Company registration number 11609382 (England and Wales)
BEF BSC LTD
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
PAGES FOR FILING WITH REGISTRAR
BEF BSC LTD
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
BEF BSC LTD
BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 1 -
2023
2022
Notes
£
£
£
£
Current assets
Debtors falling due after more than one year
4
7,046,988
6,146,449
Debtors falling due within one year
4
2,346,690
2,188,156
Cash at bank and in hand
603,315
3,232,268
9,996,993
11,566,873
Creditors: amounts falling due within one year
5
(2,626,565)
(3,153,830)
Net current assets
7,370,428
8,413,043
Creditors: amounts falling due after more than one year
6
(6,600,000)
(7,850,000)
Net assets
770,428
563,043
Capital and reserves
Called up share capital
1
1
Profit and loss reserves
770,427
563,042
Total equity
770,428
563,043

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

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 by the board of directors and authorised for issue on 19 June 2023 and are signed on its behalf by:
Mr S A Waud
Director
Company Registration No. 11609382
BEF BSC LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
- 2 -
1
Accounting policies
Company information

BEF BSC Ltd is a private company limited by shares incorporated in England and Wales. The registered office is City Hub, 9-11 Peckover Street, Little Germany, Bradford, BD1 5BD.

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 £1.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company has taken advantage of the disclosure exemptions of Section 33.1A of FRS 102 which permit it to not present details of its transactions with members of the group, on the grounds that those entities are related by virtue having the same control as defined by 33.11(b).

 

The financial statements of the company are consolidated in the financial statements of West and North Yorkshire Chamber of Commerce and Industry. These consolidated financial statements are available from its registered office, Devere House, Vicar Lane, Little Germany, Bradford BD1 5AH.

1.2
Going concern

The executive team is regularly monitoring the financial position of the company and the wider economic environment. There is a heightened risk of bad debts as a result of current economic pressure, however, the company benefits from guarantees on loans advanced through both the Enterprise Finance Guarantee Scheme (“EFGS”), a Government scheme which effectively underwrites 75% of loans, the Coronavirus Business Interruption Loan Scheme ("CBILS"), a Government scheme which effectively underwrites 80% of loans, and the Recovery Loan Scheme (RLS 1,2 & 3) operating on an 80%, 70%, and 70% cap respectively. The company has continued to review and update its bad debt provisioning to ensure there is an appropriate provision in existence for loans in default or at risk of default. true

The company continues to be profitable and budgets and cash flow projections indicate continued profitability and positive cash flows. The company’s capital is provided through both public and commercial sources and a significant proportion of loans are guaranteed by Government under EFGS, CBILS and RLS and will continue to be so for the next financial period.

Given the above, at the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and not less than one year from the date of approval.

1.3
Turnover

Income represents earned interest and fees chargeable in respect of the provision of loan finance to customers. All turnover is shown net of VAT.

 

Income from interest and fees is calculated in line with the underlying agreement and recognised on an accruals basis.

BEF BSC LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 3 -
1.4
Cash and cash equivalents

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.

1.5
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.6
Equity instruments

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.

1.7
Taxation

The tax expense represents the sum of the tax currently payable.

BEF BSC LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
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.

2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

 

Provisioning against loan book recoverability

The company’s trade is the provision of finance to organisations who are largely unable to obtain finance from alternative sources. Consequently there is an increased risk of debts becoming irrecoverable. The company’s policy on loan receivables is to pursue all available methods to recover the balance outstanding. Once all methods have been exhausted, the balance is written off in full to the profit and loss account. A detailed layered review approach has been adopted for provisioning, considering payment profiles, security held (including government underwriting on certain loans), industry/sector information and financial information of the debtor. If at this stage there is no evidence of recoverability, the loan is provided to the extent it is unsecured.

BEF BSC LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 5 -
3
Employees

The average monthly number of persons employed by the company during the year was:

2023
2022
Number
Number
Total
2
2
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
70,320
156,693
Other debtors
2,276,370
2,031,463
2,346,690
2,188,156
2023
2022
Amounts falling due after more than one year:
£
£
Other debtors
6,966,988
6,146,449
Deferred tax asset
80,000
-
0
7,046,988
6,146,449
Total debtors
9,393,678
8,334,605

Other debtors include £8,950,988 (2022 - £7,852,564) of loans which are made on a commercial basis. These loans are recognised net of unearned interest on the basis that borrowers can repay their funding early, with no financial penalty being incurred.

 

The loans included within other debtors are net of a bad debt provision totalling £547,797 (2022 - £376,528).

BEF BSC LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 6 -
5
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
1,500,000
1,500,000
Trade creditors
8,217
10,587
Taxation and social security
100,000
65,004
Other creditors
1,018,348
1,578,239
2,626,565
3,153,830

Bank loans due under one year includes £1,500,000 (2022 - £1,500,000) of borrowings from Unity Trust Bank. The details and security of this loan can be seen in note 6.

Other creditors, amounts falling due under one year, includes £900,000 (2022 - £1,500,000) of borrowings received under a funding agreement from Community Investment Facility Limited. The details and security of this loan can be seen in note 6.

6
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
2,350,000
4,850,000
Other creditors
4,250,000
3,000,000
6,600,000
7,850,000

Bank loans due after more than one year includes £2,350,000 (2022 - £4,850,000) of borrowings from Unity Trust Bank. This facility is repayable by 20 quarterly instalments of £375,000 commencing June 2022, and is partly secured by Business & Enterprise Finance Limited, the immediate parent company, as well as a fixed and floating charge over the assets of the company.

Other creditors, amounts falling due after more than one year, includes £4,250,000 (2022 - £3,000,000) of borrowings received under a funding agreement from Community Investment Facility Limited. The total facility provided by the funder is £9,500,000 (2022 - £7,500,000). This facility is repayable by 20 quarterly instalments which are currently £425,000 commencing December 2021. The facility is partly secured by Business & Enterprise Finance Limited, the immediate parent company.

7
Parent company

The immediate parent company is Business & Enterprise Finance Limited ("BEF").

 

By virtue of its single member guarentee in BEF, the ultimate parent company is West and North Yorkshire Chamber of Commerce and Industry ("WNYCC"), a company registered in England and Wales, the registered office of which is Devere House, Vicar Lane, Little Germany, Bradford BD1 5AH.

 

The financial statements of the company are consolidated into the financial statements of WNYCC. Copies of the group financial statements are available from WNYCC's registered office. WNYCC is the only group into which BEF BSC Ltd is consolidated.

BEF BSC LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 7 -
8
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

The senior statutory auditor was Alan Sidebottom and the auditor was Azets Audit Services Limited.
2023-03-312022-04-01false19 June 2023CCH SoftwareCCH Accounts Production 2023.100No description of principal activityThis audit opinion is unqualifiedMr S A WaudMr S M Jackson116093822022-04-012023-03-31116093822023-03-3111609382core:Non-currentFinancialInstrumentscore:AfterOneYear2023-03-3111609382core:Non-currentFinancialInstrumentscore:AfterOneYear2022-03-3111609382core:WithinOneYear2023-03-3111609382core:WithinOneYear2022-03-3111609382core:CurrentFinancialInstrumentscore:WithinOneYear2023-03-3111609382core:CurrentFinancialInstrumentscore:WithinOneYear2022-03-31116093822022-03-3111609382core:CurrentFinancialInstruments2023-03-3111609382core:CurrentFinancialInstruments2022-03-3111609382core:Non-currentFinancialInstruments2023-03-3111609382core:Non-currentFinancialInstruments2022-03-3111609382core:ShareCapital2023-03-3111609382core:ShareCapital2022-03-3111609382core:RetainedEarningsAccumulatedLosses2023-03-3111609382core:RetainedEarningsAccumulatedLosses2022-03-3111609382bus:Director12022-04-012023-03-31116093822021-04-012022-03-3111609382core:AfterOneYear2023-03-3111609382core:AfterOneYear2022-03-3111609382bus:PrivateLimitedCompanyLtd2022-04-012023-03-3111609382bus:SmallCompaniesRegimeForAccounts2022-04-012023-03-3111609382bus:FRS1022022-04-012023-03-3111609382bus:Audited2022-04-012023-03-3111609382bus:Director22022-04-012023-03-3111609382bus:FullAccounts2022-04-012023-03-31xbrli:purexbrli:sharesiso4217:GBP