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REGISTERED NUMBER: 02360505 (England and Wales)











GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

FOR

GUARDSMAN INDUSTRIES LIMITED

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)






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 5

Report of the Independent Auditors 8

Consolidated Statement of Comprehensive Income 12

Consolidated Statement of Financial Position 13

Company Statement of Financial Position 14

Consolidated Statement of Changes in Equity 15

Company Statement of Changes in Equity 16

Consolidated Statement of Cash Flows 17

Notes to the Consolidated Statement of Cash Flows 18

Notes to the Consolidated Financial Statements 19


GUARDSMAN INDUSTRIES LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 DECEMBER 2023







DIRECTORS: T P Mrotek
Ms E E Mulloy





SECRETARY: Mrs E Shalette





REGISTERED OFFICE: C/O Corporation Service Company (UK) Ltd
5 Churchill Place
10th Floor
London
E14 5HU





REGISTERED NUMBER: 02360505 (England and Wales)





AUDITORS: Forvis Mazars LLP
Chartered Accountants
and Statutory Auditor
30 Old Bailey
London
EC4M 7AU

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present the annual report of Guardsman Industries Limited ("the Company") and its subsidiary, Guardsman Europe Limited (together "the Group") containing a Group Strategic Report, Report of the Directors and the financial statements for the year ended 31 December 2023.

PRINCIPAL ACTIVITIES
The principal activity of the Group during the period continues to be the marketing and distribution of Guardsman furniture protection plans, consumer products and furniture care kits. The Company acts as an agent in the sale and administration of fabric and furniture protection insurance policies. The Group operates from Abingdon, Oxfordshire supporting the UK, Republic of Ireland, The Netherlands and Spain. Guardsman Industries Limited has an Irish subsidiary, Guardsman Europe Limited, which sells and manages unregulated service plans and service requests in Ireland, Spain and the Netherlands. This subsidiary began trading in January 2021.

Guardsman Industries Limited is a master franchisor for a business that trades as 'Safeclean'. In this capacity, the Company sells franchises and supplies products and management services to its network of franchisees. Safeclean franchisees remove furniture and carpet stains.

Guardsman Industries Limited has also developed and successfully built up non-regulated furniture repair services to consumers and businesses, utilising the franchisee and repairer network.

REVIEW OF BUSINESS
The Group's key financial and other performance indicators during the period were as follows:

2023 2022
£   's £   's
Turnover 12,569 13,331
Operating (loss)/profit before interest and taxation (453 ) 710
Average number of employees 76 78

Profit and loss account

The performance for the 12 months ended 31 December 2023 was not in line with the expectations of the Directors as a result of difficult trading conditions and the profit-sharing arrangements provided for during the year, which resulted in a reported loss. The underlying trading of the Company delivered profitability, however this was lower than the previous year. The performance of the subsidiary was positive and is performing in line with expectations and continued to deliver good results through 2023. The directors are confident that the Group will return to profitability in 2024 and build on the solid baseline of 2023 and deliver growth in 2024, whilst expanding its range of products and services. The company will also continue to drive improvements in the claims funds and continue to deliver cost savings across the Group.

The (loss)/profit for the period, after taxation, amounted to (£485,557) (2022: profit of £662,086).

PRINCIPAL RISKS AND UNCERTAINTIES
The Group has implemented a co-ordinated set of risk management and control systems, including strategic planning and management reporting, to help anticipate, measure, monitor, and manage its exposure to risk. Risks which the Group faces include price and product competition, increases in costs and frequency of claims, loss of supply of product components, changes in the regulatory and legal environment, and credit and interest rate risks, which may increase due to the global shortage of credit. To address the risks the Group undertakers measures such as annual strategic plans for all product lines including SWOT analysis, full competitor analysis, along with constant monitoring of the regulatory environment reacting to any changes.


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

SECTION 172(1) STATEMENT
The Directors of the Company consider that they have acted in the way that would most likely promote the success of the Group for the benefit of its member (having regard to relevant stakeholders and matters set out in Section 172 (1) (a-f) of the Companies Act 2006) in the relevant decisions taken during the year ended 31 December 2023.

In coming to the conclusion, the Directors have considered who the stakeholders of the business are, the issues they need to take into consideration and concluded that the following stakeholders are material to the Group:
i. Shareholder: the Company is a wholly owned subsidiary of the Amynta Group. As such, it must ensure that its strategic decisions consider the interests of its shareholder and are aligned with the wider Amynta Group strategy. The shareholder expects the Company to generate profits and contribute to the Amynta Group results.
ii. Employees: employee culture, values, behaviours, and overall performance are central factors for the Group in ensuring good customer experience and elimination of conduct risk.
iii. Customers: the Group works in the best interests of its customers and therefore customer considerations are a key component of the Director's and Group's decision making.
iv. Suppliers and third parties: the Group seeks to maintain strong relationships with its suppliers to ensure quality of service, cost effectiveness, economies of scale and effective collaboration.
v. Regulators: the Company is authorised and regulated by the FCA. Ensuring there is a strong, open and cooperative relationship with the Group's regulator is a key objective for the Group and its Directors. This relationship underpins the Group's permissions to operate, its ability to carry out business and its reputation with customers and other stakeholders.

For each of these groups of stakeholders the Group and its Directors seek to ensure they understand and take account of their concerns through a process of engagement, namely:
i. Shareholder: The Chairman of the Group is the President of Global Consumer Warranty for the Amynta Group. Regular communications and reporting between the Directors and their Group counterparts ensure appropriate information flows.
ii. Employees: the Group seeks and listens to employee feedback, implementing suggestions where they are compatible with the Group's goals.
iii. Customers: the Group ensures that each customer relationship is managed in the most effective way and it is important to the Group to maintain a high standard of business conduct. The Group strives through constant training and monitoring of service levels to conclude claims quickly and fairly for our customers to deliver the best possible outcomes. We maintain a key focus on treating customers fairly and ensuring we have a flexible approach to meet the needs of a diverse customer base including specific consideration of the needs of vulnerable customers.
iv. Suppliers and third parties: the Group actively manages and promotes strong relationships with its suppliers and outsourced service providers to ensure good service, cost effectiveness, use of economies of scale and effective collaboration.
v. Regulators: The Group aims to maintain strong and effective relationships with the FCA, working in a collaborative manner to enable good customer outcomes while treating customers fairly. The importance of having an open and collaborative relationship with the regulators is embedded as a conduct requirement for all regulated staff.


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

ANALYSIS OF KEY PERFORMANCE INDICATORS
The Company measures its performance on a number of key performance indicators, including:

- increasing revenue
- controlling costs;
- operating margin;
- average number of employees;
- accurate monthly accounts closed by day 3 of month end;
- balance sheet accounts reconciled by end of the following month;
- statutory accounts filed on time and no penalties incurred;
- tax returns filed on time and no penalties incurred;

The Group continues to operate in a challenging environment with a significantly worsening economic landscape and the ongoing conflicts around the world which is leading to continued global instability. Ongoing regulatory focus in the form of the new Consumer Duty will also remain a priority for the business. Despite this, the Group is continuing to drive revenue growth both through its existing retail partners, the winning of new business and the development of new product lines. The Group continues to deliver the very highest levels of customer service.

The operational performance has remained a core strength and policies and claims management continue to be a key focus for the business. The Group is continuing to strive towards claims cost reductions, however this is becoming increasingly challenging as a result of inflation both locally and globally. However, following actuarial assessments, the Group has had to make further provisions for shortfalls in claims funds relating to historical policies. Action continues to be taken by the Group to substantially reduce the risk of further losses occurring.

Throughout 2023 the Group has continued its relationship with its underwriting partner, Fortegra Europe Insurance Company Limited, based in Malta, however the relationship was terminated at the end of May 2024. A new partnership long term partnership has been established with Acasta Europe starting in June 2024, and this will allow the Group to maintain its strong position in the market and successfully navigate the complex regulatory environment.

The Group has continued to develop and extend the business beyond the core furniture protection plan model. The Safeclean franchising model continues to receive investment in both training and marketing support to build network capability and strengthen the consumer proposition. Revenue and profit also continue to be built from Guardsman Professional Services to retailers for first year warranty work and the Group continues to acquire new customers in this area. The Group has also continued to enhance its consumer product range which is distributed through retailers, via an Amazon store and direct to consumers.

Following continued investment, the directors expect the Company to continue working towards profitability through the remainder of 2024 and into 2025.

ON BEHALF OF THE BOARD:





Ms E E Mulloy - Director


30 September 2024

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

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 principal activity of the Group during the period continues to be the marketing and distribution of Guardsman furniture protection plans, consumer products and furniture care kits. The Company acts as an agent in the sale and administration of fabric and furniture protection insurance policies. The Group operates from Abingdon, Oxfordshire supporting the UK, Republic of Ireland, The Netherlands and Spain. Guardsman Industries Limited has an Irish subsidiary, Guardsman Europe Limited, which sells and manages unregulated service plans and service requests in Ireland, Spain and the Netherlands. This subsidiary began trading in January 2021.

Guardsman Industries Limited is a master franchisor for a business that trades as 'Safeclean'. In this capacity, the Company sells franchises and supplies products and management services to its network of franchisees. Safeclean franchisees remove furniture and carpet stains.

Guardsman Industries Limited has also developed and successfully built up non-regulated furniture repair services to consumers and businesses, utilising the franchisee and repairer network.

DIVIDENDS
No dividends were paid or declared for the year ended 31 December 2023 (2022 - £nil).

FUTURE DEVELOPMENTS
The competitive and commercial trading environment for the business is likely to remain intense in 2024 and the directors expect the market to become more challenging. The new underwriting partnership with Acasta will allow the Company to continue to develop and support the existing and future regulated activities. The Company has invested a lot of time in further improving product value for consumers and has worked closely with their retail partners to achieve this.

The current economic situation with high interest rates has reduced demand for expensive purchases by consumers and the period of high inflation has left costs higher comparatively to previous financial years. This drives up costs of furniture repairs due to higher parts costs as well as replacement furniture being more expensive than previous years. These costs are being constantly monitored and action taken where necessary.

With the backing of the Amynta Group, the directors expect the Group to drive profit into the business through investment in further technology enhancements that will drive productivity and improve the customer experience. Guardsman Europe Limited continues to deliver profit and the Group has the opportunity to further expand across the European Union at the appropriate time.

The directors remain confident that the development and investments the Group is making in the core furniture protection plans will further increase market share and sales. As well as supporting the growth of existing retailers and gaining new retailers, Guardsman is looking to expand into new products and markets with the support of The Amynta Group.

Guardsman will also continue to develop and invest in the other business channels to support a complete consumer offering. The furniture care products range has grown over recent years and is being further expanded in 2024 through our online Amazon store. The professional services offering and the Safeclean franchise proposition also continue to see investment.

The directors and leadership team remain focused on delivery against defined strategic goals, which are designed to deliver further sales, customer experience improvements and profit growth in the coming years. This strategy includes growth driven by new customer wins and new product development; increased profit driven by process improvements and a cost focus; and technology innovations to further improve delivery of service excellence as well as driving productivity. The directors are confident that this strategy will continue to grow the Company and deliver against its objectives.


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 DECEMBER 2023

EVENTS SINCE THE END OF THE YEAR
The Company was party to an agreement with Blue Group UK Retail Limited (Blue Group) in which Blue Group believed they were owed monies. As agents and third-party administrators, any monies due to Blue Group would be recoverable from the carrier, thus the previous year financial statements included both debtor and creditor balances related to the aforementioned.

On 26 September 2024, Blue Group was dissolved. As a result, these entries were reversed as an adjusting post-balance sheet event. There was no impact on the income statement in the current year financial statements.

On 26 September 2024, Guardsman Holdco, LLC subscribed for 5,000,000 Ordinary shares of £1 each. The issue of additional share capital was made in order to continue to grow the business of the Company.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report.

T P Mrotek
Ms E E Mulloy

GOING CONCERN
Following regular actuarial reviews of the back book claims funds (in run-off), top ups have been made in previous years, including 2023, to cover the projected future claims liabilities. The profit-sharing losses first posted in 2019 have been updated following payments made and an updated actuarial review. This has led to the provision being reduced by £648k (see note 18). The Group is also continuing to deliver aggressive claims cost reduction activities to benefit these funds as they mature as well as the ongoing Fortegra fund. Going forward, the new underwriting contract with Acasta does not feature a profit-sharing arrangement, therefore reducing the potential for liabilities in the future.

The financial statements have been prepared on a going concern basis as The Amynta Group, the ultimate parent undertaking, has provided £10m of additional paid capital in March 2019 which was reduced to £4m in December 2019. This paid in capital remains in place in 2023 to enable the Company to meets it liabilities as they fall due. On September 26, 2024, Guardsman Holdco, LLC made a capital contribution in the amount of £5m to the Company.

After making enquiries, the directors have a reasonable expectation that the Group has sufficient resources to continue in operational existence for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the annual financial statements.

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;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and
explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 DECEMBER 2023

STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued
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 and company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit -information and to establish that the group's and company's auditors are aware of that information.

AUDITORS
The auditors, Forvis Mazars LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





Ms E E Mulloy - Director


30 September 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
GUARDSMAN INDUSTRIES LIMITED

Opinion
We have audited the financial statements of Guardsman Industries Limited (the parent company) and its subsidiary (the group) for the year ended 31 December 2023 which comprise the Consolidated Statement of Comprehensive Income, the Consolidated Statement of Financial Position, the Company Statement of Financial Position, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity, the Consolidated Statement of Cash Flows, and 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 FRS 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's affairs as at 31 December 2023 and of the group's loss 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 'Auditor's responsibilities for the audit of the financial statements' section of our report. We are independent of the group and the parent 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 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 other information comprises the information included in the 'Group Strategic Report, Report of the Directors and Consolidated Financial Statements', other than the financial statements and our auditor's report thereon. The directors are responsible for the other information. 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.

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 course of 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
GUARDSMAN INDUSTRIES LIMITED


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.

Matters on which we are required to report by exception
In light of the knowledge and understanding of the group and the parent company and their 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 in relation to which 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 6 , 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 is 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
GUARDSMAN INDUSTRIES LIMITED


Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the 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.

Based on our understanding of the group and the parent company and their industry, we considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: the regulatory and supervisory requirements of the Financial Conduct Authority (FCA), employment regulations, anti-bribery, corruption and fraud and anti-money laundering regulations.

To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect to non-compliance, our procedures included, but were not limited to:
" Inquiring of management and, where appropriate, those charged with governance, as to whether the group and the parent company is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations;
" Inspecting correspondence with the FCA;
" Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and
" Considering the risk of acts by the group and the parent company which were contrary to applicable laws and regulations, including fraud.

We also considered those laws and regulations that have a direct effect on the preparation of the financial statements, such as tax legislation, and the Companies Act 2006.

In addition, we evaluated the directors' and management's incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of management override of controls, and determined that the principal risks related to the posting of manual journal entries to manipulate financial performance and management bias through judgements and assumptions in significant accounting estimates, in particular in relation to the level of deferred income and the provision for profit-sharing arrangements and significant one-off or unusual transactions.

Our audit procedures in relation to fraud included but were not limited to:
- Making enquiries of the directors and management on whether they had knowledge of any actual, suspected or alleged fraud;
- Gaining an understanding of the internal controls established to mitigate risks related to fraud;
- Discussing amongst the engagement team the risks of fraud; and
- Addressing the risks of fraud through management override of controls by performing journal entry testing.

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

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 auditor's report.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
GUARDSMAN INDUSTRIES LIMITED


Use of our report
This report is made solely to the company's member 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 member those matters we are required to state to it in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's member for our audit work, for this report, or for the opinions we have formed.




Sam Porritt (Senior Statutory Auditor)
for and on behalf of Forvis Mazars LLP
Chartered Accountants
and Statutory Auditor
30 Old Bailey
London
EC4M 7AU

30 September 2024

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

CONSOLIDATED
STATEMENT OF COMPREHENSIVE
INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

31.12.23 31.12.22
Notes £    £    £    £   

TURNOVER 4 12,568,997 13,331,421

Cost of sales 8,100,562 8,089,656
GROSS PROFIT 4,468,435 5,241,765

Distribution costs 259,487 347,343
Administrative expenses 4,661,996 4,184,098
4,921,483 4,531,441
OPERATING (LOSS)/PROFIT 6 (453,048 ) 710,324

Interest receivable and similar income 7,576 -
(445,472 ) 710,324

Interest payable and similar expenses 8 2,101 4,266
(LOSS)/PROFIT BEFORE TAXATION (447,573 ) 706,058

Tax on (loss)/profit 9 37,984 43,972
(LOSS)/PROFIT FOR THE FINANCIAL
YEAR

(485,557

)

662,086

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

(485,557

)

662,086

(Loss)/profit attributable to:
Owners of the parent (485,557 ) 662,086

Total comprehensive income attributable to:
Owners of the parent (485,557 ) 662,086

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
31 DECEMBER 2023

31.12.23 31.12.22
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 11 33,603 49,204
Investments 12 - -
33,603 49,204

CURRENT ASSETS
Stocks 13 265,053 466,810
Debtors 14 5,514,754 7,274,439
Cash at bank 5,485,509 6,531,198
11,265,316 14,272,447
CREDITORS
Amounts falling due within one year 15 4,067,151 5,977,878
NET CURRENT ASSETS 7,198,165 8,294,569
TOTAL ASSETS LESS CURRENT
LIABILITIES

7,231,768

8,343,773

CREDITORS
Amounts falling due after more than one year 16 (2,769,902 ) (3,083,331 )

PROVISIONS FOR LIABILITIES 18 (4,182,708 ) (4,495,727 )
NET ASSETS 279,158 764,715

CAPITAL AND RESERVES
Called up share capital 19 2,002 2,002
Share premium 20 5,799,998 5,799,998
Retained earnings 20 (5,522,842 ) (5,037,285 )
SHAREHOLDERS' FUNDS 279,158 764,715

The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2024 and were signed on its behalf by:





Ms E E Mulloy - Director


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

COMPANY STATEMENT OF FINANCIAL POSITION
31 DECEMBER 2023

31.12.23 31.12.22
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 11 33,603 49,204
Investments 12 22,263 22,263
55,866 71,467

CURRENT ASSETS
Stocks 13 265,053 466,810
Debtors 14 5,134,743 7,021,922
Cash at bank 3,917,488 5,431,120
9,317,284 12,919,852
CREDITORS
Amounts falling due within one year 15 4,030,820 5,919,898
NET CURRENT ASSETS 5,286,464 6,999,954
TOTAL ASSETS LESS CURRENT
LIABILITIES

5,342,330

7,071,421

CREDITORS
Amounts falling due after more than one year 16 (2,658,126 ) (3,000,019 )

PROVISIONS FOR LIABILITIES 18 (3,092,496 ) (3,740,212 )
NET (LIABILITIES)/ASSETS (408,292 ) 331,190

CAPITAL AND RESERVES
Called up share capital 19 2,002 2,002
Share premium 20 5,799,998 5,799,998
Retained earnings 20 (6,210,292 ) (5,470,810 )
SHAREHOLDERS' FUNDS (408,292 ) 331,190

Company's (loss)/profit for the financial year (739,482 ) 283,376

The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2024 and were signed on its behalf by:





Ms E E Mulloy - Director


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1 January 2022 2,002 (5,699,371 ) 5,799,998 102,629

Changes in equity
Total comprehensive income - 662,086 - 662,086
Balance at 31 December 2022 2,002 (5,037,285 ) 5,799,998 764,715

Changes in equity
Total comprehensive income - (485,557 ) - (485,557 )
Balance at 31 December 2023 2,002 (5,522,842 ) 5,799,998 279,158

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1 January 2022 2,002 (5,754,186 ) 5,799,998 47,814

Changes in equity
Total comprehensive income - 283,376 - 283,376
Balance at 31 December 2022 2,002 (5,470,810 ) 5,799,998 331,190

Changes in equity
Total comprehensive income - (739,482 ) - (739,482 )
Balance at 31 December 2023 2,002 (6,210,292 ) 5,799,998 (408,292 )

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

31.12.23 31.12.22
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 (978,284 ) 2,036,257
Interest paid (2,101 ) (4,266 )
Tax paid (72,880 ) (31,400 )
Net cash from operating activities (1,053,265 ) 2,000,591

Cash flows from investing activities
Interest received 7,576 -
Net cash from investing activities 7,576 -

(Decrease)/increase in cash and cash equivalents (1,045,689 ) 2,000,591
Cash and cash equivalents at beginning of
year

2

6,531,198

4,530,607

Cash and cash equivalents at end of year 2 5,485,509 6,531,198

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

1. RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
31.12.23 31.12.22
£    £   
(Loss)/profit before taxation (447,573 ) 706,058
Depreciation charges 15,601 20,827
Profit sharing arrangements (647,716 ) 1,118,708
Claims provision 334,697 257,170
Finance costs 2,101 4,266
Finance income (7,576 ) -
(750,466 ) 2,107,029
Decrease in stocks 201,757 132,600
Decrease/(increase) in trade and other debtors 1,765,935 (164,553 )
Decrease in trade and other creditors (2,195,510 ) (38,819 )
Cash generated from operations (978,284 ) 2,036,257

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 December 2023
31.12.23 1.1.23
£    £   
Cash and cash equivalents 5,485,509 6,531,198
Year ended 31 December 2022
31.12.22 1.1.22
£    £   
Cash and cash equivalents 6,531,198 4,530,607


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.23 Cash flow At 31.12.23
£    £    £   
Net cash
Cash at bank 6,531,198 (1,045,689 ) 5,485,509
6,531,198 (1,045,689 ) 5,485,509
Total 6,531,198 (1,045,689 ) 5,485,509

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1. STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2. ACCOUNTING POLICIES

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

The financial statements are prepared in Sterling

Going concern
The financial statements have been prepared on a going concern basis.

Basis of Consolidation
The group consolidated financial statements include the financial statements of the company and its subsidiary undertaking made up to 31 December. A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Where the subsidiary has different accounting policies to the group, adjustments are made to those subsidiary financial statements to apply the group's accounting policies when preparing the consolidated financial statements. All intra-group transactions, balances, income and expenses are eliminated on consolidation.

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 wholly owned subsidiaries within the group.

Revenue recognition
Fees, excluding Value Added Tax and Insurance Premium Tax, receivable for the administration and claims handling of fabric and furniture protection insurance policies are recognised in proportion to the Group's average experience of costs incurred to set-up, maintain, and manage claims handling over the life of such policies. This policy leads to a deferred income balance as detailed in notes 15 & 16.

Revenue in respect of consumer products is recognised upon delivery to the customer.

Revenue in respect of professional services is recognised on completion of the work.

Revenue in respect of franchise operations is recognised immediately in the month charged.

Turnover also includes the variable consideration arising under profit-sharing arrangements. See the separate accounting policy (page 19) for its recognition.

Expenditure
The claims provision is recorded as a cost of sale.

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

2. ACCOUNTING POLICIES - continued

Tangible fixed assets
All property, plant and machinery are initially recorded at cost.

Depreciation is provided on all property, plant and machinery, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Plant and machinery - 3 or 5 years straight line

The carrying values of tangible fixed assets are reviewed for impairment when events or changes in circumstances indicate the carrying amount may not be recoverable.

Impairment of non-financial assets
Non-financial assets are valued at cost less impairment.

The Group assesses at each reporting date whether an asset may be impaired. If any such indication exists the Group estimates recoverable amount of the asset. If it is not possible to estimate the recoverable amount of the individual asset, the Group estimates, the recoverable amount of the cash generating unit to which the asset belongs. The recoverable amount of an asset or cash-generating unit is the higher of its fair value less costs to sell and its value in use. If the recoverable amount is less than its carrying amount, the carrying amount of the asset is impaired and it is reduced to its recoverable amount through an impairment in profit and loss unless the asset is carried at a revalued amount where the impairment loss of a revalued asset is a revaluation decrease.

An impairment loss recognised for all assets, including goodwill, is reversed in a subsequent period if and only if the reasons for the impairment loss have ceased to apply.

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 determined on the first-in, first-out (FIFO) method.

Costs include all costs incurred in bringing each product to its present location and conditions, as follows;

Finished goods for resale - cost of direct materials and labour plus attributable overheads based on normal level of activity.

Net realisable value is based on estimated selling price less any further costs expected to be incurred to disposal.

Stocks are assessed for impairment at the end of each reporting period. Impairment charges are recognised in the Statement of Comprehensive Income.

Taxation
Taxation for the yearyear comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income - Continuing operations Consolidated 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 statement of financial position statement of financial position date.


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

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 statement of financial positionstatement of financial position 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 yearyear 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 statement of financial position statement of financial positiondate. 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.

Leasing commitments
Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term. Lease incentives are recognised over the shorter of the lease term and the period to the next rent review.

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

Claims provisions
The claim provision for the Company is recorded using internal actuarial projections, which are based on current and historical claim experience. The Company's in-house actuary performs an accrual analysis utilizing actuarial methods that incorporate historical claim experience. The Company regularly reviews the estimates of claim costs and adjust the estimates when appropriate. The Company believes the use of actuarial methods to account for these liabilities provides a consistent and effective way to measure these judgmental accruals.

The claims provision for the subsidiary is based on historical performance for the product assuming a 100% loss ratio.

Profit-Sharing Arrangements
Pursuant to certain agreements with its underwriters, the Company may share a portion of the underwriters' profits or losses on the policies that it underwrites. Profit-sharing arrangements represent a form of variable consideration recognized as revenue or loss as performance obligations are satisfied. The amounts to be received or paid, if any, are determined using actuarial methods based on historical and expected ultimate losses and recognised within turnover. Subsequent differences arising on such estimates are recorded in the period in which they are determined.

Cash and cash equivalents
Cash and cash equivalents in the statement of financial position comprise cash at banks and in hand.

Short-term debtors and creditors
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the income statement in other operating expenses.

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the statement of financial position date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Claims provisions
The claim provision for the Company is recorded using internal actuarial projections, which are based on current and historical claim experience. The Company's in-house actuary performs an accrual analysis utilizing actuarial methods that incorporate historical claim experience. The Company regularly reviews the estimates of claim costs and adjust the estimates when appropriate. The Company believes the use of actuarial methods to account for these liabilities provides a consistent and effective way to measure these judgmental accruals.

The claims provision for the subsidiary is based on historical performance for the product assuming a 100% loss ratio.

Profit-Sharing Arrangements
Pursuant to certain agreements with its underwriters, the Company may share a portion of the underwriters' profits or losses on the policies that it underwrites. Profit-sharing arrangements represent a form of variable consideration recognized as revenue or loss as performance obligations are satisfied. The amounts to be received, if any, are determined using actuarial methods based on historical and expected ultimate losses. Subsequent differences arising on such estimates are recorded in the period in which they are determined.

Deferred income
Fees, excluding Value Added Tax and Insurance Premium Tax, receivable for the administration and claims handling of fabric and furniture protection insurance policies are recognised in proportion to the Company's average experience of costs incurred to set-up, maintain, and manage claims handling over the life of such policies.

4. TURNOVER

The turnover and loss (2022 - profit) before taxation are attributable to the one principal activity of the group.

An analysis of turnover by class of business is given below:

31.12.23 31.12.22
£    £   
UK 11,287,741 12,308,698
Europe 1,281,256 1,022,723
12,568,997 13,331,421

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

5. EMPLOYEES AND DIRECTORS

31.12.23 31.12.22
£    £   
Wages and salaries 2,649,357 2,679,046
Social security costs 266,638 300,707
Other pension costs 152,410 155,274
3,068,405 3,135,027

The average number of employees during the year was as follows:
31.12.23 31.12.22
Administrative staff 6 6
Sales 70 72
76 78

The average number of employees by undertakings that were proportionately consolidated during the year was NIL (2022 - NIL).

31.12.23 31.12.22
£    £   
Directors' remuneration - -

Directors' remuneration for the years ended 31 December 2022 and 2021 has been borne by another company within the Group.

6. OPERATING (LOSS)/PROFIT

31.12.23 31.12.22
£    £   
Hire of plant and machinery 88,816 87,586
Depreciation - owned assets 15,601 20,827
Other operating leases 178,676 199,459

7. AUDITORS' REMUNERATION

31.12.23 31.12.22
£    £   
Fees payable to the auditor for the audit of the Company's current year's
accounts

129,052

129,948
Fees payable to the auditor for the audit of the subsidiary 19,442 17,113
Total 148,494 147,061

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

8. INTEREST PAYABLE AND SIMILAR EXPENSES
31.12.23 31.12.22
£    £   
Bank interest 2,101 4,266

9. TAXATION

Analysis of the tax charge
The tax charge on the profit/(loss) for the year was as follows:

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
UK corporation tax - - - -
Republic of Ireland corporation tax 37,984 43,972 - -
Adjustments in respect of previous periods - - - -
37,984 43,972 - -

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. The difference is explained below:

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
Profit/(Loss) before tax (447,573 ) 706,058 (739,482 ) 283,376

(Loss)/Profit multiplied by the standard rate of
corporation tax in the UK of 19% (2022 - 19%)

(140,502

)

53,841

(140,502

)

53,841
Profit/(loss) multiplied by the standard rate of
corporation tax in the Republic of Ireland of 12.5%
(2022 - 12.5%)


37,664


43,657


-


-
Losses carried forward 137,007 - 137,007 -
Expenses not deductible for tax purposes 4,025 315 3,705 -
Pre-trading expenditure qualifying for deduction - - - -
Utilisation of tax losses - (55,090 ) - (55,090 )
Capital allowances in excess of depreciation (1,953 ) (75 ) (1,953 ) (75 )
Expensive leased cars 1,743 1,324 1,743 1,324
Adjustments in respect of previous periods - - - -
Total tax charge 37,984 43,972 - -


10. INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME

As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income - Continuing operations of the parent company is not presented as part of these financial statements.


GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

11. TANGIBLE FIXED ASSETS

Group
Plant and
machinery
£   
COST
At 1 January 2023
and 31 December 2023 66,043
DEPRECIATION
At 1 January 2023 16,839
Charge for year 15,601
At 31 December 2023 32,440
NET BOOK VALUE
At 31 December 2023 33,603
At 31 December 2022 49,204

Company
Plant and
machinery
£   
COST
At 1 January 2023
and 31 December 2023 66,043
DEPRECIATION
At 1 January 2023 16,839
Charge for year 15,601
At 31 December 2023 32,440
NET BOOK VALUE
At 31 December 2023 33,603
At 31 December 2022 49,204

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

12. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1 January 2023
and 31 December 2023 22,263
NET BOOK VALUE
At 31 December 2023 22,263
At 31 December 2022 22,263

The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Subsidiary

Guardsman Europe Limited
Registered office: Ireland
Nature of business: Marketing & distribution of Guardsman products.
%
Class of shares: holding
Ordinary 100.00


13. STOCKS

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
Finished goods 265,053 466,810 265,053 466,810

Stocks are stated after provisions for impairment of £47,599 (2022: £63,477).

14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
Trade debtors 4,628,454 6,448,970 4,407,303 6,289,945
Tax 6,250 - - -
Prepayments and accrued income 880,050 825,469 727,440 731,977
5,514,754 7,274,439 5,134,743 7,021,922

Trade debtors are stated after provisions for impairment of £7,217 (2022: £35,429).

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
Trade creditors 1,081,518 2,346,023 1,073,246 2,340,169
Corporation tax - 28,646 - -
Social security and other taxes 927,048 1,249,627 911,415 1,230,115
Accruals and deferred income 2,058,585 2,353,582 2,046,159 2,349,614
4,067,151 5,977,878 4,030,820 5,919,898

16. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
Accruals and deferred income 2,769,902 3,083,331 2,658,126 3,000,019

17. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Company
Non-cancellable operating leases
31.12.23 31.12.22
£    £   
Within one year 156,646 237,312
Between one and five years 7,880 160,121
164,526 397,433

18. PROVISIONS FOR LIABILITIES

Group Company
31.12.23 31.12.22 31.12.23 31.12.22
£    £    £    £   
Other provisions
Profit-sharing arrangements 3,092,496 3,740,212 3,092,496 3,740,212
Claims provision 1,090,212 755,515 - -
4,182,708 4,495,727 3,092,496 3,740,212

Aggregate amounts 4,182,708 4,495,727 3,092,496 3,740,212

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

19. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 31.12.23 31.12.22
value: £    £   
2,002 Ordinary £1.00 2,002 2,002

20. RESERVES

Group
Retained Share
earnings premium Totals
£    £    £   

At 1 January 2023 (5,037,285 ) 5,799,998 762,713
Deficit for the year (485,557 ) - (485,557 )
At 31 December 2023 (5,522,842 ) 5,799,998 277,156

Company
Retained Share
earnings premium Totals
£    £    £   

At 1 January 2023 (5,470,810 ) 5,799,998 329,188
Deficit for the year (739,482 ) - (739,482 )
At 31 December 2023 (6,210,292 ) 5,799,998 (410,294 )


21. CONTINGENT LIABILITIES

Guardsman Europe Limited has identified a potential VAT liability related to the revenue earned through the sale of service plans. Based on professional advice, the directors believe that there is a possibility of a VAT liability relating to the 2022 year end. However, due to the complexity of the VAT legislation an estimated amount cannot be reasonably determined at the present time.

22. POST BALANCE SHEET EVENTS

The Company was party to an agreement with Blue Group UK Retail Limited (Blue Group) in which Blue Group believed they were owed monies. As agents and third-party administrators, any monies due to Blue Group would be recoverable from the carrier, thus the previous year financial statements included both debtor and creditor balances related to the aforementioned.

On 26 September 2024, Blue Group was dissolved. As a result, these entries were reversed as an adjusting post-balance sheet event. There was no impact on the income statement in the current year financial statements.

On 26 September 2024, Guardsman Holdco, LLC subscribed for 5,000,000 Ordinary shares of £1 each. The issue of additional share capital was made in order to continue to grow the business of the Company.

GUARDSMAN INDUSTRIES LIMITED (REGISTERED NUMBER: 02360505)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

23. ULTIMATE CONTROLLING PARTY

The Company's immediate parent undertaking is Guardsman Holdco LLC,a company incorporated in the United States of America.

The Company's ultimate parent undertaking and the controlling party is Amynta Ultimate Holdings LLC, which is incorporated in the United States of America. Copies of its group financial statements, which include the Company, are available from :

Amynta Ultimate Holdings LLC
909 3rd Avenue, 33rd Floor
New York
NY 10022
USA