| Kamkorp Autokraft Limited |
| Notes to the Accounts |
| for the year ended 31 December 2017 |
|
| 1 |
Accounting policies |
|
|
Basis of preparation |
|
The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard). |
|
|
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 sale of goods and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. 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. |
|
|
Going concern |
|
The company is reliant on the continued support of its parent company, Kamkorp Limited, and other group companies. |
|
|
A main source of finance for the Group continues to come from the main shareholder and director, K Siddiqi, who has pledged his continued financial support for the group, for a period of at least 12 months from the signing of the accounts. |
|
|
Management have prepared cash-flow forecasts for the period to 31 December 2020 to assess the working capital needs of the group and have assessed the dependency of the key providers of finance. The cash-flow forecasts show that the group will have sufficient working capital within the period reviewed, and will be able to meet its liabilities as they fall due. Accordingly, management feel it is appropriate to prepare the accounts on a going concern basis. |
|
|
The financial statements do not include any adjustments that would result if the company is unable to continue as a going concern. |
|
|
Trademarks |
|
Trademarks are stated at cost and amortised through the profit and loss account over the director's estimate of its useful life of 20 years. |
|
|
Debtors |
|
Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
|
|
Creditors |
|
Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
|
|
Taxation |
|
A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted. |
|
|
Provisions |
|
Provisions (i.e. liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
|
|
| 2 |
Intangible fixed assets |
£ |
|
Trademarks: |
|
|
Cost |
|
At 1 January 2017 |
500,000 |
|
At 31 December 2017 |
500,000 |
|
|
|
|
|
|
|
|
|
|
Amortisation |
|
At 1 January 2017 |
142,708 |
|
Provided during the year |
25,000 |
|
At 31 December 2017 |
167,708 |
|
|
|
|
|
|
|
|
|
|
Net book value |
|
At 31 December 2017 |
332,292 |
|
At 31 December 2016 |
357,292 |
|
|
|
|
|
|
|
|
|
|
Trademarks are being written off in equal annual instalments over its estimated economic life of 20 years. |
|
|
| 3 |
Debtors |
2017 |
|
2016 |
| £ |
£ |
|
|
Other debtors |
52 |
|
52 |
|
|
|
|
|
|
|
|
|
|
| 4 |
Creditors: amounts falling due within one year |
2017 |
|
2016 |
| £ |
£ |
|
|
Trade creditors |
4,122 |
|
9,544 |
|
Taxation and social security costs |
6,285 |
|
13,487 |
|
Other creditors |
4,500 |
|
40,500 |
|
|
|
|
|
|
14,907 |
|
63,531 |
|
|
|
|
|
|
|
|
|
|
| 5 |
Related party transactions |
|
|
The company is a wholly owned subsidiary of Kamkorp Limited and has taken advantage of the exemption conferred by section 33.1A of FRS102 not to disclose transactions with group members due to consolidated accounts being publicly available. |
|
|
During the year, the company made sales to other companies under common control amounting to £72,000 (2016 - £72,000). |
|
|
| 6 |
Controlling party |
|
|
The company's ultimate controlling party is K Siddiqi who is the director of both the company and its ultimate parent company, Kamkorp Limited. The registered office address of Kamkorp Limited is Mytchett Place, Mytchett Place Road, Mytchett, Surrey, GU16 6DQ. |
|
|
As at 31 December 2017, the largest and smallest group in which the results are consolidated is that headed by Kamkorp Limited. The consolidated accounts of the company are available to the public and may be obtained from Companies House, Crown Way, Cardiff CF14 3UZ. No other group accounts include the results of the company. |
|
|
| 7 |
Other information |
|
|
Kamkorp Autokraft Limited is a private company limited by shares and incorporated in England. Its registered office is Mytchett Place, Mytchett Place Road, Mytchett, Surrey GU16 6DQ. |
