John Paton & Son Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC095417 (Scotland)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2020

FOR

JOHN PATON & SON LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

W J Paton

W J Paton

Miss J Paton

SECRETARY:

Mrs G McKendrick

REGISTERED OFFICE:

84 Lister Street

Glasgow

G4 0BY

REGISTERED NUMBER:

SC095417 (Scotland)

AUDITORS:

Bannerman Johnstone Maclay

Chartered Accountants

and Statutory Auditor

213 St Vincent Street

Glasgow

G2 5QY

BANKERS:

HSBC plc

2 Buchanan Street

Glasgow

G1 3LB

FIXED ASSETS

Intangible assets

4

-

-

Tangible assets

5

1,345,334

1,325,038

1,345,334

1,325,038

CURRENT ASSETS

Stocks

104,573

456,585

Debtors

6

5,501,690

5,726,604

Cash at bank

59,601

25,387

5,665,864

6,208,576

CREDITORS

Amounts falling due within one year

7

4,054,161

4,280,864

NET CURRENT ASSETS

1,611,703

1,927,712

TOTAL ASSETS LESS CURRENT LIABILITIES

2,957,037

3,252,750

CREDITORS

Amounts falling due after more than one year

8

(649,056

)

(672,072

)

PROVISIONS FOR LIABILITIES

(30,748

)

(24,200

)

NET ASSETS

2,277,233

2,556,478

CAPITAL AND RESERVES

Called up share capital

200,000

200,000

Revaluation reserve

10

497,054

510,771

Retained earnings

1,580,179

1,845,707

SHAREHOLDERS' FUNDS

2,277,233

2,556,478

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 and authorised for issue on 26 March 2021 and were signed on its behalf by:

W J Paton - Director

1.	STATUTORY INFORMATION

John Paton & Son 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 as modified by the revaluation of certain assets.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Goodwill

Goodwill arising on the acquisition of subsidiary undertakings and businesses, representing any excess of the fair value of the consideration given over the fair value of the identifiable assets and liabilities acquired, is capitalised and written off on a straight line basis over its useful economic life. Provision is made for any impairment.

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.

Land and buildings

-

2% on cost

Plant and machinery etc

-

33% on cost, 25% on cost and 20% on cost

Stocks

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

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.

Research and development

Research expenditure is written off as incurred. Development expenditure is also written off, except where the directors are satisfied as to the technical, commercial and financial viability of individual projects. In such cases, the identifiable expenditure is deferred and amortised over the period during which the group is expected to benefit. This period is between three and five years. Provision is made for any impairment.

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 37 (2019 - 36 ) .

4.	INTANGIBLE FIXED ASSETS

Other

intangible

Goodwill

assets

Totals

£

£

£

COST

At 1 April 2019

and 31 March 2020

144,500

383,738

528,238

AMORTISATION

At 1 April 2019

and 31 March 2020

144,500

383,738

528,238

NET BOOK VALUE

At 31 March 2020

-

-

-

At 31 March 2019

-

-

-

5.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

COST OR VALUATION

At 1 April 2019

1,561,276

1,009,535

2,570,811

Additions

15,875

113,063

128,938

Disposals

-

(37,273

)

(37,273

)

At 31 March 2020

1,577,151

1,085,325

2,662,476

DEPRECIATION

At 1 April 2019

405,324

840,449

1,245,773

Charge for year

32,548

76,094

108,642

Eliminated on disposal

-

(37,273

)

(37,273

)

At 31 March 2020

437,872

879,270

1,317,142

NET BOOK VALUE

At 31 March 2020

1,139,279

206,055

1,345,334

At 31 March 2019

1,155,952

169,086

1,325,038

Cost or valuation at 31 March 2020 is represented by:

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

Valuation in 2006

617,393

-

617,393

Cost

959,758

1,085,325

2,045,083

1,577,151

1,085,325

2,662,476

If land and buildings had not been revalued they would have been included at the following historical cost:

2020

2019

£

£

Cost

959,758

943,883

Land and buildings were valued on an open market basis on 31 March 2006 by Graham and Sibbald .

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

Plant and

machinery

etc

£

COST OR VALUATION

At 1 April 2019

37,483

Additions

56,682

Transfer to ownership

(9,482

)

At 31 March 2020

84,683

DEPRECIATION

At 1 April 2019

25,458

Charge for year

25,894

Transfer to ownership

(7,376

)

At 31 March 2020

43,976

NET BOOK VALUE

At 31 March 2020

40,707

At 31 March 2019

12,025

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

484,665

793,538

Amounts owed by group undertakings

4,831,579

4,381,896

Other debtors

185,446

551,170

5,501,690

5,726,604

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Bank loans and overdrafts

3,339,298

3,463,468

Hire purchase contracts

22,392

9,133

Trade creditors

115,578

318,691

Taxation and social security

81,338

109,075

Other creditors

495,555

380,497

4,054,161

4,280,864

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2020

2019

£

£

Bank loans

333,994

400,680

Hire purchase contracts

20,470

3,500

Other creditors

294,592

267,892

649,056

672,072

Amounts falling due in more than five years:

Repayable otherwise than by instalments

Preference shares

294,592

-

9.	SECURED DEBTS

The following secured debts are included within creditors:

2020

2019

£

£

Bank overdrafts

3,254,298

3,302,475

Bank loans

418,994

561,673

3,673,292

3,864,148

The bank overdraft and loan are secured by a floating charge over the assets of the company and a composite multilateral company guarantee given by related companies.

10.

RESERVES

Revaluation

reserve

£

At 1 April 2019

510,771

Transfer of amount equivalent to additional depreciation on revalued assets

(13,717

)

At 31 March 2020

497,054

11.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Douglas Paton BSc CA (Senior Statutory Auditor)

for and on behalf of Bannerman Johnstone Maclay

12.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

13.	ULTIMATE CONTROLLING PARTY

The ultimate controlling party is John Paton & Son Group Limited.