Draintec Solutions Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC303174 (Scotland)

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2021

FOR

DRAINTEC SOLUTIONS LIMITED

Page

Abridged Balance Sheet

1

Notes to the Financial Statements

4

FIXED ASSETS

Tangible assets

4

478,853

536,618

CURRENT ASSETS

Stocks

51,591

44,245

Debtors

114,188

110,356

Cash at bank

419,036

326,658

584,815

481,259

CREDITORS

Amounts falling due within one year

391,851

374,468

NET CURRENT ASSETS

192,964

106,791

TOTAL ASSETS LESS CURRENT LIABILITIES

671,817

643,409

CREDITORS

Amounts falling due after more than one year

(32,080

)

(53,015

)

PROVISIONS FOR LIABILITIES

(102,806

)

(102,806

)

NET ASSETS

536,931

487,588

CAPITAL AND RESERVES

Called up share capital

1,500

1,500

Revaluation reserve

5

275,054

275,054

Capital redemption reserve

500

500

Retained earnings

259,877

210,534

SHAREHOLDERS' FUNDS

536,931

487,588

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 2021 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their 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 and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

All the members have consented to the preparation of an abridged Balance Sheet for the year ended 31 May 2021 in accordance with Section 444(2A) of the Companies Act 2006.

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 and authorised for issue on 30 July 2021 and were signed on its behalf by:

S McCallum - Director

1.	STATUTORY INFORMATION

Draintec Solutions Limited is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address are as below:

Registered number:

SC303174

Registered office:

22 Backbrae Street

Kilsyth

G65 0NH

2.	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 as modified by the revaluation of certain assets.

Turnover and revenue recognition

Turnover represents net invoiced sales of goods and services, excluding VAT. Revenue is recognised when goods and services are provided to the customer.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

-

15% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

20% on reducing balance

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

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 18 (2020 - 17 ) .

4.	TANGIBLE FIXED ASSETS

Totals

£

COST OR VALUATION

At 1 June 2020

1,112,175

Additions

26,186

Disposals

(18,415

)

At 31 May 2021

1,119,946

DEPRECIATION

At 1 June 2020

575,557

Charge for year

73,017

Eliminated on disposal

(7,481

)

At 31 May 2021

641,093

NET BOOK VALUE

At 31 May 2021

478,853

At 31 May 2020

536,618

Cost or valuation at 31 May 2021 is represented by:

Totals

£

Valuation in 2010

20,000

Valuation in 2012

255,054

Cost

844,892

1,119,946

If Plant and Machinery had not been revalued they would have been included at the following historical cost:

31.5.21

31.5.20

£

£

Cost

79,875

79,875

Aggregate depreciation

47,999

47,999

Plant and Machinery were valued on an open market basis on 31 May 2012 by an independent firm .

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Totals

£

COST OR VALUATION

At 1 June 2020

394,196

Disposals

(18,415

)

At 31 May 2021

375,781

DEPRECIATION

At 1 June 2020

122,404

Charge for year

36,034

Eliminated on disposal

(7,481

)

At 31 May 2021

150,957

NET BOOK VALUE

At 31 May 2021

224,824

At 31 May 2020

271,792

5.

RESERVES

Revaluation

reserve

£

At 1 June 2020

and 31 May 2021

275,054

6.	POST BALANCE SHEET EVENTS

As a member of the maintenance sector the business was not subject to the mandatory shut down imposed by both the UK and Scottish Governments and has been able to continue trading (albeit in a reduced capacity/with employees working from home). Some staff members were placed on furlough and will subsequently be eligible for the Government's Coronavirus Job Retention Scheme (CJRS) which will reimburse 80% of the salaries of furloughed staff of all eligible businesses. It also made an application for a Coronavirus Business Interruption Loan of £50,000 last year.

The directors/owners have made it clear that once the restrictions have been lifted they intend to resume trading at full capacity with immediate effect.

7.	ULTIMATE CONTROLLING PARTY