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REGISTERED NUMBER: 04297475 (England and Wales)
















DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE PERIOD

1 APRIL 2022 TO 30 SEPTEMBER 2023






DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Statement of Comprehensive Income 9

Balance Sheet 10

Statement of Changes in Equity 11

Cash Flow Statement 12

Notes to the Cash Flow Statement 13

Notes to the Financial Statements 14


DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED

COMPANY INFORMATION
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023







DIRECTORS: D Jellicoe
P Salt
T Mutton
J Coan
S Holland





SECRETARY: P Salt





REGISTERED OFFICE: 2 Lakeview Stables
Lower St. Clere
Kemsing
Sevenoaks
Kent
TN15 6NL





REGISTERED NUMBER: 04297475 (England and Wales)





AUDITORS: Lakeview Southern Audit Limited
Chartered Accountants and
Statutory Auditors
2 Lakeview Stables
Lower St. Clere
Kemsing
Sevenoaks
Kent
TN15 6NL

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

STRATEGIC REPORT
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


The directors present their strategic report for the period 1 April 2022 to 30 September 2023.

The directors have changed the period end date to enable them complete period end financial statements after their busiest trading period. This has created an 18 month period and therefore the comparatives are not entirely comparable.

The principal activity of the company in the period under review was that of the recruitment of transport personnel as well as the supply of a complete logistics service.

REVIEW OF BUSINESS
The directors recognise that the results from the previous period reflect the challenges seen across the wider economy and in particular the logistics recruitment sector. A number of consecutive interest rate rises, along with many other cost pressures, has led to a fall in consumer confidence and ultimately demand.

The directors have managed overheads closely throughout the period to ensure that the company remains agile and with the ability to adapt to changes in the economy and to the sector. Such review has also led to a restructure of the Senior Management team, further aligning costs to the current situation, whilst also ensuring that we remain in a positive position to maximise growth opportunities.

More recently, the company has seen a return to growth and subsequently profit, which in turn has led to an improving cash flow position. The Directors are confident that this improved performance will continue.

PRINCIPAL RISKS AND UNCERTAINTIES
The board of directors continually review the risks and uncertainties relating to the company. In previous periods, they concluded that the risks associated with leaving Europe could affect the supply of drivers and as such a shortage of qualified drivers could inhibit growth and reduce the gross profit achieved.

The directors are pleased that margins have been maintained despite the economic challenges that they have faced.

The company recognises that the cost of hiring and retaining staff has increased during the period, largely due to the high inflation in the UK, along with the shortage of suitably qualified individuals. Despite this, the company has maintained a reasonable level of cost and is pleased with its current levels of retention.

FINANCIAL KEY PERFORMANCE INDICATORS
The following Key Performance Indicators are part of the tools used by management to monitor the company's performance:

The directors monitor the gross profit margin, turnover and cashflow on a daily and weekly basis.

Overheads are closely monitored by management, resulting in a decrease in administrative expenses subsequent to the period end and is a key factor in mitigating the costs of the economic downturn.

FUTURE DEVELOPMENTS
The company will continue to develop its logistics division, increasing the number of operating centres across the UK. Upon continued review, the company will look at developing its branch structure whilst also maximising gross profit achieved in each of the existing branches within the network.


DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

STRATEGIC REPORT
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023

FINANCIAL INSTRUMENTS
The company has a normal level of exposure to price, credit, liquidity and cashflow risks arising from trading activities which are all conducted in sterling.

ON BEHALF OF THE BOARD:





D Jellicoe - Director


19 September 2024

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

REPORT OF THE DIRECTORS
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


The directors present their report with the financial statements of the company for the period 1 April 2022 to 30 September 2023.

DIVIDENDS
Interim dividends of £1,276.60 per ordinary share were paid during the period.

The total distribution of dividends for the period ended 30 september 2023 is £1,238,305.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 April 2022 to the date of this report.

D Jellicoe
P Salt
T Mutton
J Coan
S Holland

Other changes in directors holding office are as follows:

J Capewell - resigned 31 May 2022
R Jellicoe - resigned 28 October 2022

Z Parks ceased to be a director after 30 September 2023 but prior to the date of this report.

DISCLOSURE IN THE STRATEGIC REPORT
The company has chosen in accordance with Companies Act 2006, s.414C(11) to set out in the company's strategic report information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 to be contained in the directors' report. It has done so in respect of future developments, financial instruments and the principal activity.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the 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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing 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 transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

REPORT OF THE DIRECTORS
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


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 company'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 company's auditors are aware of that information.

AUDITORS
The auditors, Lakeview Southern Audit Limited, will be deemed to continue in office under the Companies Act 2006, s.487 (2).

ON BEHALF OF THE BOARD:





P Salt - Director


19 September 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED


Opinion
We have audited the financial statements of Drivers Direct Recruitment Agency Limited (the 'company') for the period ended 30 September 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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 company's affairs as at 30 September 2023 and of its profit for the period 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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material uncertainty relating to going concern
We draw attention to note 9 in the financial statements, which provides details of matters which indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

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. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Key audit matters
Except for the matter described in the Material uncertainty related to going concern section, we have determined that there are no other key audit mattters to be communicated in our report.

Other information
The directors are responsible for the other information. The other information comprises the information in the 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 Strategic Report and the Report of the Directors for the financial period for which the financial statements are prepared is consistent with the financial statements; and
- the 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
DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the 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, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records 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 company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

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 considered the central laws and regulations to the entity and identified those being of significance. We undertook an enquiry of management and those charged with governance to evaluate those of significance and any instances of non-compliance.

Through discussion and, where appropriate, written representation we obtained an understanding of the entity's policies and procedures in relation to fraud risks, including knowledge of any actual, suspected or alleged fraud.

The Senior Statutory Auditor has assessed that the engagement team collectively have the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations within the areas that they are responsible for testing.

Where necessary, documentation scrutiny was used to determine the significance of any instances with non-compliance of central laws and regulations and reviewed disclosures made in the financial statements to ensure these were appropriately made. We also reviewed the journals processed by the finance team and reviewed all transactions outside the normal course of the entity's business.

We communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

Irregularities that result from fraud are inherently more difficult to detect from irregularities that result from error.

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
DRIVERS DIRECT RECRUITMENT AGENCY
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.




Adrian Hull (Senior Statutory Auditor)
for and on behalf of Lakeview Southern Audit Limited
Chartered Accountants and
Statutory Auditors
2 Lakeview Stables
Lower St. Clere
Kemsing
Sevenoaks
Kent
TN15 6NL

19 September 2024

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023

Period
1.4.22
to Year Ended
30.9.23 31.3.22
Notes £    £   

TURNOVER 31,041,078 22,660,788

Cost of sales 24,633,396 18,133,565
GROSS PROFIT 6,407,682 4,527,223

Administrative expenses 5,293,784 3,301,156
1,113,898 1,226,067

Other operating income 3 77,461 80,778
OPERATING PROFIT 5 1,191,359 1,306,845

Interest receivable and similar income 6,123 44
PROFIT BEFORE TAXATION 1,197,482 1,306,889

Tax on profit 7 160,810 227,129
PROFIT FOR THE FINANCIAL PERIOD 1,036,672 1,079,760

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE PERIOD

1,036,672

1,079,760

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

BALANCE SHEET
30 SEPTEMBER 2023

30.9.23 31.3.22
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 10 198,939 214,088

CURRENT ASSETS
Debtors 11 4,100,343 5,082,917
Cash at bank and in hand 772,396 1,721,091
4,872,739 6,804,008
CREDITORS
Amounts falling due within one year 12 4,808,935 6,554,882
NET CURRENT ASSETS 63,804 249,126
TOTAL ASSETS LESS CURRENT
LIABILITIES

262,743

463,214

PROVISIONS FOR LIABILITIES 16 6,939 5,777
NET ASSETS 255,804 457,437

CAPITAL AND RESERVES
Called up share capital 17 970 970
Share premium 18 58,930 58,930
Retained earnings 18 195,904 397,537
SHAREHOLDERS' FUNDS 255,804 457,437

The financial statements were approved by the Board of Directors and authorised for issue on 19 September 2024 and were signed on its behalf by:





D Jellicoe - Director


DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1 April 2021 970 1,148,824 58,930 1,208,724

Changes in equity
Dividends - (1,831,047 ) - (1,831,047 )
Total comprehensive income - 1,079,760 - 1,079,760
Balance at 31 March 2022 970 397,537 58,930 457,437

Changes in equity
Dividends - (1,238,305 ) - (1,238,305 )
Total comprehensive income - 1,036,672 - 1,036,672
Balance at 30 September 2023 970 195,904 58,930 255,804

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

CASH FLOW STATEMENT
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023

Period
1.4.22
to Year Ended
30.9.23 31.3.22
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 563,861 1,327,931
Tax paid (354,973 ) (114,542 )
Government grants - 16,447
Net cash from operating activities 208,888 1,229,836

Cash flows from investing activities
Purchase of tangible fixed assets (7,265 ) (4,812 )
Interest received 6,123 44
Net cash from investing activities (1,142 ) (4,768 )

Cash flows from financing activities
Movement on invoice financing debt 235,935 (107,599 )
Movement in intercompany balance (274,581 ) (273,856 )
Amount introduced by directors 120,510 51,506
Amount withdrawn by directors - (36,289 )
Equity dividends paid (1,238,305 ) (1,831,047 )
Net cash from financing activities (1,156,441 ) (2,197,285 )

Decrease in cash and cash equivalents (948,695 ) (972,217 )
Cash and cash equivalents at beginning of
period

2

1,721,091

2,693,308

Cash and cash equivalents at end of
period

2

772,396

1,721,091

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE CASH FLOW STATEMENT
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Profit before taxation 1,197,482 1,306,889
Depreciation charges 22,414 16,523
Government grants - (16,447 )
Finance income (6,123 ) (44 )
1,213,773 1,306,921
Decrease in trade and other debtors 85,106 115,602
Decrease in trade and other creditors (735,018 ) (94,592 )
Cash generated from operations 563,861 1,327,931

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:

Period ended 30 September 2023
30.9.23 1.4.22
£    £   
Cash and cash equivalents 772,396 1,721,091
Year ended 31 March 2022
31.3.22 1.4.21
£    £   
Cash and cash equivalents 1,721,091 2,693,308


3. ANALYSIS OF CHANGES IN NET DEBT

At 1.4.22 Cash flow At 30.9.23
£    £    £   
Net cash
Cash at bank and in hand 1,721,091 (948,695 ) 772,396
1,721,091 (948,695 ) 772,396
Debt
Debts falling due within 1 year (3,976,350 ) 904,040 (3,072,310 )
(3,976,350 ) 904,040 (3,072,310 )
Total (2,255,259 ) (44,655 ) (2,299,914 )

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


1. STATUTORY INFORMATION

Drivers Direct Recruitment Agency Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The functional currency of the business is pound sterling.

The place of business is 13 Whitworth Court, Runcorn, Cheshire, WA7 1WA.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
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 have been prepared under the historical cost convention.

Turnover
Turnover represents net amounts receivable for services provided in recruiting haulage personnel, haulage services and franchise fees. All amounts are shown within the financial statements excluding value added tax.

Turnover is recognised during the period in which the service is carried out.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold property - 5% on cost
Plant and machinery - 20% on reducing balance
Motor vehicles - 25% on reducing balance

Tangible fixed assets are stated at cost less accumulated depreciation. The depreciation policy noted above for freehold property is not applied to land.

Financial instruments
Basic Financial Assets and Liabilities, which include trade debtors and other debtors, loans to and from group companies, trade creditors and cash and bank balances, are initially measured at transaction price including transaction costs.

Taxation
Taxation for the period comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


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

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

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

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

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents
The company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The company does not have any such investments.

Impairment of financial assets
Financial assets are assessed for indicators of impairment at the end of each reporting period. Financial assets are considered to be impaired when there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial assets, the estimated future cash flows of the investment have been affected.

Any impairment identified is recognised in the profit and loss.

3. OTHER OPERATING INCOME
Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Other income 77,461 64,331
Government grants - 16,447
77,461 80,778

During the previous year the company received £16,447 from the Coronavirus Job Retention Scheme, no grants were received in the period.

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


4. EMPLOYEES AND DIRECTORS
Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Wages and salaries 2,606,262 1,609,982
Social security costs 243,245 140,628
Other pension costs 38,952 20,006
2,888,459 1,770,616

The average number of employees during the period was as follows:
Period
1.4.22
to Year Ended
30.9.23 31.3.22

Direct staff 6 6
Administrative staff 60 57
66 63

Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Directors' remuneration 137,275 121,206

Remuneration paid to the highest paid Director in the period totalled £26,580 (2022: £22,306).

Directors pension costs totalled £339 (2022: £nil).

5. OPERATING PROFIT

The operating profit is stated after charging:

Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Hire of plant and machinery 7,786 7,368
Other operating leases 345,456 205,892
Depreciation - owned assets 22,414 16,526

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


6. AUDITORS' REMUNERATION
Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Fees payable to the company's auditors for the audit of the company's
financial statements

18,641

11,400
Total audit fees 18,641 11,400

Taxation compliance services 13,570 1,215
Other non- audit services 15,300 8,550
Total non-audit fees 28,870 9,765
Total fees payable 47,511 21,165

7. TAXATION

Analysis of the tax charge
The tax charge on the profit for the period was as follows:
Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Current tax:
UK corporation tax 159,648 227,771

Deferred tax 1,162 (642 )
Tax on profit 160,810 227,129

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


7. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the period is lower than the standard rate of corporation tax in the UK. The difference is explained below:

Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Profit before tax 1,197,482 1,306,889
Profit multiplied by the standard rate of corporation tax in the UK of 25%
(2022 - 19%)

299,371

248,309

Effects of:
Expenses not deductible for tax purposes 10,114 7,156
Capital allowances in excess of depreciation and net of deferred tax 4,949 1,309
Tax on group loss relief (123,421 ) (29,645 )
Effect of marginal rate of tax (30,203 ) -
Total tax charge 160,810 227,129

8. DIVIDENDS
Period
1.4.22
to Year Ended
30.9.23 31.3.22
£    £   
Ordinary shares of £1 each
Interim 1,238,305 1,831,047

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


9. GOING CONCERN

The directors consider the company to be a going concern. However, the following matters indicate there is a material uncertainty that may cast a significant doubt on the company's ability to continue as a going concern:

There is an open enquiry from HMRC into the company. Whilst the vast majority of the enquiry has been satisfactorily resolved, there remains one line of enquiry that HMRC have not yet concluded upon. The directors have taken external expert advice in relation to this one area of the business and have continued to do so throughout the enquiry. As a result, they are confident that the enquiry will be closed without having a significant impact on the company.

However, HMRC are currently not in agreement. If HMRC decide to take the matter further and are ultimately successful in their line of enquiry, an unquantifiable assessment may be made on the company which could be significant. If this was to be the outcome, it could have a material impact on the company's ability to continue as a going concern and, therefore, that it might be unable to realise its assets and discharge its liabilities in the normal course of business.

Subsequent to the period end, cash flow continues to be an issue for the company with the historically built up cash reserves further depleted. The directors are confident that the company will trade through the current cash flow issues and will return to positive cash flow, provided the continued support from the bank, in relation to the invoice discounting facility and loan, and HMRC is not withdrawn. Should this support be withdrawn, the directors would endeavour to arrange alternative funding. There is uncertainty as to whether this would be achievable. Should alternative funding not be available this would have a material impact on the company's ability to continue as a going concern and, therefore, that it might be unable to realise its assets and discharge its liabilities in the normal course of business.

As disclosed in note 11, the company is owed an amount of £531,827 by the parent company at the period end. If any of the above events were to occur, there is a doubt that this amount would be recoverable, either in part or in full.

10. TANGIBLE FIXED ASSETS
Freehold Plant and Motor
property machinery vehicles Totals
£    £    £    £   
COST
At 1 April 2022 230,019 72,889 52,189 355,097
Additions - 7,265 - 7,265
At 30 September 2023 230,019 80,154 52,189 362,362
DEPRECIATION
At 1 April 2022 46,336 58,193 36,480 141,009
Charge for period 12,501 4,511 5,402 22,414
At 30 September 2023 58,837 62,704 41,882 163,423
NET BOOK VALUE
At 30 September 2023 171,182 17,450 10,307 198,939
At 31 March 2022 183,683 14,696 15,709 214,088

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
30.9.23 31.3.22
£    £   
Trade debtors 3,490,949 4,658,020
Amounts owed by group undertakings 509,741 235,160
Other debtors 36,230 800
Directors' current accounts 4,215 36,289
Prepayments 59,208 152,648
4,100,343 5,082,917

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
30.9.23 31.3.22
£    £   
Other loans (see note 13) 3,072,310 3,976,350
Trade creditors 244,749 147,768
Tax 159,648 354,973
Social security and other taxes 1,017,258 1,438,565
Other creditors 123,140 3,675
Directors' current accounts 88,436 -
Accrued expenses 103,394 633,551
4,808,935 6,554,882

13. LOANS

An analysis of the maturity of loans is given below:

30.9.23 31.3.22
£    £   
Amounts falling due within one year or on demand:
Invoice Discounting 3,072,310 3,976,350

14. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
30.9.23 31.3.22
£    £   
Within one year 153,565 220,065
Between one and five years 20,833 173,950
In more than five years - 14,124
174,398 408,139

Rentals paid under operating leases are charged to the statement of comprehensive income on a straight line basis over the period of the lease.

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


15. SECURED DEBTS

The following secured debts are included within creditors:

30.9.23 31.3.22
£    £   
Invoice discounting 3,072,310 3,976,350

The company has an invoice discounting advance which is secured by a fixed charge over the trade debtors and also a floating charge over all other assets.

16. PROVISIONS FOR LIABILITIES
30.9.23 31.3.22
£    £   
Deferred tax
Accelerated capital allowances 5,777 6,419
Deferred tax 1,162 (642 )
6,939 5,777

Deferred
tax
£   
Balance at 1 April 2022 5,777
Provided during period 1,162
Balance at 30 September 2023 6,939

17. CALLED UP SHARE CAPITAL

Allotted and issued:
Number: Class: Nominal 30.9.23 31.3.22
value: £    £   
970 Ordinary £1 970 970

The ordinary shares have full voting rights, rights to dividends and rights on winding up.

DRIVERS DIRECT RECRUITMENT AGENCY
LIMITED (REGISTERED NUMBER: 04297475)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE PERIOD 1 APRIL 2022 TO 30 SEPTEMBER 2023


18. RESERVES
Retained Share
earnings premium Totals
£    £    £   

At 1 April 2022 397,537 58,930 456,467
Profit for the period 1,036,672 1,036,672
Dividends (1,238,305 ) (1,238,305 )
At 30 September 2023 195,904 58,930 254,834

The retained earnings are the cumulative profit and loss net of distributions to the parent company.

The share premium account represents amounts paid for share capital in excess of the par value.

19. PENSION COMMITMENTS

The company makes contributions to a defined contribution pension scheme. During the period contributions of £39,251 (2022: £20,006) were paid. The contributions due are those specified under the legal requirements of Auto-enrolment. The cost of these contributions are charged to the statement of comprehensive income on an accruals basis as they become payable under the scheme.

20. ULTIMATE PARENT COMPANY

Drivers Direct Recruitment Group Limited is regarded by the directors as being the company's ultimate parent company.

The registered office where the financial statements may be obtained is 2 Lakeview Stables, Lower St. Clere, Kemsing, Sevenoaks, Kent, TN15 6NL.

Drivers Direct Recruitment Group Limited holds 100% of the voting shares in Drivers Direct Recruitment Agency Limited.

The principal place of business of the parent is 13 Whitworth Court, Runcorn, Cheshire, WA7 1WA.

21. RELATED PARTY DISCLOSURES

At the balance sheet date, some directors were owed a combined £88,436 and one director owed the company £4,215 (2022: directors owed the company £36,289). No interest has been charged on this balance.

During the period, dividends were paid to the directors via the parent company.

Directors remuneration is disclosed in note 4 to the financial statements.

22. ULTIMATE CONTROLLING PARTY

The controlling party is Drivers Direct Recruitment Group Limited.

The ultimate controlling party is D Jellicoe.

Drivers Direct Recruitment Group Ltd prepares group financial statements. The registered office of Drivers Direct Recruitment Group Ltd is 2 Lakeview Stables, Lower St. Clere, Kemsing, Sevenoaks, Kent TN15 6NL.