Fountain Food Machinery Ltd Filleted accounts for Companies House (small and micro)

FOUNTAIN FOOD MACHINERY LIMITED - Company Information

false false false false false false false false false true false false false false false false false No description of principal activity 2017-06-01 Sage Accounts Production Advanced 2018 Update 1 - FRS xbrli:pure xbrli:shares iso4217:GBP 09604864 2017-06-01 2018-05-31 09604864 2018-05-31 09604864 2017-05-31 09604864 2016-06-01 2017-05-31 09604864 2017-05-31 09604864 bus:OrdinaryShareClass1 2017-06-01 2018-05-31 09604864 bus:LeadAgentIfApplicable 2017-06-01 2018-05-31 09604864 bus:Director1 2017-06-01 2018-05-31 09604864 bus:Director3 2017-06-01 2018-05-31 09604864 core:WithinOneYear 2018-05-31 09604864 core:WithinOneYear 2017-05-31 09604864 core:LandBuildings core:OwnedOrFreeholdAssets 2017-05-31 09604864 core:LandBuildings core:LongLeaseholdAssets 2017-05-31 09604864 core:PlantMachinery 2017-05-31 09604864 core:MotorVehicles 2017-05-31 09604864 core:LandBuildings core:LongLeaseholdAssets 2018-05-31 09604864 core:PlantMachinery 2018-05-31 09604864 core:MotorVehicles 2018-05-31 09604864 core:LandBuildings core:OwnedOrFreeholdAssets 2017-06-01 2018-05-31 09604864 core:LandBuildings core:LongLeaseholdAssets 2017-06-01 2018-05-31 09604864 core:PlantMachinery 2017-06-01 2018-05-31 09604864 core:MotorVehicles 2017-06-01 2018-05-31 09604864 core:AfterOneYear 2018-05-31 09604864 core:AfterOneYear 2017-05-31 09604864 core:UKTax 2017-06-01 2018-05-31 09604864 core:UKTax 2016-06-01 2017-05-31 09604864 core:ShareCapital 2018-05-31 09604864 core:ShareCapital 2017-05-31 09604864 core:RetainedEarningsAccumulatedLosses 2018-05-31 09604864 core:RetainedEarningsAccumulatedLosses 2017-05-31 09604864 core:BetweenOneFiveYears 2018-05-31 09604864 core:LandBuildings core:OwnedOrFreeholdAssets 2017-05-31 09604864 core:LandBuildings core:LongLeaseholdAssets 2017-05-31 09604864 core:PlantMachinery 2017-05-31 09604864 core:MotorVehicles 2017-05-31 09604864 bus:SmallEntities 2017-06-01 2018-05-31 09604864 bus:AuditExemptWithAccountantsReport 2017-06-01 2018-05-31 09604864 bus:FullAccounts 2017-06-01 2018-05-31 09604864 bus:SmallCompaniesRegimeForAccounts 2017-06-01 2018-05-31 09604864 bus:PrivateLimitedCompanyLtd 2017-06-01 2018-05-31 09604864 bus:OrdinaryShareClass1 2018-05-31 09604864 bus:OrdinaryShareClass1 2017-05-31

COMPANY REGISTRATION NUMBER: 09604864

Fountain Food Machinery Ltd

Filleted Unaudited Financial Statements

for the year ended

31 May 2018

Fountain Food Machinery Ltd

Financial Statements

for the year ended 31st May 2018

Contents	Pages

Chartered accountants report to the board of directors on the preparation of the unaudited statutory financial statements	1

Statement of financial position	2 to 3

Notes to the financial statements	4 to 8

Fountain Food Machinery Ltd

Chartered Accountants Report to the Board of Directors on the Preparation of the Unaudited Statutory Financial Statements of Fountain Food Machinery Ltd

for the year ended 31st May 2018

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Fountain Food Machinery Ltd for the year ended 31st May 2018, which comprise the statement of financial position and the related notes from the company's accounting records and from information and explanations you have given us. As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at www.icaew.com/en/membership/regulations-standards-and-guidance. This report is made solely to the Board of Directors of Fountain Food Machinery Ltd, as a body, in accordance with the terms of our engagement letter dated 3rd December 2018. Our work has been undertaken solely to prepare for your approval the financial statements of Fountain Food Machinery Ltd and state those matters that we have agreed to state to you, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF as detailed at www.icaew.com/compilation. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Fountain Food Machinery Ltd and its Board of Directors, as a body, for our work or for this report.

It is your duty to ensure that Fountain Food Machinery Ltd has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Fountain Food Machinery Ltd. You consider that Fountain Food Machinery Ltd 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 financial statements of Fountain Food Machinery Ltd. 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 financial statements.

MOORE THOMPSON Chartered Accountants

Bank House Broad Street Spalding PE11 1TB

Dated: 10 January 2019

Fountain Food Machinery Ltd

Statement of Financial Position

as at 31 May 2018

	2018		2017
Note	£	£	£	£

Fixed assets

Tangible assets	6		89,825		153,707

Current assets

Stocks		104,875	28,550
Debtors	7	133,843	222,430
Cash at bank and in hand		16,947	20,258
		-----------	-----------
		255,665	271,238

Creditors: amounts falling due within one year	8	107,143		161,915
		-----------		-----------
Net current assets			148,522		109,323
			-----------		-----------
Total assets less current liabilities			238,347		263,030

Creditors: amounts falling due after more than one year	9		73,949		59,667

Provisions

Taxation including deferred tax	270	9,227
	-----------	-----------
Net assets	164,128	194,136
	-----------	-----------

Capital and reserves

Called up share capital	10	100	100
Profit and loss account		164,028	194,036
		-----------	-----------
Shareholders funds		164,128	194,136
		-----------	-----------

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In accordance with section 444 of the Companies Act 2006, the statement of income and retained earnings has not been delivered.

For the year ending 31st May 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

- The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476 ;

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

Fountain Food Machinery Ltd

Statement of Financial Position (continued)

as at 31 May 2018

These financial statements were approved by the board of directors and authorised for issue on 9 January 2019 , and are signed on behalf of the board by:

J Lawrence	R Lunn
Director	Director

Company registration number: 09604864

Fountain Food Machinery Ltd

Notes to the Financial Statements

for the year ended 31st May 2018

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is The Factory, New Road, Upwell, Wisbech, Cambridgeshire, PE14 9AB.

2. Statement of compliance

These financial statements have been prepared in compliance with Section 1A of FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods. Estimation of useful life The useful economic life used to amortise intangible assets and depreciate tangible fixed assets relates to the expected future performance of the assets acquired and management's estimate of the period over which economic benefit will be derived from the asset. Estimation of residual value The residual value of an asset is the estimated fair value of that asset at the end of its useful economic life and therefore is also dependent upon the estimation of that life span.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised 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 that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property	-	not depreciated
Leasehold property	-	25% reducing balance
Plant and machinery	-	25% reducing balance
Motor vehicles	-	25% reducing balance

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition. Debtors and creditors receivable / payable within one year Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Finance leases and hire purchase contracts

Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the entity after deducting all of its financial liabilities.

Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability.

Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

4. Employee numbers

The average number of persons employed by the company during the year amounted to 7 (2017: 5 ).

5. Tax on (loss)/profit

Major components of tax (income)/expense

	2018	2017
	£	£

Current tax:

UK current tax expense	1,260	36,006

Deferred tax:

Origination and reversal of timing differences	( 8,957)	7,770
	-----------	-----------
Tax on (loss)/profit	( 7,697)	43,776
	-----------	-----------

6. Tangible assets

Freehold property	Leasehold property	Plant and machinery	Motor vehicles	Total
£	£	£	£	£

Cost
At 1st June 2017	95,583	3,932	42,050	37,900	179,465
Additions	113,702	–	17,669	64,122	195,493
Disposals	( 209,285)	–	( 18,500)	( 11,600)	( 239,385)
	-----------	-----------	-----------	-----------	-----------
At 31st May 2018	–	3,932	41,219	90,422	135,573
	-----------	-----------	-----------	-----------	-----------
Depreciation
At 1st June 2017	–	1,720	11,450	12,588	25,758
Charge for the year	–	553	8,598	20,790	29,941
Disposals	–	–	( 4,625)	( 5,326)	( 9,951)
	-----------	-----------	-----------	-----------	-----------
At 31st May 2018	–	2,273	15,423	28,052	45,748
	-----------	-----------	-----------	-----------	-----------
Carrying amount
At 31st May 2018	–	1,659	25,796	62,370	89,825
	-----------	-----------	-----------	-----------	-----------
At 31st May 2017	95,583	2,212	30,600	25,312	153,707
	-----------	-----------	-----------	-----------	-----------

7. Debtors

	2018	2017
	£	£

Trade debtors	62,383	152,338
Other debtors	71,460	70,092
	-----------	-----------
	133,843	222,430
	-----------	-----------

8. Creditors: amounts falling due within one year

	2018	2017
	£	£

Trade creditors	54,131	62,143
Accruals and deferred income	4,406	2,898
Corporation tax	1,260	36,006
Social security and other taxes	17,536	36,920
Obligations under finance leases and hire purchase contracts	14,855	3,200
Director loan accounts	14,352	20,748
Other creditors	603	–
	-----------	-----------
	107,143	161,915
	-----------	-----------

Liabilities under hire purchase agreements are secured against the asset to which they relate.

9. Creditors: amounts falling due after more than one year

	2018	2017
	£	£

Obligations under finance leases and hire purchase contracts	23,949	9,667
Director loan accounts	50,000	50,000
	-----------	-----------
	73,949	59,667
	-----------	-----------

Liabilities under hire purchase agreements are secured against the asset to which they relate. Directors loans totalling £50,000 (2017 £50,000) are secured by a fixed and floating charge over all the assets and undertakings of the company.

10. Called up share capital

Issued, called up and fully paid

2018		2017
No.	£	No.	£

Ordinary shares of £ 1 each	100	100.00	100	100.00
	-----------	-----------	-----------	-----------

11. Operating leases

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2018	2017
	£	£

Not later than 1 year	10,000	–
Later than 1 year and not later than 5 years	35,000	–
	-----------	-----------
	45,000	–
	-----------	-----------