Webbs Caravans Ltd - Limited company accounts 18.2

REGISTERED NUMBER: 08772577 (England and Wales)

Report of the Directors and

Financial Statements for the Year Ended 30 April 2019

for

Webbs Caravans Ltd

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditor

4

Income Statement

6

Balance Sheet

7

Notes to the Financial Statements

8

DIRECTORS:

Mr D R Webb

Mrs C A Webb

Mr M Webb

REGISTERED OFFICE:

132A Bournemouth Road

Chandlers Ford

Eastleigh

Hampshire

BUSINESS ADDRESS:

Castlegate Business Park

Old Sarum

Salisbury

Wiltshire

SP4 6QX

REGISTERED NUMBER:

08772577 (England and Wales)

SENIOR STATUTORY AUDITOR:

Michael Alan Northover TD FCA

AUDITOR:

Michael Alan Northover TD FCA

Senior Statutory Auditor

132A Bournemouth Road

Chandlers Ford

Eastleigh

Hampshire

SO53 3AL

The directors present their report with the financial statements of the company for the year ended 30 April 2019.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the sale and servicing of caravans.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 May 2018 to the date of this

report.

Mr D R Webb

Mrs C A Webb

Mr M Webb

Other changes in directors holding office are as follows:

Mr A Cahill - resigned 31 August 2018

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in

accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law

the directors have elected to prepare the financial statements in accordance with United Kingdom Generally

Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including

Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of

Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied

that they give a true and fair view of the state of affairs of the company and of the profit or loss of the

company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain

the company's transactions and disclose with reasonable accuracy at any time the financial position of the

company and enable them to ensure that the financial statements comply with the Companies Act 2006. They

are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for

the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the

Companies Act 2006) of which the company's auditor is unaware, and each director has taken all the steps

that he or she ought to have taken as a director in order to make himself or herself aware of any relevant

audit information and to establish that the company's auditor is aware of that information.

AUDITOR

The auditor, Michael Alan Northover TD FCA, will be proposed for re-appointment at the forthcoming Annual

General Meeting.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006

relating to small companies.

ON BEHALF OF THE BOARD:

Mr D R Webb - Director

29 January 2020

Opinion

I have audited the financial statements of Webbs Caravans Ltd (the 'company') for the year ended

30 April 2019 which comprise the Income Statement, Balance Sheet and Notes to the Financial Statements,

including a summary of significant accounting policies. The financial reporting framework that has been

applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial

Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'

(United Kingdom Generally Accepted Accounting Practice).

In my opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 April 2019 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

I conducted my audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable

law. My responsibilities under those standards are further described in the Auditor responsibilities for the audit

of the financial statements section of my report. I am independent of the company in accordance with the

ethical requirements that are relevant to my audit of the financial statements in the UK, including the FRC's

Ethical Standard, and I have fulfilled my other ethical responsibilities in accordance with these requirements.

I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

Conclusions relating to going concern

I have nothing to report in respect of the following matters in relation to which the ISAs (UK) require me to

report to you where:

-	the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

-

the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The directors are responsible for the other information. The other information comprises the information in the

Report of the Directors, but does not include the financial statements and my Report of the Auditor thereon.

My opinion on the financial statements does not cover the other information and, except to the extent

otherwise explicitly stated in my report, I do not express any form of assurance conclusion thereon.

In connection with my audit of the financial statements, my responsibility is to read the other information and,

in doing so, consider whether the other information is materially inconsistent with the financial statements or

my knowledge obtained in the audit or otherwise appears to be materially misstated. If I identify such material

inconsistencies or apparent material misstatements, I am required to determine whether there is a material

misstatement in the financial statements or a material misstatement of the other information. If, based on the

work I have performed, I conclude that there is a material misstatement of this other information, I am

required to report that fact. I have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In my opinion, based on the work undertaken in the course of the audit:

-	the information given in the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors has been prepared in accordance with applicable legal requirements.

Matters on which I am required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of

the audit, I have not identified material misstatements in the Report of the Directors.

I have nothing to report in respect of the following matters where the Companies Act 2006 requires me to

report to you if, in my opinion:

-	adequate accounting records have not been kept, or returns adequate for my audit have not been received from branches not visited by me; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	I have not received all the information and explanations I require for my audit; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page two, the directors are

responsible for the preparation of the financial statements and for being satisfied that they give a true and fair

view, and for such internal control as the directors determine necessary to enable the preparation of financial

statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to

continue as a going concern, disclosing, as applicable, matters related to going concern and using the going

concern basis of accounting unless the directors either intend to liquidate the company or to cease

operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

My objectives are to obtain reasonable assurance about whether the financial statements as a whole are free

from material misstatement, whether due to fraud or error, and to issue a Report of the Auditor that includes

my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit

conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate,

they could reasonably be expected to influence the economic decisions of users taken on the basis of these

financial statements.

A further description of my responsibilities for the audit of the financial statements is located on the Financial

Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of my

Report of the Auditor.

Use of my report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of

the Companies Act 2006. My audit work has been undertaken so that I might state to the company's

members those matters I am required to state to them in a Report of the Auditor and for no other purpose. To

the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the company

and the company's members as a body, for my audit work, for this report, or for the opinions I have formed.

Michael Alan Northover TD FCA

Senior Statutory Auditor

132A Bournemouth Road

Chandlers Ford

Eastleigh

Hampshire

SO53 3AL

29 January 2020

TURNOVER

5,883,811

6,243,092

Cost of sales

4,994,209

5,482,448

GROSS PROFIT

889,602

760,644

Administrative expenses

889,802

785,471

(200

)

(24,827

)

Other operating income

24,134

29,020

OPERATING PROFIT

4

23,934

4,193

Interest payable and similar expenses

11,792

5,133

PROFIT/(LOSS) BEFORE TAXATION

12,142

(940

)

Tax on profit/(loss)

3,467

(1,558

)

PROFIT FOR THE FINANCIAL YEAR

8,675

618

FIXED ASSETS

Intangible assets

5

-

6,000

Tangible assets

6

179,159

131,436

179,159

137,436

CURRENT ASSETS

Stocks

7

1,059,366

1,508,318

Debtors

8

204,673

199,201

Cash at bank

71,929

118,252

1,335,968

1,825,771

CREDITORS

Amounts falling due within one year

9

1,151,522

1,629,838

NET CURRENT ASSETS

184,446

195,933

TOTAL ASSETS LESS CURRENT LIABILITIES

363,605

333,369

CREDITORS

Amounts falling due after more than one year

10

(15,934

)

-

PROVISIONS FOR LIABILITIES

12

(36,556

)

(30,929

)

NET ASSETS

311,115

302,440

CAPITAL AND RESERVES

Called up share capital

13

100

100

Retained earnings

14

311,015

302,340

SHAREHOLDERS' FUNDS

311,115

302,440

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

The financial statements were approved by the Board of Directors on 29 January 2020 and were signed on its behalf by:

Mr D R Webb - Director

1.	STATUTORY INFORMATION

Webbs Caravans 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.

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.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,

rebates, value added tax and other sales taxes.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2014, is being amortised evenly over its estimated useful life of five years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured

at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life.

Improvements to property

-

10% on cost

Plant and machinery

-

15% on cost

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on cost

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for

obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement,

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 balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at

the balance sheet 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

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the

period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the

company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

2019

2018

£

£

Wages and salaries

463,355

423,987

Social security costs

47,313

42,519

Other pension costs

5,716

2,596

516,384

469,102

The average number of employees during the year was as follows:

2019

2018

Management

2

3

Administration

1

1

Sales

4

5

Servicing

8

9

Parts

2

2

17

20

4.	OPERATING PROFIT

The operating profit is stated after charging:

2019

2018

£

£

Other operating leases

69,208

76,499

Depreciation - owned assets

33,999

19,120

Goodwill amortisation

6,000

6,000

Auditors' remuneration

3,130

3,375

5.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 May 2018

and 30 April 2019

30,000

AMORTISATION

At 1 May 2018

24,000

Amortisation for year

6,000

At 30 April 2019

30,000

NET BOOK VALUE

At 30 April 2019

-

At 30 April 2018

6,000

6.	TANGIBLE FIXED ASSETS

Improvements

to

Plant and

Motor

Computer

property

machinery

vehicles

equipment

Totals

£

£

£

£

£

COST

At 1 May 2018

118,359

30,684

29,600

9,150

187,793

Additions

6,273

5,321

73,850

3,272

88,716

Disposals

-

-

(11,600

)

-

(11,600

)

At 30 April 2019

124,632

36,005

91,850

12,422

264,909

DEPRECIATION

At 1 May 2018

20,855

17,697

10,513

7,292

56,357

Charge for year

8,025

3,103

21,486

1,385

33,999

Eliminated on disposal

-

-

(4,606

)

-

(4,606

)

At 30 April 2019

28,880

20,800

27,393

8,677

85,750

NET BOOK VALUE

At 30 April 2019

95,752

15,205

64,457

3,745

179,159

At 30 April 2018

97,504

12,987

19,087

1,858

131,436

7.

STOCKS

2019

2018

£

£

Stock

1,059,366

1,508,318

8.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade debtors

51,431

45,510

Loan to associated company

115,054

102,897

S455 Tax

1,780

1,780

Other debtors

8,714

19,697

Directors' current accounts

-

12,157

Prepayments

27,694

17,160

204,673

199,201

Included in trade debtors is £Nil (2018 - £343) due from Webb's Motor Caravans (Reading) Limited, a

company under the control of Webb's Holdings Ltd.

Included in trade debtors is £1,167 (2018 - £Nil) due from Webb's Motor Caravans Limited, a company

under the control of Webb's Holdings Ltd.

Included in loans to associated company is £115,054 made to Webb's Holdings Ltd.

9.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Hire purchase contracts

7,863

-

Payments on account

36,167

98,957

Trade creditors

410,832

987,009

Tax

5,140

34,467

Social security and other taxes

13,460

13,091

VAT

36,827

5,032

Loan from associated company

631,479

481,479

Accrued expenses

9,754

9,803

1,151,522

1,629,838

Stocking loans are secured on the stock of new and used vehicles.

Included in trade creditors is £11,902 (2018 - £1,003) due to Webb's Motor Caravans (Reading)

Limited, a company under the control of Webb's Holdings Ltd.

Included in trade creditors is £Nil (2018 - (£23,513) due to Webb's Motor Caravans Limited, a company

under the control of Webb's Holdings Ltd.

Included in trade creditors is £Nil (2018 - £6,500) due to Webb's Holdings Ltd, a company under the

control of Mr D and Mrs C Webb.

Included in other creditors is £631,479 (2018 - £481,479) due to Webb's Motor Caravans Limited.

10.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2019

2018

£

£

Hire purchase contracts

15,934

-

11.	SECURED DEBTS

The following secured debts are included within creditors:

2019

2018

£

£

Stocking loans

257,393

711,527

The stocking loans are secured on the stock of vehicles.

12.	PROVISIONS FOR LIABILITIES

2019

2018

£

£

Deferred tax

258

1,931

Warranty provisions

36,298

28,998

36,556

30,929

Deferred

tax

£

Balance at 1 May 2018

1,931

Credit to Income Statement during year

(1,673

)

Balance at 30 April 2019

258

13.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2019

2018

value:

£

£

100

Ordinary

100

100

100

14.

RESERVES

Retained

earnings

£

At 1 May 2018

302,340

Profit for the year

8,675

At 30 April 2019

311,015

15.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 30 April 2019 and

30 April 2018:

2019

2018

£

£

Mr D R Webb

Balance outstanding at start of year

6,079

2,739

Amounts advanced

-

3,340

Amounts repaid

(6,079

)

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

-

6,079

Mrs C A Webb

Balance outstanding at start of year

6,078

2,738

Amounts advanced

-

3,340

Amounts repaid

(6,078

)

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

-

6,078

16.	RELATED PARTY DISCLOSURES

During the period the company paid rent to Webb's Holdings Ltd of £65,000 (2018 - £65,000).

During the period an amount of £12,067 (2018 £Nil) was paid to Webb's Holdings Ltd, a company

under the control of Mr D & Mrs C Webb. The amount outstanding at the year end was £115,054 (2018

- £102,987).

During the year a net amount of £150,000 (2018 - £50,000 paid) was received from Webbs Motor

Caravans Limited a company under the control of Webb's Holdings Ltd. The amount outstanding at the

year end was £631,479 (2018 - £481,479).

During the period the company purchased goods and services from Webb's Motor Caravans Limited of

£79,447 (2018 - £271,087), a company under the control of Webb's Holdings Ltd.

During the period the company purchased goods and services from Webb's Motor Caravans (Reading)

Limited of £276,000 (2018 - £256,482), a company under the control of Webb's Holdings Ltd.

During the period the company sold goods and services to Webb's Motor Caravans Limited of £38,416

(2018 - £349,023).

During the period the company sold goods and services to Webb's Motor Caravans (Reading) Limited

of £209,539 (2018 - £157,674).

17.	ULTIMATE CONTROLLING PARTY

Mr D R Webb and Mrs C Webb are the ultimate controlling parties of the Company by virtue of their

joint 100% shareholding in the Company's Parent Company, Webb's Holdings Limited.