REGISTERED NUMBER: 03699291 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30TH JUNE 2024 |
FOR |
RETAIL HUMAN RESOURCES LIMITED |
REGISTERED NUMBER: 03699291 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30TH JUNE 2024 |
FOR |
RETAIL HUMAN RESOURCES LIMITED |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30TH JUNE 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Profit and Loss Account | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
RETAIL HUMAN RESOURCES LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30TH JUNE 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditors |
First Floor, Jebsen House |
53-61 High Street |
Ruislip |
Middlesex |
HA4 7BD |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30TH JUNE 2024 |
The directors present their strategic report of the group for the year ended 30th June 2024. |
REVIEW OF BUSINESS |
A loss of £158,482 is of course disappointing. This is partly made up of two extraordinary items, the cost of selling the business to an Employee Ownership Trust, and dilapidations on one of our leases that had come to an end. Nevertheless, the last year has been challenging. The country entered recession, which always affects recruitment businesses harshly, and the cost of living crisis has impacted on retail sales. Retailers still make up a significant part of our client base. Challenging trading conditions have persisted into late 2024, partly affected by uncertainty around the Autumn Budget. |
The budget itself was not a good budget for us. The draconian rise in employer's national insurance will hit employment and we have seen an immediate impact. This is a direct assault on the living standards of ordinary people. This steep rise in tax must be paid out of companies' wage budgets and will result in fewer, or lower, paid employees. Nevertheless, we have reason to be very optimistic. Our fixed costs are very low now and our quest not to be so reliant on retail continues. A particular success has been our continued expansion of international recruitment, and this is seen as a key area for our future expansion. This is unaffected by the economic chaos that we have endured since Brexit. The media division is now back on its feet, and we look forward to it making a significant contribution to profit. |
We have enjoyed the best stability amongst our workforce for decades, which is particularly rewarding given that most are sales people and trading has been tough. As Chair of the Board and as a trustee, I am grateful for the loyalty and commitment of our very professional team. |
The group's only debt, other than normal trade creditors, is to the group's former shareholder, and is a long-term debt, accruing no interest. It is the intention of the group and the trustees not to take on any external debt and to maintain our longstanding principles of paying all suppliers on time or early. |
The group's key financial and other performance indicators during the year were as follows: |
2024 | 2023 |
£ | £ |
Turnover | 5,974,097 | 6,313,311 |
Gross profit | 2,132,816 | 2,658,204 |
Administrative expenses | 2,294,866 | 2,286,644 |
Operating (loss)/profit | (158,482 | ) | 377,533 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30TH JUNE 2024 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The group continues to address the need to evolve its portfolio of services in line with new technologies and customer requirements. |
In relation to the key financial risks of price, credit, liquidity, cash flow, and interest rate risks, the directors have familiarised themselves with the concepts of these risks and have assessed that at this time there is no significant exposure to the group. The directors will continue to monitor the group's activities to address any significant risks that do arise to ensure these are minimised to the maximum possible extent. |
Operational risks stemming from compliance requirements in a number of areas including legal, employment, health and safety and environmental matters, have been reviewed, and the directors have implemented a number of initiatives during the period to mitigate such risks. |
ON BEHALF OF THE BOARD: |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30TH JUNE 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 30th June 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of : |
The principal activity of Retail Human Resources Limited in the year under review was that of recruitment consultancy. |
The principal activity of Fashion Personnel Limited in the year under review was that of recruitment and employment agency. |
The principal activity of The Retail Appointment Ltd in the year under review was that of recruitment advertising. |
DIVIDENDS |
The total distribution of dividends for the year ended 30th June 2024 will be £ 893,964 . |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1st July 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30TH JUNE 2024 |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
THE PROFIT AND LOSS ACCOUNT |
The full profit and loss account of the group for the year is set and on page 9. The reserves were in line with the expectations of the directors. |
AUDITORS |
Under section 487(2) of the Companies Act 2006, Sproull & Co., Chartered Accountants and Statutory Auditors, are |
deemed to be reappointed as auditors. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RETAIL HUMAN RESOURCES LIMITED |
Opinion |
We have audited the financial statements of Retail Human Resources Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30th June 2024 which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 30th June 2024 and of the group's loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RETAIL HUMAN RESOURCES LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company 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 four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
The senior statutory auditor led a discussion with all members of the engagement team regarding the susceptibility of the company's financial statements to material misstatement, including how fraud might occur. The areas identified in this discussion were: |
- | Manipulation or error in the calculation of deferred and accrued income leading to the overstatement or understatement of net income; |
- | Manipulation or error in existence and/or duplication of number of candidates placed on a job leading to overstatement or understatement of net income. |
The procedures we carried out to gain sufficient appropriate audit evidence in the above areas included: |
- | Identifying and assessing the design effectiveness of controls which management has in place to prevent and detect fraud and error; |
- | Understanding the potential for override of these controls on the financial reporting process, and how those charged with governance address these override potentials; |
- | Performing tests of controls and substantive testing on appropriate samples; |
- | Documenting the assumptions and judgements made by management in their significant accounting estimates and challenging these with management; |
- | Identifying and testing journal entries, in particular those around the year-end, and those involving unusual postings, account combinations or amounts. |
Overall, the senior statutory auditor was satisfied that the engagement team collectively had the appropriate competence and capabilities to identify or recognise irregularities. In particular, the senior statutory auditor has a number of years' experience in dealing with similar Employment Agency businesses and preparing accounts under FRS 102. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RETAIL HUMAN RESOURCES LIMITED |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Statutory Auditors |
First Floor, Jebsen House |
53-61 High Street |
Ruislip |
Middlesex |
HA4 7BD |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
CONSOLIDATED PROFIT AND LOSS ACCOUNT |
FOR THE YEAR ENDED 30TH JUNE 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 4 | 5,974,097 | 6,313,311 |
Cost of sales | 3,841,281 | 3,655,107 |
GROSS PROFIT | 2,132,816 | 2,658,204 |
Administrative expenses | 2,294,866 | 2,286,644 |
(162,050 | ) | 371,560 |
Other operating income | 5 | 3,568 | 5,973 |
OPERATING (LOSS)/PROFIT | 7 | (158,482 | ) | 377,533 |
Interest receivable and similar income | 26,687 | 12,799 |
(LOSS)/PROFIT BEFORE TAXATION | (131,795 | ) | 390,332 |
Tax on (loss)/profit | 8 | (7,255 | ) | 74,988 |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR |
( |
) |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
CONSOLIDATED BALANCE SHEET |
30TH JUNE 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 | 17,685 | 24,691 |
Tangible assets | 12 | 55,642 | 90,573 |
Investments | 13 | - | - |
73,327 | 115,264 |
CURRENT ASSETS |
Debtors | 14 | 786,764 | 761,154 |
Cash at bank | 1,010,142 | 1,671,058 |
1,796,906 | 2,432,212 |
CREDITORS |
Amounts falling due within one year | 15 | 745,664 | 796,551 |
NET CURRENT ASSETS | 1,051,242 | 1,635,661 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
1,124,569 |
1,750,925 |
CREDITORS |
Amounts falling due after more than one year |
16 |
(399,718 |
) |
- |
PROVISIONS FOR LIABILITIES | 19 | (12,119 | ) | (19,689 | ) |
NET ASSETS | 712,732 | 1,731,236 |
CAPITAL AND RESERVES |
Called up share capital | 20 | 52,616 | 52,616 |
Capital redemption reserve | 8,904 | 8,904 |
Retained earnings | 651,212 | 1,669,716 |
SHAREHOLDERS' FUNDS | 712,732 | 1,731,236 |
The financial statements were approved by the Board of Directors and authorised for issue on 15th January 2025 and were signed on its behalf by: |
P C J Burgess - Director |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
COMPANY BALANCE SHEET |
30TH JUNE 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Tangible assets | 12 |
Investments | 13 |
CURRENT ASSETS |
Debtors | 14 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 15 |
NET CURRENT (LIABILITIES)/ASSETS | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
16 |
( |
) |
PROVISIONS FOR LIABILITIES | 19 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Capital redemption reserve |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's (loss)/profit for the financial year | (94,371 | ) | 90,476 |
The financial statements were approved by the Board of Directors and authorised for issue on |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30TH JUNE 2024 |
Called up | Capital |
share | Retained | redemption | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1st July 2022 | 52,616 | 1,354,372 | 8,904 | 1,415,892 |
Changes in equity |
Total comprehensive income | - | 315,344 | - | 315,344 |
Balance at 30th June 2023 | 52,616 | 1,669,716 | 8,904 | 1,731,236 |
Changes in equity |
Dividends | - | (893,964 | ) | - | (893,964 | ) |
Total comprehensive income | - | (124,540 | ) | - | (124,540 | ) |
Balance at 30th June 2024 | 52,616 | 651,212 | 8,904 | 712,732 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30TH JUNE 2024 |
Called up | Capital |
share | Retained | redemption | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1st July 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 30th June 2023 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 30th June 2024 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30TH JUNE 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (125,889 | ) | 321,271 |
Tax paid | (66,012 | ) | (219,344 | ) |
Net cash from operating activities | (191,901 | ) | 101,927 |
Cash flows from investing activities |
Purchase of intangible fixed assets | - | (27,948 | ) |
Purchase of tangible fixed assets | (1,456 | ) | (76,653 | ) |
Sale of tangible fixed assets | - | 21,087 |
Interest received | 26,687 | 12,799 |
Net cash from investing activities | 25,231 | (70,715 | ) |
Cash flows from financing activities |
Amount introduced by directors | 399,718 | 787,438 |
Equity dividends paid | (893,964 | ) | - |
Net cash from financing activities | (494,246 | ) | 787,438 |
(Decrease)/increase in cash and cash equivalents | (660,916 | ) | 818,650 |
Cash and cash equivalents at beginning of year |
2 |
1,671,058 |
852,408 |
Cash and cash equivalents at end of year | 2 | 1,010,142 | 1,671,058 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30TH JUNE 2024 |
1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
(Loss)/profit before taxation | (131,795 | ) | 390,332 |
Depreciation charges | 43,393 | 39,860 |
Profit on disposal of fixed assets | - | (15,417 | ) |
Finance income | (26,687 | ) | (12,799 | ) |
(115,089 | ) | 401,976 |
Increase in trade and other debtors | (685,528 | ) | (98,987 | ) |
Increase in trade and other creditors | 674,728 | 18,282 |
Cash generated from operations | (125,889 | ) | 321,271 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 30th June 2024 |
30.6.24 | 1.7.23 |
£ | £ |
Cash and cash equivalents | 1,010,142 | 1,671,058 |
Year ended 30th June 2023 |
30.6.23 | 1.7.22 |
£ | £ |
Cash and cash equivalents | 1,671,058 | 852,408 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.7.23 | Cash flow | At 30.6.24 |
£ | £ | £ |
Net cash |
Cash at bank | 1,671,058 | (660,916 | ) | 1,010,142 |
1,671,058 | (660,916 | ) | 1,010,142 |
Total | 1,671,058 | (660,916 | ) | 1,010,142 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30TH JUNE 2024 |
1. | STATUTORY INFORMATION |
Retail Human Resources Limited is a private company, limited by shares, registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The |
Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. |
The financial statements are prepared in sterling which is the functional currency of the group. |
Basis of consolidation |
The group financial statements consolidate the financial statements of the Retail Human Resources Limited and all of its subsidiary undertakings using acquisition accounting at the balance sheet date. A subsidiary is an entity that is controlled by another entity, known as the parent. Control is the power to govern the financial and operating policies of. an entity so as to obtain benefits from its activities. The results of subsidiary undertakings acquired or disposed of during a financial period are included from, or to, the effective date of acquisition or disposal. All financial statements are made up to 30 June each year. Intra group balances, sales and profits are eliminated fully on consolidation. Uniform accounting policies have been adopted across the group. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost less any accumulated impairment losses. |
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. |
Related party exemption |
The group has taken advantage of the exemption available in accordance with Financial Reporting Standards 102, Section 33.1A, 'Related Party Disclosures' not to disclose transactions entered and outstanding balances between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Equity instruments |
Equity instruments issued by the group are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
The group recognises revenue when services are delivered. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |
Plant and Machinery | - 25% on cost and 25% on reducing balance |
Fixtures and fittings | - 25% on cost and 25% on reducing balance |
Motor vehicles | - 25% on cost and 25% on reducing balance |
Computer equipment | - 50% on cost and 25% on cost |
Financial instruments |
Financial instruments are classified according to the substance of the financial instrument's contractual obligations, as financial assets, financial liabilities or equity instruments. |
Financial instruments are initially measured at transaction price (after deducting transaction costs) and subsequently held at amortised cost. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Profit and Loss Account, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Employee benefits |
The cost of any unused holiday entitlement is recognised in the period in which the employee's services are |
received. |
Pension costs and other post-retirement benefits |
The group contributes to personal pension schemes for employees and directors. The assets of the schemes are held independently of the group by an insurance company. The amount charged to the profit and loss account are the contributions payable in the year. |
Going concern |
In assessing the appropriateness of the application of the going concern basis, the directors have considered the trading performance of the group, future forecasts of the group and the available cash. Accordingly the directors have determined that it is appropriate to prepare these financial statements on a going concern basis. |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
2. | ACCOUNTING POLICIES - continued |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance lease are depreciated over their estimated useful lives or lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Interest income |
Interest income is recognised in profit or loss using the effective interest method. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In the application of the company's accounting policies, which are described in note 2, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
The critical judgements made by management that have a significant effect on the amounts recognised in the financial statements are described below. |
Tangible fixed assets |
Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The useful economic lives of the assets and residual values are assessed annually and may vary depending on a number of factors such as technological innovations, maintenance and projected disposal values. |
4. | TURNOVER |
The total turnover of the group for the year has been derived from its principal activities wholly undertaken in the UK. |
5. | OTHER OPERATING INCOME |
2024 | 2023 |
£ | £ |
Rents receivable | 2,396 | 3,600 |
Late payment fee income | - | 1,626 |
Other income | 1,172 | 747 |
3,568 | 5,973 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
6. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries | 4,907,867 | 4,771,008 |
Social security costs | 484,486 | 481,942 |
Other pension costs | 124,329 | 93,042 |
5,516,682 | 5,345,992 |
The average number of employees during the year was as follows: |
2024 | 2023 |
Management | 5 | 4 |
Sales and operations | 24 | 25 |
Administration and support | 4 | 6 |
Temporary staff | 126 | 134 |
2024 | 2023 |
£ | £ |
Directors' remuneration | 233,231 | 256,891 |
Directors' pension contributions to money purchase schemes | 20,398 | 12,319 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 | 3 |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
£ | £ |
Emoluments etc | 80,686 | 93,211 |
Pension contributions to money purchase schemes | 8,064 | 4,639 |
7. | OPERATING (LOSS)/PROFIT |
The operating loss (2023 - operating profit) is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Depreciation - owned assets | 36,387 | 36,603 |
Profit on disposal of fixed assets | - | (15,417 | ) |
Computer software amortisation | 7,006 | 3,257 |
Auditors' remuneration | 27,000 | 22,225 |
Auditors' remuneration - Tax services | 4,000 | 2,500 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
8. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | 315 | 65,976 |
Deferred tax | (7,570 | ) | 9,012 |
Tax on (loss)/profit | (7,255 | ) | 74,988 |
Reconciliation of total tax (credit)/charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2024 | 2023 |
£ | £ |
(Loss)/profit before tax | (131,795 | ) | 390,332 |
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of 19 % (2023 - 19 %) |
(25,041 |
) |
74,163 |
Effects of: |
Expenses not deductible for tax purposes | 17,929 | 6,366 |
Capital allowances in excess of depreciation | - | (8,830 | ) |
Depreciation in excess of capital allowances | 7,427 | - |
(Profit)/loss on disposal of tangible assets | - | (2,929 | ) |
Group relief | 3,054 | - |
Deferred taxation movement | (7,570 | ) | 9,012 |
Utilisation of brought forward tax losses | (3,054 | ) | (7,100 | ) |
Difference on increase of tax rate to 25% | - | 4,306 |
Total tax (credit)/charge | (7,255 | ) | 74,988 |
9. | INDIVIDUAL PROFIT AND LOSS ACCOUNT |
As permitted by Section 408 of the Companies Act 2006, the Profit and Loss Account of the parent company is not presented as part of these financial statements. |
10. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary A shares of £1 each |
Interim | 893,964 | - |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
11. | INTANGIBLE FIXED ASSETS |
Group |
Computer |
software |
£ |
COST |
At 1st July 2023 |
and 30th June 2024 | 27,948 |
AMORTISATION |
At 1st July 2023 | 3,257 |
Amortisation for year | 7,006 |
At 30th June 2024 | 10,263 |
NET BOOK VALUE |
At 30th June 2024 | 17,685 |
At 30th June 2023 | 24,691 |
Company |
Computer |
software |
£ |
COST |
At 1st July 2023 |
and 30th June 2024 |
AMORTISATION |
At 1st July 2023 |
Amortisation for year |
At 30th June 2024 |
NET BOOK VALUE |
At 30th June 2024 |
At 30th June 2023 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
12. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1st July 2023 | 15,253 | 119,631 | 29,202 | 164,086 |
Additions | 507 | - | 949 | 1,456 |
Disposals | - | - | (553 | ) | (553 | ) |
At 30th June 2024 | 15,760 | 119,631 | 29,598 | 164,989 |
DEPRECIATION |
At 1st July 2023 | 11,295 | 40,193 | 22,025 | 73,513 |
Charge for year | 2,915 | 27,753 | 5,719 | 36,387 |
Eliminated on disposal | - | - | (553 | ) | (553 | ) |
At 30th June 2024 | 14,210 | 67,946 | 27,191 | 109,347 |
NET BOOK VALUE |
At 30th June 2024 | 1,550 | 51,685 | 2,407 | 55,642 |
At 30th June 2023 | 3,958 | 79,438 | 7,177 | 90,573 |
Company |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1st July 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 30th June 2024 |
DEPRECIATION |
At 1st July 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 30th June 2024 |
NET BOOK VALUE |
At 30th June 2024 |
At 30th June 2023 |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
13. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1st July 2023 |
and 30th June 2024 |
NET BOOK VALUE |
At 30th June 2024 |
At 30th June 2023 |
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | 689,751 | 644,109 |
Other debtors | 20,583 | 29,052 |
Prepayments and accrued income | 76,430 | 87,993 |
786,764 | 761,154 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade creditors | 41,428 | 119,775 |
Amounts owed to group undertakings | - | - |
Taxation | 279 | 65,976 |
Social security and other taxes | 106,686 | 106,476 |
VAT | 244,759 | 263,001 | 40,457 | 55,664 |
Other creditors | 70,547 | 16,596 |
Accruals and deferred income | 281,965 | 224,727 |
745,664 | 796,551 |
The amounts owned to group undertakings are interest free, unsecured and payable on demand. |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Directors' loan accounts | 399,718 | - | 399,718 | - |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
The total amount of financial commitments under non-cancellable operating leases, not included in the balance sheet, is £94,800 (2023 - £94,800). |
18. | FINANCIAL INSTRUMENTS |
Group |
Categorisation of financial instruments |
2024 | 2023 |
£ | £ |
Financial assets that are debt instruments measured at amortised cost | 1,720,476 | 2,344,219 |
Financial liabilities measured at amortised cost | 393,940 | 361,098 |
Financial assets measured at amortised cost comprises cash, trade debtors and other debtors. |
Financial liabilities measured at amortised cost comprises trade creditors, accrued expenses and other creditors. |
Company |
Categorisation of financial instruments |
2024 | 2023 |
£ | £ |
Financial assets that are debt instruments measured at amortised cost | 668,172 | 1.608,025 |
Financial liabilities measured at amortised cost | 810,859 | 1,179,537 |
Financial assets measured at amortised cost comprises cash, trade debtors, amounts owed by group undertakings and other debtors. |
Financial liabilities measured at amortised cost comprises trade creditors, amounts owed to group undertakings, accrued expenses and other creditors. |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
19. | PROVISIONS FOR LIABILITIES |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Deferred tax |
Deferred taxation b/fwd | 19,689 | 10,677 | 18,826 | 9,781 |
Deferred taxation movement | (7,570 | ) | 9,012 | (7,051 | ) | 9,045 |
12,119 | 19,689 | 11,775 | 18,826 |
Group |
Deferred tax |
£ |
Balance at 1st July 2023 | 19,689 |
Provided during year | (7,570 | ) |
Balance at 30th June 2024 | 12,119 |
Company |
Deferred tax |
£ |
Balance at 1st July 2023 |
Provided during year | ( |
) |
Balance at 30th June 2024 |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary A | £1 | 51,071 | 51,071 |
Ordinary B | £1 | 1,545 | 1,545 |
52,616 | 52,616 |
Rights, preferences and restrictions |
Ordinary A and B shares have the following rights, preferences and restrictions: |
Ordinary A and B shares rank pari passu in all respects with regard to dividends receivable, on a winding up and voting rights. |
21. | PENSION COMMITMENTS |
The group operates a defined contribution scheme. During the year the group contributed £104,497 (2023: £70,200). Outstanding contributions at the reporting date is £16,013 (2023: £13,862). |
22. | RELATED PARTY DISCLOSURES |
The group rents its business premises from one of the company's directors. The rent paid during the year was £Nil (2023: £67,500). |
RETAIL HUMAN RESOURCES LIMITED (REGISTERED NUMBER: 03699291) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30TH JUNE 2024 |
22. | RELATED PARTY DISCLOSURES - continued |
Key management personnel of the entity or its parent (in the aggregate) |
2024 | 2023 |
£ | £ |
Amount due to related party | 399,718 | - |
During the year, a loan of £399,718 was received from a director. The loan is unsecured, interest free and repayable in full after 1st July 2025. |
23. | POST BALANCE SHEET EVENTS |
There were no events since the year end which materially affected the company or group. |
24. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is RHR Trustees Limited. |
25. | GROUP UNDERTAKINGS |
Retail Human Resources Limited is the parent company of the following two wholly owned subsidiary companies. |
Group undertakings are Fashion Personnel Limited and The Retail Appointment Ltd. The nature of the business of Fashion Personnel Limited is that of a recruitment and employment agency and the address of the registered office is 14 Bristol Gardens, London, W9 2JG. |
The nature of the business of The Retail Appointment Ltd was recruitment advertising, though the company has been dormant since 1st July 2022. The company's registered office is 14 Bristol Gardens, London, W9 2JG. |