Blue Mountain Security Solutions Limited - Limited company accounts 20.1

REGISTERED NUMBER: 03722107 (England and Wales)

REPORT OF THE DIRECTOR AND

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2020

FOR

BLUE MOUNTAIN

SECURITY SOLUTIONS

LIMITED

Page

Company Information

1

Report of the Director

2

Income Statement

4

Balance Sheet

5

Notes to the Financial Statements

7

DIRECTOR:

Mr D N Thomas

REGISTERED OFFICE:

24 Lammas Street

Carmarthen

Carmarthenshire

SA31 3AL

REGISTERED NUMBER:

03722107 (England and Wales)

ACCOUNTANTS:

Clay Shaw Butler

Chartered Accountants

24 Lammas Street

Carmarthen

Carmarthenshire

SA31 3AL

The director presents his report with the financial statements of the company for the year ended 30 April 2020.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of provision of specialist security and training

services.

REVIEW OF BUSINESS

The company, now in its 21st year, has shown good growth in the past two years. This has been achieved by

consolidating its offerings and targeting what it believes, through careful market analysis, where it can make positive

impact through great customer excellence and innovation and hiring key members of senior staff. This re-structure has

placed the company well for operational capacity and capability moving forward. This also, provides the company with

an accurate and timely pipeline to enable it to make good, strong key decisions on its strategic direction.

The company has diverse, five in total, revenue streams and market audience.

The company has recorded a net profit after tax of £510,135 for 2020 (2019: £163,512).

The company has net assets of £629,557 as at 30 April 2020 (2019: £148,422).

There have been zero accidents in 2019 and the company have introduced a "Beyond Zero" culture in 2020.

The company wellbeing program has been accepted by all members of staff and it is now part of the business culture.

Senior management have set realistic KPI's which are monitored to enhance all business activities and maintain

sustainability.

We are committed to all environmental activities and continue to provide best practices in this area.

The company continues to support several charities, hosting three dinners each year and raising funds for a variety of

needs.

PRINCIPLE RISKS AND UNCERTAINTIES

The company operates in an ever-changing world where flexibility and goal congruent innovation is key to its success in

competing with its competitors.

Sustainability, financial resilience and stability through integrated finance systems and forecasting provides robust

compliance measures.

Implementation of new accountancy software, CRM and very robust compliance measures provide the Director with

confidence that the company is in a strong and stable position. The Director monitors the performance of the company

across all sectors and carry's out regular strategic reviews. These regular strategic reviews have identified key value

drivers and provides visibility of revenues.

DEVELOPMENT AND PERFORMANCE

Continued specialisation in consultancy and training through innovation will secure further contracts in the year ahead.

Investment in systems, process's, accreditations, and its people will continue to be the focus for the management team.

This will give the company the edge on its competitors and ensure the company remains profitable.

FIVE YEAR KEY VALUE DRIVERS

- Financial resilience and stability

- Diverse revenue and markets

- Operational capacity and capability

- Visibility of revenues

- Goal congruent innovation

- Show growth and growth potential

- Increase scale

DIRECTOR

Mr D N Thomas held office during the whole of the period from 1 May 2019 to the date of this report.

POLITICAL DONATIONS AND EXPENDITURE

No political donation has been made in the year.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small

companies.

ON BEHALF OF THE BOARD:

Mr D N Thomas - Director

2 June 2020

TURNOVER

4,267,464

866,800

Cost of sales

3,311,358

441,065

GROSS PROFIT

956,106

425,735

Administrative expenses

304,616

265,668

OPERATING PROFIT

3

651,490

160,067

Interest payable and similar expenses

42,899

(3,445

)

PROFIT BEFORE TAXATION

608,591

163,512

Tax on profit

98,456

-

PROFIT FOR THE FINANCIAL YEAR

510,135

163,512

FIXED ASSETS

Intangible assets

4

13,634

25,857

Tangible assets

5

24,386

11,592

38,020

37,449

CURRENT ASSETS

Stocks

6

246,259

2,465

Debtors

7

556,966

156,817

Cash at bank and in hand

588,754

88,838

1,391,979

248,120

CREDITORS

Amounts falling due within one year

8

781,338

110,280

NET CURRENT ASSETS

610,641

137,840

TOTAL ASSETS LESS CURRENT LIABILITIES

648,661

175,289

CREDITORS

Amounts falling due after more than one year

9

(16,684

)

(20,384

)

PROVISIONS FOR LIABILITIES

(2,420

)

(6,483

)

NET ASSETS

629,557

148,422

CAPITAL AND RESERVES

Called up share capital

1,001

1,001

Retained earnings

628,556

147,421

SHAREHOLDERS' FUNDS

629,557

148,422

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 April 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 April 2020 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

The financial statements were approved by the director and authorised for issue on 2 June 2020 and were signed by:

Mr D N Thomas - Director

1.	ACCOUNTING POLICIES

BASIS OF PREPARING THE FINANCIAL STATEMENTS

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

TURNOVER

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

value added tax and other sales taxes.

GOODWILL

Goodwill, being the amount paid in connection with the acquisition of a business in 0, is being amortised evenly over its estimated useful life of nil years.

INTANGIBLE ASSETS

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost

less any accumulated amortisation and any accumulated impairment losses.

Computer software is being amortised evenly over its estimated useful life of nil years.

TANGIBLE FIXED ASSETS

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

Improvements to property

-

25% on cost

Plant and machinery

-

20% on cost

Motor vehicles

-

25% on cost

STOCKS

Work in progress is valued at the lower of cost and net realisable value.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in

bringing stocks to their present location and condition.

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.

HIRE PURCHASE AND LEASING COMMITMENTS

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the

lease.

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.

2.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 3 (2019 - 4 ) .

3.	OPERATING PROFIT

The operating profit is stated after charging:

30.4.20

30.4.19

£

£

Depreciation - owned assets

9,827

5,237

Goodwill amortisation

3,417

3,416

Computer software amortisation

9,744

9,435

4.	INTANGIBLE FIXED ASSETS

Computer

Goodwill

software

Totals

£

£

£

COST

At 1 May 2019

17,084

41,079

58,163

Additions

-

938

938

At 30 April 2020

17,084

42,017

59,101

AMORTISATION

At 1 May 2019

10,250

22,056

32,306

Amortisation for year

3,417

9,744

13,161

At 30 April 2020

13,667

31,800

45,467

NET BOOK VALUE

At 30 April 2020

3,417

10,217

13,634

At 30 April 2019

6,834

19,023

25,857

5.	TANGIBLE FIXED ASSETS

Improvements

to

Plant and

Motor

property

machinery

vehicles

Totals

£

£

£

£

COST

At 1 May 2019

37,243

103,058

33,000

173,301

Additions

-

5,288

17,333

22,621

At 30 April 2020

37,243

108,346

50,333

195,922

DEPRECIATION

At 1 May 2019

37,243

92,215

32,251

161,709

Charge for year

-

5,119

4,708

9,827

At 30 April 2020

37,243

97,334

36,959

171,536

NET BOOK VALUE

At 30 April 2020

-

11,012

13,374

24,386

At 30 April 2019

-

10,843

749

11,592

6.

STOCKS

30.4.20

30.4.19

£

£

Work-in-progress

246,259

2,465

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.4.20

30.4.19

£

£

Trade debtors

523,412

149,697

Other debtors

1,700

7,120

VAT

31,854

-

556,966

156,817

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.4.20

30.4.19

£

£

Bank loans and overdrafts

3,541

3,381

Trade creditors

567,306

19,222

Tax

102,519

-

Social security and other taxes

1,084

1,017

VAT

-

6,406

Other creditors

555

3,450

Net Wages

-

4,549

Directors' current accounts

68,507

68,713

Accrued expenses

37,826

3,542

781,338

110,280

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

30.4.20

30.4.19

£

£

Bank loans - 1-2 years

16,684

20,384

10.	SECURED DEBTS

The following secured debts are included within creditors:

30.4.20

30.4.19

£

£

Bank loans

20,225

23,765

Barclays Bank Plc hold a charge over the company's credit balances, registered on 14 May 2010.