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REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
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FINANCIAL STATEMENTS |
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FOR THE YEAR ENDED 31 OCTOBER 2017 |
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FOR |
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BARRIER LIMITED |
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REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
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FINANCIAL STATEMENTS |
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FOR THE YEAR ENDED 31 OCTOBER 2017 |
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FOR |
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BARRIER LIMITED |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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Page |
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Company Information | 1 |
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Strategic Report | 2 |
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Report of the Directors | 3 |
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Report of the Independent Auditors | 5 |
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Statement of Comprehensive Income | 7 |
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Balance Sheet | 8 |
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Statement of Changes in Equity | 9 |
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Cash Flow Statement | 10 |
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Notes to the Cash Flow Statement | 11 |
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Notes to the Financial Statements | 12 |
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BARRIER LIMITED |
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COMPANY INFORMATION |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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DIRECTORS: |
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SECRETARY: |
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REGISTERED OFFICE: |
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REGISTERED NUMBER: |
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SENIOR STATUTORY AUDITOR: |
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AUDITORS: |
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Statutory Auditor |
Fernwood House |
Fernwood Road |
Jesmond |
Newcastle upon Tyne |
Tyne and Wear |
NE2 1TJ |
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BANKERS: |
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Bedford Street |
North Shields |
Tyne and Wear |
NE29 0AU |
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SOLICITORS: |
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Merchant House |
30 Cloth Market |
Newcastle Upon Tyne |
NE1 1EE |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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STRATEGIC REPORT |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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The directors present their strategic report for the year ended 31 October 2017. |
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REVIEW OF BUSINESS |
Turnover has improved in the current year, increasing to £10.6m from £3.3m the previous year, but remains |
at depressed levels The company recorded a loss of £823K, largely due to a £783K write off of a debt due |
from a related company. The outlook for 2018 remains difficult. |
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PRINCIPAL RISKS AND UNCERTAINTIES |
The Oil and Gas market is in a state of decline in the UK which has been the company's traditional source of |
turnover. |
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The company continues to diversify as a result, with ventures into offshore oil and gas markets as well as |
complimentary markets in the UK. |
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This work has yet picked up the slack left by the decline in the UK Oil and Gas markets, however there is an |
expectation that this will come to fruition in the coming years. |
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ON BEHALF OF THE BOARD: |
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BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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The directors present their report with the financial statements of the company for the year ended 31 October 2017. |
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DIVIDENDS |
No dividends will be distributed for the year ended 31 October 2017. |
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DIRECTORS |
The directors shown below have held office during the whole of the period from 1 November 2016 to the date |
of this report. |
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EMPLOYEES |
The company is an equal opportunities employer. It is the company's policy to develop and apply procedures |
and practices which are designed to ensure that equal opportunities are provided to employees, or those who |
seek employment. |
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All employees are treated fairly and equally. Selection for employment, promotion, training or other matters |
affecting their employment is on the basis of aptitude and ability. |
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It is the company's policy to give full and fair consideration to the employment needs of disabled persons |
(and persons who become disabled whilst employed by the company) and to comply with any current |
legislation with regard to disabled persons. |
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STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial |
statements in accordance with applicable law and regulations. |
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Company law requires the directors to prepare financial statements for each financial year. Under that law |
the directors have elected to prepare the financial statements in accordance with United Kingdom Generally |
Accepted Accounting Practice (United Kingdom Accounting Standards 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 directors are required to: |
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- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- |
state whether applicable 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. |
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The directors are 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 them to ensure that the financial statements comply with the Companies Act 2006. They |
are 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. |
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STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the |
Companies Act 2006) of which the company's auditors are unaware, and each director 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 auditors are aware of that information. |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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AUDITORS |
The auditors, Robson Laidler Accountants Limited, will be proposed for re-appointment at the forthcoming |
Annual General Meeting. |
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ON BEHALF OF THE BOARD: |
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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BARRIER LIMITED |
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Opinion |
We have audited the financial statements of Barrier Limited (the 'company') for the year ended |
31 October 2017 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of |
Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial |
Statements, including a summary of significant accounting policies. The financial reporting framework that |
has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including |
Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of |
Ireland' (United Kingdom Generally Accepted Accounting Practice). |
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In our opinion the financial statements: |
- |
give a true and fair view of the state of the company's affairs as at 31 October 2017 and of its loss 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. |
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Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and |
applicable law. Our responsibilities under those standards are further described in the Auditors' |
responsibilities for the audit of the financial statements section of our report. We are independent of the |
company in accordance with the ethical requirements that are relevant to our audit of the financial statements |
in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in |
accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and |
appropriate to provide a basis for our opinion. |
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Conclusions relating to going concern |
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to |
report to you where: |
- |
the directors' use of the going concern basis of accounting in the preparation of the financial statements is
not appropriate; or |
- |
the directors have not disclosed in the financial statements any identified material uncertainties that may
cast significant doubt about the company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. |
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Other information |
The directors are responsible for the other information. The other information comprises the information in the |
Strategic Report and the Report of the Directors, but does not include the financial statements and our Report |
of the Auditors thereon. |
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Our opinion on the financial statements does not cover the other information and we do not express any form |
of assurance conclusion thereon. |
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In connection with our audit of the financial statements, our responsibility is to read the other information and, |
in doing so, consider whether the other information is materially inconsistent with the financial statements or |
our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we |
have performed, we conclude that there is a material misstatement of this other information, we are required |
to report that fact. We have nothing to report in this regard. |
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Opinion on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- |
the information given in the Strategic Report and the Report of the Directors for the financial year for which
the financial statements are prepared is consistent with the financial statements; and |
- |
the Strategic Report and the Report of the Directors have been prepared in accordance with applicable
legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BARRIER LIMITED |
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Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of |
the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
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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: |
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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 financial statements 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. |
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Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are |
responsible for the preparation of the financial statements and for being satisfied that they give a true and fair |
view, and for such internal control as the directors determine necessary to enable the preparation of financial |
statements that are free from material misstatement, whether due to fraud or error. |
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In preparing the financial statements, the directors are responsible for assessing the company's ability to |
continue as a going concern, disclosing, as applicable, matters related to going concern and using the going |
concern basis of accounting unless the directors either intend to liquidate the company or to cease |
operations, or have no realistic alternative but to do so. |
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Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free |
from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes |
our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit |
conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. |
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, |
they could reasonably be expected to influence the economic decisions of users taken on the basis of these |
financial statements. |
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A further description of our responsibilities for the audit of the financial statements is located on the Financial |
Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our |
Report of the Auditors. |
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Use of our report |
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 a Report of the Auditors 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. |
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for and on behalf of
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Statutory Auditor |
Fernwood House |
Fernwood Road |
Jesmond |
Newcastle upon Tyne |
Tyne and Wear |
NE2 1TJ |
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BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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STATEMENT OF COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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2017 | 2016 |
Notes | £ | £ |
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TURNOVER | 4 |
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Cost of sales |
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GROSS PROFIT |
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Administrative expenses |
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(996,988 | ) | 46,905 |
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Other operating income |
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OPERATING (LOSS)/PROFIT | 6 | ( |
) |
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Interest receivable and similar income |
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(950,369 | ) | 82,562 |
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Interest payable and similar expenses | 7 |
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(LOSS)/PROFIT BEFORE TAXATION | ( |
) |
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Tax on (loss)/profit | 8 | ( |
) |
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(LOSS)/PROFIT FOR THE FINANCIAL
YEAR |
( |
) |
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OTHER COMPREHENSIVE INCOME |
Hedging reserve movement | ( |
) |
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Income tax relating to other
comprehensive income |
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( |
) |
OTHER COMPREHENSIVE INCOME
FOR THE YEAR, NET OF INCOME TAX |
( |
) |
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TOTAL COMPREHENSIVE INCOME
FOR THE YEAR |
( |
) |
|
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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BALANCE SHEET |
31 OCTOBER 2017 |
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2017 | 2016 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 10 |
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Investment property | 11 |
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CURRENT ASSETS |
Stocks | 12 |
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Debtors | 13 |
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Cash at bank and in hand |
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CREDITORS |
Amounts falling due within one year | 14 |
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NET CURRENT ASSETS |
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TOTAL ASSETS LESS CURRENT
LIABILITIES |
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CREDITORS |
Amounts falling due after more than one
year |
15 |
( |
) |
( |
) |
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PROVISIONS FOR LIABILITIES | 18 | ( |
) | ( |
) |
NET ASSETS |
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CAPITAL AND RESERVES |
Called up share capital | 19 |
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Hedging reserve | 20 |
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Retained earnings | 20 |
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SHAREHOLDERS' FUNDS |
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The financial statements were approved by the Board of Directors on
behalf by: |
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BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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Called up |
share | Retained | Revaluation | Hedging | Total |
capital | earnings | reserve | reserve | equity |
£ | £ | £ | £ | £ |
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Balance at 1 November 2015 |
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Changes in equity |
Dividends | - | ( |
) | - | - | ( |
) |
Total comprehensive income | - |
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( |
) |
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Balance at 31 October 2016 |
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Changes in equity |
Total comprehensive income | - | ( |
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( |
) | ( |
) |
Balance at 31 October 2017 |
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BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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2017 | 2016 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | ( |
) | ( |
) |
Interest element of hire purchase
payments paid |
( |
) |
( |
) |
Tax paid |
|
( |
) |
Net cash from operating activities | ( |
) | ( |
) |
|
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets |
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Interest received |
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Net cash from investing activities | ( |
) | ( |
) |
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Cash flows from financing activities |
Capital repayments in year | ( |
) | ( |
) |
Amount introduced by directors | 68,461 | 37,271 |
Amount withdrawn by directors | 139,412 | (11,904 | ) |
Movements attributable to hedging | ( |
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Equity dividends paid |
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( |
) |
Net cash from financing activities |
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( |
) |
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Decrease in cash and cash equivalents | ( |
) | ( |
) |
Cash and cash equivalents at
beginning of year |
2 |
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1,973,636 |
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Cash and cash equivalents at end of
year |
2 |
102,279 |
682,122 |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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1. |
RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS |
2017 | 2016 |
£ | £ |
(Loss)/profit before taxation | ( |
) |
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Depreciation charges |
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Loss on disposal of fixed assets |
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Finance costs | 2,039 | 310 |
Finance income | (9,461 | ) | (19,266 | ) |
(687,689 | ) | 283,285 |
Decrease/(increase) in stocks |
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( |
) |
(Increase)/decrease in trade and other debtors | ( |
) |
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Increase/(decrease) in trade and other creditors |
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( |
) |
Cash generated from operations | ( |
) | ( |
) |
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2. | CASH AND CASH EQUIVALENTS |
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The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in |
respect of these Balance Sheet amounts: |
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Year ended 31 October 2017 |
31.10.17 | 1.11.16 |
£ | £ |
Cash and cash equivalents | 102,279 | 682,122 |
Year ended 31 October 2016 |
31.10.16 | 1.11.15 |
£ | £ |
Cash and cash equivalents | 682,122 | 1,973,636 |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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1. | STATUTORY INFORMATION |
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Barrier Limited is a
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company's registered number and registered office address can be found on the Company Information |
page. |
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2. | STATEMENT OF COMPLIANCE |
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3. | ACCOUNTING POLICIES |
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Basis of preparing the financial statements |
The financial statements have been prepared in accordance with applicable accounting standards |
including Financial Reporting Standard 102 The Financial Reporting Standard Applicable in the UK and |
Republic of Ireland (FRS 102) and the Companies Act 2006. The financial statements have been |
prepared on a going concern basis under the historical cost convention. The financial statements are |
presented in UK Sterling which is the functional currency of the company and rounded to the nearest |
£1 |
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The significant accounting policies applied in the preparation of these financial statements are set out |
below. These policies have been consistently applied to all years presented unless otherwise stated. |
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Preparation of consolidated financial statements |
The financial statements contain information about Barrier Limited as an individual company and do |
not contain consolidated financial information as the parent of a group. The company has taken the |
option under Section 402 of the Companies Act 2006 not to prepare consolidated financial statements |
as the company's subsidiaries are considered to be immaterial. |
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Significant judgements and estimates |
The preparation of the financial statements requires management to make estimates and assumptions |
that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of |
contingent liabilities at the date of the financial statements. If, in the future, such estimates and |
assumptions, which are based on management's best judgement at the date of the financial |
statements, deviate from the actual circumstances, the original estimates and judgements will be |
modified as appropriate in the year in which the circumstances change. |
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The key assumptions 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 include: |
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The estimated useful lives of tangible fixed assets |
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The investment properties have been valued at market value based on directors' estimates |
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Amounts recoverable on contract is based on directors' estimates of percentage completed and overall |
profitability of contracts. |
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Going concern |
The financial statements have been prepared on a going concern basis on the grounds that current |
and future sources of funding or support will be more than adequate for the company's needs. The |
directors have considered a period of twelve months from the date of approval of the financial |
statements and believe that no further disclosures relating to the company's ability to continue as a |
going concern need to be made in the financial statements. |
|
Turnover |
Turnover on long-term contracts is recognised as contract activity progresses. |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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3. | ACCOUNTING POLICIES - continued |
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Tangible fixed assets |
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Freehold property | - |
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Plant and machinery | - |
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Motor vehicles | - |
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Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from |
changes in fair value is recognised in profit or loss. |
|
Stocks |
Stocks and work in progress, other than long term contracts, are stated at the lower of cost and net |
realisable value. Cost compromises the purchase price of goods and other directly attributable costs. |
Net realisable value is based on estimated selling price less all further costs to completion and all |
relevant marketing, selling and distribution costs. |
|
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of |
Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive |
income or directly in equity. |
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Current or deferred taxation assets and liabilities are not discounted. |
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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. |
|
Taxation |
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. |
|
Research and development |
Research and development expenditure that meets the criteria of being a clearly defined project with |
separately identifiable expenditure from the company's normal costs, and which has a reasonable |
certain outcome, is included in other intangible fixed assets. The carrying value of such assets is |
assessed regularly and provision made as necessary to write this asset down to its recoverable |
amount. |
|
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at |
the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of |
exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving |
at the operating result. |
|
Investments |
Investments held as fixed assets are stated at cost less provision for permanent diminution in value. |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
3. | ACCOUNTING POLICIES - continued |
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Amounts recoverable on contract |
Amounts recoverable on contracts represent turnover which has not yet been invoiced to customers on |
long-term contracts. Amounts in respect of contracts included in turnover, net of payments received on |
account are separately disclosed within debtors. Cash received in excess of the value of work done is |
shown in creditors as payments on account. |
|
Profits are recognised on long-term contracts where the final outcome can be assessed with |
reasonable certainty. Full provision is made for all known or anticipated losses on each contract |
immediately such losses are forecast. |
|
Impairment of assets |
Property, plant and equipment are reviewed for impairment if events or changes in circumstances |
indicate that the carrying amount of such assets may not be recoverable. If there is an indication of |
possible impairment, the recoverable amount of any affected asset is estimated and compared against |
its carrying amount. Where the estimated recoverable amount is lower, an impairment loss is |
recognised immediately in profit and loss. |
|
Short-term debtors and creditors |
Debtors and creditors with no interest rate which are receivable or payable within one year are |
recorded at transaction price. Any loss arising from impairment are recognised immediately in profit |
and loss. |
|
Loans and borrowings |
Loans and borrowings are initially recognised at the transaction price including transaction costs. |
Subsequently, they are measured at amortised cost using the effective interest rate method, less |
impairment. If an arrangement constitutes a finance transaction it is measured at present value. |
|
Cash and cash equivalent |
Cash and cash equivalents comprises cash in hand and current balances with banks and other |
institutions, which are readily convertible to known amounts of cash and which are subject to |
insignificant risk of change in value. This definition is also used for the cash flow statement. |
|
Hedge accounting |
The company designates derivatives which qualify as hedges for accounting purposes as a hedge of |
the cash flow risk resulting from changes in interest rate or foreign exchange rates. The effectiveness |
of the hedge is 100% as all amounts are hedged. Accounting treatment is in line with IAS 39 whereby |
any change in the effective proportion is recognised directly in equity. Amounts accumulated in equity |
are recycled to the income statement in the period when the hedged item affects profit or loss. |
|
4. | TURNOVER |
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The turnover and loss (2016 - profit) before taxation are attributable to the one principal activity of the |
company. |
|
An analysis of turnover by class of business is given below: |
|
2017 | 2016 |
£ | £ |
|
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BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
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4. | TURNOVER - continued |
|
An analysis of turnover by geographical market is given below: |
|
2017 | 2016 |
£ | £ |
United Kingdom |
|
|
|
|
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5. | EMPLOYEES AND DIRECTORS |
2017 | 2016 |
£ | £ |
Wages and salaries |
|
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Social security costs |
|
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Other pension costs |
|
|
|
|
|
The average number of employees during the year was as follows: |
2017 | 2016 |
|
Production staff | 106 | 57 |
Administration | 15 | 11 |
|
|
|
2017 | 2016 |
£ | £ |
Directors' remuneration |
|
|
|
The number of directors to whom retirement benefits were accruing was as follows: |
|
Money purchase schemes |
|
|
|
6. | OPERATING (LOSS)/PROFIT |
|
The operating loss (2016 - operating profit) is stated after charging/(crediting): |
|
2017 | 2016 |
£ | £ |
Hire of plant and machinery |
|
|
Depreciation - owned assets |
|
|
Depreciation - assets on hire purchase contracts |
|
|
Loss on disposal of fixed assets |
|
|
Auditors' remuneration |
|
|
Auditors' remuneration for non audit work |
|
|
Foreign exchange differences | ( |
) | ( |
) |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2017 | 2016 |
£ | £ |
Hire purchase |
|
|
|
8. | TAXATION |
|
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
2017 | 2016 |
£ | £ |
Current tax: |
UK corporation tax | ( |
) |
|
Adjustment in respect of prior |
years | (75,031 | ) | - |
Total current tax | ( |
) |
|
|
Deferred tax | ( |
) |
|
Tax on (loss)/profit | ( |
) |
|
|
Reconciliation of total tax (credit)/charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The |
difference is explained below: |
|
2017 | 2016 |
£ | £ |
(Loss)/profit before tax | ( |
) |
|
(Loss)/profit multiplied by the standard rate of corporation tax in the
UK of |
( |
) |
|
|
Effects of: |
Utilisation of tax losses |
|
|
Disallowed items for tax purposes | 175,848 | 3,895 |
Capital allowances in excess of depreciation | (11,197 | ) | (209 | ) |
Taxable losses used this year/carried forward to future periods | (12,243 | ) | - |
Profit on disposal of assets | 11,200 | 468 |
Difference in 2016 tax provision and tax liability | (5,598 | ) | - |
Tax credit adjustment | 11,868 | - |
Research and development tax credit | (8,604 | ) | - |
Corporation tax overpaid | (75,031 | ) | - |
Deferred tax movement | (33,504 | ) | 274 |
Total tax (credit)/charge | (122,737 | ) | 20,878 |
|
Tax effects relating to effects of other comprehensive income |
|
2017 |
Gross | Tax | Net |
£ | £ | £ |
Hedging reserve movement | ( |
) | 11,738 | (58,692 | ) |
|
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
8. | TAXATION - continued |
2016 |
Gross | Tax | Net |
£ | £ | £ |
Hedging reserve movement |
|
(15,096 | ) | 60,386 |
|
9. | DIVIDENDS |
2017 | 2016 |
£ | £ |
Interim |
|
|
|
10. | TANGIBLE FIXED ASSETS |
Freehold | Plant and | Motor |
property | machinery | vehicles | Totals |
£ | £ | £ | £ |
COST OR VALUATION |
At 1 November 2016 |
|
|
|
|
Additions |
|
|
|
|
Disposals | ( |
) | ( |
) |
|
( |
) |
At 31 October 2017 |
|
|
|
|
DEPRECIATION |
At 1 November 2016 |
|
|
|
|
Charge for year |
|
|
|
|
Eliminated on disposal |
|
( |
) |
|
( |
) |
At 31 October 2017 |
|
|
|
|
NET BOOK VALUE |
At 31 October 2017 |
|
|
|
|
At 31 October 2016 |
|
|
|
|
|
|
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and |
machinery |
£ |
COST OR VALUATION |
At 1 November 2016 |
and 31 October 2017 |
|
DEPRECIATION |
At 1 November 2016 |
|
Charge for year |
|
At 31 October 2017 |
|
NET BOOK VALUE |
At 31 October 2017 |
|
At 31 October 2016 |
|
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
11. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 November 2016 |
and 31 October 2017 |
|
NET BOOK VALUE |
At 31 October 2017 |
|
At 31 October 2016 |
|
|
The directors consider that the market value of the investment property at the end of the year is not |
significantly different to its carrying value. |
|
Fair value at 31 October 2017 is represented by: |
|
£ |
Valuation in 2014 | 128,010 |
Cost | 145,923 |
273,933 |
|
12. | STOCKS |
2017 | 2016 |
£ | £ |
Work-in-progress |
|
|
Finished goods |
|
|
|
|
|
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2017 | 2016 |
£ | £ |
Trade debtors |
|
|
Other debtors |
|
|
Amounts owed by related party | 1,463,467 | 2,460,473 |
Recoverable on long term contracts | 1,203,900 | (736,141 | ) |
Directors' current accounts | 54,880 | 262,753 |
Corporation tax recoverable |
|
|
Prepayments and accrued income |
|
|
|
|
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2017 | 2016 |
£ | £ |
Hire purchase contracts (see note 16) |
|
|
Trade creditors |
|
|
Amounts owed to related party |
|
|
Corporation tax |
|
|
Social security and other taxes |
|
|
Other creditors |
|
|
Accruals and deferred income |
|
|
|
|
|
15. |
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR |
2017 | 2016 |
£ | £ |
Hire purchase contracts (see note 16) |
|
|
|
16. | LEASING AGREEMENTS |
|
Minimum lease payments under hire purchase fall due as follows: |
|
2017 | 2016 |
£ | £ |
Gross obligations repayable: |
Within one year |
|
|
Between one and five years |
|
|
|
|
|
Finance charges repayable: |
Within one year |
|
|
Between one and five years |
|
|
|
|
|
Net obligations repayable: |
Within one year |
|
|
Between one and five years |
|
|
|
|
|
17. | SECURED DEBTS |
|
The following secured debts are included within creditors: |
|
2017 | 2016 |
£ | £ |
Hire purchase contracts | 95,266 | 142,899 |
|
Hire purchase loans are secured against the assets to which they relate. |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
18. | PROVISIONS FOR LIABILITIES |
2017 | 2016 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 123,081 | 123,081 |
Tax losses | (33,504 | ) | - |
89,577 | 123,081 |
|
Deferred |
tax |
£ |
Balance at 1 November 2016 |
|
Movement in year | (33,504 | ) |
Tax losses |
Balance at 31 October 2017 |
|
|
19. | CALLED UP SHARE CAPITAL |
|
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2017 | 2016 |
value: | £ | £ |
|
Ordinary | £1 | 1,000 | 1,000 |
|
20. | RESERVES |
Retained | Hedging |
earnings | reserve | Totals |
£ | £ | £ |
|
At 1 November 2016 |
|
|
5,632,082 |
Deficit for the year | ( |
) | - | ( |
) |
Adjustments in the year | - | (58,692 | ) | (58,692 | ) |
At 31 October 2017 |
|
|
4,743,719 |
|
Reserves: |
Called up share capital - represents the nominal value of the shares that have been issued. |
Retained earnings - includes all current and prior period retained profits and losses. |
Other reserve - Hedging reserves represents movement on options to reduce forex risk. |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
21. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
|
The following advances and credits to directors subsisted during the years ended 31 October 2017 and |
31 October 2016: |
|
2017 | 2016 |
£ | £ |
|
Balance outstanding at start of year |
|
|
Amounts advanced |
|
|
Amounts repaid | ( |
) | ( |
) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
|
|
|
|
Balance outstanding at start of year |
|
|
Amounts repaid |
|
|
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
|
|
|
Interest of £6,957 (2016: £9,733) has been charged on R Bowles' overdrawn director loan account at a |
rate of 3.25%, on an average balance basis, chargeable from April 2012. |
|
No interest has been charged on A Nightingale's overdrawn director loan account. |
|
During the year the company paid rent of £40,000 (2016: £40,000) to RCF Bowles and A Nightingale, |
directors of the company. |
BARRIER LIMITED (REGISTERED NUMBER: 01226016) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 OCTOBER 2017 |
|
22. | RELATED PARTY DISCLOSURES |
|
Related party transactions with companies in which the company's directors have an interest were as |
follows :- |
|
Included within debtors at the year end is £823,366 (2016: £774,781) owed by Barrier Group Limited, a |
company under common control. |
|
Included within debtors at the year end is £145,052 (2016: £7,199) owed by Barrier EX Limited, a |
company under common control. |
|
Included within debtors at the year end is £Nil (2016: £21,005) owed by Barrier LED Limited, a |
company under common control. |
|
Included within creditors at the year end is £15,500 (2016: £Nil) owed to Barrier LED Limited, a |
company under common control. |
|
The company charged a management charge to Barrier Fire Protection Limited, a company with |
common directors and shareholders amounting to £140,210 (2015: £156,533), which is included within |
sales. In addition, the company also collected and paid funds on various jointly awarded contracts and |
therefore, included within debtors at the year end are amounts totalling £237,206 (2016: £463,719) |
owed by Barrier Fire Protection Limited and £304,909 (2016: £Nil) owed to Barrier Fire Protection |
Limited within creditors at the year end. |
|
The company charged a management charge to Barrier Architectural Services Limited, a company |
with common directors and shareholders amounting to £160,051 (2016: £69,941), which is included |
within sales. In addition, the company also collected and paid funds on various jointly awarded |
contracts and therefore, included within debtors at the year end are amounts totalling £327,820 (2016: |
£996,689) owed by Barrier Architectural Services Limited. |
|
UK Total Solutions Limited, a company with common directors and shareholders, went into voluntary |
liquidation in the year. Thus all debtor and creditor balances were written off in the year and no |
management charge was charged in the year. |
|
During the year, the company paid total dividends of £Nil (2016: £435,000) to R C F Bowles and A |
Nightingale. |
|
All transactions with related parties were carried out at an arms length basis. |