Nortek Electronic Circuits Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 01364984 (England and Wales)

Unaudited Financial Statements

for the Year Ended 30th April 2021

for

Nortek Electronic Circuits Limited

Page

Company Information

1

Abridged Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

G Davies

Miss R Watson

SECRETARY:

G Davies

REGISTERED OFFICE:

Bridge Mill

Royle Street

Congleton

Cheshire

CW12 1HR

REGISTERED NUMBER:

01364984 (England and Wales)

ACCOUNTANTS:

Hammond McNulty LLP

Bank House

Market Square

Congleton

Cheshire

CW12 1ET

FIXED ASSETS

Tangible assets

4

110,646

122,520

CURRENT ASSETS

Stocks

148,498

164,736

Debtors

160,294

133,409

Cash at bank and in hand

690,437

692,794

999,229

990,939

CREDITORS

Amounts falling due within one year

58,883

47,337

NET CURRENT ASSETS

940,346

943,602

TOTAL ASSETS LESS CURRENT LIABILITIES

1,050,992

1,066,122

PROVISIONS FOR LIABILITIES

15,899

17,573

NET ASSETS

1,035,093

1,048,549

CAPITAL AND RESERVES

Called up share capital

3,800

3,800

Share premium

1,000

1,000

Capital redemption reserve

200

200

Retained earnings

1,030,093

1,043,549

SHAREHOLDERS' FUNDS

1,035,093

1,048,549

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

The members have not required the company to obtain an audit of its financial statements for the year ended 30th April 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.

All the members have consented to the preparation of an abridged Balance Sheet for the year ended 30th April 2021 in accordance with Section 444(2A) of the Companies Act 2006.

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 2nd September 2021 and were signed on its behalf by:

G Davies - Director

1.	STATUTORY INFORMATION

Nortek Electronic Circuits 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.

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.

Going Concern

The directors have considered the potential impact of COVID-19 on the principal activities of the business and they believe that they have sufficient resources in place to operate for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods supplied and services rendered, stated net of discounts and of Value Added Tax.

Income is recognized when goods have been delivered to customers such that risks and rewards of ownership have transferred to them.

Tangible fixed assets

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

Improvements to property

-

2% on reducing balance

Plant and machinery

-

10% on reducing balance

Fixtures and fittings

-

10% on reducing balance

Motor vehicles

-

25% on reducing balance

Office equipment

-

10% on reducing balance

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.

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 following assets and liabilities are classified as financial instruments - trade debtors, trade creditors and directors loans.

Directors loans (being repayable on demand ), trade debtors and trade creditors are measured at the undiscounted amount of the cash or other consideration expected to be paid or received.

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 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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 17 (2020 - 17 ) .

4.	TANGIBLE FIXED ASSETS

Totals

£

COST

At 1st May 2020

618,207

Additions

687

At 30th April 2021

618,894

DEPRECIATION

At 1st May 2020

495,687

Charge for year

12,561

At 30th April 2021

508,248

NET BOOK VALUE

At 30th April 2021

110,646

At 30th April 2020

122,520

5.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 30th April 2021 and 30th April 2020:

30/4/21

30/4/20

£

£

G Davies

Balance outstanding at start of year

10,479

15,180

Amounts advanced

2,665

1,727

Amounts repaid

(5,360

)

(6,428

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

7,784

10,479

6.

COVID-19

During the year, the UK continued to be impacted by the outbreak of COVID-19. In order to manage the spread of the virus the Government has imposed significant restrictions on the movement of people and the ability of businesses to continue to trade. The Directors acknowledge the increasing risk from COVID-19 and have sought to mitigate their risk by carrying out a thorough review of the business as discussed below:

Government assistance

The business has taken advantage of the government grants and furloughing scheme whereby the company has furloughed staff members which has resulted in the reduction of the wage cost.