Company Registration No. SC134373 (Scotland)
ORRMAC (NO:500) LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 DECEMBER 2021
PAGES FOR FILING WITH REGISTRAR
ORRMAC (NO:500) LIMITED
CONTENTS
Page
Statement of financial position
1 - 2
Notes to the financial statements
3 - 7
ORRMAC (NO:500) LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
30 DECEMBER 2021
30 December 2021
- 1 -
2021
2020
Notes
£
£
£
£
Fixed assets
Tangible assets
4
2,655,477
2,710,224
Current assets
Stocks
4,052
5,627
Debtors
5
1,135,248
1,321,780
Cash at bank and in hand
114,628
126,644
1,253,928
1,454,051
Creditors: amounts falling due within one year
6
(295,409)
(240,258)
Net current assets
958,519
1,213,793
Total assets less current liabilities
3,613,996
3,924,017
Creditors: amounts falling due after more than one year
7
(1,521,456)
(2,022,782)
Provisions for liabilities
(57,535)
(57,535)
Net assets
2,035,005
1,843,700
Capital and reserves
Called up share capital
8
2,000,100
2,000,100
Other reserves
684,904
684,904
Profit and loss reserves
(649,999)
(841,304)
Total equity
2,035,005
1,843,700
ORRMAC (NO:500) LIMITED
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT
30 DECEMBER 2021
30 December 2021
- 2 -
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial year ended 30 December 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 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
and in accordance with the provisions for FRS 102 section 1A - small entities.
The financial statements were approved by the board of directors and authorised for issue on 29 September 2022 and are signed on its behalf by:
A D F MacDonald
Director
Company Registration No. SC134373
ORRMAC (NO:500) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 DECEMBER 2021
- 3 -
1
Accounting policies
Company information
Orrmac (No:500) Limited is a
private
company
limited by shares
incorporated in
Scotland
.
The registered office is
1 Rutland Court, Edinburgh, Scotland, EH3 8EY.
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 £.
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. Thus
t
he directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
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
.
1.4
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
2% on buildings cost
Plant and equipment
20% on cost
Fixtures and fittings
20% on cost
Computers
20% on cost
Freehold land is not depreciated.
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
.
1.5
Impairment of fixed 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.
Any impairment loss is recognised immediately in profit or loss.
1.6
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost
is based on the cost to purchase on a first in, first out basis.
ORRMAC (NO:500) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 DECEMBER 2021
1
Accounting policies
(Continued)
- 4 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks 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.
1.7
Cash at bank and in hand
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.
1.8
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.
1.9
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.
1.10
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
in respect of permanent differences except in respect of business combinations. Deferred tax is determined using rates and laws that have been enacted or substantively enacted by the reporting date.
1.11
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.
ORRMAC (NO:500) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 DECEMBER 2021
1
Accounting policies
(Continued)
- 5 -
1.12
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13
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.
2
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires the directors to exercise judgement in applying the accounting policies of Orrmac (No:500) Limited. The directors have reviewed these and concluded there are no areas requiring a higher degree of judgement, complexity, and no areas where assumptions or estimates are most significant to the financial statements.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2021
2020
Number
Number
Total
14
17
ORRMAC (NO:500) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 DECEMBER 2021
- 6 -
4
Tangible fixed assets
Freehold land and buildings
Plant and equipment
Fixtures and fittings
Computers
Total
£
£
£
£
£
Cost
At 31 December 2020
3,063,783
142,276
396,958
15,387
3,618,404
Additions
22,450
1,674
6,148
1,162
31,434
Disposals
(20,872)
(19,757)
(1,703)
(42,332)
At 30 December 2021
3,086,233
123,078
383,349
14,846
3,607,506
Depreciation and impairment
At 31 December 2020
399,053
113,385
383,937
11,805
908,180
Depreciation charged in the year
61,323
11,020
9,651
2,650
84,644
Eliminated in respect of disposals
(19,575)
(19,757)
(1,463)
(40,795)
At 30 December 2021
460,376
104,830
373,831
12,992
952,029
Carrying amount
At 30 December 2021
2,625,857
18,248
9,518
1,854
2,655,477
At 30 December 2020
2,664,730
28,891
13,021
3,582
2,710,224
Freehold land and buildings includes land at a cost of £144,173 (2020 - £144,173).
5
Debtors
2021
2020
Amounts falling due within one year:
£
£
Trade debtors
391
Other debtors
1,120,954
1,309,986
Prepayments and accrued income
14,294
11,403
1,135,248
1,321,780
6
Creditors: amounts falling due within one year
2021
2020
£
£
Bank loans
121,829
71,506
Trade creditors
42,309
36,765
Corporation tax
48,000
20,037
Other taxation and social security
9,765
1,990
Other creditors
57,110
58,462
Accruals and deferred income
16,396
51,498
295,409
240,258
ORRMAC (NO:500) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 DECEMBER 2021
- 7 -
7
Creditors: amounts falling due after more than one year
2021
2020
Notes
£
£
Bank loans and overdrafts
659,448
790,165
Other borrowings
862,008
1,232,617
1,521,456
2,022,782
The bank loan is repayable in quarterly instalments. The final instalment is due for payment on 31 March 2028. Interest is charged at 3.64% over Libor.
The bank loan is secured by a standard security over the freehold land and buildings, a bond and floating charge over the whole property, assets and undertakings of the company, and personal guarantees of up to £75,000 each granted by A D M MacDonald and J A M Orr, directors.
8
Called up share capital
2021
2020
2021
2020
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary Shares of £1 each
2,000,100
2,000,100
2,000,100
2,000,100
9
Ultimate controlling party
The directors consider that A D M MacDonald and J A M Orr are jointly the company's controlling party by virtue of their office and shareholdings.