TRENCH_LOCK_LIMITED - Accounts

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Trench Lock Limited for the year ended 30 June 2024 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.

This report is made solely to the Board of Directors of Trench Lock Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the financial statements of Trench Lock Limited and state those matters that we have agreed to state to the Board of Directors of Trench Lock Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Trench Lock Limited and its Board of Directors as a body, for our work or for this report.

It is your duty to ensure that Trench Lock Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Trench Lock Limited. You consider that Trench Lock Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Trench Lock Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

The directors 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 30 June 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 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.

Trench Lock Limited is a private company limited by shares incorporated in England and Wales. The registered office is Kingsnorth House, Blenheim Way, Kingstanding, Birmingham, West Midlands, United Kingdom, B44 8LS.

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. The principal accounting policies adopted are set out below.

The financial statements are prepared on a going concern basis which the directors believe to be appropriate for the following reasons:true

The company is dependent upon the continued support of the company's bankers and funds made available by the company's directors and shareholders to ensure that they meet their debts as they fall due. The directors have had no indications or are aware of any reason why the company's bankers would withdraw their support and are not aware of any reason why the company's directors and shareholders would not continue to support the company, subject to their own personal finance needs.

Therefore, the directors consider that it remains appropriate to prepare the financial statements on a going concern basis and the financial statements do not include the adjustments that would result if the company was unable to continue as a going concern.

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

Goodwill represents the excess of the cost of the acquisition of a business in 2018 over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life.

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.

Cash and cash equivalents 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.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The tax expense represents the sum of the tax currently payable and deferred 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 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 average monthly number of persons (including directors) employed by the company during the year was:

In the opinion of the directors, amortisation of acquired goodwill for the year, in accordance with the accounting policy, is not considered material and therefore no amortisation has been provided in the current financial year.

In the opinion of the directors, the fair value of investment property at the year end would not be significantly different from the net book value.

During the year,Trench Lock Limited received a loan from Lane Cove Properties Limited of £180,000 (2023: £NIL). At the 30 June 2024 the amount due to Lane Cove Properties Limited was £180,000. This loan has no specific terms regarding payment of interest and is repayable on demand. The directors have received assurances that Lane Cove Properties Limited will not seek repayment of this loan until such time as the company can afford to do so without detriment to its operating working capital and its ability to pay all other external creditors as they fall due.

During the year, A M Lamb, a director, was repaid £800 from the company. At 30 June 2024, the balance due from the company to Mr Lamb was £NIL (2023: £800). The loan was repayable on demand and had no specific terms regarding the payment of interest.

During the year, Trench Lock Limited received funds from S A Ferris, a director, of £90,000. At 30 June 2024 the balance due from the company to Mr Ferris was £90,000 (2023: £NIL). The loan is repayable on demand and has no specific terms regarding the payment of interest. The director has given assurances to the company that he will not seek repayment until such time as the company can afford to do so without detriment to its operating working capital and its ability to pay all other external creditors as they fall due.