Company Registration No. 01455360 (England and Wales)
CLARKES ACCIDENT REPAIR CENTRES LIMITED
ANNUAL REPORT AND
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 JULY 2019
PAGES FOR FILING WITH REGISTRAR
CLARKES ACCIDENT REPAIR CENTRES LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
CLARKES ACCIDENT REPAIR CENTRES LIMITED
BALANCE SHEET
AS AT
31 JULY 2019
31 July 2019
- 1 -
2019
2018
Notes
£
£
£
£
Fixed assets
Tangible assets
3
144,387
157,061
Current assets
Stocks
26,668
13,206
Debtors
4
254,841
499,222
Cash at bank and in hand
458
539
281,967
512,967
Creditors: amounts falling due within one year
5
(727,237)
(945,698)
Net current liabilities
(445,270)
(432,731)
Total assets less current liabilities
(300,883)
(275,670)
Capital and reserves
Called up share capital
6
31
31
Profit and loss reserves
(300,914)
(275,701)
Total equity
(300,883)
(275,670)
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 31 July 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The director acknowledges his 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.
The financial statements were approved and signed by the director and authorised for issue on 28 July 2020
G B Clarke
Director
Company Registration No. 01455360
CLARKES ACCIDENT REPAIR CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2019
- 2 -
1
Accounting policies
Company information
Clarkes Accident Repair Centres Limited is a
private
company
limited by shares
incorporated in England and Wales.
The
address of the
registered office
and place of business
is
given in the company information page of these financial statements.
1.1
Basis of preparation
These financial statements have been prepared in accordance with applicable accounting standards including 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. The principal accounting policies adopted are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
1.2
Going concern
The financial statements have been prepared on a going concern basis, the validity of which depends on the continuing financial support of the director of the company and the company's bankers. The company meets its day to day working capital requirements through an overdraft facility which is repayable on demand. The director considers that the company will continue to operate within agreed facilities.
true
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
.
Turnover represents amounts receivable for work done (net of VAT) during the year. Revenue is generally recognised as the contract activity progresses so that for incomplete contracts it reflects the partial performance of contract obligations. For such contracts the amount of revenue reflects the partial performance of the contract obligations and reflects the accrual of the right to consideration by reference to the value of work performed. Revenue not billed to customers is included in sales and debtors and payments on account are included in creditors
.
1.4
Tangible fixed assets
Tangible fixed assets are 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 property
straight line over 25 years
Plant and machinery
15% per annum of net book value
Fixtures, fittings & equipment
20% per annum of net book value
Motor vehicles
25% per annum of net book value
CLARKES ACCIDENT REPAIR CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2019
1
Accounting policies
(Continued)
- 3 -
1.5
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, or the asset's cash generating unit
is estimated
and compared to the carrying amount
in order to determine the extent of the impairment loss (if any).
Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the profit and loss account unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.
1.6
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct
purchase costs
. Provision is made for damaged, obsolete and slow-moving stock where appropriate.
1.7
Financial instruments
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Debtors and creditors with no stated interest rate and receivable or payable within one year are measured at transaction price. Any losses arising from impairment are recognised in the profit and loss account.
1.8
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. 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 profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.
1.9
Employee benefits
When employees have rendered service to the company, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.
The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.
CLARKES ACCIDENT REPAIR CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2019
1
Accounting policies
(Continued)
- 4 -
1.10
Retirement benefits
The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are charged to the profit and loss account in the year they are payable.
1.11
Leases
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.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2019
2018
Number
Number
Total
26
30
3
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 August 2018
59,569
710,969
770,538
Additions
-
23,940
23,940
Disposals
-
(72,136)
(72,136)
At 31 July 2019
59,569
662,773
722,342
Depreciation and impairment
At 1 August 2018
59,569
553,908
613,477
Depreciation charged in the year
-
29,823
29,823
Eliminated in respect of disposals
-
(65,345)
(65,345)
At 31 July 2019
59,569
518,386
577,955
Carrying amount
At 31 July 2019
-
144,387
144,387
At 31 July 2018
-
157,061
157,061
CLARKES ACCIDENT REPAIR CENTRES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2019
- 5 -
4
Debtors
2019
2018
Amounts falling due within one year:
£
£
Trade debtors
169,984
314,812
Corporation tax recoverable
253
253
Other debtors
84,604
184,157
254,841
499,222
5
Creditors: amounts falling due within one year
2019
2018
£
£
Bank loans and overdrafts
77,877
204,565
Trade creditors
253,398
387,276
Taxation and social security
47,094
66,311
Other creditors
348,868
287,546
727,237
945,698
The bank overdraft of £77,877 (2018 - £204,565
) is secured by way of a fixed and floating charge over the assets of the company.
6
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
31 Ordinary shares of £1 each
31
31
7
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases totalling £168,546 (2018 - £223,536
).