Heathlands M & E Group Ltd

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—6

1. General Information

Heathlands M & E Group Ltd is a private company, limited by shares, incorporated in England & Wales, registered number 14840255 . The registered office is Unit 22 Finns Industrial Park, Mill Lane, Crondall, Surrey, GU10 5RX.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Turnover

Turnover comprises of Revenue recognised by the company in respect of services provided during the year exclusive of value added tax. Revenue is recognised in the month in which the service is provided. Revenue from the sale of goods is recognised when goods are delivered and legal title is passed.

2.3. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Freehold	2% Straight line
Plant and Machinery	25% Straight line
Motor Vehicles	25% Straight line
Fixtures and Fittings	25% Straight line

2.4. Leasing and Hire Purchase Contracts

Where the company enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a finance lease.

Leases which do not transfer substantially all the risks and rewards of ownership to the Company are classified as operating leases.

Assets held under finance leases are initially recognised as assets of the Company at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet date as a finance lease obligation. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately in profit or loss, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the Company's policy on borrowing costs (see the accounting policy above).

Assets held under finance leases are depreciated in the same way as owned assets.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term.

In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis.

2.5. Stocks and Work in Progress

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Costs, which comprise direct production costs, are based on the method most appropriate to the type of inventory class, but usually on a first-in-first-out basis. Overheads are charged to profit or loss as incurred. Net realisable value is based on the estimated selling price less any estimated completion or

selling costs.

When stocks are sold, the carrying amount of those stocks is recognised as an expense in the period in which the related revenue is recognised. The amount of any write-down of stocks to net realisable value and all losses of stocks are recognised as an expense in the period in which the write-down or loss occurs. The amount of any reversal of any write-down of stocks is recognised as a reduction in the amount of inventories recognised as an expense in the period in which the reversal occurs.

Work in progress is reflected in the accounts on a contract by contract basis by recording revenue and related costs as contract activity progresses.

Page 3

Page 4

Heathlands M & E Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 May 2025

2.6. Taxation

Income 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 profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and 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 end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period 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 assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current and deferred tax are recognised in profit or loss for the year, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case current and deferred tax are recognised in other comprehensive income or directly in equity respectively.

2.7. Pensions

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 payments obligations.

The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.

2.8. 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.

2.9. Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty or notice of not more than 24 hours.

2.10. Trade and other creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 8 (2024: 9)

4. Tangible Assets

	Land & Property
	Freehold	Plant and Machinery	Motor Vehicles	Fixtures and Fittings	Total
	£	£	£	£	£
Cost
As at 1 June 2024	-	2,224	-	3,426	5,650
Additions	144,995	-	167,277	525	312,797

As at 31 May 2025	144,995	2,224	167,277	3,951	318,447

...CONTINUED

Page 4

Page 5

Heathlands M & E Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 May 2025

Depreciation
As at 1 June 2024	-	324	-	450	774
Provided during the period	2,900	556	24,394	985	28,835

As at 31 May 2025	2,900	880	24,394	1,435	29,609

Net Book Value
As at 31 May 2025	142,095	1,344	142,883	2,516	288,838

As at 1 June 2024	-	1,900	-	2,976	4,876

5. Stocks

	31 May 2025	31 May 2024
	£	£
Materials	2,800	2,500

6. Debtors

	31 May 2025	31 May 2024
	£	£
Due within one year
Trade debtors	69,782	80,591
Prepayments and accrued income	4,678	2,931
Other debtors	47,518	80,201

	121,978	163,723

7. Creditors: Amounts Falling Due Within One Year

	31 May 2025	31 May 2024
	£	£
Trade creditors	27,060	33,591
Bank loans and overdrafts	2,712	-
Other loans	19,021	-
Corporation tax	31,813	59,960
Other taxes and social security	54	3,565
VAT	23,757	1,045
Net wages	758	-
Other creditors	10,648	7,039
Accruals and deferred income	1,845	1,695
Director's loan account	17,546	32,499

	135,214	139,394

8. Creditors: Amounts Falling Due After More Than One Year

	31 May 2025	31 May 2024
	£	£
Bank loans	100,442	-
Other loans	113,696	-

	214,138	-

Of the creditors falling due after more than one year the following amounts are due after more than five years.

Page 5

Page 6

Heathlands M & E Group Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 May 2025

	31 May 2025		31 May 2024
	£		£
Bank loans	82,848		-

9. Share Capital

	31 May 2025	31 May 2024
Allotted, called up and fully paid	£	£
1 Ordinary Shares of £ 1.00 each	1	1

10. Pension Commitments

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. Contributions of £994 (2024: £996) were payable at the balance sheet date.

11. Reserves

Profit and loss account - includes all current and prior period retained profits and losses.

12. Related Party Transactions

At the Balance Sheet date the company owed £17,546 (2024: £32,499) to the director.

Page 6

		31 May 2025		31 May 2024
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	4		288,838		4,876

			288,838		4,876
CURRENT ASSETS
Stocks	5	2,800		2,500
Debtors	6	121,978		163,723
Cash at bank and in hand		118,067		115,720

		242,845		281,943
Creditors: Amounts Falling Due Within One Year	7	(135,214 )		(139,394 )

NET CURRENT ASSETS (LIABILITIES)			107,631		142,549

TOTAL ASSETS LESS CURRENT LIABILITIES			396,469		147,425

Creditors: Amounts Falling Due After More Than One Year	8		(214,138 )		-

PROVISIONS FOR LIABILITIES
Deferred Taxation			(27,881 )		(927 )

NET ASSETS			154,450		146,498

CAPITAL AND RESERVES
Called up share capital	9		1		1
Profit and Loss Account			154,449		146,497

SHAREHOLDERS' FUNDS			154,450		146,498