ACCOUNTS - Final Accounts

An analysis of turnover by class of business is as follows:

Caseware UK (AP4) 2020.0.247 2020.0.247 2021-03-312021-03-31truetruetruetruetrue3false2020-04-01No description of principal activity4truefalse 01479340 2020-04-01 2021-03-31 01479340 2019-04-01 2020-03-31 01479340 2021-03-31 01479340 2020-03-31 01479340 c:CompanySecretary1 2020-04-01 2021-03-31 01479340 c:Director1 2020-04-01 2021-03-31 01479340 c:Director2 2020-04-01 2021-03-31 01479340 c:Director3 2020-04-01 2021-03-31 01479340 c:Director4 2020-04-01 2021-03-31 01479340 c:Director4 2021-03-31 01479340 c:RegisteredOffice 2020-04-01 2021-03-31 01479340 d:Buildings d:ShortLeaseholdAssets 2020-04-01 2021-03-31 01479340 d:Buildings d:ShortLeaseholdAssets 2021-03-31 01479340 d:Buildings d:ShortLeaseholdAssets 2020-03-31 01479340 d:PlantMachinery 2020-04-01 2021-03-31 01479340 d:PlantMachinery 2021-03-31 01479340 d:PlantMachinery 2020-03-31 01479340 d:PlantMachinery d:OwnedOrFreeholdAssets 2020-04-01 2021-03-31 01479340 d:FurnitureFittings 2020-04-01 2021-03-31 01479340 d:FurnitureFittings 2021-03-31 01479340 d:FurnitureFittings 2020-03-31 01479340 d:FurnitureFittings d:OwnedOrFreeholdAssets 2020-04-01 2021-03-31 01479340 d:OwnedOrFreeholdAssets 2020-04-01 2021-03-31 01479340 d:CurrentFinancialInstruments 2021-03-31 01479340 d:CurrentFinancialInstruments 2020-03-31 01479340 d:CurrentFinancialInstruments 1 2021-03-31 01479340 d:CurrentFinancialInstruments 1 2020-03-31 01479340 d:CurrentFinancialInstruments d:WithinOneYear 2021-03-31 01479340 d:CurrentFinancialInstruments d:WithinOneYear 2020-03-31 01479340 d:ReportableOperatingSegment1 2020-04-01 2021-03-31 01479340 d:ReportableOperatingSegment1 2019-04-01 2020-03-31 01479340 f:UnitedKingdom 2020-04-01 2021-03-31 01479340 f:UnitedKingdom 2019-04-01 2020-03-31 01479340 d:UKTax 2020-04-01 2021-03-31 01479340 d:UKTax 2019-04-01 2020-03-31 01479340 d:ShareCapital 2021-03-31 01479340 d:ShareCapital 2020-03-31 01479340 d:CapitalRedemptionReserve 2020-04-01 2021-03-31 01479340 d:CapitalRedemptionReserve 2021-03-31 01479340 d:CapitalRedemptionReserve 2020-03-31 01479340 d:RetainedEarningsAccumulatedLosses 2020-04-01 2021-03-31 01479340 d:RetainedEarningsAccumulatedLosses 2021-03-31 01479340 d:RetainedEarningsAccumulatedLosses 2019-04-01 2020-03-31 01479340 d:RetainedEarningsAccumulatedLosses 2020-03-31 01479340 d:RetainedEarningsAccumulatedLosses 2019-04-01 01479340 c:OrdinaryShareClass1 2020-04-01 2021-03-31 01479340 c:OrdinaryShareClass1 2021-03-31 01479340 c:OrdinaryShareClass1 2020-03-31 01479340 c:FRS102 2020-04-01 2021-03-31 01479340 c:Audited 2020-04-01 2021-03-31 01479340 c:FullAccounts 2020-04-01 2021-03-31 01479340 c:PrivateLimitedCompanyLtd 2020-04-01 2021-03-31 01479340 d:WithinOneYear 2021-03-31 01479340 d:WithinOneYear 2020-03-31 01479340 d:BetweenOneFiveYears 2021-03-31 01479340 d:BetweenOneFiveYears 2020-03-31 01479340 d:MoreThanFiveYears 2021-03-31 01479340 d:MoreThanFiveYears 2020-03-31 01479340 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:WithinOneYear 2021-03-31 01479340 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:WithinOneYear 2020-03-31 01479340 6 2020-04-01 2021-03-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 01479340

BANSAL LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

BANSAL LIMITED

COMPANY INFORMATION

Directors	J S Bansal
	Mrs R K Bansal
	K Bansal
	M Nathwani


Company secretary	J S Bansal


Registered number	01479340


Registered office	313-319 High Road
	Leytonstone
	London
	E11 4JT


Independent auditor	Barnes Roffe LLP
	Chartered Accountants Statutory Auditor
	Leytonstone House
	Leytonstone
	London
	E11 1GA

BANSAL LIMITED

CONTENTS

	Page
Strategic report	1
Directors' report	2 - 3
Independent auditor's report	4 - 7
Statement of income and retained earnings	8
Balance sheet	9
Notes to the financial statements	10 - 21

BANSAL LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Introduction

Our review is consistent with the size and non complex nature of our business and is written in the context of the risks and uncertainties we face.

Business review

The Company continues to trade in the distribution of plumbing and heating materials and operates branches based around the M25. The Company had a successful year though there was a decrease in turnover due to the difficult market conditions. The Company continues to be competitive and by continuously reviewing its operations and is well placed to take advantages of opportunities that arise.

Principal risks and uncertainties

The Company is subject to the same general risks and uncertainties as any other business, for example, the impact of natural disasters, changes in general economic conditions including interest rate fluctuations and the impact of competition. We do not consider there to be any principal risks and uncertainties that are specific to us.

Covid-19
Whilst the challenging environment created by Covid-19 pandemic continued, resulting in difficult trading conditions, the Company undertook complete review of its operations resulting in the company being in a much stronger position to adapt to the changing environment and capitalise on new opportunities.

Financial key performance indicators

We consider that our key financial performance indicators are those that communicate the financial performance and strength of the Company as a whole, these being turnover and gross profit. Due to the competitive market turnover has decreased to £19,330,471 (2020 - £21,976,423), and gross profit has decreased to £3,483,657 (2020 - £4,110,294).

This report was approved by the board on 14 December 2021 and signed on its behalf.

J S Bansal

Director

Page 1

BANSAL LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MARCH 2021

The directors present their report and the financial statements for the year ended 31 March 2021.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic report, 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the Company's financial statements 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 to 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.

Results and dividends

The profit for the year, after taxation, amounted to £186,709 (2020 - £150,531).

The directors do not recommend the payment of a final dividend.

Directors

The directors who served during the year were:

J S Bansal

Mrs R K Bansal

K Bansal

M Nathwani (appointed 20 July 2020)

Page 2

BANSAL LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Disclosure of information to auditor

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company's auditor is unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

This report was approved by the board on 14 December 2021 and signed on its behalf.

J S Bansal

Director

Page 3

BANSAL LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BANSAL LIMITED

Opinion

We have audited the financial statements of Bansal Limited (the 'Company') for the year ended 31 March 2021, which comprise the Statement of income and retained earnings, the Balance sheet and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 March 2021 and of its profit for the year then ended;

∙have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

∙have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Page 4

BANSAL LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BANSAL LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

∙the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

∙adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

∙the financial statements are not in agreement with the accounting records and returns; or

∙certain disclosures of directors' remuneration specified by law are not made; or

∙we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Directors' responsibilities statement set out on page 2, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

Page 5

BANSAL LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BANSAL LIMITED (CONTINUED)

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with law and regulations, was as follows:

∙The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

∙We identified the laws and regulations applicable to the company through discussion with management, and from our commercial knowledge and experience of the relevant sector;

∙The specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, are as follows;

°Companies Act 2006.

°FRS102.

°Tax legislation

∙We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management;

∙Laws and regulations were communicated within the audit team at the planning meeting, and during the audit as any further laws and regulation were identified.

The audit team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur by:

∙Making enquires of management as to where they consider there was susceptibility to fraud and their knowledge of actual suspected and alleged fraud;

∙Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations;

∙Performing analytical procedures to identify any unusual or unexpected trends or anomalies;

∙Inspecting and testing journal entries to identify unusual or unexpected transactions;

∙Assessing whether judgement and assumptions made in determining significant accounting estimates, including onerous lease provisions, were indicative of management bias.

The areas that we identified as being susceptible to misstatement through fraud were:

∙Management bias in the estimates and judgements made;

∙Management override of controls.

Page 6

BANSAL LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BANSAL LIMITED (CONTINUED)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's report.

Use of our report

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditor's 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 members, as a body, for our audit work, for this report, or for the opinions we have formed.

Andrew May (Senior statutory auditor)

for and on behalf of

Barnes Roffe LLP

Chartered Accountants
Statutory Auditor

Leytonstone House

Leytonstone

London

E11 1GA

17 December 2021

Page 7

BANSAL LIMITED

STATEMENT OF INCOME AND RETAINED EARNINGS

FOR THE YEAR ENDED 31 MARCH 2021

	2021	2020
Note	£	£


Turnover	4	19,330,471	21,976,423
Cost of sales		(15,846,814)	(17,866,129)
Gross profit		3,483,657	4,110,294
Distribution costs		(1,362,646)	(1,770,763)
Administrative expenses		(1,851,465)	(2,092,840)
Other operating income	5	-	12,587
Operating profit	6	269,546	259,278
Interest receivable and similar income	10	-	6
Interest payable and similar expenses	11	(16,781)	(42,418)
Profit before tax		252,765	216,866
Tax on profit	12	(66,056)	(66,335)
Profit after tax		186,709	150,531



Retained earnings at the beginning of the year	3,786,669	3,636,138
Profit for the year	186,709	150,531
Retained earnings at the end of the year	3,973,378	3,786,669

The notes on pages 10 to 21 form part of these financial statements.

Page 8

BANSAL LIMITED

REGISTERED NUMBER: 01479340

BALANCE SHEET

AS AT 31 MARCH 2021

		2021		2020
Note		£		£

Fixed assets
Tangible assets	13		354,333		443,303
Investments	14		1,250		1,250
			355,583		444,553
Current assets
Stocks	15	2,405,551		2,668,496
Debtors: amounts falling due within one year	16	5,787,335		5,896,897
Cash at bank and in hand	17	3,723,213		3,112,935
		11,916,099		11,678,328
Creditors: amounts falling due within one year	18	(8,268,054)		(8,305,962)
Net current assets			3,648,045		3,372,366
Total assets less current liabilities			4,003,628		3,816,919

Net assets			4,003,628		3,816,919

Capital and reserves
Called up share capital	19	27,225	27,225
Capital redemption reserve	20	3,025	3,025
Profit and loss account	20	3,973,378	3,786,669
		4,003,628	3,816,919

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 14 December 2021.

J S Bansal

Director

The notes on pages 10 to 21 form part of these financial statements.

Page 9

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

1.	General information

Bansal Limited ("the Company") is a private company limited by shares, incorporated in England and Wales. Its registered office is 313-319 High Road, Leytonstone, London, E11 4JT.
Its principal activity is the wholesale of plumbing and heating supplies.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

2.2

Financial reporting standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

∙the requirements of Section 7 Statement of Cash Flows;

∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);

∙the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;

∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Bansal Group Limited as at 31 March 2021 and these financial statements may be obtained from Companies House.

Page 10

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

2.Accounting policies (continued)

2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Company has transferred the significant risks and rewards of ownership to the buyer;

∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

2.4

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their
estimated useful lives.

Depreciation is provided on the following annual bases:

Short term leasehold buildings	-	10% straight line
Plant & machinery	-	10% straight line
Fixtures, fittings and computer equipment	-	10% & 20% reducing balance

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted, prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of income and retained earnings.

Page 11

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

2.Accounting policies (continued)

2.5

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted Company shares, whose market value can be reliably determined, are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Statement of income and retained earnings for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

Investments in listed company shares are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Statement of income and retained earnings for the period.

2.6

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in Statement of Income and Retained Earnings.

2.7

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.8

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.9

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.10

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.11

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the lease term.

Page 12

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

2.Accounting policies (continued)

2.12

Leased assets: the Company as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase 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 creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.13

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the Balance sheet date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 13

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

3.	Judgments in applying accounting policies and key sources of estimation uncertainty

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
a) Critical judgments in applying accounting policies
The company does not consider there to be any critical judgments in applying accounting policies.
b) Critical accounting estimates and assumptions
The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.
i) Impairment of stock
The company supplies heating, plumbing and bathroom products that are subject to technological advancement. As a result it is necessary to consider the recoverability of the cost of inventory and the associated provisioning required. When calculating the inventory provision, management considers the nature and condition of the inventory, as well as applying assumptions around anticipated saleability of the goods.

	Sale of goods	19,330,471	21,976,423

Analysis of turnover by country of destination:

					2021	2020
					£	£

	United Kingdom	19,330,471	21,976,423

5.	Other operating income
		2021	2020
		£	£

	Rents receivable	-	12,587

Page 14

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

Depreciation	109,969	109,696
Other operating lease rentals	489,579	494,672
Inventory recognised as an expense	15,930,964	17,926,129

7.	Auditor's remuneration
		2021	2020
		£	£

	Fees payable to the Company's auditor and its associates for the audit of the Company's annual accounts	9,000	9,000

The Company has taken advantage of the exemption not to disclose amounts paid for non audit services as these are disclosed in the group accounts of the parent Company.

Employees

The average monthly number of employees, including the directors, during the year was as follows:

	2021	2020
	No.	No.

Distribution and sales	1	1
Administration	3	2

	4	3

9.	Directors' remuneration

The directors of the company are also members of Bansal Management LLP. It is not possible to quantify the amount paid to Bansal Management LLP which relates specifically to making available the services of the LLP members who are also directors of the company.

Page 15

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

10.	Interest receivable and similar income
		2021	2020
		£	£

Other interest receivable

11.	Interest payable and similar charges
		2021	2020
		£	£

Other interest	14,925	41,123
Other interest payable	1,856	1,295
	16,781	42,418

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BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

Corporation tax
Current tax on profits for the year	66,918	64,268
Adjustments in respect of previous periods	(862)	2,067
	66,056	66,335

Profit on ordinary activities before tax

252,765

216,866

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2020 - 19%)	48,025	41,205
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	5,064	11,634
Depreciation in excess of capital allowances for the year	13,829	11,429
Adjustments to tax charge in respect of prior periods	(862)	2,067
Total tax charge for the year	66,056	66,335

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 17

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

13.	Tangible fixed assets

	S/Term Leasehold Property	Plant & machinery	Fixtures, Fittings & Equipment	Total
	£	£	£	£
Cost
At 1 April 2020	480,436	243,978	806,643	1,531,057
Additions	4,280	-	16,719	20,999
At 31 March 2021	484,716	243,978	823,362	1,552,056
Depreciation
At 1 April 2020	236,822	187,134	663,798	1,087,754
Charge for the year on owned assets	34,402	8,878	66,689	109,969
At 31 March 2021	271,224	196,012	730,487	1,197,723
Net book value
At 31 March 2021	213,492	47,966	92,875	354,333
At 31 March 2020	243,614	56,844	142,845	443,303

14.	Fixed asset investments

		Other investments
		£
	Cost
	At 1 April 2020	1,250
	At 31 March 2021	1,250

£750 of the investment is in quoted shares. It is the opinion of the directors that the market value of the investments is in excess of the cost, but not materially so.

Page 18

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

15.	Stocks
		2021	2020
		£	£

	Goods for resale	2,405,551	2,668,496

16.

Debtors

					2021	2020
					£	£


Trade debtors	3,983,304	4,118,413
Amounts owed by group undertakings	1,255,567	1,252,491
Other debtors	426,749	416,114
Prepayments	121,715	109,879
	5,787,335	5,896,897

17.	Cash and cash equivalents
		2021	2020
		£	£

	Cash at bank and in hand	3,723,213	3,112,935

Page 19

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

18.	Creditors: Amounts falling due within one year
		2021	2020
		£	£

Trade creditors	5,331,932	5,061,660
Amounts owed to group undertakings	402,257	421,209
Corporation tax	66,911	139,900
Amounts due to invoice financing	2,442,794	2,493,756
Other creditors	-	109,575
Accruals	24,160	79,862
	8,268,054	8,305,962

Included in creditors is an amount of £2,442,794 (2020 - £2,493,756) secured on certain sales ledger balances of the company.
The obligations under finance leases are secured on the assets to which they relate.

19.	Share capital
		2021	2020
		£	£

Allotted, called up and fully paid

27,225 (2020 - 27,225) Ordinary shares of £1.00 each	27,225	27,225

All shares have equal rights, and there are no restrictions on the distribution of dividends and the repayment of capital.

20.

Reserves

Capital redemption reserve

The capital redemption reserve is a result of a repurchase of own shares in the period ended 3 April 2009.

Profit & loss account

The profit and loss account represents accumulated profits and losses of the company since incorporation less dividends paid.

Page 20

BANSAL LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

Land and buildings
Not later than 1 year	324,993	318,554
Later than 1 year and not later than 5 years	1,283,110	1,309,827
Later than 5 years	1,137,571	1,426,123
	2,745,674	3,054,504

					2021	2020
					£	£

	Other
	Not later than 1 year	-	2,123

22.

Related party transactions

The Company has taken advantage of the exemption, under FRS 102 paragraph 1.12 and paragraph 33.1A, from disclosing transactions and balances with its group companies because group accounts consolidating all group entities are prepared by the parent undertaking and are publically available from Companies House.
At the year end the company owed the directors £Nil (2020 - £109,575).
The company occupies a property owned by a company under common control. The rent charged during the year was £81,700 (2020 - £81,700). At the year end the company was owed £372,174 (2020 - £356,192) from this company.

23.	Ultimate parent undertaking and controlling party

The parent undertaking is Bansal Group Limited. Its registered office is 313 - 319 High Road, Leytonstone, London, E11 4JT.
The ultimate controlling party is Mr J S Bansal by virtue of his shareholding in Bansal Group Limited.

Page 21