R & M Developments Limited - Period Ending 2020-01-31

R & M Developments Limited

Contents

Statement of Financial Position	1 to 2
Notes to the Unaudited Financial Statements	3 to 8

R & M Developments Limited

(Registration number: 01681638)
Statement of Financial Position as at 31 January 2020

	Note	2020 £	2019 £
Fixed assets
Tangible assets	4	3,201	4,002
Investment property	5	447,296	447,296
		450,497	451,298
Current assets
Stocks	6	212,297	54,076
Debtors	7	2,063,886	2,682,485
Cash at bank and in hand		352,671	1,393,280
		2,628,854	4,129,841
Creditors: Amounts falling due within one year	8	(2,210,170)	(3,573,648)
Net current assets		418,684	556,193
Total assets less current liabilities		869,181	1,007,491
Creditors: Amounts falling due after more than one year	8	-	(74,660)
Provisions for liabilities		(608)	(950)
Net assets		868,573	931,881
Capital and reserves
Called up share capital		100	100
Profit and loss account		868,473	931,781
Shareholders funds		868,573	931,881

R & M Developments Limited

(Registration number: 01681638)
Statement of Financial Position as at 31 January 2020

For the financial year ending 31 January 2020 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Income Statement has been taken.

Approved and authorised by the Board on 24 September 2020 and signed on its behalf by:
 

.........................................

Mr M W Henry
Director

.........................................

Mr K McNally
Director

R & M Developments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2020

1	General information

The company is a private company limited by share capital, incorporated in United Kingdom.

The address of its registered office is:
55 Clifton Street
Miles Platting
Manchester
Lancashire
M40 8HF
United Kingdom

These financial statements were authorised for issue by the Board on 24 September 2020.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Going concern

In March 2020, the World Health Organization characterized the coronavirus (“COVID-19”) as a pandemic, and the Prime Minister of the United Kingdom declared COVID-19 as the biggest threat this country has faced for decades. The rapid spread of the pandemic, and the continuously evolving responses to combat it, have had an increasingly negative impact on the global economy and our business. Due to the widespread impact of the COVID-19 pandemic and the Government’s instructions to the British people and businesses, the Company implemented measures to allow the Company’s operations to continue beginning the week of March 23, 2020,

Due to the current unprecedented market and economic conditions in the U.K. and internationally, the expected impact of the COVID-19 pandemic on the Company’s operations cannot be reasonably estimated. However, we expect our results from operations and cash flows for the remainder of financial year 2020 to be adversely impacted by the pandemic.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
It is probable that future economic benefits will flow to the entity; and
Specific criteria have been met for each of the company's activities.

R & M Developments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2020

Tax

The tax expense for the period comprises corporation tax and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current corporation tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the country where the company operates and generates taxable income.

Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Plant & Machinery	20% reducing balance
Fixtures & Fittings	20% reducing balance

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

R & M Developments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2020

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 64 (2019 - 64).

4	Tangible assets

	Fixtures and fittings £	Plant and machinery £	Total £
Cost or valuation
At 1 February 2019	31,047	57,653	88,700
At 31 January 2020	31,047	57,653	88,700
Depreciation
At 1 February 2019	29,705	54,994	84,699
Charge for the year	269	531	800
At 31 January 2020	29,974	55,525	85,499
Carrying amount
At 31 January 2020	1,073	2,128	3,201
At 31 January 2019	1,343	2,659	4,002

5	Investment property

	2020 £
At 1 February	447,296

There has been no valuation of the investment property by an independent valuer.

6

Stocks

	2020 £	2019 £
Other inventories	212,297	54,076

R & M Developments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2020

7

Debtors

	2020 £	2019 £
Trade debtors	531,394	903,291
Other debtors	1,532,492	1,779,194
	2,063,886	2,682,485

R & M Developments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2020

8

Creditors

Creditors: amounts falling due within one year

	Note	2020 £	2019 £
Due within one year
Loans and borrowings	9	155,684	25,022
Trade creditors		843,440	2,172,545
Amounts owed to group undertakings and undertakings in which the company has a participating interest		605,584	447,518
Taxation and social security		101,868	144,024
Accruals and deferred income		338,522	653,020
Other creditors		165,072	131,519
		2,210,170	3,573,648

Creditors: amounts falling due after more than one year

	Note	2020 £	2019 £
Due after one year
Loans and borrowings	9	-	74,660

9	Loans and borrowings

	2020 £	2019 £
Non-current loans and borrowings
Bank borrowings	-	74,660

The bank hold a fixed and floating charge over the assets of the company.

	2020 £	2019 £
Current loans and borrowings
Bank borrowings	-	13,980
Bank overdrafts	155,684	-
Other borrowings	-	11,042
	155,684	25,022

R & M Developments Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2020

10	Financial commitments, guarantees and contingencies

Amounts disclosed in the balance sheet

Included in the balance sheet are guarantees of £Nil (2019 - £88,640). There is an unlimited cross-company guarantee between Airport Services & Plant Hire Limited and R & M Developments Limited.

There is also an unlimited cross-company guarantee between R & M Developments Limited and Airport Services and Plant Hire Limited which at 31/1/20 was £Nil (2019 - £Nil).