Precision Pest Management Solutions Limited
Precision Pest Management Solutions Limited
Registered number: 03257290
Directors' Report and
Unaudited Financial Statements
For The Year Ended
30 September 2020
Barclay-Stretton Accountants
Members of the Institute of Financial Accountants
Barclay House
35 Borough Road
Burton on Trent
Staffordshire
DE14 2DA
Precision Pest Management Solutions Limited
Directors' Report and Unaudited Financial Statements
For The Year Ended
30 September 2020
Directors' Report and Unaudited Financial Statements
| Contents | |
| Page | |
|---|---|
| Company Information | 1 |
| Directors' Report | 2 |
| Accountant's Report | 3 |
| Profit and Loss Account | 4 |
| Balance Sheet | 5—6 |
| Notes to the Financial Statements | 7—12 |
Precision Pest Management Solutions Limited
Company Information
For The Year Ended
30 September 2020
Company Information
| Directors |
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| Secretary |
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| Company Number |
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| Registered Office | Precision House, 267 Iveson Drive |
| Ireland Wood | |
| Leeds | |
| W Yorkshire | |
| LS16 6LP | |
| Accountants |
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| Members of the Institute of Financial Accountants | |
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| 35 Borough Road | |
| Burton on Trent | |
| Staffordshire | |
| DE14 2DA | |
Page 1
Precision Pest Management Solutions Limited
Company No. 03257290
Directors' Report For The Year Ended
30 September 2020
Directors' Report
The directors present their report and the financial statements for the year ended
30 September 2020
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Statement of Directors' Responsibilities
The directors are responsible for preparing the Directors' Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the company and of the profit or loss for that period. In preparing the financial statements the directors are required to:
- select suitable accounting policies and then apply them consistently;
- make judgments and accounting estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Principal Activity
The company's principal activity continues to be that of the provision of pest control services.
Directors
The directors who held office during the year were as follows:
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Small Company Rules
This report has 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.
On behalf of the board
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Director
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Page 2
Precision Pest Management Solutions Limited
Accountant's Report
For The Year Ended
30 September 2020
Accountant's Report
In accordance with the engagement letter dated 31 January 2011, and in order to assist you to fulfil your duties under the Companies Act 2006, we have compiled the financial statements of the company from the accounting records and information and explanations you have given to us.
This report is made to the Company's Board of Directors, as a body, in accordance with the terms of our engagement. Our work has been undertaken so that we might compile the financial statements that we have been engaged to compile, report to the Company's Board of Directors that we have done so, and state those matters that we have agreed to state to them in this report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's Board of Directors, as a body, for our work or for this report.
We have carried out this engagement in accordance with technical guidance issued by the Institute of Financial Accountants and have complied with the ethical guidance laid down by the Institute relating to members undertaking the compilation of financial statements.
You have acknowledged on the balance sheet as at year ended 30 September 2020 your duty to ensure that the company has kept proper accounting records and to prepare financial statements that give a true and fair view under the Companies Act 2006. You consider that the company is exempt from the statutory requirement for an audit for the year.
We have not been instructed to carry out an audit of the financial statements. 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 financial statements
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Members of the Institute of Financial Accountants
Barclay House
35 Borough Road
Burton on Trent
Staffordshire
DE14 2DA
Page 3
Precision Pest Management Solutions Limited
Profit and Loss Account
For The Year Ended
30 September 2020
Profit and Loss Account
| 2020 | 2019 | |||
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| Notes | £ | £ | ||
| TURNOVER |
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| Cost of sales |
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| GROSS PROFIT |
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| Administrative expenses |
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| Other operating income |
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| OPERATING PROFIT | 2 |
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| Profit on disposal of fixed assets |
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| Other interest receivable and similar income |
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| Interest payable and similar charges | 5 |
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| PROFIT BEFORE TAXATION |
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| Tax on Profit | 6 |
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| PROFIT AFTER TAXATION BEING PROFIT FOR THE FINANCIAL YEAR |
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The notes on pages 7 to 12 form part of these financial statements.
Page 4
Precision Pest Management Solutions Limited
Balance Sheet
As at
30 September 2020
Balance Sheet
| 2020 | 2019 | ||||
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| Notes | £ | £ | £ | £ | |
| FIXED ASSETS | |||||
| Intangible Assets | 7 |
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| Tangible Assets | 8 |
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| CURRENT ASSETS | |||||
| Stocks | 9 |
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| Debtors | 10 |
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| Investments | 11 |
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| Cash at bank and in hand |
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| Creditors: Amounts Falling Due Within One Year | 12 |
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| NET CURRENT ASSETS (LIABILITIES) |
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| TOTAL ASSETS LESS CURRENT LIABILITIES |
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| Creditors: Amounts Falling Due After More Than One Year | 13 |
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| NET ASSETS |
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| CAPITAL AND RESERVES | |||||
| Called up share capital | 16 |
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| Profit and Loss Account |
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| SHAREHOLDERS' FUNDS | 1,203,147 | 1,680,721 | |||
Page 5
Precision Pest Management Solutions Limited
Balance Sheet (continued)
As at
30 September 2020
Directors' responsibilities:
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The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006. -
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. -
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
On behalf of the board
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Director
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The notes on pages 7 to 12 form part of these financial statements.
Page 6
Precision Pest Management Solutions Limited
Notes to the Financial Statements
For The Year Ended
30 September 2020
Notes to the Financial Statements
1.
Accounting Policies
1.1.
Basis of Preparation of Financial Statements
The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).
1.2.
Turnover
Turnover comprises the invoiced value of goods and services supplied by the company, net of Value Added Tax and trade discounts.
1.3.
Intangible Fixed Assets and Amortisation - Goodwill
Goodwill is the difference between amounts paid on the acquisition of a business and the fair value of the separable net assets. It is amortised to profit and loss account over its estimated economic life of between 7 and 10 years.
1.4.
Tangible Fixed Assets and Depreciation
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
| Freehold |
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| General Equipment |
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| Motor Vehicles |
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| Computer Equipment |
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1.5.
Leasing and Hire Purchase Contracts
Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired under finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in the creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to profit and loss account as incurred.
1.6.
Stocks and Work in Progress
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. Work-in-progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.
1.7.
Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other year and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and asset reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.
Page 7
Precision Pest Management Solutions Limited
Notes to the Financial Statements (continued)
For The Year Ended
30 September 2020
1.8.
Pensions
The company operates a defined pension contribution scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.
2.
Operating Profit
The operating profit is stated after charging:
| 2020 | 2019 | ||
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| £ | £ | ||
| Bad debts | 1,794 | 21,475 | |
| Directors' remuneration |
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| Depreciation of tangible fixed assets |
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| Amortisation of intangible fixed assets |
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3.
Average Number of Employees
Average number of employees, including directors, during the year was as follows:
| 2020 | 2019 | ||
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| Office and administration |
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| Sales, marketing and distribution |
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4.
Directors' remuneration
| 2020 | 2019 | ||
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| £ | £ | ||
| Emoluments |
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| Company contributions to money purchase pension schemes |
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During the year, retirement benefits were accruing to 2 directors (previous year 2) in respect of money purchase schemes.
5.
Interest Payable
| 2020 | 2019 | ||
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| £ | £ | ||
| Bank loans and overdrafts |
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Page 8
Precision Pest Management Solutions Limited
Notes to the Financial Statements (continued)
For The Year Ended
30 September 2020
6.
Tax on Profit
| Tax Rate | 2020 | 2019 | |||
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| 2020 | 2019 | £ | £ | ||
| UK Corporation Tax | 19.0% | 19.0% |
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| Total Current Tax Charge |
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| Deferred Taxation |
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| Total tax charge for the period |
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| 2020 | 2019 | ||||
| £ | £ | ||||
| Profit before tax | 655,068 | 658,823 | |||
| Breakdown of Tax Charge is: | |||||
| Tax on profit at 19% (UK standard rate) |
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| Goodwill/depreciation not allowed for tax |
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| Expenses not deductible for tax purposes |
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| Capital allowances |
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| Short term timing differences |
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| Total tax charge for the period | 132,642 | 134,084 | |||
7.
Intangible Assets
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| Amortisation | |||
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| Provided during the period |
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| As at
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| Net Book Value | |||
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| As at
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Page 9
Precision Pest Management Solutions Limited
Notes to the Financial Statements (continued)
For The Year Ended
30 September 2020
8.
Tangible Assets
| Land & Property | |||||
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| Freehold | General Equipment | Motor Vehicles | Computer Equipment | Total | |
| £ | £ | £ | £ | £ | |
| Cost | |||||
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| Additions |
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| Disposals |
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| Depreciation | |||||
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| Provided during the period |
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| Disposals |
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| Net Book Value | |||||
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Included above are assets held under finance leases or hire purchase contracts with a net book value as follows:
| 2020 | 2019 | ||
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| £ | £ | ||
| Motor Vehicles |
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9.
Stocks
| 2020 | 2019 | ||
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| £ | £ | ||
| Stock - materials |
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10.
Debtors
| 2020 | 2019 | ||
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| £ | £ | ||
| Due within one year | |||
| Trade debtors |
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| Other debtors |
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| Deferred tax current asset | 2,797 | 3,046 | |
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Page 10
Precision Pest Management Solutions Limited
Notes to the Financial Statements (continued)
For The Year Ended
30 September 2020
11.
Current Asset Investments
| 2020 | 2019 | ||
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| £ | £ | ||
| Unlisted investments | 5,744 | 5,744 | |
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12.
Creditors: Amounts Falling Due Within One Year
| 2020 | 2019 | ||
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| £ | £ | ||
| Net obligations under finance lease and hire purchase contracts |
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| Trade creditors |
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| Corporation tax |
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| Other taxes and social security |
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| Accruals and deferred income |
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| Directors' loan accounts |
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| Other creditors |
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13.
Creditors: Amounts Falling Due After More Than One Year
| 2020 | 2019 | ||
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| £ | £ | ||
| Net obligations under finance lease and hire purchase contracts |
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14.
Obligations Under Finance Leases and Hire Purchase
| 2020 | 2019 | ||
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| £ | £ | ||
| The maturity of these amounts is as follows: | |||
| Amounts Payable: | |||
| Within one year |
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| Between one and five years |
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15.
Deferred Taxation
The provision for deferred taxation is made up of accelerated capital allowances
17.
Directors Advances, Credits and Guarantees
Dividends paid to directors
Page 11
Precision Pest Management Solutions Limited
Notes to the Financial Statements (continued)
For The Year Ended
30 September 2020
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Mrs Sarah Ayers | 120,000 | 12,000 |
| Mr Michael Ayers | 810,000 | 81,000 |
18.
Dividends
| 2020 | 2019 | ||
|---|---|---|---|
| £ | £ | ||
| On equity shares: | |||
| Interim dividend paid |
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| 1,000,000 | 100,000 | ||
19.
Ultimate Controlling Party
The company's ultimate controlling party is Michael Ayers by virtue of his ownership of 81% of the issued share capital in the company.
20.
General Information
Precision Pest Management Solutions Limited
is a private company, limited by shares, incorporated in England & Wales, registered number
03257290
. The registered office is Precision House, 267 Iveson Drive, Ireland Wood, Leeds, W Yorkshire, LS16 6LP.
Page 12