Registration number:
Peerless Fencing Limited
for the Year Ended 31 March 2017
129 Woodplumpton Road
Fulwood
Preston
Lancashire
PR2 3LF
Peerless Fencing Limited
Contents
Company Information |
|
Director's Report |
|
Accountants' Report |
|
Profit and Loss Account |
|
Statement of Comprehensive Income |
|
Balance Sheet |
|
Statement of Changes in Equity |
|
Notes to the Financial Statements |
Peerless Fencing Limited
Company Information
Director |
Mr C J Haigh |
Company secretary |
Miss H M E Haigh |
Registered office |
|
Bankers |
|
Accountants |
|
Page 1 |
Peerless Fencing Limited
Director's Report for the Year Ended 31 March 2017
The director presents his report and the financial statements for the year ended 31 March 2017.
Director of the company
The director who held office during the year was as follows:
Principal activity
The principal activity of the company is that of fencing contractors
Small companies provision statement
This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
Approved by the Board on
.........................................
Mr C J Haigh
Director
Page 2 |
Chartered Accountants' Report to the Director on the Preparation of the Unaudited Statutory Accounts of
Peerless Fencing Limited
for the Year Ended 31 March 2017
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Peerless Fencing Limited for the year ended 31 March 2017 as set out on pages 4 to 16 from the company's accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at
http://www.icaew.com/en/members/regulations-standards-and-guidance/.
This report is made solely to the Board of Directors of Peerless Fencing Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of Peerless Fencing Limited and state those matters that we have agreed to state to the Board of Directors of Peerless Fencing Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Peerless Fencing Limited and its Board of Directors as a body for our work or for this report.
It is your duty to ensure that Peerless Fencing Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of Peerless Fencing Limited. You consider that Peerless Fencing Limited 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 accounts of Peerless Fencing 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 accounts.
......................................
Fulwood
Preston
Lancashire
PR2 3LF
Page 3 |
Peerless Fencing Limited
Profit and Loss Account for the Year Ended 31 March 2017
Note |
Total |
Total |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Other operating income |
|
|
|
Operating profit |
|
|
|
Other interest receivable and similar income |
|
|
|
Interest payable and similar expenses |
( |
( |
|
(522) |
788 |
||
Profit before tax |
|
|
|
Taxation |
|
( |
|
Profit for the financial year |
|
|
The above results were derived from continuing operations.
The company has no recognised gains or losses for the year other than the results above.
Page 4 |
Peerless Fencing Limited
Statement of Comprehensive Income for the Year Ended 31 March 2017
Note |
2017 |
2016 |
|
Profit for the year |
|
|
|
Total comprehensive income for the year |
|
|
Page 5 |
Peerless Fencing Limited
(Registration number: 01260855)
Balance Sheet as at 31 March 2017
Note |
2017 |
2016 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current (liabilities)/assets |
( |
|
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
|
|
|
Capital redemption reserve |
|
|
|
Profit and loss account |
|
|
|
Total equity |
|
|
For the financial year ending 31 March 2017 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Director's responsibilities:
• |
|
• |
The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
Approved and authorised by the
.........................................
Mr C J Haigh
Director
Page 6 |
Peerless Fencing Limited
Statement of Changes in Equity for the Year Ended 31 March 2017
Share capital |
Capital redemption reserve |
Profit and loss account |
Total |
|
At 1 April 2016 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Total comprehensive income |
- |
- |
|
|
Dividends |
- |
- |
( |
( |
At 31 March 2017 |
|
|
|
|
Share capital |
Capital redemption reserve |
Profit and loss account |
Total |
|
At 1 April 2015 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Total comprehensive income |
- |
- |
|
|
At 31 March 2016 |
|
|
|
|
Page 7 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
General information |
The company is a private company limited by share capital incorporated in England and Wales.
The address of its registered office is:
The principal place of business is:
Unit 18, Progress Business Park
Orders Lane
Kirkham
Lancashire
PR4 2TZ
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Page 8 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Plant and machinery |
20% on reducing balance |
Office equipment |
25% on reducing balance and 33.3% on cost |
Motor vehicles |
25% on reducing balance |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress 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. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Page 9 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Staff numbers |
The average number of persons employed by the company (including the director) during the year, was
Profit before tax |
Arrived at after charging/(crediting)
2017 |
2016 |
|
Depreciation expense |
|
|
Page 10 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Tangible assets |
Furniture, fittings and equipment |
Motor vehicles |
Other property, plant and equipment |
Total |
|
Cost or valuation |
||||
At 1 April 2016 |
|
|
|
|
Additions |
|
|
|
|
Disposals |
- |
( |
- |
( |
At 31 March 2017 |
|
|
|
|
Depreciation |
||||
At 1 April 2016 |
|
|
|
|
Charge for the year |
|
|
|
|
Eliminated on disposal |
- |
( |
- |
( |
At 31 March 2017 |
|
|
|
|
Carrying amount |
||||
At 31 March 2017 |
|
|
|
|
At 31 March 2016 |
|
|
|
|
Stocks |
2017 |
2016 |
|
Work in progress |
|
|
Other inventories |
|
|
|
|
Debtors |
2017 |
2016 |
|
Trade debtors |
|
|
Other debtors |
|
|
Total current trade and other debtors |
|
|
Page 11 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Creditors |
Note |
2017 |
2016 |
|
Due within one year |
|||
Bank loans and overdrafts |
|
|
|
Trade creditors |
|
|
|
Amounts owed to group undertakings and undertakings in which the company has a participating interest |
|
- |
|
Taxation and social security |
|
|
|
Other creditors |
|
|
|
|
|
Loans and borrowings |
2017 |
2016 |
|
Current loans and borrowings |
||
Bank overdrafts |
|
|
Page 12 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Related party transactions |
Transactions with directors |
2017 |
At 1 April 2016 |
Advances to directors |
Repayments by director |
At 31 March 2017 |
Mr C J Haigh |
||||
Directors loan account |
(29,685) |
( |
|
( |
Dividends |
- |
- |
|
|
(29,685) |
(35,760) |
78,392 |
12,947 |
|
2016 |
At 1 April 2015 |
Advances to directors |
Repayments by director |
At 31 March 2016 |
Mr C J Haigh |
||||
Directors loan account |
(20,147) |
( |
|
( |
Interest on overdrawn loan account |
- |
( |
- |
( |
(20,147) |
(25,920) |
16,382 |
(29,685) |
|
Directors' remuneration
The director's remuneration for the year was as follows:
2017 |
2016 |
|
Remuneration |
|
|
In respect of the highest paid director:
2017 |
2016 |
|
Remuneration |
|
|
Page 13 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Transition to FRS 102 |
Balance Sheet at 1 April 2015
Note |
As originally reported |
Reclassification |
Remeasurement |
As restated |
|
Fixed assets |
|||||
Tangible assets |
3,857 |
- |
- |
3,857 |
|
Current assets |
|||||
Stocks |
25,761 |
- |
- |
25,761 |
|
Debtors |
110,373 |
- |
- |
110,373 |
|
Cash at bank and in hand |
620 |
- |
- |
620 |
|
136,754 |
- |
- |
136,754 |
||
Creditors: Amounts falling due within one year |
(132,082) |
- |
- |
(132,082) |
|
Net current assets |
4,672 |
- |
- |
4,672 |
|
Net assets |
8,529 |
- |
- |
8,529 |
|
Capital and reserves |
|||||
Called up share capital |
(2,500) |
- |
- |
(2,500) |
|
Capital redemption reserve |
(2,500) |
- |
- |
(2,500) |
|
Profit and loss account |
(3,529) |
- |
- |
(3,529) |
|
Total equity |
(8,529) |
- |
- |
(8,529) |
Page 14 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Balance Sheet at 31 March 2016
Note |
As originally reported |
Reclassification |
Remeasurement |
As restated |
|
Fixed assets |
|||||
Tangible assets |
3,281 |
- |
- |
3,281 |
|
Current assets |
|||||
Stocks |
36,440 |
- |
- |
36,440 |
|
Debtors |
126,352 |
- |
- |
126,352 |
|
Cash at bank and in hand |
110 |
- |
- |
110 |
|
162,902 |
- |
- |
162,902 |
||
Creditors: Amounts falling due within one year |
(141,116) |
- |
- |
(141,116) |
|
Net current assets |
21,786 |
- |
- |
21,786 |
|
Net assets |
25,067 |
- |
- |
25,067 |
|
Capital and reserves |
|||||
Called up share capital |
(2,500) |
- |
- |
(2,500) |
|
Capital redemption reserve |
(2,500) |
- |
- |
(2,500) |
|
Profit and loss account |
(20,067) |
- |
- |
(20,067) |
|
Total equity |
(25,067) |
- |
- |
(25,067) |
Page 15 |
Peerless Fencing Limited
Notes to the Financial Statements for the Year Ended 31 March 2017
Profit and Loss Account for the year ended 31 March 2016
Note |
As originally reported |
Reclassification |
Remeasurement |
As restated |
|
Turnover |
558,555 |
- |
- |
558,555 |
|
Cost of sales |
(346,144) |
- |
- |
(346,144) |
|
Gross profit |
212,411 |
- |
- |
212,411 |
|
Administrative expenses |
(194,957) |
- |
- |
(194,957) |
|
Other operating income |
2,431 |
- |
- |
2,431 |
|
Operating profit |
19,885 |
- |
- |
19,885 |
|
Other interest receivable and similar income |
1,924 |
- |
- |
1,924 |
|
Interest payable and similar expenses |
(1,136) |
- |
- |
(1,136) |
|
788 |
- |
- |
788 |
||
Profit before tax |
20,673 |
- |
- |
20,673 |
|
Taxation |
(4,135) |
- |
- |
(4,135) |
|
Profit for the financial year |
16,538 |
- |
- |
16,538 |
Page 16 |
Peerless Fencing Limited
Detailed Profit and Loss Account for the Year Ended 31 March 2017
2017 |
2016 |
|
Turnover (analysed below) |
620,421 |
558,555 |
Cost of sales (analysed below) |
(407,879) |
(346,144) |
Gross profit |
212,542 |
212,411 |
Gross profit (%) |
34.26% |
38.03% |
Administrative expenses |
||
Employment costs (analysed below) |
(93,964) |
(92,109) |
Establishment costs (analysed below) |
(32,417) |
(34,607) |
General administrative expenses (analysed below) |
(44,835) |
(64,648) |
Finance charges (analysed below) |
(1,814) |
(2,391) |
Depreciation costs (analysed below) |
(7,446) |
(1,202) |
Other expenses (analysed below) |
167 |
- |
(180,309) |
(194,957) |
|
Other operating income (analysed below) |
4,500 |
2,431 |
Operating profit |
36,733 |
19,885 |
Other interest receivable and similar income (analysed below) |
592 |
1,924 |
Interest payable and similar expenses (analysed below) |
(1,114) |
(1,136) |
(522) |
788 |
|
Profit before tax |
36,211 |
20,673 |
Page 17 |
Peerless Fencing Limited
Detailed Profit and Loss Account for the Year Ended 31 March 2017
2017 |
2016 |
Turnover |
||
Supply and erect sales |
602,864 |
543,444 |
Supply only sales |
17,557 |
15,111 |
620,421 |
558,555 |
Cost of sales |
||
Opening stock |
25,607 |
24,223 |
Opening work in progress |
10,833 |
1,539 |
Purchases |
284,416 |
261,856 |
Direct costs |
2,640 |
- |
Closing stock |
(25,890) |
(25,607) |
Closing work in progress |
(1,172) |
(10,833) |
Wages and salaries |
53,918 |
70,302 |
Employers national insurance |
2,310 |
4,773 |
Subcontractors |
35,909 |
12,267 |
Hire of plant and machinery |
19,308 |
7,624 |
407,879 |
346,144 |
Employment costs |
||
Wages and salaries |
(74,317) |
(73,291) |
Employers national insurance |
(5,864) |
(5,807) |
Directors remuneration |
(10,969) |
(10,592) |
Directors national insurance |
(394) |
(342) |
Staff training |
(2,420) |
(2,077) |
(93,964) |
(92,109) |
Establishment costs |
||
Rent |
(17,800) |
(15,600) |
Rates |
(2,672) |
(2,257) |
Light, heat and power |
(1,074) |
(939) |
Insurance |
(5,998) |
(5,519) |
Repairs and maintenance |
(4,873) |
(10,292) |
(32,417) |
(34,607) |
Page 18 |
Peerless Fencing Limited
Detailed Profit and Loss Account for the Year Ended 31 March 2017
General administrative expenses |
||
Telephone and internet |
(4,505) |
(4,893) |
Computer software and maintenance costs |
(1,818) |
(1,240) |
Printing, postage and stationery |
(710) |
(1,923) |
Trade subscriptions |
(1,093) |
(1,309) |
Sundry expenses |
(1,879) |
(352) |
Motor expenses |
(21,835) |
(43,222) |
Travel and subsistence |
(561) |
(300) |
Advertising |
(6,749) |
(4,321) |
Accountancy fees |
(3,195) |
(3,430) |
Legal and professional fees |
(2,490) |
(3,658) |
(44,835) |
(64,648) |
Finance charges |
||
Bank charges |
(1,297) |
(1,427) |
Credit card charges |
(517) |
(964) |
(1,814) |
(2,391) |
Depreciation costs |
||
Depreciation of plant and machinery |
(374) |
(58) |
Depreciation of motor vehicles |
(6,263) |
(652) |
Depreciation of office equipment |
(809) |
(492) |
(7,446) |
(1,202) |
Other expenses |
||
(Profit)/loss on disposal of tangible fixed assets |
167 |
- |
Other operating income |
||
Other operating income |
4,500 |
2,431 |
Other interest receivable and similar income |
||
Other interest receivable |
592 |
1,924 |
Interest payable and similar expenses |
||
Bank interest payable |
1,114 |
1,136 |
Page 19 |