Company No:
Contents
| Note | 2025 | 2024 | ||
| £ | £ | |||
| Fixed assets | ||||
| Investment property | 3 |
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| 450,000 | 450,000 | |||
| Current assets | ||||
| Debtors | 4 |
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| Cash at bank and in hand |
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| 28,341 | 14,397 | |||
| Creditors: amounts falling due within one year | 5 | (
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| Net current liabilities | (194,918) | (216,512) | ||
| Total assets less current liabilities | 255,082 | 233,488 | ||
| Provision for liabilities | 6 | (
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| Net assets |
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| Capital and reserves | ||||
| Called-up share capital | 7 |
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| Profit and loss account |
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| Total shareholders' funds |
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Directors' responsibilities:
The financial statements of K&M (South West) Limited (registered number:
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Mr D J Ralls
Director |
The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.
K&M (South West) Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Ground Floor Blackbrook Gate 1, Blackbrook Business Park, Taunton, TA1 2PX, United Kingdom.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.
The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.
Not withstanding the net current liabilities position of £194,918 at the balance sheet date (2024: net current liabilities of £216,512), and in light of the current economic situation, impacted by rising energy costs, inflation and general cost of living increases, the directors have given consideration to the impact of these issues on the operations and financial position of the company, as well as upon customers and suppliers. The directors are satisfied that, having considered no less than 12 months from the date of approval of the financial statements, the issues identified do not present a significant risk to the going concern basis of the company and, therefore, the going concern basis of preparation remains appropriate.
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.
Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on tax rates and laws substantively enacted at the balance sheet date. Deferred tax assets and liabilities are not discounted.
Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.
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.
Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets receivable within one year, such as trade debtors and bank balances, are measured at transaction price less any impairment.
Basic financial assets receivable within more than one year are measured at amortised cost less any impairment.
Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Basic financial liabilities
Basic financial liabilities that have no stated interest rate and are payable within one year, such as trade creditors, are measured at transaction price.
Other basic financial liabilities are measured at amortised cost.
Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
| 2025 | 2024 | ||
| Number | Number | ||
| Monthly average number of persons employed by the Company during the year, including directors |
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| Investment property | |
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| Valuation | |
| As at 01 September 2024 |
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| As at 31 August 2025 |
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Included within the above is £450,000 (2024: £450,000) in respect of freehold land and buildings.
The investment property has been valued by the directors on an open market basis. There has been no valuation carried out by an independent valuer.
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| £ | £ | ||
| Amounts owed by directors |
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| Other debtors |
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| £ | £ | ||
| Trade creditors |
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| Accruals |
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| Taxation and social security |
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| Other creditors |
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| £ | £ | ||
| At the beginning of financial year | (
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| Charged to the Statement of Income and Retained Earnings |
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| At the end of financial year | (
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| 2025 | 2024 | ||
| £ | £ | ||
| Allotted, called-up and fully-paid | |||
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Transactions with the entity's directors
| 2025 | 2024 | ||
| £ | £ | ||
| The Director | 20,674 | 2,250 |
During the year, advances totalling £23,424 were made to the director, of which £5,000 was repaid during the year. At the balance sheet date a total of £20,674 was due to the company. Interest on the overdrawn balance has been charged at the HMRC official rate.
Other related party transactions
Included within other creditors is an amount of £203,898 (2024: £213,898) owed to Landmark Southern Limited, a company related by way of its directors, Mr D J Ralls, Mr A J Ralls and Mrs M Ralls.
Included within other creditors is an amount of £7,180 (2024: £7,180) owed to Homewood (South West) Limited, a company related by way of its directors, Mr D J Ralls and Mr A J Ralls.
The total reserves shown on the balance sheet as at 31 August 2025 includes £208,542 of non-distributable reserves attributable to the revaluation on the investment property (2024: £208,542).