REGISTERED NUMBER: 07010314 (England and Wales)

Unaudited Financial Statements

for the Year Ended 31 December 2024

for

VELOBRANDS LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

W G Miles

M R Sanders

REGISTERED OFFICE:

1a Parliament Square

Parliament Street

Crediton

Devon

EX17 2AW

REGISTERED NUMBER:

07010314 (England and Wales)

ACCOUNTANTS:

Gravita Western Limited

Keble House

Southernhay Gardens

Exeter

Devon

EX1 1NT

FIXED ASSETS

Intangible assets

4

-

20,000

Tangible assets

5

32,042

35,001

32,042

55,001

CURRENT ASSETS

Stocks

930,771

1,337,496

Debtors

6

709,038

704,821

Cash at bank and in hand

290,915

261,195

1,930,724

2,303,512

CREDITORS

Amounts falling due within one year

7

(488,395

)

(917,009

)

NET CURRENT ASSETS

1,442,329

1,386,503

TOTAL ASSETS LESS CURRENT LIABILITIES

1,474,371

1,441,504

CREDITORS

Amounts falling due after more than one year

8

(6,288

)

(36,973

)

PROVISIONS FOR LIABILITIES

(8,086

)

(8,342

)

NET ASSETS

1,459,997

1,396,189

CAPITAL AND RESERVES

Called up share capital

300

300

Retained earnings

1,459,697

1,395,889

1,459,997

1,396,189

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2024 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 20 September 2025 and were signed on its behalf by:

W G Miles - Director

1.	COMPANY INFORMATION

Velobrands 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 presentation currency of the financial statements is the Pound Sterling (£).

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" ("FRS 102") and the requirements of the Companies Act 2006.

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

The financial statements have been prepared on the historical cost convention. The principal accounting policies adopted are set out below.

Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover

Turnover represents amounts chargeable in respect of the sale of goods falling within the company's ordinary activities.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2014, is being amortised evenly over its estimated useful life of 10 years.

The directors review the value of goodwill on a regular basis and where there is an impairment in the net book value, this is adjusted for in the financial statements.

Branding

Branding costs are capitalised and amortisation is calculated to write off the cost in equal instalments over their estimated useful life of 5 years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

20% on reducing balance

Motor vehicles

-

20% on reducing balance

Computer equipment

-

33% on cost

Stocks

Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs.

Cash and cash equivalents

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and loss account, 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

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

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 12 (2023 - 11 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

Branding

Totals

£

£

£

COST

At 1 January 2024

and 31 December 2024

1,200,000

4,754

1,204,754

AMORTISATION

At 1 January 2024

1,180,000

4,754

1,184,754

Amortisation for year

20,000

-

20,000

At 31 December 2024

1,200,000

4,754

1,204,754

NET BOOK VALUE

At 31 December 2024

-

-

-

At 31 December 2023

20,000

-

20,000

5.	TANGIBLE FIXED ASSETS

Fixtures

and

Motor

Computer

fittings

vehicles

equipment

Totals

£

£

£

£

COST

At 1 January 2024

83,685

12,802

33,659

130,146

Additions

5,659

-

-

5,659

At 31 December 2024

89,344

12,802

33,659

135,805

DEPRECIATION

At 1 January 2024

58,499

6,643

30,003

95,145

Charge for year

6,169

1,232

1,217

8,618

At 31 December 2024

64,668

7,875

31,220

103,763

NET BOOK VALUE

At 31 December 2024

24,676

4,927

2,439

32,042

At 31 December 2023

25,186

6,159

3,656

35,001

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade debtors

215,291

183,477

Amounts owed by associates

186,835

212,452

Other debtors

300,000

300,000

Prepayments

6,912

8,892

709,038

704,821

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Bank loans and overdrafts

30,697

31,031

Trade creditors

103,129

212,271

Social security and other taxes

9,165

7,715

VAT

31,824

30,006

Other creditors

5,614

2,982

Commercial credit card

3,767

2,577

Directors' loan accounts

260,512

589,254

Accrued expenses

43,687

41,173

488,395

917,009

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2024

2023

£

£

Bank loans - 1-2 years

6,288

30,870

Bank loans - 2-5 years

-

6,103

6,288

36,973

9.	SECURED DEBTS

The following secured debts are included within creditors:

2024

2023

£

£

Bank loans

36,985

68,004

There is a fixed and floating charge with both RBS Invoice Finance Limited and National Westminster Bank plc dated 12 May 2015 and 22 September 2015 respectively over all the property and undertakings of the company.

10.	RELATED PARTY DISCLOSURES

A limited company in which MR Sanders and WG Miles are directors had transactions with the company during the year. Included within debtors is a loan due from the related party amounting to £186,835 (2023: £212,452), which is interest free and repayable on demand.

A partnership in which MR Sanders is a partner had transactions with the company during the year. There were no outstanding amounts due at the balance sheet date.

These transactions are all carried on at Arm's Length.

A limited company in which WG Miles is a director had transactions with the company during the year. Included within other debtors is a loan due from the related party amounting to £300,000 (2023: £300,000), which is interest free and repayable on demand.