Company registration number 09123248 (England and Wales)
VENTUREPRISE PLC
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 MAY 2024
31 May 2024
VENTUREPRISE PLC
COMPANY INFORMATION
Directors
Mr J Patel
Mrs G Dobson
Mr M J Bennett
Mr E M Dutton
Mr A I Patel
Company number
09123248
Registered office
Parkhill Business Centre
Padiham Road
Burnley
BB12 6TG
Auditor
AMS Accountants Corporate Ltd
Floor 2
9 Portland Street
Manchester
M1 3BE
VENTUREPRISE PLC
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Independent auditor's report
5 - 7
Group statement of comprehensive income
8
Group balance sheet
9 - 10
Company balance sheet
11 - 12
Group statement of changes in equity
13
Company statement of changes in equity
14
Group statement of cash flows
15
Notes to the financial statements
16 - 36
VENTUREPRISE PLC
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2024
- 1 -

The directors present the strategic report for the year ended 31 May 2024.

Review of the business

The principal activities of the group for the financial year to 31 May 2024 has not significantly changed. We continue to be providers of insurance cover for boiler and home emergency with appliance and car being added to the insurance product portfolio. Boiler Installation, with the offer of cover plans, remains a complementing product. We continue to navigate a competitive landscape, focussing on customer solutions and strategic partnerships to enhance our market presence.

The partnership with EVO Insurance Services in Gibraltar continues, with confidence, an excellent working relationship from both parties.

Principal risks and uncertainties

The risk that the company may not perform as expected due to internal or external influences is managed by the senior management team by monthly monitoring of key performance indicators measured against budget and forecast.

 

 

 

 

 

 

 

All the above are managed by appropriate senior personnel to ensure all controls are in place to reduce risk but also to ensure response times are effective to maintain strong relationships with customers and suppliers.

 

The senior management team aim to act responsibly and fairly in engagement with suppliers, bankers, insurers, and regulatory bodies. Collaborate closely with suppliers to ensure they are paid in accordance with agreed terms.

VENTUREPRISE PLC
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 2 -
Development and performance

The group has had a positive year from organic growth whilst investing in embedding good working practices, implementing consumer duty framework and commitments whilst continually improving governance and compliance practices.

 

We have further invested in people, both technical and support, being skilled and adaptable and future focussed which will be a key enabler for growth.

 

We are one year into our 3-year strategic goals using key performance indicators to measure and track progress, including, but not exclusively:

 

 

All bound together the objective is to attract new customers and retain more customers for longer, whilst providing a service that treats customers fairly, provides a product that meet customer needs, provides a clear understanding of the product without post sale barriers. Observations so far show we are moving on a positive trajectory.

Key performance indicators

KPI’s for the group are as follows.

During the year the revenue generated was £20.9m (2023 - £19.3m).

Gross margin was 31.8% (2023 - 30%).

Profit before taxation £778k (2023 - £479k).

Plans for future periods

Looking ahead we anticipate growth to be driven by continually refreshing marketing initiatives, reviewing our products ensuring we offer the product that our customers want to buy at the right price, continued focus on enhancing the customer experience through technology. At the beginning of the new financial year sees the investment and implementation over the Summer of FLS (Fast Lean Smart) which will deliver efficiencies for the business and an improved customer journey.

 

As we move into a market where energy efficiency is becoming a high priority we are moving into Solar and Heat Pumps offering. We have gained HIES accreditation and will be ready to launch in the Autumn.

 

We remain committed to delivering value to our customers and stakeholders ensuring sustainable growth in the coming years.

On behalf of the board

Mr A I Patel
Director
27 November 2024
VENTUREPRISE PLC
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MAY 2024
- 3 -

The directors present their annual report and financial statements for the year ended 31 May 2024.

Principal activities

The principal activities of the group are offering boiler and home emergency insurance policies and boiler installation with associated research and development in the home heating sector.

Results and dividends

The results for the year are set out on page 8.

Ordinary dividends were paid amounting to £757,876. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mr J Patel
Mrs G Dobson
Mr M J Bennett
Mr E M Dutton
Mr A I Patel
Financial instruments
Liquidity risk

The group manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the group has sufficient liquid resources to meet the operating needs of the business.

 

247 Home Assist Limited is FCA regulated to sell insurance products, a key risk arises if there is no underwriter in place to allow trading to continue.

Interest rate risk

The group is exposed to fair value interest rate risk on its fixed rate borrowings and cash flow interest rate risk on floating rate deposits, bank overdrafts and loans. The group uses interest rate derivatives to manage the mix of fixed and variable rate debt so as to reduce its exposure to changes in interest rates.

Credit risk

Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.

 

All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are monitored on an ongoing basis and provision is made for doubtful debts where necessary.

Future developments

The group continues to be focused on delivering innovative and excellent value products to its customers, allowing them to differentiate themselves in an increasingly competitive landscape. A key area will be an eco-friendly offering driven by government decisions and guidelines on their recommendations and support to customers.

Auditor

In accordance with the company's articles, a resolution proposing that AMS Accountants Corporate Ltd be reappointed as auditor of the group will be put at a General Meeting.

VENTUREPRISE PLC
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 4 -
Statement of directors' responsibilities

The directors are responsible for preparing the Annual Report 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
Mr A I Patel
Director
27 November 2024
VENTUREPRISE PLC
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF VENTUREPRISE PLC
- 5 -
Opinion

We have audited the financial statements of Ventureprise PLC (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2024 which comprise the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including 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:

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 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 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 annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

VENTUREPRISE PLC
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF VENTUREPRISE PLC
- 6 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

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:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the company and industry, we identified that the principal risks of non -compliance with laws and regulations related to pensions legislation, Financial conduct Authority (FCA), UK tax legislation and UK employment legislation, 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. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to increase revenue or manipulate expenditure and management bias in accounting estimates. Audit procedures performed by the audit engagement team included:

 

•    Discussions with management, including consideration of known or suspected instances of non- compliance with laws and regulation and fraud;

•    Review of the financial statement disclosures to underlying supporting documentation;

•    Challenging assumptions and judgements made by management in their significant accounting estimates;

•    Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations or posted by senior management.

•    Discussions with management over any breaches of FCA requirements, review of the FCA correspondence received during the year, review of the FCA register and agreeing relevant required submissions.

 

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

VENTUREPRISE PLC
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF VENTUREPRISE PLC
- 7 -

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 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 members as a body, for our audit work, for this report, or for the opinions we have formed.

Mr David Clegg BFP FCA (Senior Statutory Auditor)
For and on behalf of AMS Accountants Corporate Ltd, Statutory Auditor
Chartered Accountants
Floor 2
9 Portland Street
Manchester
M1 3BE
28 November 2024
VENTUREPRISE PLC
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MAY 2024
- 8 -
2024
2023
Notes
£
£
Turnover
3
20,994,078
19,335,089
Cost of sales
(14,316,170)
(13,518,729)
Gross profit
6,677,908
5,816,360
Administrative expenses
(6,314,965)
(5,291,342)
Other operating income
51,623
7,817
Operating profit
4
414,566
532,835
Interest receivable and similar income
8
-
21
Interest payable and similar expenses
9
(71,904)
(53,642)
Amounts written off investments
10
435,341
-
Profit before taxation
778,003
479,214
Tax on profit
11
(353,635)
(155,563)
Profit for the financial year
28
424,368
323,651
Profit for the financial year is attributable to:
- Owners of the parent company
414,728
308,917
- Non-controlling interests
9,640
14,734
424,368
323,651
Total comprehensive income for the year is attributable to:
- Owners of the parent company
414,728
308,917
- Non-controlling interests
9,640
14,734
424,368
323,651

The profit and loss account has been prepared on the basis that all operations are continuing operations.

VENTUREPRISE PLC
GROUP BALANCE SHEET
AS AT
31 MAY 2024
31 May 2024
- 9 -
2024
2023
Notes
£
£
£
£
Fixed assets
Goodwill
14
918,890
1,825,899
Other intangible assets
14
10,000
12,000
Total intangible assets
928,890
1,837,899
Tangible assets
15
1,728,175
1,802,701
Investments
16
300
487,603
2,657,365
4,128,203
Current assets
Stocks
18
237,877
194,626
Debtors
20
1,726,813
2,003,534
Cash at bank and in hand
1,696,781
1,439,494
3,661,471
3,637,654
Creditors: amounts falling due within one year
21
(3,402,168)
(4,357,259)
Net current assets/(liabilities)
259,303
(719,605)
Total assets less current liabilities
2,916,668
3,408,598
Creditors: amounts falling due after more than one year
22
(789,322)
(869,238)
Provisions for liabilities
Deferred tax liability
25
54,450
47,371
(54,450)
(47,371)
Net assets
2,072,896
2,491,989
Capital and reserves
Called up share capital
27
612,206
612,206
Share premium account
28
2,399,999
2,399,999
Capital redemption reserve
28
12,500
12,500
Profit and loss reserves
28
(537,267)
(194,119)
Equity attributable to owners of the parent company
2,487,438
2,830,586
Non-controlling interests
(414,542)
(338,597)
Total equity
2,072,896
2,491,989
VENTUREPRISE PLC
GROUP BALANCE SHEET (CONTINUED)
AS AT
31 MAY 2024
31 May 2024
- 10 -

These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.

The financial statements were approved by the board of directors and authorised for issue on 27 November 2024 and are signed on its behalf by:
27 November 2024
Mr A I  Patel
Director
Company registration number 09123248 (England and Wales)
VENTUREPRISE PLC
COMPANY BALANCE SHEET
AS AT 31 MAY 2024
31 May 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
14
10,000
12,000
Tangible assets
15
1,512,792
1,547,381
Investments
16
3,170,774
4,769,962
4,693,566
6,329,343
Current assets
Debtors
20
1,901,342
1,270,797
Cash at bank and in hand
26,137
58,567
1,927,479
1,329,364
Creditors: amounts falling due within one year
21
(2,840,035)
(3,874,941)
Net current liabilities
(912,556)
(2,545,577)
Total assets less current liabilities
3,781,010
3,783,766
Creditors: amounts falling due after more than one year
22
(713,618)
(752,269)
Provisions for liabilities
Deferred tax liability
25
604
618
(604)
(618)
Net assets
3,066,788
3,030,879
Capital and reserves
Called up share capital
27
612,206
612,206
Share premium account
28
2,399,999
2,399,999
Capital redemption reserve
28
12,500
12,500
Profit and loss reserves
28
42,083
6,174
Total equity
3,066,788
3,030,879

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £793,785 (2023 - £335,668 profit).

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

VENTUREPRISE PLC
COMPANY BALANCE SHEET (CONTINUED)
AS AT 31 MAY 2024
31 May 2024
- 12 -
The financial statements were approved by the board of directors and authorised for issue on 27 November 2024 and are signed on its behalf by:
27 November 2024
Mr A I  Patel
Director
Company registration number 09123248 (England and Wales)
VENTUREPRISE PLC
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2024
- 13 -
Share capital
Share premium account
Capital redemption reserve
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
Notes
£
£
£
£
£
£
£
Balance at 1 June 2022
612,206
2,399,999
12,500
(170,835)
2,853,870
(272,456)
2,581,414
Year ended 31 May 2023:
Profit and total comprehensive income
-
-
-
308,917
308,917
14,734
323,651
Dividends
12
-
-
-
(332,201)
(332,201)
(80,875)
(413,076)
Balance at 31 May 2023
612,206
2,399,999
12,500
(194,119)
2,830,586
(338,597)
2,491,989
Year ended 31 May 2024:
Profit and total comprehensive income
-
-
-
414,728
414,728
9,640
424,368
Dividends
12
-
-
-
(757,876)
(757,876)
(85,585)
(843,461)
Balance at 31 May 2024
612,206
2,399,999
12,500
(537,267)
2,487,438
(414,542)
2,072,896
VENTUREPRISE PLC
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2024
- 14 -
Share capital
Share premium account
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 June 2022
612,206
2,399,999
12,500
2,707
3,027,412
Year ended 31 May 2023:
Profit and total comprehensive income for the year
-
-
-
335,668
335,668
Dividends
12
-
-
-
(332,201)
(332,201)
Balance at 31 May 2023
612,206
2,399,999
12,500
6,174
3,030,879
Year ended 31 May 2024:
Profit and total comprehensive income
-
-
-
793,785
793,785
Dividends
12
-
-
-
(757,876)
(757,876)
Balance at 31 May 2024
612,206
2,399,999
12,500
42,083
3,066,788
VENTUREPRISE PLC
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MAY 2024
- 15 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
33
1,640,099
950,488
Interest paid
(71,904)
(53,642)
Income taxes paid
(305,235)
(108,038)
Net cash inflow from operating activities
1,262,960
788,808
Investing activities
Purchase of tangible fixed assets
(42,256)
(63,657)
Proceeds from disposal of tangible fixed assets
2,226
659
Purchase of subsidiaries, net of cash acquired
-
(5,000)
Repayment of loans
(42,915)
-
Interest received
-
21
Net cash used in investing activities
(82,945)
(67,977)
Financing activities
Repayment of bank loans
(68,721)
(100,462)
Payment of finance leases obligations
(10,546)
(10,545)
Dividends paid to equity shareholders
(757,876)
(332,201)
Dividends paid to non-controlling interests
(85,585)
(80,875)
Net cash used in financing activities
(922,728)
(524,083)
Net increase in cash and cash equivalents
257,287
196,748
Cash and cash equivalents at beginning of year
1,439,494
1,242,746
Cash and cash equivalents at end of year
1,696,781
1,439,494
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
- 16 -
1
Accounting policies
Company information

Ventureprise PLC (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Parkhill Business Centre, Padiham Road, Burnley, BB12 6TG.

 

The group consists of Ventureprise PLC and all of its subsidiaries as disclosed in note 17.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:true

 

1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 17 -
1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Ventureprise PLC together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 May 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

1.4
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

The Directors have reviewed detailed budgets and forecasts for the period commencing 1st June 2024 and beyond, and concluded that they are in line with expectations with the groups strategy. The Directors have also reviewed the groups position in regards to material uncertainties and have concluded that there are no items that would affect going concern.

1.5
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. Sales, interest and dividend income are recognised on an accruals basis.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

 

The Company recognises turnover for contracts once the performance obligation is met which is on a straight line basis over the period the policy covers.

 

Repair income includes repair services, revenue is recognised once the job has been completed.

Other income relates to rental income on property rented to third parties. Rental income is recognised each month in line with the terms of the lease.

1.6
Research and development expenditure

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

1.7
Intangible fixed assets - goodwill

Acquired goodwill is written off in equal annual installments over its estimated useful economic life of 10 years.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 18 -
1.8
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Intellectual property
10% straight line
1.9
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Land and buildings Freehold
2% straight line
Fixtures, fittings & equipment
20% / 25% reducing balance
Motor vehicles
25% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

1.10
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 19 -

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

1.11
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.12
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 20 -

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.13
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.14
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 21 -
Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.15
Equity instruments

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

1.16
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 22 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.17
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.18
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.19
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.

1.20
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 23 -
1.21

Subsidiary undertakings exempt from audit

Under Section 479a of the Companies Act 2006 available to subsidiary undertakings, the company provides a guarantee in respect of the below subsidiary undertakings claiming exemption from audit.

 

Costswise Ltd (08371277)

Optima Medical Reports Limited (07097932)

RT8 Legal Limited (06979268)

VP Collections Limited (09385625)

247 Labs Limited (08376394)

247 Staywarm Limited (11387607)

Home Response 360 Ltd (09438697)

2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Goodwill

The group presents goodwill with an expected useful economic life of 10 years. This is reviewed annually by the directors with an impairment review carried out via a value in use calculation. The value in use calculation requires the entity to estimate the future cash flows expected to arise from the cash generating unit and a suitable discount rate in order to calculate present value. The carrying amount of goodwill at the balance sheet date is £918,890 (2023- £1,825,899) and an impairment of £27,798 was recognised during the year.

3
Turnover and other revenue

An analysis of the group's turnover is as follows:

2024
2023
£
£
Turnover analysed by class of business
Professional services to legal industry
175,731
304,941
Non- regulated products
16,797,920
16,544,299
Regulated insurance products
4,020,427
2,485,849
20,994,078
19,335,089
2024
2023
£
£
Turnover analysed by geographical market
UK
20,994,078
19,335,089
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
3
Turnover and other revenue
(Continued)
- 24 -
2024
2023
£
£
Other revenue
Interest income
-
21
Rental income
51,623
7,817
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Research and development costs
226,546
232,440
Depreciation of owned tangible fixed assets
116,616
153,666
Depreciation of tangible fixed assets held under finance leases
11,841
15,788
Loss on disposal of tangible fixed assets
9,781
75,677
Impairment of intangible assets
27,798
-
Loss on disposal of intangible assets
554,041
-
Amortisation of intangible assets
327,170
327,170
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
12,500
7,500
Audit of the financial statements of the company's subsidiaries
7,500
5,000
20,000
12,500
For other services
All other non-audit services
11,204
9,500
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Directors
5
5
5
5
Engineers and administrative
136
137
22
23
Total
141
142
27
28
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
6
Employees
(Continued)
- 25 -

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
5,535,054
5,264,848
740,087
805,888
Social security costs
740,523
569,758
74,132
82,536
Pension costs
28,698
30,638
8,676
8,826
6,304,275
5,865,244
822,895
897,250
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
124,313
118,251
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
-
0
21
9
Interest payable and similar expenses
2024
2023
£
£
Interest on bank overdrafts and loans
60,872
46,486
Interest on finance leases and hire purchase contracts
4,602
4,603
Other interest
6,430
2,553
Total finance costs
71,904
53,642
10
Amounts written off investments
2024
2023
£
£
Amounts written off current loans
(42,915)
-
Amounts written back to financial liabilities
965,559
-
Other gains and losses
(487,303)
-
435,341
-
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 26 -
11
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
346,556
198,223
Adjustments in respect of prior periods
-
(18,689)
Total current tax
346,556
179,534
Deferred tax
Origination and reversal of timing differences
7,079
(23,971)
Total tax charge
353,635
155,563

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
778,003
479,214
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
194,501
91,051
Tax effect of expenses that are not deductible in determining taxable profit
422,307
62,135
Tax effect of income not taxable in determining taxable profit
(288,383)
-
Effect of change in corporation tax rate
(212)
9,902
Permanent capital allowances in excess of depreciation
25,422
11,164
Under/(over) provided in prior years
-
(18,689)
Taxation charge
353,635
155,563

The standard rate of tax applied to corporation and deferred taxation balances is 25% (2022 - 19%). The applicable tax rate has changed following the substantive enactment of the Finance Act 2021.

12
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Final paid
757,876
332,201
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 27 -
13
Impairments

Impairment tests have been carried out where appropriate and the following impairment losses have been recognised in profit or loss:

2024
2023
Notes
£
£
In respect of:
Goodwill
14
27,798
-
Fixed asset investments
16
487,303
-
Recognised in:
Administrative expenses
27,798
-
Amounts written off investments
487,303
-

The impairment losses in respect of financial assets are recognised in other gains and losses in the profit and loss account.

14
Intangible fixed assets
Group
Goodwill
Intellectual property
Total
£
£
£
Cost
At 1 June 2023
3,251,703
20,000
3,271,703
Disposals
(923,401)
-
(923,401)
At 31 May 2024
2,328,302
20,000
2,348,302
Amortisation and impairment
At 1 June 2023
1,425,804
8,000
1,433,804
Amortisation charged for the year
325,170
2,000
327,170
Impairment losses
27,798
-
27,798
Disposals
(369,360)
-
(369,360)
At 31 May 2024
1,409,412
10,000
1,419,412
Carrying amount
At 31 May 2024
918,890
10,000
928,890
At 31 May 2023
1,825,899
12,000
1,837,899
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
14
Intangible fixed assets
(Continued)
- 28 -
Company
Intellectual property
£
Cost
At 1 June 2023 and 31 May 2024
20,000
Amortisation and impairment
At 1 June 2023
8,000
Amortisation charged for the year
2,000
At 31 May 2024
10,000
Carrying amount
At 31 May 2024
10,000
At 31 May 2023
12,000

More information on impairment movements in the year is given in note 13.

15
Tangible fixed assets
Group
Land and buildings Freehold
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
£
Cost
At 1 June 2023
1,687,460
351,836
112,269
2,151,565
Additions
-
42,256
-
42,256
Disposals
-
(30,664)
-
(30,664)
At 31 May 2024
1,687,460
363,428
112,269
2,163,157
Depreciation and impairment
At 1 June 2023
143,434
140,525
64,905
348,864
Depreciation charged in the year
33,750
59,184
11,841
104,775
Eliminated in respect of disposals
-
(18,657)
-
(18,657)
At 31 May 2024
177,184
181,052
76,746
434,982
Carrying amount
At 31 May 2024
1,510,276
182,376
35,523
1,728,175
At 31 May 2023
1,544,026
211,311
47,364
1,802,701
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
15
Tangible fixed assets
(Continued)
- 29 -
Company
Land and buildings Freehold
Fixtures, fittings & equipment
Total
£
£
£
Cost
At 1 June 2023 and 31 May 2024
1,687,460
10,286
1,697,746
Depreciation and impairment
At 1 June 2023
143,434
6,931
150,365
Depreciation charged in the year
33,750
839
34,589
At 31 May 2024
177,184
7,770
184,954
Carrying amount
At 31 May 2024
1,510,276
2,516
1,512,792
At 31 May 2023
1,544,026
3,355
1,547,381

The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.

Group
Company
2024
2023
2024
2023
£
£
£
£
Motor vehicles
35,523
47,363
-
0
-
0
16
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
17
-
-
3,170,774
4,282,659
Loans to subsidiaries
17
-
487,303
-
0
487,303
Investments in associates
300
300
-
0
-
0
300
487,603
3,170,774
4,769,962
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
16
Fixed asset investments
(Continued)
- 30 -
Movements in fixed asset investments
Group
Shares in associates
Loans to subsidiaries
Total
£
£
£
Cost or valuation
At 1 June 2023 and 31 May 2024
300
487,303
487,603
Impairment
At 1 June 2023
-
-
-
Impairment losses
-
487,303
487,303
At 31 May 2024
-
487,303
487,303
Carrying amount
At 31 May 2024
300
-
300
At 31 May 2023
300
487,303
487,603
Movements in fixed asset investments
Company
Shares in subsidiaries
Loans to subsidiaries
Total
£
£
£
Cost or valuation
At 1 June 2023
4,282,659
487,303
4,769,962
Disposals
(923,911)
-
(923,911)
At 31 May 2024
3,358,748
487,303
3,846,051
Impairment
At 1 June 2023
-
-
-
Impairment losses
187,974
487,303
675,277
At 31 May 2024
187,974
487,303
675,277
Carrying amount
At 31 May 2024
3,170,774
-
3,170,774
At 31 May 2023
4,282,659
487,303
4,769,962
17
Subsidiaries

Details of the company's subsidiaries at 31 May 2024 are as follows:

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
17
Subsidiaries
(Continued)
- 31 -
Name of undertaking
Registered office
Class of
% Held
shares held
Direct
247 Home Assist Limited
UK
Ordinary
100.00
Costswise Limited
UK
Ordinary
100.00
Optima Medical Reports Limited
UK
Ordinary
100.00
RT8 Legal Limited
UK
Ordinary
100.00
VP Collections Limited
UK
Ordinary
100.00
VP People Limited
UK
Ordinary
100.00
247 Labs Limited
UK
Ordinary
85.00
247 Staywarm Limited
UK
Ordinary
100.00
Razrlab Holding Limited
UK
Ordinary
51.00
Home Response 360 Ltd
UK
Ordinary
100.00

The investments in subsidiaries are all stated at cost.

18
Stocks
Group
Company
2024
2023
2024
2023
£
£
£
£
Finished goods and goods for resale
237,877
194,626
-
0
-
0
19
Financial instruments
Group
Company
2024
2023
2024
2023
£
£
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
1,613,345
2,308,889
n/a
n/a
Carrying amount of financial liabilities
Measured at amortised cost
3,455,964
4,593,570
n/a
n/a
20
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
37,870
-
-
0
-
0
Unpaid share capital
12,200
12,200
12,200
12,200
Amounts owed by group undertakings
-
-
1,889,142
1,258,597
Other debtors
415,672
475,169
-
0
-
0
Prepayments and accrued income
1,261,071
1,516,165
-
0
-
0
1,726,813
2,003,534
1,901,342
1,270,797
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 32 -
21
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans
23
97,315
96,667
66,667
66,667
Obligations under finance leases
24
10,546
10,545
-
0
-
0
Trade creditors
872,160
955,349
-
0
-
0
Amounts owed to group undertakings
-
-
2,720,369
2,694,948
Amounts owed to undertakings in which the group has a participating interest
20
20
20
20
Corporation tax payable
356,378
315,057
200
-
0
Other taxation and social security
379,148
317,870
24,196
25,341
Other creditors
567,459
1,651,267
15,893
1,075,187
Accruals and deferred income
1,119,142
1,010,484
12,690
12,778
3,402,168
4,357,259
2,840,035
3,874,941
22
Creditors: amounts falling due after more than one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
23
744,508
813,877
713,618
752,269
Obligations under finance leases
24
44,814
55,361
-
0
-
0
789,322
869,238
713,618
752,269
23
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
841,823
910,544
780,285
818,936
Payable within one year
97,315
96,667
66,667
66,667
Payable after one year
744,508
813,877
713,618
752,269

The group has four bank loans.

 

Bank loan 1 is secured by way of a fixed charge dated 16 July 2021 over the group's freehold property.

 

The group's banking facilities are secured by way of fixed and floating charges dated 15 April 2021 over all assets and undertakings of the group.

 

Bank loans 2 to 4 are unsecured.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
23
Loans and overdrafts
(Continued)
- 33 -

Bank Loan 1 is capital repayment payable by July 2026.

 

The rate of interest is a margin of 2.25% over Bank of England Base Rate.

 

Bank loans 2 to 4 are capital repayment and repayable by May 2026.

 

The rate of interest is fixed at 2.5% per annum.

24
Finance lease obligations
Group
Company
2024
2023
2024
2023
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
10,545
10,545
-
0
-
0
In two to five years
44,815
55,361
-
0
-
0
55,360
65,906
-
-

Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 5 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

25
Deferred taxation

Deferred tax assets and liabilities are offset where the group or company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
54,450
47,371
Liabilities
Liabilities
2024
2023
Company
£
£
Accelerated capital allowances
604
618
VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
25
Deferred taxation
(Continued)
- 34 -
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 June 2023
47,371
618
Charge/(credit) to profit or loss
7,079
(14)
Liability at 31 May 2024
54,450
604
26
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
28,698
30,638

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

27
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and not fully paid
Ordinary of £1 each
612,200
612,200
612,200
612,200
Ordinary A of £1 each
6
6
6
6
612,206
612,206
612,206
612,206

Ordinary £1 shares have full rights to voting (one vote per share), dividends and capital distribution on winding up.

 

Ordinary A £1 shares have full rights to dividends only.

At the balance sheet date, £12,200 Ordinary £1 shares remain unpaid. The remainder of the Group's issued share capital is fully paid.

28
Reserves
Profit and loss reserves

Included within the cash held by the group is £907,462 (2023: £357,168) which is held under a self-imposed restriction and is therefore not available for use by the group. The funds are held in respect of potential future amounts which may become payable.

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 35 -
29
Operating lease commitments

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
33,270
33,270
-
-
Between two and five years
28,035
61,305
-
-
61,305
94,575
-
-
30
Related party transactions
Transactions with related parties

The following amounts were outstanding at the reporting end date:

Amounts due to related parties
2024
2023
£
£
Group
Other related parties
182,209
174,358

The following amounts were outstanding at the reporting end date:

Amounts due from related parties
2024
2023
Balance
Balance
£
£
Group
Other related parties
429,340
451,252
Other information

Amounts due from and to related parties are owed from companies which have common directorship or common shareholding. These amounts are interest free, with no security and are repayable on demand.

The Group has taken advantage of FRS 102, section 33.1A available for transactions with wholly owned subsidiaries, and has chosen not to disclose related party transactions within the group.

 

Key management personnel and directors are deemed to be the same individuals and this information is disclosed in Note 7 of the financial statements.

 

VENTUREPRISE PLC
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 36 -
31
Directors' transactions

Dividends totalling £6,000 (2023 - £17,346) were paid in the year in respect of shares held by the company's directors.

At the year end, a balance of £nil (2023 - £94,098) was due to the directors.

 

The above balance is interest free with no fixed date for repayment.

32
Controlling party

No single individual has ultimate control by virtue of their shareholdings in the company.

33
Cash generated from group operations
2024
2023
£
£
Profit after taxation
424,368
323,651
Adjustments for:
Taxation charged
353,635
155,563
Finance costs
71,904
53,642
Investment income
-
(21)
Loss on disposal of tangible fixed assets
9,781
75,677
Loss on disposal of intangible assets
554,041
-
Amortisation and impairment of intangible assets
354,968
327,170
Depreciation and impairment of tangible fixed assets
104,775
137,878
Other gains and losses
(435,341)
-
Movements in working capital:
Increase in stocks
(43,251)
(22,325)
Decrease/(increase) in debtors
337,220
(118,139)
(Decrease)/increase in creditors
(92,001)
17,392
Cash generated from operations
1,640,099
950,488
34
Analysis of changes in net funds - group
1 June 2023
Cash flows
31 May 2024
£
£
£
Cash at bank and in hand
1,439,494
257,287
1,696,781
Borrowings excluding overdrafts
(910,544)
68,721
(841,823)
Obligations under finance leases
(65,906)
10,546
(55,360)
463,044
336,554
799,598
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