The Forge (Halstead) Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 07452532 (England and Wales)

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2020

FOR

THE FORGE (HALSTEAD) LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTOR:

N Sproule

REGISTERED OFFICE:

93B Head Street

Halstead

Essex

CO9 2AZ

REGISTERED NUMBER:

07452532 (England and Wales)

ACCOUNTANTS:

RE Group Accountants Limited

Chartered Certified Accountants

The Maltings

Rosemary Lane

Halstead

Essex

CO9 1HZ

FIXED ASSETS

Intangible assets

4

-

-

Tangible assets

5

50,730

69,713

50,730

69,713

CURRENT ASSETS

Stocks

20,000

20,000

Debtors

6

119,356

179,874

Cash at bank and in hand

103,274

204

242,630

200,078

CREDITORS

Amounts falling due within one year

7

132,731

108,385

NET CURRENT ASSETS

109,899

91,693

TOTAL ASSETS LESS CURRENT LIABILITIES

160,629

161,406

CREDITORS

Amounts falling due after more than one year

8

(131,334

)

(102,650

)

PROVISIONS FOR LIABILITIES

(9,639

)

(13,061

)

NET ASSETS

19,656

45,695

CAPITAL AND RESERVES

Called up share capital

11

2

2

Retained earnings

19,654

45,693

SHAREHOLDERS' FUNDS

19,656

45,695

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2020 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 27 May 2021 and were signed by:

N Sproule - Director

1.	STATUTORY INFORMATION

The Forge (Halstead) 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 financial statements are presented in £ sterling which is the functional currency of the company.

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

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 comprises revenue recognised by the company in respect of goods and services supplied, exclusive of Value Added Tax and trade discounts.

When the outcome of a transaction can be estimated reliably, turnover from the rendering services is recognised by reference to the stage of completion at the balance sheet date.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2011, is being amortised over its estimated useful life.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

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.

Short leasehold

-

10% on cost

Improvements to property

-

10% on cost

Plant and machinery

-

20% on cost and 10% on cost

Fixtures and fittings

-

20% on cost and 10% on cost

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made foe damaged, obsolete and slow-moving stock where appropriate.

Taxation

Current tax represents the amounts of tax payable or receivable in respect of the taxable profit (or loss) for the current or past reporting periods. It is measured at the amount expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax represents the future tax consequences of transactions and events recognised in the financial statements of current and previous periods. It is recognised in respect of all timing differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expense in tax assessments in periods different from those in which they are recognised in the financial statements. 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.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of timing differences. Deferred tax on revalued non-depreciable tangible fixed assets and investment properties is measured using rates and allowances that apply to the sale of the asset.

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.

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.

Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the income statement in other administrative expenses.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 19 (2019 - 17 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2020

and 31 December 2020

260,000

AMORTISATION

At 1 January 2020

and 31 December 2020

260,000

NET BOOK VALUE

At 31 December 2020

-

At 31 December 2019

-

5.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

Short

to

Plant and

and

leasehold

property

machinery

fittings

Totals

£

£

£

£

£

COST

At 1 January 2020

and 31 December 2020

5,745

69,816

62,646

29,387

167,594

DEPRECIATION

At 1 January 2020

1,784

41,394

41,710

12,993

97,881

Charge for year

575

6,984

8,176

3,248

18,983

At 31 December 2020

2,359

48,378

49,886

16,241

116,864

NET BOOK VALUE

At 31 December 2020

3,386

21,438

12,760

13,146

50,730

At 31 December 2019

3,961

28,422

20,936

16,394

69,713

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

Plant and

machinery

£

COST

At 1 January 2020

and 31 December 2020

23,810

DEPRECIATION

At 1 January 2020

12,258

Charge for year

4,762

At 31 December 2020

17,020

NET BOOK VALUE

At 31 December 2020

6,790

At 31 December 2019

11,552

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

18,709

21,794

Other debtors

60,587

65,048

Directors' current accounts

17,922

70,355

Prepayments

22,138

22,677

119,356

179,874

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Bank loans and overdrafts

18,179

31,031

Hire purchase contracts (see note 9)

6,009

5,764

Trade creditors

6,371

8,615

Tax

23,161

26,143

Social security and other taxes

4,492

4,009

VAT

55,204

29,462

Other creditors

16,450

496

Accrued expenses

2,865

2,865

132,731

108,385

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2020

2019

£

£

Bank loans - 1-2 years

20,368

20,260

Bank loans - 2-5 years

99,813

62,301

Bank loans more 5 yr by instal

11,153

14,030

Hire purchase contracts (see note 9)

-

6,059

131,334

102,650

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

11,153

14,030

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts

2020

2019

£

£

Net obligations repayable:

Within one year

6,009

5,764

Between one and five years

-

6,059

6,009

11,823

Non-cancellable operating

leases

2020

2019

£

£

Within one year

74,556

74,556

Between one and five years

23,567

98,290

98,123

172,846

10.	SECURED DEBTS

The following secured debts are included within creditors:

2020

2019

£

£

Hire purchase contracts

6,009

11,823

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

1

Ordinary 'A'

£1

1

1

1

Ordinary 'B'

£1

1

1

2

2

12.	DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 31 December 2020 and 31 December 2019:

2020

2019

£

£

N Sproule

Balance outstanding at start of year

70,355

75,114

Amounts advanced

81,085

118,066

Amounts repaid

(133,519

)

(122,825

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

17,921

70,355

13.	ULTIMATE CONTROLLING PARTY

The controlling party is N Sproule.