Caseware UK (AP4) 2024.0.164 2024.0.164 truetruetruefalse2024-01-01falseNo description of principal activity10694truefalse 07094786 2024-01-01 2024-12-31 07094786 2023-01-01 2023-12-31 07094786 2024-12-31 07094786 2023-12-31 07094786 2023-01-01 07094786 1 2024-01-01 2024-12-31 07094786 1 2023-01-01 2023-12-31 07094786 d:Director1 2024-01-01 2024-12-31 07094786 d:Director2 2024-01-01 2024-12-31 07094786 d:Director2 2024-12-31 07094786 d:Director3 2024-01-01 2024-12-31 07094786 d:Director3 2024-12-31 07094786 d:RegisteredOffice 2024-01-01 2024-12-31 07094786 e:Buildings e:ShortLeaseholdAssets 2024-01-01 2024-12-31 07094786 e:Buildings e:ShortLeaseholdAssets 2024-12-31 07094786 e:Buildings e:ShortLeaseholdAssets 2023-12-31 07094786 e:MotorVehicles 2024-01-01 2024-12-31 07094786 e:MotorVehicles 2024-12-31 07094786 e:MotorVehicles 2023-12-31 07094786 e:MotorVehicles e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 07094786 e:FurnitureFittings 2024-01-01 2024-12-31 07094786 e:FurnitureFittings 2024-12-31 07094786 e:FurnitureFittings 2023-12-31 07094786 e:FurnitureFittings e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 07094786 e:ComputerEquipment 2024-01-01 2024-12-31 07094786 e:ComputerEquipment 2024-12-31 07094786 e:ComputerEquipment 2023-12-31 07094786 e:ComputerEquipment e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 07094786 e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 07094786 e:DevelopmentCostsCapitalisedDevelopmentExpenditure 2024-01-01 2024-12-31 07094786 e:DevelopmentCostsCapitalisedDevelopmentExpenditure 2024-12-31 07094786 e:DevelopmentCostsCapitalisedDevelopmentExpenditure 2023-12-31 07094786 e:CurrentFinancialInstruments 2024-12-31 07094786 e:CurrentFinancialInstruments 2023-12-31 07094786 e:CurrentFinancialInstruments e:WithinOneYear 2024-12-31 07094786 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 07094786 e:ReportableOperatingSegment1 2024-01-01 2024-12-31 07094786 e:ReportableOperatingSegment1 2023-01-01 2023-12-31 07094786 f:UnitedKingdom 2024-01-01 2024-12-31 07094786 f:UnitedKingdom 2023-01-01 2023-12-31 07094786 f:RestEuropeOutsideUK 2024-01-01 2024-12-31 07094786 f:RestEuropeOutsideUK 2023-01-01 2023-12-31 07094786 f:RestWorldOutsideUK 2024-01-01 2024-12-31 07094786 f:RestWorldOutsideUK 2023-01-01 2023-12-31 07094786 e:UKTax 2024-01-01 2024-12-31 07094786 e:UKTax 2023-01-01 2023-12-31 07094786 e:ShareCapital 2024-12-31 07094786 e:ShareCapital 2023-12-31 07094786 e:ShareCapital 2023-01-01 07094786 e:RetainedEarningsAccumulatedLosses 2024-01-01 2024-12-31 07094786 e:RetainedEarningsAccumulatedLosses 2024-12-31 07094786 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 07094786 e:RetainedEarningsAccumulatedLosses 2023-12-31 07094786 e:RetainedEarningsAccumulatedLosses 2023-01-01 07094786 e:AcceleratedTaxDepreciationDeferredTax 2024-12-31 07094786 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 07094786 e:TaxLossesCarry-forwardsDeferredTax 2024-12-31 07094786 e:TaxLossesCarry-forwardsDeferredTax 2023-12-31 07094786 d:OrdinaryShareClass1 2024-01-01 2024-12-31 07094786 d:OrdinaryShareClass1 2024-12-31 07094786 d:OrdinaryShareClass1 2023-12-31 07094786 d:FRS102 2024-01-01 2024-12-31 07094786 d:Audited 2024-01-01 2024-12-31 07094786 d:FullAccounts 2024-01-01 2024-12-31 07094786 d:PrivateLimitedCompanyLtd 2024-01-01 2024-12-31 07094786 e:WithinOneYear 2024-12-31 07094786 e:WithinOneYear 2023-12-31 07094786 e:BetweenOneFiveYears 2024-12-31 07094786 e:BetweenOneFiveYears 2023-12-31 07094786 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2024-12-31 07094786 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2023-12-31 07094786 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2024-12-31 07094786 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2023-12-31 07094786 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:BetweenOneFiveYears 2024-12-31 07094786 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:BetweenOneFiveYears 2023-12-31 07094786 e:DevelopmentCostsCapitalisedDevelopmentExpenditure e:InternallyGeneratedIntangibleAssets 2024-01-01 2024-12-31 07094786 2 2024-01-01 2024-12-31 07094786 e:DevelopmentCostsCapitalisedDevelopmentExpenditure e:OwnedIntangibleAssets 2024-01-01 2024-12-31 07094786 g:PoundSterling 2024-01-01 2024-12-31 iso4217:GBP xbrli:shares xbrli:pure

Registered number: 07094786









Ecotrade Europe Ltd









Annual Report and Financial Statements

For the year ended 31 December 2024

 
Ecotrade Europe Ltd
 
 
Company Information


Directors
P J Cheshire 
G Dixon (appointed 27 February 2025)
P Reale (appointed 27 February 2025)




Registered number
07094786



Registered office
Unit D3 Stanley Green Business Park
Commercial Avenue

Handforth

Cheadle

Cheshire

SK8 6QH




Independent auditors
Hurst Accountants Limited
Chartered Accountants & Statutory Auditors

3 Stockport Exchange

Stockport

Cheshire

SK1 3GG





 
Ecotrade Europe Ltd
 

Contents



Page
Strategic Report
 
1 - 2
Directors' Report
 
3 - 6
Independent Auditors' Report
 
7 - 10
Statement of Comprehensive Income
 
11
Balance Sheet
 
12
Statement of Changes in Equity
 
13
Notes to the Financial Statements
 
14 - 29

 
Ecotrade Europe Ltd
 
 
Strategic Report
For the year ended 31 December 2024

Introduction
 
The Director presents the Strategic Report for the year ended 31 December 2024.

Business review
 
Ecotrade Europe Limited (“the Company”) is an own brand international retailer of luxury hair solutions including human hair, styling tools and aftercare products. During 2024, the Company traded internationally across multiple channels including direct-to-consumer, salons and distributors through the Company’s own web platform, sales reps and phone orders. 
The Company delivered turnover of £45.3m in the year to 31 December 2024 (
2023: £40.9m) representing an increase of 11% on the prior year. The Company has continued to benefit from its increased focus throughout the year on key business elements, particularly through the implementation of targeted business models and strategic plans, whilst this has helped to strengthen our overall brand reputation, the ever evolving challenges the retail sector faces have continued to impact customers buying habits during the first half of the year, with improvements seen during the second half of the year.
Over the years, the Company has seen continued pressure on the price of raw materials worsened by the strengthening of the US Dollar. During 2024, the Company has seen strengthening of the UK economy which has alleviated some of this pressure the Company has experienced from FX volatility, improving profitability with gross margin of 39% (
2023: 38%). The Company has continued to maximise its efficiency across its cost base by continually negotiating variable expenses throughout the period, with cost reductions seen across a number of key areas. 2024 delivered 10% EBITDA, which is consistent with the prior period (10% in 2023). The Company has also continued to invest in key strategic initiatives in preparation for 2025.
The Company has been able to manage working capital efficiently in the year, increasing net current assets to £18.6m finishing the year with a slightly more efficient stock profile in comparison to the prior period despite the increase in revenues during the period. 
During the year, the business has continued to integrate with Beauty Industry Group (BIG), aligning on group wide operational practices, including processes and controls across all departments within the business. 
2025 will continue to see investment in the brand and the launch of new products and technologies. This will continue to deliver on the market share which the business holds, whilst allowing the business to continue targeting new international markets that the Company has had little or no prior presence in.

Principal risks and uncertainties
 
Operational and compliance risks are constantly being monitored and procedures are being implemented to address issues as they arise.  The Company is committed to building organisational resilience with the capability of providing effective responses, as well as identifying risk-based opportunities.
Financial risks relating to currency exposure are closely monitored and mitigated where possible with the use of financial instruments.  
Credit risk is constantly monitored, and credit limits are under constant review.
Reputation and strategic risks continue to be reduced with the support of the Beauty Industry Group, to which the Company belongs, with emphasis being on increasing the variety of quality products and widening the Company's client base.
The rising cost of air freight and materials, coupled with the uncertainty related to consumer sentiment, particularly human hair and fluctuations in foreign exchange rates have been the principal risks to the business and will continue into 2025.  
The Company is able to attract and retain high calibre employees and investment is made in the IT systems to ensure that they are able to continue to respond to the needs of the business and do not become obsolete.
Page 1

 
Ecotrade Europe Ltd
 

Strategic Report (continued)
For the year ended 31 December 2024


Financial key performance indicators
 
The Company's key performance indicators are presented below:

2024
2023


Gross margin %
39
38

EBITDA %
10
10

Director's statement of compliance with duty to promote the success of the Company
 
The Directors are collectively responsible under section 172 of the Companies Act to act in the way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its shareholders as a whole and to take into account wider stakeholder needs when doing so. In its considerations and decision making processes the Board therefore has regard to certain key matters including, but not limited to, the long term impact of the Company’s operations on local communities and the environment and the need to preserve the Company’s reputation for high standards of business conduct.
Our employees are key to the delivery of our services and therefore to the long term success of the business. It is imperative to keep them actively engaged and motivated. Regular staff communication and engagement occurs through team meetings and training. 
Our global customer base is served through our B2B and D2C channels across our portfolio of own brands and retail destinations. Understanding our customers and how they like to purchase, discover new products, and be made aware of new trends and solutions is essential for developing our brand and ensuring they are relevant to the markets they operate in. We aim to enable a simplified customer journey, from product discovery to checkout and delivery, which supports our consistently strong repeat purchase rates.
The Company partners with suppliers to ensure it can continue to address customers and consumers’ evolving demands. The Board is committed to fostering and developing supplier relationships in a way that empowers the brands we own and those which we work with to drive innovative solutions to consumer demands, while balancing the need to tackle societal and environmental issues.
The Company is continually reviewing its systems and procedures to reduce energy  consumption and ensuring they are SECR compliant.


This report was approved by the board and signed on its behalf.




P J Cheshire
Director

Date: 17 July 2025
Page 2

 
Ecotrade Europe Ltd
 
 
 
Directors' Report
For the year ended 31 December 2024

The directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, the directors' report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £3,698,470 (2023 -£3,382,601).

Dividends totalling £Nil (2023: £Nil) were paid on the ordinary shares entitled to dividends in the year.

Director

The director who served during the year was:

P J Cheshire 

Future developments

The future developments of the Company are disclosed within the Strategic Report.

Page 3

 
Ecotrade Europe Ltd
 
 
 
Directors' Report (continued)
For the year ended 31 December 2024

Financial instruments

The Director and senior management are aware of their responsibility for managing risks within the business. Risk is regularly reviewed at Board level and with Beauty Industry Group management to ensure that risk management is being implemented and monitored regularly.
Financial risk management
The Company finances its activities with a combination of cash, hire purchase contracts and a working capital loan from a parent company in the United States of America. Other financial assets and liabilities, such as trade debtors and trade creditors, arise directly from the Company's operating activities.
The Company's operations involve exposure to the following risks.
Price risk
Price risk is the risk that changes in raw material prices have the potential to impact on the profitability of the Company. 
Credit risk
A significant number of the Company's retail customers pay in advance for purchases. Company policies are aimed at minimising losses and require salon and trade customers to satisfy credit worthiness. An initial payment in advance is requested from new salon customers, to open an account, and larger trade customer accounts are set up following credit review. The credit risk on bank balances is low as they are held with A-rated counterparties.
Liquidity risk
The Company regularly forecasts cash flow and maintains an appropriate balance of cash and working capital loan facility to ensure that sufficient funds are available from trading to meet its obligations as they fall due and cover future expenses.
Currency risk
A number of key suppliers invoice the Company in US Dollars or Euros and the Company is therefore exposed to fluctuations in exchange rates.
Interest rate risk
The Company's hire purchase liabilities are immaterial and the exposure to interest rate risk is very low.
Competitive risks
The Company operates in competitive markets. The breadth of the customer base reduces the possible effect of the loss of any one single client. The Company focuses on providing clients with high quality product and levels of service. This enables the Company to maintain long-term relationships with trade and salon customers, maintain the reputation of the Beauty Works brand amongst consumers and attract new custom.

Page 4

 
Ecotrade Europe Ltd
 
 
 
Directors' Report (continued)
For the year ended 31 December 2024

Greenhouse gas emissions, energy consumption and energy efficiency action

The Company is defined as a large company in line with the Companies Act 2006, and has consumed more than 40,000 kWh of energy in the reporting period therefore hitting the threshold for Streamlined Energy and Carbon Reporting (SECR). The company has followed the 2019 HM Government Environmental Reporting Guidelines and has also used the GHG Reporting Protocol – Corporate Standard.
UK Greenhouse gas emissions and energy use data for the period 1 January 2023 to 31 December 2024:


2024
2023



Energy consumption used to calculate emission (kWh)
505,880 kWh
323,069 kWh
Total Gross Emissions in metric tonnes CO2e
102.94 tCO2e
66.13 tCO2e
Intensity Ratio Tonnes CO2e per headcount
0.96 tCO2e
0.70 tCO2e


In the year the total energy consumption equated to 505,880 kWh across the company which was made up of gas, electricity and fuel across the head office site, the company warehouse, and delivery vehicles.
The increase from 2023 noted above relates to the expansion of the sales representative’s presence on the road in light of the new trade strategy, this strategy allows for localised sales representatives to build on customer relations in a more efficient manner by forging better relationships via face-to-face interactions.
This is also attributed to the addition of a new warehouse, which was necessitated by a significant rise in sales and the corresponding need for expanded storage capacity. As sales volumes grew, the existing infrastructure could no longer accommodate the increased inventory, leading to the establishment of an additional facility. This expansion has naturally resulted in higher energy usage. Consequently, while the growth in sales reflects positive business momentum, it has also contributed to a proportional increase in energy consumption metrics.
The company continues to review areas whereby energy efficiency can be improved such as increased video conferencing technology for staff meetings, to reduce the need for travel between sites.  In addition to these measures, we are actively assessing our warehouse space to identify opportunities for improved layout and storage efficiencies. By optimising how inventory is organised and utilising vertical space more effectively, we aim to reduce the energy required for operations such as lighting, heating, and material handling. These efforts not only help lower our energy consumption but also enhance overall operational productivity and sustainability.

Disclosure of information to auditors

Each of the persons who are directors at the time when this directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditorsHurst Accountants Limitedwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Page 5

 
Ecotrade Europe Ltd
 
 
 
Directors' Report (continued)
For the year ended 31 December 2024

This report was approved by the board and signed on its behalf.
 




P J Cheshire
Director

Date: 17 July 2025
Page 6

 
Ecotrade Europe Ltd
 
 
 
Independent Auditors' Report to the Members of Ecotrade Europe Ltd
 

Opinion


We have audited the financial statements of Ecotrade Europe Ltd (the 'Company') for the year ended 31 December 2024, which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity and the related notes, including a summary of significant accounting policiesThe 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 December 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 United Kingdom, including the Financial Reporting Council'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 other information comprises the information included in the Annual Report other than the financial statements and our auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Page 7

 
Ecotrade Europe Ltd
 
 
 
Independent Auditors' Report to the Members of Ecotrade Europe Ltd (continued)


Opinion 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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.


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 directors' report.


We have nothing to report in respect of the following matters in relation to which 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 directors' responsibilities statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.


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 an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.


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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Page 8

 
Ecotrade Europe Ltd
 
 
 
Independent Auditors' Report to the Members of Ecotrade Europe Ltd (continued)


Identifying and assessing potential risks related to irregularities
In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:
 
The nature of the industry and sector in which the company operates; the control environment and business performance including key drivers for directors' remuneration, bonus levels and performance targets. 
The outcome of enquiries of local management and parent company management, including whether management was aware of any instances of non-compliance with laws and regulations, and whether management had knowledge of any actual, suspected, or alleged fraud.  
Supporting documentation relating to the Company's policies and procedures for: 
°Identifying, evaluating, and complying with laws and regulations 
°Detecting and responding to the risks of fraud 
The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations. 
The outcome of discussions amongst the engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. 
The legal and regulatory framework in which the Company operates, particularly those laws and regulations which have a direct effect on the financial statements, such as the Companies Act 2006, pensions and tax legislation, or which had a fundamental effect on the operations of the Company, including General Data Protection requirements, and Anti-bribery and Corruption. 

Audit response to risks identified 

Our procedures to respond to the risks identified included the following: 

Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the provisions of those relevant laws and regulations which have a direct effect on the financial statements. 
Discussions with management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud. 
Evaluation and testing of management’s controls designed to prevent and detect irregularities. 
Enquiring of management about any actual and potential litigation and claims. 
Performing analytical procedures to identify any unusual or unexpected relationships which may indicate risks of material misstatement due to fraud. 

We have also considered the risk of fraud through management override of controls by: 

Testing the appropriateness of journal entries and other adjustments. We have used data analytics software to identify accounting transactions which may pose a heightened risk of material misstatement, whether due to fraud or error. 
Challenging assumptions made by management in their significant accounting estimates, and assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and 
Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. 

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. 
 
There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we would become aware of them.  Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. 


Page 9

 
Ecotrade Europe Ltd
 
 
 
Independent Auditors' Report to the Members of Ecotrade Europe Ltd (continued)


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 auditors' report.


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Anthony Woodings (Senior Statutory Auditor)
for and on behalf of
Hurst Accountants Limited
Chartered Accountants & Statutory Auditors
3 Stockport Exchange
Stockport
Cheshire
SK1 3GG

17 July 2025
Page 10

 
Ecotrade Europe Ltd
 
 
Statement of Comprehensive Income
For the year ended 31 December 2024

2024
2023
Note
£
£

  

Turnover
 4 
45,304,234
40,988,549

Cost of sales
  
(27,411,173)
(25,565,059)

Gross profit
  
17,893,061
15,423,490

Administrative expenses
  
(15,996,685)
(13,446,698)

Other operating income
 5 
2,265,212
2,077,376

Operating profit
 6 
4,161,588
4,054,168

Interest receivable and similar income
 10 
1,666
2,119

Interest payable and similar expenses
 11 
-
(218)

Profit before tax
  
4,163,254
4,056,069

Tax on profit
 12 
(464,784)
(673,468)

Profit for the financial year
  
3,698,470
3,382,601

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 14 to 29 form part of these financial statements.
Page 11

 
Ecotrade Europe Ltd
Registered number: 07094786

Balance Sheet
As at 31 December 2024

2024
2023
Note
£
£

Fixed assets
  

Intangible assets
 13 
1,014,932
762,408

Tangible assets
 14 
346,431
347,409

  
1,361,363
1,109,817

Current assets
  

Stocks
 15 
9,410,981
9,557,087

Debtors: amounts falling due within one year
 16 
14,415,541
8,059,341

Cash at bank and in hand
 17 
6,190,002
5,819,618

  
30,016,524
23,436,046

Creditors: amounts falling due within one year
 18 
(11,384,820)
(8,251,266)

Net current assets
  
 
 
18,631,704
 
 
15,184,780

Total assets less current liabilities
  
19,993,067
16,294,597

  

Net assets
  
19,993,067
16,294,597


Capital and reserves
  

Called up share capital 
 20 
100
100

Profit and loss account
 21 
19,992,967
16,294,497

  
19,993,067
16,294,597


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




P J Cheshire
Director

Date: 17 July 2025

The notes on pages 14 to 29 form part of these financial statements.
Page 12

 
Ecotrade Europe Ltd
 

Statement of Changes in Equity
For the year ended 31 December 2024


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 January 2024
100
16,294,497
16,294,597



Profit for the year
-
3,698,470
3,698,470


At 31 December 2024
100
19,992,967
19,993,067



Statement of Changes in Equity
For the year ended 31 December 2023


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 January 2023
100
12,911,896
12,911,996



Profit for the year
-
3,382,601
3,382,601


At 31 December 2023
100
16,294,497
16,294,597


The notes on pages 14 to 29 form part of these financial statements.
Page 13

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

1.


General information

Ecotrade Europe Limited is a private company limited by shares, incorporated in England and Wales, registered number 07094786. The address of the registered office is Unit D3 Stanley Green Business Park, Commercial Avenue, Handforth, Cheshire, SK8 6QH. 
The nature of the entity's operations and its principal activity is the wholesale and retail of hair-related products.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Cleopatra UK Bidco Limited as at 31 December 2024 and these financial statements may be obtained from Companies House.

Page 14

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

2.Accounting policies (continued)

 
2.3

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss.

Foreign exchange gains and losses are presented in the statement of comprehensive income within 'Cost of Sales' and ' Administrative Expenses'.

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Royalty income
Royalties are recognised on an accruals basis in accordance with the substance of the relevant agreement.
Page 15

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

2.Accounting policies (continued)

 
2.5

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.6

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 it is 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 amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 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.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.8

Finance costs

Finance costs are charged to 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.

 
2.9

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in 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 Company in independently administered funds.

Page 16

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

2.Accounting policies (continued)

 
2.10

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

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 the 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.

 
2.11

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Website development
-
4
years
Page 17

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

2.Accounting policies (continued)

 
2.12

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Short-term leasehold property
-
Straight line over the life of the lease
Motor vehicles
-
25% Straight line
Fixtures and fittings
-
12.5-100% Straight line
Computer equipment
-
20-33% Straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a 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 profit or loss.

 
2.13

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.14

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.15

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. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.16

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 18

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

2.Accounting policies (continued)

 
2.17

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.18

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, and loans from related parties.
Debt instruments that are payable or receivable within one year, typically trade debtors and 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 statement of comprehensive income.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the balance sheet date.
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.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

Preparation of the financial statements requires management to make judgements and estimates that affect amounts recognised for assets and liabilities at the reporting date and the amounts of revenue and expenses incurred during the reporting period. Actual outcomes may differ from these judgements, estimates and assumptions. 
The directors believe that judgements, estimates and assumptions do not have a significant risk of causing a material difference to the carrying amount of the assets and liabilities within the next financial year.

Page 19

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Sale of goods
45,304,234
40,988,549


Analysis of turnover by country of destination:

2024
2023
£
£

United Kingdom
39,645,264
35,839,090

Rest of Europe
3,116,004
2,742,060

Rest of the world
2,542,966
2,407,399

45,304,234
40,988,549



5.


Other operating income

2024
2023
£
£

Net rents receivable
-
29,285

Royalty receivable
2,265,212
2,048,091

2,265,212
2,077,376



6.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Exchange differences
31,338
274,323

Other operating lease rentals
395,402
378,545

Page 20

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

7.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors and their associates:


2024
2023
£
£

Fees payable to the Company's auditors and their associates for the audit of the Company's financial statements
24,000
22,545


The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.


8.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
4,447,580
3,554,950

Social security costs
502,495
460,725

Cost of defined contribution scheme
167,585
118,357

5,117,660
4,134,032


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Management and administration
11
9



Sales and marketing
69
57



Warehousing and distribution
26
28

106
94

Page 21

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

9.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
183,944
140,294

Company contributions to defined contribution pension schemes
67,521
35,000

251,465
175,294


During the year retirement benefits were accruing to 1 director (2023 -1) in respect of defined contribution pension schemes.


10.


Interest receivable

2024
2023
£
£


Bank interest receivable
1,666
2,119


11.


Interest payable and similar expenses

2024
2023
£
£


Finance leases and hire purchase contracts
-
218
Page 22

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

12.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
480,000
510,000

Adjustments in respect of previous periods
8,112
181,817


Total current tax
488,112
691,817

Deferred tax


Origination and reversal of timing differences
(23,328)
(18,349)


Tax on profit
464,784
673,468

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2023 -lower than) the standard rate of corporation tax in the UK of 25% (2023 -23.5%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
4,163,254
4,056,069


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 -23.5%)
1,040,814
953,176

Effects of:


Expenses not deductible for tax purposes
1,498
2,623

Adjustments to tax charge in respect of prior periods
8,112
181,817

Other differences leading to an increase (decrease) in the tax charge
(5,640)
5,852

Group relief
(580,000)
(470,000)

Total tax charge for the year
464,784
673,468


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 23

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

13.


Intangible assets




Website development expenditure

£



Cost


At 1 January 2024
1,085,171


Additions
602,820



At 31 December 2024

1,687,991



Amortisation


At 1 January 2024
322,763


Charge for the year
350,296



At 31 December 2024

673,059



Net book value



At 31 December 2024
1,014,932



At 31 December 2023
762,408



Page 24

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

14.


Tangible fixed assets





Short-term leasehold property
Motor vehicles
Fixtures and fittings
Computer equipment
Total

£
£
£
£
£



Cost or valuation


At 1 January 2024
154,488
101,505
166,285
380,542
802,820


Additions
8,695
-
129,924
39,200
177,819


Disposals
(4,289)
-
(1,939)
(8,345)
(14,573)



At 31 December 2024

158,894
101,505
294,270
411,397
966,066



Depreciation


At 1 January 2024
91,576
52,282
118,206
193,347
455,411


Charge for the year on owned assets
28,935
25,376
84,407
29,704
168,422


Disposals
(3,324)
-
(222)
(1,825)
(5,371)


Impairment charge
-
-
612
561
1,173



At 31 December 2024

117,187
77,658
203,003
221,787
619,635



Net book value



At 31 December 2024
41,707
23,847
91,267
189,610
346,431



At 31 December 2023
62,912
49,223
48,079
187,195
347,409


15.


Stocks

2024
2023
£
£

Finished goods and goods for resale
9,410,981
9,557,087


Page 25

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

16.


Debtors

2024
2023
£
£

Trade debtors
3,859,742
3,578,706

Amounts owed by group undertakings
5,997,336
1,662,968

Other debtors
4,158,123
2,505,000

Prepayments and accrued income
363,109
298,764

Deferred taxation
37,231
13,903

14,415,541
8,059,341



17.


Cash

2024
2023
£
£

Cash at bank and in hand
6,190,002
5,819,618



18.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
1,520,224
1,143,919

Amounts owed to group undertakings
4,817,385
3,239,140

Corporation tax
886,332
667,021

Other taxation and social security
1,793,243
1,610,087

Other creditors
296,841
181,788

Accruals and deferred income
2,070,795
1,409,311

11,384,820
8,251,266


Following the acquisition of the Company on 19 December 2019, the USA based parent (Beauty Industry Group Inc.) provided an interest free working capital loan which is repayable on demand. 
The value of this working capital loan at the balance sheet date is £2,928,719 (
2023: £2,928,719).
Other amounts owed to group undertakings are interest-free and repayable on demand.

Page 26

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

19.


Deferred taxation




2024
2023


£

£






Provision at beginning of year
13,903
(4,446)


Charged to profit or loss
23,328
18,349



Provision at end of year
37,231
13,903

The deferred tax asset is made up as follows:

2024
2023
£
£


Accelerated capital allowances
(31,689)
(12,774)

Other timing differences
(5,542)
(1,129)

(37,231)
(13,903)


20.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



100 (2023 -100) Ordinary shares of £1.00 each
100
100



21.


Reserves

Profit and loss account

This reserve records retained earnings, less dividends.

Page 27

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

22.


Contingent liabilities

During previous periods, Ecotrade Europe Ltd granted three charges in favour of Owl Rock Capital Corporation (as Collateral Agent):
 
23 November 2021: A debenture creating fixed and floating charges over all the property or undertaking of the company.
7 March 2022: Fixed charges over two registered trademarks:
                 -   “Beauty Works Luxury Hair Extensions & Hair Accessories” (US Registration No. 4633519)
                 -   “Beauty Works” (Canadian Registration No. TMA898554)
These charges secure obligations under a group financing arrangement. The total debt allocated under this group financing arrangement is $175.2 million.


23.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £167,585 (2023: £118,357). Contributions totalling £22,168 (2023: £12,287) were payable to the fund at the balance sheet date and are included in creditors.


24.


Commitments under operating leases

At 31 December 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£

Land and Buildings


Not later than 1 year
303,942
343,998

Later than 1 year and not later than 5 years
344,753
648,695

648,695
992,693

2024
2023

£
£

Other


Not later than 1 year
66,005
61,588

Later than 1 year and not later than 5 years
56,052
99,170

122,057
160,758

Page 28

 
Ecotrade Europe Ltd
 
 
 
Notes to the Financial Statements
For the year ended 31 December 2024

25.


Related party transactions

The director has chosen not to disclose transactions entered into with other companies wholly owned within the group, as permitted by FRS 102 paragraph 33.1A.
The Company paid rent totalling £95,000 (
2023: £95,000) to a company controlled by the director.
Key management personnel compensation totalled £365,202 (
2023: £307,678).


26.


Controlling party

The Company's immediate parent company is Cleopatra UK Bidco Limited, a company incorporated in England and Wales, registered number 12361523. Cleopatra UK Bidco Limited's registered office is Unit 12 Oak Green Stanley Green Business Park, Cheadle Hulme, Cheadle, Cheshire, England, SK8 6QL. 
The company's ultimate parent is L Catterton Funds, a company registered in the United States of America.

 
Page 29