REGISTERED NUMBER: 02987532 (England and Wales)

AGENCY 2000 LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTOR AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Company Information

1

Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

5

Statement of Income and Retained Earnings

9

Balance Sheet

10

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

15

DIRECTOR:

Daniel Mclaven

REGISTERED OFFICE:

Sovereign House

15 Towcester Road

Old Stratford

Milton Keynes

MK19 6AN

REGISTERED NUMBER:

02987532 (England and Wales)

SENIOR STATUTORY AUDITOR:

Shaun Balch

INDEPENDENT AUDITORS:

Thompson Balch Limited

Chartered Accountants and Statutory Auditors

Sovereign House

15 Towcester Road

Old Stratford

Milton Keynes

MK19 6AN

The director presents his strategic report for the year ended 31 December 2024.

As a temporary recruitment agency the company continues to provide temporary employees for large businesses in local areas to its branches.

FAIR REVIEW OF BUSINESS

During the year there has been a 13% increase in turnover, gross profit margin has deceased from 19% in 2023 to 15% in the current period, this is due to the change in sales mix with key customers.

PRINCIPAL RISKS AND UNCERTAINTIES

The company uses various financial instruments including cash at bank, trade debtors and loans to the company to finance is operations. The existence of these financial instruments exposes the company to a number of financial risks, as described below

Liquidity Risk

The company seeks to manage financial risk by ensuring sufficient liquidity is available to meet liabilities as they fall due. Short term flexibility is achieved by a high recoverability of debtors . The amounts presented in the balance sheet are net of allowances for doubtful debts.

Credit Risk

The company's principal financial assets are trade debtors and amounts due under contract. The impact associated with this debtor risk is mitigated through the company having a diverse client base across multiple industries and is managed by significant work on recovering all debtors.

Brexit

With Brexit being fully completed on 31st January 2021, the new rules in place are that in order for an EU citizen to be able to work in the UK, they need to have worked in the UK prior to 31st December 2020. This has the potential to lead to a labour supply shortage however it is felt that if there was to be any effect on the labour supply, it would have happened between July 2016 and December 2020. There is currently a surplus of workers on the firm's books however the situation will be closely monitored by the directors moving forward.

KEY FINANCIAL INDICATORS

The firm's revenue has increased in the year to £12,980,239 (2023 £11,482,811 ). The gross profit margin has reduced to 15% (2023 19%) reflecting a change in the sales mix/volume with some key customers. Net profit margin has decreased from 0.19% to -0.42%, during the period, the company had pension commitments which were beyond the normal level. These commitments are not required going forward, and net profit margins are projected to improve as a result.

ON BEHALF OF THE BOARD:

Daniel Mclaven - Director

24 April 2025

The director presents his report with the financial statements of the company for the year ended 31 December 2024.

DIVIDENDS

No interim dividend was paid during the year. The director recommends a final dividend of £15.07 per share.

The total distribution of dividends for the year ended 31 December 2024 will be £ 190,000 .

DIRECTORS

The directors who have held office during the period from 1 January 2024 to the date of this report are as follows:

Gary Matthews - resigned 25 October 2024

Ian Nicholas McLaven - resigned 25 October 2024

Daniel Mclaven - appointed 25 October 2024

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the director is required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Thompson Balch Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Daniel Mclaven - Director

24 April 2025

Opinion

We have audited the financial statements of Agency 2000 Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Income and Retained Earnings, Balance Sheet, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.

Other information

The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Director 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 Report of the Director.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, 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 director's remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditors' responsibilities for the audit of the financial statements

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

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

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional

scepticism throughout the audit. We also:

- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error,

design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and

appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from

fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions,

misrepresentations, or the override of internal control.

- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are

appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the

company's internal control.

- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and

related disclosures made by the directors.

- Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on

the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast

significant doubt on the company's ability to continue as a going concern. If we conclude that a material

uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the

financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on

the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause

the company to cease to continue as a going concern.

- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures,

and whether the financial statements represent the underlying transactions and events in a manner that achieves

fair presentation.

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 Report of the Auditors.

Use of our report

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

Shaun Balch (Senior Statutory Auditor)

for and on behalf of Thompson Balch Limited

Chartered Accountants and Statutory Auditors

Sovereign House

15 Towcester Road

Old Stratford

Milton Keynes

MK19 6AN

24 April 2025

TURNOVER

12,980,239

11,482,811

Cost of sales

(11,052,363

)

(9,252,646

)

GROSS PROFIT

1,927,876

2,230,165

Administrative expenses

(1,989,652

)

(2,217,408

)

(61,776

)

12,757

Other operating income

7,021

8,613

OPERATING (LOSS)/PROFIT

5

(54,755

)

21,370

Interest receivable and similar income

12

-

(LOSS)/PROFIT BEFORE TAXATION

(54,743

)

21,370

Tax on (loss)/profit

6

235

(10,546

)

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(54,508

)

10,824

Retained earnings at beginning of year

1,165,701

1,306,877

Dividends

7

(190,000

)

(152,000

)

RETAINED EARNINGS AT END OF YEAR

921,193

1,165,701

FIXED ASSETS

Intangible assets

8

10,400

10,400

Tangible assets

9

42,429

56,485

52,829

66,885

CURRENT ASSETS

Debtors

10

2,329,749

2,297,911

Cash at bank and in hand

22,039

827

2,351,788

2,298,738

CREDITORS

Amounts falling due within one year

11

1,453,794

1,160,112

NET CURRENT ASSETS

897,994

1,138,626

TOTAL ASSETS LESS CURRENT LIABILITIES

950,823

1,205,511

CREDITORS

Amounts falling due after more than one year

12

(17,022

)

(26,947

)

PROVISIONS FOR LIABILITIES

16

-

(255

)

NET ASSETS

933,801

1,178,309

CAPITAL AND RESERVES

Called up share capital

17

12,608

12,608

Retained earnings

921,193

1,165,701

SHAREHOLDERS' FUNDS

933,801

1,178,309

The financial statements were authorised for issue and approved by the director and authorised for issue on 24 April 2025 and were signed by:

Daniel Mclaven - Director

Cash flows from operating activities

Cash generated from operations

1

261,960

416,508

Tax paid

(11,722

)

(21,665

)

Net cash from operating activities

250,238

394,843

Cash flows from investing activities

Purchase of tangible fixed assets

-

(25,000

)

Sale of tangible fixed assets

-

4,716

Interest received

12

-

Net cash from investing activities

12

(20,284

)

Cash flows from financing activities

Loan repayments in year

-

(180,557

)

Capital repayments in year

(9,925

)

17,993

Amount withdrawn by directors

674

(3,511

)

Equity dividends paid

(190,000

)

(152,000

)

Net cash from financing activities

(199,251

)

(318,075

)

Increase in cash and cash equivalents

50,999

56,484

Cash and cash equivalents at beginning of year

2

(800,408

)

(856,892

)

Cash and cash equivalents at end of year

2

(749,409

)

(800,408

)

1.	RECONCILIATION OF (LOSS)/PROFIT FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS

2024

2023

£

£

(Loss)/profit for the financial year

(54,508

)

10,824

Depreciation charges

14,056

14,860

Profit on disposal of fixed assets

-

(2,805

)

Finance income

(12

)

-

Taxation

(235

)

10,546

(40,699

)

33,425

(Increase)/decrease in trade and other debtors

(31,838

)

424,877

Increase/(decrease) in trade and other creditors

334,497

(41,794

)

Cash generated from operations

261,960

416,508

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31/12/24

1/1/24

£

£

Cash and cash equivalents

22,039

827

Bank overdrafts

(771,448

)

(801,235

)

(749,409

)

(800,408

)

Year ended 31 December 2023

31/12/23

1/1/23

£

£

Cash and cash equivalents

827

142

Bank overdrafts

(801,235

)

(857,034

)

(800,408

)

(856,892

)

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1/1/24

Cash flow

At 31/12/24

£

£

£

Net cash

Cash at bank and in hand

827

21,212

22,039

Bank overdrafts

(801,235

)

29,787

(771,448

)

(800,408

)

50,999

(749,409

)

Debt

Finance leases

(36,872

)

9,925

(26,947

)

(36,872

)

9,925

(26,947

)

Total

(837,280

)

60,924

(776,356

)

1.	STATUTORY INFORMATION

Agency 2000 Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Critical accounting judgements and estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

The company recognises revenue when (a) the temporary workers have carried out work at a client's premises; (b) the timesheets have been authorised by the client; (c) it is probable that future economic benefits will be received.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2022, is being amortised evenly over its estimated useful life of fifteen years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Short leasehold

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on reducing balance

Tangible assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use, dismantling and restoration costs.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. Both directors of the company are currently receiving pension benefits.

3.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

11,767,990

10,155,397

Social security costs

428,604

273,457

Other pension costs

49,683

38,845

12,246,277

10,467,699

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

2024

2023

Management

4

8

Administration

9

9

Consulting

9

10

Temporary Workers

204

421

226

448

4.	DIRECTORS' EMOLUMENTS

2024

2023

£

£

Directors' remuneration

39,260

37,460

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

Money purchase schemes

-

2

5.	OPERATING (LOSS)/PROFIT

The operating loss (2023 - operating profit) is stated after charging/(crediting):

2024

2023

£

£

Depreciation - owned assets

3,768

5,029

Depreciation - assets on hire purchase contracts

10,288

9,031

Profit on disposal of fixed assets

-

(2,805

)

Goodwill amortisation

-

800

Auditors' remuneration

16,850

16,248

6.

TAXATION

Analysis of the tax (credit)/charge

The tax (credit)/charge on the loss for the year was as follows:

2024

2023

£

£

Current tax:

UK corporation tax

20

11,722

Deferred tax

(255

)

(1,176

)

Tax on (loss)/profit

(235

)

10,546

7.

DIVIDENDS

2024

2023

£

£

Ordinary shares of 1 each

Final dividend

190,000

152,000

8.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2024

and 31 December 2024

12,000

AMORTISATION

At 1 January 2024

and 31 December 2024

1,600

NET BOOK VALUE

At 31 December 2024

10,400

At 31 December 2023

10,400

9.	TANGIBLE FIXED ASSETS

Short

Motor

Computer

leasehold

vehicles

equipment

Totals

£

£

£

£

COST

At 1 January 2024

and 31 December 2024

15,025

76,515

141,298

232,838

DEPRECIATION

At 1 January 2024

13,146

35,145

128,062

176,353

Charge for year

469

10,288

3,299

14,056

At 31 December 2024

13,615

45,433

131,361

190,409

NET BOOK VALUE

At 31 December 2024

1,410

31,082

9,937

42,429

At 31 December 2023

1,879

41,370

13,236

56,485

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Motor

vehicles

£

COST

At 1 January 2024

and 31 December 2024

76,515

DEPRECIATION

At 1 January 2024

35,145

Charge for year

10,288

At 31 December 2024

45,433

NET BOOK VALUE

At 31 December 2024

31,082

At 31 December 2023

41,370

10.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade debtors

2,156,075

2,101,810

Other debtors

138,864

124,118

Prepayments and accrued income

34,810

71,983

2,329,749

2,297,911

11.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Bank loans and overdrafts (see note 13)

771,448

801,235

Hire purchase contracts (see note 14)

9,925

9,925

Corporation tax

20

11,722

Social security and other taxes

101,065

65,222

VAT

338,506

208,277

Wages control

343

28,053

Pension fund loan

15,327

12,135

Directors' loan accounts

4,995

4,321

Accruals and deferred income

212,165

19,222

1,453,794

1,160,112