IRIS Accounts Production v23.3.1.45 10572983 Board of Directors 1.6.22 31.5.23 31.5.23 true true false true true false false true true true true true false Ordinary 1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh105729832022-05-31105729832023-05-31105729832022-06-012023-05-31105729832021-05-31105729832021-06-012022-05-31105729832022-05-3110572983ns10:Originalns15:EnglandWales2022-06-012023-05-3110572983ns14:PoundSterlingns10:Original2022-06-012023-05-3110572983ns10:Originalns10:Director12022-06-012023-05-3110572983ns10:Original2022-06-012023-05-3110572983ns10:Original2023-05-3110572983ns10:Originalns10:PrivateLimitedCompanyLtd2022-06-012023-05-3110572983ns10:Originalns10:FRS1022022-06-012023-05-3110572983ns10:Originalns10:Audited2022-06-012023-05-3110572983ns10:Originalns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2022-06-012023-05-3110572983ns10:LargeMedium-sizedCompaniesRegimeForAccountsns10:Original2022-06-012023-05-3110572983ns10:Originalns10:FullAccounts2022-06-012023-05-3110572983ns10:Originalns10:OrdinaryShareClass12022-06-012023-05-3110572983ns10:Originalns10:Director22022-06-012023-05-3110572983ns10:Originalns10:Director32022-06-012023-05-3110572983ns10:Originalns10:Director42022-06-012023-05-3110572983ns10:Originalns10:RegisteredOffice2022-06-012023-05-3110572983ns10:Original2021-06-012022-05-3110572983ns10:Original2022-05-3110572983ns10:Originalns5:CurrentFinancialInstruments2023-05-3110572983ns10:Originalns5:CurrentFinancialInstruments2022-05-3110572983ns10:Originalns5:Non-currentFinancialInstruments2023-05-3110572983ns10:Originalns5:Non-currentFinancialInstruments2022-05-3110572983ns5:ShareCapitalns10:Original2023-05-3110572983ns5:ShareCapitalns10:Original2022-05-3110572983ns10:Originalns5:CapitalRedemptionReserve2023-05-3110572983ns10:Originalns5:CapitalRedemptionReserve2022-05-3110572983ns10:Originalns5:RetainedEarningsAccumulatedLosses2023-05-3110572983ns10:Originalns5:RetainedEarningsAccumulatedLosses2022-05-3110572983ns5:ShareCapitalns10:Original2021-05-3110572983ns10:Originalns5:RetainedEarningsAccumulatedLosses2021-05-3110572983ns10:Originalns5:CapitalRedemptionReserve2021-05-3110572983ns10:Original2021-05-3110572983ns10:Originalns5:RetainedEarningsAccumulatedLosses2021-06-012022-05-3110572983ns10:Originalns5:CapitalRedemptionReserve2021-06-012022-05-3110572983ns10:Originalns5:RetainedEarningsAccumulatedLosses2022-06-012023-05-3110572983ns10:Originalns5:CapitalRedemptionReserve2022-06-012023-05-3110572983ns10:Original12022-06-012023-05-3110572983ns10:Originalns10:HighestPaidDirector2022-06-012023-05-3110572983ns10:Originalns10:HighestPaidDirector2021-06-012022-05-3110572983ns10:Original12022-06-012023-05-3110572983ns10:Original12021-06-012022-05-3110572983ns10:Originalns5:CostValuation2022-05-3110572983ns10:Originalns5:Subsidiary12022-06-012023-05-3110572983ns10:Originalns5:Subsidiary112022-06-012023-05-3110572983ns10:Originalns5:Subsidiary22022-06-012023-05-3110572983ns10:Original3ns5:Subsidiary22022-06-012023-05-3110572983ns10:Originalns5:CurrentFinancialInstrumentsns5:WithinOneYear2023-05-3110572983ns10:Originalns5:CurrentFinancialInstrumentsns5:WithinOneYear2022-05-3110572983ns10:Originalns5:Non-currentFinancialInstrumentsns5:BetweenOneTwoYears2023-05-3110572983ns10:Originalns5:Non-currentFinancialInstrumentsns5:BetweenOneTwoYears2022-05-3110572983ns5:Securedns10:Original2023-05-3110572983ns5:Securedns10:Original2022-05-3110572983ns10:Originalns10:OrdinaryShareClass12023-05-31
REGISTERED NUMBER: 10572983 (England and Wales)











STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2023

FOR

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Statement of Comprehensive Income 10

Balance Sheet 11

Statement of Changes in Equity 12

Notes to the Financial Statements 13


ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 MAY 2023







DIRECTORS: S W Barham
D E Murray
G Rae
A M Ringrose





REGISTERED OFFICE: Wg01 Vox Studios 1-45 Durham Street
Vauxhall
London
SE11 5JH





REGISTERED NUMBER: 10572983 (England and Wales)





AUDITORS: Haines Watts, Statutory Auditor
Chartered Accountants
The Lightbox
87 Castle Street
Reading
Berkshire
RG1 7SN

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2023


The directors present their strategic report for the year ended 31 May 2023.

REVIEW OF BUSINESS
The Company's key performance indicators include revenue, operating profit, gross profit, gross profit percentage and administrative expenses, each of which is discussed in detail later in the report.

The year ended 31 May 2023 has been clear of the impact of the Covid pandemic and unaffected by lockdowns and trading performance of the trading subsidiary Associated Continuity Teams Limited has consistently and steadily increased over the year and the directors are satisfied with the reported level of revenue and trading profitability within the subsidiary for the year.

During the year ended 31 May 2021 the Company secured new bank funding through the governments CBILS initiative. Trading levels, profitability and cash generation within the subsidiary company have since exceeded the forecast prepared in agreeing the new funding and the Company has comfortably met all repayments and obligations of the funding.

The directors are confident of further recovery in activity, expecting increased revenues and profitability in future years.

PRINCIPAL RISKS AND UNCERTAINTIES
UK Economy
The 2016 referendum vote for the UK to leave the European Community may eventually impact the level of net migration into the UK, through the full impact cannot be assessed. The Company is confident that in the current competitive market for staff recruitment, that its recruitment channels and systems will continue to ensure its success in attracting new employees.

Liquidity risk
The business is in part funded by loans from other group companies and invoice discounting facility. The loans and invoice discounting facility were agreed in May 2021. The Company has operated well within the total amount of the available facility and the directors are confident that all future obligations will be met.

Market risk
The Company continues to develop its skills offerings and understanding and improving service levels to clients as we feel these are vital to the management and mitigation of market risks.

Human Resources
The business has continually developed its human resource recruitment and payroll systems and will continue to do so. This will improve reliability and efficiency in the volume processing of staff.


ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2023

ENGAGEMENT WITH EMPLOYEES
The Company places considerable value on the involvement of its employees and continues to keep them informed on matters affecting them as employees and on the various factors affecting the performance of the Company.

The Company has a policy of continuous improvement at all levels throughout the business and actively seeks to promote advancement of front line staff to supervisor and management positions, both within the operations team and into the support teams.

We have a strong diversity culture and employ people from a large number of countries and ethnic backgrounds.

DISABLED EMPLOYEES
Applications for employment by disabled persons are always fully considered, bering in mind the abilities of the applicant concerned. In the event of members of staff becoming disabled every effort is made to ensure that their employment with the Company continues and that appropriate training is arranged. It is the policy of the Company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

GOING CONCERN
As the country recovered from the Covid-19 pandemic and with increased visibility of returning revenues and a substantial reduction in overhead costs in the trading subsidiary, the company secured new bank funding via the Governments CBILS facilities in May 2021. In addition to the CBILS facilities the Company has agreed with its bankers an invoice discounting facility sufficient to fund working capital increase as future trading activity increases in the trading subsidiary.

During the year ended the 31 May 2023 the level of trading profitability and cash generation in the trading subsidiary exceeded that assumed in the post recovery forecast and the group has passed all banking covenant tests. The current levels of trading and profitability is sufficient to ensure future banking covenant tests will be passed even with no further recovery.

With the operating profit in the main trading company at the level included in the forecasts the directors have a reasonable expectation that there are adequate resources to continue in operational existence for the foreseeable future.

Whilst there is some uncertainty relating to future trading due to the current UK economic position. The directors have completed a conservative set of forecasts based on no improvement to current trading levels that show that the company will be able to meet liabilities as they fall due.

The directors therefore continue to adopt the going concern basis of accounting in preparing these financial statements.

ON BEHALF OF THE BOARD:





D E Murray - Director


30 November 2023

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 MAY 2023


The directors present their report with the financial statements of the company for the year ended 31 May 2023.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of a holding company and management services company.

DIVIDENDS
No dividends will be distributed for the year ended 31 May 2023.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 June 2022 to the date of this report.

S W Barham
D E Murray
G Rae
A M Ringrose

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). 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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 MAY 2023


AUDITORS
The auditors, Haines Watts, Statutory Auditor, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





D E Murray - Director


30 November 2023

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED


Opinion
We have audited the financial statements of Associated Continuity Teams Bidco Limited (the 'company') for the year ended 31 May 2023 which comprise the Statement of Comprehensive Income, 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 31 May 2023 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 matters
The financial statements of the Company for the year-ended 31 May 2022 were audited by another auditor who expressed an unmodified opinion of those statements on 20 December 2022.

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED


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.

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 four, 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
ASSOCIATED CONTINUITY TEAMS BIDCO
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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory framework applicable to the Company and the industry in which it operates. We determined that the following laws and regulations were most significant: FRS102 - the Financial Reporting Standard applicable in the UK & The Republic of Ireland, the Companies Act 2006 and relevant tax compliance regulations in the UK.

We obtained an understanding of how the Company is complying with those legal and regulatory frameworks by making enquiries of management.

We assessed the susceptibility of the company's financial statements to material misstatement, including how fraud might occur, by meeting with management to understand where management considered there was susceptibility to fraud. Audit procedures performed by the audit team included:

- Challenging assumptions and judgements made by management in its significant accounting estimates;
- Identifying and testing journal entries, with a focus on entries made with unusual accounting combinations;
- Confirming with management whether they have knowledge of any actual, suspected or illegal fraud;
- Evaluating whether there was evidence of bias by management that represents a risk of material
misstatement due to fraud.

These procedures were designed to provide reasonable assurance that the financial statements were free from fraud or error.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance will all laws and regulations.

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED


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.




Martin Thomas FCCA (Senior Statutory Auditor)
for and on behalf of Haines Watts, Statutory Auditor
Chartered Accountants
The Lightbox
87 Castle Street
Reading
Berkshire
RG1 7SN

30 November 2023

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MAY 2023

2023 2022
Notes £ £

TURNOVER 630,000 630,000

Cost of sales 459,397 448,969
GROSS PROFIT 170,603 181,031

Administrative expenses 13,046 15,066
157,557 165,965

Other operating income - 61,800
OPERATING PROFIT 5 157,557 227,765


Interest payable and similar expenses 6 86,680 275,686
PROFIT/(LOSS) BEFORE TAXATION 70,877 (47,921 )

Tax on profit/(loss) 7 15,574 10,831
PROFIT/(LOSS) FOR THE FINANCIAL
YEAR

55,303

(58,752

)

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

BALANCE SHEET
31 MAY 2023

2023 2022
Notes £ £ £ £
FIXED ASSETS
Investments 8 4,048,630 4,048,630

CURRENT ASSETS
Debtors 9 - 1,732
Cash at bank 2,928 6,958
2,928 8,690
CREDITORS
Amounts falling due within one year 10 3,518,289 3,279,354
NET CURRENT LIABILITIES (3,515,361 ) (3,270,664 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

533,269

777,966

CREDITORS
Amounts falling due after more than one
year

11

825,000

1,125,000
NET LIABILITIES (291,731 ) (347,034 )

CAPITAL AND RESERVES
Called up share capital 14 1 1
Capital contribution reserve 15 10,023,439 10,023,439
Retained earnings 15 (10,315,171 ) (10,370,474 )
SHAREHOLDERS' FUNDS (291,731 ) (347,034 )

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 30 November 2023 and were signed on its behalf by:





D E Murray - Director


ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2023

Called up Capital
share Retained contribution Total
capital earnings reserve equity
£ £ £ £
Balance at 1 June 2021 1 (10,311,722 ) - (10,311,721 )

Changes in equity
Total comprehensive income - (58,752 ) - (58,752 )
Waiver of loan notes payable
and accrued unpaid interest - - 10,023,439 10,023,439
Balance at 31 May 2022 1 (10,370,474 ) 10,023,439 (347,034 )

Changes in equity
Total comprehensive income - 55,303 - 55,303
Balance at 31 May 2023 1 (10,315,171 ) 10,023,439 (291,731 )

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023


1. STATUTORY INFORMATION

Associated Continuity Teams Bidco Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


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.

Going concern
As the country recovered from the Covid-19 pandemic and with increased visibility of returning revenues and a substantial reduction in overhead costs in the trading subsidiary, the Company secured new bank funding via the Governments CBILS facilities in May 2021. In addition to the CBILS facilities the Company has agreed with its bankers an invoice discounting facility sufficient to fund working capital increase as future trading activity increases in the trading subsidiary.

During the year ended the 31 May 2023 the level of trading profitability and cash generation in the trading subsidiary exceeded that assumed in the post recovery forecast and the Group has passed all banking covenant tests. The current levels of trading and profitability is sufficient to ensure future banking covenant tests will be passed even with no further recovery.

With the operating profit in the main trading company at the level included in the forecasts the directors have a reasonable expectation that there are adequate resources to continue in operational existence for the foreseeable future.

Whilst there is some uncertainty relating to future trading due to the current UK economic position. The directors have completed a conservative set of forecasts based on no improvement to current trading levels that show that the Company will be able to meet liabilities as they fall due.

The directors therefore continue to adopt the going concern basis of accounting in preparing these financial statements.

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 requirement of paragraph 3.17(d);
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b)
and 11.48(c);
the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of paragraphs 26.18(b), 26.19 to 26.21 and 26.23;
the requirement of paragraph 33.7.

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


2. ACCOUNTING POLICIES - continued

Preparation of consolidated financial statements
The financial statements contain information about Associated Continuity Teams Bidco 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, Associated Continuity Teams Holdings Limited, WG01 Vox Studios 1-45 Durham Street, London, SE11 5JH.

Revenue
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Revenue comprises revenue recognised by the Company in respect of the provision of management services during the year.

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when the following conditions are satisfied:

- the amount of revenue can be measured reliably
- it is probable that the Company will received the consideration due under the contract; and
- the stage of completion of the contract at the end of the reporting period can be measured reliably

Investments in subsidiaries
Investments in subsidiary undertakings are recognised at cost less any provision for impairment.

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


2. ACCOUNTING POLICIES - continued

Financial instruments
The Company has elected to apply the provisions of Section 11 'Basic Financial Instruments' of FRS 102 to all of its financial instruments.

Financial instruments are recognised 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 trade and other 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 financial asset is measured at the present value of the future receipts
discounted at a market rate of interest.

Basic financial liabilities
Basic financial liabilities, including trade and other creditors and amounts owed to group undertakings are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value fo the future payments discounted at a market rate of interest.

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

Debtors
Short term debtors are measured at transaction price, less any impairment. Loans receivable are
measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Cash and cash equivalents
Cash and cash equivalents are basic financial instruments and include cash in hand, deposits held at call with banks and other short term liquid investments with original maturities of three months or
less.

Creditors
Short term creditors are measured at the transaction price. Other financial liabilities, include bank
loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortized cost using the effective interest method.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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.


ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


2. ACCOUNTING POLICIES - continued
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.

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.

Interest payable and expenses
Interest payable and expenses are charged to profit or loss over the term of the debt using the effective interest rate method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Dividends
Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Provisions for liabilities
Provisions are made when an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and reliable estimate can be made of the amount of the obligation.

Provisions are charged as an expense to the Income Statement in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.

When payments are eventually made, they are charged to the provision carried in the balance sheet.

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In application of the Company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Impairment of investments
Determining whether there are indicators of impairment of the group's fixed and intangible assets, including goodwill. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset and where it is a component of a large cash-generating unit, the viability and expected future performance of that unit.

An impairment review has been completed based upon the directors forecast of the volume of pre Covid 19 customer activity expected to return and assumptions for further recovery and trading in the subsidiary entity Associated Continuity Teams Limited. The forecast future cash flows have been discounted at the weighted average cost of capital of 17% over a 10 year useful life using long term growth rates of 1% from year 4 onwards. A positive and a conservative recovery scenario has been forecast and the impairment of the investments has been made upon the directors assessment of each scenario.

The directors consider that based upon the results of the impairment review and the ongoing level of uncertainty in the hospitality market that no further impairment loss provision be made against the carrying value of investments.

4. EMPLOYEES AND DIRECTORS
2023 2022
£ £
Wages and salaries 350,656 356,500
Social security costs 46,272 46,177
Other pension costs - 1,321
396,928 403,998

The average number of employees during the year was as follows:
2023 2022

Management 4 4

2023 2022
£ £
Directors' remuneration 350,656 356,500
Directors' pension contributions to money purchase schemes - 1,321

Information regarding the highest paid director is as follows:
2023 2022
£ £
Emoluments etc 167,672 168,554
Pension contributions to money purchase schemes - 1,321

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


5. OPERATING PROFIT

The operating profit is stated after charging:

2023 2022
£ £
Auditors' remuneration 8,000 10,000
Auditors' remuneration for non audit work 2,000 5,000

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£ £
CBILs loan interest 86,680 61,800
Loan - 213,886
86,680 275,686

7. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2023 2022
£ £
Current tax:
UK corporation tax 14,228 10,831
Adjustment in prior year 1,346 -

Tax on profit/(loss) 15,574 10,831

UK corporation tax has been charged at 20% .

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


7. TAXATION - continued

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:

2023 2022
£ £
Profit/(loss) before tax 70,877 (47,921 )
Profit/(loss) multiplied by the standard rate of corporation tax in the
UK of 20% (2022 - 19%)

14,175

(9,105

)

Effects of:
Expenses not deductible for tax purposes 80 40,638
Adjustments to tax charge in respect of previous periods 1,346 -
Movement in deferred tax not recognised - (16,851 )
Remeasurement of deferred tax for changes in rates - 4,044
Group relief surrendered - (7,895 )
Marginal relief (27 ) -
Total tax charge 15,574 10,831

As of 1 April 2023, the UK Government has increased the main rate of corporation tax from 19% to 25%.

8. FIXED ASSET INVESTMENTS
Shares in
group
undertakings
£
COST
At 1 June 2022
and 31 May 2023 10,716,882
PROVISIONS
At 1 June 2022
and 31 May 2023 6,668,252
NET BOOK VALUE
At 31 May 2023 4,048,630
At 31 May 2022 4,048,630

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


8. FIXED ASSET INVESTMENTS - continued

The company's investments at the Balance Sheet date in the share capital of companies include the following:

Associated Continuity Teams Limited
Registered office: United Kingdom
Nature of business: Provision of cleaning and support services
%
Class of shares: holding
Ordinary 100.00

ACT Clean Limited
Registered office: United Kingdom
Nature of business: Dormant
%
Class of shares: holding
Ordinary 100.00

9. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£ £
VAT - 1,732

10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£ £
Bank loans and overdrafts (see note 12) 300,000 300,000
Amounts owed to group undertakings 3,194,062 2,954,869
Tax 14,228 9,485
Accruals and deferred income 9,999 15,000
3,518,289 3,279,354

11. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
2023 2022
£ £
Bank loans (see note 12) 825,000 1,125,000

12. LOANS

An analysis of the maturity of loans is given below:

2023 2022
£ £
Amounts falling due within one year or on demand:
Bank loans 300,000 300,000

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


12. LOANS - continued
2023 2022
£ £
Amounts falling due between one and two years:
Bank loans - 1-2 years 825,000 1,125,000

13. SECURED DEBTS

The following secured debts are included within creditors:

2023 2022
£ £
Bank loans 1,125,000 1,425,000

Following the Covid 19 pandemic beginning in March 2020, the group experienced a significant reduction in trading and as a result looked to restructure its bank loan funding. During the year ended 31 May 2021 the group restructured its bank loan funding, repaying all existing bank loans and obtaining new funding via the Governments CBILS scheme and an Invoice Discounting Facility secured against the Group Trade Debtors.

The CBILS loan of £1,500,000 was drawn on 27 May 2021. The loan is repayable by 20 consecutive instalments of £75,000 payable each quarter with the first repayment on 31 May 2022. Interest is charged at a margin of 3.8% plus Base Rate. Interest in the first year of the CBILS loan was covered by a UK Government Business Interruption Payment.

Bank loans are secured against the current and future assets of the group.

14. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £ £
1 Ordinary £1 1 1

15. RESERVES

Retained earning
Retained earnings relates to the cumulative loss less amounts distributed to shareholders.

Capital Contribution Reserve
Additional contributions from shareholders arising from transactions such as share issues or waivers of amounts due to shareholders.

16. RELATED PARTY DISCLOSURES

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.

During the year the company made purchases of £46,161 (2022 - £52,415) from Ringrose Associates Limited a company controlled by company director Adrian Ringrose.

ASSOCIATED CONTINUITY TEAMS BIDCO
LIMITED (REGISTERED NUMBER: 10572983)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MAY 2023


17. ULTIMATE CONTROLLING PARTY

Associated Continuity Teams Bidco Limited's immediate parent company is Associated Continuity Teams Holdings Limited.

The largest group in which the results of the company are consolidated is that headed by Associated Continuity Teams Holdings Limited, whose registered address is Unit WG01 Vox Studios, 1-45 Durham Street, London, SE11 5JH.

The consolidated accounts of Associated Continuity Teams Holdings Limited are available to the public and may be obtained from Companies House, Crown Way, Cardiff. No other group accounts include the results of the company,

In the opinion of the directors the ultimate controlling party of this company is Connection Capital LLP, a limited liability partnership incorporated in England and Wales whose registered address is One Eleven, Edmund Street, Birmingham, B3 2HJ.