REGISTERED NUMBER: 14618538 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTOR AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE PERIOD 1 OCTOBER 2022 TO 31 MARCH 2024 |
FOR |
BWS LEICESTER LIMITED |
REGISTERED NUMBER: 14618538 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTOR AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE PERIOD 1 OCTOBER 2022 TO 31 MARCH 2024 |
FOR |
BWS LEICESTER LIMITED |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
for the period 1 October 2022 to 31 March 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 4 |
Consolidated Income Statement | 8 |
Consolidated Other Comprehensive Income | 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 |
BWS LEICESTER LIMITED |
COMPANY INFORMATION |
for the period 1 October 2022 to 31 March 2024 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditor |
Unit 2, Charnwood Edge Business Park |
Syston Road |
Leicestershire |
LE7 4UZ |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
GROUP STRATEGIC REPORT |
for the period 1 October 2022 to 31 March 2024 |
The director presents his strategic report of the company and the group for the period 1 October 2022 to 31 March 2024. |
REVIEW OF BUSINESS |
During the period under review the Business was confronted with a number of challenging operational, compliance and commercial issues. Despite introducing a number of strategic initiatives, none had the desired effect and impact of delivering the requisite level of profitability. |
Since the period end and following a detailed strategic review the Directors took the decision to restructure the business by disposing of its Trade and Compaction business, allowing the focus and development to fall on the remaining Skip \ Ro-ro and commodity recycling activities. In July 2023 the Balance Sheet was strengthened through transferring the Boston Road property at market value to an associated company. |
The successful conclusion of this has, in turn, seen the Balance Sheet significantly de-geared and strengthened. Facilitating much needed investment in critical areas, the Directors are confident this move will allow the business to return to profit and deliver the commercial and operational targets and aims built into the Business Plan, despite the continuing challenging economic environment. |
The Group's overhead base continues to be effectively controlled, particularly against a backdrop of significant inflationary pressures, the business continues to invest in its key strategic areas being its fleet, its technology, processes, and the capability of it's people. This has positioned the Company well to take profitable advantage of the commercial opportunities that continue to arise going forwards. |
KEY PERFORMANCE INDICATORS |
The Directors oversee the performance of the business through the utilisation of pertinent KPIs covering all aspects of the business including, but not limited to, turnover, costs, employees and compliance. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The challenges of competition and legislative compliance within the industry continue to be significant and are appropriately managed by ensuring that our service provision and key administrative systems are continually reviewed and improved upon. Additionally, continued investment in our staff and our methods of operation ensure that we are well positioned to meet and adapt to changes in the future and will allow us to achieve continued growth, as planned. |
POST BALANCE SHEET EVENTS |
Following the review and refocussing of the strategic direction of the group, the transfer of the Trade and Compaction division to Ellgia Limited was completed at the end of September 2024. This is turn saw a significant strengthening of the Company's balance sheet through a combination of de-gearing and settlement of debt. |
IMPACT OF GEO-POLITICAL EVENTS |
Operating predominantly within the United Kingdom, the Company has no key suppliers or customers that are located in overseas territories. The Board's assessment of such issues is that the business is not impacted at present, other than certain primary commodity costs. The situation will remain under review. |
GOING CONCERN |
With the actions taken and after reviewing the Company's forecasts and projections, the Directors have an expectation that the Company will remain a viable, going concern for the foreseeable future. The Company therefore continues to adopt the going concern basis in preparing the financial statements. |
ON BEHALF OF THE BOARD: |
28 March 2025 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
REPORT OF THE DIRECTOR |
for the period 1 October 2022 to 31 March 2024 |
The director presents his report with the financial statements of the company and the group for the period 1 October 2022 to 31 March 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the period under review was that of waste management. |
DIVIDENDS |
The total distribution of dividends for the period ended 31 March 2024 will be £ 141,630 . |
Interim dividends of £141,630 (2022 - £137,665) were paid for the period ended 31 March 2024. The director recommends that no final dividend be paid. |
EVENTS SINCE THE END OF THE PERIOD |
Information relating to events since the end of the period is given in the notes to the financial statements. |
DIRECTOR |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is 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 he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Magma Audit LLP (part of the Dains Group), will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BWS LEICESTER LIMITED |
Opinion |
We have audited the financial statements of BWS Leicester Limited (the 'parent company') and its subsidiaries (the 'group') for the period ended 31 March 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, 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 31 March 2024 and of the group's loss for the period 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 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 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 director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Director 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 Director have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BWS LEICESTER 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 Director. |
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 director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BWS LEICESTER LIMITED |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Irregularities, including fraud, are instances of non-compliance with law and regulations. We design procedures, in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. |
Based on our understanding of the Company and its industry, we consider that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation, anti-money laundering regulation, Environment Agency regulations and the Operator's Licence. |
To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect of non-compliance, our procedures included, but were not limited to: |
- Inquiring of management and, where appropriate, those charged with governance, as to whether the Company is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations; |
- Inspecting correspondence, if any, with relevant licensing or regulatory authorities; |
- Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and |
- Considering the risk of acts by the Company which were contrary to applicable laws and regulations, including fraud. |
We also considered those laws and regulations that have direct effect on the preparation of the financial statements, such as tax legislation, pension legislation and the Companies Act 2006. |
In addition, we evaluated the Directors' and management's incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of the management override of controls, and determined that the principal risks related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, in particular in relation to revenue recognition (which we pinpointed to the cut off assertion) and significant one-off or unusual transactions. |
Our audit procedures in relation to fraud included but were not limited to: |
- Making enquiries of the Directors and management on whether they had knowledge of any actual, suspected or alleged fraud; |
- Gaining an understanding of the internal controls established to mitigate risks related to fraud; |
- Discussing amongst the engagement team risks of fraud; and |
- Addressing the risks of fraud through management override of controls by performing journal entry testing. |
There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls. |
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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BWS LEICESTER LIMITED |
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 Auditor |
Unit 2, Charnwood Edge Business Park |
Syston Road |
Leicestershire |
LE7 4UZ |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
CONSOLIDATED |
INCOME STATEMENT |
for the period 1 October 2022 to 31 March 2024 |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
Notes | £ | £ |
TURNOVER | 4 | 20,449,688 | 14,009,410 |
Cost of sales | (14,891,672 | ) | (10,189,822 | ) |
GROSS PROFIT | 5,558,016 | 3,819,588 |
Administrative expenses | (6,057,833 | ) | (3,385,769 | ) |
OPERATING (LOSS)/PROFIT | 6 | (499,817 | ) | 433,819 |
Exceptional items | 7 | (125,000 | ) | (64,751 | ) |
(624,817 | ) | 369,068 |
Interest receivable and similar income | 56 | 18,401 |
(624,761 | ) | 387,469 |
Interest payable and similar expenses | 8 | (258,048 | ) | (207,619 | ) |
(LOSS)/PROFIT BEFORE TAXATION | (882,809 | ) | 179,850 |
Tax on (loss)/profit | 9 | 157,585 | (202,614 | ) |
LOSS FOR THE FINANCIAL PERIOD | ( |
) | ( |
) |
Loss attributable to: |
Owners of the parent | (725,224 | ) | (22,764 | ) |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
CONSOLIDATED |
OTHER COMPREHENSIVE INCOME |
for the period 1 October 2022 to 31 March 2024 |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
Notes | £ | £ |
LOSS FOR THE PERIOD | (725,224 | ) | (22,764 | ) |
OTHER COMPREHENSIVE INCOME |
Property revaluation | - | 152,869 |
Income tax relating to other comprehensive income |
- |
- |
OTHER COMPREHENSIVE INCOME FOR THE PERIOD, NET OF INCOME TAX |
- |
152,869 |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
(725,224 |
) |
130,105 |
Total comprehensive income attributable to: |
Owners of the parent | (725,224 | ) | 130,105 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
CONSOLIDATED BALANCE SHEET |
31 March 2024 |
2024 | 2022 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 12 | 51,493 | 311,215 |
Tangible assets | 13 | 2,970,124 | 5,237,079 |
Investments | 14 | - | - |
3,021,617 | 5,548,294 |
CURRENT ASSETS |
Stocks | 15 | 60,000 | 82,867 |
Debtors | 16 | 3,440,655 | 3,419,485 |
Cash at bank and in hand | 8,544 | 35,975 |
3,509,199 | 3,538,327 |
CREDITORS |
Amounts falling due within one year | 17 | (6,522,907 | ) | (5,145,055 | ) |
NET CURRENT LIABILITIES | (3,013,708 | ) | (1,606,728 | ) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
7,909 |
3,941,566 |
CREDITORS |
Amounts falling due after more than one year |
18 |
(774,233 |
) |
(2,008,541 |
) |
PROVISIONS FOR LIABILITIES | 21 | (586,197 | ) | (618,793 | ) |
NET (LIABILITIES)/ASSETS | (1,352,521 | ) | 1,314,232 |
CAPITAL AND RESERVES |
Called up share capital | 22 | 910 | - |
Revaluation reserve | 23 | - | 152,869 |
Merger reserve | 23 | (1,800,809 | ) | - |
Retained earnings | 23 | 447,378 | 1,161,363 |
SHAREHOLDERS' FUNDS | (1,352,521 | ) | 1,314,232 |
The financial statements were approved by the director and authorised for issue on 28 March 2025 and were signed by: |
P A Baker - Director |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
COMPANY BALANCE SHEET |
31 March 2024 |
2024 | 2022 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 12 |
Tangible assets | 13 |
Investments | 14 |
CURRENT ASSETS |
Debtors | 16 |
CREDITORS |
Amounts falling due within one year | 17 | ( |
) |
NET CURRENT LIABILITIES | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 22 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | - | - |
The financial statements were approved by the director and authorised for issue on |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
for the period 1 October 2022 to 31 March 2024 |
Called up |
share | Retained | Revaluation | Merger | Total |
capital | earnings | reserve | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 October 2021 | 100 | 1,321,792 | - | - | 1,321,892 |
Changes in equity |
Issue of share capital | (100 | ) | - | - | - | (100 | ) |
Dividends | - | (137,665 | ) | - | - | (137,665 | ) |
Total comprehensive income | - | (22,764 | ) | 152,869 | - | 130,105 |
Balance at 30 September 2022 | - | 1,161,363 | 152,869 | - | 1,314,232 |
Changes in equity |
Increase in share capital | 1,800,910 | - | - | - | 1,800,910 |
Reduction in share capital | (1,800,000 | ) | - | - | - | (1,800,000 | ) |
Dividends | - | (141,630 | ) | - | - | (141,630 | ) |
Total comprehensive income | - | (725,224 | ) | - | - | (725,224 | ) |
Transfer | - | 152,869 | (152,869 | ) | (1,800,809 | ) | (1,800,809 | ) |
Balance at 31 March 2024 | 910 | 447,378 | - | (1,800,809 | ) | (1,352,521 | ) |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
for the period 1 October 2022 to 31 March 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Changes in equity |
Balance at 30 September 2022 |
Changes in equity |
Increase in share capital | 1,800,910 | - | 1,800,910 |
Reduction in share capital | (1,800,000 | ) | - | (1,800,000 | ) |
Balance at 31 March 2024 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
CONSOLIDATED CASH FLOW STATEMENT |
for the period 1 October 2022 to 31 March 2024 |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 1,912,301 | 1,477,126 |
Interest paid | (1,640 | ) | - |
Bank loan interest paid | (130,514 | ) | (56,740 | ) |
Finance lease interest paid | (125,894 | ) | (150,879 | ) |
Net cash from operating activities | 1,654,253 | 1,269,507 |
Cash flows from investing activities |
Purchase of intangible fixed assets | (5,000 | ) | - |
Purchase of tangible fixed assets | (388,235 | ) | (424,298 | ) |
Sale of tangible fixed assets | 60,404 | 105,858 |
Interest received | 56 | 18,401 |
Net cash from investing activities | (332,775 | ) | (300,039 | ) |
Cash flows from financing activities |
Loan repayments in year | (1,622,262 | ) | (394,459 | ) |
Capital repayments in year | (854,836 | ) | (688,139 | ) |
Amount introduced by directors | 166,000 | - |
Amount withdrawn by directors | (151,047 | ) | (141,631 | ) |
Share issue | 910 | - |
Additional finance lease obligations | 703,914 | 276,002 |
Additional loans | 375,000 | - |
Net movement on invoice discounting | 33,412 | (30,757 | ) |
Net cash from financing activities | (1,348,909 | ) | (978,984 | ) |
Decrease in cash and cash equivalents | (27,431 | ) | (9,516 | ) |
Cash and cash equivalents at beginning of period |
2 |
35,975 |
45,491 |
Cash and cash equivalents at end of period |
2 |
8,544 |
35,975 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
for the period 1 October 2022 to 31 March 2024 |
1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
(Loss)/profit before taxation | (882,809 | ) | 179,850 |
Depreciation charges | 868,571 | 627,586 |
Loss/(profit) on disposal of fixed assets | 100,248 | (1,699 | ) |
Amortisation charges | 90,689 | 79,238 |
Exceptional items - PY | depreciation | - | 64,751 |
Increase in provisions | 125,000 | - |
Finance costs | 258,048 | 207,619 |
Finance income | (56 | ) | (18,401 | ) |
559,691 | 1,138,944 |
Decrease in stocks | 22,867 | 8,012 |
Increase in trade and other debtors | (162,801 | ) | (183,941 | ) |
Increase in trade and other creditors | 1,492,544 | 514,111 |
Cash generated from operations | 1,912,301 | 1,477,126 |
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: |
Period ended 31 March 2024 |
31/3/24 | 1/10/22 |
£ | £ |
Cash and cash equivalents | 8,544 | 35,975 |
Year ended 30 September 2022 |
30/9/22 | 1/10/21 |
£ | £ |
Cash and cash equivalents | 35,975 | 45,491 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1/10/22 | Cash flow | At 31/3/24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 35,975 | (27,431 | ) | 8,544 |
35,975 | (27,431 | ) | 8,544 |
Debt |
Finance leases | (952,660 | ) | 150,922 | (801,738 | ) |
Debts falling due within 1 year | (397,616 | ) | (144,884 | ) | (542,500 | ) |
Debts falling due after 1 year | (1,679,646 | ) | 1,392,146 | (287,500 | ) |
(3,029,922 | ) | 1,398,184 | (1,631,738 | ) |
Total | (2,993,947 | ) | 1,370,753 | (1,623,194 | ) |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
for the period 1 October 2022 to 31 March 2024 |
1. | STATUTORY INFORMATION |
BWS Leicester Limited is a group, registered in England and Wales. Its registered office address is 70 Boston Road, Leicester, England, LE4 1AW and the registered number is 14618538. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements are prepared in Pounds Sterling, which is the functional currency of the , group and rounded to the nearest £. |
The financial statements have been drawn up for the 18 month period ending 31 March 2024. The comparative period covers the 12 months ending 30 September 2022. |
Going concern |
At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus, the directors continue to adopt the going concern basis of accounting in preparing the financial statements. |
Since the period end, the group have sold some of their trade and assets to a third party. This has generated funding of an extra £7.1m which is expected to support the remaining trade going forwards. The directors have worked on forecasts and budgets which project future profitability of the group. |
Basis of consolidation |
The consolidated financial statements present the results of the Company and its own subsidiaries ("the group") as if they form a single entity. Intercompany transactions and balances between Group companies are therefore eliminated in full. |
The consolidated financial statements incorporate the results of business combinations using the merger method. All financial statements are made up to 31 March 2024. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Sale of goods |
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the group and the turnover can be reliably measured. Turnover is measured as the fair value other consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Rendering of services |
Turnover from a contract to provide services is recognised in the period in which the services are provided when all of the following conditions are satisfied: |
- | the amount of turnover can be reliably measured; |
- | it is probable that the Company will receive the consideration due under the contract; |
- | the stage of completion of the contract at the end of the reporting period can be measured reliably; and |
- | the costs incurred and the costs to complete the contract can be measured reliably. |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Intangible assets |
Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirers interest of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight line basis to the profit or loss over its useful economic life. |
All intangible assets are considered to have a finite useful life. Acquisitions pre FRS 102 transition continue to be amortised over 20 years. This has not been reviewed on transition to FRS 102 due to the immateriality of the remaining balance. The useful economic life of goodwill generated on acquisition post FRS 102 transition has been estimated to be 10 years. |
Tangible fixed assets |
Short leasehold land & buildings | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
The assets' residual values, useful lives and deprecation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of significant change since the last reporting date. |
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the consolidated profit or loss. |
Fair value of freehold property |
Freehold property is held at fair value. Any aggregate surplus or deficit arising from changes in fair value is recognised in other comprehensive income. |
Investments in subsidiaries |
Investment in the subsidiary company is held at cost less accumulated impairment losses. |
Stocks |
Stocks are stated at the lower of cost and net realisable value. Cost is based on the cost of purchase on a first in, first out basis. |
At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the impairment loss is recognised immediately in the profit or loss. |
Financial instruments |
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and loans to related parties. |
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors or creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. |
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit or loss. |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Current and deferred taxation |
The tax expense for the year comprises current and deferred tax. Tax is recognised in the profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to a item recognised directly in equity is also recognised in other comprehensive income or directly in equity retrospectively. |
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income. |
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that: |
- The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and |
- Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met. |
Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Research and development |
In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently being amortised on a straight line basis over their useful economic lives of five years. |
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only. |
Operating leases |
Rental paid under operating leases are charged to profit or loss on a straight line basis over the lease term. |
Hire purchase |
Assets obtained under hire purchase agreements are capitalised as tangible fixed assets and are depreciated over their useful lives. The finance element of the rental payment is charged to the profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period. |
Defined contribution pension plan |
The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations. |
The contributions are recognised as an expense in the profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the Group in independently administered funds. |
Basic financial assets |
Basic financial assets, including trade and other debtors, are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment. |
Cash and cash equivalents |
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Basic financial liabilities |
Basic financial liabilities, including trade and other creditors, loans from third parties and loans from related parties, 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. Such instruments are subsequently carried at amortised cost using the effective interest method, less any impairment. |
Finance costs |
Finance costs are charged to the profit or loss over the term of the debt, using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument. |
Interest income |
Interest income is recognised in profit or loss using the effective interest method. |
Borrowing costs |
All borrowing costs are recognised in the consolidated profit or loss in the year in which they are incurred. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
The Director make estimates and assumptions concerning the future, they are also required to exercise judgement in the process of applying the Group's accounting policies. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
In preparing these financial statements, management have made the following judgements: |
- Determine whether leases entered into by the Group are operating or finance leases. These decisions depend on an assessment of whether the risk and rewards of ownership have been transferred from the lessor to the lessee on a lease by lease basis. |
- Determine whether there are indicators of impairment of the Group's tangible fixed assets. Factors taken into consideration in reaching such decision include the economic viability and expected future financial performance of the asset. |
- Determine whether to capitalise research and development expenditure or to write it off as incurred to the profit or loss. This judgement is based on the Board's assessment as to the commercial viability of projects and their economic value to the future cash flows of the business. |
Key sources of estimation uncertainty are: |
Tangible fixed assets |
Tangible fixed assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of the assets and residual values re assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the assets and projected disposal values. |
Fair value of freehold property |
The fair value of the freehold properties is sensitive to the changes in the current market and the economic climate of the surrounding area. The valuation was performed by an independent external professional valuer in the prior year, with the property having been transferred out of the company in the current period. |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
4. | TURNOVER |
The turnover and loss (2022 - profit) before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by geographical market is given below: |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
United Kingdom | 20,449,688 | 14,009,410 |
20,449,688 | 14,009,410 |
5. | EMPLOYEES AND DIRECTORS |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
Wages and salaries | 5,643,157 | 3,494,790 |
Social security costs | 536,022 | 349,001 |
Other pension costs | 197,209 | 112,985 |
6,376,388 | 3,956,776 |
The average number of employees during the period was as follows: |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
Administration | 19 | 23 |
Operational | 105 | 113 |
Directors | 2 | 2 |
The average number of employees by undertakings that were proportionately consolidated during the period was NIL (2022 - NIL). |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
Director's remuneration | 181,099 | 92,937 |
Director's pension contributions to money purchase schemes | 14,905 | 8,000 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 | 2 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
6. | OPERATING (LOSS)/PROFIT |
The operating loss (2022 - operating profit) is stated after charging/(crediting): |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
Other operating leases | 431,996 | 220,204 |
Depreciation - owned assets | 344,250 | 354,812 |
Depreciation - assets on hire purchase contracts | 524,321 | 337,525 |
Loss/(profit) on disposal of fixed assets | 100,248 | (1,699 | ) |
Goodwill amortisation | 30,689 | 19,238 |
Patents and licences amortisation | 60,000 | 60,000 |
Auditor's remuneration - Audit |
fees | 73,065 | 18,000 |
Auditor's remuneration - Other |
services | 5,000 | 3,050 |
7. | EXCEPTIONAL ITEMS |
2024 | 2022 |
£ | £ |
Exceptional items | 125,000 | 64,751 |
During the year a provision was made in relation to a potential fine, See note 21 for further details. |
During the prior period, the Short leasehold land & buildings depreciation rate was deemed to have been understated in previous years. This change in accounting estimate has been adjusted prospectively and the amount relating to prior years has been shown as an exceptional item. |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
Bank loan interest | 130,514 | 56,740 |
Hire purchase interest | 125,894 | 150,879 |
Interest paid | 1,640 | - |
258,048 | 207,619 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
9. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the period was as follows: |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
Current tax: |
UK corporation tax | 11 | - |
Deferred tax | (157,596 | ) | 202,614 |
Tax on (loss)/profit | (157,585 | ) | 202,614 |
UK corporation tax has been charged at 19 % . |
Reconciliation of total tax (credit)/charge included in profit and loss |
The tax assessed for the period is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
(Loss)/profit before tax | (882,809 | ) | 179,850 |
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of 25 % (2022 - 19 %) |
(220,702 |
) |
34,172 |
Effects of: |
Expenses not deductible for tax purposes | 82,981 | 20,460 |
Income not taxable for tax purposes | (12,500 | ) | - |
Adjustments to tax charge in respect of previous periods | (6,619 | ) | 150,169 |
Other adjustments | - | 6,676 |
Super deduction | (745 | ) | (8,863 | ) |
Total tax (credit)/charge | (157,585 | ) | 202,614 |
Tax effects relating to effects of other comprehensive income |
There were no tax effects for the period ended 31 March 2024. |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Property revaluation | 152,869 | - | 152,869 |
From 1 April 2023, the rate of corporation tax in the United Kingdom increases from 19% to 25% for companies whose taxable profits exceed £250,000. For companies with profits of less than £50,000, the current rate of 19% still applies. Companies with taxable profits between £50,000 and £250,000 will be eligible for a marginal relief from the main rate of 25%. |
10. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
11. | DIVIDENDS |
Period |
1/10/22 |
to | Year Ended |
31/3/24 | 30/9/22 |
£ | £ |
Ordinary shares of 1 each |
Interim | 141,630 | 137,665 |
12. | INTANGIBLE FIXED ASSETS |
Group |
Patents |
and |
Goodwill | licences | Totals |
£ | £ | £ |
COST |
At 1 October 2022 | 216,373 | 294,033 | 510,406 |
Additions | 5,000 | - | 5,000 |
Impairments | - | (294,033 | ) | (294,033 | ) |
At 31 March 2024 | 221,373 | - | 221,373 |
AMORTISATION |
At 1 October 2022 | 139,191 | 60,000 | 199,191 |
Amortisation for period | 30,689 | 60,000 | 90,689 |
Impairments | - | (120,000 | ) | (120,000 | ) |
At 31 March 2024 | 169,880 | - | 169,880 |
NET BOOK VALUE |
At 31 March 2024 | 51,493 | - | 51,493 |
At 30 September 2022 | 77,182 | 234,033 | 311,215 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
13. | TANGIBLE FIXED ASSETS |
Group |
Short |
Freehold | leasehold |
land & | land & | Plant and |
buildings | buildings | machinery |
£ | £ | £ |
COST |
At 1 October 2022 | 1,750,000 | 328,630 | 4,502,363 |
Additions | - | - | 115,733 |
Disposals | (1,750,000 | ) | - | (81,672 | ) |
At 31 March 2024 | - | 328,630 | 4,536,424 |
DEPRECIATION |
At 1 October 2022 | - | 144,835 | 3,125,445 |
Charge for period | - | 41,077 | 310,941 |
Eliminated on disposal | - | - | (54,916 | ) |
At 31 March 2024 | - | 185,912 | 3,381,470 |
NET BOOK VALUE |
At 31 March 2024 | - | 142,718 | 1,154,954 |
At 30 September 2022 | 1,750,000 | 183,795 | 1,376,918 |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST |
At 1 October 2022 | 396,023 | 3,874,338 | 10,851,354 |
Additions | 3,824 | 268,678 | 388,235 |
Disposals | - | (56,455 | ) | (1,888,127 | ) |
At 31 March 2024 | 399,847 | 4,086,561 | 9,351,462 |
DEPRECIATION |
At 1 October 2022 | 296,223 | 2,047,772 | 5,614,275 |
Charge for period | 28,436 | 488,117 | 868,571 |
Eliminated on disposal | - | (46,592 | ) | (101,508 | ) |
At 31 March 2024 | 324,659 | 2,489,297 | 6,381,338 |
NET BOOK VALUE |
At 31 March 2024 | 75,188 | 1,597,264 | 2,970,124 |
At 30 September 2022 | 99,800 | 1,826,566 | 5,237,079 |
The net book value of assets held under hire purchase agreements, included above, are as follows: |
2024 | 2022 |
£ | £ |
Plant and machinery | 183,756 | 366,915 |
Motor vehicles | 918,392 | 1,474,984 |
1,102,148 | 1,841,899 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
14. | FIXED ASSET INVESTMENTS |
Group |
Shares in |
group |
undertakings |
£ |
COST |
Additions | 1,800,000 |
Disposals | (1,800,000 | ) |
At 31 March 2024 | - |
NET BOOK VALUE |
At 31 March 2024 | - |
Company |
Shares in |
group |
undertakings |
£ |
COST |
Additions |
Disposals | ( |
) |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiary |
Registered office: 70 Boston Road, Leicester, England, LE4 1AW |
Nature of business: |
% |
Class of shares: | holding |
15. | STOCKS |
Group |
2024 | 2022 |
£ | £ |
Finished goods | 60,000 | 82,867 |
The Company had no stock at 31 March 2024 (2022: £Nil). |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
16. | DEBTORS |
Group | Company |
2024 | 2022 | 2024 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 2,160,999 | 1,992,342 |
Amounts owed by related undertakings | 739,324 | 410,210 |
Other debtors | 34,696 | 36,620 |
Directors' current accounts | - | 141,631 | - | - |
Prepayments and accrued income | 505,636 | 599,282 |
3,440,655 | 3,180,085 |
Amounts falling due after more than one | year: |
Amounts owed by related undertakings | - | 239,400 |
Aggregate amounts | 3,440,655 | 3,419,485 |
Amounts owed by related undertakings due within one year are unsecured, interest free and repayable on demand. |
17. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2022 | 2024 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 19) | 230,000 | 397,616 |
Other loans (see note 19) | 312,500 | - |
Hire purchase contracts (see note 20) | 315,005 | 623,765 |
Trade creditors | 2,497,502 | 2,664,662 |
Amounts owed to related undertakings | 1,334,509 | - |
Tax | 11 | - |
Social security and other taxes | 66,281 | 175,999 |
Other creditors | 969,935 | 960,733 |
Directors' current accounts | 14,952 | - | - | - |
Accruals and deferred income | 782,212 | 322,280 |
6,522,907 | 5,145,055 |
Included within other creditors is the invoice discounting facility which is secured on the trade debtors of the Company. |
Obligations under hire purchase agreements are secured on the assets to which they relate. |
Amounts owed to group undertakings are unsecured, interest free and repayable on demand. |
18. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2024 | 2022 |
£ | £ |
Bank loans (see note 19) | 287,500 | 1,679,646 |
Hire purchase contracts (see note 20) | 486,733 | 328,895 |
774,233 | 2,008,541 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
18. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR - continued |
Obligations under hire purchase agreements are secured on the assets to which they relate. |
19. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2024 | 2022 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 230,000 | 397,616 |
Other loans | 312,500 | - |
542,500 | 397,616 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 287,500 | 762,974 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans due in more than 5 years by instalments |
- |
916,672 |
Bank loans are secured by a fixed charge over the Group's land and buildings. Bank loans are repayable in monthly instalments and are fully payable by June 2026. Interest is charged at 3.99% above the Bank of England's base rate. |
20. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2024 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 315,005 | 623,765 |
Between one and five years | 486,733 | 328,895 |
801,738 | 952,660 |
Group |
Non-cancellable operating | leases |
2024 | 2022 |
£ | £ |
Within one year | 320,750 | 146,583 |
Between one and five years | 1,210,792 | 429,250 |
1,531,542 | 575,833 |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
21. | PROVISIONS FOR LIABILITIES |
Group |
2024 | 2022 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 544,161 | 662,352 |
Tax losses carried forward | (733 | ) | (477 | ) |
Other timing differences | (82,231 | ) | (43,082 | ) |
461,197 | 618,793 |
Other provisions | 125,000 | - |
Aggregate amounts | 586,197 | 618,793 |
Group |
Deferred |
tax |
£ |
Balance at 1 October 2022 | 618,793 |
Credit to Income Statement during period | (157,596 | ) |
Balance at 31 March 2024 | 461,197 |
An event that occurred in August 2021 has given rise to the possibility of a HSE prosecution. The Company feels it is appropriate to make a provision amounting to £125,000 in relation to a potential fine, which may be utilised within 3 years of the balance sheet date. |
22. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2022 |
value: | £ | £ |
Ordinary | 1 | 546 | (40 | ) |
Ordinary A | 1 | 364 | 40 |
910 | - |
23. | RESERVES |
Group |
Retained | Revaluation | Merger |
earnings | reserve | reserve | Totals |
£ | £ | £ | £ |
At 1 October 2022 | 1,161,363 | 152,869 | - | 1,314,232 |
Deficit for the period | (725,224 | ) | - | - | (725,224 | ) |
Dividends | (141,630 | ) | - | - | (141,630 | ) |
Transfer | 152,869 | (152,869 | ) | (1,800,809 | ) | (1,800,809 | ) |
At 31 March 2024 | 447,378 | - | (1,800,809 | ) | (1,353,431 | ) |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
23. | RESERVES - continued |
Company |
Retained |
earnings |
£ |
Profit for the period |
At 31 March 2024 |
24. | PENSION COMMITMENTS |
The group operates a defined contribution pension scheme. The assets of the schemes are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the funds during the year and amounted to £197,209 (2022 - £112,985). Contributions totalling £Nil (2022 - £3,753) were payable to the fund at the balance sheet date and are included within creditors. |
25. | OTHER FINANCIAL COMMITMENTS |
The group is party to a cross guarantee with its fellow group undertakings and related parties in respect of the group's bank facilities. At 31 March 2024, net bank borrowings relating to this guarantee were £1,509,700. |
26. | DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the period ended 31 March 2024 and the year ended 30 September 2022: |
2024 | 2022 |
£ | £ |
P A Baker |
Balance outstanding at start of period | 141,631 | 137,665 |
Amounts advanced | 64,397 | 141,631 |
Amounts repaid | (307,631 | ) | (137,665 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of period | (101,603 | ) | 141,631 |
27. | RELATED PARTY TRANSACTIONS |
During the period the Group rented premises from the Andrew and Anne SSAS, an entity which P Baker is a trustee for £57,900 (2022 - £38,600). |
During the period, the Group made sales of £97,247 (2022 - £85,193) and purchases of £177,711 (2022 - £90,581) to/from Driving Talent Limited, a company in which P A Baker is a Director. At 31 March 2024, £435,475 (2022 - £299,812) was due from Driving Talent Limited. |
During the period, the Group made sales of £16,827 and purchases of £34,703 (2022 - £14,244) to/from Workstuff UK Limited, a company in which P A Baker is a Director. At 31 March 2024 £268,044 (2022 - 176,621) was due from Workstuff UK Limited. |
28. | POST BALANCE SHEET EVENTS |
Since the year end the Group has restructured, culminating in the sale of its trade waste collection and compaction business to a third party. With gross proceeds totalling in excess of £5m, the deal concluded on 30 September 2024. The restructured business is primarily focussing on the provision of Skips and Ro-ros along with developing further the recycling activities. |
BWS LEICESTER LIMITED (REGISTERED NUMBER: 14618538) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
for the period 1 October 2022 to 31 March 2024 |
29. | ULTIMATE CONTROLLING PARTY |
P A Baker is considered to be the ultimate controlling party due to his controlling interest in the equity share capital of the parent company. |