Midland Communications Company Limited - Period Ending 2014-06-30

Registration number: 01273257

Midland Communications Company Limited

Unaudited Abbreviated Accounts

for the Year Ended 30 June 2014
 

Midland Communications Company Limited
Contents

Abbreviated Balance Sheet 1 to 2

Notes to the Abbreviated Accounts 3 to 5

Midland Communications Company Limited
(Registration number: 01273257)
Abbreviated Balance Sheet at 30 June 2014

		Note			2014 £			2013 £
Fixed assets
Tangible fixed assets					98,990			129,543
Current assets
Stocks					141,200			139,358
Debtors		3			1,577,034			1,249,561
Cash at bank and in hand					198,727			178,016
					1,916,961			1,566,935
Creditors: Amounts falling due within one year					(1,374,229)			(1,056,383)
Net current assets					542,732			510,552
Total assets less current liabilities					641,722			640,095
Creditors: Amounts falling due after more than one year					(21,820)			(57,452)
Net assets					619,902			582,643
Capital and reserves
Called up share capital		4			6,555			6,555
Share premium account					34,455			34,455
Other reserves					4,900			4,900
Profit and loss account					573,992			536,733
Shareholders' funds					619,902			582,643

For the year ending 30 June 2014 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime .

Approved by the Board on 30 March 2015 and signed on its behalf by:

.........................................
S Mico
Director

The notes on pages 3 to 5 form an integral part of these financial statements.
Page 1

Midland Communications Company Limited
(Registration number: 01273257)
Abbreviated Balance Sheet at 30 June 2014
......... continued

.........................................
D J Webster
Director

The notes on pages 3 to 5 form an integral part of these financial statements.
Page 2

Midland Communications Company Limited
Notes to the Abbreviated Accounts for the Year Ended 30 June 2014
......... continued

1	Accounting policies

Basis of preparation

The full financial statements, from which these abbreviated accounts have been extracted, have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (Effective April 2008).

The accounts do not include a cash flow statement because the company, as a small reporting entity, is exempt from the requirements to prepare such a statement.

Turnover

Turnover represents amounts chargeable, net of value added tax, in respect of the sale of goods and services to customers.

Depreciation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class	Depreciation method and rate
Equipment on hire	33.33% straight line
Fixtures and fittings	20% or 33.33% straight line
Motor vehicles	25% straight line

Work in progress

Work in progress is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

Deferred tax

Deferred tax is recognised, without discounting, in respect of all timing differences between the treatment of certain items for taxation and accounting purposes, which have arisen but not reversed by the balance sheet date, except as required by the FRSSE. Deferred tax is measured at the rates that are expected to apply in the periods when the timing differences are expected to reverse, based on the tax rates and law enacted at the balance sheet date.

Hire purchase and leasing

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

Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, are capitalised in the balance sheet as tangible fixed assets and are depreciated over the shorter of the lease term and their useful lives. The capital elements of future obligations under the leases are included as liabilities in the balance sheet. The interest element of the rental obligation is charged to the profit and loss account over the period of the lease and represents a constant proportion of the balance of capital repayments outstanding. Assets held under hire purchase agreements are capitalised as tangible fixed assets and are depreciated over the shorter of the lease term and their useful lives. The capital element of future finance payments is included within creditors. Finance charges are allocated to accounting periods over the length of the contract and represent a constant proportion of the balance of capital repayments outstanding.

Page 3

Midland Communications Company Limited
Notes to the Abbreviated Accounts for the Year Ended 30 June 2014
......... continued

Assets held for use in operating leases are included as a separate category in fixed assets at cost and depreciated over their useful life. Rental income from operating leases is recognised on a straight line basis over the term of the lease.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability in the balance sheet. The corresponding dividends relating to the liability component are charged as interest expense in the profit and loss account.

Pensions

The company operates a defined contribution pension scheme. Contributions are recognised in the profit and loss account in the period in which they become payable in accordance with the rules of the scheme.

2	Fixed assets

		Tangible assets £			Total £
Cost
At 1 July 2013		302,835			302,835
Additions		33,431			33,431
Disposals		(10,999)			(10,999)
At 30 June 2014		325,267			325,267
Depreciation
At 1 July 2013		173,292			173,292
Charge for the year		63,984			63,984
Eliminated on disposals		(10,999)			(10,999)
At 30 June 2014		226,277			226,277
Net book value
At 30 June 2014		98,990			98,990
At 30 June 2013		129,543			129,543

3

Debtors

Debtors includes £825,621 (2013 - £852,818) receivable after more than one year.

 

Page 4

Midland Communications Company Limited
Notes to the Abbreviated Accounts for the Year Ended 30 June 2014
......... continued

4	Share capital

Allotted, called up and fully paid shares

	2014						2013
		No.			£			No.			£
Ordinary shares of £1 each		6,555			6,555			6,555			6,555

5

Control

The company is controlled by DWSM Limited , the ultimate and immediate holding company registered in England.

Page 5