1Accounting Policies

Basis of measurement and preparation of accounts
The accounts have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities effective April 2008.

Turnover policy
The turnover shown in the profit and loss account represents the amount of goods and services provided during the year, exclusive of Value Added Tax.

Tangible assets depreciation policy
All fixed assets are initially recorded at cost.

Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Plant & Machinery - 3-4 years straight line
Fixtures & Fittings - 20% reducing balance
Motor Vehicles - 25% straight line
Website Development - 3 years straight line
Computer Equipment - 25% straight line

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

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease.

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company. The annual contributions payable are charged to the profit and loss account.

Deferred tax is provided, on an undiscounted basis, in respect of all timing differences at the rates of tax expected to apply when the timing difference reverse.

Deferred tax assets are recognised only to the extent that the directors consider that it is more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.

In preparing the financial statements for the current year, the company has, for the first time, prepared them in accordance with the Financial Reporting Standard for Smaller Entities (FRSSE) (and specifically FRSSE effective April 2008). The directors consider that this policy is more appropriate in reporting the company's financial position and performance given the company's size and complexity.

As a result of this new policy, there have been no changes to the result of the company for either the current or preceding year.