Cove (Southwest) Ltd - Period Ending 2019-10-31

Cove (Southwest) Ltd

Contents

Balance Sheet	1 to 2
Notes to the Financial Statements	3 to 7

Cove (Southwest) Ltd

Balance Sheet

31 October 2019

	Note	2019 £	2018 £
Fixed assets
Tangible assets	4	28,631	32,317
Current assets
Stocks	5	40,000	20,000
Debtors	6	318,833	406,709
Cash at bank and in hand		15,618	11,289
		374,451	437,998
Creditors: Amounts falling due within one year	7	(403,291)	(446,771)
Net current liabilities		(28,840)	(8,773)
Net (liabilities)/assets		(209)	23,544
Capital and reserves
Called up share capital		2	2
Profit and loss account		(211)	23,542
Total equity		(209)	23,544

Cove (Southwest) Ltd

Balance Sheet

31 October 2019

For the financial year ending 31 October 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's 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 director acknowledges his 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 and delivered in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006 and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the director on 30 October 2020
 

......................................... L Barton Director

Company Registration Number: 08613918

Cove (Southwest) Ltd

Notes to the Financial Statements

Year Ended 31 October 2019

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Towngate House
2-8 Parkstone Road
Poole
Dorset
BH15 2PW

The principal place of business is:
Unit 3
565 Blandford Road
Poole
Dorset
BH16 5BW

These financial statements were authorised for issue by the director on 30 October 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

The financial statements have been prepared on a going concern basis.

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 value added tax, returns, rebates and discounts and after eliminating sales within the company.

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.

Cove (Southwest) Ltd

Notes to the Financial Statements

Year Ended 31 October 2019

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 countries where the company operates and generates taxable income.

Tangible assets

Tangible assets are stated in the balance sheet 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 and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Motor vehicles	25% reducing balance
Plant and machinery	25% reducing balance

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 stocks 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.

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.

Cove (Southwest) Ltd

Notes to the Financial Statements

Year Ended 31 October 2019

Financial instruments

Classification
The company holds the following financial instruments:

• Short term trade and other debtors and creditors;
• Bank loans; and
• Cash and bank balances.

All financial instruments are classified as basic.

 Recognition and measurement
The company has chosen to apply the recognition and measurement principles in FRS102.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument and derecognised when in the case of assets, the contractual rights to cash flows from the assets expire or substantially all the risks and rewards of ownership are transferred to another party, or in the case of liabilities, when the company’s obligations are discharged, expire or are cancelled.

Except for bank loans, such instruments are initially measured at transaction price, including transaction costs, and are subsequently carried at the undiscounted amount of the cash or other consideration expected to be paid or received, after taking account of impairment adjustments.

Bank loans are initially measured at transaction price, including transaction costs, and are subsequently carried at amortised cost using the effective interest method.


 

3	Staff numbers

The average number of persons employed by the company (including the director) during the year, was 8 (2018 - 8).

Cove (Southwest) Ltd

Notes to the Financial Statements

Year Ended 31 October 2019

4	Tangible assets

	Furniture, fittings and equipment  £	Motor vehicles  £	Other property, plant and equipment  £	Total £
Cost or valuation
At 1 November 2018	-	48,113	7,759	55,872
Additions	1,598	4,260	-	5,858
At 31 October 2019	1,598	52,373	7,759	61,730
Depreciation
At 1 November 2018	-	18,761	4,794	23,555
Charge for the year	400	8,403	741	9,544
At 31 October 2019	400	27,164	5,535	33,099
Carrying amount
At 31 October 2019	1,198	25,209	2,224	28,631
At 31 October 2018	-	29,352	2,965	32,317

5

Stocks

	2019 £	2018 £
Other inventories	40,000	20,000

6

Debtors

	Note	2019 £	2018 £
Trade debtors		280,505	330,564
Amounts due from group undertakings	9	8,410	-
Other debtors		13,248	73,535
Prepayments		16,670	2,610
		318,833	406,709

Cove (Southwest) Ltd

Notes to the Financial Statements

Year Ended 31 October 2019

7

Creditors

Creditors: amounts falling due within one year

	Note	2019 £	2018  £
Due within one year
Loans and borrowings	8	-	212
Trade creditors		212,493	213,770
Corporation tax		7,501	13,506
Social security and other taxes		2,931	2,870
Outstanding defined contribution pension costs		591	374
Other creditors		2,346	14,023
Accrued expenses		4,030	4,575
Other creditors		173,399	197,441
		403,291	446,771

8	Loans and borrowings

	2019 £	2018 £
Current loans and borrowings
Bank overdrafts	-	212

9	Related party transactions

Advances to directors

2019	At 1 November 2018 £	Advances to director £	Repayments by director £	At 31 October 2019 £
L Barton
Directors loan accounts	64,221	76,710	(131,863)	9,068