|
|
REGISTERED NUMBER:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Statements for the Year Ended 31 December 2017 |
|
for |
|
AEP (Scotland) Ltd. |
|
|
REGISTERED NUMBER:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Statements for the Year Ended 31 December 2017 |
|
for |
|
AEP (Scotland) Ltd. |
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
|
|
|
|
|
Contents of the Financial Statements |
for the Year Ended 31 December 2017 |
|
|
|
|
Page |
|
Company Information | 1 |
|
Chartered Accountants' Report | 2 |
|
Balance Sheet | 3 |
|
Notes to the Financial Statements | 5 |
|
AEP (Scotland) Ltd. |
|
Company Information |
for the Year Ended 31 December 2017 |
|
|
|
|
|
|
|
DIRECTORS: |
|
|
|
|
|
|
|
SECRETARY: |
|
|
|
|
|
|
REGISTERED OFFICE: |
|
|
|
|
|
|
|
|
|
|
REGISTERED NUMBER: |
|
|
|
|
|
|
ACCOUNTANTS: |
|
Chartered Accountants |
Westburn Business Centre |
McNee Road |
Prestwick |
Ayrshire |
KA9 2PB |
Chartered Accountants' Report to the Board of Directors |
on the Unaudited Financial Statements of |
AEP (Scotland) Ltd. |
|
The following reproduces the text of the report prepared for the directors in respect of the company's annual |
unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file |
a Balance Sheet. Readers are cautioned that the Profit and Loss Account and certain other primary statements |
and the Report of the Directors are not required to be filed with the Registrar of Companies. |
|
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the |
financial statements of AEP (Scotland) Ltd. for the year ended 31 December 2017 which comprise the Profit and Loss |
Account, Other Comprehensive Income, Balance Sheet and the related notes from the company's accounting records and |
from information and explanations you have given us. |
|
As a practising member firm of ICAS, we are subject to its ethical and other professional requirements which are detailed at http://www.icas.com/accountspreparationguidance. |
|
This report is made solely to the Board of Directors of AEP (Scotland) Ltd., as a body, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of AEP (Scotland) Ltd. and state those matters that we have agreed to state to the Board of Directors of AEP (Scotland) Ltd., as a body, in this report in accordance with the requirements of ICAS as detailed at http://www.icas.com/accountspreparationguidance. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and its Board of Directors, as a body, for our work or for this report. |
|
It is your duty to ensure that AEP (Scotland) Ltd. 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 AEP (Scotland) Ltd.. You consider that AEP (Scotland) Ltd. is exempt from the statutory audit requirement for the year. |
|
We have not been instructed to carry out an audit or a review of the financial statements of AEP (Scotland) Ltd.. 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. |
|
|
|
|
|
|
|
Chartered Accountants |
Westburn Business Centre |
McNee Road |
Prestwick |
Ayrshire |
KA9 2PB |
|
|
|
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Balance Sheet |
31 December 2017 |
|
2017 | 2016 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 4 |
|
|
Tangible assets | 5 |
|
|
|
|
|
CURRENT ASSETS |
Stocks |
|
|
Debtors | 6 |
|
|
Cash at bank |
|
|
|
|
CREDITORS |
Amounts falling due within one year | 7 |
|
|
NET CURRENT ASSETS |
|
|
TOTAL ASSETS LESS CURRENT
LIABILITIES |
|
|
|
CREDITORS |
Amounts falling due after more than one
year |
8 |
( |
) |
( |
) |
|
PROVISIONS FOR LIABILITIES | ( |
) | ( |
) |
NET ASSETS |
|
|
|
CAPITAL AND RESERVES |
Called up share capital |
|
|
Retained earnings |
|
|
SHAREHOLDERS' FUNDS |
|
|
|
|
|
|
|
The directors acknowledge their responsibilities for: |
(a) |
ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies
Act 2006 and |
(b) |
preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of
each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
|
|
|
In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered. |
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Balance Sheet - continued |
31 December 2017 |
|
|
|
The financial statements were approved by the Board of Directors on
|
|
|
|
|
|
|
|
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Notes to the Financial Statements |
for the Year Ended 31 December 2017 |
|
1. | STATUTORY INFORMATION |
|
AEP (Scotland) Ltd. is a
|
number and registered office address can be found on the Company Information page. |
|
The presentation currency of the financial statements is the Pound Sterling (£). |
|
|
2. | ACCOUNTING POLICIES |
|
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The |
Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The |
financial statements have been prepared on a going concern basis and under the historical cost convention. |
|
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The |
Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party |
transactions with it's Parent Company KCM Holdings (Scotland) Limited or wholly owned subsidiaries within |
the group. |
|
Going concern |
The financial statements have been prepared on a going concern basis which assumes the company will continue |
to trade for a period of 12 months from the date of approval. |
|
This is on the basis that the banking facilities for the KCM Holdings (Scotland) Ltd group of companies will be |
in place for a period of at least 12 months from the date of approval. The current banking facility expires during |
this period and the Directors see no reason why facilities at a similar level to the current arrangement will not be |
renewed for a period of at least 12 months from the renewal date. |
|
The current and future cash position of the company and the group has been reviewed by the Board of Directors. |
This included a comprehensive review of current trading performance and of the forecasted cash requirements, |
covering a period beyond one year from the date of approval of the financial statements. This has been |
significantly boosted through the sale of a division of the company post year end which not only resulted in a |
cash uplift to the company and group but reduced the overall gearing through the repayment of a portion of bank |
debt. |
|
The Board also recognises that the company's and the group's position is reliant on the continued support of the |
Directors. This support is evidenced through the further investment of personal funds as long term capital. |
|
On the basis of all of the above the Board considers it appropriate to prepare the financial statements on a going |
concern basis. |
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2017 |
|
2. | ACCOUNTING POLICIES - continued |
|
Turnover/revenue recognition |
Sales comprise the fair value of the consideration received or receivable for the sale of goods and rendering of |
services in the ordinary course of the Company's activities. |
|
Sales are presented, net of value-added tax, rebates and discounts. |
|
The Company recognises revenue when the amount of revenue and related cost can be reliably measured, it is |
probable that the collectability of the related receivables is reasonably assured and when the specific criteria for |
each of the Company's activities are met. |
|
Goodwill |
Goodwill arising on an acquisition of a trade is the difference between the fair value of the consideration paid |
and the fair value of the assets and liabilities acquired. Positive goodwill is capitalised and amortised through |
the profit and loss account over the director's estimate of its useful economic life which is 20 years. Impairment |
tests on the carrying value of goodwill are undertaken; |
|
- at the end of the first full financial year following acquisition; |
- in other period if events or changes in circumstances indicate that the carrying value may not be recoverable. |
|
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost |
less any accumulated amortisation and any accumulated impairment losses. |
|
Tangible fixed assets |
|
Plant and machinery | - |
|
Fixtures and fittings | - |
|
Motor vehicles | - |
|
Computer equipment | - |
|
|
Stocks |
Stocks are valued at the lower of cost and net realisable value. Cost is based on the cost of purchase on a first in, |
first out basis. Net realisable value is based on estimated selling price less additional costs to completion and |
disposal. |
|
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and loss account, except |
to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
|
Current or deferred taxation assets and liabilities are not discounted. |
|
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or |
substantively enacted by the balance sheet date. |
|
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance |
sheet date. |
|
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from |
those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that |
have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the |
timing difference. |
|
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they |
will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2017 |
|
2. | ACCOUNTING POLICIES - continued |
|
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the |
balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at |
the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
|
Hire purchase and leasing commitments |
Where assets are financed by leasing agreements that give rights approximating to ownership (finance leases), |
the assets are treated as if they had been purchased outright. The amount capitalised is the present value of the |
minimum lease payments payable over the term of the lease. The corresponding leasing commitments are shown |
as amounts payable to the lessor. Depreciation on the relevant assets is charged to the profit and loss account |
over the shorter of estimated useful economic life and the period of the lease. |
|
Lease payments are analysed between capital and interest components so that the interest element of the payment |
is charged to the profit and loss account over the period of the lease and is calculated so that it represents a |
constant proportion of the balance of capital repayments outstanding. The capital part reduces the amounts |
payable to the lessor. |
|
All other leases are treated as operating leases. Their annual rentals are charged to the profit and loss account on |
a straight line basis over the terms of the lease. |
|
3. | EMPLOYEES AND DIRECTORS |
|
The average number of employees during the year was
|
|
4. | INTANGIBLE FIXED ASSETS |
Goodwill |
£ |
COST |
At 1 January 2017 |
and 31 December 2017 |
|
AMORTISATION |
At 1 January 2017 |
|
Charge for year |
|
At 31 December 2017 |
|
NET BOOK VALUE |
At 31 December 2017 |
|
At 31 December 2016 |
|
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2017 |
|
5. | TANGIBLE FIXED ASSETS |
Fixtures |
Plant and | and | Motor | Computer |
machinery | fittings | vehicles | equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2017 |
|
|
|
|
|
Additions |
|
|
|
|
|
At 31 December 2017 |
|
|
|
|
|
DEPRECIATION |
At 1 January 2017 |
|
|
|
|
|
Charge for year |
|
|
|
|
|
At 31 December 2017 |
|
|
|
|
|
NET BOOK VALUE |
At 31 December 2017 |
|
|
|
|
|
At 31 December 2016 |
|
|
|
|
|
|
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 1 January 2017 |
|
Transfer to ownership | (9,000 | ) |
At 31 December 2017 |
|
DEPRECIATION |
At 1 January 2017 |
|
Charge for year |
|
Transfer to ownership | (5,836 | ) |
At 31 December 2017 |
|
NET BOOK VALUE |
At 31 December 2017 |
|
At 31 December 2016 |
|
|
6. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2017 | 2016 |
£ | £ |
Trade debtors |
|
|
Amounts owed by group undertakings |
|
|
Prepayments and accrued income |
|
|
|
|
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2017 |
|
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2017 | 2016 |
£ | £ |
Bank loans and overdrafts |
|
|
Other loans |
|
|
Hire purchase contracts (see note 9) |
|
|
Trade creditors |
|
|
Amounts owed to group undertakings |
|
|
Tax |
|
|
Social security and other taxes |
|
|
Accruals and deferred income |
|
|
|
|
|
Included in bank overdrafts is the sum of £360,807 (2016: £114,213) in respect of a debtor factoring account. |
The debtor factoring account is secured over specific trade debtors and by the restricted personal guarantee of |
Mr & Mrs Colin McAdam. |
|
8. |
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR |
2017 | 2016 |
£ | £ |
Bank loans - 1-2 years |
|
|
Bank loans - 2-5 years |
|
|
Bank loans more 5 yr by instal |
|
|
|
|
|
Amounts falling due in more than five years: |
|
Repayable by instalments |
Bank loans more 5 yr by instal | 89,637 | 119,875 |
|
9. | LEASING AGREEMENTS |
|
Minimum lease payments fall due as follows: |
|
Hire purchase contracts |
2017 | 2016 |
£ | £ |
Net obligations repayable: |
Within one year |
|
|
|
Non-cancellable |
operating leases |
2017 | 2016 |
£ | £ |
Within one year |
|
|
Between one and five years |
|
|
|
|
AEP (Scotland) Ltd. (Registered number: SC378869) |
|
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2017 |
|
9. | LEASING AGREEMENTS - continued |
|
An operating lease is in place with the company's ultimate parent company KCM Holdings (Scotland) Limited |
for the property in which AEP (Scotland) Ltd carries out its trade. The amounts above represent the total |
payable over the entire remaining period of the lease agreement. |
|
10. | SECURED DEBTS |
|
The following secured debts are included within creditors: |
|
2017 | 2016 |
£ | £ |
Bank overdrafts |
|
|
Bank loans |
|
|
Hire purchase contracts | - | 1,250 |
|
|
|
Bank loans are secured by way of a floating charge over the assets of the company, cross company guarantee and |
a restricted personal guarantee by Colin and Aileen McAdam. |
|
Hire purchase liabilities are secured over the assets being financed. |
|
11. | CONTINGENT LIABILITIES |
|
The company has granted a corporate guarantee in favour of the bank in respect of all borrowings of its parent |
company, KCM Holdings (Scotland) Limited. As at 31 December 2017 these liabilities amounted to £Nil (2016: |
£Nil). |
|
The company has granted a corporate guarantee, in favour of the bank, in respect of all bank borrowings of CAM |
Autos Limited. As at 31 December 2017 these liabilities amounted to £41,300 (2016: £52,782). |
|
12. | ULTIMATE CONTROLLING PARTY |
|
The company is under the joint control of Colin McAdam and Aileen McAdam by virtue of their 100% holding |
in the ultimate parent company KCM Holdings (Scotland) Ltd. |