M Squared (Scotland) Ltd - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC479137 (Scotland)

Unaudited Financial Statements

For The Year Ended 31 December 2021

for

M Squared (Scotland) Ltd

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Chartered Accountants' Report

8

DIRECTOR:

K R McEwan

REGISTERED OFFICE:

1 Cambuslang Court

Cambuslang

Glasgow

Strathclyde

G32 8FH

REGISTERED NUMBER:

SC479137 (Scotland)

ACCOUNTANTS:

Atkinson Donnelly LLP

1 Cambuslang Court

Cambuslang

Glasgow

Strathclyde

G32 8FH

FIXED ASSETS

Tangible assets

4

458,769

394,112

CURRENT ASSETS

Stocks

78,884

90,086

Debtors

5

1,388,789

558,949

Cash at bank and in hand

230,129

533,525

1,697,802

1,182,560

CREDITORS

Amounts falling due within one year

6

1,216,076

607,858

NET CURRENT ASSETS

481,726

574,702

TOTAL ASSETS LESS CURRENT LIABILITIES

940,495

968,814

CREDITORS

Amounts falling due after more than one year

7

(422,246

)

(679,971

)

PROVISIONS FOR LIABILITIES

9

(55,671

)

(42,786

)

NET ASSETS

462,578

246,057

CAPITAL AND RESERVES

Called up share capital

1

1

Retained earnings

462,577

246,056

SHAREHOLDERS' FUNDS

462,578

246,057

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2021 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his 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 director and authorised for issue on 23 September 2022 and were signed by:

K R McEwan - Director

1.	STATUTORY INFORMATION

M Squared (Scotland) Ltd 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.

Turnover

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

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life.

Improvements to property

-

2% on cost

Plant and machinery

-

20% on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

25% on reducing balance

Computer equipment

-

33% 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.

Financial instruments

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors

Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Cash and Bank Balances

Cash and bank balances are measured at the transaction price.

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.

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.

Debt financing

The company makes use of an invoice financing facility. The parameters allow the company to be funded for 60% of their applications for payments and 60% for their invoices, up to £200,000. The company is charged for this and these costs are charged to the profit and loss account.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 11 (2020 - 8 ) .

4.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

to

Plant and

and

property

machinery

fittings

£

£

£

COST

At 1 January 2021

158,720

218,248

9,653

Additions

1,531

28,502

3,911

Disposals

-

-

-

At 31 December 2021

160,251

246,750

13,564

DEPRECIATION

At 1 January 2021

4,762

122,282

1,512

Charge for year

3,205

34,244

2,213

Eliminated on disposal

-

-

-

At 31 December 2021

7,967

156,526

3,725

NET BOOK VALUE

At 31 December 2021

152,284

90,224

9,839

At 31 December 2020

153,958

95,966

8,141

Motor

Computer

vehicles

equipment

Totals

£

£

£

COST

At 1 January 2021

155,355

30,980

572,956

Additions

123,591

13,903

171,438

Disposals

(24,866

)

-

(24,866

)

At 31 December 2021

254,080

44,883

719,528

DEPRECIATION

At 1 January 2021

32,956

17,332

178,844

Charge for year

47,912

7,524

95,098

Eliminated on disposal

(13,183

)

-

(13,183

)

At 31 December 2021

67,685

24,856

260,759

NET BOOK VALUE

At 31 December 2021

186,395

20,027

458,769

At 31 December 2020

122,399

13,648

394,112

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Trade debtors

937,721

370,776

Other debtors

451,068

188,173

1,388,789

558,949

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.21

31.12.20

£

£

Bank loans and overdrafts

276,945

72,217

Hire purchase contracts

75,100

102,521

Trade creditors

697,779

275,392

Taxation and social security

38,311

63,048

Other creditors

127,941

94,680

1,216,076

607,858

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.21

31.12.20

£

£

Bank loans

273,709

551,745

Hire purchase contracts

148,537

128,226

422,246

679,971

31.12.21

31.12.20

£

£

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

-

45,000

8.	SECURED DEBTS

The bank hold the following securities:

1. Floating charge covers all the property or undertaking of the company.

Ultimate Finance hold the following securities:

1. Floating charge covers all the property or undertaking of the company.

9.	PROVISIONS FOR LIABILITIES

31.12.21

31.12.20

£

£

Deferred tax

55,671

42,786

Deferred

tax

£

Balance at 1 January 2021

42,786

Provided during year

12,885

Balance at 31 December 2021

55,671

10.	RELATED PARTY DISCLOSURES

During the year the company traded on an arms length basis with another company that shares a common Director, Moorlodge Limited. Moorlodge Estates Limited invoiced M Squared (Scotland) Ltd £39,228.23.

At the end of the year end Moorlodge Estates Limited owed £28,999.45 (2020 - £14,948) to M Squared (Scotland) Ltd.

During the 12 months period the company traded on an arms length basis with another company that shares a common Director, Simply Gardening (Scotland) Ltd. Simply Gardening (Scotland) Ltd invoiced M Squared (Scotland) Ltd £573.86.

At the end of the 12 month period Simply Gardening (Scotland) Ltd was owed £13,948.88 (2020 - £10,174.98) by M Squared (Scotland) Ltd.

M Squared (Scotland) Ltd provided an £800 loan to another company that shares a common Director, Lily and Moon Limited. At the year end Lily and Moon Limited owed M Squared (Scotland) Ltd £4,300 (2020 - £3,500).

M Squared (Scotland) Ltd provided an £150,000 loan to another company that shares a common Director, Moorlodge Residential Ltd. At the year end Moorlodge Residential Ltd owed M Squared (Scotland) Limited £150,000.

The following reproduces the text of the report prepared for the director 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 Director 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 M Squared (Scotland) Ltd for the year ended 31 December 2021 which comprise the Income Statement, Balance Sheet, Statement of Changes in Equity 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 ICAS, we are subject to its ethical and other professional requirements which are detailed at http://www.icas.com/accountspreparationguidance.

This report is made solely to the director of M Squared (Scotland) Ltd in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of M Squared (Scotland) Ltd and state those matters that we have agreed to state to the director of M Squared (Scotland) Ltd in this report in accordance with the requirements of ICAS as detailed at http://www.icas.com/accountspreparationguidance. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and its director for our work or for this report.

It is your duty to ensure that M Squared (Scotland) Ltd 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 M Squared (Scotland) Ltd. You consider that M Squared (Scotland) Ltd 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 M Squared (Scotland) Ltd. 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.

Atkinson Donnelly LLP

1 Cambuslang Court

Cambuslang

Glasgow

Strathclyde

G32 8FH

23 September 2022