Southdown Construction (Metalwork) Limit - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 04953160 (England and Wales)

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 28TH FEBRUARY 2021

FOR

SOUTHDOWN CONSTRUCTION (METALWORK)

LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

P J Knee

M W Gale

REGISTERED OFFICE:

Cornelius House

178-180 Church Road

Hove

East Sussex

BN3 2DJ

REGISTERED NUMBER:

04953160 (England and Wales)

ACCOUNTANTS:

Parkers

Cornelius House

178-180 Church Road

Hove

East Sussex

BN3 2DJ

FIXED ASSETS

Tangible assets

4

18,318

5,280

CURRENT ASSETS

Stocks

5

620,240

494,140

Debtors

6

98,266

347,432

Cash at bank and in hand

187,982

132,048

906,488

973,620

CREDITORS

Amounts falling due within one year

7

692,905

764,099

NET CURRENT ASSETS

213,583

209,521

TOTAL ASSETS LESS CURRENT LIABILITIES

231,901

214,801

CREDITORS

Amounts falling due after more than one year

8

(54,766

)

-

PROVISIONS FOR LIABILITIES

9

(3,407

)

(913

)

NET ASSETS

173,728

213,888

CAPITAL AND RESERVES

Called up share capital

10

166,666

166,666

Retained earnings

7,062

47,222

SHAREHOLDERS' FUNDS

173,728

213,888

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 28th February 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 28th February 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 27th November 2021 and were signed on its behalf by:

M W Gale - Director

1.	STATUTORY INFORMATION

Southdown Construction (Metalwork) 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.

Significant judgements and estimates

No significant judgements have had to be made by the directors in preparing these financial statements.

Turnover

Turnover represents the value of work done during the year,excluding value added tax.

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.

Plant and machinery etc

-

25% on reducing balance

Government grants

Government grants are recorded on the accruals basis and are released to the profit and loss account on receipt.

Stocks

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 items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Financial instruments

The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

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 profit or loss.

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.

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 of non-financial assets

At each reporting date non-financial assets not carried at fair value, like goodwill and plant, property and equipment, are reviewed to determine whether there is an indication that an asset may be impaired. If there is an indication of possible impairment, the recoverable amount of any asset or group of related assets, which is the higher of value in use and the fair value less cost to sell, is estimated and compared with its carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to its recoverable amount and an impairment loss is recognised immediately in profit or loss.

Stock is also assessed for impairment at each reporting date. The carrying amount of each item of stock, or group of similar items, is compared with its selling price less costs to complete and sell. If an item of stock or group of similar items is impaired, its carrying amount is reduced to selling price less costs to complete and sell, and an impairment loss is recognised immediately in profit or loss.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 38 (2020 - 39 ) .

4.	TANGIBLE FIXED ASSETS

Motor

vehicles

£

COST

At 1st March 2020

67,959

Additions

19,144

At 28th February 2021

87,103

DEPRECIATION

At 1st March 2020

62,679

Charge for year

6,106

At 28th February 2021

68,785

NET BOOK VALUE

At 28th February 2021

18,318

At 29th February 2020

5,280

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

Motor

vehicles

£

COST

Additions

19,144

At 28th February 2021

19,144

DEPRECIATION

Charge for year

4,786

At 28th February 2021

4,786

NET BOOK VALUE

At 28th February 2021

14,358

5.

STOCKS

2021

2020

£

£

Stocks

9,000

9,000

Work-in-progress

611,240

485,140

620,240

494,140

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade debtors

22,608

283,281

Other debtors

75,658

64,151

98,266

347,432

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Bank loans and overdrafts

7,500

-

Hire purchase contracts

6,133

-

Trade creditors

339,124

337,855

Taxation and social security

53,170

119,328

Other creditors

286,978

306,916

692,905

764,099

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2021

2020

£

£

Bank loans

42,500

-

Hire purchase contracts

12,266

-

54,766

-

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

2,500

-

9.	PROVISIONS FOR LIABILITIES

2021

2020

£

£

Deferred tax

Accelerated capital allowances

3,407

913

Deferred

tax

£

Balance at 1st March 2020

913

Accelerated capital allowances

2,494

Balance at 28th February 2021

3,407

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

166,666

Ordinary

£1

166,666

166,666

11.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

During the year the company paid dividends of £120,000 (2020: £158,900) to the directors and their family members.

12.	RELATED PARTY DISCLOSURES

Blastreat (Arundel) Limited;

Blastreat (Arundel) Limited is a connected company as it has directors and shareholders in common with Southdown Construction (Metalwork) Limited.

During the year the company made purchases of £91,085 (2020: £28,908) from Blastreat (Arundel) Limited, a connected company. The company owed Blastreat (Arundel) Limited £10,432 (2020: £15,320) as at 28th February 2021.

Avantec Limited

Avantec Limited is a connected company as it has directors and shareholders in common with Avantec Limited.

During the year the company made purchases from Avantec Limited of £11,400 (2020: £Nil). At the year end the company owed Avantec Limited £55,976 (2020: £45,976).

During the year the company repaid various loans to Avantec Limited. At the year end the company owed Avantec Limited the sum of £70,000 (2020: £170,000).

Hawksley & Sons Limited

Hawksley & Sons Limited is a connected company as M W Gale, a key member of management of Southdown Construction (Metalwork) Limited is a director and shareholder of Hawksley & Sons Limited.

During the year the company made purchases of £7,600 (2020: £1,146) from Hawksley and Sons Limited, a connected company. The company owed Hawksley & Sons Limited £3,000 (2020: £Nil) at 28th February 2021.