IRIS Accounts Production v24.3.2.46 03370120 Board of Directors Board of Directors 1.8.23 31.7.24 31.7.24 Medium entities renting and leasing of trucks and other heavy vehicles true false true true false false true false These accounts have been prepared in accordance with the provisions applicable to companies subject to the medium-sized companies regime. Ordinary 1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh033701202023-07-31033701202024-07-31033701202023-08-012024-07-31033701202022-07-31033701202022-08-012023-07-31033701202023-07-3103370120ns15:EnglandWales2023-08-012024-07-3103370120ns14:PoundSterling2023-08-012024-07-3103370120ns10:Director12023-08-012024-07-3103370120ns10:Director22023-08-012024-07-3103370120ns10:PrivateLimitedCompanyLtd2023-08-012024-07-3103370120ns10:MediumEntities2023-08-012024-07-3103370120ns10:Audited2023-08-012024-07-3103370120ns10:Medium-sizedCompaniesRegimeForDirectorsReport2023-08-012024-07-3103370120ns10:Medium-sizedCompaniesRegimeForAccounts2023-08-012024-07-3103370120ns10:FullAccounts2023-08-012024-07-3103370120ns10:OrdinaryShareClass12023-08-012024-07-3103370120ns10:CompanySecretary12023-08-012024-07-3103370120ns10:RegisteredOffice2023-08-012024-07-3103370120ns5:CurrentFinancialInstruments2024-07-3103370120ns5:CurrentFinancialInstruments2023-07-3103370120ns5:Non-currentFinancialInstruments2024-07-3103370120ns5:Non-currentFinancialInstruments2023-07-3103370120ns5:ShareCapital2024-07-3103370120ns5:ShareCapital2023-07-3103370120ns5:CapitalRedemptionReserve2024-07-3103370120ns5:CapitalRedemptionReserve2023-07-3103370120ns5:RetainedEarningsAccumulatedLosses2024-07-3103370120ns5:RetainedEarningsAccumulatedLosses2023-07-3103370120ns5:ShareCapital2022-07-3103370120ns5:RetainedEarningsAccumulatedLosses2022-07-3103370120ns5:CapitalRedemptionReserve2022-07-3103370120ns5:RetainedEarningsAccumulatedLosses2022-08-012023-07-3103370120ns5:CapitalRedemptionReserve2022-08-012023-07-3103370120ns5:RetainedEarningsAccumulatedLosses2023-08-012024-07-3103370120ns5:CapitalRedemptionReserve2023-08-012024-07-3103370120ns5:FurnitureFittings2023-08-012024-07-3103370120ns5:MotorVehicles2023-08-012024-07-3103370120ns5:ComputerEquipment2023-08-012024-07-3103370120ns15:UnitedKingdom2023-08-012024-07-3103370120ns15:UnitedKingdom2022-08-012023-07-3103370120ns5:TotalGeographicSegmentsIncludingAnyUnallocatedAmount2023-08-012024-07-3103370120ns5:TotalGeographicSegmentsIncludingAnyUnallocatedAmount2022-08-012023-07-3103370120ns10:HighestPaidDirector2023-08-012024-07-3103370120ns10:HighestPaidDirector2022-08-012023-07-3103370120ns5:OwnedAssets2023-08-012024-07-3103370120ns5:OwnedAssets2022-08-012023-07-3103370120ns5:LeasedAssets2023-08-012024-07-3103370120ns5:LeasedAssets2022-08-012023-07-3103370120ns5:HirePurchaseContracts2023-08-012024-07-3103370120ns5:HirePurchaseContracts2022-08-012023-07-3103370120ns10:OrdinaryShareClass12022-08-012023-07-3103370120ns5:FurnitureFittings2023-07-3103370120ns5:MotorVehicles2023-07-3103370120ns5:ComputerEquipment2023-07-3103370120ns5:FurnitureFittings2024-07-3103370120ns5:MotorVehicles2024-07-3103370120ns5:ComputerEquipment2024-07-3103370120ns5:FurnitureFittings2023-07-3103370120ns5:MotorVehicles2023-07-3103370120ns5:ComputerEquipment2023-07-3103370120ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2023-07-3103370120ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2023-08-012024-07-3103370120ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2024-07-3103370120ns5:MotorVehiclesns5:LeasedAssetsHeldAsLessee2023-07-3103370120ns5:WithinOneYearns5:CurrentFinancialInstruments2024-07-3103370120ns5:WithinOneYearns5:CurrentFinancialInstruments2023-07-3103370120ns5:Non-currentFinancialInstrumentsns5:BetweenTwoFiveYears2024-07-3103370120ns5:Non-currentFinancialInstrumentsns5:BetweenTwoFiveYears2023-07-3103370120ns5:WithinOneYearns5:CurrentFinancialInstrumentsns5:HirePurchaseContracts2024-07-3103370120ns5:WithinOneYearns5:CurrentFinancialInstrumentsns5:HirePurchaseContracts2023-07-3103370120ns5:BetweenOneFiveYearsns5:HirePurchaseContracts2024-07-3103370120ns5:BetweenOneFiveYearsns5:HirePurchaseContracts2023-07-3103370120ns5:HirePurchaseContracts2024-07-3103370120ns5:HirePurchaseContracts2023-07-3103370120ns5:WithinOneYear2024-07-3103370120ns5:WithinOneYear2023-07-3103370120ns5:BetweenOneFiveYears2024-07-3103370120ns5:BetweenOneFiveYears2023-07-3103370120ns5:AllPeriods2024-07-3103370120ns5:AllPeriods2023-07-3103370120ns5:Secured2024-07-3103370120ns5:Secured2023-07-3103370120ns5:DeferredTaxation2023-07-3103370120ns5:DeferredTaxation2023-08-012024-07-3103370120ns5:DeferredTaxation2024-07-3103370120ns10:OrdinaryShareClass12024-07-3103370120ns5:RetainedEarningsAccumulatedLosses2023-07-3103370120ns5:CapitalRedemptionReserve2023-07-31
REGISTERED NUMBER: 03370120 (England and Wales)















Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 July 2024

for

Farnborough Van & Truck Hire Limited

Farnborough Van & Truck Hire Limited (Registered number: 03370120)






Contents of the Financial Statements
for the Year Ended 31 July 2024




Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 5

Income Statement 9

Other Comprehensive Income 10

Balance Sheet 11

Statement of Changes in Equity 13

Cash Flow Statement 14

Notes to the Cash Flow Statement 15

Notes to the Financial Statements 16


Farnborough Van & Truck Hire Limited

Company Information
for the Year Ended 31 July 2024







DIRECTORS: Mr J H Brown
Mr T C Houghton





SECRETARY: Ms K Tyas





REGISTERED OFFICE: 26 Chapel Lane
Farnborough
Hampshire
GU14 9BE





REGISTERED NUMBER: 03370120 (England and Wales)





AUDITORS: WP Audit Limited
Statutory Auditors
TOR
Saint-Cloud Way
Maidenhead
Berkshire
SL6 8BN

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Strategic Report
for the Year Ended 31 July 2024

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

REVIEW OF BUSINESS
The company trades under the FVTH Commercial Vehicle Hire brand and undertakes the rental of commercial vehicles to its customer base.

The business is funded primarily through retained profits and hire purchase borrowing. This funding enables management to investment in capital assets, brand, staff and infrastructure to ensure that the company is well positioned to capitalise on market opportunities available to it.

PRINCIPAL RISKS AND UNCERTAINTIES
Market risk
The company's main risks derive from the uncertainty in the UK economy, including the impact of macro-economic factors as well as external factors such as the conflict in Ukraine that would affect demand from customers as well as supply chain and inflationary pressures. In addition there is a potential impact of regulatory change (such as the Ultra Low Emission Vehicle zones) on customer demand for renting certain vehicles. This has not had a significant impact on the company in the period although there is an increased risk of supply chain disruptions and wider economic disruption in the future. The company has a high level of contracted revenue, reducing its exposure to a temporary downturn in trade.

Staff risk
The company also faces risk in relation to the retention of key staff. The company provides a competitive pay structure which is designed to retain key members of staff.

Information security risk
Due to the legislative environment including GDPR, an ongoing attention to information security is key to the business. The company has firewall software in place to restrict the impact of cyber-attack and regular training is provided to staff regarding cyber security and being aware of phishing attacks.

Tax risk
The company is compliant with its applicable tax rules, regulations and disclosure requirements. The company does not engage in any aggressive tax planning and all transactions undertaken by the company have a business purpose and commercial rationale.

Financial instruments
The company has a normal level of exposure to price, credit, liquidity and cash flow risks arising from its trading activities which are entirely conducted in sterling, with bank accounts held in this currency with no exposure to exchange rate volatility. The company does not enter into any formally designated hedging arrangements.


Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Strategic Report
for the Year Ended 31 July 2024


The company's key financial performance indicators during the period were as follows:

2024 2023
£   s £   s

Turnover 11,317 12,564
Gross profit margin 11.0% 20.0%
EBITDA 7,515 8,004
Operating profit 1,064 2.084
Shareholders' funds 5,130 5,195

The results for the year ended 31 July 2024 reflect a challenging market for operators in the commercial vehicle rental sector.

The company's key profit measure is EBITDA, which is calculated as operating profit excluding depreciation and amortisation. In 2024, the EBITDA was £7.5m and the company's operating profit reported on a statutory basis was £1.1m, which includes depreciation and amortisation of £6.5m.

The reduction in turnover, EBITDA and operating profit reflect slowing demand in the industry and consequently the company has focused on ensuring that it continues to manage its fleet to reflect changing market conditions. This includes continued investment in new vehicles with capital expenditure on fixed assets totalling £5.4m (albeit at a lower level than the prior year) as well as selective disposals of vehicles. The effective management of the fleet, a focus on customer service and robust balance sheet mean the company is well positioned to manage through external challenges created by the market conditions.

The directors consider their non-financial KPIs include the number of vehicles the company currently has which is 469. The fleet of vehicles is continuously reviewed and renewed as necessary to ensure that the fleet remains fit to meet the needs of the company's customers.

ON BEHALF OF THE BOARD:





Mr T C Houghton - Director


23 January 2025

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Report of the Directors
for the Year Ended 31 July 2024

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

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

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

Mr J H Brown
Mr T C Houghton

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

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

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

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:





Mr T C Houghton - Director


23 January 2025

Report of the Independent Auditors to the Members of
Farnborough Van & Truck Hire Limited

Opinion
We have audited the financial statements of Farnborough Van & Truck Hire Limited (the 'company') for the year ended 31 July 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 July 2024 and of its loss for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

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

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

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

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

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

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

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

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

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

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

Report of the Independent Auditors to the Members of
Farnborough Van & Truck Hire Limited


Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page 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 company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Report of the Independent Auditors to the Members of
Farnborough Van & Truck Hire Limited


Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue 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.

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

-The engagement partner ensures that the engagement team collectively had the appropriate competence, capabilities and skill to identify or recognise non-compliance with applicable laws and regulations;

-we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;;

-we focused on specific laws and regulations which were considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, anti-bribery, employment, environmental and health and safety legislation;

-we assessed the extent of compliance with laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

-identified laws and regulations were communicated within the audit team regularly and the team remained alert to instance of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by;

-making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;

-considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations; and

-understanding the design of the company's remuneration policies.

To address the risk of fraud through management bias and override of controls, we;

-performed analytical procedures to identify any unusual or unexpected relationships;

-tested journal entries to identify unusual transactions;

-assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-investigated the rationale behind significant or unusual transactions.

Audit response to risks identified
In response to the risk of irregularities and non-compliance with laws and regulations; we designed procedures which included, but were not limited to;

-agreeing financial statement disclosures to underlying supporting documentation;
-enquiring of management as to actual and potential litigation and claims; and
-reviewing correspondence with HMRC, relevant regulators and company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment of collusion.


Report of the Independent Auditors to the Members of
Farnborough Van & Truck Hire Limited

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.

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.




Philippa Duckworth BSc FCCA (Senior Statutory Auditor)
for and on behalf of WP Audit Limited
Statutory Auditors
TOR
Saint-Cloud Way
Maidenhead
Berkshire
SL6 8BN

23 January 2025

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Income Statement
for the Year Ended 31 July 2024

31.7.24 31.7.23
Notes £    £   

TURNOVER 3 11,316,593 12,564,382

Cost of sales (10,073,208 ) (10,052,374 )
GROSS PROFIT 1,243,385 2,512,008

Administrative expenses (186,287 ) (428,172 )
OPERATING PROFIT 5 1,057,098 2,083,836

Interest receivable and similar income 56,553 16,810
1,113,651 2,100,646

Interest payable and similar expenses 6 (1,203,233 ) (887,840 )
(LOSS)/PROFIT BEFORE TAXATION (89,582 ) 1,212,806

Tax on (loss)/profit 7 20,082 (253,169 )
(LOSS)/PROFIT FOR THE FINANCIAL YEAR (69,500 ) 959,637

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Other Comprehensive Income
for the Year Ended 31 July 2024

31.7.24 31.7.23
Notes £    £   

(LOSS)/PROFIT FOR THE YEAR (69,500 ) 959,637


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR (69,500 ) 959,637

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Balance Sheet
31 July 2024

31.7.24 31.7.23
Notes £    £   
FIXED ASSETS
Tangible assets 9 22,181,690 24,184,235

CURRENT ASSETS
Debtors 10 2,509,157 2,522,663
Cash at bank 1,560,462 1,896,156
4,069,619 4,418,819
CREDITORS
Amounts falling due within one year 11 (8,003,055 ) (8,196,719 )
NET CURRENT LIABILITIES (3,933,436 ) (3,777,900 )
TOTAL ASSETS LESS CURRENT LIABILITIES 18,248,254 20,406,335

CREDITORS
Amounts falling due after more than one year 12 (12,110,687 ) (14,103,497 )

PROVISIONS FOR LIABILITIES 16 (1,012,156 ) (1,107,927 )
NET ASSETS 5,125,411 5,194,911

CAPITAL AND RESERVES
Called up share capital 17 120,000 120,000
Capital redemption reserve 18 80,000 80,000
Retained earnings 18 4,925,411 4,994,911
SHAREHOLDERS' FUNDS 5,125,411 5,194,911

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Balance Sheet - continued
31 July 2024


The financial statements were approved by the Board of Directors and authorised for issue on 23 January 2025 and were signed on its behalf by:




Mr T C Houghton - Director



Mr J H Brown - Director


Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Statement of Changes in Equity
for the Year Ended 31 July 2024

Called up Capital
share Retained redemption Total
capital earnings reserve equity
£    £    £    £   
Balance at 1 August 2022 120,000 4,135,274 80,000 4,335,274

Changes in equity
Dividends - (100,000 ) - (100,000 )
Total comprehensive income - 959,637 - 959,637
Balance at 31 July 2023 120,000 4,994,911 80,000 5,194,911

Changes in equity
Total comprehensive income - (69,500 ) - (69,500 )
Balance at 31 July 2024 120,000 4,925,411 80,000 5,125,411

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Cash Flow Statement
for the Year Ended 31 July 2024

31.7.24 31.7.23
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 6,315,266 6,992,080
Interest paid (77,296 ) (90,518 )
Interest element of hire purchase payments paid (1,125,937 ) (797,322 )
Tax paid (200,723 ) (193,353 )
Net cash from operating activities 4,911,310 5,910,887

Cash flows from investing activities
Purchase of tangible fixed assets (5,431,248 ) (10,944,822 )
Sale of tangible fixed assets 2,083,705 1,349,389
Interest received 56,553 16,810
Net cash from investing activities (3,290,990 ) (9,578,623 )

Cash flows from financing activities
Loan repayments in year (296,250 ) -
New HP agreements in year 5,427,266 4,281,035
Capital repayments in year (6,985,669 ) (321,250 )
Amount introduced by directors - 105,290
Amount withdrawn by directors (101,361 ) -
Equity dividends paid - (100,000 )
Net cash from financing activities (1,956,014 ) 3,965,075

(Decrease)/increase in cash and cash equivalents (335,694 ) 297,339
Cash and cash equivalents at beginning of year 2 1,896,156 1,598,817

Cash and cash equivalents at end of year 2 1,560,462 1,896,156

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Notes to the Cash Flow Statement
for the Year Ended 31 July 2024

1. RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.7.24 31.7.23
£    £   
(Loss)/profit before taxation (89,582 ) 1,212,806
Depreciation charges 6,450,594 5,919,759
Profit on disposal of fixed assets (1,100,506 ) (833,270 )
Finance costs 1,203,233 887,840
Finance income (56,553 ) (16,810 )
6,407,186 7,170,325
Decrease/(increase) in trade and other debtors 13,506 (145,047 )
Decrease in trade and other creditors (105,426 ) (33,198 )
Cash generated from operations 6,315,266 6,992,080

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 July 2024
31.7.24 1.8.23
£    £   
Cash and cash equivalents 1,560,462 1,896,156
Year ended 31 July 2023
31.7.23 1.8.22
£    £   
Cash and cash equivalents 1,896,156 1,598,817


3. ANALYSIS OF CHANGES IN NET DEBT

At 1.8.23 Cash flow At 31.7.24
£    £    £   
Net cash
Cash at bank 1,896,156 (335,694 ) 1,560,462
1,896,156 (335,694 ) 1,560,462
Debt
Finance leases (19,512,625 ) 1,558,403 (17,954,222 )
Debts falling due within 1 year (296,250 ) - (296,250 )
Debts falling due after 1 year (839,375 ) 296,250 (543,125 )
(20,648,250 ) 1,854,653 (18,793,597 )
Total (18,752,094 ) 1,518,959 (17,233,135 )

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

Notes to the Financial Statements
for the Year Ended 31 July 2024

1. STATUTORY INFORMATION

Farnborough Van & Truck Hire 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 Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


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.

Significant judgements and estimates
In the application of the company's accounting policies the directors are required to make judgements, estimates and assumptions about the carrying amounts 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

In preparing these financial statements, the directors have had to make the following judgements:
- Determine whether leases entered into by the company either as a lessor or a lessee are operating or finance leases. These decisions depend on an assessment of whether the risks and rewards of ownership have been transferred from the lessor to the lessee on a lease by lease basis.
- A bad debt provision is included within the financial statements which is based on an assessment made by the directors of the recoverability of debtor balances.
- Tangible fixed assets, are depreciated over their useful lives taking into account 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 asset lives, factors such as technological innovation, product life cycle and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining of the asset and projected disposal values.

Turnover
Turnover is the amount derived from ordinary activities and is measured at the fair value of the consideration received or receivable. Turnover is stated net of VAT.

Turnover from the hire of vehicles is recognised on a straight line basis over the period of hire.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Fixtures and fittings - 33% on cost
Motor vehicles - Straight line over life of the lease
Computer equipment - 33% on cost

Financial instruments
Basic financial instruments are recognised at amortised cost using the effective interest method, except for investments in non-convertible preference and non-puttable preference and ordinary shares, which are measured at fair value, with changes recognised in profit or loss. Derivative financial instruments are initially recorded at cost and thereafter at fair value, with changes recognised in profit and loss.


Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

2. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

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

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

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £28,717 (2023: £24,812).

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.

3. TURNOVER

The turnover and loss (2023 - profit) before taxation are attributable to the one principal activity of the company.

An analysis of turnover by geographical market is given below:

31.7.24 31.7.23
£    £   
United Kingdom 11,316,593 12,564,382
11,316,593 12,564,382

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

4. EMPLOYEES AND DIRECTORS
31.7.24 31.7.23
£    £   
Wages and salaries 999,429 1,135,791
Social security costs 113,683 154,664
Other pension costs 28,717 24,812
1,141,829 1,315,267

The average number of employees during the year was as follows:
31.7.24 31.7.23

Management & customer support 23 23

31.7.24 31.7.23
£    £   
Directors' remuneration 201,227 201,947

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

Money purchase schemes 1 1

Information regarding the highest paid director is as follows:
31.7.24 31.7.23
£    £   
Emoluments etc 113,149 126,897

5. OPERATING PROFIT

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

31.7.24 31.7.23
£    £   
Other operating leases 443,687 340,958
Depreciation - owned assets 44,962 43,469
Depreciation - assets on hire purchase contracts 6,405,632 5,876,290
Profit on disposal of fixed assets (1,100,506 ) (833,270 )
Auditors' remuneration 14,805 14,100

6. INTEREST PAYABLE AND SIMILAR EXPENSES
31.7.24 31.7.23
£    £   
Bank loan interest 77,296 90,518
Hire purchase 1,125,937 797,322
1,203,233 887,840

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

7. TAXATION

Analysis of the tax (credit)/charge
The tax (credit)/charge on the loss for the year was as follows:
31.7.24 31.7.23
£    £   
Current tax:
UK corporation tax 75,689 200,723

Deferred tax (95,771 ) 52,446
Tax on (loss)/profit (20,082 ) 253,169

Reconciliation of total tax (credit)/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:

31.7.24 31.7.23
£    £   
(Loss)/profit before tax (89,582 ) 1,212,806
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of 25%
(2023 - 21%)

(22,396

)

254,689

Effects of:
Expenses not deductible for tax purposes 2,314 (1,520 )
Total tax (credit)/charge (20,082 ) 253,169

8. DIVIDENDS
31.7.24 31.7.23
£    £   
Ordinary shares of £1 each
Interim - 100,000

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

9. TANGIBLE FIXED ASSETS
Fixtures
and Motor Computer
fittings vehicles equipment Totals
£    £    £    £   
COST
At 1 August 2023 229,195 40,847,035 95,380 41,171,610
Additions 3,047 5,427,266 935 5,431,248
Disposals - (5,367,174 ) - (5,367,174 )
At 31 July 2024 232,242 40,907,127 96,315 41,235,684
DEPRECIATION
At 1 August 2023 139,914 16,758,917 88,544 16,987,375
Charge for year 41,032 6,405,632 3,930 6,450,594
Eliminated on disposal - (4,383,975 ) - (4,383,975 )
At 31 July 2024 180,946 18,780,574 92,474 19,053,994
NET BOOK VALUE
At 31 July 2024 51,296 22,126,553 3,841 22,181,690
At 31 July 2023 89,281 24,088,118 6,836 24,184,235

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Motor
vehicles
£   
COST
At 1 August 2023 40,847,035
Additions 5,427,266
Disposals (5,367,174 )
At 31 July 2024 40,907,127
DEPRECIATION
At 1 August 2023 16,758,917
Charge for year 6,405,632
Eliminated on disposal (4,383,975 )
At 31 July 2024 18,780,574
NET BOOK VALUE
At 31 July 2024 22,126,553
At 31 July 2023 24,088,118

10. DEBTORS
31.7.24 31.7.23
£    £   
Amounts falling due within one year:
Trade debtors 2,214,788 2,295,358
Other debtors 2,630 4,545
Prepayments and accrued income 240,739 171,760
2,458,157 2,471,663

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

10. DEBTORS - continued
31.7.24 31.7.23
£    £   
Amounts falling due after more than one year:
Other debtors 51,000 51,000

Aggregate amounts 2,509,157 2,522,663

Contracted rent receivables due within one year is £7,098,787 (2023 : £7,396,464) and in 1-5 years is £673,229 (2023 : £1,452,465).

11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.7.24 31.7.23
£    £   
Bank loans and overdrafts (see note 13) 296,250 296,250
Hire purchase contracts (see note 14) 6,386,660 6,248,503
Trade creditors 885,724 888,873
Tax 75,689 200,723
Social security and other taxes - 91,288
VAT 98,546 105,910
Other creditors 19,428 21,117
Directors' loan accounts 3,929 105,290
Accruals and deferred income 236,829 238,765
8,003,055 8,196,719

12. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
31.7.24 31.7.23
£    £   
Bank loans (see note 13) 543,125 839,375
Hire purchase contracts (see note 14) 11,567,562 13,264,122
12,110,687 14,103,497

13. LOANS

An analysis of the maturity of loans is given below:

31.7.24 31.7.23
£    £   
Amounts falling due within one year or on demand:
Bank loans 296,250 296,250

Amounts falling due between two and five years:
Bank loans - 2-5 years 543,125 839,375

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

14. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts
31.7.24 31.7.23
£    £   
Net obligations repayable:
Within one year 6,386,660 6,248,503
Between one and five years 11,567,562 13,264,122
17,954,222 19,512,625

Non-cancellable operating leases
31.7.24 31.7.23
£    £   
Within one year 410,440 412,535
Between one and five years 609,266 1,012,797
1,019,706 1,425,332

15. SECURED DEBTS

The following secured debts are included within creditors:

31.7.24 31.7.23
£    £   
Bank loans 839,375 1,135,625
Hire purchase contracts 17,954,222 19,512,625
18,793,597 20,648,250

The bank loans are secured by a fixed and floating charge over the assets of the company in favour of Clydesdale Bank Plc.

Hire purchase liabilities are secured on the asset to which the financing relates.

16. PROVISIONS FOR LIABILITIES
31.7.24 31.7.23
£    £   
Deferred tax 1,012,156 1,107,927

Deferred
tax
£   
Balance at 1 August 2023 1,107,927
Credit to Income Statement during year (95,771 )
Balance at 31 July 2024 1,012,156

17. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 31.7.24 31.7.23
value: £    £   
120,000 Ordinary £1 120,000 120,000

Farnborough Van & Truck Hire Limited (Registered number: 03370120)

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

17. CALLED UP SHARE CAPITAL - continued

The shares constitute a single class of shares with the same rights in respect of income, capital and voting.

18. RESERVES
Capital
Retained redemption
earnings reserve Totals
£    £    £   

At 1 August 2023 4,994,911 80,000 5,074,911
Deficit for the year (69,500 ) (69,500 )
At 31 July 2024 4,925,411 80,000 5,005,411

19. PENSION COMMITMENTS

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund.

The pension cost charge represents contributions payable by the company to the fund and amounted to £28,717 (2023 - £24,812). Contributions totalling £4,401 (2023 - £6,091) were payable to the fund at the balance sheet date.

20. CONTINGENT ASSET

In respect of the hearing relating to the truck cartel, a settlement amount will be payable to the company if the outcome of the court case is favourable. No gain has been recognised during the financial year, as the receipt of the settlement is not virtually certain as it is dependent on the outcome of the court case and data from 1997 to 2012.

21. CAPITAL COMMITMENTS
31.7.24 31.7.23
£    £   
Contracted but not provided for in the
financial statements 1,646,175 4,620,403

22. RELATED PARTY DISCLOSURES

Key management personnel for the company was considered and only the two directors are considered to be key management personnel of the company.

23. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is Mr J H Brown.