Machine Tool Engineers (E.K.) Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC048839 (Scotland)

Unaudited Financial Statements for the Year Ended 30 September 2019

for

Machine Tool Engineers (E.K.) Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

Mrs A Alexander

C S Muir

Mrs V H Muir

J Muir

SECRETARY:

J Muir

REGISTERED OFFICE:

South Avenue

Blantyre Industrial Estate

BLANTYRE

G72 0XB

REGISTERED NUMBER:

SC048839 (Scotland)

ACCOUNTANTS:

RAEBURN ALLISON & CO

CHARTERED ACCOUNTANTS

13/15 STRATHMORE HOUSE

TOWN CENTRE

EAST KILBRIDE

GLASGOW

G74 1LF

FIXED ASSETS

Tangible assets

4

657,018

650,837

CURRENT ASSETS

Stocks

90,527

190,403

Debtors

5

282,835

167,042

Investments

6

109,546

109,546

Cash at bank

780

105,956

483,688

572,947

CREDITORS

Amounts falling due within one year

7

310,116

221,186

NET CURRENT ASSETS

173,572

351,761

TOTAL ASSETS LESS CURRENT LIABILITIES

830,590

1,002,598

CREDITORS

Amounts falling due after more than one year

8

(45,711

)

(28,588

)

PROVISIONS FOR LIABILITIES

10

(43,183

)

(37,304

)

NET ASSETS

741,696

936,706

CAPITAL AND RESERVES

Called up share capital

11

32,000

32,000

Capital redemption reserve

12

8,000

8,000

Retained earnings

12

701,696

896,706

SHAREHOLDERS' FUNDS

741,696

936,706

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 September 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 September 2019 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 8 June 2020 and were signed on its behalf by:

J Muir - Director

1.	STATUTORY INFORMATION

Machine Tool Engineers (E.K.) Limited is a private company, limited by shares , registered in Scotland. 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 represents invoiced sales, excluding value added tax, after adjusting for work in progress movement.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost

Plant and machinery

-

15% on reducing balance

Motor vehicles

-

25% on reducing balance

Stocks

Stocks have been valued at the lower of cost or net realisable value. Work in progress has been valued at cost

plus attributable overheads.

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

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held

under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases

are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element

of the future payments is treated as a liability.

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

The average number of employees during the year was 24 (2018 - 21 ) .

4.	TANGIBLE FIXED ASSETS

Freehold

Plant and

Motor

property

machinery

vehicles

Totals

£

£

£

£

COST

At 1 October 2018

687,287

1,105,104

96,070

1,888,461

Additions

-

19,511

69,355

88,866

Disposals

-

(55,869

)

-

(55,869

)

At 30 September 2019

687,287

1,068,746

165,425

1,921,458

DEPRECIATION

At 1 October 2018

326,294

868,974

42,356

1,237,624

Charge for year

13,752

37,086

23,440

74,278

Eliminated on disposal

-

(47,462

)

-

(47,462

)

At 30 September 2019

340,046

858,598

65,796

1,264,440

NET BOOK VALUE

At 30 September 2019

347,241

210,148

99,629

657,018

At 30 September 2018

360,993

236,130

53,714

650,837

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

Motor

machinery

vehicles

Totals

£

£

£

COST

At 1 October 2018

65,516

96,070

161,586

Additions

-

69,355

69,355

Transfer to ownership

-

(52,495

)

(52,495

)

At 30 September 2019

65,516

112,930

178,446

DEPRECIATION

At 1 October 2018

9,865

42,356

52,221

Charge for year

8,353

16,140

24,493

Transfer to ownership

-

(23,296

)

(23,296

)

At 30 September 2019

18,218

35,200

53,418

NET BOOK VALUE

At 30 September 2019

47,298

77,730

125,028

At 30 September 2018

55,651

53,714

109,365

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.9.19

30.9.18

£

£

Trade debtors

287,986

167,233

Bad Debt Provision

(11,133

)

(5,484

)

Prepayments and accrued income

5,982

5,293

282,835

167,042

6.	CURRENT ASSET INVESTMENTS

The company has invested funds in Halifax corporate bond funds.

The directors value this investment at the balance sheet date at £170000.

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.9.19

30.9.18

£

£

Bank loans and overdrafts

81,467

-

Hire purchase contracts (see note 9)

51,470

35,438

Trade creditors

41,292

93,225

Social security and other taxes

8,742

9,103

VAT

52,993

21,172

Other creditors

-

4,832

Directors' current accounts

5,485

9,919

Accrued expenses

68,667

47,497

310,116

221,186

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

30.9.19

30.9.18

£

£

Hire purchase contracts (see note 9)

45,711

28,588

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts

30.9.19

30.9.18

£

£

Net obligations repayable:

Within one year

51,470

35,438

Between one and five years

45,711

28,588

97,181

64,026

Non-cancellable operating

leases

30.9.19

30.9.18

£

£

Within one year

4,275

6,291

Between one and five years

2,252

2,772

6,527

9,063

10.	PROVISIONS FOR LIABILITIES

30.9.19

30.9.18

£

£

Deferred tax

43,183

37,304

Deferred

tax

£

Balance at 1 October 2018

37,304

Provided during year

5,879

Balance at 30 September 2019

43,183

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

30.9.19

30.9.18

value:

£

£

32,000

Ordinary

£1

32,000

32,000

12.

RESERVES

Capital

Retained

redemption

earnings

reserve

Totals

£

£

£

At 1 October 2018

896,706

8,000

904,706

Deficit for the year

(83,010

)

(83,010

)

Dividends

(112,000

)

(112,000

)

At 30 September 2019

701,696

8,000

709,696

13.	RELATED PARTY DISCLOSURES

During the year, total dividends of £112,000 (2018 - £144,000) were paid to the directors .

14.	ULTIMATE CONTROLLING PARTY

Throughout the year the company was under the control of its directors.