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REGISTERED NUMBER: 01763970 (England and Wales)















STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2021

FOR

AVOIRA LIMITED

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

CONTENTS OF THE FINANCIAL STATEMENTS
for the Year Ended 31st December 2021










Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 7

Profit and Loss Account 11

Balance Sheet 12

Statement of Changes in Equity 14

Notes to the Financial Statements 15


AVOIRA LIMITED

COMPANY INFORMATION
for the Year Ended 31st December 2021







DIRECTORS: Mr A J Roberts
Mr D R Bennett





REGISTERED OFFICE: Pennine House
Salford Street
Bury
BL9 6YA





REGISTERED NUMBER: 01763970 (England and Wales)





AUDITORS: Xeinadin Audit Limited
1 City Road East
Manchester
M15 4PN

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

STRATEGIC REPORT
for the Year Ended 31st December 2021


The directors present their strategic report of the company for the year ended 31st December 2021.

The principal activity of Avoira Limited is the design, supply and support of unified communications and IT services to our customers. The company differentiates itself through its speciality in product offering, technical expertise and the provision of high levels of service and support to our customers. We have a diverse customer base and long-standing relationships with several customers and vendors, some of which date back to the company's origins in 1976.

The unprecedented global impact of the Covid-19 pandemic in 2020 has continued to impact 2021, particularly in supply chain delays. Projects whilst still being committed to are taking longer to complete. Despite this the year has been another positive year for the company as we continue to pursue our established strategy to achieve long term sustained and profitable growth both organically and through acquisition. In August 2020, the Board welcomed our new colleagues from Yellowbus Limited to the Avoira family as the company expended its IT services capability.

We would like to thank our colleagues, our customers and our vendors for their continued loyalty and support as together we all share the successes of 2021. We believe our people are the best in the industry; they make the difference every day and deliver exceptional customer service. This has been demonstrable in 2021 with our hard-working, committed and amazingly employees who just delivered in these exceptional times. The Board give their heartfelt thanks.

BUSINESS REVIEW

The financial position of Avoira Limited is presented in the balance sheet on page 13. The total shareholders' funds as at 31 December 2021 were £4.96m (2020: £4.1m).

The directors are very pleased to report that in 2021 we again achieved growth across each of the company's key financial metrics. Revenue increased from £21.5m from £23.1m whilst gross profit increased from £8.3m to £8.9m. Net Assets have increased from £4.1m to £4.96m. Cash balances stood at £1.67m up from £1.59m in 2020.

FINANCIAL KEY PERFORMANCE INDICATORS
2021 2020

Turnover £23.1m £21.5m

Gross Profit £8.9m £8.3m

Cash £1.7m £1.6m

Net Assets £5.0m £4.1m

The results of Yellowbus Limited acquired in August 2020 are not included within these reported results but if consolidated the impact would be an additional increase revenue £2.6m, gross profit of £1.3m, EBITDA of £0.4m, net assets of £0.4m and cash balances of £0.5m.

FUTURE PLANS
Our plans for the future continue to be:-
- investment in our business systems to support business growth;
- training development of our teams;
- strengthening our portfolio of products and services offered; and
- continued investment in strategic acquisitions where the directors consider are appropriate.


AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

STRATEGIC REPORT
for the Year Ended 31st December 2021

PRINCIPAL RISKS AND UNCERTAINTIES
The directors consider the following are the principal risks that could materially impact the company's future operating profits or financial stability. However, the company has systems and controls to monitor and actively manage each of these potential exposures with regular reviews, reassessment and proactive management of these risks.

- Market uncertainties surrounding COVID-19 or other such market forces that creates uncertainty around supply or demand for the company's product and services
- Dependency on senior management personnel who have extensive experience and knowledge of the company, the company's markets, product and service offering, vendor portfolio and customer base.
- Loss of key customers and therefore a lack of certainty in respect of the retention of existing customers who may elect not to continue contracting with the company.
- Technology failure - failure of critical IT, fixed or mobile assets causing disruption.
- Cyber threat and information security - Internal or external attack resulting in service downtime or data breach.
- Supplier related risk such as product supply shortages.

The COVID-19 pandemic
The COVID-19 pandemic has dramatically affected the global economy. The directors continue to monitor the potential for on-going challenges to product supply, customer demand and our operations in 2022. The directors believe that the company's specialist service and support model remain fundamentally valid, and that company's strong technical skills combined with product breadth means that the business is well placed for future growth.

ON BEHALF OF THE BOARD:





Mr A J Roberts - Director


31st August 2022

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

REPORT OF THE DIRECTORS
for the Year Ended 31st December 2021


The directors present their report and the financial statements of the company for the year ended 31 December 2021.

DIVIDENDS
No dividends will be distributed for the year ended 31st December 2021.

DIRECTORS
The directors shown below have held office during the whole of the period from 1st January 2021 to the date of this report.

Mr A J Roberts
Mr D R Bennett

GOING CONCERN
The directors take all reasonable steps to review and consider any factors that may affect the ability of the company to continue as a going concern. The company's forecasts and projections, taking account of reasonably possible changes in trading performance, show that the company and can generate sufficient liquidity to continue in operational existence for the foreseeable future. At the end of 2021, the directors considered the working capital of the business to be adequate for its needs, and the company therefore continues to adopt the going concern basis in preparing of these financial statements.

FINANCIAL RISK MANAGEMENT AND POLICIES

The main financial risks arising from the company's operations are credit risk and liquidity risk. The directors review and agree policies for managing each of these risks and they are summarised below.

Credit risk
The company's principal financial assets are cash and trade receivables.

To address credit risks the directors engage a significant internal credit control function with clear procedures and controls designed to assess, manage, and mitigate credit risk.

Currency risk
The company primarily trades in GBP and is therefore not subject to any major currency fluctuation risks.

Liquidity risk
The company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably.

Short term flexibility is achieved by an invoice finance facility.

KEY PERFORMANCE INDICATORS

The company's key performance indicators are described in the Strategic Report.

DIRECTORS' AND OFFICERS' LIABILITY INSURANCE
The company maintains insurance cover for the directors and key personnel against liabilities which may be incurred by them while carrying out their duties.


AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

REPORT OF THE DIRECTORS
for the Year Ended 31st December 2021

EMPLOYEE INVOLVEMENT AND POLICIES
Our employees are our most valuable asset. They make an enormous difference to our success and our investment in them protects and strengthens our common goals. We aim to attract, motivate and retain the best people in our industry, regardless of race, age or disability. The company provides its employees with information and consults with staff on matters of concern to them. We share with them our strategy and decision making. Our employee survey captures their views and is a key component in how we track employee engagement.

The company have a set of core values introduced to all staff at induction into the company and are re-enforced in regular performance reviews throughout the year as well numerous team and company briefings. Employees are often judged on their adherence to these values as they form the foundation of everything the company does.

Ongoing training is provided to all staff through our learning and development team. The Board see training as critical in improving individual and team performance as well as enhancing individual management skills. During the pandemic most training was done remotely.

The Board takes it responsibilities for the mental health of its employees seriously including providing and training mental health first aiders across the business, utilising external occupational mental health specialists, regular encouragement to speak to managers, a HR helpline and constant communication with those staff members working at home.

The company gives full consideration to applications for employment from disabled persons where the requirements of the job can be adequately fulfilled by a disabled person. Where existing employees become disabled, it is the company's policy whenever practicable to provide continuing employment under normal terms and conditions and to provide training and career development and promotion to disabled employees wherever appropriate.

The directors would like to thank our staff for the support, commitment and enthusiasm shown last year.

OTHER STAKEHOLDERS
Customers and suppliers are central to our business, without them we would not exist. We engage and build relationships via face to face interactions, promotional activity and open days. We constantly strive to improve our working relationship with both suppliers and customers to ensure our continued strength and growth. By continually focusing on the strength of these relationships we cement our ability to·grow our business and explore the many commercial opportunities in front of us.

The company's supplier payment policy is to agree terms and conditions for business transactions with suppliers. Suppliers are made aware of the company's terms and payment is made according to those terms.

HUMAN TRAFFICKING AND ANTI-SLAVERY
The company is committed to ensuring that it is free from acts of modern slavery from within its own business and within its supply chain. The company acknowledges responsibility for implementing the requirements of the Modern Slavery Act 2015 and will ensure transparency within the organisation and with suppliers of goods and services to the organisation.

As part of the company's due diligence process into slavery and human trafficking, the supplier approval process will require all suppliers to confirm that they are compliant with the requirements of the Act. The company will not support or deal with any business knowingly involved in slavery or human trafficking.

The company directors and senior management will take responsibility for enhancing this policy statement and its objectives, and shall provide adequate training to ensure that, wherever possible, slavery and human trafficking is not taking place within the organisation or within its supply chains.

The company reserves the right to conduct audits of key suppliers to ensure compliance with the Avoira Limited supplier code of conduct. These audits can be done either by Avoira employees or by contracted, independent third parties or a combination. We expect our suppliers to respect human rights, including maintaining policies and procedures to prevent the use of child or forced labour.

ENVIRONMENT

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

REPORT OF THE DIRECTORS
for the Year Ended 31st December 2021

The company is aware of its environmental obligations and actively promotes environmental initiatives with its employees, customers and suppliers.

EVENTS AFTER THE REPORTING PERIOD
No matter or circumstance has arisen since 31 December 2021 that has significantly affected, or may significantly affect the company's operations, the results of those operations, or the Company's state of affairs in future financial years.

DISCLOSURE IN THE STRATEGIC REPORT
The Company has chosen, in accordance with Section 414 C(ii) of the Companies Act 2006, to include certain matters in its Strategic Report that would otherwise be required to disclose in this Directors' Report, specifically in respect of the review of the business, future developments and key risks in the business.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
Xeinadin Audit Limited acquired the audit practice of Kay Johnson Gee Limited and has been appointed as auditor in succession. In accordance with section 485 of the Companies Act 2006, Xeinadin Audit Limited will be proposed for reappointment.

ON BEHALF OF THE BOARD:





Mr A J Roberts - Director


31st August 2022

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
AVOIRA LIMITED


Opinion
We have audited the financial statements of Avoira Limited (the 'company') for the year ended 31st December 2021 which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31st December 2021 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
AVOIRA LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page six, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
AVOIRA LIMITED


Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Identifying and assessing potential risks related to irregularities
In identifying and assessing risks of material misstatement in respect of irregularities including fraud and non-compliance with laws and regulations we have considered the following:
- The nature of the industry and sector, control environment and business performance including the company's
remuneration policies, key drivers for directors remuneration, bonus levels and performance targets;
- Results of the enquiries of management about their own identification and assessment of the risks of irregularities;
- Any matters we have identified having obtained and reviewed the company's documentation of their policies and
procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of
noncompliance;
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged
fraud;
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
- the matters discussed among the audit engagement team regarding how and where fraud might occur in the
financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: timing of recognition of income, foreign currency translation, value of stocks and provisions. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included UK Companies Act, employment law, health and safety, pensions legislation and tax legislation.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty.

Audit response to risks identified
Our procedures to respond to risks identified included the following:
- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with
provisions of relevant laws and regulations described as having a direct effect on the financial statements;
- enquiring of management concerning actual and potential litigation and claims;
- performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of
material misstatement due to fraud;
- reading minutes of meetings of those charged with governance and reviewing correspondence with HMRC; and
- in addressing the risk of fraud through management override of controls, testing the appropriateness of journal
entries and other adjustments; assessing whether the judgements made in making accounting estimates are
indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or
outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members including internal specialists, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
AVOIRA LIMITED

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Roger Blaskey (Senior Statutory Auditor)
for and on behalf of Xeinadin Audit Limited
1 City Road East
Manchester
M15 4PN

31st August 2022

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

PROFIT AND LOSS ACCOUNT
for the Year Ended 31st December 2021

2021 2020
Notes £    £   

TURNOVER 4 23,074,156 21,464,061

Cost of sales (14,127,155 ) (13,120,109 )
GROSS PROFIT 8,947,001 8,343,952

Administrative expenses (7,823,038 ) (5,655,472 )
1,123,963 2,688,480

Other operating income - 126,682
OPERATING PROFIT and
PROFIT BEFORE TAXATION 1,123,963 2,815,162

Tax on profit 7 (261,819 ) (175,710 )
PROFIT FOR THE FINANCIAL YEAR 862,144 2,639,452

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE
YEAR

862,144

2,639,452

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

BALANCE SHEET
31st December 2021

2021 2020
Notes £    £   
FIXED ASSETS
Intangible assets 8 373,627 345,370
Tangible assets 9 1,242,522 1,189,817
Investments 10 2,240,941 2,789,332
3,857,090 4,324,519

CURRENT ASSETS
Stocks 11 517,368 603,442
Debtors 12 4,831,835 4,550,148
Cash at bank and in hand 1,667,947 1,589,303
7,017,150 6,742,893
CREDITORS
Amounts falling due within one year 13 (5,620,848 ) (6,130,137 )
NET CURRENT ASSETS 1,396,302 612,756
TOTAL ASSETS LESS CURRENT LIABILITIES 5,253,392 4,937,275

CREDITORS
Amounts falling due after more than one year 14 - (650,000 )

PROVISIONS FOR LIABILITIES 17 (293,086 ) (189,113 )
NET ASSETS 4,960,306 4,098,162

CAPITAL AND RESERVES
Called up share capital 18 4,000 4,000
Retained earnings 4,956,306 4,094,162
SHAREHOLDERS' FUNDS 4,960,306 4,098,162

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

BALANCE SHEET - continued
31st December 2021


The financial statements were approved by the Board of Directors and authorised for issue on 31st August 2022 and were signed on its behalf by:





Mr A J Roberts - Director


AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

STATEMENT OF CHANGES IN EQUITY
for the Year Ended 31st December 2021

Called up
share Retained Total
capital earnings equity
£    £    £   

Balance at 1st January 2020 4,000 1,454,710 1,458,710
Profit for the year - 2,639,452 2,639,452
Total comprehensive income - 2,639,452 2,639,452
Balance at 31st December 2020 4,000 4,094,162 4,098,162
Profit for the year - 862,144 862,144
Total comprehensive income - 862,144 862,144
Balance at 31st December 2021 4,000 4,956,306 4,960,306

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS
for the Year Ended 31st December 2021


1. STATUTORY INFORMATION

Avoira Limited is a private company limited by share capital, incorporated in England and Wales, registration number 01763970. The address of the registered office is Pennine House, Salford Street, Bury, BL9 6YA and principle place of business are:

Pennine House 4th Floor North, 7a4 Victoria Road,
Salford Street, 401 Faraday Street, Avonmouth,
Bury, Birchwood. Bristol,
Manchester, Warrington BS11 9DB
BL9 6YA WA3 6GA

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" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

Preparation of consolidated financial statements
The financial statements contain information about Avoira Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Nycomm Holdings Limited, Nycomm House, Agecroft Road, Pendlebury, Swinton, Manchester M27 8SB.

Related party exemption
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 with wholly owned subsidiaries within the group.

Turnover
Turnover represents amounts recognised by the company in respect of goods and services supplied, exclusive of value added tax and trade discounts. Turnover principally consists of telecommunications equipment which are recognised at the point of which the goods and/or services are provided.

Goodwill
Goodwill, being the amount paid in connection with the acquisition of businesses in 2017, 2018 and 2020 are being amortised evenly over their useful estimated life of five years.

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


2. ACCOUNTING POLICIES - continued

Business combinations
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.

Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.

Computer software
Computer software purchased is being amortised evenly over its estimated useful life of 3 & 7 years.

Tangible fixed assets
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.

Depreciation on tangible fixed assets is charged to the profit and loss so as to write off their value, over their estimated useful lives, using the following method:

Plant and machinery-3, 5 & 7 years straight line
Fixtures and fittings-3 & 7 years straight line
Motor vehicles-4 - 5 years straight line

At each balance sheet date, the Company reviews the carrying amounts of its tangible fixed assets to determine whether there is any indication that any items have suffered an impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss, if any. Where it is not possible to estimate the recoverable amount of
the asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. Impairment loss is recognised as an expense immediately.

Government grants
Government grants are recognised on the accrual model and are measured at fair value of the asset receivable. Grants are classified as relating either to other income or to assets. Grants related to other income are recognised in profit or loss over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell: the impairment loss is recognised immediately in the profit or loss.


AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


2. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the profit and loss account, 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.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are included in the profit or loss account.

Pension costs and other post-retirement benefits
The obligations for contributions to defined contribution scheme are recognised as an expense as incurred. The assets of the scheme are held separately from those of the Company in an independent administered fund.

Leasing commitments
Assets that are held by the Company under leases which transfer to the Company substantially all the risks and rewards of ownership are classified as being held under finance leases. Leases which do not transfer substantially all the risks and rewards of ownership to the company are classified as operating leases.

Operating lease payments are recognised as an expense on straight-line basis over the lease term, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed. Contingent rentals arising under operating leases are recognised as an expense in the period in which they are incurred.

In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


2. ACCOUNTING POLICIES - continued

Trade and other debtors
Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less impairment losses for bad and doubtful debts.

Trade and other creditors
Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method unless the effect of discounting would be immaterial, in which case they are stated at cost.

Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and in hand.

3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the Company's accounting policies above, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future period.

There are currently the following types of provisions:

Stock provision
The company provides for obsolete and slow moving stock as and when required. The provision at year end was £100,118 (2020: £241,872).

Bad debt provision
The company provides for potential bad debt as and when required. The provision at year end was £77,117 (2020: £162,627).

4. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2021 2020
£    £   
Goods 14,313,184 13,982,327
Services 8,760,972 7,481,734
23,074,156 21,464,061

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


4. TURNOVER - continued

An analysis of turnover by geographical market is given below:

2021 2020
£    £   
United Kingdom 22,554,098 20,899,156
Europe 279,055 337,961
Rest of the world 241,003 226,944
23,074,156 21,464,061

5. EMPLOYEES AND DIRECTORS
2021 2020
£    £   
Wages and salaries 5,290,272 4,889,578
Social security costs 551,573 508,607
Other pension costs 167,578 177,200
6,009,423 5,575,385

The average number of employees during the year was as follows:
2021 2020

Production 24 37
Administration 16 15
Distribution 91 73
131 125

2021 2020
£    £   
Directors' remuneration 295,513 134,931

Information regarding the highest paid director for the year ended 31st December 2021 is as follows:
2021
£   
Emoluments etc 295,513

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


6. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2021 2020
£    £   
Depreciation - owned assets 498,424 527,852
Profit on disposal of fixed assets (80,961 ) (83,403 )
Goodwill amortisation 2,000 49,506
Computer software amortisation 89,703 42,719
Auditors' remuneration 25,571 30,500
Foreign exchange differences 2,685 6,240
Gain/loss on revaluation of investments 248,938 -

7. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2021 2020
£    £   
Current tax:
UK corporation tax 176,539 91,657
Corporation tax prior years (18,693 ) -
Total current tax 157,846 91,657

Deferred tax 103,973 84,053
Tax on profit 261,819 175,710

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2021 2020
£    £   
Profit before tax 1,123,963 2,815,162
Profit multiplied by the standard rate of corporation tax in the UK of 19%
(2020 - 19%)

213,553

534,881

Effects of:
Expenses not deductible for tax purposes 50,391 3,779
Income not taxable for tax purposes (15,382 ) (15,847 )
Capital allowances in excess of depreciation (72,023 ) (551 )
Adjustments to tax charge in respect of previous periods (18,693 ) -
Deferred tax movement 103,973 84,053
Research and development - (36,742 )
Forgiveness of debt - (393,863 )
Total tax charge 261,819 175,710

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


8. INTANGIBLE FIXED ASSETS
Computer
Goodwill software Totals
£    £    £   
COST
At 1st January 2021 10,000 402,443 412,443
Additions - 119,960 119,960
At 31st December 2021 10,000 522,403 532,403
AMORTISATION
At 1st January 2021 5,500 61,573 67,073
Amortisation for year 2,000 89,703 91,703
At 31st December 2021 7,500 151,276 158,776
NET BOOK VALUE
At 31st December 2021 2,500 371,127 373,627
At 31st December 2020 4,500 340,870 345,370

9. TANGIBLE FIXED ASSETS
Fixtures
Plant and and Motor
machinery fittings vehicles Totals
£    £    £    £   
COST
At 1st January 2021 4,772,236 1,221,124 95,101 6,088,461
Additions 408,255 78,942 76,770 563,967
Disposals (49,341 ) - (33,971 ) (83,312 )
At 31st December 2021 5,131,150 1,300,066 137,900 6,569,116
DEPRECIATION
At 1st January 2021 3,687,025 1,143,286 68,333 4,898,644
Charge for year 445,112 33,024 20,288 498,424
Eliminated on disposal (36,503 ) - (33,971 ) (70,474 )
At 31st December 2021 4,095,634 1,176,310 54,650 5,326,594
NET BOOK VALUE
At 31st December 2021 1,035,516 123,756 83,250 1,242,522
At 31st December 2020 1,085,211 77,838 26,768 1,189,817

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


10. FIXED ASSET INVESTMENTS
Shares in
group
undertakings
£   
COST OR VALUATION
At 1st January 2021 2,789,332
Additions 50,547
Revaluations (350,000 )
At 31st December 2021 2,489,879
PROVISIONS
Provision for year 248,938
At 31st December 2021 248,938
NET BOOK VALUE
At 31st December 2021 2,240,941
At 31st December 2020 2,789,332

Cost or valuation at 31st December 2021 is represented by:

Shares in
group
undertakings
£   
Cost 2,489,879

The following were subsidiary undertakings of the company:


Name
Country of
incorporation
Class of
shares

Holding

Principal Activity
Yellowbus Solutions Ltd England and Wales Ordinary 100% IT Services
Co-Channel Electronics Limited England and Wales Ordinary 100% Dormant

The registered office and principal place of business for both of the above mentioned companies is Pennine House, Salford Street, Bury, BL9 6YA and their financial year end is 31st December 2021.

The company purchased 100% shares in Yellowbus Solutions Limited on 28th August 2020.

The company disposed of two of its subsidiaries, Ultragain Limited and Interquartz (UK) Limited in the previous financial year.

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


11. STOCKS
2021 2020
£    £   
Work-in-progress 166,581 73,227
Finished goods 350,787 530,215
517,368 603,442

12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2021 2020
£    £   
Trade debtors 4,192,456 4,111,958
Amounts owed by group undertakings 2,610 36,873
Other debtors 151,110 266
Prepayments and accrued income 485,659 401,051
4,831,835 4,550,148

13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2021 2020
£    £   
Trade creditors 834,793 821,851
Amounts owed to group undertakings 952,500 1,478,657
Tax 176,539 110,922
Social security and other taxes 176,121 169,030
VAT 369,156 743,423
Other creditors 80,389 43,118
Accrued expenses 3,031,350 2,763,136
5,620,848 6,130,137

14. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2021 2020
£    £   
Accruals and deferred income - 650,000

15. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2021 2020
£    £   
Within one year 50,537 108,478
Between one and five years 1,438 43,101
51,975 151,579

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


16. SECURED DEBTS

The company is party to a composite agreement with its bankers to secure the net bank indebtedness of the group. There are fixed and floating charges registered in favour of both The National Westminster Bank PLC dated 26th May 2017 and The Royal Bank of Scotland PLC dated 7th March 2014, over the undertaking and all property and assets present and future.

17. PROVISIONS FOR LIABILITIES
2021 2020
£    £   
Deferred tax 293,086 189,113

Deferred
tax
£   
Balance at 1st January 2021 189,113
Charge to Profit and Loss Account during year 103,973
Balance at 31st December 2021 293,086

18. CALLED UP SHARE CAPITAL


Allotted, issued and fully paid:
Number: Class: Nominal 2021 2020
value: £    £   
4,000 Ordinary £1.00 4,000 4,000

19. PENSION COMMITMENTS

The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £167,578 (2020 - £177,200). Contributions totalling £34,547 (2020 - £29,434) were payable to the fund at the balance sheet date and are included in creditors.

20. RELATED PARTY DISCLOSURES

During the period the company had the following sales transactions with companies that A Roberts is a director of:

2021 2020
£ £

Bolton College 40,926 -
The White Horse Project 826 -
University of Bolton 55,234 -
Total 96,986 -

AVOIRA LIMITED (REGISTERED NUMBER: 01763970)

NOTES TO THE FINANCIAL STATEMENTS - continued
for the Year Ended 31st December 2021


21. ULTIMATE PARENT COMPANY

The company's ultimate parent is Nycomm Holdings Limited, incorporated in England and Wales. The parent company of the largest and smallest group that includes the company and for which group financial statements are prepared is Nycomm Holdings Limited. Consolidated financial statements of the group can be requested from Nycomm Holdings Limited, Pennine House, Salford Street, Bury, BL9 6YA.