REGISTERED NUMBER: 09106266 (England and Wales) |
GROUP STRATEGIC REPORT, DIRECTORS' REPORT AND |
AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
LAVERY ROWE HOLDINGS LIMITED |
REGISTERED NUMBER: 09106266 (England and Wales) |
GROUP STRATEGIC REPORT, DIRECTORS' REPORT AND |
AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
LAVERY ROWE HOLDINGS LIMITED |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Directors' Report | 4 |
Directors' Responsibilities Statement | 5 |
Independent Auditors' Report | 6 |
Consolidated Income Statement | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
LAVERY ROWE HOLDINGS LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
BUSINESS ADDRESS: |
REGISTERED NUMBER: |
INDEPENDENT AUDITORS: |
Statutory Auditor |
Atlas Chambers |
33 West Street |
Brighton |
East Sussex |
BN1 2RE |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their strategic report of the company and the group for the year ended 31 December 2023. |
REVIEW OF BUSINESS |
The results for the period were considered satisfactory by the directors. The financial position of the group at the |
year end remained robust with adequate cash retained to finance outgoing operations for the foreseeable future. |
The results of the group, have been considered in detail below. However, the continued strong performance of the |
group is demonstrated by the fact that its balance sheet value has strengthened despite a number of recent |
restructuring measures. |
Analysis of development and performance & of other key performance indicators |
The group has performed well during the year under review. |
Turnover has decreased by £2.5 million (10.5%) this year to £21.2 million, and represents a good level of turnover |
for the group. Gross profit has decreased by £0.5 million (14.3%) to £2.9 million with margins decreasing by 0.5% to |
13.7%. |
Administrative expenses have decreased by £0.6 million (21.5%) to £2.3 million in the past year. The group continue to constantly review costs undertaken in order to achieve possible future savings. |
Net profit before tax of £0.7 million is greater than the £0.6 million achieved last year. |
The financial position of the group has suffered in the past year with a £0.5 million drop in the balance sheet value of |
the group. Net assets now stand at £2.2 million. The directors therefore believe that the group is on a sure footing to |
continue its strong performance in the current financial period. |
The company has received dividends of £1 million (2022: £1.5 million) from its subsidiary, Lavery Rowe Advertising |
Limited, during the year and the Directors anticipate continuing underlying growth and forecasted profits in line with |
recent years. |
Employee Ownership Trust |
On 28th January 2021 Lavery Rowe Holdings Limited completed the sale of all Ordinary shares to the Lavery Rowe |
Employee Ownership Trust (EOT), resulting is all the existing shareholders selling 100% of their respective shares |
to the EOT with deferred payments being agreed. |
The EOT subsequently set up an Advisory Panel (AP). The AP is made up of five trustee directors, two of which are |
directors of group companies, two of which are employees of the group and the last being an independent |
representative with a clear objective to consider ideas that are presented to the board for consideration and possible |
implementation. |
During the year voluntary contributions were made to the EOT from Lavery Rowe Holdings Limited amounting to |
£1 million. This contribution is then received by the EOT and used to help repay the deferred payments owing to |
the previous shareholders. |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
In common with all businesses, the group faces risks and uncertainties. The Directors adopt prudent policies to |
minimise risks and are actively involved in reducing the effects of any adverse circumstances which might arise. |
Business and regulatory risk |
The group operates in a highly regulated and diverse business environment. The Directors and management |
therefore perform regular reviews of business and regulatory risks to ensure that these are addressed and |
minimised as far as possible. |
Liquidity risk |
Liquidity risk arises from the group's management of working capital. It is the risk that the group will encounter |
difficulty in meeting its financial obligations as they fall due. At the end of the financial year, projections prepared for |
the Board of Directors indicated that the group expected to have sufficient liquid resources to meet its obligations |
under all reasonably expected circumstances. |
The principal financial instruments of the group comprise bank balances, trade creditors and trade debtors. The |
main purpose of these instruments is to provide funds for the group's operations and to finance these operations. |
The liquidity of the business is regularly reviewed by the Directors to ensure that sufficient resources are maintained |
to fund the group's transactions. |
Bank balances are managed by maintaining a balance between the continuity of funding and flexibility. Trade |
debtors are managed in respect of credit and cash flow risks by policies concerning the credit offered to clients 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. |
Credit risk |
Credit risk is the risk of financial loss to the group if a customer or counterparty to a financial instrument fails to meet |
its contractual obligations. The group is mainly exposed to credit risk from credit sales and it is the group's policy to |
assess the credit risk of clients before entering sales contracts with them. Debtor balances are monitored on an |
ongoing basis and provision is made for doubtful debts where necessary. |
Operating risk |
The Directors will regularly review the operation of the business and have put management committees in place to |
ensure that operating systems and internal controls are adequate. Risks are identified, assessed and appropriate |
remedial action decided upon by the Directors and each committee as appropriate. The group maintains insurance |
policies to ensure that there is sufficient cover if any difficulties were to occur. |
ON BEHALF OF THE BOARD: |
29 August 2024 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
DIRECTORS' REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the company was that of a holding company to its subsidiary companies called Lavery Rowe |
Advertising Limited, Lavery Rowe Trustees Limited, The Press Department Limited and LR Digital Limited. |
The principal activity of the group was that of providing advertising agency services. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2023. |
FUTURE DEVELOPMENTS |
The group continues to focus on its growth areas by investing in new producers and new client relationships to grow |
revenues. The group continues to monitor and manage costs whilst supporting the infrastructure of the ongoing |
activities of the business. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
FINANCIAL INSTRUMENTS |
Treasury operations and financial instruments |
Details of the financial risk management objectives and policies of the group, as well as the group's exposure to price, credit, liquidity and cash flow risks are provided in the strategic report to these financial statements. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director 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 group's auditors are aware of that information. |
AUDITORS |
The auditors Galloways Accounting will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
DIRECTORS' RESPONSIBILITIES STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors are responsible for preparing the Group 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 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF |
LAVERY ROWE HOLDINGS LIMITED |
Opinion |
We have audited the financial statements of Lavery Rowe Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 31 December 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report, the Directors' Report and the Directors' Responsibilities Statement, but does not include the financial statements and our Auditors' Report 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 Group Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements. |
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF |
LAVERY ROWE HOLDINGS LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Directors' Report. |
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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Directors' Responsibilities Statement set out on page five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
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 an Auditors' 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: |
Based on our understanding of the company and industry, we considered the risk of non-compliance with laws |
and regulations, 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). |
Audit procedures performed included: |
- Enquiring of management whether there were instances of non-compliance with laws and regulation or fraud; |
- Review of legal expenses for evidence of fees relating to non-compliance; |
- Challenging assumptions and judgements made by management in determining significant accounting estimates |
- Reviewing journal entries, non-sales bank receipts and non-purchase bank payments for unusual accounting |
entries; |
- To the extent that information was available to us: Substantive procedures to test that services contracted by |
clients were recognised as revenue in the financial statements in the correct period; and |
- Substantive procedures to test that accrued expenses were valid and complete. |
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. |
As a result of these procedures we consider the most significant laws and regulations that have a direct impact on |
the financial statements are FRS 102 and the Companies Act 2006. We performed audit procedures to detect noncompliance which may have a material impact on the financial statements which included reviewing financial |
statement disclosures. |
The audit team identified the risk of management override of controls as the area where the financial statements |
were most susceptible to material misstatement due to fraud. Audit procedures performed included, but were not |
limited to, testing manual journal entries and other adjustments and evaluating the business rationale in relation to |
significant, unusual transactions and transactions entered into outside the normal course of business. |
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF |
LAVERY ROWE HOLDINGS LIMITED |
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 Auditors' 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 we are required to state to them in an Auditors' 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. |
for and on behalf of |
Statutory Auditor |
Atlas Chambers |
33 West Street |
Brighton |
East Sussex |
BN1 2RE |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
CONSOLIDATED |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
31.12.23 | 31.12.22 |
Notes | £ | £ |
TURNOVER | 4 | 21,172,788 | 23,653,454 |
Cost of sales | 18,268,279 | 20,262,428 |
GROSS PROFIT | 2,904,509 | 3,391,026 |
Administrative expenses | 2,255,289 | 2,874,294 |
649,220 | 516,732 |
Other operating income | 14,583 | 21,700 |
OPERATING PROFIT | 6 | 663,803 | 538,432 |
Interest receivable and similar income | 7 | 23,914 | 3,934 |
687,717 | 542,366 |
Interest payable and similar expenses | 8 | 524 | - |
PROFIT BEFORE TAXATION | 687,193 | 542,366 |
Tax on profit | 9 | 174,260 | 124,608 |
PROFIT FOR THE FINANCIAL YEAR |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
CONSOLIDATED BALANCE SHEET |
31 DECEMBER 2023 |
31.12.23 | 31.12.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 | - | 44,555 |
Tangible assets | 12 | 47,479 | 271,816 |
Investments | 13 | 1,000 | - |
Investment property | 14 | - | 382,957 |
48,479 | 699,328 |
CURRENT ASSETS |
Debtors | 15 | 2,536,449 | 2,971,675 |
Cash at bank | 2,367,525 | 2,178,862 |
4,903,974 | 5,150,537 |
CREDITORS |
Amounts falling due within one year | 16 | 2,795,062 | 3,205,407 |
NET CURRENT ASSETS | 2,108,912 | 1,945,130 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
2,157,391 |
2,644,458 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 18,144 | 18,144 |
Revaluation reserve | 20 | - | 54,261 |
Retained earnings | 20 | 2,139,247 | 2,572,053 |
SHAREHOLDERS' FUNDS | 2,157,391 | 2,644,458 |
The financial statements were approved by the Board of Directors and authorised for issue on 29 August 2024 and were signed on its behalf by: |
W R Lewis - Director |
P J Payne - Director |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
COMPANY BALANCE SHEET |
31 DECEMBER 2023 |
31.12.23 | 31.12.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Tangible assets | 12 |
Investments | 13 |
Investment property | 14 |
CURRENT ASSETS |
Debtors | 15 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 1,000,000 | 1,500,000 |
The financial statements were approved by the Board of Directors and authorised for issue on |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Revaluation |
capital | earnings | reserve |
£ | £ | £ |
Balance at 1 January 2022 | 18,144 | 3,682,224 | 54,261 |
Changes in equity |
Total comprehensive income | - | 417,758 | - |
Voluntary contributions to the |
Employee Ownership Trust | - | (1,500,000 | ) | - |
Acquisition of subsidiary | - | (27,929 | ) | - |
Balance at 31 December 2022 | 18,144 | 2,572,053 | 54,261 |
Changes in equity |
Total comprehensive income | - | 512,933 | - |
Release of revaluation reserve | - | 54,261 | (54,261 | ) |
Voluntary contributions to the |
Employee Ownership Trust | - | (1,000,000 | ) | - |
Balance at 31 December 2023 | 18,144 | 2,139,247 | - |
Non-controlling | Total |
Total | interests | equity |
£ | £ | £ |
Balance at 1 January 2022 | 3,754,629 | (27,909 | ) | 3,726,720 |
Changes in equity |
Total comprehensive income | 417,758 | - | 417,758 |
Voluntary contributions to the |
Employee Ownership Trust | (1,500,000 | ) | - | (1,500,000 | ) |
Acquisition of subsidiary | (27,929 | ) | 27,909 | (20 | ) |
Balance at 31 December 2022 | 2,644,458 | - | 2,644,458 |
Changes in equity |
Total comprehensive income | 512,933 | - | 512,933 |
Voluntary contributions to the |
Employee Ownership Trust | (1,000,000 | ) | - | (1,000,000 | ) |
Balance at 31 December 2023 | 2,157,391 | - | 2,157,391 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Total comprehensive income | - |
Voluntary contributions to the |
Employee Ownership Trust | - | (1,500,000 | ) | (1,500,000 | ) |
Balance at 31 December 2022 |
Changes in equity |
Total comprehensive income | - |
Voluntary contributions to the |
Employee Ownership Trust | - | (1,000,000 | ) | (1,000,000 | ) |
Balance at 31 December 2023 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
31.12.23 | 31.12.22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 132,161 | 598,333 |
Interest paid | (524 | ) | - |
Tax paid | (123,514 | ) | (276,881 | ) |
Net cash from operating activities | 8,123 | 321,452 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (8,828 | ) | (21,028 | ) |
Purchase of fixed asset investments | (1,000 | ) | - |
Sale of tangible fixed assets | 288,074 | - |
Sale of investment property | 382,957 | - |
Purchase of subsidiaries | - | (20 | ) |
Interest received | 23,914 | 3,934 |
Net cash from investing activities | 685,117 | (17,114 | ) |
Cash flows from financing activities |
Amount withdrawn by directors | (7,826 | ) | (14,222 | ) |
Payment to the Employee Ownership Trust | (1,000,000 | ) | (1,500,000 | ) |
Loan to participating interest | (1,500 | ) | - |
Net cash from financing activities | (1,009,326 | ) | (1,514,222 | ) |
Decrease in cash and cash equivalents | (316,086 | ) | (1,209,884 | ) |
Cash and cash equivalents at beginning of year |
2 |
2,153,929 |
3,363,813 |
Cash and cash equivalents at end of year | 2 | 1,837,843 | 2,153,929 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | RECONCILIATION OF PROFIT FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS |
31.12.23 | 31.12.22 |
£ | £ |
Profit for the financial year | 512,933 | 417,758 |
Depreciation charges | 60,679 | 60,410 |
Profit on disposal of fixed assets | (71,031 | ) | - |
Finance costs | 524 | - |
Finance income | (23,914 | ) | (3,934 | ) |
Taxation | 174,260 | 124,608 |
653,451 | 598,842 |
Decrease in trade and other debtors | 444,551 | 1,209,575 |
Decrease in trade and other creditors | (965,841 | ) | (1,210,084 | ) |
Cash generated from operations | 132,161 | 598,333 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 2,367,525 | 2,178,862 |
Bank overdrafts | (529,682 | ) | (24,933 | ) |
1,837,843 | 2,153,929 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 2,178,862 | 3,392,979 |
Bank overdrafts | (24,933 | ) | (29,166 | ) |
2,153,929 | 3,363,813 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank | 2,178,862 | 188,663 | 2,367,525 |
Bank overdrafts | (24,933 | ) | (504,749 | ) | (529,682 | ) |
2,153,929 | (316,086 | ) | 1,837,843 |
Total | 2,153,929 | (316,086 | ) | 1,837,843 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | STATUTORY INFORMATION |
Lavery Rowe Holdings Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting |
Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies |
Act 2006. |
The financial statements are prepared in sterling, which is the presentational currency of the company. |
Monetary amounts in these financial statements are rounded to the nearest £. |
The financial statements have been prepared under the historical cost convention, modified to include the |
revaluation of freehold properties and to include investment properties at fair value. The principal accounting |
policies adopted are set out below. |
The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent |
of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group.The company has therefore taken advantage of exemptions from the following disclosure requirements for the parent company information presented within the consolidated financial statements: |
· Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and |
disclosures; |
· Section 33 ‘Related Party Disclosures’: Compensation for key management personnel. |
Basis of consolidation |
The consolidated group financial statements consist of the financial statements of the parent company Lavery Rowe Holdings Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates. |
All financial statements are made up to 31 December 2023. Where necessary, adjustments are made to the |
financial statements of subsidiaries to bring the accounting policies used into line with those used by other |
members of the group. |
All intra-group transactions, balances and unrealised gains on transactions between group companies are |
eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence |
of an impairment of the asset transferred. |
Lavery Rowe Advertising Limited has been included in the group financial statements using the purchase |
method of accounting. Accordingly, the group profit and loss account and statement of cash flows include the results and cash flows of Lavery Rowe Advertising Limited for the 12 month period from its acquisition. The purchase consideration was allocated to the assets and liabilities on the basis of fair value at the date of |
acquisition. |
Going concern |
At the time of approving the financial statements, the directors have a reasonable expectation that the group |
has adequate resources to continue in operational existence for the foreseeable future. Thus the directors |
continue to adopt the going concern basis of accounting in preparing the financial statements. |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover represents amounts receivable for goods and services net of VAT. Turnover is recognised at the |
time that the advertisement appears. |
Revenue from the placement of adverts is recognised when the significant risks and rewards of ownership of |
the advert have passed to the buyer (usually on the publication of the advert), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the |
entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
Revenue rebates are obtained and recognised based upon whether revenue thresholds are exceeded. These thresholds are based upon the level of insertions placed during the year. |
Intangible fixed assets - goodwill |
Acquired goodwill is written off in equal annual instalments over its estimated useful economic life of 10 years. |
Amortisation is charged to administrative expenses within the Consolidated Statement of Total |
Comprehensive Income. |
Tangible fixed assets |
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of |
depreciation and any impairment losses. |
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: |
Leasehold land and buildings 12.5% Straight line |
Fixtures and fittings 25% Reducing balance |
The gain or loss arising on the disposal of an asset is determined as the difference between the sale |
proceeds and the carrying value of the asset, and is recognised in the profit and loss account. |
Freehold land and buildings whose fair value can be measured reliably are held under the revaluation model |
and are carried at a revalued amount, being their fair value at the date of valuation less any subsequent |
accumulated depreciation and subsequent accumulated impairment losses. The fair value of the land and |
buildings is usually considered to be their market value. |
Revaluation gains and losses are recognised in other comprehensive income and accumulated in equity, |
except to the extent that a revaluation gain reverses a revaluation loss previously recognised in profit or loss |
or a revaluation loss exceeds the accumulated revaluation gains recognised in equity; such gains and losses |
are recognised in profit or loss. |
Investment property |
Investment property, which is property held to earn rentals and/or for capital appreciation, is measured using |
the fair value model and stated at its fair value as the reporting end date. The surplus or deficit on revaluation is recognised in the profit and loss account. |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 |
‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the group's balance sheet when the group becomes party to the |
contractual provisions of the instrument. |
Financial assets and liabilities are offset and the net amounts presented in the financial statements when |
there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a |
net basis or to realise the asset and settle the liability simultaneously. |
Basic financial assets |
Basic financial assets, which include debtors and cash and bank balances, are initially measured at |
transaction price including transaction costs and are subsequently carried at amortised cost using the |
effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
Impairment of financial assets |
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of |
impairment at each reporting end date. |
Financial assets are impaired where there is objective evidence that, as a result of one or more events that |
occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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. |
Derecognition of financial assets |
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or |
are settled, or when the group transfers the financial asset and substantially all the risks and rewards of |
ownership to another entity, or if some significant risks and rewards of ownership are retained but control of |
the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
Classification of financial liabilities |
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 group after deducting all of its liabilities. |
Basic financial liabilities |
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, 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 payments discounted at a market rate of interest. |
Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of |
business from suppliers. Amounts 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 creditors are recognised initially at |
transaction price and subsequently measured at amortised cost using the effective interest method. |
Derecognition of financial liabilities |
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or |
cancelled. |
Equity instruments |
Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion |
of the group. |
Taxation |
The tax expense represents the sum of the tax currently payable and deferred tax. |
Current tax |
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as |
reported in the profit and loss account because it excludes items of income or expense that are taxable or |
deductible in other years and it further excludes items that are never taxable or deductible. The group’s |
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the |
reporting end date. |
Deferred tax |
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are |
recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax |
liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference |
arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects |
neither the tax profit nor the accounting profit. |
The carrying amount of deferred tax assets is reviewed at each reporting end date 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 is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority. |
Foreign currencies |
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the |
dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in |
foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising |
on translation in the period are included in profit or loss. |
Hire purchase and leasing commitments |
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is |
more representative of the time pattern in which economic benefits from the leased asset are consumed. |
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. |
Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount |
of the leased asset and recognised on a straight line basis over the lease term. |
Employee and retirement benefits |
The costs of short-term employee benefits are recognised as a liability and an expense. |
The directors have concluded that no provision is required for unused holiday entitlement either at 1 January |
2023 or 31 December 2023 because If holiday is not taken by an employee it is lost. The holiday year end is |
co-terminus with the financial year end. |
Termination benefits are recognised immediately as an expense when the company is demonstrably |
committed to terminate the employment of an employee or to provide termination benefits. |
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. |
Cash and cash equivalents |
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with |
banks, other short-term liquid investments with original maturities of three months or less, and bank |
overdrafts. Bank overdrafts are shown within borrowings in current liabilities. |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Fixed asset investments |
Equity investments are measured at fair value through profit or loss, except for those equity investments that |
are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at |
cost less impairment until a reliable measure of fair value becomes available. |
In the parent company financial statements, investments in subsidiaries, associates and jointly controlled |
entities are initially measured at cost and subsequently measured at cost less any accumulated impairment |
losses. |
A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating |
policies of the entity so as to obtain benefits from its activities. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting |
estimates are recognised in the period in which the estimate is revised where the revision affects only that |
period, or in the period of the revision and future periods where the revision affects both current and future |
periods. |
Key sources of estimation uncertainty |
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying |
amount of assets and liabilities are as follows. |
Value of freehold property |
The key accounting estimate in preparing these financial statements relates to the carrying value of the |
freehold property which are stated at fair value. The company uses lease terms, market conditions and sales |
prices based upon known market transactions for similar properties as a basis for determining the directors' |
estimation of the fair value of the freehold property. However, the valuation of the company's freehold property is inherently subjective, as it is made on the basis of valuation assumptions which may in future not prove to be accurate. |
Value of investment property |
The key accounting estimate in preparing these financial statements relates to the carrying value of the |
investment property which are stated at fair value. The company uses lease terms, market conditions and |
sales prices based upon known market transactions for similar properties as a basis for determining the |
directors' estimation of the fair value of the investment property. However, the valuation of the company's |
investment property is inherently subjective, as it is made on the basis of valuation assumptions which may in |
future not prove to be accurate. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
31.12.23 | 31.12.22 |
£ | £ |
Media Billings | 21,078,531 | 23,465,780 |
Production billings | 94,257 | 187,674 |
21,172,788 | 23,653,454 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
4. | TURNOVER - continued |
An analysis of turnover by geographical market is given below: |
31.12.23 | 31.12.22 |
£ | £ |
United Kingdom | 20,021,499 | 22,709,153 |
Europe | 1,075,873 | 794,650 |
United States of America | 75,416 | 149,651 |
21,172,788 | 23,653,454 |
5. | EMPLOYEES AND DIRECTORS |
31.12.23 | 31.12.22 |
£ | £ |
Wages and salaries | 1,367,491 | 1,818,135 |
Social security costs | 160,363 | 219,333 |
Other pension costs | 21,653 | 24,617 |
1,549,507 | 2,062,085 |
The average number of employees during the year was as follows: |
31.12.23 | 31.12.22 |
Sales and Administration | 25 | 30 |
Artwork Production | 3 | 3 |
Directors' Remuneration |
2023 | 2022 |
£ | £ |
Remuneration for qualifying services | 125,404 | 410,123 |
Company pension contributions to defined contribution schemes | 368 | 1,321 |
125,772 | 411,444 |
Remuneration disclosed above includes the following amounts paid to the highest paid director |
2023 | 2022 |
£ | £ |
Remuneration for qualifying services | 62,702 | 205,179 |
Company pension contributions to defined contribution schemes | 349 | 1,321 |
The above remuneration was paid by Lavery Rowe Advertising Limited, a subsidiary company of the entity, in both the current and preceding financial year. No remuneration has been paid by Lavery Rowe Holdings Limited in either financial year. |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31.12.23 | 31.12.22 |
£ | £ |
Hire of plant and machinery | 1,750 | 4,782 |
Other operating leases | 87,690 | 83,875 |
Depreciation - owned assets | 16,123 | 15,855 |
Profit on disposal of fixed assets | (71,031 | ) | - |
Goodwill amortisation | 44,555 | 44,555 |
Auditors' remuneration | 15,000 | 15,000 |
Foreign exchange differences | 5,964 | 2,155 |
7. | INTEREST RECEIVABLE AND SIMILAR INCOME |
31.12.23 | 31.12.22 |
£ | £ |
Deposit account interest | 23,914 | 3,934 |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.12.23 | 31.12.22 |
£ | £ |
Interest payable | 524 | - |
9. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31.12.23 | 31.12.22 |
£ | £ |
Current tax: |
UK corporation tax | 174,261 | 123,515 |
Adjustments in respect of |
prior periods | (1 | ) | 1,093 |
Tax on profit | 174,260 | 124,608 |
UK corporation tax has been charged at 23.52 % (2022 - 19 %). |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31.12.23 | 31.12.22 |
£ | £ |
Profit before tax | 687,193 | 542,366 |
Profit multiplied by the standard rate of corporation tax in the UK of 23.385 % (2022 - 19 %) |
160,700 |
103,050 |
Effects of: |
Expenses not deductible for tax purposes | 1,700 | 14,277 |
Adjustments to tax charge in respect of previous periods | (1 | ) | 1,093 |
Amortization on assets not qualifying for tax allowances | 10,419 | 8,465 |
Deferred tax not recognised | 1,442 | (2,277 | ) |
Total tax charge | 174,260 | 124,608 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
10. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
11. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 | 445,551 |
AMORTISATION |
At 1 January 2023 | 400,996 |
Amortisation for year | 44,555 |
At 31 December 2023 | 445,551 |
NET BOOK VALUE |
At 31 December 2023 | - |
At 31 December 2022 | 44,555 |
12. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Freehold | Short | and |
property | leasehold | fittings | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2023 | 217,043 | 7,125 | 203,988 | 428,156 |
Additions | - | - | 8,828 | 8,828 |
Disposals | (217,043 | ) | - | - | (217,043 | ) |
At 31 December 2023 | - | 7,125 | 212,816 | 219,941 |
DEPRECIATION |
At 1 January 2023 | - | 4,455 | 151,884 | 156,339 |
Charge for year | - | 890 | 15,233 | 16,123 |
At 31 December 2023 | - | 5,345 | 167,117 | 172,462 |
NET BOOK VALUE |
At 31 December 2023 | - | 1,780 | 45,699 | 47,479 |
At 31 December 2022 | 217,043 | 2,670 | 52,104 | 271,817 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
13. | FIXED ASSET INVESTMENTS |
Group |
Unlisted |
investments |
£ |
COST |
Additions | 1,000 |
At 31 December 2023 | 1,000 |
NET BOOK VALUE |
At 31 December 2023 | 1,000 |
Company |
Shares in |
group |
undertaking |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
14. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 January 2023 | 382,957 |
Disposals | (382,957 | ) |
At 31 December 2023 | - |
NET BOOK VALUE |
At 31 December 2023 | - |
At 31 December 2022 | 382,957 |
15. | DEBTORS |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 1,835,809 | 2,151,918 |
Amounts owed by group undertakings | - | - |
Other debtors | 11,722 | 11,221 |
Directors' current accounts | 33,305 | 25,481 | - | - |
Prepayments | 654,113 | 783,055 |
2,534,949 | 2,971,675 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
15. | DEBTORS - continued |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
£ | £ | £ | £ |
Amounts falling due after more than one | year: |
Amounts owed by participating interests | 1,500 | - | - | - |
Aggregate amounts | 2,536,449 | 2,971,675 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.12.23 | 31.12.22 | 31.12.23 | 31.12.22 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | 529,682 | 24,933 |
Trade creditors | 1,426,307 | 2,346,414 |
Amounts owed to group undertakings | - | - |
Tax | 177,920 | 127,174 |
Social security and other taxes | 76,330 | 60,732 |
VAT | 40,091 | 26,692 | - | - |
Other creditors | 448,825 | 499,077 |
Pension creditor | 4,897 | 4,922 | - | - |
Directors' loan accounts | 287 | 287 | 287 | 287 |
Accruals and deferred income | 90,723 | 115,176 |
2,795,062 | 3,205,407 |
17. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
31.12.23 | 31.12.22 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank overdrafts | 529,682 | 24,933 |
18. | LEASING AGREEMENTS |
Lessee |
At the reporting end date, the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows: |
2023 | 2022 |
£ | £ |
Within one year | 106,681 | 85,002 |
Between two and five years | 148,591 | 144,375 |
255,272 | 229,377 |
LAVERY ROWE HOLDINGS LIMITED (REGISTERED NUMBER: 09106266) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.12.23 | 31.12.22 |
value: | £ | £ |
Ordinary shares of £1 each | £1 | 18,124 | 18,124 |
Ordinary A shares of £1 each | £1 | 10 | 10 |
Ordinary B shares of £1 each | £1 | 10 | 10 |
18,144 | 18,144 |
20. | RESERVES |
Profit and Loss Reserves |
Retained earnings represent cumulative profit and loss net of distributions to owners. |
As at the balance sheet date the group had distributable reserves of £2,139,247 (2022: £2,476,314). |
The distributable reserves of the company were £1,922,007 (2022: £1,922,007). |
Revaluation Reserve |
Surplus of freehold property valuation over historical cost, less deferred tax on property values. |
As at the balance sheet date the group had revaluation reserves of £Nil (2022: £54,261). |
21. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
22. | SUBSIDIARIES |
Details of the company's subsidiaries at 31 December 2023 are as follows: |
Name of undertaking |
Registered office |
Nature of business |
Class of shares held |
% Held Direct |
Lavery Rowe Advertising Limited | England and Wales | Advertising agency | Ordinary | 100.00 |
LR Digital Limited |
England and Wales |
Digital advertising agency |
Ordinary |
100.00 |
Lavery Rowe Trustees Limited | England and Wales | Dormant Company | Ordinary | 100.00 |
The Press Department Limited | England and Wales | Dormant Company | Ordinary | 100.00 |
23. | RETIREMENT BENEFIT SCHEMES |
Defined contribution schemes | 2023 | 2022 |
£ | £ |
Charge to profit or loss in respect of defined contribution schemes | 21,653 | 24,617 |
A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund. |
24. | DIRECTORS' TRANSACTIONS |
Dividends of £Nil (2022: £Nil) were paid in the year in respect of shares held by the company's directors. |
Interest free loans have been granted by the group to its directors as follows: |
Description |
% Rate |
Opening Balance |
Amounts advanced |
Closing Balance |
£ | £ | £ |
Directors loan account | - | 25,480 | 7,826 | 33,306 |