Registration number:
for the Year Ended
S O L Services Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Profit and Loss Account |
|
Statement of Comprehensive Income |
|
Balance Sheet |
|
Statement of Changes in Equity |
|
Statement of Cash Flows |
|
Notes to the Financial Statements |
S O L Services Limited
Company Information
Directors |
N P Burdett A Gordge |
Registered office |
|
Auditors |
|
S O L Services Limited
Strategic Report for the Year Ended 31 May 2024
The directors present their strategic report for the year ended 31 May 2024.
Principal activity
The principal activity of the company in the year under review was that of specialists providing best in class construction, refurbishment, and maintenance solutions for the private and public sector clients across the UK and in the EU.
Our unwavering commitment to service excellence and innovative approaches has allowed us to offer an extensive range of services across Mechanical. Facilities Management, Projects, Electrical, Refurbishment and Civils. At the core of our operations lies a strong company ethos centred around fostering enduring relationships with our valued customers and suppliers, with service integrity being paramount.
Our reputation for consistently delivering safety, reliability, and quality has resulted in repeat business, enabling our company to thrive. We take pride in actively engaging with local communities and making a positive impact.
Financial performance in the year
Turnover for the year increased by 25.5% to £23,137,807 from £18,423,810. This growth was driven by the acquisition of key contracts throughout the year and the maintenance of strong customer relationships.
While gross margin remains robust, it has experienced a slight decline due to prevailing market conditions and the acquisition of large contracts. Despite this, our performance continues to be strong, demonstrating our ability to secure significant contracts and maintain resilience in a challenging market environment.
Operating expenses have remained consistent with last year's figures, reflecting our strategic investment in personnel and practices. This deliberate allocation of resources underscores our commitment to enhancing operational efficiency and sustaining long-term growth.
Principal risks and uncertainties
The Board of Directors convenes regularly to assess and evaluate the company’s risk tolerance. In the current business environment, the company faces several uncertainties and threats that could impact our operational and financial performance.
The increasing legal and regulatory changes present significant challenges, potentially affecting our profit margins due to compliance costs and operational adjustments. Additionally, the evolving landscape of data privacy laws and cybersecurity threats poses risks to our information security, although our investment in systems and processes mitigates these risks.
The company considers the potential impact of geopolitical tensions and supply chain disruptions on operations. By acknowledging these factors, we can develop robust strategies to mitigate risks and ensure sustainable growth.
In the financial year 2024, we achieved robust growth in both revenue and margin across our business divisions. Our client portfolio comprises a balanced mix of repeat and new customers. Additionally, we maintain a credit control policy that consistently monitors the credit performance of our debtor book.
Our prudent margin management is evident in our net profit position. We diligently review our cost base to ensure effective cost management, conducting benchmarking exercises as part of this process. Operating in a competitive market, we mitigate risk by delivering high-quality services while maintaining competitive pricing for our customer base.
The decision to submit bids is subject to rigorous approval through our tender bid process.
S O L Services Limited
Strategic Report for the Year Ended 31 May 2024
KEY STRATEGIES
Our strategic vision centres around three key pillars. First, we aim to establish a high-performing and innovative business, guided by effective governance practices. Second, we will define a robust business model and unique selling proposition, leveraging our quality reference capability. Finally, we are committed to implementing a focused commercial strategy that will drive 100% growth by 2028.
The company is well-positioned for continued success. By staying agile, being at the forefront of sustainability, and focusing on customer needs, the company can navigate challenges and achieve its growth objectives.
Business Relationships
The Directors believe that prioritising exceptional service, personalised communication, and understanding customer needs, we will continue to build lasting bonds with our clients. These relationships drive repeat business and amplify our brand reputation. We appreciate our suppliers and rigorously assess their performance to ensure alignment with our values and high standards.
Health and Safety
The Board of Directors is unwavering in its commitment to attaining the highest practical standards in health and safety management. We diligently strive to create safe environments across all sites and offices, ensuring the well-being of customers, contractors, and employees alike.
Community and Environment
We recognise the importance of investing in both our workforce and the local community. Our commitment extends beyond our immediate business operations, as we actively participate in initiatives that foster growth, education, and sustainability.
We believe in nurturing talent from within. Our robust apprenticeship programs provide young individuals with hands-on experience, mentorship, and structured learning. Investing in employee well-being, professional growth through employee training and skill developments is paramount.
By integrating apprenticeship opportunities, community support, and environmental consciousness into our business strategy, we contribute to a brighter future for both our workforce and the neighbourhoods we serve. Together, we build a stronger, more resilient community-one that thrives through collaboration, education, and shared values.
Our vision for decarbonisation is a cornerstone of the construction industry’s transition to a sustainable future. With our Net Zero Ambition, we are guiding our customers through a transformative journey, pledging to eradicate Scope 1 and 2 carbon emissions by 2028 and ambitiously targeting Scope 3 emissions by 2040. This trajectory not only meets but also aspires to surpass the rigorous frameworks established by the UK Green Building Council (UKGBC), ensuring our strategies are both ambitious and achievable.
Stakeholders
The Board of Directors conscientiously considers the interests of relevant stakeholders, encompassing employees, customers, suppliers, communities, and other parties, during its decision-making process.
Approved and authorised by the
......................................... |
S O L Services Limited
Directors' Report for the Year Ended 31 May 2024
The directors present their report and the financial statements for the year ended 31 May 2024.
Directors of the company
The directors who held office during the year were as follows:
Disclosure of information to the auditors
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.
Approved and authorised by the
......................................... |
S O L Services Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities 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:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
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.
S O L Services Limited
Independent Auditor's Report to the Members of S O L Services Limited
Opinion
We have audited the financial statements of S O L Services Limited (the 'company') for the year ended 31 May 2024, which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the company's affairs as at 31 May 2024 and of its profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor 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 director's 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 original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Opinion on other matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' ReportStrategic Report and Directors' Report have have been prepared in accordance with applicable legal requirements. |
S O L Services Limited
Independent Auditor's Report to the Members of S O L Services Limited
Matters on which we are required to report by exception
In the light of our 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 and the Directors' Report.
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. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page 5, 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 Responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
S O L Services Limited
Independent Auditor's Report to the Members of S O L Services Limited
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design
procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of
irregularities, including fraud. As such, we have considered:
the nature of the industry and sector, control environment and business performance including the company's
remuneration policy, bonus levels, and performance targets;
the company's own assessment, including assessments made by key management, of the risks that
irregularities may occur either as a result of fraud or error;
any matters we identified having reviewed the company's policies and procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any
instances of non-compliance;
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or
alleged fraud; and
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
the matters discussed amongst the audit engagement team.
As a result of these procedures, we considered the opportunities and incentives that may exist within the
organisation for fraud and identified the greatest potential for fraud in the areas in which management is
required to exercise significant judgement, such as the disclosure of adjusting items. In common with all
audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of
management override.
We also obtained an understanding of the legal and regulatory framework that the company operates in,
focusing on provisions of those laws and regulations that had a direct effect on the determination of material
amounts and disclosures in the financial statements. The key laws and regulations we considered in this
context were the Companies Act, tax legislation and regulations concerning importing and exporting to and
from the UK.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
......................................
For and on behalf of
2 Old Bath Road
Berkshire
RG14 1QL
S O L Services Limited
Profit and Loss Account for the Year Ended 31 May 2024
Note |
2024 |
2023 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Operating profit |
2,777,003 |
1,201,243 |
|
Other interest receivable and similar income |
|
|
|
Interest payable and similar expenses |
( |
( |
|
38,649 |
102,009 |
||
Profit before tax |
|
|
|
Tax on profit |
( |
( |
|
Profit for the financial year |
|
|
The above results were derived from continuing operations.
The company has no recognised gains or losses for the year other than the results above.
S O L Services Limited
Statement of Comprehensive Income for the Year Ended 31 May 2024
2024 |
2023 |
|
Profit for the year |
|
|
Total comprehensive income for the year |
|
|
S O L Services Limited
(Registration number: 04754905)
Balance Sheet as at 31 May 2024
Note |
2024 |
(As restated) |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Other financial assets |
255,400 |
255,400 |
|
|
|
||
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
150 |
150 |
|
Revaluation reserve |
72,262 |
72,262 |
|
Retained earnings |
6,587,666 |
4,709,532 |
|
Shareholders' funds |
6,660,078 |
4,781,944 |
Approved and authorised by the
......................................... |
S O L Services Limited
Statement of Changes in Equity for the Year Ended 31 May 2024
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 June 2023 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Dividends |
- |
- |
( |
( |
At 31 May 2024 |
|
|
|
|
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 June 2022 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Dividends |
- |
- |
( |
( |
At 31 May 2023 |
150 |
72,262 |
4,709,532 |
4,781,944 |
S O L Services Limited
Statement of Cash Flows for the Year Ended 31 May 2024
Note |
2024 |
(As restated) |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Finance costs |
|
|
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
(Increase)/decrease in trade debtors |
( |
|
|
Increase/(decrease) in trade creditors |
|
( |
|
Cash generated from operations |
|
|
|
Income taxes received/(paid) |
|
( |
|
Net cash flow from operating activities |
|
|
|
Cash flows from investing activities |
|||
Acquisitions of tangible assets |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Repayment of bank borrowing |
( |
( |
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
( |
( |
|
Net (decrease)/increase in cash and cash equivalents |
( |
|
|
Cash and cash equivalents at 1 June |
|
|
|
Cash and cash equivalents at 31 May |
1,007,344 |
1,163,513 |
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office and principal place of business is:
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Going concern
The financial statements have been prepared on a going concern basis.
Reclassification of comparative amounts
£33,723 was included within work in progress in the prior period. This asset class has since been changed to be included within debtors.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the provision of services, under both long and short term contracts, in the ordinary course of the company’s activities. Turnover is shown net of value added tax, returns, rebates and discounts.
Contracts are assessed on a contract by contract basis and reflected in the profit and loss account by recording turnover and related costs as a contract progresses. Operating profit includes attributable profit on contracts completed and amounts recoverable in relation to contracts in progress at the balance sheet date, the latter being recognised as either debtors or creditors depending on the obligations in effect at year end.
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Tax
The tax expense for the period comprises current tax payable.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Tangible assets
Tangible assets (except that of land and buildings) are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
Land and buildings are held under the revaluation model and are subject to the independent valuations in line with FRS 102 guidance. The most recent valuation performed took place in the year ended 31/05/2020.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than freehold properties over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Fixtures and Fittings |
25% Straight Line Basis |
Plant and Machinery |
25% Straight Line Basis |
Motor Vehicles |
25% Straight Line Basis |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Turnover |
The analysis of the company's Turnover for the year from continuing operations is as follows:
2024 |
2023 |
|
Rendering of services |
|
|
Rental income from investment property |
|
|
|
|
The analysis of the company's Turnover for the year by market is as follows:
2024 |
2023 |
|
UK |
|
|
Europe |
|
|
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Operating profit |
Arrived at after charging/(crediting)
2024 |
2023 |
|
Depreciation expense |
|
|
Other interest receivable and similar income |
2024 |
2023 |
|
Other finance income |
|
|
Interest payable and similar expenses |
2024 |
2023 |
|
Interest on bank overdrafts and borrowings |
|
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
Interest expense on other finance liabilities |
|
- |
Foreign exchange losses |
( |
- |
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2024 |
2023 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Other short-term employee benefits |
|
|
Pension costs, defined contribution scheme |
|
|
|
|
The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:
2024 |
2023 |
|
Production |
|
|
Administration and support |
|
|
Sales |
|
|
Marketing |
|
|
Other departments |
|
|
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Directors' remuneration |
The directors' remuneration for the year was as follows:
2024 |
2023 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
619,400 |
476,741 |
During the year the number of directors who were receiving retirement benefits was as follows:
2024 |
2023 |
|
Accruing benefits under money purchase pension scheme |
|
|
In respect of the highest paid director:
2024 |
2023 |
|
Remuneration |
|
|
Company contributions to money purchase pension schemes |
|
|
During the year, changes were made to the roles of management where directors now consider there to be key management personnel. The remuneration of key management personnel in the year totalled aggregated compensation of £310,877 (2023 - £nil).
Auditors' remuneration |
2024 |
2023 |
|
Audit of the financial statements |
|
|
Other fees to auditors |
||
All other non-audit services |
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Taxation |
Tax charged/(credited) in the profit and loss account
2024 |
2023 |
|
Current taxation |
||
UK corporation tax |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2024 |
2023 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Tax decrease from effect of capital allowances and depreciation |
( |
( |
Decrease from effect of different UK tax rates on some earnings |
- |
( |
Tax decrease from other short-term timing differences |
- |
( |
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
Further item of tax increase |
|
- |
Total tax charge |
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Tangible assets |
Land and buildings |
Properties under construction |
Fixtures and fittings |
Plant and machinery |
Motor vehicles |
Total |
|
Cost or valuation |
||||||
At 1 June 2023 |
|
|
|
|
|
|
Additions |
- |
|
|
|
- |
|
Disposals |
- |
- |
( |
- |
- |
( |
Transfers |
- |
- |
|
( |
- |
( |
At 31 May 2024 |
|
|
|
|
|
|
Depreciation |
||||||
At 1 June 2023 |
- |
- |
|
|
|
|
Charge for the year |
- |
- |
|
|
|
|
Eliminated on disposal |
- |
- |
( |
|
- |
( |
Transfers |
- |
- |
( |
( |
- |
( |
At 31 May 2024 |
- |
- |
|
|
|
|
Carrying amount |
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At 31 May 2024 |
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At 31 May 2023 |
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S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Included within the net book value of land and buildings above is £250,000 (2023 - £250,000) in respect of freehold land and buildings.
Included within the net book value of motor vehicles above is £9,737 (2023 - £14,611) in respect of vehicles held under hire purchase contracts.
Other financial assets (current and non-current) |
Financial assets at cost less impairment |
Total |
|
Non-current financial assets |
||
Cost or valuation |
||
At 1 June 2023 |
255,400 |
255,400 |
At 31 May 2024 |
255,400 |
255,400 |
Impairment |
||
Carrying amount |
||
At 31 May 2024 |
|
255,400 |
Debtors |
Current |
Note |
2024 |
(As restated) |
Trade debtors |
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|
Amounts owed by related parties |
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|
|
Other debtors |
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Prepayments |
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|
|
Accrued income |
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|
|
|
|
Details of non-current trade and other debtors
The amounts owed by related parties are non-current and not due to be recalled until at least 12 months after the reporting date.
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Cash and cash equivalents |
2024 |
2023 |
|
Cash at bank |
|
|
Short-term deposits |
|
|
|
|
Creditors |
Note |
2024 |
2023 |
|
Due within one year |
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Loans and borrowings |
|
|
|
Trade creditors |
|
|
|
Social security and other taxes |
|
|
|
Outstanding defined contribution pension costs |
|
|
|
Other payables |
|
|
|
Accruals |
|
|
|
Income tax liability |
1,031,226 |
234,624 |
|
Deferred income |
|
|
|
|
|
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Due after one year |
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Loans and borrowings |
|
|
Provisions for liabilities |
Deferred tax |
Total |
|
At 1 June 2023 |
|
|
At 31 May 2024 |
|
|
|
Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £
Contributions totalling £
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Share capital |
Allotted, called up and fully paid shares
2024 |
2023 |
|||
No. |
£ |
No. |
£ |
|
|
|
150 |
|
150 |
Loans and borrowings |
Non-current loans and borrowings
2024 |
2023 |
|
Bank borrowings |
|
|
Hire purchase contracts |
- |
|
|
|
Current loans and borrowings
2024 |
2023 |
|
Bank borrowings |
|
|
Hire purchase contracts |
|
|
|
|
The hire purchase facilities are secured against the assets to which they relate.
The company entered into a Coronavirus Business Interruption Loan Scheme facility on 11 June 2020. This facility accrues interest at a rate of 1.88% per annum over the Base Rate and is repayable monthly with the final payment due on 11 June 2025.
Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Dividends |
Interim dividends paid
2024 |
2023 |
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Interim dividend of £ |
|
|
||
Analysis of changes in net debt |
At 1 June 2023 |
Financing cash flows |
At 31 May 2024 |
|
Cash and cash equivalents |
|||
Cash |
1,163,513 |
(156,169) |
1,007,344 |
Borrowings |
|||
Long term borrowings |
(155,167) |
49,000 |
(106,167) |
Lease liabilities |
(15,929) |
7,965 |
(7,964) |
(171,096) |
56,965 |
(114,131) |
|
|
( |
|
|
|
S O L Services Limited
Notes to the Financial Statements for the Year Ended 31 May 2024
Related party transactions |
Other transactions with directors |
N Burdett had a loan with the company. At the balance sheet date, the amount due from N Burdett was £206,862 (2023 - (£61,684)). This amount is interest-free and repayable on demand.
A Gordge had a loan with the company. At the balance sheet date, the amount due from A Gordge was £61,524 (2023 - £38,894). This amount is interest-free and repayable on demand.
Summary of transactions with other related parties
The company had loan accounts with SOL Eco Services Limited and Vibe Estates Limited, both companies being common shareholdings for both N Burdett and A Gordge. At the balance sheet date, the amounts owed by both entities were as follows:
SOL Eco Services Limited - £Nil (£2023 - £22,230)
Vibe Estates Limited - £2,820,543 (2023 - £2,704,769
The loan to SOL Eco Services Limited is interest-free. The loan to Vibe Estates Limited accrues interest at 5% per annum. Both loans are repayable on demand.
The company also had a loan account with Pure Estates Limited, a company where A Gordge has a common shareholding.
At the balance sheet date, the amount owed by Pure Estates Limited was £164,324 (2023 - £164,324). This loan is interest-free and repayable on demand.
The company rents and has performed improvement works in office space owned by Vibe Estates Limited.
The total rental costs recognised in respect of this property for the year is £80,838 (2023 - £46,528). The total costs capitalised in respect of the improvement works performed are £21,857 (2023 - £265,095).
Financial instruments |
Categorisation of financial instruments
2024 |
2023 |
|
Financial assets measured at fair value through profit or loss |
|
|
Financial liabilities measured at fair value through profit or loss |
( |
( |