HighQ Construction Ltd - Period Ending 2022-05-28
HighQ Construction Ltd - Period Ending 2022-05-28
Registration number:
HighQ Construction Ltd
for the Period from 30 May 2021 to 28 May 2022
HighQ Construction Ltd
Contents
Company Information |
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Balance Sheet |
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Notes to the Unaudited Financial Statements |
HighQ Construction Ltd
Company Information
Directors |
Mr Ashley Cawdron Mr Seamus William Lawless Mr Stephen Carl Giles |
Registered office |
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Accountants |
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HighQ Construction Ltd
(Registration number: 09570699)
Balance Sheet as at 28 May 2022
Note |
2022 |
2021 |
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Fixed assets |
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Tangible assets |
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Other financial assets |
100,000 |
100,000 |
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Current assets |
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Stocks |
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Debtors |
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Investments |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
( |
( |
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Provisions for liabilities |
- |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
20 |
20 |
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Retained earnings |
341,309 |
385,537 |
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Shareholders' funds |
341,329 |
385,557 |
For the financial period ending 28 May 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
These financial statements have 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.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Directors report and Profit and Loss Account has been taken.
HighQ Construction Ltd
(Registration number: 09570699)
Balance Sheet as at 28 May 2022
Approved and authorised by the
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HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office and principal place of business is:
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Covid 19 and going concern
The Directors continue to review the comany's financial performance and outlook for the future. Covid-19 provided significant challenges in regards to operations and performance over the last 2 years. The company took advantage of Covid-19 relief packages and finance implemented by the UK government to cover trading shortfalls. Coimng out of Covid restrictions the company has had to contend with increasing material and labour costs which has led to the significant reduction in gross profit margin due to being unable to pass on these increases under contractual sales. The Directors believe that the company has the necessary resources in place to be profitable albeit at a reduced level. Coupled with continued support from third party finance and group relationships the Directors are satisfied that these financial statements should be prepared on a going concern basis.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Government grants
Government grants are accounted for using either the performance model or the accruals model, depending on the class of the grant.
Income from grants classed under the performance model is recognised when any performance conditions are met, which may be immediately if there are no performance conditions.
Income from grants classed under the accruals model is recognised systematically over the period in which related costs are recognised or, if related to an asset, over the useful life of that asset.
Tax
The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Other property, plant and equipment |
33% straight line and 15% reducing balance |
Motor vehicles |
25% reducing balance |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Staff numbers |
The average number of persons employed by the company (including directors with contracts of employment) during the period was
HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Tangible assets |
Motor vehicles |
Other property, plant and equipment |
Total |
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Cost or valuation |
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At 30 May 2021 |
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At 28 May 2022 |
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Depreciation |
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At 30 May 2021 |
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Charge for the period |
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At 28 May 2022 |
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Carrying amount |
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At 28 May 2022 |
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At 29 May 2021 |
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Other financial assets (current and non-current) |
Financial assets at cost less impairment |
Total |
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Non-current financial assets |
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Cost or valuation |
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At 30 May 2021 |
100,000 |
100,000 |
At 28 May 2022 |
100,000 |
100,000 |
Carrying amount |
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At 28 May 2022 |
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100,000 |
At 29 May 2021 |
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100,000 |
HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Stocks |
2022 |
2021 |
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Work in progress |
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Other inventories |
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Debtors |
Note |
2022 |
2021 |
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Trade debtors |
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Amounts owed by related parties |
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Prepayments |
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Other debtors |
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352,923 |
521,131 |
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Current asset investments |
2022 |
2021 |
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Other investments |
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Creditors |
Note |
2022 |
2021 |
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Due within one year |
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Loans and borrowings |
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Trade creditors |
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Taxation and social security |
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Other creditors |
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Note |
2022 |
2021 |
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Due after one year |
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Loans and borrowings |
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HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Loans and borrowings |
2022 |
2021 |
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Non-current loans and borrowings |
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Bank borrowings |
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Hire purchase contracts |
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Other borrowings |
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2022 |
2021 |
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Current loans and borrowings |
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Bank borrowings |
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Hire purchase contracts |
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Other borrowings |
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- |
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Bank borrowings
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Financial commitments, guarantees and contingencies |
Amounts not provided for in the balance sheet
The total amount of financial commitments not included in the balance sheet is £
HighQ Construction Ltd
Notes to the Unaudited Financial Statements for the Period from 30 May 2021 to 28 May 2022
Related party transactions |
Transactions with directors |
2022 |
At 30 May 2021 |
Advances to director |
Repayments by director |
At 28 May 2022 |
Mr Ashley Cawdron |
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Directors loan account |
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- |
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Mr Stephen Carl Giles |
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Directors loan account |
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( |
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2021 |
At 31 May 2020 |
Advances to director |
Repayments by director |
At 29 May 2021 |
Mr Seamus William Lawless |
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Directors loan account |
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- |
- |
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Mr Ashley Cawdron |
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Directors loan account |
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- |
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Mr Stephen Carl Giles |
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Directors loan account |
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( |
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Summary of transactions with all subsidiaries
Summary of transactions with other related parties