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Registered number: 04604312
Impact Services (Northern) Limited
Strategic Report, Directors' Report and
Financial Statements
For The Year Ended 30 November 2023
Financial Statements
Contents
Page
Strategic Report 1
Directors' Report 2—3
Independent Auditor's Report 4—6
Income Statement 7
Statement of Financial Position 8
Statement of Changes in Equity 9
Statement of Cash Flows 10
Notes to the Statement of Cash Flows 11
Notes to the Financial Statements 12—19
Page 1
Strategic Report
The directors present their strategic report for the year ended 30 November 2023.
Review of the Business
The principal activity of the company during the last fiscal year continues to be that of the provision of high-quality Security, Cleaning and Electrical services. We have a varied customers base which has grown through the year.
Sales Growth
The business has grown organically through the year with service delivery and customers confidence. We have won numerous extensions onto present contracts due to good working and our will to support or customers.
Financial
Financially the business has benefited from some large contracts requiring large numbers of staff at an increased rate. We have managed these sites using smarter working and minimal effect on the overheads outside of direct delivery costs.
Overview
The company is a stable organisation with a clear structure and business plan. Management work closely to the plan and follow key targets set by the directors in seeking to realise all corporate objectives. The company is exposed to the usual credit related losses in event of non-payment by customers, but the risks have been mitigated through insurance and credit checks to ensure that such events will not endanger the company's financial stability.
We are confident that the company's financial position is strong and that the company. is well placed to continue to offer a full range of products to our well-established customer. base. We are evolving into a dual services provider which is helping the cross selling.
The company has invested in innovative technology to work with smarter objective. Also to aid staff safety during the last year which has allowed us to offer new services that helped our customers operate in a safe & secure manner.
On behalf of the board
Mr S H McBride
Director
21 August 2024
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Page 2
Directors' Report
The directors present their report and the financial statements for the year ended 30 November 2023.
Principal Activity
The principal activity of the company during the year was that of he provision of high-quality Security, Cleaning and Electrical services.
Dividends
Particulars of recommended dividends are detailed in note 22 to the financial statements.
Directors
The directors who held office during the year were as follows:
Mr S H McBride
Mr A J Platt
Statement of Directors' Responsibilities
The directors are responsible for preparing the Strategic Report, the Directors' Report 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, comprising FRS102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', 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 the financial statements the directors are required to:
  • select suitable accounting policies and then apply them consistently;
  • make judgments and accounting estimates that are reasonable and prudent;
  • state whether applicable United Kingdom Accounting Standards, comprising FRS102, have been followed subject to any material departures disclosed and explained in the financial statements;
  • 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.
The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Statement of Disclosure of Information to Auditors
In the case of each director in office at the date the Directors' Report is approved:
  • so far as the director is aware, there is no relevant audit information of which the company's auditors are unaware; and
  • they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.
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Independent Auditors
The auditors, ERC Accountants & Business Advisers Limited, have indicated their willingness to continue in office and a resolution concerning their re-appointment will be proposed at the Annual General Meeting.
On behalf of the board
Mr S H McBride
Director
21 August 2024
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Independent Auditor's Report
Opinion
We have audited the financial statements of Impact Services (Northern) Limited for the year ended 30 November 2023 which comprise the Income Statement, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and the related notes, 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 (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
In our opinion the financial statements:
  • give a true and fair view of the state of the company's affairs as at 30 November 2023 and of its profit/(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 Auditor's 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 entity's ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other Information
The other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
  • the Strategic Report and Directors' Report 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 Directors' Report.
We have nothing to report in respect of the following matters in relation to which 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 or 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.
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Responsibilities of Directors
As explained more fully in the Directors' Responsibilities Statement set out on page 2—3, 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 is 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.
Auditor's 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 an auditor's report 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: 
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
  • We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our experience through discussion with the Officers and other management (as required by auditing standards).
  • We had regard to laws and regulations in areas that directly affect the financial statements including financial reporting (including related trade union legislation) and taxation legislation. 
  • We considered that extent of compliance with those laws and regulations as part of our procedures on the related financial statement items.
  • With the exception of any known or possible non-compliance, and as required by auditing standards, our work in respect of these was limited to enquiry of the Officers. 
  • We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. 
  • We addressed the risk of fraud through management override of controls, by testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: 
  • Identify and assess the risks 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. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. 
  • 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 purpose of expressing an opinion on the effectiveness of the internal control. 
  • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. 
  • Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. 
  • Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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 that we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
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Richard Brown (Senior Statutory Auditor)
for and on behalf of ERC Accountants & Business Advisers Limited , Statutory Auditor
21 August 2024
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Income Statement
2023 2022
Notes £ £
TURNOVER 3 16,997,715 15,414,363
Cost of sales (14,719,186 ) (13,407,371 )
GROSS PROFIT 2,278,529 2,006,992
Distribution costs (134,102 ) (169,451 )
Administrative expenses (1,493,479 ) (1,305,759 )
OPERATING PROFIT 4 650,948 531,782
Loss on disposal of fixed assets (592 ) (625 )
Other interest receivable and similar income 9 471 -
Interest payable and similar charges 10 (102,311 ) (51,330 )
PROFIT BEFORE TAXATION 548,516 479,827
Tax on Profit 11 (127,406 ) (95,824 )
PROFIT AFTER TAXATION BEING PROFIT FOR THE FINANCIAL YEAR 421,110 384,003
The notes on pages 11 to 19 form part of these financial statements.
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Statement of Financial Position
Registered number: 04604312
2023 2022
Notes £ £ £ £
FIXED ASSETS
Tangible Assets 12 71,275 81,903
71,275 81,903
CURRENT ASSETS
Stocks 13 65,160 33,630
Debtors 14 3,953,481 4,021,052
Cash at bank and in hand 74,565 189,652
4,093,206 4,244,334
Creditors: Amounts Falling Due Within One Year 15 (4,079,888 ) (3,835,943 )
NET CURRENT ASSETS (LIABILITIES) 13,318 408,391
TOTAL ASSETS LESS CURRENT LIABILITIES 84,593 490,294
Creditors: Amounts Falling Due After More Than One Year 16 (60,000 ) (100,000 )
PROVISIONS FOR LIABILITIES
Deferred Taxation 18 (1,081 ) (4,121 )
NET ASSETS 23,512 386,173
CAPITAL AND RESERVES
Called up share capital 20 52 100
Capital redemption reserve 48 -
Income Statement 23,412 386,073
SHAREHOLDERS' FUNDS 23,512 386,173
On behalf of the board
Mr S H McBride
Director
21 August 2024
The notes on pages 11 to 19 form part of these financial statements.
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Statement of Changes in Equity
Share Capital Capital Redemption Income Statement Total
£ £ £ £
As at 1 December 2021 100 - 312,570 312,670
Profit for the year and total comprehensive income - - 384,003 384,003
Dividends paid - - (310,500) (310,500)
As at 30 November 2022 and 1 December 2022 100 - 386,073 386,173
Profit for the year and total comprehensive income - - 421,110 421,110
Dividends paid - - (172,000) (172,000)
Purchase of own shares (48 ) 48 (611,771 ) (611,771)
As at 30 November 2023 52 48 23,412 23,512
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Statement of Cash Flows
2023 2022
Notes £ £
Cash flows from operating activities
Net cash generated from operations 1 1,017,262 275,201
Interest paid (102,311 ) (51,331 )
Tax paid (123,506 ) -
Net cash generated from operating activities 791,445 223,870
Cash flows from investing activities
Purchase of tangible assets (13,723 ) (66,119 )
Proceeds from disposal of tangible assets - 5,292
Interest received 471 -
Net cash used in investing activities (13,252 ) (60,827 )
Cash flows from financing activities
Purchase/redemption of own shares (611,771 ) -
Equity dividends paid (172,000 ) (310,500 )
Repayment of bank borrowings (40,000 ) (40,000 )
Amount withdrawn by directors (69,509) (36)
Net cash used in financing activities (893,280 ) (350,536 )
Decrease in cash and cash equivalents (115,087 ) (187,493 )
Cash and cash equivalents at beginning of year 2 189,652 377,145
Cash and cash equivalents at end of year 2 74,565 189,652
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Notes to the Statement of Cash Flows
1. Reconciliation of profit for the financial year to cash generated from operations
2023 2022
£ £
Profit for the financial year 421,110 384,003
Adjustments for:
Tax on profit 127,406 95,824
Interest expense 102,311 51,330
Interest income (471 ) -
Depreciation of tangible assets 23,758 27,301
Loss on disposal of tangible assets 592 625
Movements in working capital:
Increase in stocks (31,530 ) (8,850 )
Decrease/(increase) in trade and other debtors 136,891 (317,179 )
Increase in trade and other creditors 237,195 42,147
Net cash generated from operations 1,017,262 275,201
2. Cash and cash equivalents
Cash and cash equivalents, as stated in the Statement of Cash Flows, relates to the following items in the Balance Sheet:
2023 2022
£ £
Cash at bank and in hand 74,565 189,652
3. Analysis of changes in net funds/(debt)
As at 1 December 2022 Cash flows As at 30 November 2023
£ £ £
Cash at bank and in hand 189,652 (115,087) 74,565
Debts falling due within one year (40,000 ) - (40,000 )
Debts falling due after more than one year (100,000) 40,000 (60,000)
49,652 (75,087) (25,435)
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Notes to the Financial Statements
1. General Information
Impact Services (Northern) Limited is a private company, limited by shares, incorporated in England & Wales, registered number 04604312 . The registered office is Hanover Buildings, 11-13 Hanover Street, Liverpool, Merseyside, L1 3DN.
2. Accounting Policies
2.1. Basis of Preparation of Financial Statements
The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland'' and the Companies Act 2006.
2.2. Turnover
The turnover shown in the profit and loss account represents amounts invoiced during the year, exclusive of Value Added Tax, together with service contract revenue which is recognised as contractual activity progresses, and is derived from the ordinary activities of the company which is that of the provision of security services.
Revenue is recognised on the completion of services on an accruals basis.
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.
2.3. Tangible Fixed Assets and Depreciation
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Plant & Machinery 25% Reducing Balance
Motor Vehicles 25% Reducing Balance
Fixtures & Fittings 25% Reducing Balance
2.4. Stocks and Work in Progress
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.
Work in progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.
At the end of each reporting period stocks are assessed for impairment. If an item of stock is impaired, the identified stock is reduced to its selling price less costs to complete and sell and an impairment charge is recognised in the profit and loss account. Where a reversal of the impairment is required the impairment charge is reversed, up to the original impairment loss, and is recognised as a credit in the profit and loss account.
2.5. Cash and Cash Equivalents
Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.
2.6. Financial Instruments
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 entity after deducting all of its financial liabilities.
Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability.
Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.
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2.7. Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and 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 end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period 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 assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.
2.8. Provisions and Contingencies
Provisions
Provisions are recognised when the company has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount of the obligation can be estimated reliably.
Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations may be small.
Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as a finance cost.
Contingencies
Contingent liabilities are not recognised. Contingent liabilities arise as a result of past events when (i) it is not probable that there will be an outflow of resources or that the amount cannot be reliably measured at the reporting date or (ii) when the existence will be confirmed by the occurrence or non-occurrence of uncertain future events not wholly within the company’s control. Contingent liabilities are disclosed in the financial statements unless the probability of an outflow of resources is remote.
Contingent assets are not recognised. Contingent assets are disclosed in the financial statements when an inflow of economic benefits is probable.
2.9. Pensions
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.
When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.
2.10. Government Grant
Government grants are recognised in the income statement in an appropriate manner that matches them with the expenditure towards which they are intended to contribute.
Grants for immediate financial support or to cover costs already incurred are recognised immediately in the income statement. Grants towards general activities of the entity over a specific period are recognised in the income statement over that period.
Grants towards fixed assets are recognised over the expected useful lives of the related assets and are treated as deferred income and released to the income statement over the useful life of the asset concerned.
All grants in the income statement are recognised when all conditions for receipt have been complied with.
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3. Turnover
Analysis of turnover by class of business is as follows:
2023 2022
£ £
Managment charges 29,590 25,900
Rendering of services 16,968,125 15,388,463
16,997,715 15,414,363
Analysis of turnover by geographical market is as follows:
2023 2022
£ £
United Kingdom 16,997,715 15,414,363
16,997,715 15,414,363
4. Operating Profit
The operating profit is stated after charging:
2023 2022
£ £
Bad debts - 28,133
Depreciation of tangible fixed assets 23,758 27,301
5. Auditor's Remuneration
Remuneration received by the company's auditors and their associates during the year was as follows:
2023 2022
£ £
Audit Services
Audit of the company's financial statements 12,550 12,000
6. Staff Costs
Staff costs, including directors' remuneration, were as follows:
2023 2022
£ £
Wages and salaries 10,085,915 8,292,051
Other pension costs 155,810 144,718
10,241,725 8,436,769
7. Average Number of Employees
Average number of employees, including directors, during the year was as follows:
2023 2022
Office and administration 363 318
363 318
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8. Directors' remuneration
2023 2022
£ £
Emoluments 24,000 22,176
24,000 22,176
9. Interest Receivable and Similar Income
2023 2022
£ £
Bank interest receivable 471 -
471 -
10. Interest Payable and Similar Charges
2023 2022
£ £
Bank loans and overdrafts 3,006 5,398
Factoring charges 90,591 45,441
Other finance charges 8,714 491
102,311 51,330
11. Tax on Profit
The tax charge on the profit for the year was as follows:
Tax Rate 2023 2022
2023 2022 £ £
Current tax
UK Corporation Tax 23.0% 19.0% 130,447 96,726
Prior period adjustment (1,427 ) -
129,020 96,726
Deferred Tax
Deferred taxation (1,614 ) (902 )
Total tax charge for the period 127,406 95,824
The actual charge for the year can be reconciled to the expected charge for the year based on the profit and the standard rate of corporation tax as follows:
2023 2022
£ £
Profit before tax 548,516 479,827
Tax on profit at 23% (UK standard rate) 125,529 91,167
Goodwill/depreciation not allowed for tax 5,437 -
Expenses not deductible for tax purposes 6,457 367
Capital allowances (4,315 ) 1,800
...CONTINUED
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Short term timing differences (3,392 ) 3,392
Prior period adjustment (1,427 ) -
Difference in tax rates (883 ) (902 )
Total tax charge for the period 127,406 95,824
12. Tangible Assets
Plant & Machinery Motor Vehicles Fixtures & Fittings Total
£ £ £ £
Cost
As at 1 December 2022 39,103 142,467 85,871 267,441
Additions - - 13,723 13,723
Disposals - (5,913 ) - (5,913 )
As at 30 November 2023 39,103 136,554 99,594 275,251
Depreciation
As at 1 December 2022 28,654 77,951 78,933 185,538
Provided during the period 2,612 15,982 5,165 23,759
Disposals - (5,321 ) - (5,321 )
As at 30 November 2023 31,266 88,612 84,098 203,976
Net Book Value
As at 30 November 2023 7,837 47,942 15,496 71,275
As at 1 December 2022 10,449 64,516 6,938 81,903
13. Stocks
2023 2022
£ £
Stock 65,160 33,630
14. Debtors
2023 2022
£ £
Due within one year
Trade debtors 3,858,665 3,995,918
Other debtors 94,816 25,134
3,953,481 4,021,052
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15. Creditors: Amounts Falling Due Within One Year
2023 2022
£ £
Trade creditors 1,688,439 1,558,858
Bank loans and overdrafts 40,000 40,000
Other creditors 1,294,297 1,311,612
Corporation tax 230,068 223,129
Taxation and social security 805,654 680,928
Accruals and deferred income 21,430 21,416
4,079,888 3,835,943
The bank loans are secured by way of a fixed and floating charge dated 02 November 2004, over the undertaking and all property and assets present and future including goodwill bookdebts uncalled capital buildings fixtures fixed plant and machinery
16. Creditors: Amounts Falling Due After More Than One Year
2023 2022
£ £
Bank loans 60,000 100,000
60,000 100,000
The bank loans are secured by way of a fixed and floating charge dated 02 November 2004, over the undertaking and all property and assets present and future including goodwill bookdebts uncalled capital buildings fixtures fixed plant and machinery. 
The bank loan is secured by way of a fixed and floating charge dated 20 November 2006 over all assets of the company.
17. Loans
An analysis of the maturity of loans is given below:
2023 2022
£ £
Amounts falling due within one year or on demand:
Bank loans 40,000 40,000
40,000 40,000
2023 2022
£ £
Amounts falling due between one and five years:
Bank loans 60,000 100,000
60,000 100,000
18. Deferred Taxation
The provision for deferred tax is made up as follows:
2023 2022
£ £
Other timing differences 1,081 4,121
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19. Provisions for Liabilities
Deferred Tax Total
£ £
As at 1 December 2022 4,121 4,121
Additions (1,613 ) (1,613)
Reversals (1,427 ) (1,427)
Balance at 30 November 2023 1,081 1,081
20. Share Capital
2023 2022
Allotted, called up and fully paid £ £
52 Ordinary Shares of £ 1.000 each 52 100
Shares disposed during the period: £
48 Ordinary Shares of £ 1.000 each (48)
21. Other Commitments
The total of future minimum lease payments under non-cancellable operating leases are as following:
2023 2022
£ £
Not later than one year 55,682 112,400
Later than one year and not later than five years 20,476 76,159
76,158 188,559
22. Pension Commitments
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund.
During the year the charge to profit or loss in respect of defined contribution schemes was £155,810 (2022: £144,718).
23. Directors Advances, Credits and Guarantees
During the year the directors entered into the following advances and credits with the company:
As at 1 December 2022 Amounts advanced Amounts repaid Amounts written off As at 30 November 2023
£ £ £ £ £
Mr Stuart McBride (94 ) 94,610 60,000 - 34,517
Mr Alexander Platt (96 ) 94,900 60,000 - 34,803
The above loan is unsecured, interest free and repayable on demand.
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24. Dividends
2023 2022
£ £
On equity shares:
Final dividend paid 172,000 310,500
172,000 310,500
25. Related Party Disclosures
The following related party transactions were undertaken during the year:
Dividends were paid to the directors & shareholders in respect of their shareholding totalling £172,000 (2022: £310,500). The aggregate remuneration paid to key management personnel for the year was £24,000 (2022: £22,176).
No further transactions with related parties were undertaken such as are required to be disclosed in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'
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