Mechlam Precision Tooling Limited
Unaudited Financial Statements
For the year ended 30 November 2022
For Filing with Registrar
Company Registration No. 04107061 (England and Wales)
Mechlam Precision Tooling Limited
Company Information
Directors
Mr M Atherton
Mrs L Atherton
Secretary
Mr M Atherton
Company number
04107061
Registered office
Unit 3, Cross 580 Industrial Estate
Kilbuck Lane
Haydock
United Kingdom
WA11 9WG
Accountants
Moore Kingston Smith LLP
6th Floor
9 Appold Street
London
EC2A 2AP
Mechlam Precision Tooling Limited
Contents
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 7
Mechlam Precision Tooling Limited
Balance Sheet
As at 30 November 2022
Page 1
2022
2021
Notes
£
£
£
£
Fixed assets
Tangible assets
3
875,535
813,192
Current assets
Stock
55,501
55,501
Debtors
4
476,322
433,827
Cash at bank and in hand
222,292
235,005
754,115
724,333
Creditors: amounts falling due within one year
5
(277,895)
(375,605)
Net current assets
476,220
348,728
Total assets less current liabilities
1,351,755
1,161,920
Creditors: amounts falling due after more than one year
6
(703,055)
(563,048)
Provisions for liabilities
(153,058)
(153,703)
Net assets
495,642
445,169
Capital and reserves
Called up share capital
7
4
4
Profit and loss reserves
495,638
445,165
Total equity
495,642
445,169
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 30 November 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
Mechlam Precision Tooling Limited
Balance Sheet (Continued)
As at 30 November 2022
Page 2
The financial statements were approved by the board of directors and authorised for issue on 27 July 2023 and are signed on its behalf by:
Mr M Atherton
Director
Company Registration No. 04107061
Mechlam Precision Tooling Limited
Notes to the Financial Statements
For the year ended 30 November 2022
Page 3
1
Accounting policies
Company information
Mechlam Precision Tooling Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit 3, Cross 580 Industrial Estate, Kilbuck Lane, Haydock, United Kingdom, WA11 9WG.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
1.3
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Leasehold improvements
20% straight line method
Plant and equipment
15% reducing balance method
Fixtures and fittings
15% reducing balance method
Computers
33% reducing balance method
Motor vehicles
33% reducing balance method
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.4
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.5
Stock
Stock are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stock to their present location and condition.
Mechlam Precision Tooling Limited
Notes to the Financial Statements (Continued)
For the year ended 30 November 2022
1
Accounting policies
(Continued)
Page 4
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Financial instruments
Basic financial instruments are measured at amortised cost. The company has no other financial instruments or basic financial instruments measured at fair value..
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless 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.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Mechlam Precision Tooling Limited
Notes to the Financial Statements (Continued)
For the year ended 30 November 2022
1
Accounting policies
(Continued)
Page 5
1.12
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
1.13
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
1.14
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2022
2021
Number
Number
Total
19
19
Mechlam Precision Tooling Limited
Notes to the Financial Statements (Continued)
For the year ended 30 November 2022
Page 6
3
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 December 2021
17,918
1,492,196
1,510,114
Additions
238,913
238,913
Disposals
(17,918)
(167,944)
(185,862)
At 30 November 2022
1,563,165
1,563,165
Depreciation and impairment
At 1 December 2021
10,751
686,171
696,922
Depreciation charged in the year
7,167
169,403
176,570
Eliminated in respect of disposals
(17,918)
(167,944)
(185,862)
At 30 November 2022
687,630
687,630
Carrying amount
At 30 November 2022
875,535
875,535
At 30 November 2021
7,167
806,025
813,192
4
Debtors
2022
2021
Amounts falling due within one year:
£
£
Trade debtors
476,322
335,824
Corporation tax recoverable
98,003
476,322
433,827
5
Creditors: amounts falling due within one year
2022
2021
£
£
Trade creditors
142,281
70,885
Amounts owed to group undertakings
20,194
122,194
Taxation and social security
91,055
90,311
Other creditors
24,365
92,215
277,895
375,605
Mechlam Precision Tooling Limited
Notes to the Financial Statements (Continued)
For the year ended 30 November 2022
Page 7
6
Creditors: amounts falling due after more than one year
2022
2021
£
£
Bank loans and overdrafts
134,896
175,000
Other creditors
568,159
388,048
703,055
563,048
7
Called up share capital
2022
2021
2022
2021
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of £1 each
4
4
4
4