REGISTERED NUMBER: 01902921 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 December 2024

for

SYSTEM 6 KITCHENS LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Statement of Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Cash Flow Statement

13

Notes to the Cash Flow Statement

14

Notes to the Financial Statements

16

DIRECTORS:

T Dalton

N K P Jones

I Foster

REGISTERED OFFICE:

4 Christow Road

Marsh Barton

Exeter

EX2 8QP

REGISTERED NUMBER:

01902921 (England and Wales)

AUDITORS:

Gravita Audit Western Limited

Chartered Accountants and Statutory Auditors

Keble House

Southernhay Gardens

Exeter

Devon

EX1 1NT

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

REVIEW OF BUSINESS

The directors set out to maintain turnover of £13.5m at a similar level to the previous year, forecasting difficult trading conditions and pressures from previous inflationary increases as having a calming effect on the market. The business continued to drive an increase in profit margin by concentrating on the more profitable sales avenues within the business and consolidation of spending. They will continue to monitor these areas and grow sales through these more profitable sales channels.

The key financial highlights are as follows:

2024

2023

2022

2021

2020

Turnover

13,442,645

13,664,037

12,735,567

10,456,588

12,519,439

Turnover growth

(1.62%

)

7.29%

21.79%

(16.47%

)

21.80%

Gross profit

2,687,118

2,892,586

2,562,042

2,240,225

2,720,760

Profit before tax

384,132

350,247

656,546

551,160

681,581

PRINCIPAL RISKS AND UNCERTAINTIES

The company constantly strives to develop and update the product range by introducing new lines and improving product information. In addition, the company will continue to invest to ensure that its customers always receive an excellent level of service.

The company has seen an economic slowdown which has led to a need to balance the demand on products vs the staffing levels within the business. The primary risk is that reducing staff numbers could lead to a skill shortage in the event that we achieve our goal of increasing sales over the next 12 months; By not taking action then there could be a reduction in net profit due to increased staff overheads. This is something that will be reviewed monthly during board meetings to ensure that the correct balance is struck for the business.

The company's main competitors are national kitchen retailers and manufacturers selling in the wholesale market. Due to this direct competition, the company is constantly reviewing and monitoring its buying and selling policies.

They meet with our suppliers annually to negotiate the best possible pricing to achieve a competitive gross margin.

DEVELOPMENT AND PERFORMANCE

The board were pleased with the performance of the company in 2024 and the continuation of strong sales despite challenging market conditions and a slow growing economy. The strategy for growth in profitability continued, and outside of the identified risks, the company continued to invest aggressively in plant and equipment to ensure increased capacity, in-line with the targeted growth, which is forecast to begin during 2025 and beyond.

The financial statements have been prepared on a going-concern basis. The Directors have reviewed and considered the relevant information, including the annual budget and future cash flows, in making their assessment. The Directors continue to test their cash flow analysis to take into account the impact on their business of possible scenarios brought on by the possibility of further economic slow down, alongside the measures that they can take to mitigate the impact. Based on these assessments, given the measures that could be undertaken to mitigate the current adverse conditions, and the current resources available, the directors are concluded that they can continue to adopt a going concern basis of preparing a new report on the accounts. The Directors are planning for further investment and believe the measures taken will help ensure the business's success in the future.

As a business, we are focused on offering a full range of products to both retail and wholesale markets at competitive prices with an exceptional level of service.

FINANCIAL KEY PERFORMANCE INDICATORS

The key performance indicators we use to achieve this are:

- Weekly review of turnover and margin

- Daily monitoring of service levels by department

- Daily monitoring of sales by department

- Monthly monitoring of operational costs

- Continuous monitoring of transport costs

- Monthly monitoring of wholesale sales year on year performance

- Weekly monitoring of wholesale credit limits

- Loss of wholesale accounts

- Daily review of lost retail sales

- Weekly review of trade debtors

- Continuous review of market trend

EMPLOYEE GENDER DIVERSTIY

We had 88 employees of

77.273% were men

22.727% were women

ON BEHALF OF THE BOARD:

N K P Jones - Director

30 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 a Kitchen and Bedroom Manufacturer.

DIVIDENDS

During the year dividends of £32,000 (2023: £138,667) were paid to shareholders.

DIRECTORS

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

T Dalton

N K P Jones

I Foster

FINANCIAL INSTRUMENTS

The company's principal financial instruments comprise bank balances, trade creditors and trade debtors. The main purpose of these instruments is to raise funds for the company's operations and to finance these operations.

Due to the nature of the financial instruments used by the company there is no exposure to price risk. Trade debtors are managed in respect of credit and cash flow risk through policies regarding the credit offered to customers and the regular monitoring of amounts outstanding. Trade creditors' liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.

Price risk, credit risk, liquidity risk and cash flow risk

Due to the nature of the financial instruments used by the company there is no exposure to price risk. The company's approach to managing other risks applicable to the financial instruments concerned is shown below.

In respect of bank balances, cash balances are held in such a way that achieves a competitive rate of interest.

Trade debtors are managed in respect of credit and cash flow risk by regular monitoring of amounts outstanding for both time and credit limits. The amounts presented in the balance sheet are net of allowances for doubtful debtors.

Trade creditors liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.

THIRD PARTY INDEMNITY PROVISIONS

This is covered by company insurance.

FUTURE DEVELOPMENTS

Investment in new plant and staff.

EVENTS AFTER THE REPORTING PERIOD

There are no events that have occurred after the period end that require reporting or disclosing in the financial statements.

DIRECTORS' RESPONSIBILITIES STATEMENT

The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards 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 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 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 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 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, Gravita Audit Western Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

N K P Jones - Director

30 September 2025

Opinion

We have audited the financial statements of System 6 Kitchens Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of 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 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 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 Directors' Responsibilities Statement set out on page five, 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.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and

non-compliance with laws and regulations, our procedures included the following:

-

We obtained an understanding of the legal and regulatory frameworks applicable to the Company and the sector in which it operates. We determined that the following laws and regulations were most significant: The Companies Act 2006, UK GAAP, UK corporate tax law, Employment law and Occupational Health and Safety regulations.

-

We obtained an understanding of how the Company are complying with those legal and regulatory frameworks and made enquiries to the management of known or suspected instances of fraud and non-compliance with laws and regulations. We corroborated our enquiries through our review of board minutes, other relevant meeting minutes and review of correspondence with regulatory bodies.

-

We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the audit team included:

1.

Identifying and assessing the controls management has in place to prevent and detect fraud;

2.

Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;

3.

Challenging assumptions and judgments made by management in its significant accounting estimates and judgments, in particular depreciation, accruals and stock provisions;

4.

Identifying and testing journal entries, in particular journal entries posted with unusual account combinations; and

5.

Assessing the extent of compliance with the relevant laws and regulations.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusions.

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.

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.

Benjamin de Cruz BA FCA (Senior Statutory Auditor)

for and on behalf of Gravita Audit Western Limited

Chartered Accountants and Statutory Auditors

Keble House

Southernhay Gardens

Exeter

Devon

EX1 1NT

30 September 2025

TURNOVER

4

13,442,645

13,664,037

Cost of sales

(10,771,480

)

(10,902,337

)

GROSS PROFIT

2,671,165

2,761,700

Administrative expenses

(2,291,177

)

(2,393,579

)

379,988

368,121

Other operating income

5

30,555

32,143

OPERATING PROFIT

7

410,543

400,264

Interest receivable and similar income

45,653

34,154

456,196

434,418

Interest payable and similar expenses

8

(72,064

)

(42,957

)

PROFIT BEFORE TAXATION

384,132

391,461

Tax on profit

9

(389,765

)

194,200

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(5,633

)

585,661

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(5,633

)

585,661

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

3,975,037

4,104,115

3,975,037

4,104,115

CURRENT ASSETS

Stocks

13

1,475,871

1,338,670

Debtors

14

1,377,004

1,260,871

Cash at bank and in hand

1,805,068

1,551,360

4,657,943

4,150,901

CREDITORS

Amounts falling due within one year

15

(2,882,503

)

(2,439,357

)

NET CURRENT ASSETS

1,775,440

1,711,544

TOTAL ASSETS LESS CURRENT LIABILITIES

5,750,477

5,815,659

CREDITORS

Amounts falling due after more than one year

16

(1,143,653

)

(1,370,502

)

PROVISIONS FOR LIABILITIES

20

(318,949

)

(119,649

)

NET ASSETS

4,287,875

4,325,508

CAPITAL AND RESERVES

Called up share capital

21

100

100

Retained earnings

22

4,287,775

4,325,408

SHAREHOLDERS' FUNDS

4,287,875

4,325,508

The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2025 and were signed on its behalf by:

N K P Jones - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

100

3,878,414

3,878,514

Changes in equity

Profit for the year

-

585,661

585,661

Total comprehensive income

-

585,661

585,661

Dividends

-

(138,667

)

(138,667

)

Balance at 31 December 2023

100

4,325,408

4,325,508

Changes in equity

Deficit for the year

-

(5,633

)

(5,633

)

Total comprehensive income

-

(5,633

)

(5,633

)

Dividends

-

(32,000

)

(32,000

)

Balance at 31 December 2024

100

4,287,775

4,287,875

Cash flows from operating activities

Cash generated from operations

1

574,052

574,562

Interest paid

(25,832

)

(28,931

)

Interest element of hire purchase payments paid

(248,832

)

(14,026

)

Finance costs paid

202,600

-

Tax paid

27,715

-

Net cash from operating activities

529,703

531,605

Cash flows from investing activities

Purchase of tangible fixed assets

(60,599

)

(804,493

)

Sale of tangible fixed assets

46,200

63,392

Interest received

45,653

22,519

Net cash from investing activities

31,254

(718,582

)

Cash flows from financing activities

New loans in year

-

(70,671

)

Loan repayments in year

(71,104

)

-

Hire purchase repayments in year

(338,242

)

(274,431

)

New HP agreement

-

600,554

Equity dividends paid

(32,000

)

(138,667

)

Net cash from financing activities

(441,346

)

116,785

Increase/(decrease) in cash and cash equivalents

119,611

(70,192

)

Cash and cash equivalents at beginning of year

2

1,551,360

1,621,552

Cash and cash equivalents at end of year

2

1,670,971

1,551,360

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

2024

2023

£

£

Profit before taxation

384,132

391,461

Depreciation charges

314,516

318,297

(Profit)/loss on disposal of fixed assets

(3,169

)

23,655

Increase/(Decrease) in provisions

(700

)

(95,893

)

Finance costs

72,064

42,957

Finance income

(45,653

)

(34,154

)

721,190

646,323

(Increase)/decrease in stocks

(137,200

)

219,339

Increase in trade and other debtors

(121,253

)

(109,835

)

Increase/(decrease) in trade and other creditors

111,315

(181,265

)

Cash generated from operations

574,052

574,562

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

1,805,068

1,551,360

Bank overdrafts

(134,097

)

-

1,670,971

1,551,360

Year ended 31 December 2023

31.12.23

1.1.23

£

£

Cash and cash equivalents

1,551,360

1,621,552

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

1,551,360

253,708

1,805,068

Bank overdrafts

-

(134,097

)

(134,097

)

1,551,360

119,611

1,670,971

Debt

Finance leases

(837,576

)

170,369

(667,207

)

Debts falling due within 1 year

(71,641

)

(786

)

(72,427

)

Debts falling due after 1 year

(771,487

)

71,890

(699,597

)

(1,680,704

)

241,473

(1,439,231

)

Total

(129,344

)

361,084

231,740

1.	COMPANY INFORMATION

System 6 Kitchens 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 company's principal activities and nature of its operations are disclosed in the Directors' Report.

2.	STATEMENT OF COMPLIANCE

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.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Going concern

The financial statements have been prepared on a going concern basis. The Directors have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment.The Directors have concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts.

Significant judgements and estimates

The accounts include the following significant judgements and estimates:

- Depreciation and amortisation - see accounting policy.

- Stock provision is estimated by the directors and is dependent on the level of stock that may become obsolete.

- Warranty provision - based on information available at the time of approval of the accounts.

Turnover

Turnover represents the amount derived from the provision of goods and services which fall within the company's operating activities, stated net of value added tax.

Deposits received are included in turnover once the provision of goods and services relating to that deposit have been completed.

Turnover, profit before taxation, and net assets are all attributable to the trade of manufacturing of kitchen and bedroom furniture, the market of which is exclusively in the United Kingdom.

Tangible fixed assets

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

Freehold property

-

Straight line over 50 years

Long leasehold

-

2% on cost

Plant and machinery

-

14% on reducing balance

Fixtures and fittings

-

25% on cost and 25% on reducing balance

Motor vehicles

-

25% on reducing balance

Stocks

Stocks are stated at the lower of cost and net realisable value. Cost comprises direct materials and where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.

Cash and cash equivalents

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

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. Financial instruments are recognised 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.

Basic financial assets, which include trade and other debtors, amounts due from group undertakings and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost. Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Basic financial liabilities, including trade and other creditors and amounts due to group undertakings are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Financial liabilities are derecognised when, and only when, the company's contractual obligations are discharged, cancelled, or they expire.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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 payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term.

Assets obtained under hire purchase contracts and 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 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

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.

4.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

5.	OTHER OPERATING INCOME

2024

2023

£

£

Grants

30,555

32,143

Total

30,555

32,143

6.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

3,367,369

3,341,898

Social security costs

345,094

326,934

Other pension costs

99,549

62,110

3,812,012

3,730,942