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REGISTERED NUMBER: 06971724 (England and Wales)



















Group Strategic Report,

Report of the Directors and

Consolidated Financial Statements

for the Year Ended 31 March 2024

for

NIC Group Limited

NIC Group Limited (Registered number: 06971724)






Contents of the Consolidated Financial Statements
for the Year Ended 31 March 2024




Page

Company Information 1

Group Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 5

Consolidated Profit and Loss Account 8

Consolidated Balance Sheet 9

Company Balance Sheet 10

Consolidated Statement of Changes in Equity 11

Company Statement of Changes in Equity 12

Consolidated Cash Flow Statement 13

Notes to the Consolidated Financial Statements 14


NIC Group Limited

Company Information
for the Year Ended 31 March 2024







DIRECTORS: A Barge
N P Hunt
S A Barge





REGISTERED OFFICE: Elizabeth House
Wigman Road
Bilborough
Nottingham
NG8 3HY





REGISTERED NUMBER: 06971724 (England and Wales)





AUDITORS: Bates Weston Audit Ltd
Statutory Auditors
Chartered Accountants
The Mills
Canal Street
Derby
DE1 2RJ

NIC Group Limited (Registered number: 06971724)

Group Strategic Report
for the Year Ended 31 March 2024

The directors present their strategic report of the company and the group for the year ended 31 March 2024.

REVIEW OF BUSINESS
The group comprises the holding company NIC Group Limited and the four trading subsidiaries M.S.M. Hygiene Limited, City Hygiene Services Limited, Nottingham Industrial Cleaners Limited and Drainscan Limited.

The group's overall position has remained consistent with the results in the previous year, with turnover increasing by 0.7% to £12.74 million (2023: £12.65 million). The overall margins have increased to 25.5% from 25.3%. The consolidated balance sheet position remains strong which the directors consider will remain so in the foreseeable future.

M.S.M. Hygiene Limited has seen sales fall by 16.5% (2023: increase of 15.5%) due to the impact of some lost customers. Despite this, the company's gross profit margins have increased to 26.7% (2023: 23.5%).

City Hygiene Services Limited has seen an increase in its sales of 6.0% (2023: increase of 4.2%). There have been minimal changes in customer terms during the year and customers are long standing. The company's gross profit margins have decreased from 30.7% to 30.2%.

Nottingham Industrial Cleaners Limited sales have increased by 7.7% (2023: increase of 3.2%). The gross profit margins have decreased from 22.9% to 21.3%.

Drainscan Limited has experienced an increase in sales of 25.1% (2023: decrease of 11.7%). The company's gross profit margins have increased from 49.8% to 54.2%.

PRINCIPAL RISKS AND UNCERTAINTIES
Current risks and uncertainties remain the same for the subsidiaries, in terms of retaining market share and improving margins to cover overheads. The directors will continue to monitor the profitability and infrastructure of the business streams within the group and apply changes where deemed appropriate.

The directors hope to recover continued increases to wages costs from their customers, which are anticipated as a result of the further increase in the National Living Wage from 1 April 2024, to help maintain their margins.

KEY PERFORMANCE INDICATORS
Performance is measured by gross profit margins, product turnover, market requests and trends plus comparison with competitors. Performance is also measured through the review of the monthly management accounts. Gross profit, turnover and costs are reviewed on a monthly basis by the directors to consider the group's position. Monthly budgets are reviewed against actual for any unknown fluctuations in the figures.

ON BEHALF OF THE BOARD:





A Barge - Director


17 October 2024

NIC Group Limited (Registered number: 06971724)

Report of the Directors
for the Year Ended 31 March 2024

The directors present their report with the financial statements of the company and the group for the year ended 31 March 2024.

PRINCIPAL ACTIVITY
The principal activity of the group in the year under review was that of office and factory cleaning, retailers of janitorial supplies, feminine hygiene and other washroom services, drain and sewer cleaning and closed circuit television survey services.

DIVIDENDS
No dividends will be distributed for the year ended 31 March 2024.

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

A Barge
N P Hunt
S A Barge

FINANCIAL INSTRUMENTS AND RISK MANAGEMENT
The group's financial assets and liabilities consist of trade debtors and creditors, cash balances and overdrafts.

The directors manage the group's exposure to financial risk by researching the credit worthiness of customers and by seeking advice from the group's providers of finance and its other external financial advisers.

The group does not trade in foreign currencies.

The group does not trade speculatively in derivatives or similar instruments.

EMPLOYMENT POLICIES
Within the bounds of confidentiality, staff at all levels are kept fully informed of matters that affect the progress of the group and are of interest to them as employees.

Disabled persons are given full and fair consideration for all types of vacancy. If an existing employee becomes disabled, such steps as are practical and reasonable are taken to retain him/her in employment. Where appropriate, assistance with rehabilitation and suitable training are given. Disabled persons have equal opportunities for training, career development and promotion, except insofar as such opportunities are constrained by the practical limitations of their disability.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.


NIC Group Limited (Registered number: 06971724)

Report of the Directors
for the Year Ended 31 March 2024

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 auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

ON BEHALF OF THE BOARD:





A Barge - Director


17 October 2024

Report of the Independent Auditors to the Members of
NIC Group Limited

Opinion
We have audited the financial statements of NIC Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
_
In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 31 March 2024 and of the group's profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Report of the Independent Auditors to the Members of
NIC Group Limited


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent company financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on pages three and four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

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

Based on our understanding of the company and industry in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the cleaning industry and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006. Audit procedures performed by the engagement team included.

- Enquiry of management around actual and potential litigation and claims;
- Reviewing financial statement disclosures and testing to supporting documentation to assess
compliance with applicable laws and regulations;
- Performing audit work over the risk of management override of controls, including testing of journal
entries and other adjustments for appropriateness, evaluating the business rationale of significant
transactions outside the normal course of business and reviewing accounting estimates for bias.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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
NIC Group Limited


Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Ian Neal FCA CTA (Senior Statutory Auditor)
for and on behalf of Bates Weston Audit Ltd
Statutory Auditors
Chartered Accountants
The Mills
Canal Street
Derby
DE1 2RJ

15 November 2024

NIC Group Limited (Registered number: 06971724)

Consolidated
Profit and Loss Account
for the Year Ended 31 March 2024

2024 2023
Notes £    £   

TURNOVER 12,742,187 12,654,677

Cost of sales 9,492,748 9,455,895
GROSS PROFIT 3,249,439 3,198,782

Administrative expenses 3,003,162 2,917,858
OPERATING PROFIT 5 246,277 280,924

Interest receivable and similar income 818 -
PROFIT BEFORE TAXATION 247,095 280,924

Tax on profit 6 76,011 68,792
PROFIT FOR THE FINANCIAL YEAR 171,084 212,132

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

171,084

212,132

Profit attributable to:
Owners of the parent 171,084 212,132

Total comprehensive income attributable to:
Owners of the parent 171,084 212,132

NIC Group Limited (Registered number: 06971724)

Consolidated Balance Sheet
31 March 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 8 - 37,092
Tangible assets 9 2,297,878 2,187,358
Investments 10 - -
2,297,878 2,224,450

CURRENT ASSETS
Stocks 11 275,443 291,268
Debtors 12 2,025,350 1,785,576
Cash at bank and in hand 1,559,359 1,583,679
3,860,152 3,660,523
CREDITORS
Amounts falling due within one year 13 2,467,939 2,359,055
NET CURRENT ASSETS 1,392,213 1,301,468
TOTAL ASSETS LESS CURRENT
LIABILITIES

3,690,091

3,525,918

PROVISIONS FOR LIABILITIES 14 33,040 39,951
NET ASSETS 3,657,051 3,485,967

CAPITAL AND RESERVES
Called up share capital 15 6,051 6,051
Retained earnings 16 3,651,000 3,479,916
SHAREHOLDERS' FUNDS 3,657,051 3,485,967

The financial statements were approved by the Board of Directors and authorised for issue on 17 October 2024 and were signed on its behalf by:





A Barge - Director


NIC Group Limited (Registered number: 06971724)

Company Balance Sheet
31 March 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 8 - -
Tangible assets 9 - -
Investments 10 1,433,667 1,433,667
1,433,667 1,433,667

CURRENT ASSETS
Debtors 12 360,751 360,751
Cash at bank 229,410 239,438
590,161 600,189
CREDITORS
Amounts falling due within one year 13 326,294 326,294
NET CURRENT ASSETS 263,867 273,895
TOTAL ASSETS LESS CURRENT
LIABILITIES

1,697,534

1,707,562

CAPITAL AND RESERVES
Called up share capital 15 6,051 6,051
Retained earnings 1,691,483 1,701,511
SHAREHOLDERS' FUNDS 1,697,534 1,707,562

Company's loss for the financial year (10,028 ) -

The financial statements were approved by the Board of Directors and authorised for issue on 17 October 2024 and were signed on its behalf by:





A Barge - Director


NIC Group Limited (Registered number: 06971724)

Consolidated Statement of Changes in Equity
for the Year Ended 31 March 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 April 2022 6,051 3,267,784 3,273,835

Changes in equity
Total comprehensive income - 212,132 212,132
Balance at 31 March 2023 6,051 3,479,916 3,485,967

Changes in equity
Total comprehensive income - 171,084 171,084
Balance at 31 March 2024 6,051 3,651,000 3,657,051

NIC Group Limited (Registered number: 06971724)

Company Statement of Changes in Equity
for the Year Ended 31 March 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 April 2022 6,051 1,701,511 1,707,562

Changes in equity
Balance at 31 March 2023 6,051 1,701,511 1,707,562

Changes in equity
Total comprehensive income - (10,028 ) (10,028 )
Balance at 31 March 2024 6,051 1,691,483 1,697,534

NIC Group Limited (Registered number: 06971724)

Consolidated Cash Flow Statement
for the Year Ended 31 March 2024

2024 2023
Notes £    £   
Cash flows from operating activities
Cash generated from operations 20 445,071 904,214
Tax paid (35,818 ) (107,540 )
Net cash from operating activities 409,253 796,674

Cash flows from investing activities
Purchase of tangible fixed assets (690,668 ) (588,295 )
Sale of tangible fixed assets 243,952 147,052
Interest received 818 -
Net cash from investing activities (445,898 ) (441,243 )

Cash flows from financing activities
Amount introduced by directors 222,853 -
Amount withdrawn by directors (210,528 ) (6,005 )
Net cash from financing activities 12,325 (6,005 )

(Decrease)/increase in cash and cash equivalents (24,320 ) 349,426
Cash and cash equivalents at
beginning of year

21

1,583,679

1,234,253

Cash and cash equivalents at end of
year

21

1,559,359

1,583,679

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements
for the Year Ended 31 March 2024

1. STATUTORY INFORMATION

NIC Group Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

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.

Basis of consolidation
The consolidated accounts incorporate the accounts of NIC Group Limited and all of its subsidiary undertakings. The acquisition method of accounting has been adopted.

Goodwill arising on the acquisition of a business is the difference between the fair value of the consideration paid and the fair value of the assets and liabilities acquired. Goodwill arising on consolidation has been capitalised and is being written off to the profit and loss account evenly over its useful economic life of 6 years.

In the company's financial statements, investments in subsidiary undertakings are stated at cost less amounts written off.

Turnover
Turnover represents net invoiced sales of goods and services, excluding value added tax. Turnover is recognised when the group has transferred the significant risks and rewards of ownership to the buyer and it is probable that the group will receive the agreed upon payment. Turnover relating to the provision of services is accounted for in the year in which the services are provided.

Tangible fixed assets
Tangible fixed assets are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Long leasehold2% on cost
Plant and machinery15 - 20% reducing balance and 25% on cost
Fixtures and fittings15 - 20% reducing balance and 25% on cost
Motor vehicles25% on cost
Computer equipment25% on cost

Land included within long leasehold property is not depreciated.

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised within 'administrative expenses' in the profit and loss account.

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

2. ACCOUNTING POLICIES - continued

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. Cost is based on the purchase invoice price on a first in first out basis.

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

At each reporting date, stock is assessed for impairment. If stock is impaired, the carrying amount is reduced and the impairment loss is recognised immediately in the profit and loss account.

Deferred tax
Deferred tax arises from timing differences between taxable total profits and total comprehensive income as stated in the financial statements. These timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements.

A deferred tax asset is recognised only when it is more likely than not that there will be suitable taxable profits from which the future reversal of underlying timing differences and losses can be deducted.

Provision is made at current rates for taxation deferred in respect of all material timing differences.

Leasing commitments
Rentals paid under operating leases are charged to the profit and loss account as incurred on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the group pays fixed contributions into a separate entity. Once the contributions have been paid the group has no further payment obligations. The contributions are recognised as an expense when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the group in independently administered funds.

Fixed asset investments
Fixed asset investments are stated at the lower of cost or net realisable value as it comprises its investment in its subsidiary undertakings.

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

2. ACCOUNTING POLICIES - continued

Judgements in applying accounting policies and key source of estimation
In the application of the group's accounting policies the directors are required to make judgement estimates and assumptions about the carrying amounts of the group's assets and liabilities. These are based on historical experience and other factors that are considered relevant and are reviewed on a regular basis and recognised in the period in which the estimate is revised. Actual results may differ from these estimates.

The following are the critical judgements and where relevant the key sources of estimation uncertainty:

Tangible fixed assets are depreciated over their useful economic lives taking in to account their residual values where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing the asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken in to account. Residual values consider such things as future market conditions, the remaining life of the asset and projected disposal values.

The carrying value of fixed asset investments and goodwill is assessed annually and reviewed for any indications of impairment.

The recoverability of debtors is assessed on the likelihood and circumstances of the particular cost.

The value of stock is assessed for impairment. In re-assessing the stock value, factors such as slow movement and obsolescence are taken in to account.

3. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 7,866,230 7,304,068
Social security costs 511,840 473,391
Other pension costs 172,977 159,177
8,551,047 7,936,636

The average number of employees during the year was as follows:
2024 2023

Management and administration 29 29
Operational 665 657
694 686

4. DIRECTORS' EMOLUMENTS
2024 2023
£    £   
Directors' remuneration 1,110,570 1,073,340
Directors' pension contributions to money purchase schemes 39,600 39,600

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 1 1

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

4. DIRECTORS' EMOLUMENTS - continued

Information regarding the highest paid director is as follows:
2024 2023
£    £   
Emoluments etc 793,037 773,658
Pension contributions to money purchase schemes 39,600 39,600

5. OPERATING PROFIT

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

2024 2023
£    £   
Operating lease payments 44,282 28,986
Depreciation - owned assets 395,682 323,156
Profit on disposal of fixed assets (59,486 ) (38,746 )
Goodwill amortisation 37,092 37,092
Auditors' remuneration 29,888 28,074
Auditors' remuneration for non audit work 12,224 10,668

6. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax 83,000 39,500
Adjustments re prior year (78 ) 540
Total current tax 82,922 40,040

Deferred tax (6,911 ) 28,752
Tax on profit 76,011 68,792

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

2024 2023
£    £   
Profit before tax 247,095 280,924
Profit multiplied by the standard rate of corporation tax in the UK of
25 % (2023 - 19 %)

61,774

53,376

Effects of:
Expenses not deductible for tax purposes 14,315 14,876
Adjustments to tax charge in respect of previous periods (78 ) 540
Total tax charge 76,011 68,792

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

7. INDIVIDUAL PROFIT AND LOSS ACCOUNT

As permitted by Section 408 of the Companies Act 2006, the Profit and Loss Account of the parent company is not presented as part of these financial statements.


8. INTANGIBLE FIXED ASSETS

Group
Goodwill
£   
COST
At 1 April 2023
and 31 March 2024 535,710
AMORTISATION
At 1 April 2023 498,618
Amortisation for year 37,092
At 31 March 2024 535,710
NET BOOK VALUE
At 31 March 2024 -
At 31 March 2023 37,092

9. TANGIBLE FIXED ASSETS

Group
Fixtures
Long Plant and and
leasehold machinery fittings
£    £    £   
COST
At 1 April 2023 1,400,000 168,520 80,121
Additions - - 16,250
Disposals - - -
At 31 March 2024 1,400,000 168,520 96,371
DEPRECIATION
At 1 April 2023 195,318 66,689 60,399
Charge for year 14,129 5,525 832
Eliminated on disposal - - -
At 31 March 2024 209,447 72,214 61,231
NET BOOK VALUE
At 31 March 2024 1,190,553 96,306 35,140
At 31 March 2023 1,204,682 101,831 19,722

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

9. TANGIBLE FIXED ASSETS - continued

Group

Motor Computer
vehicles equipment Totals
£    £    £   
COST
At 1 April 2023 1,243,487 21,500 2,913,628
Additions 674,418 - 690,668
Disposals (497,816 ) - (497,816 )
At 31 March 2024 1,420,089 21,500 3,106,480
DEPRECIATION
At 1 April 2023 382,425 21,439 726,270
Charge for year 375,196 - 395,682
Eliminated on disposal (313,350 ) - (313,350 )
At 31 March 2024 444,271 21,439 808,602
NET BOOK VALUE
At 31 March 2024 975,818 61 2,297,878
At 31 March 2023 861,062 61 2,187,358

Included in the cost of long leasehold property is land of £255,023 (2023: £255,023) which is not depreciated.

Plant and equipment used by the group for leasing activities comprised a cost of £23,793 (2023: £23,793) and accumulated depreciation of £22,165 (2023: £21,799). Depreciation for the year on these assets was £366 (2023: £445).

10. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1 April 2023
and 31 March 2024 1,433,667
NET BOOK VALUE
At 31 March 2024 1,433,667
At 31 March 2023 1,433,667


NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

10. FIXED ASSET INVESTMENTS - continued


Investment in Subsidiary Undertakings
At the balance sheet date, the company had the following wholly owned subsidiaries:-

Class of share Nature of business
NIC Investments Limited Ordinary Dormant
Nottingham Industrial
Cleaners Limited

Ordinary

Office & factory cleaners
M.S.M Hygiene Limited Ordinary Distribution of hygiene & safety products
City Hygiene Services Limited Ordinary Servicing & maintenance of washroom facilities
Drainscan Limited Ordinary Drain maintenance & CCTV surveys
Vacuum Limited Ordinary Dormant

The registered offices of the undertakings are that of the parent.

11. STOCKS

Group
2024 2023
£    £   
Goods for resale and
consumables 275,443 291,268
275,443 291,268

12. DEBTORS

Group Company
2024 2023 2024 2023
£    £    £    £   
Amounts falling due within one year:
Trade debtors 1,986,840 1,724,044 - -
Amounts owed by group undertakings - - 360,751 360,751
Other debtors 7 7 - -
Directors' current accounts 4,781 21,064 - -
Tax 3,013 5,122 - -
Prepayments 30,709 33,844 - -
2,025,350 1,784,081 360,751 360,751

Amounts falling due after more than one year:
Tax - 1,495 - -

Aggregate amounts 2,025,350 1,785,576 360,751 360,751

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2024 2023 2024 2023
£    £    £    £   
Trade creditors 382,861 402,608 - -
Amounts owed to group undertakings - - 122,506 122,506
Amounts owed to related parties 203,788 203,788 203,788 203,788
Tax 83,000 39,500 - -
Social security and other taxes 684,952 596,689 - -
Other creditors 74,033 72,269 - -
Directors' current accounts 297 4,255 - -
Accruals and deferred income 1,039,008 1,039,946 - -
2,467,939 2,359,055 326,294 326,294

14. PROVISIONS FOR LIABILITIES

Group
2024 2023
£    £   
Deferred tax
Accelerated capital allowances 33,040 39,951

Group
Deferred
tax
£   
Balance at 1 April 2023 39,951
Utilised during year (6,911 )
Balance at 31 March 2024 33,040

15. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
6,051 Ordinary £1 6,051 6,051

16. RESERVES

Group
Retained
earnings
£   

At 1 April 2023 3,479,916
Profit for the year 171,084
At 31 March 2024 3,651,000

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

16. RESERVES - continued

Company
Retained
earnings
£   

At 1 April 2023 1,701,511
Deficit for the year (10,028 )
At 31 March 2024 1,691,483


17. OTHER FINANCIAL COMMITMENTS

The parent company has a contingent liability in respect of a composite guarantee given to National Westminster Bank Plc to secure borrowings within the NIC Group Limited group of companies. At the balance sheet date, the net amount of the group liability was £Nil (2023: £Nil).

18. RELATED PARTY DISCLOSURES

The group trades with another group controlled by some of the directors. During the year, the group sold goods to the other group to the value of £60,205 (2023: £41,236). At the balance sheet date £4,470 (2023: £3,836) was owed by the other group in respect of these transactions.

Included in creditors are loans outstanding of £203,788 (2023: £203,788) owed to the other group. The balances are interest free and repayable on demand.

19. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is Mr S A Barge.

20. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS

2024 2023
£    £   
Profit before taxation 247,095 280,924
Depreciation charges 432,774 360,248
Profit on disposal of fixed assets (59,486 ) (38,746 )
Finance income (818 ) -
619,565 602,426
Decrease in stocks 15,825 41,214
(Increase)/decrease in trade and other debtors (259,661 ) 227,888
Increase in trade and other creditors 69,342 32,686
Cash generated from operations 445,071 904,214

NIC Group Limited (Registered number: 06971724)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 March 2024

21. 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 March 2024
31.3.24 1.4.23
£    £   
Cash and cash equivalents 1,559,359 1,583,679
Year ended 31 March 2023
31.3.23 1.4.22
£    £   
Cash and cash equivalents 1,583,679 1,234,253


22. ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.23 Cash flow At 31.3.24
£    £    £   
Net cash
Cash at bank and in hand 1,583,679 (24,320 ) 1,559,359
1,583,679 (24,320 ) 1,559,359
Total 1,583,679 (24,320 ) 1,559,359

23. EMPLOYEE BENEFITS

Included in the notes to the financial statements are payments to the defined contribution pension scheme.