REGISTERED NUMBER: 01162175 (England and Wales)

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED

30 JUNE 2019

FOR

PROFESSIONAL POLISHING SERVICES

LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

P Davies

K L Davies

P T Davies

SECRETARY:

P T Davies

REGISTERED OFFICE:

18B Parkrose Industrial Estate

Middlemore Road

Smethwick

B66 2DZ

REGISTERED NUMBER:

01162175 (England and Wales)

ACCOUNTANTS:

Prime

Chartered Accountants

Corner Oak

1 Homer Road

Solihull

B91 3QG

FIXED ASSETS

Intangible assets

3

-

-

Tangible assets

4

1,151,513

905,778

1,151,513

905,778

CURRENT ASSETS

Stocks

42,837

42,567

Debtors

5

371,054

312,039

Cash at bank

434

115,474

414,325

470,080

CREDITORS

Amounts falling due within one year

6

401,667

325,372

NET CURRENT ASSETS

12,658

144,708

TOTAL ASSETS LESS CURRENT LIABILITIES

1,164,171

1,050,486

CREDITORS

Amounts falling due after more than one year

7

(492,737

)

(383,645

)

PROVISIONS FOR LIABILITIES

(95,236

)

(46,519

)

NET ASSETS

576,198

620,322

CAPITAL AND RESERVES

Called up share capital

4,500

4,500

Retained earnings

571,698

615,822

SHAREHOLDERS' FUNDS

576,198

620,322

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 June 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 June 2019 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.

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 6 December 2019 and were signed on its behalf by:

P Davies - Director

K L Davies - 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 has been fully

amortised.

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.

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

-

10% on cost

Fixtures and fittings

-

20% on cost

The long leasehold property is not depreciated as in the opinion of the directors its value is at least

equal to its cost and expenditure incurred on its upkeep will be adequate to maintain this position. This

policy is contrary to the Companies Act 2006, but it is considered necessary by the directors in order to

show a true and fair view.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for

obsolete and slow moving items.

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.

2.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 21 (2018 - 20 ) .

3.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 July 2018

and 30 June 2019

44,702

AMORTISATION

At 1 July 2018

and 30 June 2019

44,702

NET BOOK VALUE

At 30 June 2019

-

At 30 June 2018

-

4.	TANGIBLE FIXED ASSETS

Fixtures

Long

Plant and

and

leasehold

machinery

fittings

Totals

£

£

£

£

COST

At 1 July 2018

601,657

1,591,661

57,743

2,251,061

Additions

-

353,769

816

354,585

Grants

-

(37,667

)

-

(37,667

)

At 30 June 2019

601,657

1,907,763

58,559

2,567,979

DEPRECIATION

At 1 July 2018

-

1,290,977

54,306

1,345,283

Charge for year

-

69,525

1,658

71,183

At 30 June 2019

-

1,360,502

55,964

1,416,466

NET BOOK VALUE

At 30 June 2019

601,657

547,261

2,595

1,151,513

At 30 June 2018

601,657

300,684

3,437

905,778

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

Plant and

machinery

£

COST

At 1 July 2018

438,868

Additions

352,931

Grants

(37,667

)

At 30 June 2019

754,132

DEPRECIATION

At 1 July 2018

176,981

Charge for year

63,716

At 30 June 2019

240,697

NET BOOK VALUE

At 30 June 2019

513,435

At 30 June 2018

261,887

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade debtors

323,991

296,722

Other debtors

47,063

15,317

371,054

312,039

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Bank loans and overdrafts

95,381

46,895

Hire purchase contracts (see note 8)

104,176

49,021

Trade creditors

148,489

131,491

Taxation and social security

40,355

85,140

Other creditors

13,266

12,825

401,667

325,372

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2019

2018

£

£

Bank loans

305,059

336,704

Hire purchase contracts (see note 8)

187,678

46,941

492,737

383,645

Amounts falling due in more than five years:

Repayable by instalments

Bank loans 5+ years

117,479

149,124

8.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase

contracts

2019

2018

£

£

Net obligations repayable:

Within one year

104,176

49,021

Between one and five years

187,678

46,941

291,854

95,962

Non-cancellable

operating leases

2019

2018

£

£

Within one year

19,524

21,992

Between one and five years

15,687

35,526

35,211

57,518

9.	SECURED DEBTS

The following secured debts are included within creditors:

2019

2018

£

£

Bank overdraft

48,486

-

Bank loans

351,954

383,599

Hire purchase contracts

291,854

95,962

692,294

479,561

Barclays Bank plc holds a guarantee and debenture dated 28 January 2006 over all assets of the

company, a legal charge dated 12 April 2006 over the leasehold property and a debenture dated 23

July 2010 over all of the assets of the company.

10.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 30 June 2019 and

30 June 2018:

2019

2018

£

£

P Davies and P T Davies

Balance outstanding at start of year

7,740

(4,967

)

Amounts advanced

16,870

35,807

Amounts repaid

(22,600

)

(23,100

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

2,010

7,740