Contracts Engineering Limited - Accounts to registrar (filleted) - small 18.2
Contracts Engineering Limited - Accounts to registrar (filleted) - small 18.2
| REGISTERED NUMBER: |
| UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 |
| FOR |
| CONTRACTS ENGINEERING LIMITED |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| CONTENTS OF THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| Page |
| Company Information | 1 |
| Balance Sheet | 2 |
| Notes to the Financial Statements | 3 |
| CONTRACTS ENGINEERING LIMITED |
| COMPANY INFORMATION |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| DIRECTORS: |
| SECRETARY: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| ACCOUNTANTS: |
| Riverside House |
| 40-46 High Street |
| Maidstone |
| Kent |
| ME14 1JH |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| BALANCE SHEET |
| 31 DECEMBER 2021 |
| 2021 | 2020 |
| Notes | £ | £ | £ | £ |
| FIXED ASSETS |
| Tangible assets | 4 |
| CURRENT ASSETS |
| Stocks |
| Debtors | 5 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 6 |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year | 7 | ( |
) | ( |
) |
| PROVISIONS FOR LIABILITIES | 10 | ( |
) | ( |
) |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 11 |
| Share premium | 12 |
| Retained earnings | 12 |
| SHAREHOLDERS' FUNDS |
| 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. |
| 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 |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| NOTES TO THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| 1. | STATUTORY INFORMATION |
| Contracts Engineering Limited is a |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Going concern |
| Accounting standards require the directors to consider the appropriateness of the going concern basis when preparing the financial statements. The directors confirm that they consider that the going concern basis remains appropriate. The directors believe that the company has sufficient resources to continue in operational existence for the foreseeable future. The directors believe this to be the case as the company has positive reserves and cash balances. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements. |
| The directors have again considered the impact of the Covid-19 crisis on the business. Whilst the fundamental longer-term outlook remains positive, the directors still expect to see some temporary short-term effects in the early part of 2022. It is still likely that some customer orders may be delayed and deliveries from suppliers may be disrupted. As a result, turnover, and profitability in 2022 may be reduced for a short period. The directors have taken immediate action to mitigate these effects including reviewing staffing and cashflow. The company has also taken advantage of any relevant Government schemes to assist the business. |
| The directors regard the going concern basis as remaining appropriate as they have assessed the company's financial performance and position. The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. |
| Turnover |
| Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
| Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that completed goods have been delivered to the customer, or held in warehouse at the customers' instruction awaiting future delivery. |
| Tangible fixed assets |
| Improvements to property | - |
| Plant and machinery | - |
| Fixtures and fittings | - |
| Motor vehicles | - |
| Computer equipment | - |
| Government grants |
| Grants relate to amounts received under the Government's Coronavirus Job Retention Scheme and Business Rates Relief. Grants are accounted for on an accruals basis and recognised in the Income Statement as other operating income. |
| 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. |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| 2. | ACCOUNTING POLICIES - continued |
| 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. |
| Hire purchase and leasing commitments |
| 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. |
| Debtors |
| Short term debtors are measured at transaction price, less any impairment. |
| Cash and cash equivalents |
| Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with no significant risk of change in value. |
| Financial instruments |
| The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. |
| Creditors |
| Short term creditors are measured at the transaction price. |
| Financial reporting standard 102 - reduced disclosure exemptions |
| The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
| - the requirements of Section 7 Statement of Cash Flows; |
| - the requirements of Section 3 Financial Statement Presentation paragraph 3.17 (d); |
| - the requirements of Section 11 Financial Instruments paragraphs 11.39 to 11.48A; |
| - the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.29; |
| - the requirements of Section 26 Share-based Payment paragraphs 26.18(b), 26.19 to 26.21 and 26.23; |
| - the requirements of Section 33 Related Party Disclosures paragraph 33.7. |
| 3. | EMPLOYEES AND DIRECTORS |
| The average number of employees during the year was |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| 4. | TANGIBLE FIXED ASSETS |
| Improvements | Fixtures |
| to | Plant and | and |
| property | machinery | fittings |
| £ | £ | £ |
| COST |
| At 1 January 2021 |
| Additions |
| At 31 December 2021 |
| DEPRECIATION |
| At 1 January 2021 |
| Charge for year |
| At 31 December 2021 |
| NET BOOK VALUE |
| At 31 December 2021 |
| At 31 December 2020 |
| Motor | Computer |
| vehicles | equipment | Totals |
| £ | £ | £ |
| COST |
| At 1 January 2021 |
| Additions |
| At 31 December 2021 |
| DEPRECIATION |
| At 1 January 2021 |
| Charge for year |
| At 31 December 2021 |
| NET BOOK VALUE |
| At 31 December 2021 |
| At 31 December 2020 |
| The net book value of assets held under finance leases or hire purchase contracts, included above is £142,351 (2020: £305,904). |
| 5. | DEBTORS |
| 2021 | 2020 |
| £ | £ |
| Amounts falling due within one year: |
| Trade debtors |
| Amounts owed by group undertakings |
| Tax |
| Prepayments and accrued income |
| Amounts falling due after more than one year: |
| Other debtors |
| Aggregate amounts |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| 6. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2021 | 2020 |
| £ | £ |
| Bank loans and overdrafts |
| Other loans |
| Hire purchase contracts (see note 8) |
| Trade creditors |
| Social security and other taxes |
| VAT | 41,857 | 123,925 |
| Other creditors |
| Invoice discounting | 291,707 | 80,015 |
| Accruals and deferred income |
| In May 2020, the company obtained a Coronavirus Business Interruption Loan of £140,000 repayable in installments over 12 months. First repayment and interest is due 12 months after drawdown. Interest is charged at 2.47% and the loan is secured by a debenture charge. |
| In May 2020, the company obtained a second Coronavirus Business Interruption Loan of £150,000 repayable in installments over 5 years. First repayment and interest is due 12 months after drawdown. Interest is charged at 3.48% and the loan is secured by a debenture charge. |
| In Feburary 2014, the company obtained a loan from The Kent County Council of £93,537 repayable in installments over 4 years. No interest is chargeable on the loan. The loan is secured by the assets of the company. |
| 7. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| 2021 | 2020 |
| £ | £ |
| Bank loans - 1-2 years |
| Bank loans - 2-5 years |
| Bank loans more 5 yr by instal |
| Hire purchase contracts (see note 8) |
| Amounts falling due in more than five years: |
| Repayable by instalments |
| Bank loans more 5 yr by instal | - | 29,000 |
| 8. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Hire purchase contracts |
| 2021 | 2020 |
| £ | £ |
| Net obligations repayable: |
| Within one year |
| Between one and five years |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| 8. | LEASING AGREEMENTS - continued |
| Non-cancellable operating | leases |
| 2021 | 2020 |
| £ | £ |
| Within one year |
| In more than five years |
| 9. | SECURED DEBTS |
| Invoice financing creditor of £291,707 (2020: £80,015) included in creditors due in less than one year is secured on the book debts of the company. Hire purchase borrowings are secured on the assets to which they relate. |
| 10. | PROVISIONS FOR LIABILITIES |
| 2021 | 2020 |
| £ | £ |
| Deferred tax | 138,055 | 105,087 |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2021 |
| Provided during year |
| Balance at 31 December 2021 |
| 11. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2021 | 2020 |
| value: | £ | £ |
| Ordinary | 1.00 | 101 | 101 |
| 12. | RESERVES |
| Retained | Share |
| earnings | premium | Totals |
| £ | £ | £ |
| At 1 January 2021 | 424,083 |
| Profit for the year |
| At 31 December 2021 | 555,254 |
| 13. | PENSION COMMITMENTS |
| The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independent administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £27,220 (2020: £33,892). At the balance sheet date, accrued contributions amounted to £nil (2020: £nil). |
| 14. | 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. |
| CONTRACTS ENGINEERING LIMITED (REGISTERED NUMBER: 03560407) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2021 |
| 14. | RELATED PARTY DISCLOSURES - continued |
| Blenkinsop Consulting Limited |
| A company under common control |
| During the year the company purchased services from Blenkinsop Consulting Limited with a value of £nil (2020: £4,000). At the balance sheet date, the company owed Blenkinsop Consulting Limited £6,000 (2020: £6,000). |
| 15. | ULTIMATE CONTROLLING PARTY |
| The controlling party is BAMUK Group Limited. |
| The ultimate controlling parties are Mr T D Barratt and Mrs C I M Barratt. |