SSQ Overseas Limited - Accounts

Registered number

08585836

SSQ Overseas Limited

Report and Financial Statements

31 December 2016

SSQ Overseas Limited
Report and accounts
Contents
Page
Company information	1
Director's report	2
Strategic report	3
Independent auditors' report	4
Income statement	5
Statement of financial position	6
Statement of changes in equity	7
Statement of cash flows	8
Notes to the financial statements	9-13

SSQ Overseas Limited

Company Information

Director

Ahmed Haroun El-Helw

Secretary

Vildan el-Helw

Auditors

Warren Clare

5-6 George Street

St Albans

Hertfordshire

AL3 4ER

Bankers

HSBC

69 Park Royal Road

Park Royal

London

NW10 7JJ

Registered office

301 Elveden Road

Park Royal

London

NW10 7SS

Registered number

08585836

SSQ Overseas Limited
Registered number:				08585836
Director's Report
The director presents his report and financial statements for the year ended 31 December 2016.
Principal activities
The company's principal activity during the year continued to be ...
Directors
The following persons served as directors during the year:
	Ahmed Haroun El-Helw
Director's responsibilities

The director is responsible for preparing the report and financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (Financial Reporting Standard 102 and applicable law). 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 director is required to:
●	select suitable accounting policies and then apply them consistently;
●	make judgements and estimates that are reasonable and prudent;
●	state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
●	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The director is 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 enable him to ensure that the financial statements comply with the Companies Act 2006. He is 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.

Disclosure of information to auditors

The director confirms that:
●	so far as he is aware, there is no relevant audit information of which the company's auditor is unaware; and
●	he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board on 27 September 2017 and signed on its behalf.
	A H El-Helw
	Director

SSQ Overseas Limited
Strategic Report
The director presents the strategic report and the audited financial statements of SSQ Overseas Limited for the year ended 31 December 2015.
Review of the business and future developments
The company has increased its turnover from £1.1 million in 2015 to £1.5 million in 2016. The company's access to natural slate supplies from Argentina have increased the available supply and enabled it to continue in expanding its share of the Overseas natural slate roofing market. The company continues to seek to source quality slate supplies from emerging quarries in order to achieve further growth and development.
Other than planned business growth, the director does not expect any development in the company’s business in the coming year that would be significantly different from its present activities.
Results and dividends
The company made an operating profit of £125,415 for the year (2015: £120,552).
Key performance indicators
							2016
Growth in turnover							29.7%
Growth in operating profit							4.0%
Principal risks and uncertainties
The company is exposed to foreign currency risk on supplies sourced from European Quarries in particular. The company is also exposed in interest rate risk on borrowings. However, the company has recently reviewed and changed its banking arrangements and has sourced access to further financing facilities to enable continued growth.
Trade creditor risk is managed by ensuring sufficient funds are available to meet amounts due.
Trade debtor risk in respect of credit and cash flows are manage by regular contact and meetings with major customers to ensure satisfaction, to minimise disputes and maxmise collections.
This report was approved by the board on 27 September 2017 and signed on its behalf.
	A H El-Helw
	Director

SSQ Overseas Limited

Independent auditors' report

to the member of SSQ Overseas Limited

We have audited the financial statements of SSQ Overseas Limited for the year ended 31 December 2016 which comprise the Income Statement, the Statement of Financial Position, the Statement of Changes in Equity, the Statement of Cash Flows and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

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 auditors' 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.

Respective responsibilities of directors and auditors

As explained more fully in the Statement of Director's Responsibilities, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors.

Scope of the audit of the accounts

A description of the scope of an audit of financial statements is provided on the APB’s website at www.frc.org.uk/auditscopeukprivate

Opinion on the accounts

In our opinion the accounts:
●	give a true and fair view of the state of the company's affairs as at 31 December 2016 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.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion the information given in the Director's Report and the Strategic Report for the financial year for which the financial statements are prepared is consistent with the financial statements.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where 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 accounts 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.

Roy Warren
(Senior Statutory Auditor)
for and on behalf of		5-6 George Street
Warren Clare		St Albans
Accountants and Statutory Auditors		Hertfordshire
27 September 2017		AL3 4ER

SSQ Overseas Limited
Income Statement
for the year ended 31 December 2016
Notes						2016		2015
£							£
Turnover				2		1,488,483		1,147,594
Cost of sales						(1,127,706)		(821,962)
Gross profit						360,777		325,632
Administrative expenses						(235,362)		(205,080)
Operating profit				3		125,415		120,552
Interest payable				4		(13,825)		(11,319)
Profit on ordinary activities before taxation						111,590		109,233
Tax on profit on ordinary activities				5		(28,200)		(27,697)
Profit for the financial year						83,390		81,536

SSQ Overseas Limited
Statement of Financial Position
as at 31 December 2016
Notes				2016			2015
£					£
Fixed assets
Intangible assets	6			105,300			134,550
Current assets
Stocks	7		346,775			18,634
Debtors	8		1,186,964			879,184
Cash at bank and in hand			363			122
			1,534,102			897,940
Creditors: amounts falling due within one year	9		(861,175)			(337,653)
Net current assets				672,927			560,287
Net assets				778,227			694,837
Capital and reserves
Called up share capital	10			25,000			25,000
Profit and loss account	11			753,227			669,837
Total equity				778,227			694,837
A H El-Helw
Director
Approved by the board on 27 September 2017

SSQ Overseas Limited
Statement of Changes in Equity
for the year ended 31 December 2016
Share			Profit			Total
capital			and loss
account
£			£			£
At 1 January 2015		25,000			588,301		613,301
Profit for the financial year					81,536		81,536
Shares issued		-					-
At 31 December 2015		25,000			669,837		694,837
At 1 January 2016		25,000			669,837		694,837
Profit for the financial year					83,390		83,390
At 31 December 2016		25,000			753,227		778,227

SSQ Overseas Limited
Statement of Cash Flows
for the year ended 31 December 2016
Notes			2016		2015
£				£
Operating activities
Operating profit			125,415		120,552
Adjustments for:
Amortisation of goodwill			29,250		29,250
			154,665		149,802
Increase in stocks			(328,141)		(18,634)
(Increase)/decrease in debtors			(307,780)		168,558
Increase/(decrease) in creditors			520,176		(291,721)
			38,920		8,005
Interest paid			(13,825)		(11,319)
Corporation tax paid			(24,854)		-
Cash generated by/(used in) operating activities			241		(3,314)
Net cash generated/(used)
Cash generated by/(used in) operating activities			241		(3,314)
Net cash generated/(used)			241		(3,314)
Cash and cash equivalents at 1 January			122		3,436
Cash and cash equivalents at 31 December			363		122
Cash and cash equivalents comprise:
Cash at bank			363		122

SSQ Overseas Limited
Notes to the Accounts
for the year ended 31 December 2016
1	Summary of significant accounting policies
	Basis of preparation
	The financial statements have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland.
	Turnover
	Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer.
	Intangible fixed assets
	Intangible fixed assets are measured at cost less accumulative amortisation and any accumulative impairment losses.
	Amortisation is charged so as to allocate the cost of intangibles less their residual values over their estimated useful lives, using the straight line method. Intangible assets are amortised over the following useful economic lives:
	Goodwill - 7 Years
	Tangible fixed assets

	Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:
	Freehold buildings			1% straight line
	Leasehold land and buildings			Over the life of the lease
	Plant and machinery			25% reducing balance
	Fixtures, fittings, tools and equipment			20% reducing balance

	Stocks
	Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised.
	Debtors
	Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.
	Creditors
	Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.
	Taxation
	A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. 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, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.
	Foreign currency translation
	Transactions in foreign currencies are initially recognised at a pre-determined average rate of exchange. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss.
2	Analysis of turnover					2016		2015
£							£
	Sale of goods					1,488,483		1,147,594
	By geographical market:
	Rest of world					1,488,483		1,147,594
3	Operating profit					2016		2015
£							£
	This is stated after charging:
	Amortisation of goodwill					29,250		29,250
	Carrying amount of stock sold					906,514		640,106
4	Interest payable					2016		2015
£							£
	Bank loans and overdrafts					13,825		11,319
5	Taxation					2016		2015
£							£
	Analysis of charge in period
	Current tax:
	UK corporation tax on profits of the period					28,200		27,697
	Tax on profit on ordinary activities					28,200		27,697
	Factors affecting tax charge for period
	The differences between the tax assessed for the period and tax at the standard rate of corporation tax are explained as follows:
						2016		2015
£							£
	Profit on ordinary activities before tax					111,590		109,233
	Standard rate of corporation tax in the UK					20%		20%
£							£
	Profit on ordinary activities multiplied by the standard rate of corporation tax					22,318		21,847
	Effects of:
	Expenses not deductible for tax purposes					5,882		5,850
	Current tax charge for period					28,200		27,697
6	Intangible fixed assets							£
	Goodwill:
	Cost
	At 1 January 2016							193,050
	At 31 December 2016							193,050
	Amortisation
	At 1 January 2016							58,500
	Provided during the year							29,250
	At 31 December 2016							87,750
	Carrying amount
	At 31 December 2016							105,300
	At 31 December 2015							134,550
7	Stocks					2016		2015
£							£
	Finished goods and goods for resale					346,775		18,634
8	Debtors					2016		2015
£							£
	Trade debtors					468,920		455,638
	Amounts owed by group undertakings and undertakings in which the company has a participating interest					572,099		389,926
	Other debtors					145,945		33,620
						1,186,964		879,184
9	Creditors: amounts falling due within one year					2016		2015
£							£
	Trade creditors					251,040		(77,358)
	Amounts owed to group undertakings and undertakings in which the company has a participating interest					291,902		-
	Corporation tax					55,119		51,773
	Other creditors					263,114		363,238
						861,175		337,653
10	Share capital	Nominal		2016		2016		2015
value			Number		£		£
	Allotted, called up and fully paid:
	Ordinary shares	£1 each		25,000		25,000		25,000
11	Profit and loss account					2016		2015
£							£
	At 1 January					669,837		588,301
	Profit for the financial year					83,390		81,536
	At 31 December					753,227		669,837
12	Contingent liabilities
	The company is a joint guarantor of all monies and liabilities, now and hereafter, due by its associated companies Spanish Slate Quarries UK Limited, SSQ Europe Limited and SSQ Global Holdings Limited to its bankers.
13	Controlling party
	The company's ultimate parent company is SSQ Global Holdings Limited and its ultimate controlling party is Mr A H El-Helw by virtue of his majority shareholding in the parent company.
14	Presentation currency
	The financial statements are presented in Sterling.
15	Legal form of entity and country of incorporation
	SSQ Overseas Limited is a limited company incorporated in England.
16	Principal place of business
	The address of the company's principal place of business and registered office is:
	301 Elveden Road
	Park Royal
	London
	NW10 7SS