Abbreviated Company Accounts - DRIVER SUPPORT SERVICES LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

Turnover policy
Turnover represents amounts receivable for services net of VAT and trade discounts.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Fixtures, fittings & equipment 25% reducing balance
Motor vehicles 25% reducing balance

Other accounting policies
Sales financing
The company has entered into an invoice financing agreement, whereby it is permitted to draw up a fixed percentage of the face value of debts transferred to the sales invoicing company. Advances received against such debts are disclosed in the balance sheet as current liabilities and the gross amounts of the debts financed are included in trade debtors.

Trust
The company has created a trust whose beneficiaries will include employees of the company and their dependents. Assets held under this trust will be controlled by trustees who will be acting independently and entirely at their own discretion.

Where assets are held in the trust and these are considered by the company to be in respect of services already provided by employees to the company, the company will account for these as assets of the trust when payment is made to the trust. The value transferred will be charged in the company's profit and loss account for the year to which it relates.