Plan B Management Solutions Limited |
Notes to the Accounts |
for the year ended 31 July 2024 |
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1 |
Accounting policies |
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Basis of preparation |
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The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard). |
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Going concern |
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The Directors have assessed the Company’s ability to continue as a going concern. A strong pipeline of contracts has been secured for the upcoming year, with continued growth projected based on the turnover achieved in 2024. In preparing the Company’s financial forecasts for the 12-month period following the approval of these financial statements, the Directors have carefully reviewed the assumptions related to current and future projects. Based on these forecasts, they have concluded that the Company has sufficient resources to meet its obligations as they fall due and to maintain operational continuity. As a result, the financial statements have been prepared on a going concern basis. |
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Turnover |
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Turnover is measured at the fair value of consideration received or receivable, net of discounts and value added taxes. As the company provides services, turnover is recognised based on the amounts due under contracts for services rendered during the period to which they relate. Revenue is recognised by reference to the stage of completion of the contract, which is determined by comparing the costs incurred to date with the total estimated contract costs. This method ensures that revenue is matched to the period in which the services are provided. |
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Tangible fixed assets |
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Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: |
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Land and buildings |
over 50 years |
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Plant and machinery |
over 3 years |
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Fixtures, fittings, tools and equipment |
over 3 years |
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Motor vehicles |
over 3 or 4 years |
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Stocks and work in progress |
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Work in progress is measured at the fair value of amounts receivable under service contracts. As the Company operates under service contracts, work in progress is included within debtors as it represents expected amounts due but not yet invoiced. Costs relating to work in progress include materials, direct labour and attributable overheads. Any physical stocks held are measured at the lower of cost and estimated selling price, less costs to complete and sell, with cost determined using the first-in, first-out (FIFO) method. The carrying amount of work in progress and stock is recognised in the period in which the related revenue is recognised. |
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Debtors |
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Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
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Creditors |
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Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
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Accruals |
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Accruals are recognised to match costs incurred for ongoing contracts or services to the period in which the associated revenue is earned. This ensures that expenses are recorded in the same period as the revenue they relate to, even if invoicing or payment is deferred. Accruals include direct costs such as labour, materials, and attributable overheads, and are recorded as current liabilities until the work is completed and invoiced. |
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Client monies |
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Cash balances held on behalf of clients, which are due to them under pass-through contracts, are recognised within the cash at bank balance and recorded as a creditor owed to the customer. These amounts represent client money held to meet present obligations. Where the services provided exceed the monies received, a debtor is recognised for the difference. The company acts as a custodian of these funds until they are either transferred to the client or applied against agreed services. |
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Taxation |
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A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted. |
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Provisions |
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Provisions (ie liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
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Foreign currency translation |
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Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss. |
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Leased assets |
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Operating lease payments are recognised as an expense on a straight line basis over the lease term. |
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Pensions |
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Contributions to defined contribution plans are expensed in the period to which they relate. |
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2 |
Employees |
2024 |
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2023 |
Number |
Number |
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Average number of persons employed by the company |
56 |
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18 |
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3 |
Tangible fixed assets |
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Land and buildings |
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Plant and machinery etc |
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Motor vehicles |
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Total |
£ |
£ |
£ |
£ |
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Cost |
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At 1 August 2023 |
- |
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28,334 |
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- |
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28,334 |
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Additions |
1,018,113 |
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355,112 |
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185,355 |
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1,558,580 |
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At 31 July 2024 |
1,018,113 |
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383,446 |
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185,355 |
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1,586,914 |
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Depreciation |
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At 1 August 2023 |
- |
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17,386 |
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- |
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17,386 |
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Charge for the year |
- |
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37,368 |
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17,266 |
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54,634 |
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At 31 July 2024 |
- |
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54,754 |
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17,266 |
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72,020 |
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Net book value |
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At 31 July 2024 |
1,018,113 |
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328,692 |
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168,089 |
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1,514,894 |
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At 31 July 2023 |
- |
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10,948 |
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- |
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10,948 |
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4 |
Debtors |
2024 |
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2023 |
£ |
£ |
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Trade debtors |
2,704,609 |
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1,066,124 |
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Other debtors |
2,179,885 |
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609,102 |
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4,884,494 |
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1,675,226 |
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Amounts due after more than one year included above |
10,693 |
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404 |
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Included in other debtors is work in progress of £1,565,248 (2023: £559,370), prepayments of £508,313 (2023: £49,127) and client monies of £85,973 (2023: £Nil). |
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5 |
Creditors: amounts falling due within one year |
2024 |
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2023 |
£ |
£ |
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Bank loans and overdrafts |
8,936 |
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- |
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Trade creditors |
2,066,077 |
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904,576 |
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Taxation and social security costs |
747,940 |
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256,390 |
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Other creditors |
2,468,118 |
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1,532,177 |
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5,291,071 |
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2,693,143 |
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Included in other creditors are accruals of £1,444,673 (2023: £475,839), client monies of £969,014 (2023: £1,007,531) and deferred income of £23,275 (2023: £4,500). |
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6 |
Creditors: amounts falling due after one year |
2024 |
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2023 |
£ |
£ |
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Bank loans |
680,250 |
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- |
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7 |
Loans |
2024 |
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2023 |
£ |
£ |
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Creditors include: |
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Instalments falling due for payment after more than five years |
635,793 |
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- |
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8 |
Secured debts |
2024 |
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2023 |
£ |
£ |
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Secured bank loans |
689,185 |
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- |
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The bank loan is secured by a first legal mortgage on the property located at 84 Seawall Road, Cardiff. Additionally, it includes a first fixed charge over the Company’s rights to insurance policies, rental income, and any other contracts, guarantees, appointments, and warranties associated with the charged assets. The banking facilities are further secured by fixed and floating charges over the Company’s entire undertaking and all current and future property assets, including book debts, buildings, fixtures, and plant and machinery. |
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9 |
Share Capital |
2024 |
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2023 |
£ |
£ |
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Allotted, called up share capital which has been paid up |
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2,450 ordinary A shares of £0.01 each |
25 |
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25 |
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2,450 ordinary B shares of £0.01 each |
24 |
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24 |
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100 ordinary C shares of £0.01 each |
1 |
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1 |
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100 ordinary D shares of £0.01 each |
1 |
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1 |
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51 |
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51 |
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10 |
Other financial commitments |
2024 |
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2023 |
£ |
£ |
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Total future minimum payments under non-cancellable operating leases |
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629,320 |
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18,903 |
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11 |
Controlling party |
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The company is under the joint control of C Cutajar and M Akhtar, who each hold 48% of the issued ordinary share capital of the company. |
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12 |
Other information |
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Plan B Management Solutions Limited is a private company limited by shares and incorporated in England. Its registered office is: |
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Suite 2E, The Courtyard |
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Main Cross Road |
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Great Yarmouth |
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Norfolk |
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NR30 3NZ |