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REGISTERED NUMBER: 07010314 (England and Wales)









Unaudited Financial Statements

for the Year Ended 31 December 2023

for

VELOBRANDS LIMITED

VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Contents of the Financial Statements
FOR THE YEAR ENDED 31 DECEMBER 2023










Page

Company Information 1

Balance Sheet 2

Notes to the Financial Statements 4


VELOBRANDS LIMITED

Company Information
FOR THE YEAR ENDED 31 DECEMBER 2023







DIRECTORS: W G Miles
M R Sanders





REGISTERED OFFICE: 1a Parliament Square
Parliament Street
Crediton
Devon
EX17 2AW





REGISTERED NUMBER: 07010314 (England and Wales)





ACCOUNTANTS: Haines Watts
3 Southernhay West
Exeter
Devon
EX1 1JG

VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Balance Sheet
31 DECEMBER 2023

2023 2022
Notes £    £   
FIXED ASSETS
Intangible assets 5 20,000 60,000
Tangible assets 6 35,001 43,259
55,001 103,259

CURRENT ASSETS
Stocks 1,337,496 1,709,080
Debtors 7 704,821 504,098
Cash at bank and in hand 261,195 90,944
2,303,512 2,304,122
CREDITORS
Amounts falling due within one year 8 (917,009 ) (1,036,245 )
NET CURRENT ASSETS 1,386,503 1,267,877
TOTAL ASSETS LESS CURRENT
LIABILITIES

1,441,504

1,371,136

CREDITORS
Amounts falling due after more than one
year

9

(36,973

)

(67,823

)

PROVISIONS FOR LIABILITIES (8,342 ) (7,366 )
NET ASSETS 1,396,189 1,295,947

CAPITAL AND RESERVES
Called up share capital 300 300
Retained earnings 1,395,889 1,295,647
1,396,189 1,295,947

VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Balance Sheet - continued
31 DECEMBER 2023


The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2023 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:
(a)ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and
(b)preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 26 August 2024 and were signed on its behalf by:





W G Miles - Director


VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Notes to the Financial Statements
FOR THE YEAR ENDED 31 DECEMBER 2023


1. STATUTORY INFORMATION

Velobrands 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 (£).

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006.

3. ACCOUNTING POLICIES

Basis of preparing the financial statements
The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Turnover
Turnover represents amounts chargeable in respect of the sale of goods falling within the company's ordinary activities.

Goodwill
Goodwill, being the amount paid in connection with the acquisition of a business in 2014, is being amortised evenly over its estimated useful life of 10 years.

The directors review the value of goodwill on a regular basis and where there is an impairment in the net book value, this is adjusted for in the financial statements.

Branding
Branding costs are capitalised and amortisation is calculated to write off the cost in equal instalments over their estimated useful life of 5 years.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 20% on reducing balance
Motor vehicles - 20% on reducing balance
Computer equipment - 33% on cost

Stocks
Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs.

Financial instruments
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.


VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 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 balance sheet date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

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.

4. EMPLOYEES AND DIRECTORS

The average number of employees during the year was 11 (2022 - 16 ) .

5. INTANGIBLE FIXED ASSETS
Goodwill Branding Totals
£    £    £   
COST
At 1 January 2023
and 31 December 2023 1,200,000 4,754 1,204,754
AMORTISATION
At 1 January 2023 1,140,000 4,754 1,144,754
Amortisation for year 40,000 - 40,000
At 31 December 2023 1,180,000 4,754 1,184,754
NET BOOK VALUE
At 31 December 2023 20,000 - 20,000
At 31 December 2022 60,000 - 60,000

VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


6. TANGIBLE FIXED ASSETS
Fixtures
and Motor Computer
fittings vehicles equipment Totals
£    £    £    £   
COST
At 1 January 2023 85,535 12,802 33,136 131,473
Additions 650 - 523 1,173
Disposals (2,500 ) - - (2,500 )
At 31 December 2023 83,685 12,802 33,659 130,146
DEPRECIATION
At 1 January 2023 54,910 5,104 28,200 88,214
Charge for year 5,730 1,539 1,803 9,072
Eliminated on disposal (2,141 ) - - (2,141 )
At 31 December 2023 58,499 6,643 30,003 95,145
NET BOOK VALUE
At 31 December 2023 25,186 6,159 3,656 35,001
At 31 December 2022 30,625 7,698 4,936 43,259

7. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 183,477 259,880
Amounts owed by associates 212,452 237,977
Other debtors 300,000 1,000
Prepayments 8,892 5,241
704,821 504,098

8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Bank loans and overdrafts 31,031 29,329
Trade creditors 212,271 154,410
Social security and other taxes 7,715 7,991
VAT 30,006 36,367
Other creditors 2,982 161,549
Commercial credit card 2,577 2,011
Directors' loan accounts 589,254 606,758
Accrued expenses 41,173 37,830
917,009 1,036,245

VELOBRANDS LIMITED (REGISTERED NUMBER: 07010314)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


9. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
2023 2022
£    £   
Bank loans - 1-2 years 30,870 31,031
Bank loans - 2-5 years 6,103 36,792
36,973 67,823

10. SECURED DEBTS

The following secured debts are included within creditors:

2023 2022
£    £   
Bank loans 68,004 97,152
Other creditors - 71,411
68,004 168,563

There is a fixed and floating charge with both RBS Invoice Finance Limited and National Westminster Bank plc dated 12 May 2015 and 22 September 2015 respectively over all the property and undertakings of the company.

11. RELATED PARTY DISCLOSURES

A limited company in which MR Sanders and WG Miles are directors had transactions with the company during the year. Included within debtors is a loan due from the related party amounting to £212,452 (2022: £237,977), which is interest free and repayable on demand.

A partnership in which MR Sanders is a partner had transactions with the company during the year. There were no outstanding amounts due at the balance sheet date.

These transactions are all carried on at Arm's Length.

A limited company in which WG Miles is a director had transactions with the company during the year. Included within other debtors is a loan due from the related party amounting to £300,000 (2022: £nil), which is interest free and repayable on demand.