Autowise Tyre and Autocentres Limited - Accounts to registrar (filleted) - small 18.1

REGISTERED NUMBER: 03080844 (England and Wales)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2017

FOR

AUTOWISE TYRE AND AUTOCENTRES LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTOR:

P J Shearing

SECRETARY:

Mrs H Stephens

REGISTERED OFFICE:

51 Victoria Road

Burgess Hill

West Sussex

RH15 9LH

REGISTERED NUMBER:

03080844 (England and Wales)

AUDITORS:

Watson Associates (Audit Services) Ltd

Statutory Auditor

30 - 34 North Street

Hailsham

East Sussex

BN27 1DW

FIXED ASSETS

Intangible assets

4

-

-

Tangible assets

5

86,038

103,076

86,038

103,076

CURRENT ASSETS

Stocks

76,772

71,344

Debtors

6

590,593

373,407

Cash at bank and in hand

133,555

236,473

800,920

681,224

CREDITORS

Amounts falling due within one year

7

(290,302

)

(268,806

)

NET CURRENT ASSETS

510,618

412,418

TOTAL ASSETS LESS CURRENT LIABILITIES

596,656

515,494

CAPITAL AND RESERVES

Called up share capital

10

10,000

10,000

Retained earnings

586,656

505,494

SHAREHOLDERS' FUNDS

596,656

515,494

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 director on 22 May 2018 and were signed by:

P J Shearing - Director

1.	STATUTORY INFORMATION

Autowise Tyre and Autocentres 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, as modified by the recognition of certain assets and liabilities

measured at fair value.

Critical accounting judgements and key sources of estimation uncertainty

No significant judgements have had to be made by management in preparing these financial

statements.

There were no key assumptions made concerning the future, and other key sources of estimation

uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the

carrying amounts of assets and liabilities within the next financial year.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,

rebates, value added tax and other sales taxes.

The company recognises revenue when the significant risks and rewards of ownership have been

transferred to the buyer; the company retains no continuing involvement or control over the goods; the

amount of revenue can be measured reliably; and when it is probable that future economic benefits will

flow to the entity.

In respect of construction contracts and the rendering of services, turnover represents revenue

measured by reference to the stage of completion of the contract activity or of the service transaction

at the end of the reporting period.

Rental income

Rental income from operating leases is recognised on a straight-line basis over the term of the

relevant lease unless the lease payments are structured to increase in line with expected general

inflation in which case the income is recognised as revenue in accordance with the expected

payments.

Goodwill

Goodwill recognised represents the excess of the fair value and directly attributable costs of the

purchase consideration over the fair values of the identifiable net assets, liabilities and contingent

liabilities acquired.

Goodwill is amortised through the income statement in equal instalments over its estimated useful life

of 5 years. Goodwill is assessed for impairment when there are indicators of impairment and any

impairment is charged to the income statement. Reversals of impairment are recognised when the

reasons for the impairment no longer apply.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured

at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Short leasehold

-

over term of lease

Plant and machinery

-

20% on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

25% on reducing balance

Tangible assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated

impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the

asset to its working condition for its intended use, dismantling and restoration costs.

The assets' residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of

each reporting period. The effect of any change is accounted for prospectively.

Stocks

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

obsolete and slow moving items.

Cost is calculated on a first in, first out basis and includes all costs of purchase, costs of conversion

and other costs incurred in bringing the inventories to their present location and condition. In respect of

work in progress and finished goods, cost includes a relevant proportion of overheads according to the

stage of manufacture/completion.

Net realisable value is based on estimated selling price less costs to complete and sell.

At the end of each reporting period stocks and work in progress are assessed for impairment. If any

stock or work in progress is impaired, it is reduced to its net realisable value and an impairment charge

is recognised in the income statement. Where a reversal of the impairment is required the impairment

charge is reversed, up to the original impairment loss, and is recognised as a credit in the income

statement.

Financial instruments

The company only enters into basic financial instruments transactions that result in the recognition of

financial assets and liabilities like trade and other accounts receivable and payable, loans from banks

and other third parties, and loans to related parties.

Debt instruments that are payable or receivable within one year, are measured, initially and

subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or

received; other debt instruments are initially measured at present value of the future payments and

subsequently at amortised cost using the effective interest method.

Financial assets that are measured at cost and amortised cost are assessed at the end of each

reporting period for objective evidence of impairment. If objective evidence of impairment is found, an

impairment loss is recognised in profit or loss.

Financial assets and liabilities are offset and the net amount reported in the balance sheet only when

there is an enforceable right to set off the recognised amounts and there is an intention to settle on a

net basis or to realise the asset and settle the liability simultaneously.

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. Unrelieved tax losses and other deferred tax assets are only 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 tax rates and laws that have been enacted or substantively enacted by

the period end and that are expected to apply to the reversal of the timing difference.

Hire purchase and leasing commitments

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 52 (2016 - 53 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2017

and 31 December 2017

102,037

AMORTISATION

At 1 January 2017

and 31 December 2017

102,037

NET BOOK VALUE

At 31 December 2017

-

At 31 December 2016

-

5.	TANGIBLE FIXED ASSETS

Fixtures

Short

Plant and

and

Motor

leasehold

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST

At 1 January 2017

58,180

376,581

172,579

28,357

635,697

Additions

-

16,982

3,272

5,600

25,854

Disposals

-

-

(2,720

)

(3,350

)

(6,070

)

At 31 December 2017

58,180

393,563

173,131

30,607

655,481

DEPRECIATION

At 1 January 2017

49,125

329,466

134,068

19,962

532,621

Charge for year

771

20,954

14,314

3,107

39,146

Eliminated on disposal

-

-

(544

)

(1,780

)

(2,324

)

At 31 December 2017

49,896

350,420

147,838

21,289

569,443

NET BOOK VALUE

At 31 December 2017

8,284

43,143

25,293

9,318

86,038

At 31 December 2016

9,055

47,115

38,511

8,395

103,076

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade debtors

65,914

66,425

Other debtors

492,666

276,866

Prepayments

32,013

30,116

590,593

373,407

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade creditors

132,420

112,155

Tax

41,919

46,251

Social security and other taxes

106,898

101,061

Accrued expenses

9,065

9,339

290,302

268,806

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2017

2016

£

£

Between one and five years

107,875

107,531

In more than five years

146,260

140,575

254,135

248,106

9.	SECURED DEBTS

The following security is held by the company's bank;

Debenture including a fixed charge over all present freehold and leasehold property dated 16 January

2012.

First fixed charge over book and other debts, chattels, goodwill and uncalled capital, both present and

future dated 16 January 2012.

First floating charge over all assets and undertaking both present and future dated 16 January 2012.

Unlimited Multilateral Guarantee dated 12 January 2012 given by PJS Automotive Limited, Autowise

Tyres and Autocentres Limited.

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2017

2016

value:

£

£

10,000

Ordinary

£1

10,000

10,000

11.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Stephen James Moore (Senior Statutory Auditor)

for and on behalf of Watson Associates (Audit Services) Ltd

12.	RELATED PARTY DISCLOSURES

During the year rent of £36,000 (2016 £36,000) was paid to PJS Automotive Limited as landlord of the

leased premises at 7 Stocton Close, Guildford. During the year rent of £36,000 (2016 £36,000) was

paid to PJS Automotive Limited as landlord of the leased premises at 21 Station Road, Bexhill. These

were considered to be the market rate rental for such premises.

13.	ULTIMATE CONTROLLING PARTY

On the 17 January 2006, PJS Automotive Limited purchased 10,000 shares to obtain 100% control of

Autowise Tyre and Autocentres Limited. These shares were purchased from Mr P J Shearing - 1,800,

Mr T N Hickling - 8,100, and Mrs S D Hickling - 100.