Company registration number 04988106 (England and Wales)
BALLYCOMMON SERVICES LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
BALLYCOMMON SERVICES LIMITED
COMPANY INFORMATION
Directors
R Barry
I Barry
Secretary
S Barry
Company number
04988106
Registered office
77a Boston Manor Road
Brentford
Middlesex
TW8 9JQ
Auditor
Mercer & Hole LLP
Trinity Court
Church Street
Rickmansworth
WD3 1RT
Business address
77a Boston Manor Road
Brentford
Middlesex
TW8 9JQ
BALLYCOMMON SERVICES LIMITED
CONTENTS
Page
Strategic report
1 - 3
Directors' report
4
Directors' responsibilities statement
5
Independent auditor's report
6 - 8
Profit and loss account
9
Statement of comprehensive income
10
Balance sheet
11
Statement of changes in equity
12
Statement of cash flows
13
Notes to the financial statements
14 - 26
BALLYCOMMON SERVICES LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

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

Business Review

The principal activity of the business is the resourcing and supply of professionals, skilled trades people and labour to the Civil Engineering, Construction and Rail sectors throughout the UK.

The company’s turnover for the year is £23 million, returning to regular levels after the spikes in the March 2022 and March 2023 financial statements which occurred as a result of a specific project in those years. Turnover was also impacted by the political uncertainty with projects being delayed / cancelled.

Profit has been impacted by a number of specific factors which the company has addressed:

Gross Margin Erosion: The company has experienced a gradual decline in its gross margin. A comprehensive review of margins was undertaken to restore them to a more sustainable level. This review was well-received by both clients and staff and the directors look forward to seeing a positive impact on the company's gross margin going forward.

 

Interest Rate Impact: Higher interest rates throughout 2023 / 2024 increased interest costs from £218,510 to £296,382 an additional cost of £77,872. While interest rates remain elevated, the company has improved its cash collection to minimise funding needs.

Other Income and Cost Management: The company continuously reviews other income sources and administrative expenses, making savings and improvements wherever possible. These changes are already contributing to a stronger bottom line going forward.

 

The company continues its focus on managing overheads and identifying efficiencies to support margins. Our EBITDA for the year ending March 2024 was £742,901 (2023 £824,224).

The company continues to deliver a professional service to its customers which by in large is down to the diligent, high quality, well trained staff we employ and operatives we supply to our customers. The directors would like to place on record their gratitude to all who have contributed to Ballycommon Services Limited during the period.

The company continues to work on major infrastructure projects and rail projects throughout the UK. Ballycommon Services continues to be a good corporate citizen and where practicably possible chooses environmentally and social options that benefit the communities we operate in.

BALLYCOMMON SERVICES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
Principal risks and uncertainties

The company’s principal activity exposes the company to a variety of risks which are managed by ensuring thorough implementation and management of financial controls.

 

Credit Risk

The company's credit risks arise from trade debtors and the amount recoverable from contracts. The company has a structured procedure to manage these risks by setting limits for individual clients based on past trading history and current third-party credit information.

 

Liquidity Risk

The company seeks to manage liquidity risks by the use of a combination of cash reserves and long-term debt instruments. The company is confident it will continue to manage its liquidity and meet obligations as they fall due.

 

Health & Safety

The company recognize the importance of Health, safety and wellbeing of all staff, employees, sub contractors, customers and the wider sectors it work in. The company and board continue to ensure improvement to health, safety and wellbeing remain a key objective.

 

Staff, Employees and workers

The company's reputation is dependent on the continued provision of well trained, qualified management team, staff, and workers. The company is an equal opportunity employer and is opposed to all forms of discrimination including on the grounds of age, ethnicity, gender, religion or sexual orientation.

 

Key performance indicators

The board uses a range of financial and non-financial indicators to help manage its operations. Key financial KPI’s include, Turnover, Profit (after tax) and Balance Sheet Net Assets.

2024
2023
2022
£
£
£
Turnover
23,015,468
31,339,350
59,013,340
Profit (after tax)
157,674
431,773
2,661,846
Net assets
4,466,261
4,308,587
3,876,814
Other performance indicators

 

 

Future prospects

The company’s current contracts are progressing satisfactorily, and the company enjoys a steady order book from well-established long-standing clients and encouraging tender opportunities are constantly being submitted, with a variety of new projects expected to commence from late 2024 into 2025.

The board recognises and has factored for the uncertain times we are in where profit margins have become more difficult with previously unseen price increases due to trades shortages, inflationary pressures, and the conflict in Ukraine.

BALLYCOMMON SERVICES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -

On behalf of the board

R Barry
Director
27 January 2025
BALLYCOMMON SERVICES LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -

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

Principal activities

The principal activity of the business is the resourcing and supply of professionals, skilled trades people and labour to the Civil Engineering, Construction and Rail sectors throughout the UK.

Results and dividends

The results for the year are set out on page 9.

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

Directors

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

R Barry
I Barry
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 company’s auditor 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 company’s auditor 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
R Barry
Director
27 January 2025
BALLYCOMMON SERVICES LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -

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 company and of the profit or loss of the company 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 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.

BALLYCOMMON SERVICES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF BALLYCOMMON SERVICES LIMITED
- 6 -
Opinion

We have audited the financial statements of Ballycommon Services Limited (the 'company') for the year ended 31 March 2024 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity, the 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 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 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:

BALLYCOMMON SERVICES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF BALLYCOMMON SERVICES LIMITED (CONTINUED)
- 7 -
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 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 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.

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.

Extent to which the audit was considered capable of detecting irregularities, including fraud

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. These included, but were not limited to, the Companies Act 2006 and tax legislation.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements and the financial report (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate entries including journals to overstate revenue or understate expenditure and management bias in accounting estimates

Audit procedures performed by the engagement team included:

 

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non- compliance and cannot be expected to detect non-compliance with all laws and regulations.

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.

BALLYCOMMON SERVICES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF BALLYCOMMON SERVICES LIMITED (CONTINUED)
- 8 -

Use of our report

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

Mark Cassidy FCA
Senior Statutory Auditor
For and on behalf of Mercer & Hole LLP
27 January 2025
Chartered Accountants
Statutory Auditor
Trinity Court
Church Street
Rickmansworth
WD3 1RT
BALLYCOMMON SERVICES LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 9 -
2024
2023
Notes
£
£
Turnover
3
23,015,468
31,339,350
Cost of sales
(19,138,008)
(26,851,953)
Gross profit
3,877,460
4,487,397
Administrative expenses
(3,760,474)
(4,081,822)
Other operating income
274,562
117,953
Operating profit
4
391,548
523,528
Interest payable and similar expenses
7
(296,382)
(218,510)
Profit before taxation
95,166
305,018
Tax on profit
8
62,508
126,755
Profit for the financial year
157,674
431,773

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

BALLYCOMMON SERVICES LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
2024
2023
£
£
Profit for the year
157,674
431,773
Other comprehensive income
-
-
Total comprehensive income for the year
157,674
431,773
BALLYCOMMON SERVICES LIMITED
BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
9
847,840
1,042,859
Current assets
Debtors
11
9,008,229
8,080,367
Cash at bank and in hand
1,827
295,178
9,010,056
8,375,545
Creditors: amounts falling due within one year
12
(5,201,515)
(4,788,232)
Net current assets
3,808,541
3,587,313
Total assets less current liabilities
4,656,381
4,630,172
Creditors: amounts falling due after more than one year
13
(66,257)
(135,214)
Provisions for liabilities
Deferred tax liability
16
123,863
186,371
(123,863)
(186,371)
Net assets
4,466,261
4,308,587
Capital and reserves
Called up share capital
18
100
100
Profit and loss reserves
4,466,161
4,308,487
Total equity
4,466,261
4,308,587

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

The financial statements were approved by the board of directors and authorised for issue on 27 January 2025 and are signed on its behalf by:
R Barry
Director
Company registration number 04988106 (England and Wales)
BALLYCOMMON SERVICES LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 12 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 April 2022
100
3,876,714
3,876,814
Year ended 31 March 2023:
Profit and total comprehensive income for the year
-
431,773
431,773
Balance at 31 March 2023
100
4,308,487
4,308,587
Year ended 31 March 2024:
Profit and total comprehensive income for the year
-
157,674
157,674
Balance at 31 March 2024
100
4,466,161
4,466,261
BALLYCOMMON SERVICES LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash (absorbed by)/generated from operations
22
(523,779)
2,716,824
Interest paid
(79,791)
(218,510)
Income taxes refunded/(paid)
273,058
(933,661)
Net cash (outflow)/inflow from operating activities
(330,512)
1,564,653
Investing activities
Purchase of tangible fixed assets
(168,790)
(459,209)
Proceeds from disposal of tangible fixed assets
79,173
162,611
Net cash used in investing activities
(89,617)
(296,598)
Financing activities
Proceeds from factoring account
260,337
-
0
Repayment of bank loans
-
0
(740,217)
Payment of finance leases obligations
(225,988)
(186,766)
Net cash generated from/(used in) financing activities
34,349
(926,983)
Net (decrease)/increase in cash and cash equivalents
(385,780)
341,072
Cash and cash equivalents at beginning of year
295,178
(45,894)
Cash and cash equivalents at end of year
(90,602)
295,178
Relating to:
Cash at bank and in hand
1,827
295,178
Bank overdrafts included in creditors payable within one year
(92,429)
-
0
BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
1
Accounting policies
Company information

Ballycommon Services Limited is a private company limited by shares incorporated in England and Wales. The registered office is 77a Boston Manor Road, Brentford, Middlesex, TW8 9JQ.

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.

1.2
Going concern

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, due to support received from the parent company and other companies within the group. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for labour supply provided in the normal course of business, and is shown net of value added tax and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

1.4
Tangible fixed assets

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

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

Land and buildings leasehold
Over the lease period of 15 years
Fixtures, fittings & equipment
25% on net book value
Computer equipment
25% on net book value
Motor vehicles
20% on cost

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 credited or charged to profit or loss.

1.5
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible 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.

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 15 -

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.

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.

1.6
Cash and cash equivalents

Cash at bank and in hand 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 current liabilities.

1.7
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ of FRS 102 to all of its financial instruments.

 

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

 

Financial assets and liabilities are offset, with 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.

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 16 -
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 company 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.

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 company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans, 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.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

1.8
Equity instruments

Equity instruments issued by the company 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 company.

1.9
Taxation

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

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 17 -
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 company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

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 when the company has 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.

1.10
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.

1.11
Retirement benefits

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

1.12
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.

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 18 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’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.

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 19 -
3
Turnover
2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
23,015,468
31,339,350
4
Operating profit
2024
2023
Operating profit for the year is stated after charging/(crediting):
£
£
Fees payable to the company's auditor for the audit of the company's financial statements
31,000
30,000
Depreciation of owned tangible fixed assets
115,578
86,827
Depreciation of tangible fixed assets held under finance leases
235,775
213,869
Profit on disposal of tangible fixed assets
(66,717)
(19,941)
5
Employees

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

2024
2023
Number
Number
47
53

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
1,613,651
841,172
Social security costs
154,611
70,213
Pension costs
16,706
209,645
1,784,968
1,121,030
6
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
70,000
80,000
Company pension contributions to defined contribution schemes
1,321
192,921
71,321
272,921
BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 20 -
7
Interest payable and similar expenses
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
88
63,499
Interest on invoice finance arrangements
66,074
21,746
Other interest on financial liabilities
-
0
36,875
66,162
122,120
Other finance costs:
Interest on finance leases and hire purchase contracts
13,629
20,037
Other interest
216,591
76,353
296,382
218,510
8
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
-
0
(126,103)
Adjustments in respect of prior periods
-
0
(3,105)
Total current tax
-
0
(129,208)
Deferred tax
Origination and reversal of timing differences
(62,508)
2,453
Total tax credit
(62,508)
(126,755)
BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
8
Taxation
(Continued)
- 21 -

The actual credit 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
95,166
305,018
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
23,792
57,953
Tax effect of expenses that are not deductible in determining taxable profit
42,123
31,978
Tax effect of utilisation of tax losses not previously recognised
-
0
(126,103)
Adjustments in respect of prior years
-
0
(3,105)
Group relief
(129,920)
-
0
Permanent capital allowances in excess of depreciation
1,497
(5,516)
Other permanent differences
-
0
751
Deferred taxation not recognised
-
0
(124,883)
Remeasurement of deferred tax rates
-
0
42,170
Taxation credit for the year
(62,508)
(126,755)
9
Tangible fixed assets
Land and buildings leasehold
Fixtures, fittings & equipment
Computer equipment
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
89,823
47,990
101,768
1,839,199
2,078,780
Additions
-
0
-
0
-
0
168,790
168,790
Disposals
-
0
(9,050)
(39,510)
(110,364)
(158,924)
At 31 March 2024
89,823
38,940
62,258
1,897,625
2,088,646
Depreciation and impairment
At 1 April 2023
67,367
40,366
66,386
861,802
1,035,921
Depreciation charged in the year
5,988
1,906
8,845
334,614
351,353
Eliminated in respect of disposals
-
0
(8,628)
(36,611)
(101,229)
(146,468)
At 31 March 2024
73,355
33,644
38,620
1,095,187
1,240,806
Carrying amount
At 31 March 2024
16,468
5,296
23,638
802,438
847,840
At 31 March 2023
22,456
7,624
35,382
977,397
1,042,859
BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
9
Tangible fixed assets
(Continued)
- 22 -

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

2024
2023
£
£
Motor vehicles
528,412
636,140
10
Financial instruments
2024
2023
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
8,997,425
7,753,175
Carrying amount of financial liabilities
Measured at amortised cost
3,247,733
3,997,301

Financial assets measured at cost comprise of cash, trade debtors, and other debtors.

 

Financial liabilities measured at amortised cost comprise of trade creditors, other creditors, loans and accruals.

 

The financial risks are discussed in the strategic report.

11
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
3,454,963
2,867,322
Corporation tax recoverable
-
0
273,058
Amounts owed by group undertakings
2,469,569
2,173,602
Other debtors
681,363
496,179
Prepayments and accrued income
2,402,334
2,270,206
9,008,229
8,080,367
BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 23 -
12
Creditors: amounts falling due within one year
2024
2023
Notes
£
£
Bank loans and overdrafts
14
1,418,104
1,065,338
Obligations under finance leases
15
51,636
208,667
Trade creditors
325,029
632,438
Amounts owed to group undertakings
15,266
-
0
Taxation and social security
2,020,039
926,145
Other creditors
753,903
1,179,989
Accruals and deferred income
617,538
775,655
5,201,515
4,788,232

Bank loans are secured by fixed and floating charges over the assets held by the company.

13
Creditors: amounts falling due after more than one year
2024
2023
Notes
£
£
Obligations under finance leases
15
66,257
135,214
14
Loans and overdrafts
2024
2023
£
£
Bank loans
1,325,675
1,065,338
Bank overdrafts
92,429
-
0
1,418,104
1,065,338
Payable within one year
1,418,104
1,065,338
15
Finance lease obligations
2024
2023
Future minimum lease payments due under finance leases:
£
£
Within one year
51,636
208,667
In two to five years
66,257
135,214
117,893
304,527
117,893
304,527

Finance lease payments represent rentals payable by the company for motor vehicles. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
16
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
125,860
191,536
Tax losses
-
(4,089)
Disallowable provisions
(1,997)
(1,076)
123,863
186,371
2024
Movements in the year:
£
Liability at 1 April 2023
186,371
Credit to profit or loss
(62,508)
Liability at 31 March 2024
123,863

The deferred tax liability set out above is expected to reverse within 12 months and relates to accelerated capital allowances that are expected to mature within the same period.

17
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
16,706
209,645

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

18
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 25 -
19
Operating lease commitments

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

2024
2023
£
£
Within one year
62,648
68,305
Between two and five years
90,261
152,081
152,909
220,386
20
Related party transactions

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due to related parties
£
£
Entities with control, joint control or significant influence over the company
745,000
750,000

The above amount is interest free and payable upon demand.

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due from related parties
£
£
Entities with control, joint control or significant influence over the company
673,745
495,299
Other information

"Other related parties" are related by virtue of having directors in common or by virtue of being amounts owed by a director.

 

The above amounts are interest free and payable on demand.

 

The company has taken advantage of the exemption available under FRS 102 from the requirement to make disclosures concerning transactions with fellow group companies.

21
Parent company

The parent of the largest group in which these financial statements are consolidated is Castlehaven Holdings Limited, incorporated in England.

 

The address of Castlehaven Holdings Limited is:

77a Boston Manor Road, Brentford, Middlesex, TW8 9JQ.

 

These financial statements are available upon request from Companies House, Crown Way, Maindy, Cardiff, CF14 3UZ.

 

The parent of the smallest group in which these financial statements are consolidated is Castlehaven Holdings Limited, incorporated in England.

BALLYCOMMON SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 26 -
22
Cash (absorbed by)/generated from operations
2024
2023
£
£
Profit for the year after tax
157,674
431,773
Adjustments for:
Taxation credited
(62,508)
(126,755)
Finance costs
296,382
218,510
Non-operating income treated as financing activity
(216,591)
-
0
Gain on disposal of tangible fixed assets
(66,717)
(19,941)
Depreciation and impairment of tangible fixed assets
351,353
300,696
Movements in working capital:
(Increase)/decrease in debtors
(1,200,920)
4,259,679
Increase/(decrease) in creditors
217,548
(2,347,138)
Cash (absorbed by)/generated from operations
(523,779)
2,716,824
23
Analysis of changes in net debt
1 April 2023
Cash flows
Market value movements
31 March 2024
£
£
£
£
Cash at bank and in hand
295,178
(293,351)
-
1,827
Bank overdrafts
-
0
(92,429)
-
(92,429)
295,178
(385,780)
-
(90,602)
Borrowings excluding overdrafts
(1,065,338)
(476,928)
216,591
(1,325,675)
Obligations under finance leases
(343,881)
225,988
-
(117,893)
(1,114,041)
(636,720)
216,591
(1,534,170)
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