IRIS Accounts Production v24.2.0.383 07035020 Board of Directors 1.1.23 31.12.23 31.12.23 Medium entities true false true true false false false true false These accounts have been prepared in accordance with the provisions applicable to companies subject to the medium-sized companies regime. Ordinary 1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh070350202022-12-31070350202023-12-31070350202023-01-012023-12-31070350202021-12-31070350202022-01-012022-12-31070350202022-12-3107035020ns15:EnglandWales2023-01-012023-12-3107035020ns14:PoundSterling2023-01-012023-12-3107035020ns10:Director12023-01-012023-12-3107035020ns10:PrivateLimitedCompanyLtd2023-01-012023-12-3107035020ns10:MediumEntities2023-01-012023-12-3107035020ns10:Audited2023-01-012023-12-3107035020ns10:Medium-sizedCompaniesRegimeForDirectorsReport2023-01-012023-12-3107035020ns10:Medium-sizedCompaniesRegimeForAccounts2023-01-012023-12-3107035020ns10:FullAccounts2023-01-012023-12-310703502012023-01-012023-12-3107035020ns10:OrdinaryShareClass12023-01-012023-12-3107035020ns10:Director22023-01-012023-12-3107035020ns10:Director32023-01-012023-12-3107035020ns10:Director42023-01-012023-12-3107035020ns5:CurrentFinancialInstruments2023-12-3107035020ns5:CurrentFinancialInstruments2022-12-3107035020ns5:Non-currentFinancialInstruments2023-12-3107035020ns5:Non-currentFinancialInstruments2022-12-3107035020ns5:ShareCapital2023-12-3107035020ns5:ShareCapital2022-12-3107035020ns5:RetainedEarningsAccumulatedLosses2023-12-3107035020ns5:RetainedEarningsAccumulatedLosses2022-12-3107035020ns5:ShareCapital2021-12-3107035020ns5:RetainedEarningsAccumulatedLosses2021-12-3107035020ns5:RetainedEarningsAccumulatedLosses2022-01-012022-12-3107035020ns5:RetainedEarningsAccumulatedLosses2023-01-012023-12-3107035020ns5:NetGoodwill2023-01-012023-12-3107035020ns5:PlantMachinery2023-01-012023-12-3107035020ns5:FurnitureFittings2023-01-012023-12-3107035020ns5:MotorVehicles2023-01-012023-12-3107035020ns5:ComputerEquipment2023-01-012023-12-3107035020ns15:UnitedKingdom2023-01-012023-12-3107035020ns15:UnitedKingdom2022-01-012022-12-3107035020ns15:Europe2023-01-012023-12-3107035020ns15:Europe2022-01-012022-12-3107035020ns5:TotalGeographicSegmentsIncludingAnyUnallocatedAmount2023-01-012023-12-3107035020ns5:TotalGeographicSegmentsIncludingAnyUnallocatedAmount2022-01-012022-12-3107035020ns5:OwnedAssets2023-01-012023-12-3107035020ns5:OwnedAssets2022-01-012022-12-3107035020ns5:LeasedAssets2023-01-012023-12-3107035020ns5:LeasedAssets2022-01-012022-12-3107035020ns5:NetGoodwill2022-01-012022-12-3107035020ns5:HirePurchaseContracts2023-01-012023-12-3107035020ns5:HirePurchaseContracts2022-01-012022-12-3107035020ns10:OrdinaryShareClass12022-01-012022-12-3107035020ns5:NetGoodwill2022-12-3107035020ns5:NetGoodwill2023-12-3107035020ns5:NetGoodwill2022-12-3107035020ns5:PlantMachinery2022-12-3107035020ns5:FurnitureFittings2022-12-3107035020ns5:MotorVehicles2022-12-3107035020ns5:ComputerEquipment2022-12-3107035020ns5:PlantMachinery2023-12-3107035020ns5:FurnitureFittings2023-12-3107035020ns5:MotorVehicles2023-12-3107035020ns5:ComputerEquipment2023-12-3107035020ns5:PlantMachinery2022-12-3107035020ns5:FurnitureFittings2022-12-3107035020ns5:MotorVehicles2022-12-3107035020ns5:ComputerEquipment2022-12-3107035020ns5:PlantMachineryns5:LeasedAssetsHeldAsLessee2022-12-3107035020ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2022-12-3107035020ns5:LeasedAssetsHeldAsLessee2022-12-3107035020ns5:PlantMachineryns5:LeasedAssetsHeldAsLessee2023-01-012023-12-3107035020ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2023-01-012023-12-3107035020ns5:LeasedAssetsHeldAsLessee2023-01-012023-12-3107035020ns5:PlantMachineryns5:LeasedAssetsHeldAsLessee2023-12-3107035020ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2023-12-3107035020ns5:LeasedAssetsHeldAsLessee2023-12-3107035020ns5:PlantMachineryns5:LeasedAssetsHeldAsLessee2022-12-3107035020ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2022-12-3107035020ns5:LeasedAssetsHeldAsLessee2022-12-3107035020ns5:WithinOneYearns5:CurrentFinancialInstruments2023-12-3107035020ns5:WithinOneYearns5:CurrentFinancialInstruments2022-12-3107035020ns5:WithinOneYearns5:CurrentFinancialInstrumentsns5:HirePurchaseContracts2023-12-3107035020ns5:WithinOneYearns5:CurrentFinancialInstrumentsns5:HirePurchaseContracts2022-12-3107035020ns5:BetweenOneFiveYearsns5:HirePurchaseContracts2023-12-3107035020ns5:BetweenOneFiveYearsns5:HirePurchaseContracts2022-12-3107035020ns5:HirePurchaseContracts2023-12-3107035020ns5:HirePurchaseContracts2022-12-3107035020ns5:WithinOneYear2023-12-3107035020ns5:WithinOneYear2022-12-3107035020ns5:BetweenOneFiveYears2023-12-3107035020ns5:BetweenOneFiveYears2022-12-3107035020ns5:MoreThanFiveYears2023-12-3107035020ns5:MoreThanFiveYears2022-12-3107035020ns5:AllPeriods2023-12-3107035020ns5:AllPeriods2022-12-3107035020ns5:Secured2023-12-3107035020ns5:Secured2022-12-3107035020ns5:DeferredTaxation2022-12-3107035020ns5:DeferredTaxation2023-01-012023-12-3107035020ns5:DeferredTaxation2023-12-3107035020ns10:OrdinaryShareClass12023-12-3107035020ns5:RetainedEarningsAccumulatedLosses2022-12-3107035020ns5:OtherRelatedParties2023-01-012023-12-3107035020ns5:OtherRelatedParties2022-01-012022-12-3107035020ns5:OtherRelatedParties2023-12-3107035020ns5:OtherRelatedParties2022-12-31
REGISTERED NUMBER: 07035020 (England and Wales)















Strategic Report, Report of the Directors and

Audited Financial Statements for the Year Ended 31 December 2023

for

BACA Workwear & Safety Ltd

BACA Workwear & Safety Ltd (Registered number: 07035020)






Contents of the Financial Statements
for the Year Ended 31 December 2023




Page

Strategic Report 1

Report of the Directors 2

Report of the Independent Auditors 3

Statement of Comprehensive Income 6

Balance Sheet 7

Statement of Changes in Equity 8

Cash Flow Statement 9

Notes to the Cash Flow Statement 10

Notes to the Financial Statements 12


BACA Workwear & Safety Ltd (Registered number: 07035020)

Strategic Report
for the Year Ended 31 December 2023

The directors present their strategic report for the year ended 31 December 2023.

REVIEW OF BUSINESS
The company has generated £15,086,056 (2022: £18,558,343) of turnover due to excellent products and customer service. The company has generated £3,151,234 of profits before tax for the year (2022: £62,585). This includes a gain on disposal of goodwill to a group company of £2,328,106 and the underlying trading profit before tax is £823,127.

At the period end the company had shareholders funds of £4,437,611 (2022: £1,502,641) including distributable profits of £4,437,610 (2022: £1,502,640). The directors therefore believe the company's position to be satisfactory, especially as the company's current assets exceed its current liabilities by £4,266,753 (2022: £1,889,175).

The group is undergoing a demerger process post year-end which will result in a net asset and net current asset reduction of £2,898,119.

The directors believe that there is a strong foundation to build the business and improve significantly on the current year's results.

PRINCIPAL RISKS AND UNCERTAINTIES
The directors have assessed the main risk facing the company as being increased competition from other national companies. These companies are able to sell similar products to those offered by the company at competitive prices, which could lead to decreasing margins. The directors believe that the quality of our products and customer service will help mitigate these risks and hope to see satisfactory trading results in the coming year.

ON BEHALF OF THE BOARD:





Mr M Calder - Director


26 September 2024

BACA Workwear & Safety Ltd (Registered number: 07035020)

Report of the Directors
for the Year Ended 31 December 2023

The directors present their report with the financial statements of the company for the year ended 31 December 2023.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of selling safety and work clothing.

DIVIDENDS
The total distribution of dividends for the year ended 31 December 2023 will be £109,894.

DIRECTORS
The directors who have held office during the period from 1 January 2023 to the date of this report are as follows:

Mr M Calder - resigned 10 April 2023
Mr B Calder - resigned 10 April 2023
Mr M Calder - appointed 10 April 2023
Mr A Calder - appointed 10 April 2023

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). 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.

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
Drummond Laurie CA are deemed to be reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:





Mr M Calder - Director


26 September 2024

Report of the Independent Auditors to the Members of
BACA Workwear & Safety Ltd

Opinion
We have audited the financial statements of BACA Workwear & Safety Ltd (the 'company') for the year ended 31 December 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 31 December 2023 and of its 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 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.

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 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 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 year 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
BACA Workwear & Safety Ltd


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 two, 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.

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.

Based on our understanding of the company, we identified that the principal risks of non-compliance with laws and regulations related to fraudulent manipulation of the financial statements, including the risk of override of controls, to reduce profits and tax liabilities. We determined that the most likely method of manipulation would be the posting of inappropriate journal entries. Audit procedures performed by the audit engagement team consisted of a review of large and unusual journal entries, challenging assumptions and judgements made by management in significant accounting estimates, discussions with management related to known or suspected instances of non-compliance with laws and regulations, review of Board minutes where available, and an evaluation of management controls designed to prevent and detect irregularities.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations or through collusion.

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
BACA Workwear & Safety 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.




Greig Brown (Senior Statutory Auditor)
for and on behalf of Drummond Laurie CA
Statutory Auditor
Unit 5
Gateway Business Park
Beancross Road
Grangemouth
FK3 8WX

26 September 2024

BACA Workwear & Safety Ltd (Registered number: 07035020)

Statement of Comprehensive Income
for the Year Ended 31 December 2023

31.12.23 31.12.22
Notes £    £   

TURNOVER 3 15,086,056 18,558,343

Cost of sales (11,092,666 ) (12,891,183 )
GROSS PROFIT 3,993,390 5,667,160

Administrative expenses (799,029 ) (5,561,905 )
OPERATING PROFIT 5 3,194,361 105,255


Interest payable and similar expenses 7 (43,127 ) (42,670 )
PROFIT BEFORE TAXATION 3,151,234 62,585

Tax on profit 8 (106,370 ) (13,312 )
PROFIT FOR THE FINANCIAL YEAR 3,044,864 49,273

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

3,044,864

49,273

BACA Workwear & Safety Ltd (Registered number: 07035020)

Balance Sheet
31 December 2023

31.12.23 31.12.22
Notes £    £   
FIXED ASSETS
Intangible assets 10 24,475 33,375
Tangible assets 11 294,498 943,077
318,973 976,452

CURRENT ASSETS
Stocks 12 1,471,855 5,616,115
Debtors 13 6,646,231 4,548,203
Cash at bank and in hand 517,809 151,100
8,635,895 10,315,418
CREDITORS
Amounts falling due within one year 14 (4,369,142 ) (8,426,243 )
NET CURRENT ASSETS 4,266,753 1,889,175
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,585,726

2,865,627

CREDITORS
Amounts falling due after more than one
year

15

(95,279

)

(1,181,332

)

PROVISIONS FOR LIABILITIES 19 (52,836 ) (181,654 )
NET ASSETS 4,437,611 1,502,641

CAPITAL AND RESERVES
Called up share capital 20 1 1
Retained earnings 21 4,437,610 1,502,640
SHAREHOLDERS' FUNDS 4,437,611 1,502,641

The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2024 and were signed on its behalf by:





Mr M Calder - Director


BACA Workwear & Safety Ltd (Registered number: 07035020)

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 1 1,760,585 1,760,586

Changes in equity
Dividends - (307,218 ) (307,218 )
Total comprehensive income - 49,273 49,273
Balance at 31 December 2022 1 1,502,640 1,502,641

Changes in equity
Dividends - (109,894 ) (109,894 )
Total comprehensive income - 3,044,864 3,044,864
Balance at 31 December 2023 1 4,437,610 4,437,611

BACA Workwear & Safety Ltd (Registered number: 07035020)

Cash Flow Statement
for the Year Ended 31 December 2023

31.12.23 31.12.22
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 1,977,465 423,114
Interest paid (27,243 ) (17,243 )
Interest element of hire purchase payments
paid

(15,884

)

(25,427

)
Tax paid 118,046 309
Net cash from operating activities 2,052,384 380,753

Cash flows from investing activities
Purchase of tangible fixed assets (19,709 ) (207,633 )
Sale of tangible fixed assets - 110,204
Net cash from investing activities (19,709 ) (97,429 )

Cash flows from financing activities
New loans in year - 74,977
Loan repayments in year (151,890 ) (138,573 )
Capital repayments in year (81,099 ) (75,849 )
Equity dividends paid (109,894 ) (307,218 )
Net cash from financing activities (342,883 ) (446,663 )

Increase/(decrease) in cash and cash equivalents 1,689,792 (163,339 )
Cash and cash equivalents at beginning of
year

2

(1,171,983

)

(1,008,644

)

Cash and cash equivalents at end of year 2 517,809 (1,171,983 )

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Cash Flow Statement
for the Year Ended 31 December 2023

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
31.12.23 31.12.22
£    £   
Profit before taxation 3,151,234 62,585
Depreciation charges 255,397 410,122
Profit on disposal of fixed assets (2,392,967 ) (47,183 )
Finance costs 43,127 42,670
1,056,791 468,194
Decrease/(increase) in stocks 694,869 (724,198 )
Decrease in trade and other debtors 2,965,027 107,230
(Decrease)/increase in trade and other creditors (2,739,222 ) 571,888
Cash generated from operations 1,977,465 423,114

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 517,809 151,100
Bank overdrafts - (1,323,083 )
517,809 (1,171,983 )
Year ended 31 December 2022
31.12.22 1.1.22
£    £   
Cash and cash equivalents 151,100 13,306
Bank overdrafts (1,323,083 ) (1,021,950 )
(1,171,983 ) (1,008,644 )


BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Cash Flow Statement
for the Year Ended 31 December 2023

3. ANALYSIS OF CHANGES IN NET DEBT

Other
non-cash
At 1.1.23 Cash flow changes At 31.12.23
£    £    £    £   
Net cash
Cash at bank
and in hand 151,100 366,709 517,809
Bank overdrafts (1,323,083 ) 1,323,083 -
(1,171,983 ) 1,689,792 517,809
Debt
Finance leases (329,383 ) 269,907 (83,654 ) (143,130 )
Debts falling due
within 1 year (482,123 ) 152,610 - (329,513 )
(811,506 ) 422,517 (83,654 ) (472,643 )
Total (1,983,489 ) 2,112,309 (83,654 ) 45,166

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements
for the Year Ended 31 December 2023

1. STATUTORY INFORMATION

BACA Workwear & Safety Ltd is a private company, limited by shares, domiciled in England, registration number 07035020. The registered office is Unit 3 Clayfield Close, Moulton Park, Northampton, NN3 6QN.

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.

Related party exemption
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with group companies.

Turnover
Turnover represents net invoiced sales of safety and work clothing, excluding value added tax. Sales are recognised at the point at which the goods are delivered.

Goodwill
Goodwill, being the amount paid in connection with the acquisition of a business in 2016, is being amortised evenly over its estimated useful life of ten years.

Tangible fixed assets and depreciation
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Plant and machinery - 25% on cost and 20% on cost
Fixtures and fittings - 25% on cost
Motor vehicles - 25% on reducing balance
Computer equipment - 25% on cost

Tangible fixed assets are stated at cost less depreciation. Cost represent purchase price together with any incidental costs of acquisition.

The directors have considered the residual value of all tangible fixed assets to be immaterial and therefore all tangible fixed assets are depreciated to nil value.

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. Cost is represented by purchase price.

Taxation
Taxation for the year 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.


BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the 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.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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.

Provisions
Provisions are recognised when the company has a legal or constructive obligation as a result of a past event, it is probable that an outflow of resources will be required to settle the obligation, and the amount has been reliably estimated. Provisions are not recognised for future operating losses. Provisions are discounted where the time value of money is material.

Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is
determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations may be small.

Cash and cash equivalents
Cash and cash equivalents include cash at bank and in hand and highly liquid interest-bearing securities with maturities of three months or less. In the cash-flow statement, cash and cash equivalents are shown net of bank overdrafts, which are included as current borrowings in liabilities on the balance sheet.

3. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by geographical market is given below:

31.12.23 31.12.22
£    £   
United Kingdom 14,823,995 17,659,050
Europe 148,573 428,852
Rest of World 113,488 470,441
15,086,056 18,558,343

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

4. EMPLOYEES AND DIRECTORS
31.12.23 31.12.22
£    £   
Wages and salaries 2,255,722 3,767,048
Social security costs 203,498 335,588
Other pension costs 32,110 56,547
2,491,330 4,159,183

The average number of employees during the year was as follows:
31.12.23 31.12.22

Employees 60 103

31.12.23 31.12.22
£    £   
Directors' remuneration 83,724 18,596
Directors' pension contributions to money purchase schemes 991 -

5. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

31.12.23 31.12.22
£    £   
Other operating leases 227,297 291,278
Depreciation - owned assets 218,945 294,589
Depreciation - assets on hire purchase contracts 27,552 106,633
Profit on disposal of fixed assets (2,392,967 ) (47,183 )
Goodwill amortisation 8,900 8,900
Auditors' remuneration 12,600 12,000

6. EXCEPTIONAL ITEMS

During the year, goodwill was sold to a group company resulting in a £2,328,106 gain included in administrative expenses.

In the prior year, £308,902 was written off as an irrecoverable bad debt in relation to monies owed by group company Veltuff France SAS.

7. INTEREST PAYABLE AND SIMILAR EXPENSES
31.12.23 31.12.22
£    £   
Loan interest 27,243 17,243
Hire purchase 15,884 25,427
43,127 42,670

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

8. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
31.12.23 31.12.22
£    £   
Current tax:
UK corporation tax 235,188 21,008
Under/overprovision - 4,941
Total current tax 235,188 25,949

Deferred tax (128,818 ) (12,637 )
Tax on profit 106,370 13,312

UK corporation tax was charged at 19%) in 2022.

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:

31.12.23 31.12.22
£    £   
Profit before tax 3,151,234 62,585
Profit multiplied by the standard rate of corporation tax in the UK of
23.521% (2022 - 19%)

741,202

11,891

Effects of:
Expenses not deductible for tax purposes 12,562 7,565
Income not taxable for tax purposes (562,850 ) (8,965 )
Depreciation in excess of capital allowances 44,274 10,517
Adjustments to tax charge in respect of previous periods - 4,941
Deferred tax movement (128,818 ) (12,637 )

Total tax charge 106,370 13,312

9. DIVIDENDS
31.12.23 31.12.22
£    £   
Ordinary share of £1
Final 109,894 307,218

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

10. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1 January 2023
and 31 December 2023 89,000
AMORTISATION
At 1 January 2023 55,625
Amortisation for year 8,900
At 31 December 2023 64,525
NET BOOK VALUE
At 31 December 2023 24,475
At 31 December 2022 33,375

11. TANGIBLE FIXED ASSETS
Fixtures
Plant and and Motor Computer
machinery fittings vehicles equipment Totals
£    £    £    £    £   
COST
At 1 January 2023 946,744 126,972 358,203 422,143 1,854,062
Additions 57,412 - 45,951 - 103,363
Disposals (447,334 ) (43,329 ) (237,050 ) (211,101 ) (938,814 )
At 31 December 2023 556,822 83,643 167,104 211,042 1,018,611
DEPRECIATION
At 1 January 2023 519,757 92,810 139,541 158,877 910,985
Charge for year 97,017 8,569 53,136 87,775 246,497
Eliminated on disposal (191,680 ) (23,367 ) (116,939 ) (101,383 ) (433,369 )
At 31 December 2023 425,094 78,012 75,738 145,269 724,113
NET BOOK VALUE
At 31 December 2023 131,728 5,631 91,366 65,773 294,498
At 31 December 2022 426,987 34,162 218,662 263,266 943,077

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

11. TANGIBLE FIXED ASSETS - continued

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Plant and Motor
machinery vehicles Totals
£    £    £   
COST
At 1 January 2023 294,448 265,154 559,602
Additions 49,163 45,951 95,114
Disposals (173,738 ) (156,664 ) (330,402 )
Transfer to ownership (84,790 ) (63,490 ) (148,280 )
At 31 December 2023 85,083 90,951 176,034
DEPRECIATION
At 1 January 2023 133,586 108,233 241,819
Charge for year 10,780 16,772 27,552
Eliminated on disposal (44,130 ) (47,316 ) (91,446 )
Transfer to ownership (81,196 ) (43,748 ) (124,944 )
At 31 December 2023 19,040 33,941 52,981
NET BOOK VALUE
At 31 December 2023 66,043 57,010 123,053
At 31 December 2022 160,862 156,921 317,783

12. STOCKS
31.12.23 31.12.22
£    £   
Finished goods 1,471,855 5,616,115

13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.23 31.12.22
£    £   
Trade debtors 964,226 3,639,614
Amounts owed by group undertakings 5,596,248 632,541
Amounts owed by related parties 29,479 -
Tax - 118,046
Prepayments and accrued income 56,278 158,002
6,646,231 4,548,203

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.23 31.12.22
£    £   
Bank loans and overdrafts (see note 16) - 1,434,510
Other loans (see note 16) 329,513 370,696
Hire purchase contracts (see note 17) 47,851 148,051
Trade creditors 903,540 3,738,655
Amounts owed to group undertakings 2,543,087 1,762,415
Amounts owed to related parties - 269,259
Tax 235,188 -
Social security and other taxes 41,508 102,454
VAT 156,808 396,068
Accruals and deferred income 111,647 204,135
4,369,142 8,426,243

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
31.12.23 31.12.22
£    £   
Hire purchase contracts (see note 17) 95,279 181,332
Amounts owed to group undertakings - 1,000,000
95,279 1,181,332

16. LOANS

An analysis of the maturity of loans is given below:

31.12.23 31.12.22
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts - 1,323,083
Bank loans - 111,427
Other loans 329,513 370,696
329,513 1,805,206

17. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts
31.12.23 31.12.22
£    £   
Net obligations repayable:
Within one year 47,851 148,051
Between one and five years 95,279 181,332
143,130 329,383

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

17. LEASING AGREEMENTS - continued

Non-cancellable operating leases
31.12.23 31.12.22
£    £   
Within one year 35,000 124,000
Between one and five years 140,000 140,000
In more than five years 35,000 70,000
210,000 334,000

18. SECURED DEBTS

The following secured debts are included within creditors:

31.12.23 31.12.22
£    £   
Bank overdraft - 1,323,083
Hire purchase contracts 143,130 329,383
143,130 1,652,466

Hire purchase contracts are secured on the assets to which they relate.

Barclays Bank PLC hold a standard security over property held by the group in respect of the overdraft facility.

19. PROVISIONS FOR LIABILITIES
31.12.23 31.12.22
£    £   
Deferred tax 52,836 181,654

Deferred
tax
£   
Balance at 1 January 2023 181,654
Provided during year (128,818 )
Balance at 31 December 2023 52,836

20. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 31.12.23 31.12.22
value: £    £   
1 Ordinary £1 1 1

BACA Workwear & Safety Ltd (Registered number: 07035020)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

21. RESERVES
Retained
earnings
£   

At 1 January 2023 1,502,640
Profit for the year 3,044,864
Dividends (109,894 )
At 31 December 2023 4,437,610

22. ULTIMATE PARENT COMPANY

BACA Holdings Ltd is regarded by the directors as being the company's ultimate parent company.

BACA Holdings Ltd is registered in England under registration number 07035110. The registered office is Unit 3 Clayfield Close, Moulton Park, Northampton, NN3 6QN.

23. RELATED PARTY DISCLOSURES

Other related parties
31.12.23 31.12.22
£    £   
Sales 98,573 386,953
Purchases - 218,238
Amount due from related parties 29,479 -
Amount due to related parties - 269,259

24. ULTIMATE CONTROLLING PARTY

The company is under the ultimate control of the Board of Directors.