MICHAEL_DOUGLAS_AUTOSALVA - Accounts


Company Registration No. 04488611 (England and Wales)
MICHAEL DOUGLAS AUTOSALVAGE LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2016
PAGES FOR FILING WITH REGISTRAR
MICHAEL DOUGLAS AUTOSALVAGE LTD
COMPANY INFORMATION
Director
Mr M W Douglas
Secretary
Mr M W Douglas
Company number
04488611
Registered office
Stainton Road
Etterby
Carlisle
Cumbria
CA3 9QU
Accountants
O'Reilly Chartered Accountants
Kiln Hill
Market Place
Hawes
North Yorkshire
DL8 3RA
MICHAEL DOUGLAS AUTOSALVAGE LTD
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
MICHAEL DOUGLAS AUTOSALVAGE LTD
BALANCE SHEET
AS AT
31 DECEMBER 2016
31 December 2016
- 1 -
2016
2015
Notes
£
£
£
£
Fixed assets
Tangible assets
3
265,626
170,485
Current assets
Stocks
6,500
5,000
Debtors
4
51,261
33,980
Cash at bank and in hand
82,160
15,549
139,921
54,529
Creditors: amounts falling due within one year
5
(94,993)
(46,152)
Net current assets
44,928
8,377
Total assets less current liabilities
310,554
178,862
Creditors: amounts falling due after more than one year
6
(65,025)
(9,644)
Provisions for liabilities
(52,765)
(34,097)
Net assets
192,764
135,121
Capital and reserves
Called up share capital
7
1,000
1,000
Profit and loss reserves
191,764
134,121
Total equity
192,764
135,121

The director of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 31 December 2016 the company was entitled to exemption from audit under section 477 of the Companies Act 2006.

The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

The 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 and signed by the director and authorised for issue on 2 September 2017
Mr M W Douglas
Director
Company Registration No. 04488611
MICHAEL DOUGLAS AUTOSALVAGE LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2016
- 2 -
1
Accounting policies
Company information

Michael Douglas Autosalvage Ltd is a private company limited by shares incorporated in England and Wales. The registered office is Stainton Road, Etterby, Carlisle, Cumbria, CA3 9QU.

1.1
Accounting convention

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 company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

These financial statements for the year ended 31 December 2016 are the first financial statements of Michael Douglas Autosalvage Ltd prepared in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland. The date of transition to FRS 102 was 1 January 2015. The reported financial position and financial performance for the previous period are not affected by the transition to FRS 102.

1.2
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

1.3
Tangible fixed assets

Tangible fixed assets 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:

Plant and machinery
10% Reducing balance
Fixtures, fittings & equipment
10% Reducing balance
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.

1.4
Stocks

Stocks 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 stocks to their present location and condition.

1.5
Cash and cash equivalents

Cash at bank and in hand 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.

MICHAEL DOUGLAS AUTOSALVAGE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2016
1
Accounting policies
(Continued)
- 3 -
1.6
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 profit and loss account 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

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.7
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 fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

2
Employees

The average monthly number of persons (including directors) employed by the company during the year was 7 (2015 - 8).

MICHAEL DOUGLAS AUTOSALVAGE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2016
- 4 -
3
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 January 2016
396,246
Additions
129,491
At 31 December 2016
525,737
Depreciation and impairment
At 1 January 2016
225,761
Depreciation charged in the year
34,350
At 31 December 2016
260,111
Carrying amount
At 31 December 2016
265,626
At 31 December 2015
170,485
4
Debtors
2016
2015
Amounts falling due within one year:
£
£
Trade debtors
19,540
51
Other debtors
31,721
33,929
51,261
33,980
5
Creditors: amounts falling due within one year
2016
2015
£
£
Trade creditors
6,761
6,004
Corporation tax
7,200
12,090
Other taxation and social security
28,608
15,608
Other creditors
52,424
12,450
94,993
46,152
6
Creditors: amounts falling due after more than one year
2016
2015
£
£
Other creditors
65,025
9,644
MICHAEL DOUGLAS AUTOSALVAGE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2016
- 5 -
7
Called up share capital
2016
2015
£
£
Ordinary share capital
Issued and fully paid
1,000Ordinary share of £1 each
1,000
1,000
1,000
1,000
8
Directors' transactions

Advances or credits granted to the director during the year are outlined in the table below:

Description
% Rate
Opening balance
Amounts advanced
Amounts repaid
Closing balance
£
£
£
£
Mr M W Douglas - Directors current account
-
33,929
51,242
(53,450)
31,721
33,929
51,242
(53,450)
31,721
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