REGISTERED NUMBER: 08118818 (England and Wales)

INNOVATION WORKS (LINCS.) LTD

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Page

Company Information

1

Statement of Financial Position

2

to

3

Notes to the Financial Statements

4

to

8

DIRECTORS:

E A Timmins

D H Starling

REGISTERED OFFICE:

Innovation Works

Caenby Hall Business Park

Caenby Corner

Market Rasen

Lincolnshire

LN8 2BU

REGISTERED NUMBER:

08118818 (England and Wales)

ACCOUNTANTS:

Duncan & Toplis Limited

Oxley House

Lincoln Way

Louth

Lincolnshire

LN11 0LS

FIXED ASSETS

Tangible assets

4

1,771,495

1,560,047

Investments

5

4,788,335

4,185,000

6,559,830

5,745,047

CURRENT ASSETS

Debtors

6

108,249

77,066

Cash at bank

50,949

41,046

159,198

118,112

CREDITORS

Amounts falling due within one year

7

567,835

167,548

NET CURRENT LIABILITIES

(408,637

)

(49,436

)

TOTAL ASSETS LESS CURRENT LIABILITIES

6,151,193

5,695,611

CREDITORS

Amounts falling due after more than one year

8

(641,222

)

(639,737

)

PROVISIONS FOR LIABILITIES

(215,795

)

(179,861

)

NET ASSETS

5,294,176

4,876,013

CAPITAL AND RESERVES

Called up share capital

10

600,210

600,210

Merger reserve

11

3,584,900

3,584,900

Retained earnings

11

1,109,066

690,903

SHAREHOLDERS' FUNDS

5,294,176

4,876,013

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2025.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2025 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 Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 28 May 2026 and were signed on its behalf by:

E A Timmins - Director

D H Starling - Director

1.	STATUTORY INFORMATION

Innovation Works (Lincs.) Ltd 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.

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 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 as modified by the revaluation of certain assets.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

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.

Land and buildings

-

2% on cost and no depreciation charged

Plant and machinery etc

-

25% on reducing balance and 15% on reducing balance

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at the revalued amounts made by the directors.

Financial instruments

The company has chosen to adopt the FRS102 1A in respect of financial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitute a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the income statement.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 3 (2024 - 3 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST

At 1 January 2025

938,553

1,356,740

98,146

184,389

2,577,828

Additions

172,633

93,840

-

118,014

384,487

Disposals

-

(49,100

)

-

-

(49,100

)

At 31 December 2025

1,111,186

1,401,480

98,146

302,403

2,913,215

DEPRECIATION

At 1 January 2025

43,128

853,923

55,509

65,221

1,017,781

Charge for year

13,429

81,221

10,660

40,892

146,202

Eliminated on disposal

-

(22,263

)

-

-

(22,263

)

At 31 December 2025

56,557

912,881

66,169

106,113

1,141,720

NET BOOK VALUE

At 31 December 2025

1,054,629

488,599

31,977

196,290

1,771,495

At 31 December 2024

895,425

502,817

42,637

119,168

1,560,047

The net book value of tangible fixed assets includes £ 139,723 (2024 - £ 146,373 ) in respect of assets held under hire purchase contracts.

5.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST OR VALUATION

At 1 January 2025

4,185,000

Additions

603,335

At 31 December 2025

4,788,335

NET BOOK VALUE

At 31 December 2025

4,788,335

At 31 December 2024

4,185,000

Cost or valuation at 31 December 2025 is represented by:

Shares in

group

undertakings

£

Valuation in 2022

4,184,900

Cost

603,435

4,788,335

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade debtors

88,246

76,466

Other debtors

20,003

600

108,249

77,066

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Bank loans and overdrafts

26,442

24,327

Hire purchase contracts

38,130

41,120

Trade creditors

131,461

54,392

Taxation and social security

11,147

46,425

Other creditors

360,655

1,284

567,835

167,548

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2025

2024

£

£

Bank loans

578,091

605,328

Hire purchase contracts

63,131

34,409

641,222

639,737

2025

2024

£

£

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

468,891

507,560

9.	SECURED DEBTS

The following secured debts are included within creditors:

2025

2024

£

£

Bank loans

604,533

629,655

Hire purchase contracts

101,261

75,529

705,794

705,184

The HP Liabilities are secured on the relevant assets concerned. The loans are secured on the land and workshop at Innovation Works, Caenby Hall Business Park, Caenby Corner, Market Rasen.

Included within other creditors: amounts falling due after more than one year is an amount of £468,891 (2024: £507,559) in respect of liabilities payable or repayable by instalments which fall due for payment after more than five years from the reporting date.

10.	CALLED UP SHARE CAPITAL

The share capital comprises of 420 allotted, called up and fully paid ordinary shares of 50p each and 6,000 allotted, called up and fully paid preference shares of £100 each. (2024: 420 allotted, called up and fully paid ordinary shares of 50p each and 6,000 allotted, called up and fully paid preference shares of £100 each).

11.

RESERVES

Retained

Merger

earnings

reserve

Totals

£

£

£

At 1 January 2025

690,903

3,584,900

4,275,803

Profit for the year

537,916

537,916

Dividends

(119,753

)

(119,753

)

At 31 December 2025

1,109,066

3,584,900

4,693,966

12.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31 December 2025 and 31 December 2024:

2025

2024

£

£

E A Timmins

Balance outstanding at start of year

(66

)

890

Amounts advanced

58,134

68,686

Amounts repaid

(57,152

)

(69,642

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

916

(66

)

D H Starling

Balance outstanding at start of year

-

-

Amounts advanced

62,601

48,321

Amounts repaid

(62,601

)

(48,321

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

-

-

The directors loan accounts are unsecured and repayable on demand. Interest has been charged at the Inland Revenues official rate of interest. The balances have been repaid since the year end.

13.	RELATED PARTY DISCLOSURES

There are the following related party transactions with Timmins Engineering and construction Limited, a company in which the directors have an interest:

Property and plant rent receivable of £410,582 (2024: £383,869)

Expenses paid of £109,106 (2024: £Nil)

Trade debtors of £77,215 (2024: £63,922)

Trade creditors of £125,149 (2024: £50,000)

There are the following related party transactions with County Industrial Doors Ltd, a company in which the directors have an interest:

Rents and costs receivable £20,570 (2024: £NIL)

Trade debtors of £5,953 (2024: £NIL)

An inter-company loan in other creditors of £229,938 (2024: £NIL)