Brissco (Equipment) Limited - Accounts to registrar (filleted) - small 17.3

REGISTERED NUMBER: 00455916 (England and Wales)

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017

FOR

BRISSCO (EQUIPMENT) LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

P S Pope

Mrs M Freake

K M Bartlett

REGISTERED OFFICE:

Block 9, 25 Cater Road

Bishopsworth

Bristol

BS13 7TX

REGISTERED NUMBER:

00455916 (England and Wales)

ACCOUNTANTS:

Burnside

Chartered Accountants

and Statutory Auditor

61 Queen Square

Bristol

BS1 4JZ

FIXED ASSETS

Tangible assets

4

493,580

572,738

CURRENT ASSETS

Stocks

216,464

160,401

Debtors

5

1,366,895

280,077

Cash at bank

124,116

959,430

1,707,475

1,399,908

CREDITORS

Amounts falling due within one year

6

360,153

352,094

NET CURRENT ASSETS

1,347,322

1,047,814

TOTAL ASSETS LESS CURRENT LIABILITIES

1,840,902

1,620,552

CREDITORS

Amounts falling due after more than one year

7

(19,525

)

(11,029

)

PROVISIONS FOR LIABILITIES

10

(33,939

)

(40,926

)

NET ASSETS

1,787,438

1,568,597

CAPITAL AND RESERVES

Called up share capital

11

35,000

35,000

Share premium

2,300

2,300

Capital redemption reserve

8,000

8,000

Retained earnings

1,742,138

1,523,297

SHAREHOLDERS' FUNDS

1,787,438

1,568,597

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2017.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2017 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 of Part 15 of the Companies Act 2006 relating to small companies.

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 on 24 April 2018 and were signed on its behalf by:

P S Pope - Director

1.	STATUTORY INFORMATION

Brissco (Equipment) 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 the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The presentation currency of the financial statements is the Pound Sterling (£).

Turnover

Turnover represents amounts receivable for goods and services net of VAT and trade

discounts, supplied to customers during the year.

Revenue from the sale of goods is recognised when the significant risks and rewards of

ownership of the goods have passed to the buyer (usually on despatch of the goods), the

amount of revenue can be measured reliably, it is probable that the economic benefits

associated with the transaction will flow to the entity and the costs incurred or to be incurred

in respect of the transaction can be measured reliably.

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.

Freehold property

-

Straight line over 10 to 50 years

Plant and machinery

-

Straight line over 3 to 15 years

Motor vehicles

-

Straight line over 2 to 4 years

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance

for obsolete and slow moving items.

Cost comprises direct materials and, where applicable, direct labour costs and those

overheads that have been incurred in bringing the stocks to there present location and

condition.

Financial instruments

Financial assets and liabilities are recognised in the balance sheet when the company

becomes party to the contractual provisions of the instrument.

Trade and other debtors and creditors are classified as basic financial instruments and are

measured on initial recognition at transaction price. Debtors and creditors are subsequently

measured at amortised cost using the effective interest rate method. A provision is

established when there is objective evidence that the company may not be able to collect all

amounts due.

Financial instruments (continued)

Cash and cash equivalents are classified as basic financial instruments and comprise cash

in hand and at bank.

Financial liabilities and equity instruments issued by the company are classified in

accordance with the substance of the contractual arrangements entered into and the

definitions of a financial liability and an equity instrument. An equity instrument is any

contract that evidences a residual interest in the assets of the company after deducting all of

its liabilities. Equity instruments issued by the company are recorded at the proceeds

received, net of any direct issue costs.

Interest bearing bank borrowings and other loans which meet the criteria of basic financial

instruments are initially recorded at the present value of cash payable to the bank, usually

being equivalent to the proceeds received net of direct issue costs. These liabilities are

subsequently measured at amortised cost, using the effective interest rate method.

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.

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

the period of the lease.

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.

Employee benefits

The costs of short term employee benefits are recognised as a liability and an expense,

except where those costs are required to be recognised as part of the cost of stock or fixed

assets.

The cost of any unused holiday entitlement is recognised in the period in which the

employee's services are received.

Going concern

The company continues to trade profitably and the directors have a reasonable expectation

that the company has adequate resources to continue in operational existence for the

foreseeable future. Thus they continue to adopt the going concern basis of accounting in

preparing these financial statements.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 35 (2016 - 38 ) .

4.	TANGIBLE FIXED ASSETS

Freehold

Plant and

Motor

property

machinery

vehicles

Totals

£

£

£

£

COST

At 1 January 2017

611,047

927,754

130,593

1,669,394

Additions

-

38,049

-

38,049

Disposals

-

(2,540

)

(58,927

)

(61,467

)

At 31 December 2017

611,047

963,263

71,666

1,645,976

DEPRECIATION

At 1 January 2017

272,676

742,282

81,698

1,096,656

Charge for year

12,524

55,788

20,370

88,682

Eliminated on disposal

-

(2,540

)

(30,402

)

(32,942

)

At 31 December 2017

285,200

795,530

71,666

1,152,396

NET BOOK VALUE

At 31 December 2017

325,847

167,733

-

493,580

At 31 December 2016

338,371

185,472

48,895

572,738

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

follows:

Plant and

Motor

machinery

vehicles

Totals

£

£

£

COST

At 1 January 2017

103,100

50,666

153,766

Additions

35,500

-

35,500

Transfer to ownership

-

(25,333

)

(25,333

)

At 31 December 2017

138,600

25,333

163,933

DEPRECIATION

At 1 January 2017

77,325

38,002

115,327

Charge for year

25,775

12,664

38,439

Transfer to ownership

-

(25,333

)

(25,333

)

At 31 December 2017

103,100

25,333

128,433

NET BOOK VALUE

At 31 December 2017

35,500

-

35,500

At 31 December 2016

25,775

12,664

38,439

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade debtors

229,818

223,199

Amounts owed by group undertakings

1,097,301

-

Prepayments and accrued income

39,776

56,878

1,366,895

280,077

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Amounts due under invoice

discounting facility

40,004

-

Hire purchase contracts (see note 8)

21,679

31,779

Trade creditors

127,231

136,882

Corporation tax

59,772

61,387

Social security and other taxes

72,954

85,614

Other creditors

1,991

1,727

Accruals and deferred income

36,522

34,705

360,153

352,094

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2017

2016

£

£

Hire purchase contracts (see note 8)

19,525

11,029

8.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase

contracts

2017

2016

£

£

Net obligations repayable:

Within one year

21,679

31,779

Between one and five years

19,525

11,029

41,204

42,808

Non-cancellable

operating leases

2017

2016

£

£

Within one year

16,556

6,487

Between one and five years

18,275

9,113

34,831

15,600

9.	SECURED DEBTS

The following secured debts are included within creditors:

2017

2016

£

£

Amounts due under invoice

discounting facility

40,004

-

Hire purchase contracts

41,204

42,808

81,208

42,808

The invoice discounting facility borrowings are secured on the company's trade debtors.

The hire purchase liabilities are secured on the assets to which they relate.

The company has also provided security for bank loans held by Brissco Limited, the

company's parent undertaking, totalling £483,360 (2016 - £nil), in the form of a legal

mortgage over its freehold property and through fixed and floating charges over the assets

of the company.

10.	PROVISIONS FOR LIABILITIES

2017

2016

£

£

Deferred tax

Accelerated capital allowances

34,317

41,271

Other timing differences

(378

)

(345

)

33,939

40,926

Deferred

tax

£

Balance at 1 January 2017

40,926

Credit to Income Statement during year

(6,987

)

Balance at 31 December 2017

33,939

11.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2017

2016

value:

£

£

35,000

Ordinary

£1.00

35,000

35,000

12.	RELATED PARTY DISCLOSURES

During the year the company loaned a total of £1,097,301 (2016 - £nil) to Brissco Limited,

which is the company's parent undertaking. The full balance remained outstanding at 31

December 2017 (2016 - £nil), and is repayable on demand, unsecured, and does not attract

interest.

During the year the company was charged management fees totalling £22,500 (2016 - £nil)

by Brissco Limited, the company's parent undertaking. A balance of £5,400 (2016 - £nil)

was outstanding in respect of these fees at 31 December 2017 and is included within trade

creditors.

The former directors purchased motor vehicles from the company on 1 March 2017. The

vehicles had a net book value of £28,525 at this date, and proceeds (based on listed market

values of the vehicles) were received totalling £33,500, generating a profit on disposal of

£4,975.

The controlling party is Brissco Limited.

Brissco Limited acquired 83% of the issued share capital of the company on 1 March 2017

and became the immediate and ultimate parent undertaking from this date. Brissco Limited

is incorporated in England & Wales and has its registered office at the same address of that

of the company.

The ultimate controlling parties are P S Pope and Mrs M Freake by virtue of their controlling

interest in the issued equity share capital of Brissco Limited.