Q.F.S. Scaffolding Limited - Accounts

Registered number

04826578

Q.F.S. Scaffolding Limited

Report and Accounts

31 December 2014

Q.F.S. Scaffolding Limited
Report and accounts
Contents
Page
Company information	1
Directors' report	2 - 3
Strategic report	4
Independent auditors' report	5
Profit and loss account	6
Balance sheet	7
Cash flow statement	8
Notes to the accounts	9 - 16
The following do not form part of the statutory accounts:
Detailed profit and loss account	17
Schedule to the detailed profit and loss account	18 - 19

Q.F.S. Scaffolding Limited

Company Information

Directors

D H Clifford - resigned 31 December 2014

K J Clifford

M G Bellis

A G H Noble - appointed 1 April 2014

M J Robinson - appointed 1 April 2014

Secretary

K Hewitt

Auditors

White Hart Associates (London) Limited

Chartered Accountants and Statutory Auditors

East House

109 South Worple Way

London

SW14 8TN

Bankers

Lloyds Bank Plc

High Street

Slough

SL1 1JP

Registered office

Westminster House

Denton Wharf

Mark Lane

Gravesend

Kent

DA12 2PL

Registered number

04826578

Q.F.S. Scaffolding Limited
Registered number:				04826578
Directors' Report
The directors present their report and accounts for the year ended 31 December 2014.
Principal activities
The company's principal activity during the year continued to be that of providing scaffolding services to developers and large building companies.
Dividends
The directors do not recommend a final dividend.
Directors
The following persons served as directors during the year:
	D H Clifford - resigned 31 December 2014
	K J Clifford
	M G Bellis
	A G H Noble - appointed 1 April 2014
	M J Robinson - appointed 1 April 2014
Political and charitable donations
During the year the company made charitable donations amounting to £2,100.
Directors' responsibilities

The directors are responsible for preparing the report and accounts in accordance with applicable law and regulations.
Company law requires the directors to prepare accounts for each financial year. Under that law the directors have elected to prepare the accounts in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the accounts unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these accounts, the directors are required to:
●	select suitable accounting policies and then apply them consistently;
●	make judgements and estimates that are reasonable and prudent;
●	state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts;
●	prepare the accounts on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The directors are also responsible for the maintenance and integrity of the corporate and financial information included on the company's website.

Disclosure of information to auditors

Each person who was a director at the time this report was approved confirms that:
●	so far as he is aware, there is no relevant audit information of which the company's auditor is unaware; and
●	he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board on 7 July 2015 and signed on its behalf.
M G Bellis					M J Robinson
Director					Director

Q.F.S. Scaffolding Limited
Strategic Report
The directors present their strategic report for the year ended 31 December 2014.
Review of business
The results of the company show a pre-tax profit for the year of £262,431 (2013 - loss of £158,560). Statutory turnover was £7,935,700 (2013 - £4,599,958) with a gross profit achieved of £2,202,833 (2013 - £1,114,725). Net cash inflow from operating activities was £603,487 (2013 - £476,336).
Future developments
There are no plans in 2015 for any significant changes to current practice.
Principal risks and uncertainties
Commercial relationships: The company has well established and close relationships with its main contractors and risk is spread by not placing an over-reliance on any one main contractor in any particular area. However, if a relationship were lost or damaged with a major supplier of business this could have a detrimental effect on the company. The management team meets regularly with its main contractors to maintain a good working relationship to ensure future business opportunities. Information technology: Although the company is not heavily reliant upon IT, we are constantly researching for new technologies that will improve the effective running of the business and enhance reporting. Health and safety: The company works in an environment where health and safety is of the utmost importance. In this regard we directly employ a HSE Manager and where necessary can call on external resource if required. The company is a full member of the NASC (National Access and Scaffolding Confederation) and has recently been awarded the "Best Scaffolding Contractor" award by the City of London.
This report was approved by the board on 7 July 2015 and signed on its behalf.
M G Bellis					M J Robinson
Director					Director

Q.F.S. Scaffolding Limited

Independent auditors' report

to the members of Q.F.S. Scaffolding Limited

We have audited the accounts of Q.F.S. Scaffolding Limited for the year ended 31 December 2014 which comprise the Profit and Loss Account, the Balance Sheet, the Cash Flow Statement and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Respective responsibilities of directors and auditors

As explained more fully in the Statement of Directors' Responsibilities, the directors are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the accounts in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors.

Scope of the audit of the accounts

A description of the scope of an audit of financial statements is provided on the APB’s website at www.frc.org.uk/auditscopeukprivate

Opinion on the accounts

In our opinion the accounts:
●	give a true and fair view of the state of the company's affairs as at 31 December 2014 and of its profit for the year then ended;
●	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
●	have been prepared in accordance with the requirements of the Companies Act 2006.

Opinion on other matters prescribed by the Companies Act 2006
In our opinion the information given in the Directors' Report and the Strategic Report for the financial year for which the accounts are prepared is consistent with the accounts.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
●	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
●	the accounts are not in agreement with the accounting records and returns; or
●	certain disclosures of directors’ remuneration specified by law are not made; or
●	we have not received all the information and explanations we require for our audit.
Other matters
The prior year comparatives for the year ended 31 December 2013 were not audited.
M S Caldicott ACA FCCA CTA
(Senior Statutory Auditor)		East House
for and on behalf of		109 South Worple Way
White Hart Associates (London) Limited		London
Accountants and Statutory Auditors		SW14 8TN
7 July 2015

Q.F.S. Scaffolding Limited
Profit and Loss Account
for the year ended 31 December 2014
Notes						2014		2013
£							£
Turnover				2		7,935,700		4,599,958
Cost of sales						(5,732,867)		(3,485,233)
Gross profit						2,202,833		1,114,725
Administrative expenses						(1,924,613)		(1,273,285)
Operating profit/(loss)				3		278,220		(158,560)
Interest receivable						63		-
Interest payable				6		(15,852)		-
Profit/(loss) on ordinary activities before taxation						262,431		(158,560)
Tax on profit/(loss) on ordinary activities				7		(136,487)		-
Profit/(loss) for the financial year						125,944		(158,560)
Continuing operations
None of the company's activities were acquired or discontinued during the above two financial years.
Statement of total recognised gains and losses
The company has no recognised gains or losses other than the profit/(loss) for the above two financial years.

Q.F.S. Scaffolding Limited
Balance Sheet
as at 31 December 2014
Notes				2014			2013
£					£
Fixed assets
Tangible assets	8			1,643,509			1,500,432
Current assets
Debtors	9		2,193,472			1,759,075
Cash at bank and in hand			375,081			247,634
			2,568,553			2,006,709
Creditors: amounts falling due within one year	10		(1,098,713)			(514,608)
Net current assets				1,469,840			1,492,101
Total assets less current liabilities				3,113,349			2,992,533
Creditors: amounts falling due after more than one year	11			(2,713,022)			(2,854,624)
Provisions for liabilities
Deferred taxation	13			(136,474)			-
Net assets				263,853			137,909
Capital and reserves
Called up share capital	14			2			2
Profit and loss account	15			263,851			137,907
Shareholders' funds	16			263,853			137,909
M G Bellis				M J Robinson
Director				Director
Approved by the board on 7 July 2015

Q.F.S. Scaffolding Limited
Cash Flow Statement
for the year ended 31 December 2014
Notes			2014		2013
£				£
Reconciliation of operating profit to net cash
inflow from operating activities
Operating profit/(loss)			278,220		(158,560)
Depreciation and amortisation			353,404		259,164
(Increase)/decrease in debtors			(434,397)		46,039
Increase in creditors			406,260		329,693
Net cash inflow from operating activities			603,487		476,336
CASH FLOW STATEMENT
Net cash inflow from operating activities			603,487		476,336
Returns on investments and servicing of finance	17		(15,789)		-
Capital expenditure	17		(496,481)		(509,053)
			91,217		(32,717)
Financing	17		36,230		(26,142)
Increase/(decrease) in cash			127,447		(58,859)
Reconciliation of net cash flow to movement in net debt
Increase/(decrease) in cash in the period			127,447		(58,859)
(Increase)/decrease in debt and lease financing			(36,230)		26,142
Change in net debt	18		91,217		(32,717)
Net funds at 1 January			198,015		230,732
Net funds at 31 December			289,232		198,015

Q.F.S. Scaffolding Limited
Notes to the Accounts
for the year ended 31 December 2014
1	Accounting policies
	Basis of preparation
	The accounts have been prepared under the historical cost convention and in accordance with applicable United Kingdom Accounting Standards.
	Turnover
	Turnover represents the fair value of consideration received or receivable, net of value added tax, rebates and discounts, of goods provided to customers and work carried out in respect of services provided to customers. Turnover arises from increases in valuations on contracts and is normally determined by external valuations. It is the gross value of work carried out for the period to the balance sheet date (including retentions) but excludes claims until they are actually certified.
	Depreciation
	Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:
	New Yard			over 20 years
	Plant and equipment			over 1, 2, 3, 4, 5, 10 or 15 years
	Office equipment			over 3 years
	Motor vehicles			over 4 and 5 years
	Deferred taxation
	Full provision is made for deferred taxation resulting from timing differences between the recognition of gains and losses in the accounts and their recognition for tax purposes. Deferred tax is calculated at the tax rates which are expected to apply in the periods when the timing differences will reverse, and discounted to reflect the time value of money using rates based on the post-tax yields to maturity that could be obtained at the balance sheet date on government bonds with similar maturity dates.
	Foreign currencies
	Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the balance sheet date. All differences are taken to the profit and loss account.
	Leasing and hire purchase commitments
	Assets held under finance leases and hire purchase contracts, which are those where substantially all the risks and rewards of ownership of the asset have passed to the company, are capitalised in the balance sheet and depreciated over their useful lives. The corresponding lease or hire purchase obligation is treated in the balance sheet as a liability. The interest element of the rental obligations is charged to the profit and loss account over the period of the lease and represents a constant proportion of the balance of capital repayments outstanding. Rentals paid under operating leases are charged to income on a straight line basis over the lease term.
	Pensions
	The company operates a defined contribution pension scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.
2	Analysis of turnover					2014		2013
£							£
	By activity:
	Scaffolding services					7,935,700		4,599,958
	By geographical market:
	UK					7,935,700		4,599,958
3	Operating profit					2014		2013
£							£
	This is stated after charging:
	Depreciation of owned fixed assets					318,003		228,843
	Depreciation of assets held under finance leases and hire purchase contracts					35,401		30,321
	Operating lease rentals - plant and machinery					48,359		4,712
	Operating lease rentals - land and buildings					37,333		39,333
	Auditors' remuneration for audit services					5,500		-
4	Directors' emoluments					2014		2013
£							£
	Emoluments					260,778		153,835
	Company contributions to money purchase pension schemes					300		-
						261,078		153,835
	Highest paid director:
	Emoluments					96,674		90,476
	Number of directors in company pension schemes:					2014		2013
Number							Number
	Money purchase schemes					3		-
5	Staff costs					2014		2013
£							£
	Wages and salaries					4,477,764		2,803,068
	Social security costs					442,997		298,833
	Other pension costs					8,326		-
						4,929,087		3,101,901
	Average number of employees during the year					Number	Number
	Administration					10		9
	Distribution and installation					101		78
						111		87
6	Interest payable					2014		2013
£							£
	Finance charges payable under finance leases and hire purchase contracts					15,852		-
7	Taxation					2014		2013
£							£
	Analysis of charge in period
	Current tax:
	UK corporation tax on profits of the period					13		-
	Deferred tax:
	Origination and reversal of timing differences					136,474		-
	Tax on profit on ordinary activities					136,487		-
	Factors affecting tax charge for period
	The differences between the tax assessed for the period and the standard rate of corporation tax are explained as follows:
						2014		2013
£							£
	Profit/(loss) on ordinary activities before tax					262,431		(158,560)
	Standard rate of corporation tax in the UK					20%		20%
£							£
	Profit on ordinary activities multiplied by the standard rate of corporation tax					52,486		-
	Effects of:
	Utilisation of tax losses					(52,473)		-
	Current tax charge for period					13		-
8	Tangible fixed assets
				Land and buildings		Plant and machinery		Total
£					£		£
	Cost
	At 1 January 2014			261,062		2,213,435		2,474,497
	Additions			53,800		442,681		496,481
	At 31 December 2014			314,862		2,656,116		2,970,978
	Depreciation
	At 1 January 2014			42,194		931,871		974,065
	Charge for the year			13,482		339,922		353,404
	At 31 December 2014			55,676		1,271,793		1,327,469
	Net book value
	At 31 December 2014			259,186		1,384,323		1,643,509
	At 31 December 2013			218,868		1,281,564		1,500,432
						2014		2013
£							£
	Net book value of fixed assets included above held under finance leases and hire purchase contracts					109,574		71,201
9	Debtors					2014		2013
£							£
	Trade debtors					1,990,006		1,288,241
	Other debtors					184,499		440,399
	Prepayments and accrued income					18,967		30,435
						2,193,472		1,759,075
10	Creditors: amounts falling due within one year					2014		2013
£							£
	Obligations under finance lease and hire purchase contracts					38,129		31,780
	Trade creditors					383,779		204,558
	Corporation tax					13		-
	Other taxes and social security costs					611,452		215,265
	Other creditors					47,240		31,015
	Accruals and deferred income					18,100		31,990
						1,098,713		514,608
11	Creditors: amounts falling due after one year					2014		2013
£							£
	Obligations under finance lease and hire purchase contracts					47,720		17,839
	Amounts owed to group undertakings and undertakings in which the company has a participating interest					2,665,302		2,836,785
						2,713,022		2,854,624
12	Obligations under finance leases and hire purchase					2014		2013
	contracts					£	£
	Amounts payable:
	Within one year					38,129		31,780
	Within two to five years					47,720		17,839
						85,849		49,619
13	Deferred taxation					2014		2013
£							£
	Accelerated capital allowances					136,474		-
	Undiscounted provision for deferred tax					136,474		-
						2014		2013
£							£
	Deferred tax charge in profit and loss account					136,474		-
	At 31 December					136,474		-
14	Share capital	Nominal		2014		2014		2013
value			Number		£		£
	Allotted, called up and fully paid:
	Ordinary shares	£1 each		2		2		2
15	Profit and loss account					2014
£
	At 1 January 2014					137,907
	Profit for the financial year					125,944
	At 31 December 2014					263,851
16	Reconciliation of movement in shareholders' funds					2014		2013
£							£
	At 1 January					137,909		296,469
	Profit/(loss) for the financial year					125,944		(158,560)
	At 31 December					263,853		137,909
17	Gross cash flows					2014		2013
£							£
	Returns on investments and servicing of finance
	Interest received					63		-
	Interest element of finance lease rental payments					(15,852)		-
						(15,789)		-
	Capital expenditure
	Payments to acquire tangible fixed assets					(496,481)		(509,053)
	Financing
	Capital element of finance lease rental payments					36,230		(26,142)
18	Analysis of changes in net debt
		At 1 Jan 2014		Cash flows		Non-cash changes		At 31 Dec 2014
£			£		£		£
	Cash at bank and in hand	247,634		127,447				375,081
	Finance leases	(49,619)		(36,230)				(85,849)
	Total	198,015		91,217		-		289,232
19	Other financial commitments
	At the year end the company had annual commitments under non-cancellable operating leases as set out below:
		Land and buildings		Land and buildings	Other		Other
		2014		2013		2014		2013
£			£		£		£
	Operating leases which expire:
	within one year	-		-		3,372		-
	within two to five years	-		-		6,000		4,692
	in over five years	32,000		32,000		-		-
		32,000		32,000		9,372		4,692
20	Loans to directors
	Description and conditions	B/fwd	Loaned		Repaid		C/fwd
£			£		£		£
	A G H Noble - appointed 1 April 2014
	Short term loan that is unsecured, interest free and being repaid in regular monthly instalments	-		13,000		(2,100)		10,900
		-		13,000		(2,100)		10,900
21	Related party transactions
	Westminster Gulf WLL
	Holding company
	The company has taken advantage of the exemption in Financial Reporting Standard (FRS) 8 from the requirement to disclose transactions with group companies on the basis that consolidated financial statements are prepared by the ultimate holding company.
22	Ultimate controlling party
	The immediate holding company is Westminster Gulf W.L.L., a company registered in the Kingdom of Bahrain and located at P.O. Box 31238, Diraz, Bahrain. The ultimate holding company is Mohammed Jalal and Sons Co. W.L.L., a company registered in the Kingdom of Bahrain. Copies of the consolidated accounts may be obtained from P.O. Box 113, Manama, Bahrain. In the opinion of the directors, there is no ultimate controlling party of the Westminster group.