Company registration number 05531073 (England and Wales)
BARKER LANGHAM LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 MARCH 2024
PAGES FOR FILING WITH REGISTRAR
Century House
Wargrave Road
Henley-on-Thames
Oxfordshire
United Kingdom
RG9 2LT
BARKER LANGHAM LIMITED
CONTENTS
Page
Company information
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 12
BARKER LANGHAM LIMITED
BALANCE SHEET
AS AT 31 MARCH 2024
31 March 2024
- 2 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
4
165,211
167,683
Current assets
Debtors
5
5,469,291
6,098,084
Investments
6
342,434
336,358
Cash at bank and in hand
462,043
908,751
6,273,768
7,343,193
Creditors: amounts falling due within one year
7
(4,427,413)
(2,444,700)
Net current assets
1,846,355
4,898,493
Total assets less current liabilities
2,011,566
5,066,176
Creditors: amounts falling due after more than one year
8
(529,657)
(282,708)
Provisions for liabilities
(33,967)
(28,510)
Net assets
1,447,942
4,754,958
Capital and reserves
Called up share capital
10
100
100
Profit and loss reserves
1,447,842
4,754,858
Total equity
1,447,942
4,754,958
BARKER LANGHAM LIMITED
BALANCE SHEET (CONTINUED)
AS AT 31 MARCH 2024
31 March 2024
- 3 -
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 27 March 2025 and are signed on its behalf by:
Mr D. Barker
Director
Company Registration No. 05531073
The notes on pages 4 to 12 form part of these financial statements
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -
1
Accounting policies
Company information
Barker Langham Limited (05531073) is a private company limited by shares incorporated in England and Wales. The registered office is 160 Packington Street, London, N1 8RA.
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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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
The financial statements have been prepared on a going concern basis, which assumes the company will continue in operational existence, and will be able to meet its liabilities as they fall due, for a period of at least twelve months from the date of approval of the financial statements.true
In reaching this decision the Directors have considered the future trading of the company, and the expected future incomes and cashflows. The Directors have also considered the facilities in place with the bank, in the form of an arranged overdraft with HSBC - which has been agreed until 3 March 2026 for an amount of £1,500,000 until April 2025, £1,250,000 from 1 April 2025 to 31 May 2025, £1,000,000 from 1 June 2025 to 31 October 2025, and £500,000 thereafter. In support of the business the Founders have loaned £500,000 to further evidence their confidence in the entity, and support the cashflow to enable the business to make its payments as they fall due.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business, and is shown net of VAT and other sales related taxes.
Amounts recoverable on contracts not yet invoiced are stated at the net sales value of the work done after provisions for contingencies and anticipated future losses on contracts, less amounts received as progress payments on account. Excess progress payments are included in creditors as payments received on account.
Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that expenses recognised are recoverable.
1.4
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.
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 5 -
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:
Leasehold improvements
20% straight line
Fixtures, fittings & equipment
25% straight line
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.
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.
1.6
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.
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 6 -
1.7
Financial instruments
The company 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 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.
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 loans from fellow group companies 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.
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.
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.
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 7 -
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.
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 8 -
1.12
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
1.13
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.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Employees
48
41
3
Directors' remuneration
2024
2023
£
£
Remuneration paid to directors
560,933
251,832
The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 3 (2023 - 3).
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 9 -
4
Tangible fixed assets
Leasehold improvements
Fixtures, fittings & equipment
Total
£
£
£
Cost
At 1 April 2023
154,238
160,308
314,546
Additions
70,313
70,313
At 31 March 2024
154,238
230,621
384,859
Depreciation and impairment
At 1 April 2023
82,357
64,506
146,863
Depreciation charged in the year
30,847
41,938
72,785
At 31 March 2024
113,204
106,444
219,648
Carrying amount
At 31 March 2024
41,034
124,177
165,211
At 31 March 2023
71,881
95,802
167,683
5
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
4,548,095
5,175,629
Amounts owed by group undertakings
311,198
207,272
Other debtors
572,967
355,971
Prepayments and accrued income
37,031
359,212
5,469,291
6,098,084
6
Current asset investments
2024
2023
£
£
Other investments
342,434
336,358
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
7
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans and overdrafts
1,493,167
100,746
Trade creditors
958,735
578,095
Amounts owed to group undertakings
1,093,695
111,040
Corporation tax
44,201
840,820
Other taxation and social security
94,960
89,131
Other creditors
410,941
266,236
Accruals and deferred income
331,714
458,632
4,427,413
2,444,700
Included within bank loans due within one year is an amount of £65,310 (2023 - £59,061) which is secured in full by a personal guarantee with the directors.
8
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans
529,657
282,708
On 23 April 2022 a loan was obtained from the Funding Circle for an amount of £250,000, payable in 60 monthly instalments ending 23 March 2026 at an interest rate of 4.9%. The loan is secured by a personal guarantee with the directors. At the year end £137,529 (2023:£173,768) remained outstanding.
On 27 September 2022 a loan was obtained from Edinburgh Alternative Finance Limited for an amount of £245,030, payable in 60 monthly instalments ending 27 September 2027, at an interest rate of 10.15%. At the year end £184,030 (2023: £209,685) remained outstanding.
A loan was obtained from HSBC for an amount of £850,000, payable in 22 monthly installments ending 31 October 2025 at an interest rate of base plus 3.1%. at the year end £784,512 remained outstanding.
9
Financial instruments
Included in the amounts shown as Debtors and Creditors above are financial assets and financial liabilities, the classification of which are further analysed below:
2024
2023
£
£
Carrying amount of financial assets
Instruments measured at fair value through profit or loss
342,434
336,358
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
10
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
11
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
The senior statutory auditor was Michelle Hewitt-Dutton FCCA and the auditor was Verallo.
12
Financial commitments, guarantees and contingent liabilities
At the year end Barker Langham Limited had entered into performance bonds, provided by HSBC, over its contracts, totalling SAR 1,625,416 (2023 - SAR 3,035,404) and AED 3,227,987 (2023 - AED 4,229,281), at the year end the combined GBP value was £976,300 (2023 - £1,717,640). The performance bonds expire on satisfactory completion of the contract.
13
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2024
2023
£
£
301,524
103,416
14
Events after the reporting date
On 1 April 2024, the company incorporated a 100% owned subsidiary, Barker Langham Limited for Business Services Company which is registered in KSA.
On 5 July 2024, Barker Langham Limited entered into performance bonds, provided by HSBC, over its contracts, totaling SAR 499,786. The performance bonds expire on satisfactory completion of the contract.
On 8 August 2024, Barker Langham Limited entered into performance bonds, provided by HSBC, over its contracts, totaling SAR 149,720. The performance bonds expire on satisfactory completion of the contract.
On 9 May 2024, the company was loaned £400,000 by a founder, in order to assist with the cashflow function of the group.
BARKER LANGHAM LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 12 -
15
Related party transactions
The company has taken advantage of the exemption available under FRS 102 Section 33.1A not to disclose transactions with other wholly-owned members of the group.
Throughout the year Barker Langham Limited entered into transactions with related parties. Purchases were made totalling £nil (2023 - £11,152). At the balance sheet date, Barker Langham Limited owed £85,121.81 to related parties (2023 - £62,269).
16
Ultimate controlling party
The company was under the control of the Employee Ownership Trust which was set up on 30 March 2023. On 31 March 2023 51% of the shares were sold to the Employee Ownership Trust. Prior to this the company was under the control of the directors by virtue of their shareholding in the company's parent company, Barker Langham Group Limited.