N Smith Electrical Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 05220835 (England and Wales)

N Smith Electrical Limited

Unaudited Financial Statements for the Year Ended 30 November 2020

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

Mr N Smith

Mr C Smith

REGISTERED OFFICE:

Unit 23 Ghyll Industrial Estate

Ghyll Road

Heathfield

East Sussex

TN21 8AW

REGISTERED NUMBER:

05220835 (England and Wales)

ACCOUNTANTS:

Swindells LLP

Chartered Accountants

Atlantic House

8 Bell Lane

Bellbrook Industrial Estate

Uckfield

East Sussex

TN22 1QL

FIXED ASSETS

Intangible assets

4

3,400

4,250

Tangible assets

5

614,028

635,432

617,428

639,682

CURRENT ASSETS

Stocks

412,243

298,814

Debtors

6

123,160

190,931

Cash at bank

376,244

164,370

911,647

654,115

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

7

603,361

479,287

NET CURRENT ASSETS

308,286

174,828

TOTAL ASSETS LESS CURRENT LIABILITIES

925,714

814,510

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

8

(374,072

)

(337,715

)

PROVISIONS FOR LIABILITIES

(16,661

)

(18,644

)

NET ASSETS

534,981

458,151

CAPITAL AND RESERVES

Called up share capital

10

200

200

Retained earnings

534,781

457,951

SHAREHOLDERS' FUNDS

534,981

458,151

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 November 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 November 2020 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 Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 16 August 2021 and were signed on its behalf by:

Mr C Smith - Director

1.	STATUTORY INFORMATION

N Smith Electrical 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.

Turnover

Turnover represents amounts chargeable, net of value added tax, in respect of electrical services supplied to customers. Revenue is recognised when the company obtains, through performance under contract, the right to consideration for those services.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2004, is being amortised evenly over its estimated useful life of twenty years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

2% on cost

Plant and machinery

-

25% on reducing balance

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on reducing balance

Stocks

Stocks and work in progress are valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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.

Hire purchase and leasing commitments

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 contributes to an employees' defined contribution pension scheme. Contributions payable to the pension scheme are charged to profit or loss in the period to which they relate.

Government grants

Grants received of a revenue nature are credited to income so as to match them with the expenditure to which they relate.

Going concern

The directors have assessed whether the going concern basis of preparation continues to be appropriate, based on whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. This assessment has been required in light of the significant uncertainty around the short to medium term impact of the spread of the Covid-19 virus.

At the time of approving the financial statements the directors believe that all appropriate measures have been or will be taken to ensure that the company will be able to continue its operations for at least the next twelve months and thus conclude that the going concern basis remains appropriate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 27 (2019 - 28 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 December 2019

and 30 November 2020

17,000

AMORTISATION

At 1 December 2019

12,750

Charge for year

850

At 30 November 2020

13,600

NET BOOK VALUE

At 30 November 2020

3,400

At 30 November 2019

4,250

5.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

property

machinery

fittings

£

£

£

COST

At 1 December 2019

563,930

9,164

12,966

Additions

-

-

-

At 30 November 2020

563,930

9,164

12,966

DEPRECIATION

At 1 December 2019

11,279

7,325

9,880

Charge for year

11,279

461

772

At 30 November 2020

22,558

7,786

10,652

NET BOOK VALUE

At 30 November 2020

541,372

1,378

2,314

At 30 November 2019

552,651

1,839

3,086

Motor

Computer

vehicles

equipment

Totals

£

£

£

COST

At 1 December 2019

154,396

31,786

772,242

Additions

12,443

1,660

14,103

At 30 November 2020

166,839

33,446

786,345

DEPRECIATION

At 1 December 2019

86,965

21,361

136,810

Charge for year

19,971

3,024

35,507

At 30 November 2020

106,936

24,385

172,317

NET BOOK VALUE

At 30 November 2020

59,903

9,061

614,028

At 30 November 2019

67,431

10,425

635,432

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Trade debtors

116,823

184,523

Other debtors

6,337

6,408

123,160

190,931

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2020

2019

£

£

Bank loans and overdrafts

23,489

19,855

Trade creditors

411,018

379,792

Taxation and social security

108,823

37,316

Other creditors

60,031

42,324

603,361

479,287

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2020

2019

£

£

Bank loans

374,072

337,715

2020

2019

£

£

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more than five years by instalments

243,800

251,190

9.	SECURED DEBTS

The following secured debts are included within creditors:

2020

2019

£

£

Bank loans

347,561

357,570

The bank loan is secured by way of fixed and floating charges over the property of the company.

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2020

2019

value:

£

£

100

Ordinary

£1

100

100

100

Ordinary A

£1

100

100

200

200

Ordinary and Ordinary A shares rank pari passu in all respects.

11.	OTHER FINANCIAL COMMITMENTS

Total financial commitments which are not included in the balance sheet amount to £13,235 (2019 - £22,893).

12.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

During the year the company made loans totalling £864 (2019 - £nil) to the directors and received repayments totalling £nil (2019 - £22,150). At the balance sheet date the company owed the directors £11,482 (2019 - the company owed the directors £12,346).

Loans to the directors are interest free, unsecured and repayable on demand.

Dividends paid to the director in the year amounted to £54,050 (2019 - £67,040).