Bowyer Engineering Limited - Period Ending 2019-03-31

Registration number: 00408828

Bowyer Engineering Limited

Unaudited Filleted Accounts

for the Year Ended 31 March 2019

BRC accountants
Aldwych House
Winchester Street
Andover
SP10 2EA

 

Bowyer Engineering Limited

Contents

Balance Sheet	1 to 2
Notes to the Unaudited Financial Statements	3 to 8

Bowyer Engineering Limited

(Registration number: 00408828)
Balance Sheet as at 31 March 2019

	Note	2019 £	2018 £
Fixed assets
Intangible assets	4	-	26,909
Tangible assets	5	1,085,394	627,505
		1,085,394	654,414
Current assets
Stocks	6	2,018,421	400,769
Debtors	7	1,760,538	739,370
Cash at bank and in hand		20,089	11
		3,799,048	1,140,150
Creditors: Amounts falling due within one year	8	(2,818,955)	(857,006)
Net current assets		980,093	283,144
Total assets less current liabilities		2,065,487	937,558
Creditors: Amounts falling due after more than one year	8	(12,145)	(51,539)
Provisions for liabilities		(150,000)	(39,000)
Net assets		1,903,342	847,019
Capital and reserves
Called up share capital	9	100,000	100,000
Other reserves		195,719	199,713
Profit and loss account		1,607,623	547,306
Total equity		1,903,342	847,019

For the financial year ending 31 March 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

The notes on pages 3 to 8 form an integral part of these financial statements.

Page 1

Bowyer Engineering Limited

(Registration number: 00408828)
Balance Sheet as at 31 March 2019

Approved and authorised by the Board on 18 December 2019 and signed on its behalf by:
 

......................................... J W P Bowyer Director

The notes on pages 3 to 8 form an integral part of these financial statements.

Page 2

Bowyer Engineering Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 March 2019

1	General information

The company is a private company limited by share capital, incorporated in England. The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.

The address of its registered office is:
South Way
Walworth Ind Estate
Andover
Hampshire
SP10 5AF

These financial statements were authorised for issue by the Board on 18 December 2019.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Revenue recognition

The turnover shown in the profit and loss account represents amounts invoiced during the year, exclusive of Value Added Tax and adjusted for opening and closing payments in advance.

Contract revenue recognition

In respect of long-term contracts and contracts for on-going services, turnover represents the value of work done in the year, including estimates of amounts not invoiced. Turnover in respect of long-term contracts and contracts for on-going services is recognised by reference to the stage of completion. Provisions are made for any forseeable losses where appropriate.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Tax

Deferred taxation is provided on the liability method to take account of timing differences between the treatment of certain items for accounts purposes and their treatment for tax purposes. Tax deferred or accelerated is accounted for in respect of all material timing differences.

Page 3

Bowyer Engineering Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 March 2019

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Plant and machinery	20% reducing balance
Motor vehicles	25% reducing balance
Long leasehold	over unexpired term of lease expiring 2068
Computer equipment	25% on cost
Office equipment and fixtures	20% reducing balance

Goodwill

Goodwill is capitalised and amortised over its useful life.

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class	Amortisation method and rate
Goodwill	Written off over 10 years

Stocks

Stocks have been valued at the lower of cost and estimated selling price less costs to sell. In respect of work in progress and finished goods, cost includes a relevant proportion of overheads according to the stage of manufacture/completion.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Rentals payable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Property, plant and equipment acquired under finance leases or hire purchase contracts are capitalised and depreciated in the same manner as other tangible fixed assets. The related obligations, net of future finance charges, are included in creditors.

Page 4

Bowyer Engineering Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 March 2019

Defined contribution pension obligation

The company operates a defined contribution scheme for the benefit of its employees. Contributions are recognised in profit and loss account when due.

Financial instruments

Basic financial instruments are recognised at amortised cost, except for investments in non-convertible preference and non-puttable ordinary shares which are measured at fair value, with changes recognised in profit or loss. Derivative financial instruments are initially recorded at cost and thereafter at fair value with changes recognised in profit or loss.

 

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 33 (2018 - 32).

4	Intangible assets

	Goodwill  £	Total £
Cost or valuation
At 1 April 2018	67,275	67,275
At 31 March 2019	67,275	67,275
Amortisation
At 1 April 2018	40,366	40,366
Amortisation charge	26,909	26,909
At 31 March 2019	67,275	67,275
Carrying amount
At 31 March 2019	-	-
At 31 March 2018	26,909	26,909

Page 5

Bowyer Engineering Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 March 2019

5	Tangible assets

	Land and buildings £	Furniture, fittings and equipment  £	Motor vehicles  £	Other property, plant and equipment £	Total £
Cost or valuation
At 1 April 2018	475,000	243,503	27,083	1,378,954	2,124,540
Additions	302,625	17,440	16,768	191,420	528,253
Disposals	-	-	(13,037)	(69,575)	(82,612)
At 31 March 2019	777,625	260,943	30,814	1,500,799	2,570,181
Depreciation
At 1 April 2018	73,052	227,538	23,973	1,172,472	1,497,035
Charge for the year	4,750	7,871	1,725	45,311	59,657
Eliminated on disposal	-	-	(12,330)	(59,575)	(71,905)
At 31 March 2019	77,802	235,409	13,368	1,158,208	1,484,787
Carrying amount
At 31 March 2019	699,823	25,534	17,446	342,591	1,085,394
At 31 March 2018	401,948	15,965	3,110	206,482	627,505

Included within the net book value of land and buildings above is £699,823 (2018 - £401,948) in respect of long leasehold land and buildings.
 

Page 6

Bowyer Engineering Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 March 2019

6

Stocks

	2019 £	2018 £
Work in progress	1,049,404	48,621
Other inventories	969,017	352,148
	2,018,421	400,769

7

Debtors

	2019 £	2018 £
Trade debtors	964,426	333,263
Prepayments	82,332	52,928
Other debtors	713,780	353,179
	1,760,538	739,370

8

Creditors

Creditors: amounts falling due within one year

	Note	2019 £	2018 £
Due within one year
Loans and borrowings	11	329,961	303,100
Trade creditors		1,167,912	346,121
Taxation and social security		292,644	112,263
Accruals and deferred income		1,021,480	95,522
Other creditors		6,958	-
		2,818,955	857,006

Creditors: amounts falling due after more than one year

	Note	2019 £	2018 £
Due after one year
Loans and borrowings	11	-	36,358
Deferred income		12,145	15,181
		12,145	51,539

Page 7

Bowyer Engineering Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 March 2019

9	Share capital

Allotted, called up and fully paid shares

	2019		2018
	No.	£	No.	£
Ordinary shares of £1 each	100,000	100,000	100,000	100,000

10	Profit and loss account

	2019 £	2018 £
Distributable reserves	1,607,623	547,306
Non-distributable reserves	195,719	199,713
	1,803,342	747,019

11	Loans and borrowings

Bank Borrowings
Bank loans and overdrafts on which security has been given by the company have a carrying amount of £285,621 (2018 - £223,946).

Other borrowings

The carrying amount of Finance lease and hire purchase contracts at year end is £36,510 (2018 - £77,682). These are secured by certain plant and machinery.

12	Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £872,849 (2018 - £897,836).

Page 8