Mando Group Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 04391789 (England and Wales)

Unaudited Financial Statements

for the Year Ended 31 March 2022

for

Mando Group Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Chartered Accountants' Report

14

DIRECTORS:

I D G Finch

J Seal

A Wallace

SECRETARY:

I D G Finch

REGISTERED OFFICE:

5 St. Paul's Square

Liverpool

L3 9SJ

REGISTERED NUMBER:

04391789 (England and Wales)

ACCOUNTANTS:

Jonathan Ford & Co Limited

Chartered Accountants

Maxwell House

Liverpool Innovation Park

Liverpool

Merseyside

L7 9NJ

FIXED ASSETS

Intangible assets

5

8,094

4,573

Tangible assets

6

13,544

69,830

21,638

74,403

CURRENT ASSETS

Debtors

7

1,842,088

1,444,823

Cash at bank and in hand

564,926

1,160,131

2,407,014

2,604,954

CREDITORS

Amounts falling due within one year

8

1,253,918

1,409,272

NET CURRENT ASSETS

1,153,096

1,195,682

TOTAL ASSETS LESS CURRENT LIABILITIES

1,174,734

1,270,085

PROVISIONS FOR LIABILITIES

-

1,829

NET ASSETS

1,174,734

1,268,256

CAPITAL AND RESERVES

Called up share capital

100

100

Share premium

149,985

149,985

Retained earnings

1,024,649

1,118,171

SHAREHOLDERS' FUNDS

1,174,734

1,268,256

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2022 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 Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 6 June 2022 and were signed on its behalf by:

I D G Finch - Director

1.	STATUTORY INFORMATION

Mando Group Limited is a private company, limited by shares , registered in England and Wales. 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.	STATEMENT OF COMPLIANCE

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.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Significant judgements and estimates

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.

(i) Useful economic lives of intangible and tangible assets

The annual amortisation and depreciation charges for intangible and tangible assets are sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

(ii) Work in progress and deferred income

At the balance sheet date, the company assesses the costs incurred on ongoing long-term projects and makes a comparison to invoicing to date on those projects. Where the costs are time-based, management estimates the stage of completion of the project by considering factors such as progress against agreed milestones and/or against the total time it is expected to take to complete the project.

(iii) Impairment of debtors

The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience.

(iv) Deferred tax provisioning

Deferred tax is recognised on all timing differences at the reporting date. The company's timing differences predominantly arise on the differing tax and accounting carrying values of tangible assets. Judgement is exercised by management in determining the useful economic lives and residual values of tangible assets which is relevant in calculating the value of deferred tax liabilities or assets.

Turnover

Turnover comprises revenue recognised by the company in respect of services supplied during the period, exclusive of Value Added Tax and trade discounts.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Computer software is being amortised evenly over its estimated useful life, which ranges between 3 and 5 years depending on the software package.

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.

Improvements to property

-

20% on cost

Fixtures and fittings

-

20% on cost

Computer equipment

-

33% on cost

Depreciation in all cases is calculated on a daily basis.

Financial instruments

(i) Financial assets

Basic financial assets, including trade and other receivables and cash and bank balances, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

(ii) Financial liabilities

Basic financial liabilities, including trade and other payables and bank loans are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Current tax

Current tax is the amount of income tax payable in respect of taxable profit for the year or prior years. Tax is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the period end.

Deferred tax

Deferred tax is recognised on all timing differences at the reporting date except for certain exceptions. Unrelieved tax losses and other deferred tax assets are only recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted and that are expected to apply to the reversal of the timing difference.

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Development expenditure on individual projects is only carried forward where the future recoverability of the expenditure can be reasonably regarded as assured. In such circumstances the expenditure carried forward is amortised on an appropriate basis. Where the future recoverability of development expenditure cannot be reasonably regarded as assured it is charged to the profit and loss account as incurred.

Deferred development expenditure is reviewed annually, and where future benefits are deemed to have ceased or to be in doubt, the balance of any related development expenditure is written off to the profit and loss account.

Leasing

(i) Operating leases

Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Payments under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

(ii) Hire purchase and other finance leases

Leases of assets that transfer substantially all the risks and rewards incidental to ownership are classified as finance leases. Such leases are capitalised at commencement of the lease at fair value or, if lower, the present value of the minimum lease payments calculated using the interest rate implicit in the lease.

Capitalised finance lease assets are depreciated over the shorter of the lease term and the estimated useful life of the asset and are annually assessed for impairment.

The capital element of finance leases is recorded as a liability at commencement of the lease. Lease payments are apportioned between capital repayment and finance charge using the effective interest rate method.

The liability is subsequently carried at amortised cost, using the effective interest rate method.

(iii) Operating lease incentives

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the entire lease term.

Pensions

The company contributes to personal pension plans and the pension charge represents the amounts payable by the company during the year.

Long-term contracts

Profit on long-term contracts is taken as the work is carried out if the final outcome can be assessed with reasonable certainty. The profit included is calculated on a prudent basis to reflect the proportion of the work carried out at the year end, by recording turnover and related costs as contract activity progresses.

Turnover is calculated as that proportion of total contract value which costs incurred to date bear to total expected costs for that contract.

Revenues derived from variations on contracts are recognised only when they have been accepted by the customer. Full provision is made for losses on all contracts in the year in which they are first foreseen.

Employee benefits

Short term benefits, including holiday pay and other non-monetary benefits, are recognised as an expense in the period in which the service is received.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 53 (2021 - 54 ) .

5.	INTANGIBLE FIXED ASSETS

Computer

software

£

COST

At 1 April 2021

14,960

Additions

6,934

At 31 March 2022

21,894

AMORTISATION

At 1 April 2021

10,387

Amortisation for year

3,413

At 31 March 2022

13,800

NET BOOK VALUE

At 31 March 2022

8,094

At 31 March 2021

4,573

6.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

to

and

Computer

property

fittings

equipment

Totals

£

£

£

£

COST

At 1 April 2021

184,508

219,003

551,344

954,855

Additions

-

-

1,134

1,134

At 31 March 2022

184,508

219,003

552,478

955,989

DEPRECIATION

At 1 April 2021

158,450

186,010

540,565

885,025

Charge for year

22,959

30,167

4,294

57,420

At 31 March 2022

181,409

216,177

544,859

942,445

NET BOOK VALUE

At 31 March 2022

3,099

2,826

7,619

13,544

At 31 March 2021

26,058

32,993

10,779

69,830

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

Improvements

to

Computer

property

equipment

Totals

£

£

£

COST

At 1 April 2021

and 31 March 2022

155,117

102,715

257,832

DEPRECIATION

At 1 April 2021

138,035

102,715

240,750

Charge for year

17,082

-

17,082

At 31 March 2022

155,117

102,715

257,832

NET BOOK VALUE

At 31 March 2022

-

-

-

At 31 March 2021

17,082

-

17,082

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.22

31.3.21

£

£

Trade debtors

768,608

745,558

Amounts owed by parent company

355,605

355,605

Other debtors

717,875

343,660

1,842,088

1,444,823

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.22

31.3.21

£

£

Bank loans and overdrafts

-

250,000

Hire purchase contracts

-

40,970

Trade creditors

172,875

75,597

Taxation and social security

286,227

279,623

Other creditors

794,816

763,082

1,253,918

1,409,272

The bank loan was fully repaid on 15 June 2021.

9.	SECURED DEBTS

The company’s bankers possess a fixed charge over the company's land, plant and machinery, rental income, securities, insurance policies, goodwill, uncalled share capital, intellectual property and trade debts. A floating charge covers all company assets not effectively charged by the fixed charge.

10.	OTHER FINANCIAL COMMITMENTS

The company is committed to pay £412,161, under non-cancellable operating leases, with £91,742 of this due to be paid within 12 months of the balance sheet date.

11.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 31 March 2022 and 31 March 2021:

31.3.22

31.3.21

£

£

I D G Finch

Balance outstanding at start of year

(28

)

(28

)

Amounts advanced

180,000

-

Amounts repaid

-

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

179,972

(28

)

The amount advanced to the director is interest-free and due to be repaid within 9 months of the balance sheet date. No guarantees have been given in respect of the loan.

12.	ULTIMATE CONTROLLING PARTY

The controlling party is I D G Finch.

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 Mando Group Limited for the year ended 31 March 2022 which comprise the Income Statement, 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 the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed within the ICAEW's regulations and guidance at http://www.icaew.com/en/membership/regulations-standards-and-guidance.

This report is made solely to the Board of Directors of Mando Group 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 Mando Group Limited and state those matters that we have agreed to state to the Board of Directors of Mando Group Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Mando Group Limited and its Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that Mando Group 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 Mando Group Limited. You consider that Mando Group 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 Mando Group 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.

Jonathan Ford & Co Limited

Chartered Accountants

Maxwell House

Liverpool Innovation Park

Liverpool

Merseyside

L7 9NJ

Date: .............................................