PCS Business Systems Limited Company accounts

COMPANY REGISTRATION NUMBER: 03082062

PCS BUSINESS SYSTEMS LIMITED

FINANCIAL STATEMENTS

31 May 2025

PCS BUSINESS SYSTEMS LIMITED

FINANCIAL STATEMENTS

YEAR ENDED 31 MAY 2025

CONTENTS	PAGES

Officers and professional advisers	1

Strategic report	2 to 3

Directors' report	4 to 5

Independent auditor's report to the members	6 to 9

Statement of income and retained earnings	10

Statement of financial position	11

Notes to the financial statements	12 to 18

PCS BUSINESS SYSTEMS LIMITED

OFFICERS AND PROFESSIONAL ADVISERS

THE BOARD OF DIRECTORS	Mrs L M Morrissey
	Mr S A Knott
	Mrs E L Emery
	Mrs S Thompson-Thorn
	Mr S Hawkey

COMPANY SECRETARY	Mrs E L Emery

REGISTERED OFFICE	2 Northfield Point
	Cunliffe Drive
	Kettering
	Northamptonshire
	NN16 9QJ

AUDITOR	Meadows & Co Limited
	Chartered Accountants & Statutory Auditor
	Headlands House
	1 Kings Court
	Kettering Parkway
	Kettering
	NN15 6WJ

PCS BUSINESS SYSTEMS LIMITED

STRATEGIC REPORT

YEAR ENDED 31 MAY 2025

The directors are satisfied with the performance of the company. The directors are committed to maintaining and developing the company's market position. Details of the company's trading performance are set out on page 11. Details of sales by geographical location and employees are set out in notes 4 and 7 respectively. The company has again continued to enjoy a good level of loyalty from its staff and customers. The directors feel that this is imperative for the continued success of the company. Product development continues to be forward thinking and continues to be vital to our managed services offering. PRINCIPAL RISKS AND UNCERTAINTIES The management of the business and the execution of the company's strategy are subject to a number of normal risks. The key business risks and uncertainties affecting the company are considered to relate to competition from other suppliers and customer retention and are subject to continuous review. Customer retention remains extremely high again this year helped, in part, by customers taking up our various contracted products and services. The company's activities expose it to a number of financial risks including credit risk, cash flow risk and liquidity risk. The company's principal financial assets are bank balances and trade debtors. The company's credit risk is primarily attributable to its trade debtors. The amounts presented in the balance sheet are net of allowances for doubtful debtors. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows. The credit risk on liquid funds is limited because the counterparties are banks with high credit-ratings assigned by international credit-rating agencies. The company has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers. The company is also exposed to risks associated with changes in foreign exchange rates. These risks are monitored on an ongoing basis but the company does not enter into any hedging activity and does not use financial instruments. Liquidity risk is monitored through the preparation of monthly management accounts, regular shareholder and board meetings and detailed forecasts extending across a 12-month period. KEY PERFORMANCE INDICATORS The directors regard gross profit as a key performance measure. Gross profit for 2025 was £3,944,390 (2024 - £4,351,848). The gross profit percentage is considered a crucial key performance indicator by the directors in order to monitor the mix of products and services that are being traded throughout the year. Gross profit percentage for 2025 was 21.62% (2024 - 20.30%). Debtor days for the year were 29 (2024 - 27). The debtor days are at an acceptable level. FUTURE DEVELOPMENTS AND OUTLOOK The company's business activities, together with the factors likely to affect its future development, performance and position, are set out in this report. The financial position of the company and its liquidity position are set out in the attached accounts. In addition, the principal risks and uncertainties section above details the policies and processes in place to manage financial risk, and exposures to credit and liquidity risk. In the opinion of the directors, further opportunities exist to expand sales to existing customers. Selling services continue to be an important part of business and we expect this to increase in the coming years. The company's strategy is to continue being profitable to provide consistent return to shareholders. The directors are confident that this year's key performance indicators will be enhanced in 2025/26.

This report was approved by the board of directors on 11 December 2025 and signed on behalf of the board by:

Mrs E L Emery Company Secretary

Registered office:

2 Northfield Point

Cunliffe Drive

Kettering

Northamptonshire

NN16 9QJ

PCS BUSINESS SYSTEMS LIMITED

DIRECTORS' REPORT

YEAR ENDED 31 MAY 2025

The directors present their report and the financial statements of the company for the year ended 31 May 2025 .

PRINCIPAL ACTIVITIES

The principal activity of the company during the year was the supply of IT products, support and system development.

DIRECTORS

The directors who served the company during the year were as follows:

Mrs L M Morrissey
Mr S A Knott
Mrs E L Emery
Mrs S Thompson-Thorn
Mr S Hawkey

DIVIDENDS

Particulars of recommended dividends are detailed in note 11 to the financial statements.

DISCLOSURE OF INFORMATION IN THE STRATEGIC REPORT

The directors have chosen, in accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013, 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.

DIRECTORS' RESPONSIBILITIES STATEMENT

The directors are responsible for preparing the directors' report 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 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; - state whether applicable United Kingdom Accounting Standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements. - make judgments 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. AUDITOR

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board of directors on 11 December 2025 and signed on behalf of the board by:

Mrs E L Emery Company Secretary

Registered office:

2 Northfield Point

Cunliffe Drive

Kettering

Northamptonshire

NN16 9QJ

PCS BUSINESS SYSTEMS LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PCS BUSINESS SYSTEMS LIMITED

YEAR ENDED 31 MAY 2025

OPINION

We have audited the financial statements of PCS Business Systems Limited (the 'company') for the year ended 31 May 2025 which comprise the statement of income and retained earnings, statement of financial position and the related notes, 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 FRS 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 May 2025 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 auditor's 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- the strategic report and the directors' report 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 directors' report. We have nothing to report in respect of the following matters in relation to which 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, 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 is 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.

AUDITOR'S 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 an auditor’s report 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. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: We have undertaken high level reviews of the results and position of the company for the year in question, and have considered the effects of the industry and wider economy on the company. We have made enquiries of management regarding the company's own risk assessment procedures and any identified irregularities, including fraud, identified in the year. We have used our knowledge and understanding of the company's business, including the remuneration of key management personnel, to assess how and where irregularities, including fraud, might arise and we have planned our testing using a risk based approach. We have considered the potential for irregularities, including fraud, in all our testing but have also carried out specific testing to comply with the ISA (UK) requirements regarding management override of controls. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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 an auditor's report 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.

David Kelland FCA

(Senior Statutory Auditor)

For and on behalf of

Meadows & Co Limited

Chartered Accountants & Statutory Auditor

Headlands House

1 Kings Court

Kettering Parkway

Kettering

NN15 6WJ

12 December 2025

PCS BUSINESS SYSTEMS LIMITED

STATEMENT OF INCOME AND RETAINED EARNINGS

YEAR ENDED 31 MAY 2025

		2025	2024
Note		£	£
TURNOVER	4	18,246,933	21,436,447

Cost of sales	14,302,543	17,084,599
	-------------	-------------
GROSS PROFIT	3,944,390	4,351,848

Administrative expenses		3,218,580	3,436,839
		------------	------------
OPERATING PROFIT	5	725,810	915,009

Interest payable and similar expenses	9	( 12,397)	( 4,013)
		------------	------------
PROFIT BEFORE TAXATION		738,207	919,022

Tax on profit	10	185,850	233,164
		---------	---------
PROFIT FOR THE FINANCIAL YEAR AND TOTAL COMPREHENSIVE INCOME		552,357	685,858
		---------	---------

Dividends paid and payable	11	( 456,000)	( 470,400)

RETAINED EARNINGS AT THE START OF THE YEAR	8,141,511	7,926,053
	------------	------------
RETAINED EARNINGS AT THE END OF THE YEAR	8,237,868	8,141,511
	------------	------------

All the activities of the company are from continuing operations.

PCS BUSINESS SYSTEMS LIMITED

STATEMENT OF FINANCIAL POSITION

31 May 2025

	2025		2024
Note	£	£	£	£

FIXED ASSETS

Tangible assets	12		315,635		324,868

CURRENT ASSETS

Debtors	13	11,233,671	10,219,612
Cash at bank and in hand		866,548	2,015,463
		-------------	-------------
		12,100,219	12,235,075

CREDITORS: amounts falling due within one year	14	4,177,886		4,418,332
		-------------		-------------
NET CURRENT ASSETS			7,922,333		7,816,743
			------------		------------
TOTAL ASSETS LESS CURRENT LIABILITIES			8,237,968		8,141,611
			------------		------------
NET ASSETS			8,237,968		8,141,611
			------------		------------

CAPITAL AND RESERVES

Called up share capital	16	100	100
Profit and loss account	17	8,237,868	8,141,511
		------------	------------
SHAREHOLDERS FUNDS		8,237,968	8,141,611
		------------	------------

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.

These financial statements were approved by the board of directors and authorised for issue on 11 December 2025 , and are signed on behalf of the board by:

Mrs E L Emery

Director

Company registration number: 03082062

PCS BUSINESS SYSTEMS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MAY 2025

1. GENERAL INFORMATION

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is 2 Northfield Point, Cunliffe Drive, Kettering, Northamptonshire, NN16 9QJ.

2. STATEMENT OF COMPLIANCE

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. ACCOUNTING POLICIES

Basis of preparation

The financial statements have been prepared on the historical cost basis. The financial statements are prepared in sterling, which is the functional currency of the entity.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of PCS Business Systems Group Limited which can be obtained from 2 Northfield Point, Cunliffe Drive, Kettering, Northamptonshire, NN16 9QL. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102: (a) No cash flow statement has been presented for the company. (b) Disclosures in respect of financial instruments have not been presented.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Key sources of estimation uncertainty Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows: Recognition of income from maintenance contracts The company recognises income from maintenance contracts equally on a straight-line basis over the life of the contract. The company considers this estimation the most appropriate way of accounting for these contracts.

Revenue recognition

The turnover shown in the profit and loss account represents amounts receivable during the year, exclusive of Value Added Tax. Turnover in respect of long-term contracts and contracts for on-going services is recognised on a straight-line basis over the term of the contracts. In respect of other non-contract sales, turnover is recognised when goods are delivered to customers.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date. Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Land, Buildings & Leasehold Improvements	-	2% & 20% straight line
Office Equipment, Fixtures & Fittings	-	10%, 20% & 33% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Financial instruments

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

4. TURNOVER

Turnover arises from:

	2025	2024
	£	£
IT supply, support and system development	18,246,933	21,436,447
	-------------	-------------

The turnover is attributable to the one principal activity of the company. An analysis of turnover by the geographical markets that substantially differ from each other is given below:

	2025	2024
	£	£
United Kingdom	18,192,799	21,400,585
Overseas	54,134	35,862
	-------------	-------------
	18,246,933	21,436,447
	-------------	-------------

5. OPERATING PROFIT

Operating profit or loss is stated after charging:

	2025	2024
	£	£
Depreciation of tangible assets	9,869	10,163
	-------	--------

6. AUDITOR'S REMUNERATION

	2025	2024
	£	£
Fees payable for the audit of the financial statements	15,750	13,850
	--------	--------

7. STAFF COSTS

The average number of persons employed by the company during the year amounted to 46 (2024: 47 ).

The aggregate payroll costs incurred during the year, relating to the above, were:

	2025	2024
	£	£
Wages and salaries	2,426,181	2,569,392
Social security costs	279,042	276,305
Other pension costs	106,312	108,641
	------------	------------
	2,811,535	2,954,338
	------------	------------

8. DIRECTORS' REMUNERATION

The directors' aggregate remuneration in respect of qualifying services was:

	2025	2024
	£	£
Remuneration	482,145	477,194
Company contributions to defined contribution pension plans	17,610	17,594
	---------	---------
	499,755	494,788
	---------	---------

The number of directors who accrued benefits under company pension plans was as follows:

	2025	2024
	No.	No.
Defined contribution plans	5	5
	----	----

Remuneration of the highest paid director in respect of qualifying services:

	2025	2024
	£	£
Aggregate remuneration	116,077	119,286
Company contributions to defined contribution pension plans	3,522	3,522
	---------	---------
	119,599	122,808
	---------	---------

9. INTEREST PAYABLE AND SIMILAR EXPENSES

	2025	2024
	£	£
Other interest payable and similar charges	( 12,397)	( 4,013)
	--------	-------

10. TAX ON PROFIT

Major components of tax expense

	2025	2024
	£	£

Current tax:

UK current tax expense	185,850	233,922
Adjustments in respect of prior periods	–	( 758)
	---------	---------
Total current tax	185,850	233,164
	---------	---------
	---------	---------
Tax on profit	185,850	233,164
	---------	---------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is higher than (2024: higher than) the standard rate of corporation tax in the UK of 25 % (2024: 25 %).

	2025	2024
	£	£
Profit on ordinary activities before taxation	738,207	919,022
	---------	---------
Profit on ordinary activities by rate of tax	184,552	229,755
Adjustment to tax charge in respect of prior periods	–	( 758)
Effect of expenses not deductible for tax purposes	( 770)	2,450
Effect of capital allowances and depreciation	1,782	1,782
Rounding on tax charge	286	( 65)
	---------	---------
Tax on profit	185,850	233,164
	---------	---------

11. DIVIDENDS

Dividends paid during the year (excluding those for which a liability existed at the end of the prior year):

	2025	2024
	£	£
Ordinary dividends on ordinary shares	456,000	470,400
	---------	---------

12. TANGIBLE ASSETS

	Land, Buildings & Leasehold Improvements	Office Equipment, Fixtures & Fittings	Total
	£	£	£
Cost
At 1 June 2024	455,749	94,433	550,182
Additions	–	636	636
	---------	--------	---------
At 31 May 2025	455,749	95,069	550,818
	---------	--------	---------
Depreciation
At 1 June 2024	135,043	90,271	225,314
Charge for the year	7,128	2,741	9,869
	---------	--------	---------
At 31 May 2025	142,171	93,012	235,183
	---------	--------	---------
Carrying amount
At 31 May 2025	313,578	2,057	315,635
	---------	--------	---------
At 31 May 2024	320,706	4,162	324,868
	---------	--------	---------

13. DEBTORS

	2025	2024
	£	£
Trade debtors	1,437,253	1,572,255
Amounts owed by group undertakings	8,177,978	8,178,008
Prepayments and accrued income	137,941	117,196
Corporation tax repayable	162,498	35,951
Directors loan account	113,720	113,720
Other debtors	1,204,281	202,482
	-------------	-------------
	11,233,671	10,219,612
	-------------	-------------

The company has an ongoing debt financing arrangement whereby it receives a proportion of the value of sales invoices in advance. Advances are disclosed in the balance sheet as current liabilities and the gross amount of the financial debtors is included in trade debtors. At the year end there were amounts available for drawdown of £1,174,042 (2024: £172,243), which are included in other debtors.

14. CREDITORS: amounts falling due within one year

	2025	2024
	£	£
Trade creditors	3,036,815	3,478,813
Accruals and deferred income	806,221	628,201
Social security and other taxes	334,850	301,077
Other creditors	–	10,241
	------------	------------
	4,177,886	4,418,332
	------------	------------

15. EMPLOYEE BENEFITS

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 88,701 (2024: £ 91,047 ).

16. CALLED UP SHARE CAPITAL

Issued, called up and fully paid

	2025		2024
	No.	£	No.	£
Ordinary shares of £ 1 each	100	100	100	100
	----	----	----	----

17. RESERVES

Share capital account - This records the nominal value of shares that have been issued. Profit and loss account - This reserve records retained earnings and accumulated losses.

18. OPERATING LEASES

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2025	2024
	£	£
Not later than 1 year	35,219	65,432
Later than 1 year and not later than 5 years	5,341	40,507
	--------	---------
	40,560	105,939
	--------	---------

19. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

During the year the directors entered into the following advances and credits with the company:

	Balance brought forward and outstanding
	2025	2024
	£	£
Mrs E L Emery	51,200	51,200
Mr S Hawkey	62,520	62,520
	---------	---------
	113,720	113,720
	---------	---------

20. RELATED PARTY TRANSACTIONS

Advantage has been taken of the exemption conferred by FRS 102 to wholly owned subsidiary undertakings, not to disclose transactions with other group companies. Key management personnel received remuneration, including benefits in kind, which totalled £795,590 (2024 - £880,121).

21. ULTIMATE PARENT COMPANY

The immediate parent company is PCS Business Systems Holdings Limited , a company incorporated in the United Kingdom. The ultimate parent company is PCS Business Systems Group Limited , a company incorporated in the United Kingdom and is both the smallest and largest company in the group which produces consolidated financial statements. The registered address of this company is 2 Northfield Point, Cunliffe Drive, Kettering, Northamptonshire, NN16 9QL .