B & L TAXI RENTAL LTD

Company Registration Number:
14207072 (England and Wales)

Unaudited micro entity accounts for the year ended 30 June 2024

Period of accounts

Start date: 01 July 2023

End date: 30 June 2024

B & L TAXI RENTAL LTD

Contents of the Financial Statements

for the Period Ended 30 June 2024

Company Information - 3
Report of the Directors - 4
Balance sheet - 5
Footnotes to the Balance Sheet - 7

B & L TAXI RENTAL LTD

Company Information

for the Period Ended 30 June 2024




Director: B Inglis
Registered office: 47
Boscombe Avenue
Hornchurch
England
RM11 1JG
Company Registration Number: 14207072 (England and Wales)

B & L TAXI RENTAL LTD

Directors' Report Period Ended 30 June 2024

The directors present their report with the financial statements of the company for the period ended 30 June 2024

Principal Activities

The principal activity of the company during the year was the leasing of electric taxis to drivers, providing them with a sustainable alternative to conventional vehicles.

Additional information

Financial Performance For the year ended 30th June 2024, the company reported a net operating loss of £30,784. This loss was primarily attributed to several key factors: 1. High Lease Payments: The vehicles in our fleet are acquired under finance leases, and the lease payments represent a substantial portion of our operating expenses. While the subleasing model provides steady revenue, it has not been sufficient to offset the high lease costs associated with maintaining a fleet of premium electric vehicles. 2. Declining Economic Demand: The broader economic environment has seen a significant decline in demand for taxi services. Factors such as reduced consumer spending and lower urban footfall due to changing travel behaviors have contributed to a downturn in subleasing activity. This has led to a lower utilization rate of the fleet, reducing our ability to generate revenue from subleasing vehicles to drivers. 3. Insurance Costs: The cost of insuring the electric vehicle fleet has increased dramatically during the year. The high value of electric vehicles, coupled with rising repair and maintenance costs, has driven insurance premiums to unsustainable levels. These elevated insurance expenses have further eroded the company’s profitability. #### Key Financial Metrics: - Turnover: £91,353 - Operating Loss: £30,784 - Lease Payment Costs: £101,378 Operational Review Despite the financial losses, the company continued to operate a full fleet of electric taxis, providing drivers with access to modern, eco-friendly vehicles. However, the economic downturn and rising costs posed significant challenges to our business model. The reduced demand for taxi services negatively impacted the number of drivers subleasing vehicles from the company, leading to a lower-than-expected fleet utilization rate. As a result, our income from subleasing vehicles fell short of projections, while our fixed costs (lease payments and insurance) remained high. Challenges and Risks The primary challenges faced by the company this year were: - Declining Economic Demand: The decline in demand for taxi services due to broader economic conditions has been a major issue, reducing both sublease revenue and overall fleet usage. - High Lease Payments: The lease obligations on the vehicles remained constant, placing a significant financial burden on the company despite reduced revenues. - Escalating Insurance Costs: The sharp increase in insurance premiums, driven by the high repair costs of electric vehicles, has substantially impacted our cost structure, further exacerbating our financial difficulties. We also face growing competition from other companies offering similar services, as well as external pressures from the fluctuating costs of electric vehicle maintenance. Future Outlook The Directors acknowledge that the current operating environment presents significant challenges. However, we remain committed to turning the business around by taking the following actions: - Renegotiating Lease Terms: We are in discussions with our leasing partners to negotiate more favorable terms or explore alternative financing structures to ease the pressure of high lease payments. - Cost Control Measures: We are investigating ways to mitigate the impact of rising insurance costs, including exploring group insurance schemes or more tailored policies for electric vehicles. - Adapting to Market Conditions: Efforts are underway to diversify our revenue streams and adapt to the changing demand patterns. We are looking into options such as dynamic pricing models for subleasing and partnerships with ride-hailing platforms to improve utilization rates. While the economic outlook remains uncertain, we are confident that with these measures, the business can navigate the current challenges and return to profitability in the future. Going Concern Although the company is currently operating at a loss, the Directors believe the business remains a going concern. This is based on ongoing efforts to reduce costs, increase revenue, and secure additional financing if needed to support the company through this challenging period. Conclusion This has been a difficult financial year, driven by declining demand for taxi services, high lease payments, and rising insurance costs. However, the Directors are committed to addressing these challenges and are confident that through strategic changes and cost management, B&L Taxi Rentals LTD can achieve long-term financial stability.

Directors

The directors shown below have held office during the whole of the period from 01 July 2023 to 30 June 2024
B Inglis

This report was approved by the board of directors on 9 September 2024
And Signed On Behalf Of The Board By:

Name: B Inglis
Status: Director

B & L TAXI RENTAL LTD

Balance sheet

As at 30 June 2024


2024
£

2023
£
Called up share capital not paid: 1 1
Fixed Assets: 533,596
Current assets: 2,024 1,043
Creditors: amounts falling due within one year: ( 130,845 )
Net current assets (liabilities): ( 128,821 ) 1,043
Total assets less current liabilities: 404,776 1,044
Creditors: amounts falling due after more than one year: ( 432,218 )
Total net assets (liabilities): ( 27,442 ) 1,044
Capital and reserves: ( 27,442 ) 1,044

B & L TAXI RENTAL LTD

Balance sheet continued

For the year ending 30 June 2024 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared and delivered in accordance with the provisions of the small companies regime applicable to micro-entities.

This report was approved by the board of directors on 9 September 2024
And Signed On Behalf Of The Board By:

Name: B Inglis
Status: Director

The notes form part of these financial statements

B & L TAXI RENTAL LTD

Footnotes to the Financial Statements

for the Period Ended 30 June 2024

  • 1. Employee Information

    Average number of employees: 1

B & L TAXI RENTAL LTD

Footnotes to the Financial Statements

for the Period Ended 30 June 2024

  • 2. Off balance sheet disclosure

    No