Company Registration No. 12011038 (England and Wales)
GRG WASTE UK LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2019
PAGES FOR FILING WITH REGISTRAR
GRG WASTE UK LTD
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
GRG WASTE UK LTD
BALANCE SHEET
AS AT
31 DECEMBER 2019
31 December 2019
- 1 -
2019
Notes
£
£
Fixed assets
Investments
3
4,780,093
Current assets
Debtors
4
40,000
Cash at bank and in hand
28,872
68,872
Creditors: amounts falling due within one year
5
(4,661,505)
Net current liabilities
(4,592,633)
Total assets less current liabilities
187,460
Capital and reserves
Called up share capital
6
1,000
Share premium account
272,850
Profit and loss reserves
(86,390)
Total equity
187,460
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial period ended 31 December 2019 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 period 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 by the board of directors and authorised for issue on 17 December 2020 and are signed on its behalf by:
Mr M Grime
Director
Company Registration No. 12011038
GRG WASTE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2019
- 2 -
1
Accounting policies
Company information
GRG Waste UK Ltd is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Casbrook Park, Bunny Lane, Timsbury, Romsey, Hampshire, SO51 0PG.
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 £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
These financial statements are prepared on the going concern basis. The directors have a reasonable expectation that the company will continue in operational existence for the foreseeable future. This remains unchanged in the view of the directors due to the Covid-19 pandemic.
1.3
Reporting period
The reporting period of these accounts is to the period ended 31 December 2019 which was shortened to align the year end with other group companies. The company was incorporated on 22 May 2019 and there is no comparative in these accounts.
1.4
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for
management
services provided in the normal course of business
.
1.5
Fixed asset investments
A subsidiary is an entity controlled by the company
. Control is
the power to govern the financial and operating policies of
the
entity so as to obtain benefits from its activities.
1.6
Cash and cash equivalents
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.
1.7
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 balance sheet 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.
GRG WASTE UK LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 3 -
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors and loans from
fellow group companies, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
1.8
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.
1.9
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.
1.10
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.
GRG WASTE UK LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 DECEMBER 2019
- 4 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2019
Number
Total
1
3
Fixed asset investments
2019
£
Shares in group undertakings and participating interests
4,780,093
Movements in fixed asset investments
Shares in group undertakings
£
Cost or valuation
At 22 May 2019
-
Additions
4,780,093
At 31 December 2019
4,780,093
Carrying amount
At 31 December 2019
4,780,093
During the period GRG Waste UK Limited acquired the entire share capital of Greenway Environmental Limited. The investment is reviewed on an annual basis for impairment.
4
Debtors
2019
Amounts falling due within one year:
£
Amounts owed by group undertakings
40,000
GRG WASTE UK LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 DECEMBER 2019
- 5 -
5
Creditors: amounts falling due within one year
2019
£
Amounts owed to group undertakings
4,551,559
Taxation and social security
9,014
Other creditors
100,932
4,661,505
6
Called up share capital
2019
£
Ordinary share capital
Issued and fully paid
850,000 Ordinary A shares of £0.001 each
850
150,000 Ordinary B shares of £0.001 each
150
1,000
All shares were issued in the period. Ordinary A shares carry voting and dividend rights. Ordinary B shares carry no right to vote or to receive dividends.
7
Financial commitments, guarantees and contingent liabilities
The company is subject to a fixed and floating charge over its assets in respect of the borrowings of the parent company.
8
Events after the reporting date
After the period end, on 30 June 2020, the company acquired the entire issued share capital of Chloros Environmental Limited.
9
Related party transactions
GRG WASTE UK LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 31 DECEMBER 2019
9
Related party transactions
(Continued)
- 6 -
At the period end GRG Waste UK Ltd owed £4,552,559 to Guernsey Recycling (1996) Limited, interest is charged on this loan at 5% per annum and totals £91,842 in the period. There are no fixed repayment terms.
During the year Guernsey Recycling (1996) Limited recharged £56,398 in respect of management fees and £43,362 in respect of professional fees to GRG Waste UK Ltd.
At the period end GRG Waste UK Ltd was owed £40,000 by Greenway Environmental Limited, no interest being charged on this balance and there are no fixed repayment terms.
During the period GRG Waste UK Ltd received £100,000 in management fees from Greenway Environmental Limited.
During the period GRG Waste UK Ltd received £100,000 in management fees from BKP Waste & Recycling Limited. Guernsey Recycling (1996) Limited held a majority shareholding in this company at the period end. Since the period end BKP Waste & Recycling Limited has become a 100% owned subsidiary of GRG Waste UK Ltd.
10
Parent company
The parent company of GRG Waste UK Ltd is Guernsey Recycling (1996) Limited which owns 97.45% of the issued share capital at the period end.