HBMS Cladding Limited - Period Ending 2022-02-28

HBMS Cladding Limited

Contents

Balance Sheet	1
Notes to the Financial Statements	2 to 6

HBMS Cladding Limited

(Registration number: 04371548)
Balance Sheet as at 28 February 2022

	Note	2022		2021
		£	£	£	£
Fixed assets
Tangible assets	5		17,351		23,083
Current assets
Stocks	6	16,061		120,353
Debtors	7	966,851		999,051
Cash at bank and in hand		471,225		344,527
		1,454,137		1,463,931
Creditors: Amounts falling due within one year	8	(1,308,595)		(1,331,127)
Net current assets			145,542		132,804
Total assets less current liabilities			162,893		155,887
Provisions for liabilities			840		1,300
Net assets			163,733		157,187
Capital and reserves
Called up share capital	10	100		100
Profit and loss account		163,633		157,087
Total equity			163,733		157,187

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the Board on 16 August 2022 and signed on its behalf by:
 

......................................... E Beck Director

HBMS Cladding Limited

Notes to the Financial Statements for the Year Ended 28 February 2022

1	General information

The company is a private company limited by share capital, incorporated in England & Wales.

The address of its registered office is:
Merrydale House
Roydsdale Way
Euroway Industrial Estate
Bradford
BD4 6SE

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

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 disclosure and presentation requirements of Section 1A and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

The company's functional and presentation currency is pound sterling.

Audit report

The Independent Auditor's Report was unqualified. The name of the Senior Statutory Auditor who signed the audit report on 16 August 2022 was Mark Wilcock FCA, who signed for and on behalf of Watson Buckle Limited.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the Company’s activities. Turnover is shown net of value added tax, returns, rebates and discounts.

The Company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity, and specific criteria have been met for each of the Company's activities.

Contract revenue recognition

In the case of long term contracts, credit is taken appropriate to the stage of completion when the outcome of the contract can be ascertained with reasonable certainty.

Government grants

Grants relating to revenue shall be recognised in income on a systematic basis over the periods in which the entity recognises the related costs for which the grant is intended to compensate.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current corporation tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

HBMS Cladding Limited

Notes to the Financial Statements for the Year Ended 28 February 2022

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are 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 by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Plant and machinery	10% - 20% straight line
Motor vehicles	25% straight line

Work in progress

Work in progress is valued on the basis of direct cost plus attributable overheads based on normal level of activity. Provision is made for any foreseeable losses where appropriate. No element of profit is included in the valuation of work in progress.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all of the risks and rewards of the ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the Profit and Loss Account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

HBMS Cladding Limited

Notes to the Financial Statements for the Year Ended 28 February 2022

Financial instruments

Financial assets

Basic financial assets, including trade and other receivables, 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 for a similar asset. 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 and any subsequent 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.

Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 for a similar debt instrument.

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

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

3	Staff numbers

The average number of persons employed by the company (including directors) during the year was 8 (2021 - 9).

4	Government grants

During the year the company has received grant income of £Nil (2021 - £22,661) in respect of the Coronavirus Job Retention Scheme.
During the year the company has received grant income of £Nil (2021 - £12,740) in respect of the Small Business Grant Fund.

HBMS Cladding Limited

Notes to the Financial Statements for the Year Ended 28 February 2022

5	Tangible assets

	Plant and machinery  £	Motor vehicles  £	Total £
Cost or valuation
At 1 March 2021	63,041	37,230	100,271
Additions	1,025	-	1,025
Disposals	-	(16,200)	(16,200)
At 28 February 2022	64,066	21,030	85,096
Depreciation
At 1 March 2021	39,958	37,230	77,188
Charge for the year	6,757	-	6,757
Eliminated on disposal	-	(16,200)	(16,200)
At 28 February 2022	46,715	21,030	67,745
Carrying amount
At 28 February 2022	17,351	-	17,351
At 28 February 2021	23,083	-	23,083

6

Stocks

	2022 £	2021 £
Work in progress	16,061	120,353

7

Debtors

	2022 £	2021 £
Trade debtors	224,019	637,254
Prepayments	9,563	5,526
Gross amount due from customers for contract work	733,269	356,271
	966,851	999,051

HBMS Cladding Limited

Notes to the Financial Statements for the Year Ended 28 February 2022

8

Creditors

	Note	2022  £	2021  £
Due within one year
Loans and borrowings	9	20,000	50,000
Trade creditors		359,391	509,340
Amounts due to related parties		193,588	251,436
Social security and other taxes		116,968	169,741
Accruals and deferred income		589,273	202,493
Gross amount due to customers for contract work		29,375	148,117
		1,308,595	1,331,127

9	Loans and borrowings

	2022 £	2021 £
Current loans and borrowings
Bank borrowings	20,000	50,000

10	Share capital

Allotted, called up and fully paid shares

	2022		2021
	No.	£	No.	£
Ordinary shares of £1 each	100	100	100	100

11	Parent and ultimate parent undertaking

The company's immediate parent is H. B. Projects Limited, incorporated in England & Wales. The registered address of H.B. Projects Limited is Merrydale House, Roydsdale Way, Euroway Industrial Estate, Bradford, BD4 6SE.

 The ultimate parent is H. B. Projects Group Limited, incorporated in England & Wales.

 The most senior parent entity producing publicly available financial statements is H. B. Projects Group Limited. These financial statements are available upon request from Companies House, Crown Way, Maindy, Cardiff, CF14 3UZ.