1.
General Information
Midland Management Services Limited
is a private company, limited by shares, incorporated in England & Wales, registered number
05471064
. The registered office is 26 Oak Business Centre, Ratcliffe Road Sileby, Loughborough, Leicestershire, LE12 7PU.
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 "The Financial Reporting Standard applicable in the UK and Republic of Ireland'' and the Companies Act 2006.
The presentation currency of the financial statements is Pound sterling (£).
2.2.
Going Concern Disclosure
At the time of approving the financial statements the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements.
2.3.
Turnover
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the rendering of services.
Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.
2.4.
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:
| Plant & Machinery |
|
| Motor Vehicles |
|
| Fixtures & Fittings |
|
| Computer Equipment |
|
2.5.
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.
Current or deferred taxation assets or liabilities are not discounted.
Midland Management Services Limited
Notes to the Financial Statements (continued)
For The Year Ended 30 June 2025
2.6.
CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY
In the application of the company’s accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be 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 in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Significant judgements
The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows:
Determining whether there is any indication of impairment to the tangible assets held by the company. Factors considered when reviewing the assets include the economic viability and expected future financial performance of the asset both on a standalone basis and as part of the whole company.
Estimation of the stage of completion of contracts determines the income recognised in the year.
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Tangible Fixed Assets
Tangible fixed assets are depreciated over their estimated useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.
Recoverability of debtors
The recoverability of debtors outstanding at the year end is assessed by the director in light of relevant information available after the year end which provides further evidence of the status of their recoverability as at the year end.
3.
Turnover
Analysis of turnover by geographical market is as follows:
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| United Kingdom |
|
|
|
| 12,554,144 | 12,430,418 | ||
The turnover and profit before taxation are attributable to the one principal activity of the company.
4.
Operating Profit
The operating profit is stated after charging:
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Operating lease rentals |
|
|
|
| Depreciation of tangible fixed assets |
|
|
|
Midland Management Services Limited
Notes to the Financial Statements (continued)
For The Year Ended 30 June 2025
5.
Auditor's Remuneration
Remuneration received by the company's auditors and their associates during the year was as follows:
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Audit Services | |||
| Audit of the company's financial statements |
|
|
|
6.
Staff Costs
Staff costs, including directors' remuneration, were as follows:
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Wages and salaries |
|
|
|
| Social security costs |
|
|
|
| Other pension costs |
|
|
|
|
|
|
||
7.
Average Number of Employees
Average number of employees, including directors, during the year was as follows:
| 2025 | 2024 | ||
|---|---|---|---|
| Administration |
|
|
|
| Management |
|
|
|
| Supervisors |
|
|
|
| Operatives |
|
|
|
| Director |
|
|
|
|
|
|
||
8.
Director's remuneration
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Emoluments |
|
|
|
| Company contributions to money purchase pension schemes |
|
|
|
|
|
|
||
9.
Interest Payable and Similar Charges
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Other Charges | - |
|
|
Midland Management Services Limited
Notes to the Financial Statements (continued)
For The Year Ended 30 June 2025
10.
Tax on Profit
|
The tax charge on the profit for the year was as follows:
|
|||||
| Tax Rate | 2025 | 2024 as restated |
|||
|---|---|---|---|---|---|
| 2025 | 2024 | £ | £ | ||
| Current tax | |||||
| UK Corporation Tax | 25.0% | 25.0% |
|
|
|
| Prior period adjustment |
( |
|
|||
|
|
|
||||
| Deferred Tax | |||||
| Deferred taxation |
( |
|
|||
| Total tax charge for the period |
|
|
|||
|
The actual charge for the year can be reconciled to the expected charge for the year based on the profit and the standard rate of corporation tax as follows:
|
|||||
| 2025 | 2024 | ||||
| £ | £ | ||||
| Profit before tax | 792,106 | 272,828 | |||
| Tax on profit at 25% (UK standard rate) |
|
|
|||
| Expenses not deductible for tax purposes |
|
|
|||
| Prior period adjustment |
( |
|
|||
| Deferred tax relating to changes in tax rates or laws |
|
|
|||
| Total tax charge for the period | 269,333 | 96,908 | |||
11.
Tangible Assets
| Plant & Machinery | Motor Vehicles | Fixtures & Fittings | Computer Equipment | Total | |
|---|---|---|---|---|---|
| £ | £ | £ | £ | £ | |
| Cost | |||||
| As at 1 July 2024 |
|
|
|
|
|
| Additions |
|
|
|
|
|
| Disposals |
|
( |
|
|
( |
| As at 30 June 2025 |
|
|
|
|
|
| Depreciation | |||||
| As at 1 July 2024 |
|
|
|
|
|
| Provided during the period |
|
|
|
|
|
| Disposals |
|
( |
|
|
( |
| As at 30 June 2025 |
|
|
|
|
|
| Net Book Value | |||||
| As at 30 June 2025 |
|
|
|
|
|
| As at 1 July 2024 |
|
|
|
|
|
Midland Management Services Limited
Notes to the Financial Statements (continued)
For The Year Ended 30 June 2025
12.
Debtors
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Due within one year | |||
| Trade debtors |
|
|
|
| Amounts recoverable on contracts |
|
|
|
| Prepayments and accrued income |
|
|
|
| Other debtors |
|
|
|
| VAT |
|
|
|
| Amounts owed by companies under common control |
|
|
|
|
|
|
||
Reclassification of comparative
Further to a review by the director of the terms of loan agreements, £3,394,035 of Amounts owed by companies under common control which were included in Debtors at 30 June 2024, have been reclassified from falling due after more than one year to falling due within one year, as this more correctly reflects the terms of the loan agreements. In the opinion of the director, this presents a fairer picture of the company’s financial position to readers of the financial statements. There is no effect on net assets at 30 June 2024. Whilst repayment of the loans could be demanded within one year it is not anticipated that the company will do so.
13.
Creditors: Amounts Falling Due Within One Year
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Trade creditors |
|
|
|
| Other creditors | 141,706 | 91,321 | |
| Corporation tax |
|
|
|
| Taxation and social security | 108,059 | 87,653 | |
| Accruals and deferred income | 127,784 | 164,069 | |
|
|
|
||
14.
Deferred Taxation
The provision for deferred tax is made up as follows:
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| Other timing differences | 128,699 | 136,540 | |
15.
Provisions for Liabilities
| Deferred Tax | Total | |
|---|---|---|
| £ | £ | |
| As at 1 July 2024 |
|
136,540 |
| Deferred taxation |
( |
( |
| Balance at 30 June 2025 |
|
128,699 |
Midland Management Services Limited
Notes to the Financial Statements (continued)
For The Year Ended 30 June 2025
17.
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.
During the year the charge to the profit and loss account in respect of defined contribution schemes was £114,181 (2024: £97,077).
At the balance sheet date contributions of £NIL(2024:£NIL) were due to the fund and are included in creditors.
18.
Directors Advances, Credits and Guarantees
|
Included within creditors are the following loans to directors:
|
||
|
A Pitchford
|
2025
|
2024
|
|
£
|
£
|
|
|
Balance outstanding at start of year
|
(827)
|
96,883
|
|
Amounts advanced
|
196,070
|
198,514
|
|
Amounts repaid
|
(248,610)
|
(296,224)
|
|
Balance outstanding at year end
|
(53,367)
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</svg>){kind=small}
|
(827)
|
The above loan is unsecured, interest free and repayable on demand.
Dividends paid to directors
| 2025 | 2024 | |
|---|---|---|
| £ | £ | |
| Mr Andrew Pitchford | 100,000 | 113,500 |
19.
Dividends
| 2025 | 2024 as restated |
||
|---|---|---|---|
| £ | £ | ||
| On equity shares: | |||
| Interim dividend paid |
|
|
|
20.
Reserves
|
Retained Earnings
|
|
|
£
|
|
|
At 1st July 2024
|
8,255,980
|
|
Profit for year
|
552,768
|
|
Dividends
|
(200,000)
|
|
As at 30th June 2025
|
8,578,748
|
Midland Management Services Limited
Notes to the Financial Statements (continued)
For The Year Ended 30 June 2025
21.
Related Party Disclosures
|
2025
|
2024
|
||
|
£
|
£
|
||
|
Amounts advanced to companies under common control during the year
|
1,058,100
|
538,062
|
|
|
Amounts repaid by companies under common control during the year
|
24,500
|
32,011
|
|
|
Amount due from companies under common control
|
5,898,933
|
4,865,332
|
|
|
Interest received on loans
|
240,003
|
204,351
|
The related party loans are interest only and the capital is repayable at the end of the various terms under the various contracts, or earlier. The loans relate to amounts due from companies under common control and interest is charged at 4.5% per annum.
22.
Controlling Parties
The company is controlled by the director and his wife.