1.
General Information
Bike It International Limited
is a private company, limited by shares, incorporated in England & Wales, registered number
04896719
. The registered office is Unit 9 Oriana Way, Nursling Industrial Estate, Southampton, Hampshire, SO16 0YU.
The presentation currency of the financial statements is the Pound Sterling (£).
Accounts are rounded to the nearest pound.
The accounts represent the company as an individual entity.
2.
Accounting Policies
2.1.
Basis of Preparation of Financial Statements
The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.
2.2.
Going Concern Disclosure
The financial statements have been prepared on the going concern basis as the directors have prepared detailed budgets for a period of at least 12 months from the date of signing the accounts which show that the company and the Group which Bike It International is part of is expected to be able to meet all its liabilities as they fall due. However, it is acknowledged that the global and UK outbreak of COVID-19 has had a profound impact on the global and UK economy and businesses.
At year end the Group in which the company is part of reported a profit after tax of £92,279 and net cash reserves of £803,682. After a few difficult years previously resulting in losses, the profit in 2024 shows an improvement in trading results.
The directors have produced a detailed going concern assessment for the group. The conclusion of the directors' assessment for the Group is that the business will be able to meet all its liabilities as they fall due. The group has managed to deal with the COVID-19 pandemic well, continuing to trade strongly.
Based on the trading results achieved post year end, the finance facilities in place and available to the Group and the management accounts to 31st March 2025 the directors conclude that the group will be able to trade for a period of at least 12 months from the approval of the financial statements and have therefore concluded that it is appropriate for the financial statements to be prepared on the going concern basis.
2.3.
Turnover
Turnover of continuing operations shown in the profit and loss account represents amounts receivable during the year in respect of bike parts sales and is recognised on a receivable basis, exclusive of Value Added Tax.
2.4.
Intangible Fixed Assets and Amortisation - Other Intangible
Other intangible assets are website development costs. It is amortised to profit and loss account over its estimated economic life of 5 years.
2.5.
Tangible Fixed Assets and Depreciation
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
| Plant & Machinery |
|
| Motor Vehicles |
|
| Fixtures & Fittings |
|
Impairment of fixed assets
An assessment is made at each reporting date of whether there are indications that a fixed asset may be impaired or that an impairment loss previously recognised has fully or partially reversed. If such indications exist, the Company estimates the recoverable amount of the asset or, for goodwill, the recoverable amount of the cash-generating unit to which the goodwill belongs.
Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of fair value less costs to sell and value-in-use, are recognised as impairment losses. Impairments of revalued assets are treated as a revaluation loss. All other impairment losses are recognised in profit or loss.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Reversals of impairment losses are recognised in profit or loss or, for revalued assets, as a revaluation gain. On reversal of an impairment loss, the depreciation or amortisation is adjusted to allocate the asset's revised carrying amount (less any residual value) over its remaining useful life.
Bike It International Limited
Notes to the Financial Statements (continued)
For The Year Ended 31 December 2024
2.6.
Leasing and Hire Purchase Contracts
Assets obtained under finance leases are capitalised as tangible fixed assets. Assets acquired under finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in the creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the profit and loss account as incurred.
2.7.
Stocks and Work in Progress
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. The cost of stock is determined on a first-in-first-out (FIFO) basis.
2.8.
Foreign Currencies
Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.
2.9.
Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current and deferred tax are recognised in profit or loss for the year, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case current and deferred tax are recognised in other comprehensive income or directly in equity respectively.
2.10.
Pensions
The company operates a defined pension contribution scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.
2.11.
Critical accouting estimates and assumptions
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.
Slow Moving Stock
The company holds a large amount of stock, some of which are classed as slow moving stock. Slow moving stock is identified as stock of which the company holds more than 78 weeks stock, by comparison to sales in the year under review. Provision is made against slow moving stock as a percentage of the total identified slow moving stock.
Bad Debt Provision
The directors carry out a review of balances at the year end that still remain unpaid post year end, and provide for bad debts where the recovery of overdue balances are considered unlikely.
3.
Average Number of Employees
Average number of employees, including directors, during the year was: 41 (2023: 41)
Bike It International Limited
Notes to the Financial Statements (continued)
For The Year Ended 31 December 2024
4.
Intangible Assets
| Other | |||
|---|---|---|---|
| £ | |||
| Cost | |||
| As at 1 January 2024 |
|
||
| As at 31 December 2024 |
|
||
| Amortisation | |||
| As at 1 January 2024 |
|
||
| Provided during the period |
|
||
| As at 31 December 2024 |
|
||
| Net Book Value | |||
| As at 31 December 2024 |
|
||
| As at 1 January 2024 |
|
||
5.
Tangible Assets
| Plant & Machinery | Motor Vehicles | Fixtures & Fittings | Total | |
|---|---|---|---|---|
| £ | £ | £ | £ | |
| Cost | ||||
| As at 1 January 2024 |
|
|
|
|
| Additions |
|
|
|
|
| Disposals |
|
( |
|
( |
| As at 31 December 2024 |
|
|
|
|
| Depreciation | ||||
| As at 1 January 2024 |
|
|
|
|
| Provided during the period |
|
|
|
|
| Disposals |
|
( |
|
( |
| As at 31 December 2024 |
|
|
|
|
| Net Book Value | ||||
| As at 31 December 2024 |
|
|
|
|
| As at 1 January 2024 |
|
|
|
|
6.
Stocks
| 2024 | 2023 | ||
|---|---|---|---|
| £ | £ | ||
| Stock |
|
|
|
Bike It International Limited
Notes to the Financial Statements (continued)
For The Year Ended 31 December 2024
7.
Debtors
| 2024 | 2023 | ||
|---|---|---|---|
| £ | £ | ||
| Due within one year | |||
| Trade debtors |
|
|
|
| Amounts owed by group undertakings | - | 519,587 | |
| Other debtors | 426,538 | 337,697 | |
|
|
|
||
8.
Creditors: Amounts Falling Due Within One Year
| 2024 | 2023 | ||
|---|---|---|---|
| £ | £ | ||
| Trade creditors |
|
|
|
| Amounts owed to group undertakings |
|
|
|
| Other creditors | 145,694 | 230,592 | |
| Taxation and social security |
|
|
|
|
|
|
||
At the year end date there is a balance of £6,511 (2023 - £4,089) due to HM Revenue & Customs included in trade creditors. The HM Revenue & Customs liability balance for duty at any time is secured on a bond of £20,000.
9.
Secured Creditors
The bank overdraft is secured against the company's deposit accounts. There is also a Cross Guarantee and Debenture between Bike It International Holdings Ltd and Bike It International Ltd dated 14th November 2012, in favour of Barclays Bank PLC.
11.
Deferred Taxation
The provision for deferred tax asset is made up as follows:
|
2024
|
||
|
£
|
||
|
Balance at 1 January 2024
|
144,534
|
|
|
Accelerated capital allowances
|
(37,222)
|
|
|
Loss c/fwd increase
|
11,831
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|
|
|
Balance at 31 December 2024
|
119,143
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|
12.
Share Capital
| 2024 | 2023 | ||
|---|---|---|---|
| £ | £ | ||
| Allotted, Called up and fully paid |
|
|
|
The share capital allocated, issued and fully at a nominal value of £1 per share is as follows:
|
2024
|
|
|
£
|
|
|
Ordinary shares
|
100,000
|
|
Ordinary 'A' shares
|
5,882
|
|
Ordinary 'B' shares
|
5,882
|
|
Ordinary 'C' shares
|
2,941
|
|
Ordinary 'D' shares
|
2,941
|
...CONTINUED
Bike It International Limited
Notes to the Financial Statements (continued)
For The Year Ended 31 December 2024
|
Ordinary 'E' shares
|
5,882
|
|
Ordinary 'F' shares
|
2,941
|
|
Ordinary 'H' shares
|
2,941
|
|
Ordinary 'I' Shares
|
2,941
|
|
132,351
|
The following shares were issued during the year for cash at par:
2,941 'I' shares of £1
13.
Other Commitments
The total of future minimum lease payments under non-cancellable operating leases are as following:
| 2024 | 2023 | ||
|---|---|---|---|
| £ | £ | ||
| Not later than one year |
|
|
|
| Later than one year and not later than five years |
|
|
|
|
|
|
||
14.
Reserves
Retained reserves
Profit and loss account - includes all current and prior period retained profits and losses.
15.
FRC's Ethical Standard - Provision Available for Small Entities
In common with other businesses of our size and nature we use our auditors to prepare and submit returns to the tax authorities and assist with the preparation of the financial statements.
16.
Ultimate Parent Undertaking and Controlling Party
Ultimate parent company
Bike It International Holdings Limited is the Ultimate Parent Company.
Ultimate controlling party
The company is controlled by M J Mansbridge by virtue of his majority shareholding in Bike IT International Holdings Limited.
17.
Audit Information
The auditor's report on the accounts of
Bike It International Limited
for the year ended 31 December 2024 was unqualified.
The auditor's report was signed by
K S Wood FCA FCCA
(Senior Statutory Auditor)
for and on behalf of
JWR Audit Limited
, Statutory Auditor.