBER: 06145077 (England and Wales)

Unaudited Financial Statements for the Year Ended 31st May 2024

for

K.A. NICHOLS ELECTRICAL LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTOR:

Mr K Nichols

REGISTERED OFFICE:

Knowe House

Euxton Lane

Euxton

Chorley

Lancashire

PR7 6DR

REGISTERED NUMBER:

06145077 (England and Wales)

ACCOUNTANTS:

BK Plus - Chorley

Chartered Certified Accountants

41 St Thomas's Road

Chorley

Lancashire

PR7 1JE

FIXED ASSETS

Intangible assets

4

-

Tangible assets

5

5,959

6,402

5,959

6,402

CURRENT ASSETS

Stocks

6

14,500

21,500

Debtors

7

149,507

145,324

Cash at bank

55,392

59,279

219,399

226,103

CREDITORS

Amounts falling due within one year

8

60,976

82,974

NET CURRENT ASSETS

158,423

143,129

TOTAL ASSETS LESS CURRENT
LIABILITIES

164,382

149,531

CREDITORS

Amounts falling due after more than one
year

9

(14,166

)

(24,999

)

PROVISIONS FOR LIABILITIES

(1,300

)

(1,238

)

NET ASSETS

148,916

123,294

CAPITAL AND RESERVES

Called up share capital

11

100

Retained earnings

148,816

123,194

SHAREHOLDERS' FUNDS

148,916

123,294

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

The members have not required the company to obtain an audit of its financial statements for the year ended 31st May 2024 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his 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 director and authorised for issue on 31st October 2025 and were signed by:

Mr K Nichols - Director

1.	STATUTORY INFORMATION

K.A. Nichols Electrical 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.

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.

Revenue recognition

Revenue is measured at the fair value of the consideration received or receivable and represents amounts received for goods supplied and services rendered, stated net of discounts and of Value Added Tax.

Revenue is recognised when goods have been delivered to customers such that risks and rewards of ownership have transferred to them.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2007, has been amortised evenly over its estimated useful life of ten years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

-

20% on reducing balance

Motor vehicles

-

25% on reducing balance

Impairment of assets

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in profit or loss.

If an impairment loss subsequently reverses, the carry amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.

Stocks

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

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments’ of FRS 102 to all 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.

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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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 company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held with banks, and bank overdrafts. Bank overdrafts, when applicable, are shown within borrowings in current liabilities.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 3 (2023 - 4 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1st June 2023

and 31st May 2024

215,480

AMORTISATION

At 1st June 2023

and 31st May 2024

215,480

NET BOOK VALUE

At 31st May 2024

-

At 31st May 2023

-

5.	TANGIBLE FIXED ASSETS

Plant and

Motor

machinery

vehicles

Totals

£

COST

At 1st June 2023

580

9,995

10,575

Additions

1,448

-

1,448

Disposals

(340

)

-

(340

)

At 31st May 2024

1,688

9,995

11,683

DEPRECIATION

At 1st June 2023

580

3,593

4,173

Charge for year

290

1,601

1,891

Eliminated on disposal

(340

)

-

(340

)

At 31st May 2024

530

5,194

5,724

NET BOOK VALUE

At 31st May 2024

1,158

4,801

5,959

At 31st May 2023

-

6,402

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Motor

vehicles

£

COST

At 1st June 2023

and 31st May 2024

8,995

DEPRECIATION

At 1st June 2023

3,234

Charge for year

1,441

At 31st May 2024

4,675

NET BOOK VALUE

At 31st May 2024

4,320

At 31st May 2023

5,761

6.

STOCKS

31.5.24

31.5.23

£

Stocks

7,500

9,000

Work-in-progress

7,000

12,500

14,500

21,500

7.

DEBTORS

31.5.24

31.5.23

£

Amounts falling due within one year:

Trade debtors

57,322

53,254

Other debtors

22,922

Directors' current accounts

11,318

11,409

Prepayments

1,522

1,316

93,084

88,901

Amounts falling due after more than one year:

Directors' loan accounts

56,423

Aggregate amounts

149,507

145,324

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.5.24

31.5.23

£

Bank loans and overdrafts

10,000

Hire purchase contracts

833

2,000

Trade creditors

20,760

39,468

Tax

17,477

10,563

Social security and other taxes

8,762

17,613

Other creditors

444

780

Accrued expenses

2,700

2,550

60,976

82,974

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.5.24

31.5.23

£

Bank loans - 1-2 years

14,166

10,000

Bank loans - 2-5 years

-

14,166

Hire purchase contracts

-

833

14,166

24,999

10.	SECURED DEBTS

The following secured debts are included within creditors:

31.5.24

31.5.23

£

Bank loans

24,166

34,166

Hire purchase contracts

833

2,833

24,999

36,999

Hire purchase contracts are secured on the asset to which they relate.

The bank loan relates to a Bounce Back Loan which is government backed.

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.5.24

31.5.23

value:

£

100

Ordinary

£1

100

12.	DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES

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

31.5.24

31.5.23

£

Mr K Nichols

Balance outstanding at start of year

67,832

70,227

Amounts advanced

48,468

42,428

Amounts repaid

(48,559

)

(44,823

)

Amounts written off

-

Amounts waived

-

Balance outstanding at end of year

67,741

67,832

The directors loan account at the year end was overdrawn £67,441 (2023: £67,832), £56,423 of which is due after more than one year. Interest has been charged on the loan.

13.	ULTIMATE CONTROLLING PARTY

Mr K Nichols is considered to be the controlling party by virtue of holding 100% of the share capital.