S Macdonald Commercial Services Limited - Period Ending 2016-06-30

Registration number: 04792208

S Macdonald Commercial Services Limited
 
  Directors' Report and Unaudited Financial Statements
 
  for the Year Ended 30 June 2016
 

Delegate Accountancy Services
Incorporated Financial Accountants
4 Bond Terrace
Castrop-Rauxel Square
Wakefield
West Yorkshire
WF1 2HW

S Macdonald Commercial Services Limited
Contents

Company Information 1

Directors' Report 2

Accountants' Report 3

Profit and Loss Account 4

Balance Sheet 5 to 6

Notes to the Financial Statements 7 to 11

S Macdonald Commercial Services Limited
Company Information

Directors

Mr Steven MacDonald Mr Jason Chesman Mr David Wilman Mr Paul Currie

Company secretary

Mrs Joanne Catherine MacDonald

Registered office

Unit 18 Pavilion Bus. Park Royds Hall Road Leeds West Yorkshire LS12 6AJ

Bankers

Bank of Scotland 600 Gorgie Road Edinburgh EH11 3XP

Accountants

Delegate Accountancy Services Incorporated Financial Accountants 4 Bond Terrace Castrop-Rauxel Square Wakefield West Yorkshire WF1 2HW

Page 1

S Macdonald Commercial Services Limited
Directors' Report for the Year Ended 30 June 2016

The directors present their report and the unaudited financial statements for the year ended 30 June 2016.

Directors of the company

The directors who held office during the year were as follows:

Mr Steven MacDonald

Mr Jason Chesman

Mr David Wilman

Mr Paul Currie

Small company provisions

This report has been prepared in accordance with the small companies regime under the Companies Act 2006.

Approved by the Board on 26 August 2016 and signed on its behalf by:

.........................................
Mr Steven MacDonald
Director

Page 2

Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
 S Macdonald Commercial Services Limitedfor the Year Ended 30 June 2016

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of S Macdonald Commercial Services Limited for the year ended 30 June 2016 set out on pages 4 to 11 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Financial Accountants, we are subject to its ethical and other professional requirements which are detailed at ifa.org.co.uk.

This report is made solely to the Board of Directors of S Macdonald Commercial Services Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of S Macdonald Commercial Services Limited and state those matters that we have agreed to state to them, as a body, in this report in accordance with the requirements of the Institute of Financial Accountants. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than S Macdonald Commercial Services Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that S Macdonald Commercial Services Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of S Macdonald Commercial Services Limited. You consider that S Macdonald Commercial Services Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of S Macdonald Commercial Services Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.

......................................

Delegate Accountancy Services
Incorporated Financial Accountants
4 Bond Terrace
Castrop-Rauxel Square
Wakefield
West Yorkshire
WF1 2HW

26 August 2016

Page 3

S Macdonald Commercial Services Limited
Profit and Loss Account for the Year Ended 30 June 2016

		Note			2016 £			2015 £
Turnover					3,924,607			2,749,383
Cost of sales					(2,656,322)			(1,733,814)
Gross profit					1,268,285			1,015,569
Administrative expenses					(769,687)			(699,200)
Operating profit		2			498,598			316,369
Amounts written off investments					(50,043)			-
Interest payable and similar charges					(15,743)			(16,396)
Profit on ordinary activities before taxation					432,812			299,973
Tax on profit on ordinary activities		4			(88,651)			(61,521)
Profit for the financial year		12			344,161			238,452

The notes on pages 7 to 11 form an integral part of these financial statements.
Page 4

S Macdonald Commercial Services Limited
(Registration number: 04792208)
Balance Sheet at 30 June 2016

		Note			2016 £			2015 £
Fixed assets
Tangible fixed assets		5			193,264			200,759
Current assets
Stocks					5,000			5,000
Debtors		6			1,061,493			806,391
Cash at bank and in hand					139,156			21,581
					1,205,649			832,972
Creditors: Amounts falling due within one year		7			(948,861)			(603,772)
Net current assets					256,788			229,200
Total assets less current liabilities					450,052			429,959
Creditors: Amounts falling due after more than one year		8			(133,977)			(158,200)
Provisions for liabilities		9			(39,760)			(41,152)
Net assets					276,315			230,607
Capital and reserves
Called up share capital		10			5			5
Profit and loss account		12			276,310			230,602
Shareholders' funds					276,315			230,607

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the Financial Reporting Standard for Smaller Entities (effective 2015).

For the year ending 30 June 2016 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

Approved and authorised for issue by the Board on 26 August 2016 and signed on its behalf by:

The notes on pages 7 to 11 form an integral part of these financial statements.
Page 5

S Macdonald Commercial Services Limited
(Registration number: 04792208)
Balance Sheet at 30 June 2016
......... continued

.........................................
Mr Steven MacDonald
Director

The notes on pages 7 to 11 form an integral part of these financial statements.
Page 6

S Macdonald Commercial Services Limited
Notes to the Financial Statements for the Year Ended 30 June 2016
......... continued

1	Accounting policies

Basis of preparation

The financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015).

Turnover

Turnover represents amounts chargeable, net of value added tax, in respect of the sale of goods and services to customers.

Depreciation

Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:

Asset class	Depreciation method and rate
Commercial vehicles	25% Straight Line Basis
Fixtures, fittings and equipment	25% Straight Line Basis

Stock

Stock is 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.

Deferred tax

Deferred tax is recognised, without discounting, in respect of all timing differences between the treatment of certain items for taxation and accounting purposes, which have arisen but not reversed by the balance sheet date, except as required by the FRSSE. Deferred tax is measured at the rates that are expected to apply in the periods when the timing differences are expected to reverse, based on the tax rates and law enacted at the balance sheet date.

Hire purchase and leasing

Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term.

Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, are capitalised in the balance sheet as tangible fixed assets and are depreciated over the shorter of the lease term and their useful lives. The capital elements of future obligations under the leases are included as liabilities in the balance sheet. The interest element of the rental obligation is charged to the profit and loss account over the period of the lease and represents a constant proportion of the balance of capital repayments outstanding. Assets held under hire purchase agreements are capitalised as tangible fixed assets and are depreciated over the shorter of the lease term and their useful lives. The capital element of future finance payments is included within creditors. Finance charges are allocated to accounting periods over the length of the contract and represent a constant proportion of the balance of capital repayments outstanding.

Page 7

S Macdonald Commercial Services Limited
Notes to the Financial Statements for the Year Ended 30 June 2016
......... continued

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability in the balance sheet. The corresponding dividends relating to the liability component are charged as interest expense in the profit and loss account.

2	Operating profit

Operating profit is stated after charging:

		2016 £			2015 £
Profit on sale of tangible fixed assets		-			(7,000)
Depreciation of tangible fixed assets		85,737			97,332

3	Directors' remuneration

The directors' remuneration for the year was as follows:

		2016 £			2015 £
Remuneration		42,028			29,080

4

Taxation

Tax on profit on ordinary activities

		2016 £			2015 £
Current tax
Corporation tax charge		90,043			57,803
Deferred tax
Origination and reversal of timing differences		(1,392)			3,718
Total tax on profit on ordinary activities		88,651			61,521

Page 8

S Macdonald Commercial Services Limited
Notes to the Financial Statements for the Year Ended 30 June 2016
......... continued

5	Tangible fixed assets

		Plant and machinery £			Fixtures and fittings £			Total £
Cost or valuation
At 1 July 2015		464,844			20,085			484,929
Additions		78,242			-			78,242
At 30 June 2016		543,086			20,085			563,171
Depreciation
At 1 July 2015		277,554			6,616			284,170
Charge for the year		82,000			3,737			85,737
At 30 June 2016		359,554			10,353			369,907
Net book value
At 30 June 2016		183,532			9,732			193,264
At 30 June 2015		187,290			13,469			200,759

6

Debtors

		2016 £			2015 £
Trade debtors		917,367			737,001
Amounts owed by group undertakings and undertakings in which the company has a participating interest		120,000			43,907
Other debtors		24,126			25,483
		1,061,493			806,391

7	Creditors: Amounts falling due within one year

		2016 £			2015 £
Trade creditors		399,950			251,117
Obligations under finance lease and hire purchase contracts		113,849			100,830
Corporation tax		90,043			57,803
Other taxes and social security		202,683			170,885
Other creditors		142,336			23,137
		948,861			603,772

Page 9

S Macdonald Commercial Services Limited
Notes to the Financial Statements for the Year Ended 30 June 2016
......... continued

8	Creditors: Amounts falling due after more than one year

		2016 £			2015 £
Obligations under finance lease and hire purchase contracts		133,977			158,200

9	Provisions

		Deferred tax £			Total £
At 1 July 2015		41,152			41,152
Credited to the profit and loss account		(1,392)			(1,392)
At 30 June 2016		39,760			39,760

Analysis of deferred tax

		2016 £			2015 £
Difference between accumulated depreciation and amortisation and capital allowances		39,760			41,152

10	Share capital

Allotted, called up and fully paid shares

	2016						2015
		No.			£			No.			£
Ordinary A shares of £1 each		2			2			2			2
Ordinary B shares of £1 each		1			1			1			1
Ordinary C shares of £1 each		1			1			1			1
Ordinary D shares of £1 each		1			1			1			1
		5			5			5			5

11

Dividends

		2016 £			2015 £
Dividends paid
Current year interim dividend paid		298,453			119,659

Page 10

S Macdonald Commercial Services Limited
Notes to the Financial Statements for the Year Ended 30 June 2016
......... continued

12

Reserves

		Profit and loss account £			Total £
At 1 July 2015		230,602			230,602
Profit for the year		344,161			344,161
Dividends		(298,453)			(298,453)
At 30 June 2016		276,310			276,310

13

Control

The company is controlled by the directors who own 100% of the called up share capital.

Page 11