Dacrylate Paints Limited - Accounts to registrar (filleted) - small 23.1.2

REGISTERED NUMBER: 01744820 (England and Wales)

DACRYLATE PAINTS LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

to

7

DIRECTORS:

Mr M Townsend

Mrs S L Harte

Mrs E Butler

Mr M Butler

REGISTERED OFFICE:

Dacrylate Ltd

Lindleys Lane

Kirkby-In-Ashfield

Nottingham

NG17 8AL

REGISTERED NUMBER:

01744820 (England and Wales)

AUDITORS:

Johnson Tidsall Limited

Chartered Accountants

& Statutory Auditor

81 Burton Road

Derby

Derbyshire

DE1 1TJ

FIXED ASSETS

Tangible assets

4

684,306

443,222

CURRENT ASSETS

Stocks

5

1,766,617

1,509,265

Debtors

6

1,535,593

1,560,415

Cash at bank and in hand

795,978

548,765

4,098,188

3,618,445

CREDITORS

Amounts falling due within one year

7

1,121,633

1,213,659

NET CURRENT ASSETS

2,976,555

2,404,786

TOTAL ASSETS LESS CURRENT LIABILITIES

3,660,861

2,848,008

PROVISIONS FOR LIABILITIES

9

152,406

94,026

NET ASSETS

3,508,455

2,753,982

CAPITAL AND RESERVES

Called up share capital

10

10,000

10,000

Retained earnings

11

3,498,455

2,743,982

SHAREHOLDERS' FUNDS

3,508,455

2,753,982

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 Statement of Comprehensive Income has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 14 July 2023 and were signed on its behalf by:

Mrs S L Harte - Director

1.	STATUTORY INFORMATION

Dacrylate Paints Limited is a private company, limited by shares , 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 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.

Significant judgements and 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.

The following judgements and estimates have had the most significant effect on amounts recognised in the financial statements:

Carrying value of stock - when calculating the stock provision, management considers the nature and condition of stock, together with the age of stock, and sales activity. A standard production rate is added into the value of finished goods.

Changes in presentation and classification

There has been a re-classification of some expenditure and balance sheet items from the year ended 31 December 2021. This has had a £nil affect on profit and net assets.

Plant and machinery etc has been separated to disclose Plant and machinery, Fixtures and fittings and Computer equipment.

A total amount of £287,475 has been reallocated from Distribution costs to Administrative expenses.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Sale of goods

Turnover from the sale of paint is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on dispatch of the goods.

Tangible fixed assets

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

Plant and machinery

-

at varying rates on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

25% on reducing balance

Computer equipment

-

33% on cost

Assets under construction are not depreciated until the asset is in use.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Raw materials are measured at purchase cost, on a first in first out basis.

Finished goods are measured at the purchase cost of direct materials plus a standard production rate.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

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.

Cash at bank and in hand

Cash is represented by cash in hand and deposits with financial institutions.

Debtors

Short term debtors are measured at transaction price, less any impairment.

Creditors

Short term creditors are measured at the transaction price.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 49 (2021 - 48 ) .

4.	TANGIBLE FIXED ASSETS

Assets

Fixtures

under

Plant and

and

construction

machinery

fittings

£

£

£

COST

At 1 January 2022

2,211

596,821

15,288

Additions

286,151

8,253

1,786

Disposals

-

-

-

Reclassification/transfer

(2,211

)

2,211

-

At 31 December 2022

286,151

607,285

17,074

DEPRECIATION

At 1 January 2022

-

203,766

13,109

Charge for year

-

47,014

1,493

Eliminated on disposal

-

-

-

At 31 December 2022

-

250,780

14,602

NET BOOK VALUE

At 31 December 2022

286,151

356,505

2,472

At 31 December 2021

2,211

393,055

2,179

Motor

Computer

vehicles

equipment

Totals

£

£

£

COST

At 1 January 2022

85,918

117,922

818,160

Additions

2,669

8,506

307,365

Disposals

-

(8,974

)

(8,974

)

Reclassification/transfer

-

-

-

At 31 December 2022

88,587

117,454

1,116,551

DEPRECIATION

At 1 January 2022

74,505

83,558

374,938

Charge for year

6,089

10,359

64,955

Eliminated on disposal

-

(7,648

)

(7,648

)

At 31 December 2022

80,594

86,269

432,245

NET BOOK VALUE

At 31 December 2022

7,993

31,185

684,306

At 31 December 2021

11,413

34,364

443,222

5.

STOCKS

2022

2021

£

£

Raw materials

1,068,576

1,027,014

Finished goods

698,041

482,251

1,766,617

1,509,265

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade debtors

1,126,894

1,090,687

Amounts owed by group undertakings

338,419

400,545

Prepayments and accrued income

70,280

69,183

1,535,593

1,560,415

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade creditors

644,590

822,381

Amounts owed to group undertakings

15,571

15,571

Corporation tax

116,419

38,537

Social security and other taxes

26,709

75,580

VAT

86,362

-

Other creditors

4,629

3,847

Accruals and deferred income

227,353

257,743

1,121,633

1,213,659

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2022

2021

£

£

Within one year

10,723

10,290

Between one and five years

-

9,433

10,723

19,723

9.	PROVISIONS FOR LIABILITIES

2022

2021

£

£

Deferred tax

Accelerated capital allowances

152,406

94,026

Deferred

tax

£

Balance at 1 January 2022

94,026

Provided during year

58,380

Balance at 31 December 2022

152,406

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2022

2021

value:

£

£

10,000

Ordinary

£1

10,000

10,000

11.

RESERVES

Retained

earnings

£

At 1 January 2022

2,743,982

Profit for the year

754,473

At 31 December 2022

3,498,455

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

The Report of the Auditors was unqualified.

David Mellor (FCA) (Senior Statutory Auditor)

for and on behalf of Johnson Tidsall Limited

13.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions within the group.

14.	ULTIMATE PARENT COMPANY

The ultimate parent undertaking is Dacrylate Limited whose financial statements are filed with Companies House, Crown Way, Cardiff, CF14 3UZ. The registered office for Dacrylate Limited is the same as Dacrylate Paints Limited.