CMB Fylde Engineering Limited - Period Ending 2022-03-31

CMB Fylde Engineering Limited

Contents

Company Information	1
Abridged Balance Sheet	2
Notes to the Abridged Financial Statements	3 to 6

CMB Fylde Engineering Limited

Company Information

Directors

Mr S Borley Mr JJW Green

Company secretary

Mr M Camilleri

Registered office

Ground Floor 1 Alexandra Gate Ffordd Pengam Cardiff South Wales CF24 2SA

Auditors

HSJ Audit Limited Severn House Hazell Drive Newport South Wales NP10 8FY

CMB Fylde Engineering Limited

(Registration number: 05031730)
Abridged Balance Sheet as at 31 March 2022

	Note	2022 £	2021 £
Fixed assets
Tangible assets	4	2,066	2,754
Current assets
Debtors		2,654,779	1,355,758
Cash at bank and in hand		99	132
		2,654,878	1,355,890
Prepayments and accrued income		7,552	17,134
Creditors: Amounts falling due within one year	5	(3,350,085)	(1,908,632)
Net current liabilities		(687,655)	(535,608)
Total assets less current liabilities		(685,589)	(532,854)
Accruals and deferred income		(271)	(99,341)
Net liabilities		(685,860)	(632,195)
Capital and reserves
Called up share capital	6	100	100
Retained earnings		(685,960)	(632,295)
Shareholders' deficit		(685,860)	(632,195)

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.

All of the company’s members have consented to the preparation of an Abridged Balance Sheet in accordance with Section 444(2A) 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. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 22 July 2022 and signed on its behalf by:
 

.........................................

Mr S Borley
Director

CMB Fylde Engineering Limited

Notes to the Abridged Financial Statements for the Year Ended 31 March 2022

1	General information

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

The address of its registered office is:
Ground Floor 1 Alexandra Gate
Ffordd Pengam
Cardiff
South Wales
CF24 2SA

These financial statements were authorised for issue by the Board on 22 July 2022.

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 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These abridged 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.

Going concern

The company balance sheet is showing nagative reserves due to losses made in the prior financial year. The directors remain fully committed to the company and forecast that is will be able to meet its day to day working capital requirements to continue trading into the forseeable future with the continued support of Borley Engineering Service Ltd, a related company. For these reasons the directors consider that the going concern basis is appropriate.

Audit report

The Independent Auditor's Report was unqualified. The name of the Senior Statutory Auditor who signed the audit report on 22 July 2022 was Andrew Hill, who signed for and on behalf of HSJ Audit Limited.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and 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.

CMB Fylde Engineering Limited

Notes to the Abridged Financial Statements for the Year Ended 31 March 2022

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
Furniture, fittings and equipment	25% straight line

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

CMB Fylde Engineering Limited

Notes to the Abridged Financial Statements for the Year Ended 31 March 2022

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.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 19 (2021 - 19).

4	Tangible assets

	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 April 2021	2,754	2,754
At 31 March 2022	2,754	2,754
Depreciation
Charge for the year	688	688
At 31 March 2022	688	688
Carrying amount
At 31 March 2022	2,066	2,066
At 31 March 2021	2,754	2,754

5	Creditors: amounts falling due within one year

Creditors include bank loans and overdrafts which are secured of £3,099,252 (2021 - £1,685,921).

CMB Fylde Engineering Limited

Notes to the Abridged Financial Statements for the Year Ended 31 March 2022

6	Share capital

Allotted, called up and fully paid shares

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

7	Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £Nil (2021 - £5,845). This represents the total future minimum lease payments under operating leases.

8	Related party transactions

Summary of transactions with parent

Relationship: Parent company
 During the year the company provided subcontract services to its parent company. The value of these subcontract services was £1,134,368 (2021 - £1,150,893). The related party companies also cross charged management charges amounting to £51,437 (2021 - £159,049) for administration. At the balance sheet date the amount due from the related party companies was £2,654,779 (2021 - £1,349,978).
 

Summary of transactions with other related parties

Relationship: Common director and shareholder
 During the year the company made and received an unsecured, interest free, repayable on demand loan from the related party company. At the company sheet date the amount due to the related party company was £16,730 (2021 - £nil).