IRIS Accounts Productionv24.1.9.201917783director1.11.2231.10.2331.10.23truefalsetruetruefalsefalsetruefalseOrdinary1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh019177832022-10-31019177832023-10-31019177832022-11-012023-10-31019177832021-10-31019177832021-11-012022-10-31019177832022-10-3101917783ns15:EnglandWales2022-11-012023-10-3101917783ns14:PoundSterling2022-11-012023-10-3101917783ns10:Director12022-11-012023-10-3101917783ns10:PrivateLimitedCompanyLtd2022-11-012023-10-3101917783ns10:FRS1022022-11-012023-10-3101917783ns10:Audited2022-11-012023-10-3101917783ns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2022-11-012023-10-3101917783ns10:LargeMedium-sizedCompaniesRegimeForAccounts2022-11-012023-10-3101917783ns10:FullAccounts2022-11-012023-10-3101917783ns10:OrdinaryShareClass12022-11-012023-10-3101917783ns10:RegisteredOffice2022-11-012023-10-3101917783ns5:CurrentFinancialInstruments2023-10-3101917783ns5:CurrentFinancialInstruments2022-10-3101917783ns5:Non-currentFinancialInstruments2023-10-3101917783ns5:Non-currentFinancialInstruments2022-10-3101917783ns5:RetainedEarningsAccumulatedLosses2021-11-012022-10-3101917783ns5:CapitalRedemptionReserve2021-11-012022-10-3101917783ns5:RetainedEarningsAccumulatedLosses2022-11-012023-10-3101917783ns5:CapitalRedemptionReserve2022-11-012023-10-3101917783ns5:OwnedOrFreeholdAssetsns5:LandBuildings2022-11-012023-10-3101917783ns5:LeaseholdImprovements2022-11-012023-10-3101917783ns5:PlantMachinery2022-11-012023-10-3101917783ns5:MotorVehicles2022-11-012023-10-3101917783ns5:PlantEquipmentOtherAssetsUnderOperatingLeases2022-11-012023-10-3101917783ns5:PlantEquipmentOtherAssetsUnderOperatingLeases2021-11-012022-10-3101917783ns5:OwnedAssets2022-11-012023-10-3101917783ns5:OwnedAssets2021-11-012022-10-310191778312022-11-012023-10-310191778312021-11-012022-10-3101917783ns10:OrdinaryShareClass12021-11-012022-10-3101917783ns5:LandBuildings2022-10-3101917783ns5:LeaseholdImprovements2022-10-3101917783ns5:PlantMachinery2022-10-3101917783ns5:MotorVehicles2022-10-3101917783ns5:LandBuildings2022-11-012023-10-3101917783ns5:LandBuildings2023-10-3101917783ns5:LeaseholdImprovements2023-10-3101917783ns5:PlantMachinery2023-10-3101917783ns5:MotorVehicles2023-10-3101917783ns5:LandBuildings2022-10-3101917783ns5:LeaseholdImprovements2022-10-3101917783ns5:PlantMachinery2022-10-3101917783ns5:MotorVehicles2022-10-3101917783ns5:CurrentFinancialInstrumentsns5:WithinOneYear2023-10-3101917783ns5:CurrentFinancialInstrumentsns5:WithinOneYear2022-10-3101917783ns5:Non-currentFinancialInstrumentsns5:BetweenOneTwoYears2023-10-3101917783ns5:Non-currentFinancialInstrumentsns5:BetweenOneTwoYears2022-10-3101917783ns5:WithinOneYear2023-10-3101917783ns5:WithinOneYear2022-10-3101917783ns5:BetweenOneFiveYears2023-10-3101917783ns5:BetweenOneFiveYears2022-10-3101917783ns5:AllPeriods2023-10-3101917783ns5:AllPeriods2022-10-3101917783ns5:Secured2023-10-3101917783ns5:Secured2022-10-3101917783ns5:DeferredTaxation2022-10-3101917783ns5:DeferredTaxation2022-11-012023-10-3101917783ns5:DeferredTaxation2023-10-3101917783ns10:OrdinaryShareClass12023-10-31

REGISTERED NUMBER: 01917783 (England and Wales)
















STRATEGIC REPORT, REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST OCTOBER 2023

FOR


H & M FREIGHT SERVICES LIMITED


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)








CONTENTS OF THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST OCTOBER 2023





Page




Company Information  

1




Strategic Report  

2




Report of the Director  

4




Report of the Independent Auditors  

6




Income Statement  

9




Other Comprehensive Income  

10




Statement of Financial Position  

11




Statement of Changes in Equity  

12




Statement of Cash Flows  

13




Notes to the Statement of Cash Flows  

14




Notes to the Financial Statements

15





H & M FREIGHT SERVICES LIMITED



COMPANY INFORMATION

FOR THE YEAR ENDED 31ST OCTOBER 2023









DIRECTOR:

H Malik





REGISTERED OFFICE:

H & M House


Unit 1 Pier Road


North Feltham Trading Estate


FELTHAM


Middlesex


TW14 OTW





REGISTERED NUMBER:

01917783 (England and Wales)





AUDITORS:

Orcom Civvals Audit Limited


Chartered Accountants and Statutory Auditors


50 Seymour Street


London


W1H 7JG





BANKERS:

National Westminster Bank Plc


Hounslow Branch


275/277 High Street


Hounslow


Middlesex


TW13 1ZA


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



STRATEGIC REPORT

FOR THE YEAR ENDED 31ST OCTOBER 2023


The director presents his strategic report for the year ended 31st October 2023.


REVIEW OF BUSINESS

The results for the period and financial position of the company are as shown in the annexed financial statements.


The total turnover of the company during the year amounted to £9,734,348 (2022: £10,617,363). The company's losses amounted to £174,920 (2022 profits of  £685,604). The management is continuing to review its costs and is also looking at ways to increase the company's customer base. The management anticipates that these steps will help in the improvement of the company's performance in the coming year.


Shareholders' funds at the year end were £3,936,749 (2022: £4,205,412).


PRINCIPAL RISKS AND UNCERTAINTIES


Key performance indicators:


The director regularly reviews their exposure to key customers. It is the company's intention to further broaden the company's range of customers and its market share both in the UK and abroad. The company therefore continues to invest in developing its service range to meet the market requirements.


The director manages the company on key indicators including growth and profitability.  The director believes that the company can manage its business risks successfully despite the current uncertain economic outlook.


The director continually monitors the company's liquidity in order to ensure that sufficient funds are available for its ongoing operations and future growth.  The company has a good record on bad debts and the director does not consider that it carries any material credit risks.


The company's internal control systems sufficiently ensure that financial and management controls apply at all levels of the business. The use of annual budgets and forecasts are operated and investigations are made into areas of adverse expenditure with appropriate management action to correct.


Financial risk management objectives and policies:


The company's principal financial instruments comprise bank balances, bank overdrafts, trade creditors, trade debtors and loans.  The main purpose of these instruments is to raise funds for the company's operations.


Due to the nature of financial instruments used by the company, there is no exposure to price risk.  The company's approach to managing other risks applicable to financial instruments concerned is shown below.


In respect of bank balances the liquidity risk is managed by maintaining a balance between the continuity of funding and flexibility through the use of overdrafts at floating rates of interest.  The company makes use of money market facilities where funds are available. The company manages the liquidity risk by ensuring there are sufficient funds to meet these payments.


Trade debtors are managed in respect of credit and cash flow risk by policies concerning the credit offered to customers and the regular monitoring of amounts outstanding for both time and credit limits.


Trade creditors liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.



H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



STRATEGIC REPORT

FOR THE YEAR ENDED 31ST OCTOBER 2023


FUTURE DEVELOPMENTS

The company continues to operate in a very competitive market place. The director is aware of the challenging market conditions facing all companies in the UK and is committed to implement new initiatives that will focus on improving profit growth in existing channels whilst broadening its range of customers and its market share both in the UK and abroad. The company therefore continues to invest in developing its service range to meet the market requirements.


ON BEHALF OF THE BOARD:






H Malik - Director



31st July 2024


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



REPORT OF THE DIRECTOR

FOR THE YEAR ENDED 31ST OCTOBER 2023


The director presents his report with the financial statements of the company for the year ended 31st October 2023.


PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of freight clearing agents.

DIVIDENDS

No interim dividend was paid during the year.  The director recommends a final dividend of £1,219.50 per share.


The total distribution of dividends for the year ended 31st October 2023 will be £ 100,000 .


DIRECTOR

H Malik held office during the whole of the period from 1st November 2022 to the date of this report.


FINANCIAL INSTRUMENTS

The company employs only basic financial instruments including cash, debtors and creditors.


POLITICAL DONATIONS AND EXPENDITURE

During the reporting period charitable donations of £1,252 (2022 2,570) were made.


DIRECTOR'S INSURANCE AND INDEMNITIES

The directors have the benefit of the indemnity provisions contained in the company's Articles of Association ('Articles'), and the company has maintained throughout the period directors' and officers' liability insurance for the benefit of the company, the directors and its officers. The company has entered into qualifying third party indemnity arrangements for the benefit of all its directors in a form and scope which comply with the requirements of the Companies Act 2006 and which were in force throughout the period and remain in force.


STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he 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.


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



REPORT OF THE DIRECTOR

FOR THE YEAR ENDED 31ST OCTOBER 2023



AUDITORS

The auditors,  Orcom Civvals Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.


ON BEHALF OF THE BOARD:






H Malik - Director



31st July 2024


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF

H & M FREIGHT SERVICES LIMITED


Opinion

We have audited the financial statements of H & M Freight Services Limited (the 'company') for the year ended 31st October 2023 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 October 2023 and of its loss 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 director's 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 director with respect to going concern are described in the relevant sections of this report.


Other information

The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, 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 Director 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 Director have been prepared in accordance with applicable legal requirements.


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF

H & M FREIGHT SERVICES 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 Director.


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 director's remuneration specified by law are not made; or

-

we have not received all the information and explanations we require for our audit.


Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF

H & M FREIGHT SERVICES 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:


Based on our understanding of the company and industry, we identified that the principal risks of non-compliance with laws and regulations related to UK taxation, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the financial statements such as the Companies Act 2006. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to management override of controls. Audit procedures performed by the engagement team included:


- Identify and assess the risk of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion;

- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the company's internal control;

- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and the related disclosures made by the directors;

- Enquiry of management and those charged with governance around actual and potential litigation and claims;

- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;

- Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness and testing accounting estimates (because of the risk of management bias);


There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.


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.


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.





Mark Tullett (Senior Statutory Auditor)

for and on behalf of Orcom Civvals Audit Limited

Chartered Accountants and Statutory Auditors

50 Seymour Street

London

W1H 7JG


31st July 2024


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



INCOME STATEMENT

FOR THE YEAR ENDED 31ST OCTOBER 2023



2023


2022


Notes

£   

£   



TURNOVER

9,734,349


10,617,363




Cost of sales

(7,740,303

)

(8,105,861

)


GROSS PROFIT

1,994,046


2,511,502




Administrative expenses

(2,234,138

)

(1,863,153

)


(240,092

)

648,349




Other operating income

37,680


37,680



OPERATING (LOSS)/PROFIT

5

(202,412

)

686,029




Interest receivable and similar income

31,595


2,897



(170,817

)

688,926




Interest payable and similar expenses

6

(4,103

)

(3,322

)


(LOSS)/PROFIT BEFORE TAXATION

(174,920

)

685,604




Tax on (loss)/profit

7

6,257


(128,474

)


(LOSS)/PROFIT FOR THE FINANCIAL

YEAR

(168,663

)

557,130




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



OTHER COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31ST OCTOBER 2023



2023


2022


Notes

£   

£   



(LOSS)/PROFIT FOR THE YEAR

(168,663

)

557,130





OTHER COMPREHENSIVE INCOME

-


-



TOTAL COMPREHENSIVE INCOME

FOR THE YEAR

(168,663

)

557,130




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



STATEMENT OF FINANCIAL POSITION

31ST OCTOBER 2023



2023


2022


Notes

£   

£   


FIXED ASSETS

Tangible assets

9

1,138,126


1,075,843




CURRENT ASSETS

Debtors

10

1,633,669


1,698,697



Cash at bank and in hand

2,917,093


3,346,515



4,550,762


5,045,212



CREDITORS

Amounts falling due within one year

11

(1,722,233

)

(1,808,137

)


NET CURRENT ASSETS

2,828,529


3,237,075



TOTAL ASSETS LESS CURRENT

LIABILITIES

3,966,655


4,312,918




CREDITORS

Amounts falling due after more than one

year

12

-


(71,343

)



PROVISIONS FOR LIABILITIES

17

(29,906

)

(36,163

)


NET ASSETS

3,936,749


4,205,412




CAPITAL AND RESERVES

Called up share capital

18

82


82



Capital redemption reserve

19

18


18



Retained earnings

19

3,936,649


4,205,312



SHAREHOLDERS' FUNDS

3,936,749


4,205,412




The financial statements were approved by the director and authorised for issue on 31st July 2024 and were signed by:






H Malik - Director



H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31ST OCTOBER 2023



Called up


Capital



share


Retained


redemption


Total


capital


earnings


reserve


equity

£   

£   

£   

£   


Balance at 1st November 2021

82


3,648,182


18


3,648,282




Changes in equity

Total comprehensive income

-


557,130


-


557,130



Balance at 31st October 2022

82


4,205,312


18


4,205,412




Changes in equity

Dividends

-


(100,000

)

-


(100,000

)


Total comprehensive income

-


(168,663

)

-


(168,663

)


Balance at 31st October 2023

82


3,936,649


18


3,936,749




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31ST OCTOBER 2023



2023


2022


Notes

£   

£   


Cash flows from operating activities

Cash generated from operations

1

18,773


952,994



Interest paid

(4,103

)

(3,322

)


Tax paid

(113,950

)

(172,558

)


Net cash from operating activities

(99,280

)

777,114




Cash flows from investing activities

Purchase of tangible fixed assets

(115,588

)

(81,438

)


Interest received

31,595


2,897



Net cash from investing activities

(83,993

)

(78,541

)



Cash flows from financing activities

Loan repayments in year

(136,133

)

(64,790

)


Amount introduced by directors

-


15,654



Amount withdrawn by directors

(10,016

)

-



Equity dividends paid

(100,000

)

-



Net cash from financing activities

(246,149

)

(49,136

)



(Decrease)/increase in cash and cash equivalents

(429,422

)

649,437



Cash and cash equivalents at beginning of

year

2

3,346,515


2,697,078




Cash and cash equivalents at end of year

2

2,917,093


3,346,515




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31ST OCTOBER 2023


1.

RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM

OPERATIONS


2023


2022

£   

£   



(Loss)/profit before taxation

(174,920

)

685,604




Depreciation charges

53,305


42,697




Finance costs

4,103


3,322




Finance income

(31,595

)

(2,897

)


(149,107

)

728,726




Decrease in trade and other debtors

65,028


267,208




Increase/(decrease) in trade and other creditors

102,852


(42,940

)



Cash generated from operations

18,773


952,994




2.

CASH AND CASH EQUIVALENTS



The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:



Year ended 31st October 2023


31.10.23


1.11.22

£   

£   



Cash and cash equivalents

2,917,093


3,346,515




Year ended 31st October 2022


31.10.22


1.11.21

£   

£   



Cash and cash equivalents

3,346,515


2,697,078





3.

ANALYSIS OF CHANGES IN NET FUNDS



At 1.11.22

Cash flow

At 31.10.23

£   

£   

£   



Net cash



Cash at bank and in hand

3,346,515


(429,422

)

2,917,093



3,346,515


(429,422

)

2,917,093




Debt


Debts falling due within 1 year

(64,790

)

64,790


-




Debts falling due after 1 year

(71,343

)

71,343


-



(136,133

)

136,133


-




Total

3,210,382


(293,289

)

2,917,093




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST OCTOBER 2023


1.

STATUTORY INFORMATION



H & M Freight Services 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 statement is in Sterling.


2.

STATEMENT OF COMPLIANCE



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.  


3.

ACCOUNTING POLICIES



Basis of preparing the financial statements


These financial statements have been prepared on a going concern basis, under the historical cost convention, as modified by the recognition of certain financial assets and liabilities measured at fair value.



Significant judgements and estimates

The preparation of financial statements in conformity with FRS 102 requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The notes to the financial statements set out areas involving a higher degree of judgement, or areas where assumptions are significant to the reporting entity and its financial report such as:
- useful economic lives of tangible assets
- fair value of assets and liabilities
- recoverability of tax receivables, deferred tax assets and measurement of current and deferred tax liabilities can require significant judgement, particularly where the recoverability of such tax balances relies on the estimation of future taxable profits and management's determination of the likelihood that uncertain tax positions will be accepted by the relevant taxation authority

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including reasonable expectations of future events. Management believes that the estimates used in preparing these financial statements are reasonable. Actual results in the future may differ from those reported and it is therefore reasonably possible, on the basis of existing knowledge, that outcomes within the next financial year that are different from management's assumptions and estimates could require an adjustment to the carrying amounts of the reported assets and liabilities in future reporting periods.


Revenue recognition


Revenue is measured at the fair value of the consideration received or receivable and represents the amount receivable for services rendered, net of returns and discounts allowed by the company and value added taxes.



Turnover represents the amount derived from the provision of services falling within the company's activities after deduction of value added tax.



The company recognises revenue when:


i) the company has performed its obligations, wholly or in part, in a service agreement;


ii) the amount of revenue can be measured reliably;


iii) it is probable that future economic benefits will flow to the entity.



Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that it is probable the expenses recognised will be recovered.


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


3.

ACCOUNTING POLICIES - continued



Tangible fixed assets


Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.  


Freehold property

-

2% on cost


Improvements to property

-

2% on cost


Plant and machinery

-

20% on reducing balance


Motor vehicles

-

25% on reducing balance



Financial instruments

The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

i) Financial assets

Basic financial assets, including trade and other receivables, cash and bank balances are initially recognised at transaction price, 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.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled; or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party; or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

ii) Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans, loans 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 receipts discounted at a market rate of interest.

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

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


3.

ACCOUNTING POLICIES - continued


Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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 statement of financial position date.


Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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

Monetary assets and liabilities in foreign currencies are translated into Sterling at the rate of exchange at balance sheet date. Transactions in foreign currencies are translated into Sterling at the average rate of exchange for the year. Exchange differences are taken into account in arriving at the operating result.


Operating lease


Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the profit and loss account as incurred.



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.


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.



Creditors


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



Cash and cash equivalents


Cash and cash equivalents includes cash in hand, deposits held at call with banks. Bank overdrafts, when applicable, are shown within borrowings in current liabilities.


4.

EMPLOYEES AND DIRECTORS


2023


2022

£   

£   



Wages and salaries

1,169,432


1,134,317




Social security costs

117,879


108,170




Other pension costs

18,926


19,110



1,306,237


1,261,597




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


4.

EMPLOYEES AND DIRECTORS - continued



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


2023


2022



Office and administration

4


4




Others

34


34



38


38





2023


2022

£   

£   



Director's remuneration

50,200


45,200




Director's pension contributions to money purchase schemes  

1,151


1,151




5.

OPERATING (LOSS)/PROFIT



The operating loss (2022 - operating profit) is stated after charging/(crediting):



2023


2022

£   

£   



Hire of plant and machinery

34,841


27,042




Depreciation - owned assets

53,305


42,697




Auditors' remuneration

9,000


9,000




Foreign exchange differences

1,627


(4,370

)



6.

INTEREST PAYABLE AND SIMILAR EXPENSES



2023


2022

£   

£   



Bank loan interest

4,103


3,193




Other interest

-


129



4,103


3,322




7.

TAXATION



Analysis of the tax (credit)/charge


The tax (credit)/charge on the loss for the year was as follows:


2023


2022

£   

£   



Current tax:


UK corporation tax

-


113,950





Deferred tax

(6,257

)

14,524




Tax on (loss)/profit

(6,257

)

128,474




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


7.

TAXATION - continued



Reconciliation of total tax (credit)/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

£   

£   



(Loss)/profit before tax

(174,920

)

685,604




(Loss)/profit multiplied by the standard rate of corporation tax in the UK

of 19% (2022 - 19%)  

(33,235

)

130,265





Effects of:


Capital allowances in excess of depreciation

-


(8,605

)



Utilisation of tax losses

-


(7,710

)



Trading losses carried forward  

33,235


-




Deferred tax  

(6,257

)

14,524




Total tax (credit)/charge

(6,257

)

128,474




8.

DIVIDENDS


2023


2022

£   

£   



Ordinary shares of £1 each


Final

100,000


-




9.

TANGIBLE FIXED ASSETS


Improvements



Freehold


to


Plant and


Motor



property


property


machinery


vehicles


Totals

£   

£   

£   

£   

£   



COST


At 1st November 2022

1,199,272


168,298


266,450


71,595


1,705,615




Additions

-


106,666


8,922


-


115,588




At 31st October 2023

1,199,272


274,964


275,372


71,595


1,821,203




DEPRECIATION


At 1st November 2022

363,053


73,325


186,483


6,911


629,772




Charge for year

15,990


3,366


17,778


16,171


53,305




At 31st October 2023

379,043


76,691


204,261


23,082


683,077




NET BOOK VALUE


At 31st October 2023

820,229


198,273


71,111


48,513


1,138,126




At 31st October 2022

836,219


94,973


79,967


64,684


1,075,843





Included in cost of land and buildings is freehold land of £ 399,757 (2022 - £ 399,757 ) which is not depreciated.


H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


10.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR


2023

2022


£   

£   



Trade debtors

1,458,434


1,528,298




Other debtors and prepayments

80,625


81,896




Other taxation

94,610


88,503



1,633,669


1,698,697




11.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR


2023

2022


£   

£   



Bank loans and overdrafts (see note 13)

-


64,790




Trade creditors

1,568,840


1,478,261




Tax

-


113,950




Social security and other taxes

27,164


27,234




Other creditors and accruals

113,532


101,189




Directors' current accounts

12,697


22,713



1,722,233


1,808,137




12.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE

YEAR


2023

2022


£   

£   



Bank loans (see note 13)

-


71,343




13.

LOANS



An analysis of the maturity of loans is given below:


2023

2022


£   

£   



Amounts falling due within one year or on demand:


Bank loans

-


64,790





Amounts falling due between one and two years:


Bank loans

-


71,343




14.

LEASING AGREEMENTS



Minimum lease payments under non-cancellable operating leases fall due as follows:

2023

2022


£   

£   



Within one year

22,933


22,933




Between one and five years

91,732


91,731



114,665


114,664




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


15.

SECURED DEBTS



The following secured debts are included within creditors:


2023

2022


£   

£   



Bank loans

-


136,133





National Westminster Bank PLC has a first legal charge over the company's freehold property and an unscheduled mortgage debenture incorporating a fixed and floating charge over all current and future assets of the company.


16.

FINANCIAL INSTRUMENTS



The company has the following financial instruments:




Note


2023



2022





£



£




Financial assets at fair value through profit or loss



-



-





Financial assets that are debt instruments measured at

amortised





- Trade receivables


10


1,458,434



1,528,298




- Other debtors


10


80,625



81,896





1,539,059



1,610,194






Financial liabilities measured at amortised cost




- Trade creditors


11


1,568,840



1,478,261




- Bank loans and overdrafts


11, 12


-



136,133




- Other creditors


11


113,532



101,189





1,682,372



1,715,583





17.

PROVISIONS FOR LIABILITIES

2023

2022


£   

£   



Deferred taxation

29,906


36,163





Deferred



tax


£   



Balance at 1st November 2022

36,163




Provided during year

(6,257

)



Balance at 31st October 2023

29,906




H & M FREIGHT SERVICES LIMITED (REGISTERED NUMBER: 01917783)



NOTES TO THE FINANCIAL STATEMENTS - continued

FOR THE YEAR ENDED 31ST OCTOBER 2023


18.

CALLED UP SHARE CAPITAL



Allotted, issued and fully paid:


Number:

Class:

Nominal

2023

2022



value:

£   

£   



82

Ordinary

£1

82


82




Ordinary shares have full rights in the company with respect to voting and dividend.

19.

RESERVES


Capital



Retained


redemption



earnings


reserve


Totals

£   

£   

£   




At 1st November 2022

4,205,312


18


4,205,330




Deficit for the year

(168,663

)

(168,663

)



Dividends

(100,000

)

(100,000

)



At 31st October 2023

3,936,649


18


3,936,667




20.

PENSION COMMITMENTS


20232022
Defined contribution schemes££

Charge to profit or loss in respect of defined contribution schemes18,92619,110

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

21.

CAPITAL COMMITMENTS

2023

2022


£   

£   



Contracted but not provided for in the


financial statements

651,000


-




22.

DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES


At the year end the company owed H Malik £12,697 (2022: £22,713).

23.

RELATED PARTY DISCLOSURES



During the year, total dividends of £51,000  were paid to the director .



During the year the company received rent of £9,000 (2022: £9,000) from H & M Express Limited, a company connected to the director.


24.

ULTIMATE CONTROLLING PARTY



The ultimate controlling parties of the company are H Malik the director and Mrs N Malik his wife, who own 51% and 49% of the issued share capital respectively.