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Registered number: 01714349
COLLETTS TRAVEL LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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COLLETTS TRAVEL LIMITED
CONTENTS
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Directors' Responsibilities Statement
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Independent Auditors' Report
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Statement of Comprehensive Income
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Statement of Changes in Equity
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Notes to the Financial Statements
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COLLETTS TRAVEL LIMITED
COMPANY INFORMATION
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Statutory Auditor & Chartered Accountants
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COLLETTS TRAVEL LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their annual report for Colletts Travel Limited for the year ended 31 December 2024.
Business review
Throughout the year, the Company’s primary function remained as a luxury travel agency and bespoke tour operator. It continued to make significant strides in enhancing its offerings to the corporate travel market and providing customised travel experiences for clients seeking high-end services.
Our Mission:
To empower our network of travel advisors with industry-leading programs, products, and resources, enabling them to deliver remarkable experiences for our clients.
Our Vision:
To be widely acknowledged as the leading provider of exceptional, human-centred travel expertise to clients and consumers globally.
Our Values:
∙Clients First: We are dedicated to amplifying the capabilities of our travel advisors and agencies worldwide. Their achievements reflect our own, and they remain our foremost priority.
∙We, Not Me: Our success is grounded in collaboration, strong relationships, and collective effort. The strength of our advisors, clients, partners, and staff drives our momentum.
∙Human Always: Our business is rooted in human connection. Trust, integrity, experience, empathy, and meaningful relationships define our culture and business operations.
∙Act As Owners: Every team member is empowered to lead with accountability. We are encouraged to make decisions and consistently strive to do what is right.
∙Go The Extra Mile: We aim for excellence in all we do. Mediocrity hinders innovation. Just as our advisors exceed expectations for clients, we are committed to doing the same for them and one another.
∙Everyone Belongs: We champion a culture that values diversity, inclusivity, and mutual respect, welcoming varied perspectives and people from all backgrounds.
Colletts Travel continues to expand its footprint across the UK. Our proprietary luxury tour packages remain market-leading, attracting top independent travel advisors to join our network.
We anticipate ongoing growth throughout 2025, including our first ventures into international markets. A bold push into the EU is planned for the next 18 months, as we extend our successful independent advisor model across the region.
Key performance indicators
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The KPI's during the year were as follows:
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COLLETTS TRAVEL LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Key risks and mitigating factors
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Customer demand
Potential impact: Decreased profitability
Mitigation: We actively collect customer feedback to align our services with market trends. Regular pricing reviews and adjustments in marketing strategies help ensure competitiveness and responsiveness.
Competitive risks
Potential impact: Potential loss of market share to competitors
Mitigation: The directors remain closely attuned to industry developments and are prepared to take strategic actions as necessary.
Business closure due to any health emergency
Potential impact: Temporary shutdown with revenue loss
Mitigation: Cost control measures and contingency plans are in place to navigate unexpected challenges, along with support from our parent organisations.
Key supplier management
Potential impact: Loss of key supplier relationships
Mitigation: We maintain transparent communications and ensure timely payments, adhering to established protocols.
Operating costs may not be controlled
Potential impact: Reduced profitability
Mitigation: Deviations in costs are swiftly addressed with corrective measures to maintain financial discipline.
Business continuity and IT systems
Potential impact: Operational disruption due to system failure
Mitigation: We rely on robust IT systems and continuously invest in software and hardware upgrades. Regular data backups ensure minimal disruption.
Liquidity risk
Potential impact: Insufficient working capital
Mitigation: Directors closely monitor cash flow and working capital, ensuring adequate financial resources are in place.
Credit risk
Potential impact: Losses due to unpaid client invoices
Mitigation: Strict credit control policies are enforced. We encourage clients to pay via direct debit or card to limit exposure.
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COLLETTS TRAVEL LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Lack of sustainability improvements
Potential impact: Inability to meet environmental and social goals or influence supply chain practices
Mitigation: Sustainability is embedded in our strategic framework. We work toward measurable environmental and social progress internally and with partners.
Strategic review and future prospects
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While conflicts in Israel/Palestine and Russia/Ukraine continued through the year, overall demand for travel remained resilient. The Company continues to see a strong growth in customer confidence, translating into higher revenues across its operations.
The Directors express satisfaction with the Company’s overall performance during the year.
Funding, liquidity and going concern
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As of 31 December 2024, the Company recorded net assets of £2.950 million (2023: £2.451 million) and net current assets of £2.901 million (2023: £2.390 million)
The directors have evaluated the Company's ability to continue as a going concern. They are confident that the Company has adequate resources for ongoing operations and have thus prepared the accounts on a going concern basis.
Employee involvement and communication
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We continue to encourage active participation from employees, seeking their input on business matters through regular surveys. These insights are instrumental in driving improvements across the UK operations.
Internova’s dedication to employee development and well-being remains unwavering. We prioritize a positive, supportive workplace environment that enables personal and professional growth.
We advocate for transparency, mutual respect, and continuous learning. Opportunities for advancement and skill-building ensure that our team members feel empowered and appreciated.
Initiatives include mentorship, flexible work options, training programs, and wellness efforts—all aimed at helping employees realise their full potential. Their engagement and progress are vital to our shared success.
We promote two-way communication through forums, team gatherings, and quarterly townhalls, ensuring open and ongoing dialogue with our teams.
The Company remains committed to considering all qualified applicants, including those with disabilities. Where feasible, we continue employing individuals who become disabled and provide necessary training and development to support their career progression.
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COLLETTS TRAVEL LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
We uphold fair labour practices and comply with employment legislation across all areas of operation. We value a diverse, safe, and supportive workplace and support equal opportunities in employment and advancement.
Key Initiatives include:
∙Promoting equal opportunity in line with UK employment laws.
∙Supporting diversity through employee-led groups and webinars.
∙Recruiting through inclusive job platforms and enhancing leadership training.
∙Offering digital learning via LinkedIn Learning and other development resources.
∙Sharing DE&I strategies and updates via newsletters, townhalls, and internal platforms.
∙Providing competitive and equitable compensation and benefits.
∙Ensuring a safe and healthy workplace in compliance with applicable laws.
Supplier and customer relationships
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Customers are central to our operations, and we aim to deliver exceptional travel experiences. Our supplier partnerships are essential to that delivery. We collect customer feedback regularly and maintain strong communication channels with both clients and suppliers.
Community and environmental impact
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We continuously review our practices to minimise negative environmental effects. Our parent company, Internova Travel Group, partners with Sustainable Travel International, promoting responsible travel through programs like:
∙Climate Positive Program: Assists corporate clients with emissions measurement and offsetting.
∙Climate Action Program: Encourages leisure clients to donate 1% of trip costs toward sustainability efforts.
Internova also provides sustainability training for advisors and workshops for suppliers. These initiatives reflect the industry’s growing emphasis on responsible travel.
At our offices, we promote low-waste practices, energy efficiency, and sustainability certifications. We support recycling and energy-saving practices aligned with local policies, using ENERGY STAR-rated equipment.
Our core values promote integrity and openness. We adhere to the standards set by UK travel authorities, including:
∙The Civil Aviation Authority (CAA): Oversees air travel safety and ATOL protections.
∙ABTA: Supports consumer protection and sets standards for tour operators.
We conduct regular audits and risk assessments and engage legal advisors to ensure ongoing compliance.
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COLLETTS TRAVEL LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
This report was approved by the board and signed on its behalf.
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A Taiwo
Director
79 Brent Street
Hendon
London
NW4 2EA
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COLLETTS TRAVEL LIMITED
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.
The principal activity of the company during the year continued to be that of travel agents and tour operators.
The profit for the year, after taxation, amounted to £462,637 (2023 - £9,608).
The directors paid a dividend of £nil in the year to the parent company (2023: £Nil).
The directors who served during the year were:
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R Klug (appointed 1 December 2024
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G Rizzi (resigned 30 November 2024)
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The company did not make any disclosable political donations in the current period (2023: Nil).
Post balance sheet events
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No material events have occurred since the date of approval of these financial statements that would affect the financial statements of the Company.
Disclosure of information to auditors
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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.
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COLLETTS TRAVEL LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The auditors, Xeinadin Audit Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
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A Taiwo
Director
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COLLETTS TRAVEL LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
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 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.
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COLLETTS TRAVEL LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COLLETTS TRAVEL LIMITED
We have audited the financial statements of Colletts Travel Limited (the 'Company') for the year ended 31 December 2024, which comprise the Profit and Loss Account, the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and the related notes, 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 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.
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
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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.
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.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
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COLLETTS TRAVEL LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COLLETTS TRAVEL LIMITED (CONTINUED)
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 Report. 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. 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.
Opinion on other matters prescribed by the Companies Act 2006
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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
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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
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As explained more fully in the Directors' Responsibilities Statement set out on page 9, 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.
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COLLETTS TRAVEL LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COLLETTS TRAVEL LIMITED (CONTINUED)
Auditors' responsibilities for the audit of the financial statements
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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:
∙Enquiry of management and those charged with governance around actual and potential litigation and claims;
∙Reviewing minutes of meetings of meetings of those charged with governance;
∙Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias
∙Enquiry of management and those charged with governance to identify any instances of non-compliance with laws and regulations;
The potential effect of these laws and regulations on the financial statements varies considerably.
Firstly, the Company is subject to laws and regulations that directly affect the financial statements including financial reprting legislation (including related companies legislation), distributable profits legislation and taxation legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.
Secondly, the Company is subject to many other laws and regulations where the consequence of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance the imposition of fines or litigation or the loss of the Company’s license to operate. We identified the following areas as those most likely to have such an effect: health and safety, data protection laws, employment law and ABTA, ATOL and IATA compliance recognising the nature of the Company’s activities. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
identify during our audit.
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.
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COLLETTS TRAVEL LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COLLETTS TRAVEL LIMITED (CONTINUED)
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 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.
Yasin Khandwalla FCCA (Senior Statutory Auditor)
for and on behalf of
Xeinadin Audit Limited
Statutory Auditor
Chartered Accountants
8th Floor, Becket House
36 Old Jewry
London
EC2R 8DD
30 June 2025
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COLLETTS TRAVEL LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2024
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Profit for the financial year
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The notes on pages 19 to 30 form part of these financial statements.
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COLLETTS TRAVEL LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
Profit for the financial year
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Other comprehensive income
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Total comprehensive income for the year
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The notes on pages 19 to 30 form part of these financial statements.
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COLLETTS TRAVEL LIMITED
REGISTERED NUMBER: 01714349
BALANCE SHEET
AS AT 31 DECEMBER 2024
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Debtors: amounts falling due within one year
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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Creditors: amounts falling due after more than one year
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Provisions for liabilities
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The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
................................................
A Taiwo
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The notes on pages 19 to 30 form part of these financial statements.
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COLLETTS TRAVEL LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
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Comprehensive income for the year
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Other comprehensive income for the year
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Total comprehensive income for the year
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Total transactions with owners
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The notes on pages 19 to 30 form part of these financial statements.
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COLLETTS TRAVEL LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
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Comprehensive income for the year
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Other comprehensive income for the year
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Total comprehensive income for the year
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Total transactions with owners
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The notes on pages 19 to 30 form part of these financial statements.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Colletts Travel Limited is a private company limited by shares incorporated in England and Wales, United Kingdom. The address of the registered office is: 79 Brent Street, London, NW4 2EA. The nature of the company's operations and its principal activities are set out in the Directors Report.
2.Accounting policies
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Basis of preparation of financial statements
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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).
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Foreign currency translation
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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 and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.
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 except when deferred in other comprehensive income as qualifying cash flow hedges.
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Profit and Loss Account within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.
Turnover is recognised upon delivery of the services and hence upon transfer of risk. Fees are on a gross basis as the company have risks of providing the service. These fees are recognised once the company has performed their contractual obligation, which is considered to have been met at the date of departure.
Turnover represents amounts earned during the year from tour operating activities and other income in accordance with contractual arrangements, exclusive of Value Added Tax.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The company operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the company. Annual contributions payable to the company's pension scheme are charged to the Profit and Loss Account in the period to which they relate.
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Current and deferred taxation
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Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the period and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Balance Sheet date.
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more tax in the future, or a right to pay less tax in the future. Timing differences are temporary differences between the company's taxable profits and its results as stated in the financial statements.
Deferred tax is measured on an undiscounted basis at the tax rates that are anticipated to apply in the periods in which the timing differences are expected to reverse, based on tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
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:
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Short-term leasehold improvements
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Straight line over the life of the lease
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5 to 10 years straight line
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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.
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Advance receipts and payments
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All revenue relating to tours with departure dates after the year end are treated as advance receipts at the balance sheet date and are separately disclosed under accrual and deferred income.
Payments made to suppliers in respect of these tours are included in prepayments.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Rentals payable under operating leases are dealt with in the Profit and Loss Account as incurred over the period of the rental agreement.
Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.
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Cash and cash equivalents
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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.
Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.
A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.
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Provisions for liabilities
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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.
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” 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.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
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Financial instruments (continued)
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Basic financial assets
Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
Basic 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 the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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Judgements in applying accounting policies and key sources of estimation uncertainty
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The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the Balance Sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. Details of the key areas of judgement and estimation are as follows:
Judgements
In preparing these financial statements, the directors have had to make the following judgments:
∙Determine whether there are indicators of impairment of the Company's tangible and intangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset.
Key sources of estimation uncertainty
∙Provision for impairment of the carrying value of amounts due from group undertakings is made based on management's estimate of the prospect of recovering the amounts due, which includes considering the solvency of the counterparty and its future outlook, based on budgets and forecasts prepared by management.
The whole of the turnover is attributable to its market in the United Kingdom and is derived from the principal activity as tour operators.
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The operating profit is stated after charging:
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Depreciation of tangible fixed assets
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Other operating lease rentals
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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During the year, the Company obtained the following services from the Company's auditors:
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Fees payable to the Company's auditors for the audit of the Company's financial statements.
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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.
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Staff costs were as follows:
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Cost of defined contribution scheme
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The average monthly number of employees, during the year was as follows:
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The figures above include staff numbers and recharges from its immediate parent company.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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Fixed assets and short term timing differences
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Losses and other deductions
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Factors affecting tax charge for the year
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The tax assessed for the year is higher than (2023 - higher than) the standard rate of corporation tax in the UK of 25% (2023 - 23.52%). The differences are explained below:
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Profit on ordinary activities before tax
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Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.52%)
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Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
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Short-term timing difference leading to an increase (decrease) in taxation
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Other differences leading to an increase (decrease) in the tax charge
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Total tax charge for the year
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Factors that may affect future tax charges
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There were no factors that may affect future tax charges.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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Short-term leasehold improvements
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Charge for the year on owned assets
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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Amounts owed by group undertakings
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Prepayments and accrued income
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Included in prepayments are advance supplier payments for future departures amounting to £348,338 (2023: £386,990).
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Cash and cash equivalents
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Creditors: Amounts falling due within one year
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Amounts owed to group undertakings
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Accruals and deferred income
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Amounts owed to group companies are repayable on demand and have no interest charged on the balance. Included in accruals and deferred income are advance receipts from customers for future departures amounting to £1,136,314 (2023: £1,077,564).
At the year end the liability due to the International Air Transport Association (IATA) was £510,044 (2023: £716,490)
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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Creditors: Amounts falling due after more than one year
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Other creditors are made up of advance receipts from customers in relation to future departures in 2025 of £31,315 (2023: £18,719)
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Credited/(charged) to profit or loss
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The deferred taxation balance is made up as follows:
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Fixed assets and short term timing differences
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Losses and other deductions
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Allotted, called up and fully paid
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100,000 (2023 - 100,000) Ordinary shares of £1.00 each
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The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Share premium account
The amount carried forward is the premium that arose from the issue of shares in 2001.
Profit and loss account
At the year end distributable reserves amounted to £2,962,018 (2023: £2,326,034).
The Company currently holds an Air Travel Organiser's Licence ('ATOL') issued by the Civil Aviation Authority ('CAA'). In order to offer air inclusive package holidays, the company requires the annual renewal by the CAA of its ATOL licence. The CAA grants this licence on the basis of meeting agreed financial criteria and renews this in September (effective 1 October) each year.The directors see no reason why the ATOL licence will not be renewed in September 2025 on substantially the same terms and conditions as currently agreed with the CAA. As at the year end, a joint bond in place with Travel and General Insurance Services Limited in favour of the CAA of £3,818,000 (2023: £1,823,671).
During the year, the Company was a member of the Association of British Travel Agents ('ABTA'). As at 31 December 2024 the company had in place an insurance backed bond in favour of ABTA of £631,780 (2023: £259,987).
Colletts Travel Limited are also accredited agents of the International Air Transport Association ('IATA').
There are no other material contingent liabilities.
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 £22,052 (2023: £22,200). Contributions totalling £nil (2023:£nil) were payable to the fund at the balance sheet date and are held in creditors.
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Operating lease commitments
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At 31 December 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
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Later than 1 year and not later than 5 years
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COLLETTS TRAVEL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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Related party transactions
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The company has availed of the exemption under FRS 102 in relation to the disclosure of transactions with group companies.
The following balances were outstanding with group companies at the balance sheet date:
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Protravel International LLC
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Global Travel Collection UK, Ltd
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Internova Travel Group LLC
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Post balance sheet events
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The directors have concluded that no material events have occurred since the date of approval of these financial statements that would affect the financial statements of the Company.
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Parent and ultimate parent company
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The company regards Global Travel Collection UK, Ltd as its parent company.
The company's ultimate parent undertaking is Internova Travel Group, LLC. The address of Internova Travel Group, LLC is United States.
Internova Travel Group, LLC is regarded as both the controlling party and the ultimate controlling party.
The parent of the largest group in which the results are consolidated is Internova Travel Group, LLC.
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