Company No:
Contents
DIRECTORS | P J Biles |
R J Biles | |
SECRETARY | R J Biles |
REGISTERED OFFICE | Crusader Park |
Roman Way | |
Warminster | |
Wiltshire | |
BA12 8SP | |
United Kingdom | |
COMPANY NUMBER | 06558193(England and Wales) |
ACCOUNTANT | Bishop Fleming LLP |
Chartered Accountants | |
10 Temple Back | |
Redcliffe | |
Bristol | |
BS1 6FL |
We are subject to the ethical and other professional requirements of the Institute of Chartered Accountants in England and Wales (ICAEW) which are detailed at _http://www.icaew.com/en/members/regulations-standards-and-guidance/_.
It is your duty to ensure that Arco England Limited 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 profit of Arco England Limited. You consider that Arco England Limited is exempt from the statutory audit requirement for the financial period.
We have not been instructed to carry out an audit or a review of the financial statements of Arco England Limited. 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.
Accountant
10 Temple Back
Redcliffe
Bristol
BS1 6FL
31.12.2019 | 31.08.2018 | |||
Note | £ | £ | ||
Fixed assets | ||||
Intangible assets | 3 |
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Tangible assets | 4 |
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891,845 | 1,206,722 | |||
Current assets | ||||
Stocks |
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Debtors | 5 |
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Cash at bank and in hand |
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686,508 | 828,591 | |||
Creditors | ||||
Amounts falling due within one year | 6 | (
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Net current liabilities | (317,032) | (302,499) | ||
Total assets less current liabilities | 574,813 | 904,223 | ||
Creditors | ||||
Amounts falling due after more than one year | 7 | (
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Provisions for liabilities | (
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Net assets |
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Capital and reserves | ||||
Called-up share capital | 9 |
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Profit and loss account |
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Total shareholders' funds |
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Directors’ responsibilities:
The financial statements of Arco England Limited (registered number:
R J Biles
Director |
The principal accounting policies are summarised below. They have all been applied consistently throughout the financial period and to the preceding financial year.
Arco England Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Crusader Park, Roman Way, Warminster, Wiltshire, BA12 8SP, United Kingdom.
The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council.
The functional currency of Arco England Limited is considered to be pounds sterling because that is the currency of the primary economic environment in which the Company operates.
Although there are net current liabilities of £317,032 at the Statement of Financial Position date the Directors have carefully considered the recent COVID-19 events and the predicted trading results in the coming year. With these in mind and with their continuing commitment to provide financial support to the company the Directors believe it appropriate to prepare the accounts on a Going Concern basis.
Exchange differences are recognised in the Statement of Income and Retained Earnings in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.
Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws.
Deferred tax assets and liabilities are not discounted.
Leasehold improvements - straight line over the life of the lease
Plant and machinery - 25% reducing balance or over the life of the lease
Vehicles - 25% reducing balance
Fixtures and Fittings - 25% reducing balance
Office Equipment - 25% reducing balance
Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Statement of Income and Retained Earnings over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.
Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Statement of Income and Retained Earnings as described below.
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.
Financial assets and liabilities
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through the Statement of Income and Retained Earnings, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.
Period from 01.09.2018 to 31.12.2019 |
Year ended 31.08.2018 |
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Number | Number | |
Monthly average number of persons employed by the Company during the period, including directors |
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Goodwill | Total | |
£ | £ | |
Cost | ||
At 01 September 2018 |
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At 31 December 2019 |
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Accumulated amortisation | ||
At 01 September 2018 |
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Charge for the financial period |
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At 31 December 2019 |
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Net book value | ||
At 31 December 2019 |
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At 31 August 2018 |
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Leasehold improvements | Plant and machinery | Vehicles | Fixtures and fittings | Office equipment | Total | |
£ | £ | £ | £ | £ | £ | |
Cost/Valuation | ||||||
At 01 September 2018 |
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Disposals | (
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At 31 December 2019 |
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Accumulated depreciation | ||||||
At 01 September 2018 |
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Charge for the financial period |
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Disposals | (
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At 31 December 2019 |
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Net book value | ||||||
At 31 December 2019 |
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At 31 August 2018 |
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31.12.2019 | 31.08.2018 | |
£ | £ | |
Trade debtors |
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Other debtors |
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31.12.2019 | 31.08.2018 | |
£ | £ | |
Bank loans and overdrafts |
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Trade creditors |
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Other creditors |
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Corporation tax |
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Other taxation and social security |
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Obligations under finance leases and hire purchase contracts |
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Bank loans and overdrafts are secured by way of a standard fixed and floating charge bank debenture over the company's assets and by personal guarantees provided by the directors.
Obligations under finance leases and hire purchase contracts are secured by fixed charges on the asset to which they relate.
31.12.2019 | 31.08.2018 | |
£ | £ | |
Bank loans |
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Obligations under finance leases and hire purchase contracts |
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Other creditors |
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246,647 | 253,939 |
Obligations under finance leases and hire purchase contracts are secured by fixed charges on the asset to which they relate.
31.12.2019 | 31.08.2018 | |
£ | £ | |
At the beginning of financial period/year | (
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Credited/(charged) to the Statement of Income and Retained Earnings |
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At the end of financial period/year | (
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31.12.2019 | 31.08.2018 | |
£ | £ | |
Allotted, called-up and fully-paid | ||
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2 | 2 |
Commitments
Total future minimum lease payments under non-cancellable operating leases are as follows:
31.12.2019 | 31.08.2018 | |
£ | £ | |
- within one year |
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- between one and five years |
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- after five years |
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During the period the directors of the company were paid £400,000 (2018: £400,000). At the period end, the directors of the company were owed £89,404 (2018: £98,390). During the period the directors current accounts was overdrawn and interest of £1,330 (2018: £Nil) was charged on the loan. There is no fixed date of repayment.