COLLEGE_SEWING_MACHINE_PA - Accounts

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 30 June 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

College Sewing Machine Parts Holdings Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit A, Waterfold Business Park, Rochdale Road, Bury, BL9 7BR.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group.

Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The average monthly number of persons (including directors) employed by the company during the year was 4 (2018 - 4).

On 15 March 2016 the company issued 720,000 redeemable £1 preference shares.

100,000 (2018 - 100,000) of the preference shares are disclosed within creditors amounts falling due within one year and the balance of the redeemable preference shares, being 575,000 as at 30 June 2019 (2018 - 605,000), are disclosed within creditors amounts falling due after more than one year.

The redeemable preference shares are redeemable by Mr R Atherton, director, and his wife Mrs C L Atherton up to a maximum of £50,000 each in any one year at the holder's request. Any other redemptions are at the discretion of the company.

During the year 30,000 preference shares were redeemed.

In the event of a winding up or the sale of the company's shares, the redeemable preference shares would become fully repayable.

The redeemable preference shares carry a coupon rate of 4% per annum.

The redeemable preference shares carry no voting rights.

Advances or credits have been granted by the company to its directors as follows:

The maximum overdrawn amounts in the year were as follows:

Mr J O Atherton        £10,024

Mr M Atherton        £8,849

Mr R Atherton        £10,677

Mr R Atherton        £7,050