Company Registration No. SC250038 (Scotland)
MARK GARRICK LTD.
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2021
PAGES FOR FILING WITH REGISTRAR
MARK GARRICK LTD.
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 7
MARK GARRICK LTD.
STATEMENT OF FINANCIAL POSITION
AS AT
31 OCTOBER 2021
31 October 2021
- 1 -
2021
2020
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
7
409,454
289,407
Current assets
Inventories
426,044
781,436
Trade and other receivables
8
280,575
218,809
Cash and cash equivalents
64,616
65,799
771,235
1,066,044
Current liabilities
9
(528,655)
(878,509)
Net current assets
242,580
187,535
Total assets less current liabilities
652,034
476,942
Non-current liabilities
10
(153,150)
(94,692)
Provisions for liabilities
(62,715)
(40,920)
Net assets
436,169
341,330
Equity
Called up share capital
11
2
2
Retained earnings
436,167
341,328
Total equity
436,169
341,330
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial year ended 31 October 2021 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 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 by the board of directors and authorised for issue on 31 May 2022 and are signed on its behalf by:
Mr M Garrick
Director
Company Registration No. SC250038
MARK GARRICK LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2021
- 2 -
1
Company Information
Mark Garrick Ltd. is a
private
company
limited by shares
incorporated in
Scotland
.
The registered office is
Brookfield House, Birnie, Elgin, Moray, IV30 8SW.
2
Compliance with accounting standards
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 compa
ny.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
3
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
4
Accounting policies
4.1
Revenue
Turnover represents the value of sales to customers, net of discounts, allowances, volume and promotional rebates and other payments to customers and excludes VAT. Sales of services
, equipment hire
and goods are recognised when the company has provided the goods or service to the customer and collectability of the related receivable is reasonably assured.
Revenue from the sale of goods
and services is
recognised when the significant risks and rewards of ownership of the goods have passed to the buyer
(usually on dispatch of the goods) or the service has been provided,
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.
4.2
Intangible fixed assets - goodwill
Acquired goodwill
was
written off in equal annual instalments over its estimated useful economic life of 5 years as assessed by the director.
It is now amortised in full.
MARK GARRICK LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2021
4
Accounting policies
(Continued)
- 3 -
4.3
Property, plant and equipment
Property, plant and equipment
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:
Leasehold property
10% straight line
Plant and machinery
25% reducing balance
Office and computer equipment
25% reducing balance and 33% straight line
Motor vehicles
25% 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
.
4.4
Inventories
Inventories 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 inventories to their present location and condition.
4.5
Basic 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 statement of financial position 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.
4.6
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
income statement
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
The charge for taxation takes into account taxation deferred as a result of timing differences between the treatment of certain items for taxation and accounting purposes. In general, deferred taxation is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.
Deferred taxation is measured on a non-discounted basis at the tax rates that are expected to apply in the periods in which the timing differences reverse, based on tax rates and the law enacted or substantively enacted at the balance sheet date.
MARK GARRICK LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2021
4
Accounting policies
(Continued)
- 4 -
4.7
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
non-current assets
.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
4.8
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.
4.9
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair
value at the date of inception and the present value of the minimum lease payments. The related liability is included in the statement of financial position as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
4.10
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.
4.11
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.
5
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2021
2020
Number
Number
Total
11
11
MARK GARRICK LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2021
- 5 -
6
Intangible fixed assets
Goodwill
£
Cost
At 1 November 2020 and 31 October 2021
5,000
Amortisation and impairment
At 1 November 2020 and 31 October 2021
5,000
Carrying amount
At 31 October 2021
At 31 October 2020
7
Property, plant and equipment
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 November 2020
185,603
462,238
647,841
Additions
23,448
274,488
297,936
Disposals
(129,294)
(129,294)
At 31 October 2021
209,051
607,432
816,483
Depreciation and impairment
At 1 November 2020
102,710
255,723
358,433
Depreciation charged in the year
20,961
108,865
129,826
Eliminated in respect of disposals
(81,230)
(81,230)
At 31 October 2021
123,671
283,358
407,029
Carrying amount
At 31 October 2021
85,380
324,074
409,454
At 31 October 2020
82,893
206,514
289,407
MARK GARRICK LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2021
- 6 -
8
Trade and other receivables
2021
2020
Amounts falling due within one year:
£
£
Trade receivables
271,205
209,587
Other receivables
9,370
9,222
280,575
218,809
9
Current liabilities
2021
2020
£
£
Bank loans
8,888
1,667
Trade payables
222,157
225,071
Corporation tax
7,052
19,673
Other taxation and social security
62,178
16,644
Other payables
228,380
615,454
528,655
878,509
Included in other payables are obligations under finance leases of £67,071 (2020 - £48,884 ) secured over the assets to which they relate.
Included in 'Trade payables' are creditors amounting to £19,243 (2020 - £139,492) secured by a personal guarantee.
10
Non-current liabilities
2021
2020
£
£
Bank loans and overdrafts
39,652
48,333
Other payables
113,498
46,359
153,150
94,692
Other payables comprise hire purchase and lease agreements totalling £113,498 (2020 - £46,359) which are secured over the assets to which they relate.
11
Called up share capital
2021
2020
£
£
Ordinary share capital
Issued and fully paid
2 Ordinary shares of £1 each
2
2
MARK GARRICK LTD.
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2021
- 7 -
12
Directors' transactions
As at 1 November 20
20
the company owed the directors
£
172,863.
During the year the company met expenditure amounting to £
81
,
944
on behalf of the directors
and the directors loaned the company £50,000.
At 31 October 20
21
the
company owed the directors £
140
,
919
. This loan is interest free and has no fixed terms of repayment.
During the year the company paid
£50,000 (2020 - £50,000)
of dividends to the directors.