Reactive Watersports Company Limited Accounts

REACTIVE WATERSPORTS COMPANY LIMITED - Company Information






Reactive Watersports Company Limited

	Company No. 03206248
		Information for Filing with The Registrar
		30 September 2020

at	30 September 2020
Company No.		03206248	Notes	2020	2019
				£	£
Fixed assets

	Tangible assets		4	18,701	14,761


				18,701	14,761
Current assets
	Stocks		5	107,263	117,552
	Debtors		6	2,566	4,339

	Cash at bank and in hand			178,136	801
				287,965	122,692
Creditors: Amount falling due within one year			7	(121,755)	(94,413)
Net current assets				166,210	28,279
Total assets less current liabilities				184,911	43,040
Creditors: Amounts falling due after more than one year			8	(47,283)	-
Provisions for liabilities
	Deferred taxation		9	(3,553)	(2,804)

Net assets				134,075	40,236

Capital and reserves
	Called up share capital			100	100



	Profit and loss account		10	133,975	40,136

Total equity				134,075	40,236



These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies regime of the Companies Act 2006.

For the year ended 30 September 2020 the company was entitled to exemption from audit 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 Companies Act 2006 with respect to accounting records and the preparation of accounts.



As permitted by section 444 (5A)of the Companies Act 2006 the directors have not delivered to the Registrar a copy of the company's profit and loss account.

Approved by the board on 14 December 2020
And signed on its behalf by:
A.E.J. Ewer
Director
14 December 2020

for the year ended 30 September 2020

General information

Its registered number is: 03206248

Its registered office is:

Plymouth Marine Centre

Billacombe Road

Devon

PL9 7HP

The functional and presentational currency of the company is Sterling. The accounts are rounded to the nearest pound.

The accounts have been prepared in accordance with FRS 102 Section 1A - The Financial Reporting Standard applicable in the UK and Republic of Ireland (March 2018) and the Companies Act 2006. The March 2018 edition of FRS 102 includes amendments arising from the Financial Reporting Council's triennial review of the standard. There is no material effect on the amounts recognised in these financial statements as a result of early adopting these amendments.

Accounting policies

Turnover

Turnover is measured at the fair value of the consideration received or receivable. Turnover is reduced for estimated customer returns, rebates and other similar allowances.

Revenue from the sale of goods is recognised when all the following conditions are satisfied:
• the Company has transferred to the buyer the significant risks and rewards of ownership of the
goods;
• the Company retains neither continuing managerial involvement to the degree usually associated
with ownership nor effective control over the goods sold;
• the amount of revenue can be measured reliably;
• it is probable that the economic benefits associated with the transaction will flow to the Company;
and
• the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Specifically, revenue from the sale of goods is recognised when goods are delivered and legal title is passed.

Tangible fixed assets and depreciation

Tangible fixed assets held for the company's own use are stated at cost less accumulated depreciation and accumulated impairment losses.

At each balance sheet date, the company reviews the carrying amount of its tangible fixed assets to determine whether there is any indication that any items have suffered an impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss.

Depreciation is provided at the following annual rates in order to write off the cost or valuation less the estimated residual value of each asset over its estimated useful life:

Plant and machinery

15% Reducing balance

Motor vehicles

25% Reducing balance

Furniture, fittings and equipment

15% Reducing balance

Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the profit and loss account because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The Company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all deductible timing differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.

Current or deferred tax for the year is recognised in profit or loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Costs, which comprise direct production costs, are based on the method most appropriate to the type of inventory class, but usually on a first-in-first-out basis. Overheads are charged to profit or loss as incurred. Net realisable value is based on the estimated selling price less any estimated completion or selling costs.

When stocks are sold, the carrying amount of those stocks is recognised as an expense in the period in which the related revenue is recognised. The amount of any write-down of stocks to net realisable value and all losses of stocks are recognised as an expense in the period in which the write-down or loss occurs. The amount of any reversal of any write-down of stocks is recognised as a reduction in the amount of inventories recognised as an expense in the period in which the reversal occurs.

Work in progress is reflected in the accounts on a contract by contract basis by recording revenue and related costs as contract activity progresses.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts.

Trade and other creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Provisions

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.

Provisions are charged as an expense to the profit and loss account in the year that the Company becomes aware of the obligation, and are measured at the best estimate at balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.

When payments are eventually made, they are charged to the provision carried in the balance sheet.

3	Employees
			2020	2019
			Number	Number
		The average number of persons employed during the year :	8	8

4	Tangible fixed assets
			Plant and machinery	Motor vehicles	Fixtures, fittings and equipment	Total
			£	£	£	£
		Cost or revaluation
		At 1 October 2019	21,426	15,098	8,238	44,762
		Additions	-	5,700	1,309	7,009



		At 30 September 2020	21,426	20,798	9,547	51,771
		Depreciation
		At 1 October 2019	16,590	5,473	7,938	30,001
		Charge for the year	725	2,299	45	3,069



		At 30 September 2020	17,315	7,772	7,983	33,070
		Net book values
		At 30 September 2020	4,111	13,026	1,564	18,701
		At 30 September 2019	4,836	9,625	300	14,761

5	Stocks
			2020	2019
			£	£


		Finished goods	107,263	117,552
			107,263	117,552

6	Debtors
			2020	2019
			£	£







		Prepayments and accrued income	2,566	4,339
			2,566	4,339

7	Creditors:
		amounts falling due within one year
			2020	2019
			£	£

		Bank loans and overdrafts	2,717	3,218


		Trade creditors	3,688	15,673

		Corporation tax	22,670	7,035
		Other taxes and social security	44,989	26,530
		Loans from directors	6,014	8,389
		Other creditors	41,677	33,568

			121,755	94,413

8	Creditors:
		amounts falling due after more than one year
			2020	2019
			£	£

		Bank loans and overdrafts	47,283	-






			47,283	-

9	Provisions for liabilities
		Deferred taxation

			Accelerated Capital Allowances, Losses and Other Timing Differences	Total
			£	£
		At 1 October 2019	2,804	2,804
		Charge to the profit and loss account for the period	749	749

		At 30 September 2020	3,553	3,553



			2020	2019
			£	£
		Accelerated capital allowances	3,553	2,804



			3,553	2,804

Reserves

Profit and loss account - includes all current and prior period retained profits and losses.

11	Dividends
			2020	2019
			£	£
		Dividends for the period:
		Dividends paid in the period	6,000	4,000

			6,000	4,000

		Dividends by type:

		Equity dividends	6,000	4,000
			6,000	4,000

12	Related party disclosures
				2020	2019
		Transactions with related parties		£	£

























































		Name of related party	A.E.J. Ewer
		Description of relationship between the parties	Director
		Description of transaction and general amounts involved	Directors loan account
		Amount due from/(to) the related party		(3,007)	(4,195)
		Provision for doubtful debts due from the related party		-	-
		Amounts written off in the period in respect of debts from/(to) the related party		-	-

		Name of related party	D.A. Ewer
		Description of relationship between the parties	Director
		Description of transaction and general amounts involved	Directors loan account
		Amount due from/(to) the related party		(3,007)	(4,195)
		Provision for doubtful debts due from the related party		-	-
		Amounts written off in the period in respect of debts from/(to) the related party		-	-