REGISTERED NUMBER: 14125335 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
Toll Bar 1 Ltd |
Trading as |
Tyre-Line Group |
REGISTERED NUMBER: 14125335 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
Toll Bar 1 Ltd |
Trading as |
Tyre-Line Group |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
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 Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 18 |
Toll Bar 1 Ltd |
Trading as Tyre-Line Group |
Company Information |
for the Year Ended 31 December 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Azzurri House |
Walsall Road |
Aldridge |
Walsall |
West Midlands |
WS9 0RB |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
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 |
We aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year end. Our review is consistent with the size and non-complex nature of our business and is written in the context of the risks and uncertainties we face. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Our forecast for 2024 shows an increase in turnover on this year, due to the acquisition of CR Products Ltd in June 2024. As a group we keep tight control over new customers to minimise bad debts. |
Credit risk is managed through only trading with creditworthy third parties and all receivable balances are monitored on an ongoing basis. |
Liquidity risk is the risk that the group will not have sufficient cash and debt facilities to meet future obligations. The group prepares annual forecasts of future requirements and monitors cash flow on an ongoing basis. |
As for many businesses of our size, the business environment in which we operate continues to be challenging. Whilst the market is competitive, the group is well established and has strong customer loyalty and the directors feel confident that the group can deal with the challenges ahead. |
With these risks and uncertainties in mind, we are aware that any plans for the future development of the business may be subject to unforeseen future events outside of our control. |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Group Strategic Report |
for the Year Ended 31 December 2023 |
KEY PERFORMANCE INDICATORS |
We consider turnover and gross margin as the key financial performance indicators that best communicate the overall financial performance and strength of the group. |
- Turnover: In 2023, overall turnover increased to £13,085,976 from £12,902,136 in 2022. This growth was supported by a strengthening presence in the truck aftermarket sector, despite the challenges posed by the OEM market. |
- Gross Margin: The gross margin improved slightly to 26.3% in 2023, up from 24.5% in 2022. This increase reflects |
our ability to control direct costs despite inflationary pressures experienced throughout the year. |
Throughout the year, we maintained a healthy order book, strengthened existing customer relationships, and created new opportunities by developing original solutions in the tyre and wheel industry. We continue to navigate economic challenges to ensure sustained high performance. |
We anticipate increased financial performance in 2024, following the groups acquisition of 100% share capital of CR Products Ltd, which took place in June 2024. |
Other Key Performance Indicators |
The group closely monitors the economy, markets, and global events to minimize risks to our business. Our ISO |
9001-approved quality systems ensure that we have robust controls in place and effective plans to mitigate the impact of any significant challenges. |
The safety and welfare of our employees remain a top priority, and we are increasingly focused on monitoring and |
reducing our environmental impact. The group is committed to continuously improving its systems and planning |
policies that will lead the business toward a positive, prudent, and financially successful future. |
ON BEHALF OF THE BOARD: |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
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. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of the purchase and sale of tyres, wheels and associated parts. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 December 2023 will be £ 1,023 . |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
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. |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Report of the Directors |
for the Year Ended 31 December 2023 |
AUDITORS |
The auditors, BK Plus Audit 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 |
Toll Bar 1 Ltd |
Opinion |
We have audited the financial statements of Toll Bar 1 Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other 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 |
Toll Bar 1 Ltd |
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: |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. |
From the preliminary of the audit, we ensure our understanding of the entity is up to date. This includes, but is not limited to, current knowledge of their activities, the business and control environments, and their compliance with the applicable legal and regulatory frameworks. This information supports our risk identification and the subsequent design of audit procedures to mitigate those risks; ensuring that the audit evidence obtained is sufficient and appropriate to support our opinion. |
In response to the risks identified, specific to this entity, we designed procedures which included, but were not limited to: |
- Enquiry of management and those charged with governance around actual and potential litigation and claims; |
- Reviewing minutes of meetings of those charged with governance, if available; |
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; |
- Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale for significant transactions outside the normal course of business. |
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 |
Toll Bar 1 Ltd |
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 |
Azzurri House |
Walsall Road |
Aldridge |
Walsall |
West Midlands |
WS9 0RB |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Consolidated Income Statement |
for the Year Ended 31 December 2023 |
Year Ended | Period |
31/12/23 | 23/5/22 to 31/12/22 |
Notes | £ | £ | £ | £ |
TURNOVER | 13,085,976 | 3,042,916 |
Cost of sales | 9,641,207 | 2,212,535 |
GROSS PROFIT | 3,444,769 | 830,381 |
Distribution costs | 401,208 | 103,030 |
Administrative expenses | 2,484,586 | 579,920 |
2,885,794 | 682,950 |
OPERATING PROFIT | 4 | 558,975 | 147,431 |
Interest payable and similar expenses | 5 | 72,018 | 13,793 |
PROFIT BEFORE TAXATION | 486,957 | 133,638 |
Tax on profit | 6 | 103,028 | 24,861 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 350,312 | 99,483 |
Non-controlling interests | 33,617 | 9,294 |
383,929 | 108,777 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Consolidated Other Comprehensive Income |
for the Year Ended 31 December 2023 |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 383,929 | 108,777 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
383,929 |
108,777 |
Total comprehensive income attributable to: |
Owners of the parent | 350,312 | 99,483 |
Non-controlling interests | 33,617 | 9,294 |
383,929 | 108,777 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Consolidated Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 | (119,317 | ) | (198,965 | ) |
Tangible assets | 10 | 873,287 | 981,918 |
Investments | 11 | - | - |
753,970 | 782,953 |
CURRENT ASSETS |
Stocks | 12 | 3,145,670 | 3,497,068 |
Debtors | 13 | 2,250,562 | 2,423,958 |
Cash at bank and in hand | 15,691 | 98,153 |
5,411,923 | 6,019,179 |
CREDITORS |
Amounts falling due within one year | 14 | 4,720,565 | 5,005,304 |
NET CURRENT ASSETS | 691,358 | 1,013,875 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
1,445,328 |
1,796,828 |
CREDITORS |
Amounts falling due after more than one year |
15 |
(453,761 |
) |
(1,175,885 |
) |
PROVISIONS FOR LIABILITIES | 18 | (194,445 | ) | (206,727 | ) |
NET ASSETS | 797,122 | 414,216 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 300 | 300 |
Capital redemption reserve | 20 | 460 | 460 |
Retained earnings | 20 | 448,772 | 99,483 |
SHAREHOLDERS' FUNDS | 449,532 | 100,243 |
NON-CONTROLLING INTERESTS | 347,590 | 313,973 |
TOTAL EQUITY | 797,122 | 414,216 |
The financial statements were approved by the Board of Directors and authorised for issue on 25 September 2024 and were signed on its behalf by: |
K C Ellington - Director |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Company Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Debtors | 13 |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
CREDITORS |
Amounts falling due after more than one year |
15 |
NET LIABILITIES | ( |
) | ( |
) |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) | ( |
) |
Company's loss for the financial year | (20,942 | ) | (2,255 | ) |
The financial statements were approved by the Board of Directors and authorised for issue on |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up | Capital |
share | Retained | redemption |
capital | earnings | reserve |
£ | £ | £ |
Changes in equity |
Issue of share capital | 300 | - | - |
Total comprehensive income | - | 99,483 | 460 |
300 | 99,483 | 460 |
Acquisition of non-controlling interest |
- |
- |
- |
Balance at 31 December 2022 | 300 | 99,483 | 460 |
Changes in equity |
Dividends | - | (1,023 | ) | - |
Total comprehensive income | - | 350,312 | - |
Balance at 31 December 2023 | 300 | 448,772 | 460 |
Non-controlling | Total |
Total | interests | equity |
£ | £ | £ |
Changes in equity |
Issue of share capital | 300 | - | 300 |
Total comprehensive income | 99,943 | 9,294 | 109,237 |
100,243 | 9,294 | 109,537 |
Acquisition of non-controlling interest |
- |
304,679 |
304,679 |
Balance at 31 December 2022 | 100,243 | 313,973 | 414,216 |
Changes in equity |
Dividends | (1,023 | ) | - | (1,023 | ) |
Total comprehensive income | 350,312 | 33,617 | 383,929 |
Balance at 31 December 2023 | 449,532 | 347,590 | 797,122 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Company Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Changes in equity |
Issue of share capital | - |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 December 2022 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 December 2023 | ( |
) | ( |
) |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 1,236,860 | (1,829,350 | ) |
Interest paid | (41,029 | ) | (7,473 | ) |
Interest element of hire purchase payments paid |
(30,989 |
) |
(6,320 |
) |
Tax paid | (56,000 | ) | (57,329 | ) |
Net cash from operating activities | 1,108,842 | (1,900,472 | ) |
Cash flows from investing activities |
Purchase of intangible fixed assets | (10,946 | ) | - |
Purchase of tangible fixed assets | (62,713 | ) | (4,758 | ) |
Sale of tangible fixed assets | - | 90,000 |
Acquisition net of cash | (500,000 | ) | (1,142,387 | ) |
Net cash from investing activities | (573,659 | ) | (1,057,145 | ) |
Cash flows from financing activities |
New loans in year | - | 1,524,336 |
Loan repayments in year | (87,499 | ) | (21,875 | ) |
Capital repayments in year | (126,685 | ) | (28,878 | ) |
Amount introduced by directors | - | 291,159 |
Amount withdrawn by directors | - | (291,739 | ) |
Equity dividends paid | (1,023 | ) | - |
Net cash from financing activities | (215,207 | ) | 1,473,003 |
Increase/(decrease) in cash and cash equivalents | 319,976 | (1,484,614 | ) |
Cash and cash equivalents at beginning of year |
2 |
(1,484,614 |
) |
- |
Cash and cash equivalents at end of year | 2 | (1,164,638 | ) | (1,484,614 | ) |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
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 |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
Profit before taxation | 486,957 | 133,638 |
Depreciation charges | 102,640 | 31,149 |
Loss on disposal of fixed assets | - | 2,242 |
Finance costs | 72,018 | 13,793 |
661,615 | 180,822 |
Decrease/(increase) in stocks | 351,398 | (3,497,067 | ) |
Decrease/(increase) in trade and other debtors | 173,396 | (2,423,959 | ) |
Increase in trade and other creditors | 50,451 | 3,910,854 |
Cash generated from operations | 1,236,860 | (1,829,350 | ) |
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 | 15,691 | 98,153 |
Bank overdrafts | (1,180,329 | ) | (1,582,767 | ) |
(1,164,638 | ) | (1,484,614 | ) |
Period ended 31 December 2022 |
31/12/22 | 23/5/22 |
£ | £ |
Cash and cash equivalents | 98,153 | - |
Bank overdrafts | (1,582,767 | ) | - |
(1,484,614 | ) | - |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1/1/23 | Cash flow | At 31/12/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 98,153 | (82,462 | ) | 15,691 |
Bank overdrafts | (1,582,767 | ) | 402,438 | (1,180,329 | ) |
(1,484,614 | ) | 319,976 | (1,164,638 | ) |
Debt |
Finance leases | (624,445 | ) | 126,685 | (497,760 | ) |
Debts falling due within 1 year | (587,500 | ) | - | (587,500 | ) |
Debts falling due after 1 year | (678,125 | ) | 587,500 | (90,625 | ) |
(1,890,070 | ) | 714,185 | (1,175,885 | ) |
Total | (3,374,684 | ) | 1,034,161 | (2,340,523 | ) |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
1. | STATUTORY INFORMATION |
Toll Bar 1 Ltd is a |
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. |
The financial statements have been prepared on the going concern basis. If the company's shareholders, creditors and bankers do not continue to support the company, this basis will no longer be appropriate and adjustments will be required to reflect this change of accounting basis. |
Business combinations |
In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment. |
Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill. |
Basis of consolidation |
The consolidated group financial statements consist of the financial statements of the parent company Toll Bar 1 Ltd 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. |
Subsidiaries are consolidated in the group's financial statements from the date that control commences until the date that control ceases. |
Going concern |
In assessing the appropriateness of the going concern assumption, the Directors have reviewed detailed forecasts prepared for at least 12 months from the date of approval of the financial statements for both the Company and the Group and stress-tested these. Based on these forecasts, even under stressed results, both the Company and the Group can meet its liabilities as they fall due. The Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future and therefore consider that it is appropriate for the financial statements to be prepared on the going concern basis. |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
Significant judgements and estimates |
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. In the view of the directors, there are no material estimates or judgements. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover is recognised in the financial statements when the goods have been despatched. |
Goodwill |
Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 3 years. |
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit |
from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at |
least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |
Plant and machinery | - 10% on cost |
Fixtures and fittings | - 10% on cost |
Motor vehicles | - 25% on cost |
Computer equipment | - 33% on cost |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items |
Financial instruments |
The company only enters into basis financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. |
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest rate method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in a case of an out-right short term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. |
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of comprehensive income. |
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. |
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive if the asset were to be sold at the reporting date. |
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are usually recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or income as appropriate. The company does not currently apply hedge accounting for interest rate and foreign exchange derivatives. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 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 year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, and hire purchase contracts, are capitalised in the balance sheet and are depreciated over their useful lives. The capital elements of future obligations under the leases and hire purchase contracts are included as liabilities in the balance sheet. |
The interest element of the rental obligations are charged in the profit and loss account over the periods of the leases and hire purchase contracts and represent an equal charge in each period over the term of the agreement. |
Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. The assets of these schemes are held separately from those of the company in independently administered funds. Contributions payable for the year are charged in the profit and loss account |
3. | EMPLOYEES AND DIRECTORS |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
Wages and salaries | 1,004,330 | 251,420 |
Social security costs | 102,594 | 21,491 |
Other pension costs | 16,132 | 7,626 |
1,123,056 | 280,537 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
3. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
Administration staff | 17 | 15 |
Production and sales staff | 18 | 20 |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
Directors' remuneration | 53,608 | 16,807 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
Hire of plant and machinery | 1,215 | - |
Other operating leases | 236,830 | 55,826 |
Depreciation - owned assets | 75,264 | 49,237 |
Depreciation - assets on hire purchase contracts | 96,080 | - |
Loss on disposal of fixed assets | - | 2,242 |
Goodwill amortisation | (68,702 | ) | (18,088 | ) |
Auditors' remuneration | 14,750 | 2,687 |
Foreign exchange differences | 30,808 | (9,997 | ) |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
Bank interest | 297 | - |
Bank loan interest | 19,225 | 4,806 |
Interest payable | 21,507 | 2,667 |
Hire purchase | 30,989 | 6,320 |
72,018 | 13,793 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
Current tax: |
UK corporation tax | 115,310 | - |
Deferred tax | (12,282 | ) | 24,861 |
Tax on profit | 103,028 | 24,861 |
The statutory UK corporation tax rate is currently 25%, effective from 1 April 2023. |
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, based on tax law and the corporation tax rates that have been enacted, or substantially enacted, at 31 December 2023. For the year ended 31 December 2023, the substantively enacted rate of 25% has been utilised to calculate the closing deferred taxation balances. |
7. | 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. |
8. | DIVIDENDS |
Period |
23/5/22 |
Year Ended | to |
31/12/23 | 31/12/22 |
£ | £ |
shares of each |
Final | 1,023 | - |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
9. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 January 2023 | (217,053 | ) |
Additions | 10,946 |
At 31 December 2023 | (206,107 | ) |
AMORTISATION |
At 1 January 2023 | (18,088 | ) |
Amortisation for year | (68,702 | ) |
At 31 December 2023 | (86,790 | ) |
NET BOOK VALUE |
At 31 December 2023 | (119,317 | ) |
At 31 December 2022 | (198,965 | ) |
For details of accounting policy, please see note 2. Business combinations. |
10. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Plant and | and | Motor | Computer |
machinery | fittings | vehicles | equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2023 | 960,192 | 4,886 | 25,044 | 38,727 | 1,028,849 |
Additions | 36,842 | 22,766 | - | 3,105 | 62,713 |
At 31 December 2023 | 997,034 | 27,652 | 25,044 | 41,832 | 1,091,562 |
DEPRECIATION |
At 1 January 2023 | 40,323 | 398 | 2,164 | 4,046 | 46,931 |
Charge for year | 149,026 | 1,823 | 7,939 | 12,556 | 171,344 |
At 31 December 2023 | 189,349 | 2,221 | 10,103 | 16,602 | 218,275 |
NET BOOK VALUE |
At 31 December 2023 | 807,685 | 25,431 | 14,941 | 25,230 | 873,287 |
At 31 December 2022 | 919,869 | 4,488 | 22,880 | 34,681 | 981,918 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor | Computer |
machinery | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2023 | 655,699 | 23,984 | 8,834 | 688,517 |
Additions | 9,392 | - | - | 9,392 |
At 31 December 2023 | 665,091 | 23,984 | 8,834 | 697,909 |
DEPRECIATION |
At 1 January 2023 | 22,081 | 1,894 | 1,019 | 24,994 |
Charge for year | 84,429 | 7,574 | 4,077 | 96,080 |
At 31 December 2023 | 106,510 | 9,468 | 5,096 | 121,074 |
NET BOOK VALUE |
At 31 December 2023 | 558,581 | 14,516 | 3,738 | 576,835 |
At 31 December 2022 | 633,618 | 22,090 | 7,815 | 663,523 |
11. | FIXED ASSET INVESTMENTS |
Subsidiaries |
Details of the company's subsidiaries at 31 December 2023 are as follows: |
Name of undertaking |
Registered office |
Class of shares held |
% held direct |
Tyre-line Original Equipment Ltd |
Cedar House, Sopwith Way, Daventry, Northamptonshire, NN11 8PB |
A Ordinary |
90 |
Tyre-Line Limited | Cedar House, Sopwith Way, Daventry, Northamptonshire, NN11 8PB |
Ordinary |
90 |
12. | STOCKS |
Group |
2023 | 2022 |
£ | £ |
Stocks | 3,234,193 | 3,463,648 |
Stock provision | (88,523 | ) | (95,956 | ) |
Goods in transit | - | 129,376 |
3,145,670 | 3,497,068 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 1,788,216 | 2,233,716 |
Bad debt provision | - | (19,461 | ) | - | - |
Credit note provision | (4,176 | ) | - | - | - |
Other debtors | 400 | 6,509 |
Called up share capital not paid | 301 | 301 |
Prepayments | 465,821 | 202,893 |
2,250,562 | 2,423,958 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Debentures (see note 16) | 500,000 | 500,000 |
Bank loans and overdrafts (see note 16) | 1,267,829 | 1,670,267 |
Hire purchase contracts (see note 17) | 134,624 | 126,685 |
Trade creditors | 1,065,177 | 957,983 |
Amounts owed to group undertakings | - | - |
Tax | 116,795 | 57,485 |
Social security and other taxes | 25,079 | 46,931 |
VAT | 205,770 | 230,463 | - | - |
Other creditors | 1,312,810 | 1,294,259 |
Accrued expenses | 92,481 | 121,231 |
4,720,565 | 5,005,304 |
The bank loans and overdrafts with Tyre-line Original Equipment Ltd are secured by a fixed charge over the |
company's fixtures, and a floating charge over the company's other assets. |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Debentures (see note 16) | - | 500,000 |
Bank loans (see note 16) | 90,625 | 178,125 |
Hire purchase contracts (see note 17) | 363,136 | 497,760 |
453,761 | 1,175,885 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
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 | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Debentures | 500,000 | 500,000 | 500,000 | 500,000 |
Bank overdrafts | 1,180,329 | 1,582,767 |
Bank loans | 87,500 | 87,500 |
1,767,829 | 2,170,267 |
Amounts falling due between one and two | years: |
Debentures - 1-2 years | - | 500,000 |
Bank loans - 1-2 years | 90,625 | 87,500 |
90,625 | 587,500 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | - | 90,625 |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 134,624 | 126,685 |
Between one and five years | 317,800 | 398,021 |
In more than five years | 45,336 | 99,739 |
497,760 | 624,445 |
Group |
Non-cancellable | operating leases |
2023 | 2022 |
£ | £ |
Within one year | 210,000 | 210,000 |
Between one and five years | 105,000 | 315,000 |
315,000 | 525,000 |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
17. | LEASING AGREEMENTS - continued |
Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. |
The average lease term is 5 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments. |
18. | PROVISIONS FOR LIABILITIES |
Group |
2023 | 2022 |
£ | £ |
Deferred tax | 194,445 | 206,727 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 206,727 |
Acquired on acquisition |
Accelerated capital allowances | (24,860 | ) |
Tax losses utilised in year | 12,578 |
Balance at 31 December 2023 | 194,445 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | 1 | 300 | 300 |
20. | RESERVES |
Group |
Capital |
Retained | redemption |
earnings | reserve | Totals |
£ | £ | £ |
At 1 January 2023 | 99,483 | 460 | 99,943 |
Profit for the year | 350,312 | 350,312 |
Dividends | (1,023 | ) | (1,023 | ) |
At 31 December 2023 | 448,772 | 460 | 449,232 |
Capital redemption reserve |
The reserve records the nominal value of shares repurchased by the company. |
Profit and loss reserves |
The reserve records retained earnings and accumulated losses. |
Toll Bar 1 Ltd (Registered number: 14125335) |
Trading as Tyre-Line Group |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
21. | RELATED PARTY DISCLOSURES |
Transactions with related parties |
During the year the group entered into the following transactions with related parties: |
2023 | 2023 | 2022 | 2022 |
Group | Sales | Purchases | Sales | Purchases |
Entities under common control: | £ | £ | £ | £ |
Pinnacle International Freight Limited | - | 150,029 | - | 151,851 |
CR Products Limited | 2,020 | 79,988 | - | 12,597 |
K2 Management Solutions Limited | - | 92,952 | - | 50,384 |
KD3 Accountancy Services Limited | - | 4,526 | - | - |
Pinnacle FFG International Limited | - | 93,114 | - | 12,738 |
2,020 | 420,609 | - | 227,570 |
Company |
Entities with control, joint control or significant influence over the company: |
- | - | - | - |
- | - | - | - |
The following amounts were outstanding at the reporting end date: |
Amounts due to related parties |
Group | 2023 | 2022 |
Entities under common control: | £ | £ |
Pinnacle International Freight Limited | 1,039,569 | 1,046,509 |
CR Products Limited | 7,562 | 7,500 |
K2 Management Solutions Limited | 89,925 | 55,000 |
KD3 Accountancy Services Limited | 158 | - |
Pinnacle FFG International Limited | 5,200 | 5,375 |
1,142,414 | 1,114,384 |
Company |
Entities under common control: |
Pinnacle International Freight Limited | 1,030,000 | 1,030,000 |
Tyre-line Original Equipment Ltd | 752,844 | 241,898 |
1,782,844 | 1,271,898 |
22. | POST BALANCE SHEET EVENTS |
In June 2024 Toll Bar 1 Limited purchased 100% of the issued share capital of CR Products Limited. |