Company Registration No. 06273389 (England and Wales)
AERODYN LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2021
PAGES FOR FILING WITH REGISTRAR
AERODYN LTD
COMPANY INFORMATION
Directors
Mr C J Claypole
Mr A V Hawker
Mr M Engsted
Secretary
Palmerston Secretaries Limited
Company number
06273389
Registered office
Palmerston House
814 Brighton Road
Purley
Surrey
CR8 2BR
Accountants
InterGest United Kingdom Limited
Palmerston House
814 Brighton Road
PURLEY
Surrey
CR8 2BR
AERODYN LTD
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 10
AERODYN LTD
STATEMENT OF FINANCIAL POSITION
AS AT
30 JUNE 2021
30 June 2021
- 1 -
2021
2019
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
5
89,300
186,396
Current assets
Inventories
1,046,512
557,027
Trade and other receivables
6
744,814
537,979
Cash and cash equivalents
141
184
1,791,467
1,095,190
Current liabilities
7
(1,826,619)
(1,200,074)
Net current liabilities
(35,152)
(104,884)
Total assets less current liabilities
54,148
81,512
Non-current liabilities
Borrowings
8
40,000
(40,000)
-
Net assets
14,148
81,512
Equity
Called up share capital
400
400
Retained earnings
13,748
81,112
Total equity
14,148
81,512
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial Period ended 30 June 2021 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.
T
he members have not required the company to obtain an audit of its financial statements for the Period 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.
The financial statements were approved by the board of directors and authorised for issue on 18 March 2022 and are signed on its behalf by:
Mr C J Claypole
Director
Company Registration No. 06273389
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2021
- 2 -
1
Accounting policies
Company information
Aerodyn Ltd is a
private
company
limited by shares
incorporated in
England and Wales
.
The registered office is
Palmerston House, 814 Brighton Road, Purley, Surrey, CR8 2BR
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 disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
A
true
t the time of approving the financial statements
,
t
he directors have a reasonable expectation that the
company
has adequate resources to continue in operational existence for the foreseeable future
on the grounds that they have the continuing support of the companys' bankers and major creditor, Aerodyn Engineering Inc and expect profits to arise in the future trading periods
. Thus
t
he directors continue to adopt the going concern basis of accounting in preparing the financial statements.
The financial statements do not include the adjustments that would result if the company was unable to continue as a going concern due to the material uncertainty of worldwide corona virus issue. We still believe the business will continue to be a going concern. In view of the significance of this uncertainty we consider that it should be drawn to your attention.
1.3
Reporting period
The company is presenting the financial statements for a longer period of 18 months in order to align to the financial year of all the Companies in the group, therefore the related notes will not be entirely comparable as they will contain 18 months not 12 months as the previous year.
1.4
Revenue
Revenue 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.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
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 dispatch 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.
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
1
Accounting policies
(Continued)
- 3 -
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that
it is probable will be
recover
ed
.
1.5
Research and development expenditure
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated
.
1.6
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated
amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 5 years.
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.
1.7
Property, plant and equipment
Property, plant and equipment
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:
Plant and machinery
10% to 25% straight line
Fixtures, fittings & equipment
10% to 25% straight line
Computer equipment
10% to 25% Straight line
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
.
1.8
Impairment of non-current assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
and intangible 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.
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
1
Accounting policies
(Continued)
- 4 -
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in
profit
or
loss
, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit)
in
prior years. A reversal of an impairment loss is recognised immediately in
profit
or
loss
, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.9
Inventories
Inventories 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 inventories to their present location and condition.
Inventories held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of inventories over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.10
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.
1.11
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally 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.
Basic financial assets
Basic financial assets, which include
trade and other receivables
and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
1
Accounting policies
(Continued)
- 5 -
Classification of financial liabilities
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 company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including
trade and other payables
, bank loans, loans from
fellow group companies and preference shares that are classified as debt, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade payables
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities.
Trade payables
are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
1.12
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.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.13
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
income statement
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.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the
income statement
, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the
company
has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
1
Accounting policies
(Continued)
- 6 -
1.14
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
non-current 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.
1.15
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.16
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 statement of financial position 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 lease
s
asset are consumed.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
1.17
Government grants
Government grants are recognised at the fair value of the asset receive
d
or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met
. Where a
grant does not specify performance conditions
it
is recognised in income when the proceeds are received or receivable
. A grant received before the recognition criteria are satisfied is recognised as a liability.
1.18
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.
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
- 7 -
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the Period was:
2021
2019
Number
Number
Total
22
26
4
Intangible fixed assets
Goodwill
£
Cost
At 1 January 2020 and 30 June 2021
45,000
Amortisation and impairment
At 1 January 2020 and 30 June 2021
45,000
Carrying amount
At 30 June 2021
At 31 December 2019
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
- 8 -
5
Property, plant and equipment
Plant and machinery etc
£
Cost
At 1 January 2020
442,189
Additions
12,243
Disposals
(90,714)
At 30 June 2021
363,718
Depreciation and impairment
At 1 January 2020
255,793
Depreciation charged in the Period
70,030
Eliminated in respect of disposals
(51,405)
At 30 June 2021
274,418
Carrying amount
At 30 June 2021
89,300
At 31 December 2019
186,396
6
Trade and other receivables
2021
2019
Amounts falling due within one year:
£
£
Trade receivables
508,308
271,565
Corporation tax recoverable
80,503
77,862
Amounts owed by group undertakings
47,755
51,757
Other receivables
108,248
136,795
744,814
537,979
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
- 9 -
7
Current liabilities
2021
2019
£
£
Bank loans and overdrafts
255,950
125,659
Trade payables
747,768
565,875
Taxation and social security
313,246
241,699
Other payables
509,655
266,841
1,826,619
1,200,074
HSBC UK Bank plc holds a fixed and floating charge over all the assets of the company in respect of the bank overdraft facility .
8
Borrowings
2021
2019
£
£
Bank loans
10,000
Bank overdrafts
245,950
125,659
Other loans
40,000
295,950
125,659
Payable within one year
255,950
125,659
Payable after one year
40,000
The overdraft is secured by a fixed and floating charge over all assets.
The Company has secured a Fixed Rate Bounce back Loan of £50,000 via a Bounce Bank Loan Scheme Guarantee from the UK Government under the Bounce Back Loan Scheme. The repayment amount and timing of each instalment is based on a fixed interest rate of 2.5% payable on the outstanding principal amount of the Loan and applicable until the Final Repayment Date being 72 months from the date of the drawdown of the loan. The loan repayments of the principal amount are £10,000 for the first 12 months and £40,000 for the next 48 months.
9
Other Creditors
2021
2019
Future minimum payments due under hire purchase agreement:
£
£
Within one year
11,572
AERODYN LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2021
- 10 -
10
Guarantees and Other Financial Commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2021
2019
£
£
230,414
235,824
11
Related party transactions
The ultimate
p
arent company is
TEC Holdings Limited,
a company registered in
England & Wales. Its registered address is Palmerston House, 814 Brighton Road, Purley, Surrey, CR8 2BR.
AERODYN LTD
MANAGEMENT INFORMATION
FOR THE PERIOD ENDED 30 JUNE 2021
2021-06-30
2020-01-01
false
18 March 2022
CCH Software
CCH Accounts Production 2021.300
No description of principal activity
Mr C J Claypole
Mr A V Hawker
Mr A V Hawker
Palmerston Secretaries Limited
06273389
2020-01-01
2021-06-30
06273389
bus:Director1
2020-01-01
2021-06-30
06273389
bus:Director3
2020-01-01
2021-06-30
06273389
bus:Director4
2020-01-01
2021-06-30
06273389
bus:CompanySecretary1
2020-01-01
2021-06-30
06273389
bus:Director2
2020-01-01
2021-06-30
06273389
2021-06-30
06273389
2019-12-31
06273389
core:OtherPropertyPlantEquipment
2021-06-30
06273389
core:OtherPropertyPlantEquipment
2019-12-31
06273389
core:CurrentFinancialInstruments
core:WithinOneYear
2021-06-30
06273389
core:CurrentFinancialInstruments
core:WithinOneYear
2019-12-31
06273389
core:CurrentFinancialInstruments
2021-06-30
06273389
core:CurrentFinancialInstruments
2019-12-31
06273389
core:Non-currentFinancialInstruments
2021-06-30
06273389
core:Non-currentFinancialInstruments
2019-12-31
06273389
core:ShareCapital
2021-06-30
06273389
core:ShareCapital
2019-12-31
06273389
core:RetainedEarningsAccumulatedLosses
2021-06-30
06273389
core:RetainedEarningsAccumulatedLosses
2019-12-31
06273389
core:Goodwill
2020-01-01
2021-06-30
06273389
core:PlantMachinery
2020-01-01
2021-06-30
06273389
core:FurnitureFittings
2020-01-01
2021-06-30
06273389
core:ComputerEquipment
2020-01-01
2021-06-30
06273389
2019-01-01
2019-12-31
06273389
core:NetGoodwill
2019-12-31
06273389
core:NetGoodwill
2021-06-30
06273389
core:NetGoodwill
2019-12-31
06273389
core:OtherPropertyPlantEquipment
2019-12-31
06273389
core:OtherPropertyPlantEquipment
2020-01-01
2021-06-30
06273389
core:WithinOneYear
2021-06-30
06273389
core:WithinOneYear
2019-12-31
06273389
bus:PrivateLimitedCompanyLtd
2020-01-01
2021-06-30
06273389
bus:SmallCompaniesRegimeForAccounts
2020-01-01
2021-06-30
06273389
bus:FRS102
2020-01-01
2021-06-30
06273389
bus:AuditExemptWithAccountantsReport
2020-01-01
2021-06-30
06273389
bus:FullAccounts
2020-01-01
2021-06-30
xbrli:pure
xbrli:shares
iso4217:GBP