AWEBB Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 01274531 (England and Wales)

Audited Financial Statements

for the Year Ended 31 May 2019

for

Association of Wholesale Electrical Bulk

Buyers Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

K A Avenell

N W Butler

S Graydon

S Grimshaw

L J Hassell

A S Johnson

SECRETARY:

S K Robinson

REGISTERED OFFICE:

AWEBB House

2 Kensington Works

Hallam Fields Road

Ilkeston

Derbyshire

DE7 4BR

REGISTERED NUMBER:

01274531 (England and Wales)

AUDITORS:

Mabe Allen LLP

Chartered Accountants

Statutory Auditors

50 Osmaston Road

Derby

DE1 2HU

FIXED ASSETS

Tangible assets

4

216,554

219,744

Investments

5

2,707

2,707

219,261

222,451

CURRENT ASSETS

Debtors

6

3,494,153

1,403,926

Cash at bank and in hand

1,262,068

2,088,205

4,756,221

3,492,131

CREDITORS

Amounts falling due within one year

7

3,926,232

2,749,803

NET CURRENT ASSETS

829,989

742,328

TOTAL ASSETS LESS CURRENT LIABILITIES

1,049,250

964,779

RESERVES

Revaluation reserve

8

41,735

42,179

Income and expenditure account

1,007,515

922,600

1,049,250

964,779

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 11 November 2019 and were signed on its behalf by:

S Grimshaw - Director

S Graydon - Director

1.	STATUTORY INFORMATION

Association of Wholesale Electrical Bulk Buyers Limited is a private company, limited by guarantee ,

registered in England and Wales. The company's registered 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 the provisions of Section 1A "Small

Entities" of 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

under the historical cost convention, as modified to include the revaluation of freehold land and

buildings.

Preparation of consolidated financial statements

The financial statements contain information about Association of Wholesale Electrical Bulk Buyers

Limited as an individual company and do not contain consolidated financial information as the parent

of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the

requirements to prepare consolidated financial statements.

Changes in accounting policies

As a result of a review by the directors the accounting treatment of subscriptions paid to IDEE

(International Distributors of Electrical Equipment) has been revised resulting in a prior year

adjustment.

Previously subscriptions paid to IDEE were prepaid until turnover rebates were received out of which

that years subscriptions could be deducted by AWEBB Limited. These turnover rebates were not

always received until several years after the payment of the subscription.

Under the new accounting policy subscriptions now appear in the year to which they relate and a

prepayment introduced only when necessary.

There is a constructive obligation based on recent past history to pay these subscriptions out of

turnover rebates to be received at a later date.

It is highly probable that these turnover rebates will be received and the relevant revenue is to be

accrued for each year to the extent that it will be used to cover subscriptions.

The directors do not believe the new treatment will result in a significant revenue reversal in the

future when the uncertainty has been subsequently resolved.

The directors consider the new accounting treatment will give a fairer presentation of the results and

of the financial position. The change in treatment has resulted in an increase in recorded income of

£4,610 (2018: £13,741) and subscription expenses of £453 (2018: (£346)).

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding

discounts, rebates, value added tax and other sales taxes.

The company recognises turnover where the amount of revenue and related cost can be measured

reliably.

The following accounting policies relate to the key income streams:-

Membership and marketing subscriptions are recognised in the accounting period to which the

services are covered by those subscriptions.

Joining fees are accounted for in the year in which the member joins the association.

AGM donations are paid by members and suppliers and are recognised in the period in which the AGM

takes place.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Land and buildings

-

Straight line over 100 years

Plant and machinery etc

-

25% on reducing balance and 20% on reducing balance

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation,

net of depreciation and any impairment losses.

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.

At each reporting period end date, the company reviews the carrying amounts of its tangible and

intangible assets to determine whether there is any indication that those assets have suffered an

impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in

order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the

recoverable amount of an individual asset, the company estimates the recoverable amount of the

cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value

in use, the estimated future cash flows are discounted to their present value using a pre-tax discount

rate that reflects current market assessments of the time value of money and the risks specific to the

asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its

carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its

recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the

relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a

revaluation decrease.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement,

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.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the

company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents

Cash and cash equivalents 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.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and

assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date

and the amounts reported for revenues and expenses during the year. However, the nature of

estimation means that actual outcomes could differ from those estimates. The following judgements

have had the most significant effect on amounts recognised in the financial statements:-

Valuation of property

The company carries its land and buildings at fair value, with changes in fair value being recognised

in comprehensive income.The professional valuer used a valuation technique which took account of

the of market rent of the property. The freehold land and buildings valuation is most sensitive to the

estimated yield.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 5 (2018 - 5 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

property

machinery

fittings

Totals

£

£

£

£

COST OR VALUATION

At 1 June 2018

225,000

64,373

25,568

314,941

Additions

-

364

-

364

At 31 May 2019

225,000

64,737

25,568

315,305

DEPRECIATION

At 1 June 2018

11,250

59,028

24,919

95,197

Charge for year

2,250

1,142

162

3,554

At 31 May 2019

13,500

60,170

25,081

98,751

NET BOOK VALUE

At 31 May 2019

211,500

4,567

487

216,554

At 31 May 2018

213,750

5,345

649

219,744

Cost or valuation at 31 May 2019 is represented by:

Fixtures

Freehold

Plant and

and

property

machinery

fittings

Totals

£

£

£

£

Valuation in 2014

44,399

-

-

44,399

Cost

180,601

64,737

25,568

270,906

225,000

64,737

25,568

315,305

If freehold land and buildings had not been revalued they would have been included at the following

historical cost:

2019

2018

as

restated

£

£

Cost

180,601

180,601

Aggregate depreciation

25,284

23,478

Freehold land and buildings were valued on an open market basis on 5 August 2013 by Musson Liggins Chartered Surveyors

.

5.	FIXED ASSET INVESTMENTS

Shares in

group

Unlisted

undertakings

investments

Totals

£

£

£

COST

At 1 June 2018

and 31 May 2019

1

2,706

2,707

NET BOOK VALUE

At 31 May 2019

1

2,706

2,707

At 31 May 2018

1

2,706

2,707

The company's investments at the Balance Sheet date in the share capital of companies include the

following:

Electracentre Distribution Limited

Registered office: England and Wales

Nature of business: Electrical goods wholesaler

%

Class of shares:

holding

Ordinary 'A'

100.00

2019

2018

£

£

Aggregate capital and reserves

1,549,423

1,372,244

Profit for the year

177,174

199,000

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

as

restated

£

£

Trade debtors

3,232,705

1,227,936

Prepayments

202,386

121,538

Accrued income

59,062

54,452

3,494,153

1,403,926

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

as

restated

£

£

Trade creditors

11,454

10,305

VAT

507,293

371,584

Other creditors

3,372,799

2,302,663

Accruals

34,686

65,251

3,926,232

2,749,803

8.

RESERVES

Revaluation

reserve

£

At 1 June 2018

42,179

Transfer of excess depreciation on revaluation

(444

)

At 31 May 2019

41,735

9.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Kevin Slack FCA (Senior Statutory Auditor)

for and on behalf of Mabe Allen LLP

10.	OTHER FINANCIAL COMMITMENTS

At the year end the company had operating lease commitments amounting to £6,081 (2018: £nil).

11.	RELATED PARTY DISCLOSURES

The company has an unlimited cross guarantee on all bank borrowings with Electracentre Distribution

Limited. The bank borrowings of Electracentre Distribution Limited at the balance sheet date

amounted to £Nil (2018 : £Nil).

12.	AUDITOR LIABILITY LIMITATION AGREEMENT

The auditors' liability limitation has been set at £500,000. This approval has been confirmed in the

letter of representation.