REGISTERED NUMBER: SC354098

IT IS ON LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Strategic Report

1

Report of the Directors

3

Report of the Independent Auditors

5

Statement of Other Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Cash Flow Statement

11

Notes to the Cash Flow Statement

12

Notes to the Financial Statements

13

The directors present their strategic report for the year ended 31 December 2024.

REVIEW OF BUSINESS 2024

Financials:

Turnover rose 12% from £21.3M in 2023 to £23.9M in 2024

Pre-tax profit increased 105% from £0.73M in 2023 to £1.5M in 2024

Against the backdrop of a sluggish wider economy, 2024 was a successful year hitting all our preset goals of growth; a renewed focus on profitability and continuing investment across our services resulting in an 105% year on year increase in pre-tax profit.

Our core online deals division performed strongly throughout the year and was significantly bolstered by the launch of our new premium gifting service allowing our members to gift beautifully packaged vouchers via first class post or select from a range of online delivery options. This resulted in a 24% increase in Christmas gifting.

Our event division had another successful year of driving strong numbers and highly rated event experiences through our major events whilst creating significant positive impact in the community through our charitable initiatives. Our ambition to launch further long term highly ambitious major events is still on hold as we wait for the wider economy to stabilise.

Highlights of 2024:

Product roadmap - our product roadmap proved highly successful with monthly upgrades to our web and mobile apps alongside the launch of our new gifting service with over 10,000 postal vouchers delivered in December alone.

Most trusted UK service - 2024 saw our Trustpilot rating go to an excellent 4.7 stars from over 21,000 reviews putting itison as the top rated voucher service against our competitive sect demonstrating the quality of our offering and operational teams.

Launch of itison HUB - we invested heavily to create a stunning new addition to our head office with the launch of itison HUB on our first floor. A space for creativity, learning, hosting and staying healthy. A flexible space primarily for our teams to work and collaborate in complete with gym and running track. The HUB doubles as an event space with us hosting multiple events to support the creative and business communities as well as our host businesses.

Itison us and Social Bite - we continued to do good in our local communities by donating alongside our hosts, thousands of experiences to local charities and again funded Social Bite's programme of meals for homeless people throughout the year through our annual Christmas campaign.

Future Developments

2025 started strong, however at the time of writing there are significant extraneous events, some well known, such as the increase in national insurance, and others unexpected, such as the 'liberation day' tariffs, that have had a detrimental impact on consumer and business confidence. 2025 is a challenging year, but one that we are well prepared to tackle and continue to grow.

PRINCIPAL RISKS AND UNCERTAINTIES

General

-

Our ability to grow is determined by our ability to acquire and retain members alongside servicing the needs of the businesses we promote

-

We operate in a highly competitive market and often compete against far larger companies with greater resources. Our ability to compete is predicated on our ability to innovate and continue to develop market leading services that constantly deliver results to our hosts.

FINANCIAL INSTRUMENTS

-

The company has adopted the disclosure and presentational requirements of FRS 102. When a financial asset or liability is disclosed initially it is measured at its fair value plus or minus transaction costs. The company regularly monitors its exposure to risks including pricing, credit, liquidity and cash flow.

-

The company is satisfied with the level of cash flow being maintained after taking into consideration the timing aspect of debtor recoverability and the payment of trade creditors and business expenses.

-

The company's deposits are all in place with major UK financial institutions which are regulated by the Financial Conduct Authority.

ON BEHALF OF THE BOARD:

O J Norman - Director

24 September 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of promotion and sale of discount vouchers and organisation of outdoor events.

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2024.

RESEARCH AND DEVELOPMENT

The company undertook research and development in the year in relation to its IT software and applications.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

O J Norman

J MacSporran

J McLean

DISCLOSURE IN THE STRATEGIC REPORT

The company has chosen in accordance with Section 414C(11) Companies Act 2006 to set out in the company's Strategic Report information required by Schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 to be contained in the Directors' Report. It has done so in respect of financial instruments and future developments.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable laws 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and applicable law). 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 the affairs of the company and of the profit and loss of the company for that period. In preparing these financial statements, the directors are required to:

-

select suitable accounting policies and then apply them consistently;

-

make judgements and accounting estimates that are reasonable and prudent;

-

state whether applicable 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 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are 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 each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

O J Norman - Director

24 September 2025

Opinion

We have audited the financial statements of It Is On Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, 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 profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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

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

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, 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 Directors 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 Directors 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 Directors.

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 directors' remuneration specified by law are not made; or

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

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue 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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our knowledge and experience of the sector;

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection, anti-bribery, employment, environmental and health and safety legislation;

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

Auditors' responsibilities for the audit of the financial statements continued...

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected relationships;

- tested journal entries to identify unusual transactions;

- assessed whether judgements and assumptions made in determining the key accounting estimates set out in note 2 were indicative of potential bias; and

- investigated the rationale behind significant or unusual transactions.

To address risks associated with income recognition we:

- performed analytical procedures to identify unusual relationships;

- vouched sample of customer sales to the sales nominal in the accounts;

- performed cut off testing on sales around the year end.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing correspondence with HMRC and the company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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.

Colette Callaghan FCCA (Senior Statutory Auditor)

for and on behalf of Armstrong Watson Audit Limited

Chartered Accountants & Statutory Auditors

Caledonia House

89 Seaward Street

Glasgow

G41 1HJ

24 September 2025

TURNOVER

23,903,775

21,366,193

Cost of sales

22,031,638

19,890,373

GROSS PROFIT

1,872,137

1,475,820

Administrative expenses

962,329

993,453

909,808

482,367

Other operating income

3

160,007

27,519

OPERATING PROFIT

5

1,069,815

509,886

Interest receivable and similar income

422,491

216,470

PROFIT BEFORE TAXATION

1,492,306

726,356

Tax on profit

6

402,855

319,602

PROFIT FOR THE FINANCIAL YEAR

1,089,451

406,754

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,089,451

406,754

FIXED ASSETS

Intangible assets

7

-

-

Tangible assets

8

807,858

506,012

807,858

506,012

CURRENT ASSETS

Debtors

9

6,899,681

7,454,469

Cash at bank and in hand

14,012,048

11,657,807

20,911,729

19,112,276

CREDITORS

Amounts falling due within one year

10

10,361,547

9,410,852

NET CURRENT ASSETS

10,550,182

9,701,424

TOTAL ASSETS LESS CURRENT LIABILITIES

11,358,040

10,207,436

PROVISIONS FOR LIABILITIES

12

180,021

118,868

NET ASSETS

11,178,019

10,088,568

CAPITAL AND RESERVES

Called up share capital

13

107

107

Retained earnings

14

11,177,912

10,088,461

SHAREHOLDERS' FUNDS

11,178,019

10,088,568

The financial statements were approved by the Board of Directors and authorised for issue on 24 September 2025 and were signed on its behalf by:

O J Norman - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

107

9,681,707

9,681,814

Changes in equity

Total comprehensive income

-

406,754

406,754

Balance at 31 December 2023

107

10,088,461

10,088,568

Changes in equity

Total comprehensive income

-

1,089,451

1,089,451

Balance at 31 December 2024

107

11,177,912

11,178,019

Cash flows from operating activities

Cash generated from operations

1

2,095,669

1,113,601

Tax paid

(201,894

)

-

Net cash from operating activities

1,893,775

1,113,601

Cash flows from investing activities

Purchase of tangible fixed assets

(534,933

)

(53,120

)

Sale of tangible fixed assets

-

12,500

Amounts due from associated companies

573,496

(462,973

)

Interest received

422,491

216,470

Net cash from investing activities

461,054

(287,123

)

Cash flows from financing activities

Amount introduced by directors

-

2,577

Amount withdrawn by directors

(588

)

-

Net cash from financing activities

(588

)

2,577

Increase in cash and cash equivalents

2,354,241

829,055

Cash and cash equivalents at beginning of year

2

11,657,807

10,828,752

Cash and cash equivalents at end of year

2

14,012,048

11,657,807

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024

2023

£

£

Profit before taxation

1,492,306

726,356

Depreciation charges

233,088

298,475

Finance income

(422,491

)

(216,470

)

1,302,903

808,361

Increase in trade and other debtors

(18,121

)

(71,369

)

Increase in trade and other creditors

810,887

376,609

Cash generated from operations

2,095,669

1,113,601

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

14,012,048

11,657,807

Year ended 31 December 2023

31.12.23

1.1.23

£

£

Cash and cash equivalents

11,657,807

10,828,752

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.24

Cash flow

At 31.12.24

£

£

£

Net cash

Cash at bank and in hand

11,657,807

2,354,241

14,012,048

11,657,807

2,354,241

14,012,048

Total

11,657,807

2,354,241

14,012,048

1.	STATUTORY INFORMATION

It Is On Limited is a private company, limited by shares, incorporated in Scotland. The registered office is Cochrane House, 29 Cochrane Street, Glasgow, Scotland, G1 1HL.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The 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. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. There were no material departures from this standard.

The financial statements are presented in Sterling (£).

Information and key sources of estimation uncertainty

In the application of the company's accounting policies the directors are required to make estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis.

The directors consider the key sources of estimation uncertainty to be as follows:-

- Tangible fixed assets are depreciated over their estimated useful lives. The actual lives of the assets are assessed at the end of each reporting period and may vary depending on a number of factors. In re-assessing asset lives, factors such as level of usage and maintenance are taken into account. The directors assessed that no changes were required to the estimated useful lives of the tangible fixed assets and therefore determined that the stated depreciation policies applied in prior years remain appropriate.

- To determine whether there are any indicators of impairment of the company's tangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset concerned.

Critical accounting judgments

The company considers on an annual basis the judgements that are made by management when applying its significant accounting policies that would have the most significant effect on amounts that are recognised in the financial statements.The following disclosure is limited to the judgements management makes when applying its significant accounting policies and that have the most significant effect on amounts that are recognised in the accounts:

Revenue recognition as principle: management have determined when its performance obligation is to provide the goods and services itself, it is acting as principal and the full value of vouchers sold net of VAT and discounts are recognised in turnover. When acting as agent for the host (third party) and the risks associated with providing the third party service remain with the host only the commission is recognised in turnover.

Turnover

Turnover represents the sale of vouchers and commission excluding value added tax and net of discounts. The company's policy is to recognise turnover when the voucher is purchased by its members through the online platform and the voucher is issued.

The full value of the voucher is recognised in turnover when the company acts as principle; commission only is recognised when the company acts as an agent. Commission is determined in accordance with the company's contract with the host.

Intangible fixed assets

Development expenditure in connection with the design, construction and testing of the mobile app is capitalised as an intangible fixed asset. The mobile app expenditure is stated at cost less accumulated amortisation and any accumulated impairment losses and amortised over its estimated useful life of three years.

Tangible fixed assets

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

Leasehold improvements

-

written off over the term of the lease

Plant and machinery

-

25% on reducing balance, Straight line over 4 years and Straight line over 10 years

Event equipment

-

33.3% on cost

Computer equipment

-

33.3% on cost

Tangible fixed assets are included at cost less accumulated depreciation and impairment losses.

The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively.

Impairment of non-financial assets

At each reporting date non-financial assets not carried at fair value, like plant, property and equipment, are reviewed to determine whether there is an indication that an asset may be impaired. If there is an indication of possible impairment, the recoverable amount which is the higher of value in use and the fair value less cost to sell, is estimated and compared with the carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to its recoverable amount and an impairment loss is recognised immediately in profit and loss.

Taxation

Taxation represents the sum of tax currently payable and deferred tax. 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.

The charge for taxation takes into account taxation deferred as a result of timing differences between the treatment of certain items for taxation and accounting purposes. In general, deferred taxation is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. However, deferred tax assets are recognised only to the extent that the directors consider that it is more likely than not that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred taxation is measured on a non-discounted basis at the average tax rates that would apply when the timing differences are expected to reverse, based on tax rates and laws that have been enacted by the balance sheet date.

With the exception of changes arising on the initial recognition of a business combination, the tax expense is presented either in profit or loss, other comprehensive income or statement of changes in equity depending on the transaction that resulted in the tax expense.

Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors.

Research and development

Expenditure on research activities is recognised as an expense in the period in which it is incurred. In the event that an internally generated intangible asset arises from the company's development activities then it will be recognised only if all of the following conditions are met:

- an asset is created that can be identified;

- the project from which the asset arises meets the company's criteria for assessing technical feasibility;

- it is probable that the asset created will generate future economic benefits; and

- the development cost of the asset can be measured reliably.

Provisions

Provisions are recognised when the company has a legal or constructive obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle the obligation and the amount of the obligation can be reliably estimated. Provisions are recognised at the best estimate of the amount required to settle the obligation at the reporting date.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme on behalf of the employees. Contributions payable to the company's pension scheme are charged to the profit and loss account in the period to which they relate. The assets of the scheme are held separately from those of the company in administered funds.

Operating leases

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

Employee benefits

The cost of short term employee benefits are recognised as a liability and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

Government grants

Government grants of a capital nature are taken to a separate deferred income account and released to the profit and loss account in accordance with the company's depreciation policy over the useful economic life of the asset concerned. Grants of a revenue nature are taken to the profit and loss account in the period in which the expenditure is incurred. Grants that become receivable as compensation for expense or losses already incurred or for the purpose of giving immediate financial support with no future related costs are recognised in income in the period in which it becomes receivable.

Financial instruments

The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable and loans to and from related parties.

Debt instruments like loans and other accounts receivable and payable are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and trade creditors, are measured, initially and subsequently, at the undiscounted amount of cash or other consideration expected to be paid or received.

Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for evidence of impairment and if found, an impairment loss is recognised in profit or loss.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown within borrowings in current liabilities.

3.	OTHER OPERATING INCOME

Other operating income includes income from government grants totalling £53,429 (2023: £27,519), rent totalling £106,578 (2023: £nil) and interest totalling £422,491 (2023: £216,470)

4.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

2,545,413

2,398,276

Other pension costs

136,063

77,648

2,681,476

2,475,924

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

2024

2023

Production staff

54

54

Administration staff

2

3

56

57

The key management personnel of the company comprises the directors and the financial controller. During the year, the total remuneration for key management personnel in the year was £313,014 (2023: £330,965).

2024

2023

£

£

Directors' remuneration

198,677

217,095

Directors' pension contributions to money purchase schemes

40,076

6,913

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

Money purchase schemes

2

2

5.	OPERATING PROFIT

The operating profit is stated after charging:

2024

2023

£

£

Hire of plant and machinery

3,226

779

Depreciation - owned assets

233,088

298,475

Auditors' remuneration

21,146

18,376

Auditors' remuneration for non audit work

5,000

5,000

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2024

2023

£

£

Current tax:

UK corporation tax

341,702

200,734

Deferred tax

61,153

118,868

Tax on profit

402,855

319,602

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2024

2023

£

£

Profit before tax

1,492,306

726,356

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 25%)

373,077

181,589

Effects of:

Expenses not deductible for tax purposes

-

2,342

Income not taxable for tax purposes

18,081

-

Capital allowances in excess of depreciation

(49,456

)

-

Depreciation in excess of capital allowances

-

59,736

Utilisation of tax losses

-

(30,344

)

Deferred tax movement

61,153

118,868

Provision adjustment

-

(12,589

)

Total tax charge

402,855

319,602

UK corporation tax was charged at 25% in 2024.

7.	INTANGIBLE FIXED ASSETS

Computer

development

£

COST

At 1 January 2024

and 31 December 2024

187,738

AMORTISATION

At 1 January 2024

and 31 December 2024

187,738

NET BOOK VALUE

At 31 December 2024

-

At 31 December 2023

-

8.	TANGIBLE FIXED ASSETS

Leasehold

Plant and

Event

Computer

improvements

machinery

equipment

equipment

Totals

£

£

£

£

£

COST

At 1 January 2024

403,789

570,940

253,733

121,364

1,349,826

Additions

109,518

343,748

69,154

12,514

534,934

Disposals

-

-

(169,757

)

(107,689

)

(277,446

)

At 31 December 2024

513,307

914,688

153,130

26,189

1,607,314

DEPRECIATION

At 1 January 2024

237,611

412,284

121,731

72,188

843,814

Charge for year

41,729

54,462

92,785

44,112

233,088

Eliminated on disposal

-

-

(169,757

)

(107,689

)

(277,446

)

At 31 December 2024

279,340

466,746

44,759

8,611

799,456

NET BOOK VALUE

At 31 December 2024

233,967

447,942

108,371

17,578

807,858

At 31 December 2023

166,178

158,656

132,002

49,176

506,012

9.

DEBTORS

2024

2023

£

£

Amounts falling due within one year:

Trade debtors

41,374

20,357

Other debtors

200,000

200,000

Due by related undertaking

4,327,222

4,597,271

Director's current account

588

-

Prepayments and accrued income

57,608

60,506

4,626,792

4,878,134

Amounts falling due after more than one year:

Due by related undertaking

2,272,889

2,576,335

Aggregate amounts

6,899,681

7,454,469

Although the balance due in less than one year is technically repayable on demand, the company has confirmed to the related undertaking that it does not intend to seek repayment of the portion of the balance, being £4,327,222 on which there is no formal agreement in place for at least a period of twelve months from the date of approval of these financial statements.