Tsp Kar Hire Limited

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—6

1. General Information

Tsp Kar Hire Limited is a private company, limited by shares, incorporated in England & Wales, registered number 03568324 . The registered office is Lancaster House, 70-76 Blackburn Street, Radcliffe, Manchester, M26 2JW.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

2.2. Going Concern Disclosure

The directors have not identified any material uncertainties related to events or conditions that may cast significant doubt about the company's ability to continue as a going concern.

2.3. Turnover

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

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

2.4. Intangible Fixed Assets and Amortisation - Goodwill

Goodwill is the difference between amounts paid on the acquisition of a business and the fair value of the separable net assets. It is amortised to profit and loss account over its estimated economic life of 20 years.

2.5. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & Machinery	25% reducing balance
Motor Vehicles	10% straight line
Fixtures & Fittings	25% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale

proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

2.6. Stocks and Work in Progress

Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. Work-in-progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.

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Tsp Kar Hire Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 January 2024

2.7. Financial Instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

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

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

2.8. Taxation

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

Current Tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred Tax

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

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Tsp Kar Hire Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 January 2024

2.9. Impairment of Fixed Assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs

2.10. Retirement Benefits

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

3. Average Number of Employees

Average number of employees, including directors, during the year was: 10 (2023: 10)

4. Intangible Assets

	Goodwill
	£
Cost
As at 1 February 2023	66,037

As at 31 January 2024	66,037

Amortisation
As at 1 February 2023	3,302
Provided during the period	3,302

As at 31 January 2024	6,604

Net Book Value
As at 31 January 2024	59,433

As at 1 February 2023	62,735

5. Tangible Assets

	Plant & Machinery	Motor Vehicles	Fixtures & Fittings	Total
	£	£	£	£
Cost
As at 1 February 2023	12,870	2,823,443	7,646	2,843,959
Additions	1,879	1,465,856	7,464	1,475,199
Disposals	-	(270,603 )	-	(270,603 )
Other	-	4,555	-	4,555

As at 31 January 2024	14,749	4,023,251	15,110	4,053,110

Depreciation
As at 1 February 2023	12,279	415,600	4,341	432,220
Provided during the period	618	322,340	2,692	325,650
Disposals	-	(112,353 )	-	(112,353 )
Other	-	7,998	-	7,998

As at 31 January 2024	12,897	633,585	7,033	653,515

Net Book Value
As at 31 January 2024	1,852	3,389,666	8,077	3,399,595

As at 1 February 2023	591	2,407,843	3,305	2,411,739

The "Other" items relate to minor adjustments in relation to amounts capitalised and depreciation charged in previous periods.

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Tsp Kar Hire Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 January 2024

6. Debtors

	2024	2023
	£	£
Due within one year
Trade debtors	-	21,303
Prepayments and accrued income	47,668	68,936
Other debtors	237,974	75,894
Deferred tax current asset	16,084	34,357
VAT	-	52,929
Amounts owed by group undertakings	172,173	145,733

	473,899	399,152

7. Creditors: Amounts Falling Due Within One Year

	2024	2023
	£	£
Trade creditors	105,777	43,778
Other loans	265,097	31,553
Corporation tax	-	(13,124 )
Other taxes and social security	37,294	2,657
VAT	271,432	-
Other creditors	15,708	35,339
Net Obligations under Finance Leases and Hire Purchase Contracts - less than 1 year	2,043,256	1,147,582
Accruals and deferred income	40,469	51,139
Director's loan account	173,241	5,858

	2,952,274	1,304,782

8. Creditors: Amounts Falling Due After More Than One Year

	2024	2023
	£	£
Net Obligations under Finance Leases and Hire Purchase Contracts - more than 1 year	905,719	1,286,466

9. Share Capital

	2024	2023
	£	£
Allotted, Called up and fully paid	2	2

10. Ultimate Parent Undertaking and Controlling Party

The company's immediate and ultimate parent undertaking is Driving Seat Group Ltd (previously known as TSP Hire Holdings Ltd). Driving Seat Group Ltd is a registered company in the United Kingdom.

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		2024		2023
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	4		59,433		62,735
Tangible Assets	5		3,399,595		2,411,739

			3,459,028		2,474,474
CURRENT ASSETS
Stocks		305,100		83,270
Debtors	6	473,899		399,152
Cash at bank and in hand		51,146		17,827

		830,145		500,249
Creditors: Amounts Falling Due Within One Year	7	(2,952,274 )		(1,304,782 )

NET CURRENT ASSETS (LIABILITIES)			(2,122,129 )		(804,533 )

TOTAL ASSETS LESS CURRENT LIABILITIES			1,336,899		1,669,941

Creditors: Amounts Falling Due After More Than One Year	8		(905,719 )		(1,286,466 )

NET ASSETS			431,180		383,475

CAPITAL AND RESERVES
Called up share capital	9		2		2
Profit and Loss Account			431,178		383,473

SHAREHOLDERS' FUNDS			431,180		383,475