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REGISTERED NUMBER: 01391059 (England and Wales)









STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 OCTOBER 2024

FOR

LEMON GROUNDWORK SOLUTIONS LTD

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)






CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2024




Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 4

Statement of Comprehensive Income 7

Statement of Financial Position 8

Statement of Changes in Equity 9

Notes to the Financial Statements 10


LEMON GROUNDWORK SOLUTIONS LTD

COMPANY INFORMATION
FOR THE YEAR ENDED 31 OCTOBER 2024







DIRECTORS: K R Childs
C J Prior
P R Hart
P A Pannell





REGISTERED OFFICE: Russell Gardens
Wickford
Essex
SS11 8BH





REGISTERED NUMBER: 01391059 (England and Wales)





AUDITORS: Goldwyns Limited
Statutory Auditors and Chartered Accountants
Rutland House
90-92 Baxter Avenue
Southend on Sea
Essex
SS2 6HZ

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 OCTOBER 2024

The directors present their strategic report for the year ended 31 October 2024.

REVIEW OF BUSINESS AND FUTURE DEVELOPMENTS
The directors are proud of the improvements made within the business, both financially and operationally during a challenging economic period.

The business continues to benefit from employee ownership, where we have experienced increased engagement from all co-owners. This has been demonstrated through being awarded as a 'Great Place to Work' top 100 construction business. We feel that these higher levels of engagement have hugely contributed to achieving improved customer service as well as manufacturing the highest output of our core product to date.

Our safety culture remains exceptional, and we have been replicating this focus on the health of our co-owners. The business now has multiple mental health first aiders spread across all our sites to ensure that all employees have the necessary support to remain healthy.

During the year we invested in our fleet of vehicles to continue enhancing our customer service levels. This was accompanied with obtaining the FORS Gold accreditation, which has given us further recognition for the service levels that we have come to expect of ourselves.

The infrastructure we have created places the business in a fantastic position to flourish for the coming years.

KEY PERFORMANCE INDICATORS
The directors use the following key performance indicators to monitor the performance of the business:
2024 2023

Turnover 34,840,095 39,997,347
Profit before tax 533,425 1,773,582
Gross profit margin 12.21% 14.30%

PRINCIPAL RISKS AND UNCERTAINTIES
The company is subject to the normal commercial risks that arise in the ordinary course of business. These risks are reviewed by the directors as part of their ongoing corporate governance procedures.

The company continues to have access to a level of bad debt protection that the directors consider to be adequate.

The directors are satisfied with the internal controls and processes in place that control the level of uninsured bad debt. The directors acknowledge that there is always an element of risk involved when accepting orders on a credit basis and, no matter how many controls and checks are in place, the risk of bad debts cannot be entirely eliminated.

ON BEHALF OF THE BOARD:





P A Pannell - Director


11 July 2025

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 OCTOBER 2024

The directors present their report with the financial statements of the company for the year ended 31 October 2024.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of the supply and prefabrication of steel fixing reinforcements and associated accessories.

DIVIDENDS
The total distribution of dividends for the year ended 31 October 2024 will be £ 111,000 .

DIRECTORS
The directors shown below have held office during the whole of the period from 1 November 2023 to the date of this report.

K R Childs
C J Prior
P R Hart
P A Pannell

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the 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 of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and 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 transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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 company's auditors are unaware, and each director 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 company's auditors are aware of that information.

ON BEHALF OF THE BOARD:





P A Pannell - Director


11 July 2025

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
LEMON GROUNDWORK SOLUTIONS LTD

Opinion
We have audited the financial statements of Lemon Groundwork Solutions Ltd (the 'company') for the year ended 31 October 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 October 2024 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the 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 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 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 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 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
LEMON GROUNDWORK SOLUTIONS LTD


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report 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, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. In order to address the risks of misstatements in respect of irregularities, including fraud, we have:

- obtained an understanding of the key laws and regulations applicable to the company, including the Companies Act 2006, and applicable taxation legislation;
- assessed the company's own internal controls and systems for the prevention and detection of irregularities and particularly the control environment within which they operate;
- determined a materiality level and audit approach sufficient to identify most irregularities, including fraud, that may occur;
- considered our own involvement in the preparation of the company's statutory financial statements and taxation returns;
- conducted audit verification work, on a sample basis, on the key audit areas and risks we have identified; and
- reflected on the outcome of our work, and the likelihood that conclusions drawn may be indicative of other areas of potential irregularity.

We therefore consider our audit approach has been sufficient to detect material irregularities, including fraud.

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
LEMON GROUNDWORK SOLUTIONS LTD


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.




Robert Howe BEng FCA (Senior Statutory Auditor)
for and on behalf of Goldwyns Limited
Statutory Auditors and Chartered Accountants
Rutland House
90-92 Baxter Avenue
Southend on Sea
Essex
SS2 6HZ

11 July 2025

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

STATEMENT OF COMPREHENSIVE
INCOME
FOR THE YEAR ENDED 31 OCTOBER 2024

2024 2023
Notes £    £   

TURNOVER 34,840,095 39,997,347

Cost of sales 30,586,280 34,275,994
GROSS PROFIT 4,253,815 5,721,353

Administrative expenses 3,655,479 3,921,082
598,336 1,800,271

Other operating income 1,015 4,785
OPERATING PROFIT 4 599,351 1,805,056

Interest receivable and similar income 6 390
599,357 1,805,446

Interest payable and similar expenses 6 65,932 31,864
PROFIT BEFORE TAXATION 533,425 1,773,582

Tax on profit 7 163,624 544,206
PROFIT FOR THE FINANCIAL YEAR 369,801 1,229,376

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

369,801

1,229,376

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

STATEMENT OF FINANCIAL POSITION
31 OCTOBER 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 9 1,645 3,159
Tangible assets 10 4,405,095 2,873,088
4,406,740 2,876,247

CURRENT ASSETS
Stocks 11 4,665,751 4,992,251
Debtors 12 5,645,474 4,908,479
Cash at bank and in hand 2,173,406 2,950,592
12,484,631 12,851,322
CREDITORS
Amounts falling due within one year 13 9,297,098 10,020,858
NET CURRENT ASSETS 3,187,533 2,830,464
TOTAL ASSETS LESS CURRENT
LIABILITIES

7,594,273

5,706,711

CREDITORS
Amounts falling due after more than one
year

14

(1,345,893

)

(127,709

)

PROVISIONS FOR LIABILITIES 17 (1,046,364 ) (635,787 )
NET ASSETS 5,202,016 4,943,215

CAPITAL AND RESERVES
Called up share capital 18 1,000 1,000
Retained earnings 19 5,201,016 4,942,215
SHAREHOLDERS' FUNDS 5,202,016 4,943,215

The financial statements were approved by the Board of Directors and authorised for issue on 11 July 2025 and were signed on its behalf by:





P A Pannell - Director


LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 OCTOBER 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 November 2022 1,000 8,351,349 8,352,349

Changes in equity
Dividends - (4,638,510 ) (4,638,510 )
Total comprehensive income - 1,229,376 1,229,376
Balance at 31 October 2023 1,000 4,942,215 4,943,215

Changes in equity
Dividends - (111,000 ) (111,000 )
Total comprehensive income - 369,801 369,801
Balance at 31 October 2024 1,000 5,201,016 5,202,016

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2024

1. STATUTORY INFORMATION

Lemon Groundwork Solutions Ltd 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.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows.

Turnover
Turnover represents net invoiced sales of goods, excluding value added tax. Turnover is recognised when the goods cease to be assets of the seller and become assets of the customer, which is when the seller transfers to the customer access to the significant benefits relating to the goods and exposure to the risks inherent in those benefits in accordance with FRS 102. These benefits are transferred once a sale has been agreed with the customer as the managerial control over the goods is relinquished and transferred to the buyer.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. Depreciation commences in the month following acquisition and assets are originally carried at historical cost.

Short leasehold property- 10% reducing balance
Plant and machinery- 25% on reducing balance
Fixtures and fittings- 10% and 25% on reducing balance
Motor vehicles- 20% on reducing balance
Fabrication plant and
machinery

- 10% reducing balance

Stocks
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 items.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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 statement of financial position date.


LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts are capitalised in the balance sheet and are depreciated over their estimated useful lives.

The interest element of these obligations is charged to the profit and loss account on a sum of digits basis over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to the profit and loss account on a straight line basis.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Operating leases
Payments made under operating leases (net of any incentives received from the lessor) are charged to profit or loss on a straight-line basis over the period of the lease

3. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 4,263,376 4,492,538
Social security costs 456,796 496,108
Other pension costs 93,100 92,989
4,813,272 5,081,635

The average number of employees during the year was as follows:
2024 2023

Production staff 79 80
Office and management 23 23
102 103

Included within wages and salaries are employee distributions totalling £40,000 (2023 - £45,000) paid on behalf of LGS Employee Ownership Trust.

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

3. EMPLOYEES AND DIRECTORS - continued

2024 2023
£    £   
Directors' remuneration 602,393 516,622
Directors' pension contributions to money purchase schemes 3,874 5,804

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 1 2

Information regarding the highest paid director is as follows:
2024 2023
£    £   
Emoluments etc 198,850 198,007
Pension contributions to money purchase schemes - 3,878

4. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2024 2023
£    £   
Hire of plant and machinery 1,424 14,804
Depreciation - owned assets 266,576 248,482
Depreciation - assets on hire purchase contracts 337,690 223,038
Profit on disposal of fixed assets (19,574 ) (14,001 )
Computer software amortisation 1,514 11,425
Foreign exchange differences 454 1,510
Rent under operating leases 541,800 559,650

5. AUDITORS' REMUNERATION
2024 2023
£    £   
Fees payable to the company's auditors for the audit of the
company's financial statements

21,675

21,600
Auditors' remuneration for non audit work 3,825 4,363

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Hire purchase interest 51,523 31,864
Other interest 14,409 -
65,932 31,864

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

7. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax (246,953 ) 372,099

Deferred tax 410,577 172,107
Tax on profit 163,624 544,206

Reconciliation of total tax 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
£    £   
Profit before tax 533,425 1,773,582
Profit multiplied by the standard rate of corporation tax in the UK of
25% (2023 - 22.518%)

133,356

399,375

Effects of:
Expenses not deductible for tax purposes 2,856 2,514
Income not taxable for tax purposes (4,894 ) -
Capital allowances in excess of depreciation - (4,993 )
Depreciation in excess of capital allowances 5,084 -
Movement in tax rate 27,222 147,310
Total tax charge 163,624 544,206

8. DIVIDENDS
2024 2023
£    £   
Interim 111,000 4,638,510

9. INTANGIBLE FIXED ASSETS
Computer
software
£   
COST
At 1 November 2023
and 31 October 2024 295,966
AMORTISATION
At 1 November 2023 292,807
Amortisation for year 1,514
At 31 October 2024 294,321
NET BOOK VALUE
At 31 October 2024 1,645
At 31 October 2023 3,159

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

10. TANGIBLE FIXED ASSETS
Fixtures
Short Plant and and
leasehold machinery fittings
£    £    £   
COST
At 1 November 2023 811,425 606,087 444,661
Additions 3,748 4,262 80,873
Disposals - (5,000 ) -
At 31 October 2024 815,173 605,349 525,534
DEPRECIATION
At 1 November 2023 427,092 368,313 119,512
Charge for year 38,593 60,018 70,664
Eliminated on disposal - (3,813 ) -
At 31 October 2024 465,685 424,518 190,176
NET BOOK VALUE
At 31 October 2024 349,488 180,831 335,358
At 31 October 2023 384,333 237,774 325,149

Fabrication
Motor plant and
vehicles machinery Totals
£    £    £   
COST
At 1 November 2023 1,487,497 2,751,799 6,101,469
Additions 1,873,648 236,426 2,198,957
Disposals (240,228 ) - (245,228 )
At 31 October 2024 3,120,917 2,988,225 8,055,198
DEPRECIATION
At 1 November 2023 795,290 1,518,174 3,228,381
Charge for year 300,357 134,634 604,266
Eliminated on disposal (178,731 ) - (182,544 )
At 31 October 2024 916,916 1,652,808 3,650,103
NET BOOK VALUE
At 31 October 2024 2,204,001 1,335,417 4,405,095
At 31 October 2023 692,207 1,233,625 2,873,088

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

10. TANGIBLE FIXED ASSETS - continued

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Fixtures Fabrication
Plant and and Motor plant and
machinery fittings vehicles machinery Totals
£    £    £    £    £   
COST
At 1 November 2023 64,774 12,875 773,033 1,477,500 2,328,182
Additions - - 1,824,498 - 1,824,498
Disposals - - (98,021 ) - (98,021 )
Transfer to ownership (64,774 ) (12,875 ) (407,551 ) (908,669 ) (1,393,869 )
At 31 October 2024 - - 2,091,959 568,831 2,660,790
DEPRECIATION
At 1 November 2023 37,333 4,353 330,882 604,056 976,624
Charge for year 6,860 852 243,624 86,354 337,690
Eliminated on disposal - - (47,834 ) - (47,834 )
Transfer to ownership (44,193 ) (5,205 ) (260,708 ) (502,622 ) (812,728 )
At 31 October 2024 - - 265,964 187,788 453,752
NET BOOK VALUE
At 31 October 2024 - - 1,825,995 381,043 2,207,038
At 31 October 2023 27,441 8,522 442,151 873,444 1,351,558

11. STOCKS
2024 2023
£    £   
Raw materials 4,452,264 4,715,460
Work-in-progress 213,487 276,791
4,665,751 4,992,251

12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade debtors 5,150,573 4,717,711
Other debtors 32,654 39,203
Corporation tax 306,953 32,028
Prepayments and accrued income 155,294 119,537
5,645,474 4,908,479

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Hire purchase contracts (see note 15) 424,213 379,669
Trade creditors 7,927,260 8,098,943
Amounts owed to group undertakings 51 51
Corporation tax - 178,782
Social security and other taxes 474,243 429,294
Other creditors 34,013 59,638
Accrued expenses 437,318 874,481
9,297,098 10,020,858

14. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
2024 2023
£    £   
Hire purchase contracts (see note 15) 1,345,893 127,709

15. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts
2024 2023
£    £   
Gross obligations repayable:
Within one year 534,769 395,433
Between one and five years 1,525,399 130,912
2,060,168 526,345

Finance charges repayable:
Within one year 110,556 15,764
Between one and five years 179,506 3,203
290,062 18,967

Net obligations repayable:
Within one year 424,213 379,669
Between one and five years 1,345,893 127,709
1,770,106 507,378

Non-cancellable operating leases
2024 2023
£    £   
Within one year 476,192 450,578
Between one and five years 65,890 32,088
542,082 482,666

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

16. SECURED DEBTS

The following secured debts are included within creditors:

2024 2023
£    £   
Hire purchase contracts 1,770,106 507,378

Hire purchase contracts are secured against the assets to which they relate.

Debentures exist in favour of National Westminster Bank Plc and RBS Invoice Finance Limited by way of both fixed and floating charges in respect of all monies due or to become due.

The debentures are secured over the assets of the company. At the balance sheet date, no liability in respect of the above existed.

Invoice discounting debts (included within cash at bank and in hand) are secured on the trade debtors to which they relate. At the year end trade debtors totalling £5,131,018 (2023 - £4,717,328) were subject to discounting.

17. PROVISIONS FOR LIABILITIES
2024 2023
£    £   
Deferred tax 1,046,364 635,787

Deferred
tax
£   
Balance at 1 November 2023 635,787
Accelerated capital allowances 410,499
Pension creditor movement 78
Balance at 31 October 2024 1,046,364

The deferred tax liability above reflects capital allowances in excess of depreciation and other expense timing differences.

18. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
1,000 Ordinary £1 1,000 1,000

19. RESERVES
Retained
earnings
£   

At 1 November 2023 4,942,215
Profit for the year 369,801
Dividends (111,000 )
At 31 October 2024 5,201,016

LEMON GROUNDWORK SOLUTIONS LTD (REGISTERED NUMBER: 01391059)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 OCTOBER 2024

20. PENSION COMMITMENTS

The company operates a defined contribution pension scheme in respect of certain employees. During the year premiums paid by the company amounted to £93,100 (2023 - £92,989). At the balance sheet date there were amounts outstanding of £21,812 (2023 - £22,123).

21. ULTIMATE PARENT COMPANY

The company's ultimate parent undertaking at the balance sheet date was LGS Holdings Limited, a company incorporated in England. The company's registered address is the same as Lemon Groundwork Solutions' and can be found on the company information page. Since 10 February 2023, the group has been wholly owned by LGS Employee Ownership Trust.



22. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31 October 2024 and 31 October 2023:

2024 2023
£    £   
P R Hart
Balance outstanding at start of year - 109,511
Amounts repaid - (109,511 )
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year - -

P A Pannell
Balance outstanding at start of year - 28,507
Amounts repaid - (28,507 )
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year - -

No interest has been charged by the group on these loans in the current year. All loans brought forward from the 31 October 2022 were repaid in February 2023.

23. RELATED PARTY DISCLOSURES

At the balance sheet date the company was owed £18,109 by, and owed £8,904 to, other companies under the control of its key management personnel (2023 - £21,596 and £12,084 respectively).

During the year the company's total compensation to key management personnel (including directors) amounted to £683,139 (2023 - £587,346). At the balance sheet date the amount owed to key management personnel was £nil (2023 - £nil).

No related party transactions with group companies have been disclosed in line with FRS 102 group disclosure exemptions.