REGISTERED NUMBER: 13182436 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
GB Corporate Holdings Limited |
REGISTERED NUMBER: 13182436 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
GB Corporate Holdings Limited |
GB Corporate Holdings Limited (Registered number: 13182436) |
Contents of the Consolidated Financial Statements |
for the year ended 31 December 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Statement of Comprehensive Income | 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 |
GB Corporate Holdings Limited |
Company Information |
for the year ended 31 December 2023 |
Directors: |
Registered office: |
Registered number: |
Auditors: |
Statutory Auditor |
Certified Accountants |
Unit 2 Foley Works |
Foley Industrial Estate |
Hereford |
Herefordshire |
HR1 2SF |
GB Corporate Holdings Limited (Registered number: 13182436) |
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 principal activity of the company is that of property maintenance for the Defence Infrastructure Organisation (DIO), Local Authorities and Housing Associations, undertaking general repairs, building upgrades and capital works programmes. |
The financial performance of the organisation has further strengthened from the previous year. With the new contracts now embedded, the significant changes made as part of these new contracts have continued to show positive outcomes. This ably demonstrates a significant level of durability within the business, where the month-on-month returns provide evidence of the organisations ability to absorb significant growth. An impending general election, likely in 2024, traditionally results in cool down in overall housing spend on the defence contracts especially if the result is a change in government. |
N.B At the time of writing, the general election has been held and a change of government has taken place. |
Outside of the Defence contracts, GB has maintained its relationships with a number of Housing Associations and Local Authorities, whilst continuing to add new clients on a regular basis. The last 12 months have proved to be this part of the business' busiest and most successful period with the next 12 months expected to continue this trend. |
The company continues to maintain memberships and accreditations to support and guide the business. This includes but is not limited to ISO9001, ISO14001, Constructionline Gold, Gas Safe and NICEIC membership alongside CHAS, Trustmark and SafeContractor accreditations. |
Development and performance |
The company uses a number of measures to assess the on-going financial and operational health of the businesses: - |
- Monthly and weekly operational management reports |
- Overall and Divisional Management Account reporting |
- Productivity reports |
- Health and Safety reports |
- Cashflow monitoring inc. debtor reports and monthly WIP assessment |
Included within the above are embedded key performance indicators highlighting any areas of the business that may need priority action. |
With all aspects of the business under constant review (in relation to the wider industry) any opportunities for growth are identified and considered in detail. The firm foundations of GB provide confidence to invest where appropriate in order to develop and offer the current range of diverse but appropriate services to its customers. |
GB Corporate Holdings Limited (Registered number: 13182436) |
Group Strategic Report |
for the year ended 31 December 2023 |
Principal risks and uncertainties |
GB Electrical and Building Services is exposed to risks and uncertainties which may have material and adverse effects on its reputation, performance and financial position. The directors have identified that the most significant risks facing the business are; |
1. External uncontrolled events that could impact aspects of the business. i.e. market downturn/recession, Brexit, Ukraine war. Most noticeable is how the material supply market is affected by these events. Continuing price increases of plastics, timber and metals are still a risk to the financial performance of the business. |
2. Likely general election with possible change in Government generally results in cool down of defence spend during that Financial Year. |
3. Labour shortages - the availability of skilled building trade workers continues to tighten and may restrict growth |
The directors aim to ensure that financial and compliance risks to the business are minimised through effective management supported by business intelligence. This includes: |
- Monthly Divisional and overall Management accounts reviewed by senior management team and budget holders |
- Bi-Monthly senior management team review of performance and compliance |
- Internal quality audits - weekly and monthly |
- External (outsourced) Bi-annual quality audit |
- Robust procurement practice including ongoing review of supplier's costs |
- Forward sales to ensure work flow continuity |
- Ensuring all assets are secure and adequately insured |
- Weekly and monthly compliance reporting |
- Employing qualified and competent colleagues |
- Robust financial processes and procedures |
On behalf of the board: |
Director |
5 August 2024 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Report of the Directors |
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. |
Dividends |
The total distribution of dividends for the period ended 31 December 2023 will be £2,570,679 (2022 - £383,426). |
Directors |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
Statement of directors' responsibilities |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors 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. |
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. |
GB Corporate Holdings Limited (Registered number: 13182436) |
Report of the Directors |
for the year ended 31 December 2023 |
Auditors |
The auditors, Acre Accountancy Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
On behalf of the board: |
Report of the Independent Auditors to the Members of |
GB Corporate Holdings Limited |
Opinion |
We have audited the financial statements of GB Corporate Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Statement of Comprehensive Income, 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 and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
GB Corporate 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 Report of the Directors. |
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 Statement of Directors' Responsibilities set out on page four, 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 a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
We enquired with management about the legal framework that the company operates in. We also enquired about the risk of fraud and whether they were aware of any instances of fraud. |
We communicated the outcome of this risk assessment with the audit team and planned our audit work accordingly. Our work in these areas is limited to analytical procedures and inspection of relevant documentation. Where a breach of operational regulations is not disclosed to us, or it is not evident from documentation that we receive during the audit, an audit will not detect that breach. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Report of the Independent Auditors to the Members of |
GB Corporate Holdings Limited |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditor |
Certified Accountants |
Unit 2 Foley Works |
Foley Industrial Estate |
Hereford |
Herefordshire |
HR1 2SF |
GB Corporate Holdings Limited (Registered number: 13182436) |
Consolidated Statement of Comprehensive Income |
for the year ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 31,896,836 | 21,287,621 |
Cost of sales | (22,160,677 | ) | (13,847,858 | ) |
GROSS PROFIT | 9,736,159 | 7,439,763 |
Administrative expenses | (2,080,409 | ) | (2,228,710 | ) |
OPERATING PROFIT | 5 | 7,655,750 | 5,211,053 |
Interest payable and similar expenses | 6 | (16,885 | ) | (16,249 | ) |
PROFIT BEFORE TAXATION | 7,638,865 | 5,194,804 |
Tax on profit | 7 | (1,806,394 | ) | (988,822 | ) |
PROFIT FOR THE FINANCIAL YEAR |
GB Corporate Holdings Limited (Registered number: 13182436) |
Consolidated Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 10 | 1,571,676 | 1,152,793 |
Investments | 11 | - | - |
1,571,676 | 1,152,793 |
CURRENT ASSETS |
Stocks | 12 | 165,502 | 188,348 |
Debtors | 13 | 5,228,005 | 2,758,459 |
Cash at bank | 5,163,920 | 3,106,598 |
10,557,427 | 6,053,405 |
CREDITORS |
Amounts falling due within one year | 14 | (3,215,335 | ) | (2,023,607 | ) |
NET CURRENT ASSETS | 7,342,092 | 4,029,798 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
8,913,768 |
5,182,591 |
CREDITORS |
Amounts falling due after more than one year |
15 |
(445,564 |
) |
(81,413 |
) |
PROVISIONS FOR LIABILITIES | 18 | (237,750 | ) | (132,516 | ) |
NET ASSETS | 8,230,454 | 4,968,662 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 100 | 100 |
Pre-acquisition reserves | 20 | 726,237 | 726,237 |
Retained earnings | 20 | 7,504,117 | 4,242,325 |
8,230,454 | 4,968,662 |
The financial statements were approved by the Board of Directors and authorised for issue on 5 August 2024 and were signed on its behalf by: |
M E Edwards - Director |
GB Corporate Holdings Limited (Registered number: 13182436) |
Company Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Debtors | 13 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 14 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings |
Company's profit for the financial year | 3,661,098 | 2,162,965 |
The financial statements were approved by the Board of Directors and authorised for issue on |
GB Corporate Holdings Limited (Registered number: 13182436) |
Consolidated Statement of Changes in Equity |
for the year ended 31 December 2023 |
Called up |
share | Retained | Pre-acquisition | Total |
capital | earnings | reserves | equity |
£ | £ | £ | £ |
Balance at 1 January 2022 | 100 | 419,769 | 726,237 | 1,146,106 |
Changes in equity |
Dividends | - | (383,426 | ) | - | (383,426 | ) |
Total comprehensive income | - | 4,205,982 | - | 4,205,982 |
Balance at 31 December 2022 | 100 | 4,242,325 | 726,237 | 4,968,662 |
Changes in equity |
Dividends | - | (2,570,679 | ) | - | (2,570,679 | ) |
Total comprehensive income | - | 5,832,471 | - | 5,832,471 |
Balance at 31 December 2023 | 100 | 7,504,117 | 726,237 | 8,230,454 |
GB Corporate Holdings Limited (Registered number: 13182436) |
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 |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2023 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Consolidated Cash Flow Statement |
for the year ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 6,287,822 | 3,125,823 |
Interest paid | (1,663 | ) | (648 | ) |
Interest element of hire purchase payments paid |
(15,222 |
) |
(15,601 |
) |
Tax paid | (1,461,959 | ) | (207,913 | ) |
Net cash from operating activities | 4,808,978 | 2,901,661 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (724,461 | ) | (495,718 | ) |
Sale of tangible fixed assets | 31,311 | 54,954 |
Net cash from investing activities | (693,150 | ) | (440,764 | ) |
Cash flows from financing activities |
Loan repayments in year | (9,276 | ) | (10,000 | ) |
New Finance leases | 590,612 | - |
Capital repayments in year | (69,163 | ) | (53,170 | ) |
Amount introduced by directors | - | 4,250 |
Equity dividends paid | (2,570,679 | ) | (383,426 | ) |
Net cash from financing activities | (2,058,506 | ) | (442,346 | ) |
Increase in cash and cash equivalents | 2,057,322 | 2,018,551 |
Cash and cash equivalents at beginning of year |
2 |
3,106,598 |
1,088,047 |
Cash and cash equivalents at end of year | 2 | 5,163,920 | 3,106,598 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Cash Flow Statement |
for the year ended 31 December 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 7,638,865 | 5,194,804 |
Depreciation charges | 251,948 | 197,832 |
Loss/(profit) on disposal of fixed assets | 22,319 | (39,228 | ) |
Finance costs | 16,885 | 16,249 |
7,930,017 | 5,369,657 |
Decrease/(increase) in stocks | 22,846 | (60,573 | ) |
Increase in trade and other debtors | (2,469,546 | ) | (1,923,739 | ) |
Increase/(decrease) in trade and other creditors | 804,505 | (259,522 | ) |
Cash generated from operations | 6,287,822 | 3,125,823 |
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 | 5,163,920 | 3,106,598 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 3,106,598 | 1,088,047 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank | 3,106,598 | 2,057,322 | 5,163,920 |
3,106,598 | 2,057,322 | 5,163,920 |
Debt |
Finance leases | (69,279 | ) | (521,449 | ) | (590,728 | ) |
Debts falling due within 1 year | (10,000 | ) | 500 | (9,500 | ) |
Debts falling due after 1 year | (27,500 | ) | 8,776 | (18,724 | ) |
(106,779 | ) | (512,173 | ) | (618,952 | ) |
Total | 2,999,819 | 1,545,149 | 4,544,968 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements |
for the year ended 31 December 2023 |
1. | STATUTORY INFORMATION |
GB Corporate Holdings Limited is a |
2. | STATEMENT OF COMPLIANCE |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements are prepared in sterling, which is the functional currency of the the company. Monetary amounts in these financial statements are rounded to the nearest £. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
At the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements. |
Turnover |
Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business, and is shown net of VAT and other sales related taxes. |
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), 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 from contracts for the provision of services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that are recoverable. |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
3. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Freehold property | - |
Short leasehold | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
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: |
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 credited or charged to profit or loss. |
Impairment of Fixed Assets |
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. |
Financial instruments |
The company 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 company's balance sheet when the company becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with 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. |
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 company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date. |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
3. | ACCOUNTING POLICIES - continued |
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 when the company has 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. |
Leases |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases. |
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to the profit and loss account so as to produce a constant periodic rate of interest on the remaining balance of the liability. |
Rentals payable under operating leases, including any lease incentives received, are charged to income 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 lease asset are consumed. |
Retirement benefits |
The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are charged to the profit and loss account in the year they are payable. |
The regular cost of providing retirement pensions and related benefits is charged to the profit and loss account over the employees' service lives on the basis of a constant percentage of earnings. |
Cash at bank and in hand |
Cash at bank and in hand 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. |
Equity instruments |
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company. |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
3. | ACCOUNTING POLICIES - continued |
Employee benefits |
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. |
The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. |
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. |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 3,963,893 | 3,135,251 |
Social security costs | 381,455 | 286,624 |
Other pension costs | 139,389 | 671,273 |
4,484,737 | 4,093,148 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Directors | 4 | 4 |
Management | 13 | 11 |
Admin | 19 | 16 |
Other | 93 | 76 |
2023 | 2022 |
£ | £ |
Directors' remuneration | 47,004 | 45,113 |
Directors' pension contributions to money purchase schemes | 40,000 | 605,861 |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Other operating leases | 13,571 | 14,456 |
Depreciation - owned assets | 251,948 | 197,832 |
Loss/(profit) on disposal of fixed assets | 22,319 | (39,228 | ) |
Auditors' remuneration | 17,000 | 15,750 |
Directors' remuneration and other benefits etc. | 87,004 | 650,187 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank loan interest | 1,373 | 648 |
Other interest paid | 290 | - |
Hire purchase | 15,222 | 15,601 |
16,885 | 16,249 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 1,701,160 | 953,823 |
Deferred tax | 105,234 | 34,999 |
Tax on profit | 1,806,394 | 988,822 |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax | 7,638,865 | 5,194,804 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2022 - 19 %) |
1,909,716 |
987,013 |
Effects of: |
Expenses not deductible for tax purposes | 1,874 | 220 |
Depreciation in excess of capital allowances | 2,384 | 1,812 |
Enhanced taxation deduction arising from super deduction | (652 | ) | (487 | ) |
deferred tax |
Deferred tax rate adjustment | 6,227 | 8,400 |
Losses in subsidiaries | - | (8,136 | ) |
Effect of Hybrid rate of tax | (113,155 | ) | - |
Total tax charge | 1,806,394 | 988,822 |
8. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
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. |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
9. | DIVIDENDS |
Class: | 2023 | 2022 |
£ | £ |
Interim dividends: |
Ordinary B shares of £1 each | 650,391 | 117,346 |
Ordinary C shares of £1 each | 640,096 | 90,860 |
Ordinary D shares of £1 each | 640,096 | 87,860 |
Ordinary E shares of £1 each | 640,096 | 87,360 |
2,570,679 | 383,426 |
During the period, £2,570,679 (2022 £383,426) of dividends were paid to the directors of the company. |
10. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Short | Plant and |
property | leasehold | machinery |
£ | £ | £ |
Cost |
At 1 January 2023 | 476,665 | 60,262 | 29,983 |
Additions | - | - | - |
Disposals | - | - | - |
At 31 December 2023 | 476,665 | 60,262 | 29,983 |
Depreciation |
At 1 January 2023 | 19,066 | 21,711 | 12,594 |
Charge for year | 9,533 | 4,283 | 3,479 |
Eliminated on disposal | - | - | - |
At 31 December 2023 | 28,599 | 25,994 | 16,073 |
Net book value |
At 31 December 2023 | 448,066 | 34,268 | 13,910 |
At 31 December 2022 | 457,599 | 38,551 | 17,389 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
Cost |
At 1 January 2023 | 84,599 | 1,445,561 | 2,097,070 |
Additions | 8,738 | 715,723 | 724,461 |
Disposals | (200 | ) | (100,979 | ) | (101,179 | ) |
At 31 December 2023 | 93,137 | 2,060,305 | 2,720,352 |
Depreciation |
At 1 January 2023 | 75,836 | 815,070 | 944,277 |
Charge for year | 2,909 | 231,744 | 251,948 |
Eliminated on disposal | - | (47,549 | ) | (47,549 | ) |
At 31 December 2023 | 78,745 | 999,265 | 1,148,676 |
Net book value |
At 31 December 2023 | 14,392 | 1,061,040 | 1,571,676 |
At 31 December 2022 | 8,763 | 630,491 | 1,152,793 |
The net book value of plant and machinery held under hire purchase and finance leases at the year end was £571,037 (31/12/2022 £52,867). |
Company |
Freehold |
property |
£ |
Cost |
At 1 January 2023 |
and 31 December 2023 |
Depreciation |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
Net book value |
At 31 December 2023 |
At 31 December 2022 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
11. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
Cost |
At 1 January 2023 |
and 31 December 2023 |
Net book value |
At 31 December 2023 |
At 31 December 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Unit 21, Beech Business Park, Tillington Road, Hereford, HR4 9QJ |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
Registered office: Unit 21, Beech Business Park, Tillington Road, Hereford, HR4 9QJ |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves | ( |
) |
Profit for the year |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
12. | STOCKS |
Group |
2023 | 2022 |
£ | £ |
Stocks | 165,502 | 116,670 |
Work-in-progress | - | 71,678 |
165,502 | 188,348 |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 3,461,122 | 873,892 |
Amounts owed by group undertakings | - | - |
Other debtors | 498 | 498 |
VAT | 33,632 | 84,797 |
Prepayments | 1,732,753 | 1,799,272 |
5,228,005 | 2,758,459 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 16) | 9,500 | 10,000 |
Hire purchase contracts (see note 17) | 163,888 | 15,366 |
Trade creditors | 1,274,491 | 632,090 |
Tax | 1,201,160 | 961,959 |
Social security and other taxes | 256,385 | 137,264 |
Other creditors | 2,397 | 9,538 |
Natwest credit cards | 20,622 | 18,246 | - | - |
Directors' current accounts | 4,250 | 4,250 | 4,250 | 4,250 |
Accruals and deferred income | 282,642 | 234,894 |
3,215,335 | 2,023,607 |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2023 | 2022 |
£ | £ |
Bank loans (see note 16) | 18,724 | 27,500 |
Hire purchase contracts (see note 17) | 426,840 | 53,913 |
445,564 | 81,413 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
16. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 9,500 | 10,000 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 18,724 | 27,500 |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 163,888 | 15,366 |
Between one and five years | 426,840 | 53,913 |
590,728 | 69,279 |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 1,622 | 4,325 |
Between one and five years | 4,231 | - |
5,853 | 4,325 |
18. | PROVISIONS FOR LIABILITIES |
Group |
2023 | 2022 |
£ | £ |
Deferred tax | 237,750 | 132,516 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
18. | PROVISIONS FOR LIABILITIES - continued |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 132,516 |
Provided during year | 105,234 |
Provision on acquisition |
Tax rate adjustment |
Balance at 31 December 2023 | 237,750 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 |
Value: | £ |
61 | Ordinary B | £1 | 61 |
13 | Ordinary C | £1 | 13 |
13 | Ordinary D | £1 | 13 |
13 | Ordinary E | £1 | 13 |
100 |
20. | RESERVES |
Group |
Retained | Pre-acquisition |
earnings | reserves | Totals |
£ | £ | £ |
At 1 January 2023 | 4,242,325 | 726,237 | 4,968,562 |
Profit for the year | 5,832,471 | 5,832,471 |
Dividends | (2,570,679 | ) | (2,570,679 | ) |
At 31 December 2023 | 7,504,117 | 726,237 | 8,230,354 |
GB Corporate Holdings Limited (Registered number: 13182436) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31 December 2023 |
21. | PENSION COMMITMENTS |
Defined contribution schemes |
Group | Group |
2023 | 2022 |
£ | £ |
Charge to profit or loss in respect of defined contribution schemes | 139,389 | 671,273 |
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund. |
At the year end the group had a pension liability of £2,296 (2022 £9,654). |