McQuilkin & Co Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC494641 (Scotland)

Unaudited Financial Statements for the Year Ended 31 October 2019

for

MCQUILKIN & CO LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Chartered Accountants' Report

10

DIRECTORS:

W G C McQuilkin

W S K McQuilkin

Mrs L R McQuilkin

REGISTERED OFFICE:

6/8 Rennie Place

College Milton North

East Kilbride

G74 5HD

REGISTERED NUMBER:

SC494641 (Scotland)

ACCOUNTANTS:

McAllisters

Paxton House

11 Woodside Crescent

Charing Cross

Glasgow

G3 7UL

FIXED ASSETS

Tangible assets

4

386,910

372,004

CURRENT ASSETS

Stocks

5

190,452

162,459

Debtors

6

589,100

624,719

Cash at bank and in hand

631,620

732,079

1,411,172

1,519,257

CREDITORS

Amounts falling due within one year

7

790,337

883,540

NET CURRENT ASSETS

620,835

635,717

TOTAL ASSETS LESS CURRENT LIABILITIES

1,007,745

1,007,721

CREDITORS

Amounts falling due after more than one year

8

-

1,042

NET ASSETS

1,007,745

1,006,679

CAPITAL AND RESERVES

Called up share capital

12

110,000

110,000

Retained earnings

897,745

896,679

SHAREHOLDERS' FUNDS

1,007,745

1,006,679

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 October 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 October 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 Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors on 26 March 2020 and were signed on its behalf by:

W S K McQuilkin - Director

1.	STATUTORY INFORMATION

McQuilkin & Co 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

Significant judgements and estimates

The preparation of the financial statements in compliance with FRS 102 requires the use of certain critical

accounting estimates. It also requires management to exercise judgement in applying the company's accounting

policies. The directors are of the opinion that due to the nature of the business, there are no critical accounting

estimates or judgements used in the preparation of these financial statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, net of discount and value

added taxes. Turnover comprises revenue earned from the sale of goods In this case the goods are laboratory

supplies.

Sale of goods

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods

has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

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.

Plant and machinery

-

25% on reducing balance

Fixtures and fittings

-

20% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

33% on reducing balance

The freehold property is maintained in a good state of repair and a recent valuation showed that the market value

of the property is not materially different from the net book value. Therefore the directors feel that depreciating

the property would not give a true and fair value of the building in the accounts.

Stocks

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

moving items.

Financial instruments

Trade and other debtors/creditors

Trade and other debtors are recognised initially at transaction price less attributable transaction costs. Trade and

other creditors are recognised initially at transaction price plus attributable transaction costs. Subsequent to

initial recognition they are measured at amortised cost using the effective interest method, less any impairment

losses in the case of trade debtors. If the arrangement constitutes a financing transaction, for example if payment

is deferred beyond normal business terms, then it is measured at the present value of future payments discounted

at a market rate of interest for a similar debt instrument.

Cash and cash equivalents

Cash and cash equivalents comprise cash balances and call deposits

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for

objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised

within profit or loss.

For financial assets that are measured at amortised cost, the impairment loss is measured as the difference

between the asset's carrying amount and the present value of estimated future cash flows discounted at the assets

original effective interest rate. If a financial asset has a variable interest rate, the discount rate of measuring any

impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between

the assets carrying amount and the best estimate of the amount that the company would receive for the asset if it

were to be sold at the balance sheet date.

Taxation

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

Retained Earnings, 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.

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.

Provisions

A provision is recognised when the company has a legal or constructive obligation as a result of a past event and

it is probable that an outflow of economic benefits will be required to settle the obligation.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 14 (2018 - 12 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

property

machinery

fittings

£

£

£

COST

At 1 November 2018

327,789

5,872

514

Additions

-

32,053

-

At 31 October 2019

327,789

37,925

514

DEPRECIATION

At 1 November 2018

-

3,704

324

Charge for year

-

8,555

48

At 31 October 2019

-

12,259

372

NET BOOK VALUE

At 31 October 2019

327,789

25,666

142

At 31 October 2018

327,789

2,168

190

Motor

Computer

vehicles

equipment

Totals

£

£

£

COST

At 1 November 2018

57,264

17,885

409,324

Additions

-

3,688

35,741

At 31 October 2019

57,264

21,573

445,065

DEPRECIATION

At 1 November 2018

20,822

12,470

37,320

Charge for year

9,111

3,121

20,835

At 31 October 2019

29,933

15,591

58,155

NET BOOK VALUE

At 31 October 2019

27,331

5,982

386,910

At 31 October 2018

36,442

5,415

372,004

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

Motor

vehicles

£

COST

At 1 November 2018

and 31 October 2019

46,944

DEPRECIATION

At 1 November 2018

15,701

Charge for year

7,811

At 31 October 2019

23,512

NET BOOK VALUE

At 31 October 2019

23,432

At 31 October 2018

31,243

5.

STOCKS

31.10.19

31.10.18

£

£

Stocks

190,452

162,459

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.10.19

31.10.18

£

£

Trade debtors

531,038

529,790

North East Lab. Supplies Ltd

43,654

78,596

Lab. Specialist Services Ltd

14,408

14,408

Prepayments and accrued income

-

1,925

589,100

624,719

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.10.19

31.10.18

£

£

Hire purchase contracts (see note 9)

1,042

4,167

Trade creditors

471,724

467,103

Tax

3,901

74,800

Social security and other taxes

10,489

-

VAT

35,011

42,927

Other creditors

2,511

-

Directors' current accounts

244,493

268,589

Accrued expenses

21,166

25,954

790,337

883,540

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.10.19

31.10.18

£

£

Hire purchase contracts (see note 9)

-

1,042

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts

31.10.19

31.10.18

£

£

Net obligations repayable:

Within one year

1,042

4,167

Between one and five years

-

1,042

1,042

5,209

Non-cancellable operating

leases

31.10.19

31.10.18

£

£

Within one year

20,704

14,350

Between one and five years

15,525

6,867

36,229

21,217

10.	SECURED DEBTS

The following secured debts are included within creditors:

31.10.19

31.10.18

£

£

Hire purchase contracts

1,042

5,209

The HP creditor is secured over the asset to which it relates.

11.	FINANCIAL INSTRUMENTS

The preference shares are deemed to be an equity instrument rather than an equity liability because the issuer has

the option to redeem the instrument on the 10th anniversary of their issue.

12.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.10.19

31.10.18

value:

£

£

10,000

Ordinary

£1

10,000

10,000

100,000

Preference

£1

100,000

100,000

110,000

110,000

The company has the option to redeem the preference shares on the 10th anniversary of their issue (30/04/25) at

a redemption price of £1 per share. No premium will be paid on redemption.

The holder of the preference shares is entitled to a 10% cash dividend of the amount paid up commencing on the

30 April 2016 and future dividends being paid on 31 October and 30 April each year.

13.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31 October 2019 and

31 October 2018:

31.10.19

31.10.18

£

£

W G C McQuilkin

Balance outstanding at start of year

(201,605

)

(245,996

)

Amounts advanced

14,220

44,391

Amounts repaid

-

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

(187,385

)

(201,605

)

Mrs L R McQuilkin

Balance outstanding at start of year

(66,807

)

(76,885

)

Amounts advanced

10,020

10,078

Amounts repaid

-

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

(56,787

)

(66,807

)

W S K McQuilkin

Balance outstanding at start of year

(177

)

(58,661

)

Amounts advanced

82,355

91,484

Amounts repaid

(82,500

)

(33,000

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

(322

)

(177

)

14.	ULTIMATE CONTROLLING PARTY

Scott McQuilkin owns 75% of the ordinary share capital of the company and is therefore considered to be the

ultimate controlling party.

The following reproduces the text of the report prepared for the directors in respect of the company's annual

unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file

a Balance Sheet. Readers are cautioned that the Income Statement and certain other primary statements and the

Report of the Directors are not required to be filed with the Registrar of Companies.

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the

financial statements of McQuilkin & Co Limited for the year ended 31 October 2019 which comprise the Statement of

Income and Retained Earnings, Balance Sheet and the related notes from the company's accounting records and from

information and explanations you have given us.

As a practising member firm of ICAS, we are subject to its ethical and other professional requirements which are detailed at http://www.icas.com/accountspreparationguidance.

This report is made solely to the Board of Directors of McQuilkin & Co Limited, as a body, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of McQuilkin & Co Limited and state those matters that we have agreed to state to the Board of Directors of McQuilkin & Co Limited, as a body, in this report in accordance with the requirements of ICAS as detailed at http://www.icas.com/accountspreparationguidance. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and its Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that McQuilkin & Co Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of McQuilkin & Co Limited. You consider that McQuilkin & Co Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of McQuilkin & Co Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

McAllisters

Paxton House

11 Woodside Crescent

Charing Cross

Glasgow

G3 7UL

26 March 2020