R.S.T. Irrigation Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 01253668 (England and Wales)

Unaudited Financial Statements

for the Year Ended 30 September 2021

for

R.S.T. Irrigation Limited

Page

Company Information

1

Balance Sheet

2

to

3

Notes to the Financial Statements

4

to

9

DIRECTORS:

Mr W G Smith

Mrs M A Smith

Mr N A Smith

Mr T A Smith

SECRETARIES:

Mrs M A Smith

Mr R P Smith

REGISTERED OFFICE:

Eldo House

Kempson Way

Suffolk Business Park

Bury St Edmunds

Suffolk

IP32 7AR

REGISTERED NUMBER:

01253668 (England and Wales)

ACCOUNTANTS:

Knights Lowe

Chartered Accountants

Eldo House, Kempson Way

Suffolk Business Park

Bury St Edmunds

Suffolk

IP32 7AR

FIXED ASSETS

Tangible assets

4

818,609

662,457

CURRENT ASSETS

Stocks

441,252

450,104

Debtors

5

378,362

154,991

Cash at bank and in hand

8,241

183,262

827,855

788,357

CREDITORS

Amounts falling due within one year

6

385,073

331,884

NET CURRENT ASSETS

442,782

456,473

TOTAL ASSETS LESS CURRENT LIABILITIES

1,261,391

1,118,930

CREDITORS

Amounts falling due after more than one year

7

(26,314

)

(20,322

)

PROVISIONS FOR LIABILITIES

9

(103,660

)

(73,992

)

NET ASSETS

1,131,417

1,024,616

CAPITAL AND RESERVES

Called up share capital

10

4,000

4,000

Fair value reserve

11

129,822

129,822

Retained earnings

997,595

890,794

SHAREHOLDERS' FUNDS

1,131,417

1,024,616

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 September 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 September 2021 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their 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 Board of Directors and authorised for issue on 8 March 2022 and were signed on its behalf by:

Mr N A Smith - Director

Mr T A Smith - Director

1.	STATUTORY INFORMATION

R.S.T. Irrigation Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

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 as modified by the revaluation of certain assets.

Turnover

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

Turnover in respect of service contracts is recognised when the company obtains the right to consideration. Sales invoiced in advance are recognised as deferred income and sales invoiced in arrears recognised as accrued income.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% straight line

Plant and machinery

-

15% on reducing balance

Hire equipment

-

15% on reducing balance and 10% on reducing balance

Motor vehicles

-

25% on reducing balance

Depreciation of freehold property is based on its revalued amount.

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

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities such as trade and other accounts receivable and payable, bank and hire purchase liabilities and loans from related parties.

Debt instruments, such as loans and other accounts receivable and payable, are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration, expected to be paid or received. However if the arrangements of a short-term instrument constitute a financing transaction, such as the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate, or in case of an outright short-term loan not at market rate, the financial asset or liability is measured, initially and subsequently, at the present value of the future payment discounted at a market rate of interest for a similar debt instrument.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the company would receive for the asset if it were to be sold at the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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.

Impairment

At each reporting date, goodwill and other fixed assets, including tangible fixed assets and investments but excluding investment properties, are assessed to determine whether there is an indication that the carrying amount of an asset may be more than its recoverable amount and that the asset should be impaired. If there is an indication of possible impairment, the recoverable amount of an asset, which is the higher of its value in use and its net realisable value, is estimated and compared with its carrying amount. If the recoverable amount is lower, the carrying amount of the asset is written down to its estimated recoverable amount and an impairment loss is recognised in profit and loss.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 15 (2020 - 14 ) .

4.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

COST OR VALUATION

At 1 October 2020

315,000

569,304

884,304

Additions

-

307,625

307,625

Disposals

-

(112,151

)

(112,151

)

At 30 September 2021

315,000

764,778

1,079,778

DEPRECIATION

At 1 October 2020

-

221,847

221,847

Charge for year

-

68,225

68,225

Eliminated on disposal

-

(28,903

)

(28,903

)

At 30 September 2021

-

261,169

261,169

NET BOOK VALUE

At 30 September 2021

315,000

503,609

818,609

At 30 September 2020

315,000

347,457

662,457

Cost or valuation at 30 September 2021 is represented by:

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

Valuation in 2019

129,822

-

129,822

Cost

185,178

764,778

949,956

315,000

764,778

1,079,778

If land and buildings had not been revalued they would have been included at the following historical cost:

2021

2020

£

£

Cost

185,178

185,178

Aggregate depreciation

73,969

73,969

Land and buildings were valued on an open market basis on 18 April 2019 by Barker Storey Matthews .

The directors believe that the value has not changed significantly since then.

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

machinery

etc

£

COST OR VALUATION

At 1 October 2020

50,816

Additions

56,065

At 30 September 2021

106,881

DEPRECIATION

At 1 October 2020

10,408

Charge for year

13,460

At 30 September 2021

23,868

NET BOOK VALUE

At 30 September 2021

83,013

At 30 September 2020

40,408

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade debtors

367,936

144,927

Other debtors

10,426

10,064

378,362

154,991

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Bank loans and overdrafts

71,662

-

Hire purchase contracts

24,947

13,333

Trade creditors

47,980

40,694

Taxation and social security

173,330

243,806

Other creditors

67,154

34,051

385,073

331,884

Other creditors includes loans from the directors.

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2021

2020

£

£

Hire purchase contracts

26,314

20,322

8.	SECURED DEBTS

The following secured debts are included within creditors:

2021

2020

£

£

Bank overdraft

71,662

-

Hire purchase contracts

51,261

33,655

122,923

33,655

The bank borrowings are secured by legal charges over the company's freehold property and floating charges over the other assets.

The hire purchase liabilities are secured on the assets to which they relate.

9.	PROVISIONS FOR LIABILITIES

2021

2020

£

£

Deferred tax

Accelerated capital allowances

103,660

73,992

Deferred

tax

£

Balance at 1 October 2020

73,992

Charge to Income Statement during year

29,668

Balance at 30 September 2021

103,660

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

2,000

A Ordinary

£1

2,000

2,000

600

B Ordinary

£1

600

600

500

C Ordinary

£1

500

500

400

D Ordinary

£1

400

400

500

E Ordinary

£1

500

500

4,000

4,000

11.

RESERVES

Fair

value

reserve

£

At 1 October 2020

and 30 September 2021

129,822