Company Registration No. 01411016 (England and Wales)
CHASE TYRE SPECIALISTS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2020
PAGES FOR FILING WITH REGISTRAR
CHASE TYRE SPECIALISTS LIMITED
COMPANY INFORMATION
Director
Mr S M Smith
Secretary
Mrs C M Smith
Company number
01411016
Registered office
1 SGS Business Park
Oldbury Road
West Bromwich
West Midlands
B70 9DP
Accountants
Ormerod Rutter Limited
The Oakley
Kidderminster Road
Droitwich
Worcestershire
WR9 9AY
Bankers
Lloyds Bank Plc
Market Place
Cannock
Staffordshire
CHASE TYRE SPECIALISTS LIMITED
CONTENTS
Page
Accountants' report
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 7
CHASE TYRE SPECIALISTS LIMITED
ACCOUNTANTS' REPORT TO THE DIRECTOR ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF CHASE TYRE SPECIALISTS LIMITED FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Chase Tyre Specialists Limited for the year ended 30 September 2020 which comprise, the 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 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 Chase Tyre Specialists Limited, 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 Chase Tyre Specialists Limited
and state those matters that we have agreed to state to the Board of Directors of Chase Tyre Specialists 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 Chase Tyre Specialists Limited and its Board of Directors as a body, for
our work or for this report.
It is your duty to ensure that Chase Tyre Specialists 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 Chase Tyre Specialists Limited. You consider that Chase Tyre Specialists 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 financial statements of Chase Tyre Specialists 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.
Ormerod Rutter Limited
8 June 2021
Chartered Accountants
The Oakley
Kidderminster Road
Droitwich
Worcestershire
WR9 9AY
CHASE TYRE SPECIALISTS LIMITED
BALANCE SHEET
AS AT
30 SEPTEMBER 2020
30 September 2020
- 2 -
2020
2019
Notes
£
£
£
£
Fixed assets
Tangible assets
3
21,957
29,930
Current assets
Stocks
57,986
142,345
Debtors
4
269,107
350,523
Cash at bank and in hand
114,214
30,870
441,307
523,738
Creditors: amounts falling due within one year
5
(266,673)
(355,810)
Net current assets
174,634
167,928
Total assets less current liabilities
196,591
197,858
Provisions for liabilities
7
(4,144)
(5,628)
Net assets
192,447
192,230
Capital and reserves
Called up share capital
8
1,412
1,412
Share premium account
57,590
57,590
Profit and loss reserves
133,445
133,228
Total equity
192,447
192,230
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 30 September 2020 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.
CHASE TYRE SPECIALISTS LIMITED
BALANCE SHEET (CONTINUED)
AS AT
30 SEPTEMBER 2020
30 September 2020
- 3 -
The financial statements were approved and signed by the director and authorised for issue on 8 June 2021.
Mr S M Smith
Director
Company Registration No. 01411016
CHASE TYRE SPECIALISTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 4 -
1
Accounting policies
Company information
Chase Tyre Specialists Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
1 SGS Business Park, Oldbury Road, West Bromwich, West Midlands, B70 9DP.
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 have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
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
.
The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer
(usually on dispatch of the goods)
, the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Revenue from the provision of services is recognised by reference to the stage of completion, when the costs incurred and costs to complete can be estimated reliably.
1.3
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently 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:
Improvements to property
25% on reducing balance
Plant and machinery
25% on reducing balance
Fixtures and fittings
25% on reducing balance
Motor vehicles
25% on reducing balance
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
.
CHASE TYRE SPECIALISTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
1
Accounting policies
(Continued)
- 5 -
1.4
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of replacement cost and cost, adjusted where applicable for any loss of service potential.
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.
1.5
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 profit and loss account 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 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.
1.6
Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
1.7
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.8
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 asset are consumed.
1.9
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.
CHASE TYRE SPECIALISTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
1
Accounting policies
(Continued)
- 6 -
1.10
The company has entered into an invoice discounting agreement for certain trade debtors. Amounts due from the customers are shown in full in trade debtors with amounts due to the finance company shown in creditors due within twelve months under the other creditors heading.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 7 (2019 - 8
).
3
Tangible fixed assets
Improvements to property
Plant and machinery
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 October 2019
5,112
185,454
1,772
66,127
258,465
Disposals
(24,500)
(24,500)
At 30 September 2020
5,112
185,454
1,772
41,627
233,965
Depreciation and impairment
At 1 October 2019
5,107
161,428
1,442
60,557
228,534
Depreciation charged in the year
1
6,009
83
1,230
7,323
Eliminated in respect of disposals
(23,849)
(23,849)
At 30 September 2020
5,108
167,437
1,525
37,938
212,008
Carrying amount
At 30 September 2020
4
18,017
247
3,689
21,957
At 30 September 2019
5
24,026
329
5,570
29,930
4
Debtors
2020
2019
Amounts falling due within one year:
£
£
Trade debtors
136,679
261,213
Amounts owed by group undertakings
52,821
72,826
Other debtors
79,607
16,484
269,107
350,523
CHASE TYRE SPECIALISTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2020
- 7 -
5
Creditors: amounts falling due within one year
2020
2019
£
£
Trade creditors
86,371
128,975
Amounts owed to group undertakings
145,133
126,036
Taxation and social security
21,121
37,213
Other creditors
14,048
63,586
266,673
355,810
6
Secured debts
The following secured debts are included within creditors:
2020
2019
£
£
Factoring account
-
44,368
Lloyds TSB Commercial Finance Limited holds a fixed and floating charge over trade debtors as security over amounts advanced.
7
Provisions for liabilities
2020
2019
£
£
Deferred tax liabilities
4,144
5,628
8
Called up share capital
2020
2019
£
£
Ordinary share capital
Issued and fully paid
1,410 Ordinary A of £1 each
1,410
1,410
1 Ordinary B of £1 each
1
1
1 Ordinary C of £1 each
1
1
1,412
1,412
9
Control
Ultimate parent company
The ultimate parent company is Havenlodge Limited, a company registered in England and Wales.
Ultimate controlling party
The ultimate controlling party is Mr S M Smith and Mrs C M Smith by virtue of their controlling interest in the ultimate parent company.