REGISTERED NUMBER: 07036995 (England and Wales)

SMART SEC SOLUTIONS LTD

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Income Statement

7

Other Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Notes to the Financial Statements

11

DIRECTORS:

F Ahmad

D Nicolaou

REGISTERED OFFICE:

22 Union Street

Barnet

London

EN5 4HZ

REGISTERED NUMBER:

07036995 (England and Wales)

AUDITORS:

Duncan & Toplis Audit Limited, Statutory Auditor

3rd Floor

Marlborough House

298 Regents Park Road

Finchley

London

N3 2SZ

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

REVIEW OF BUSINESS

In 2024 the company continued to focus on its principal activity of Security Guarding provision, including front of house and reception services. We have also continued to develop and strengthen our innovative solution offering either through self-delivery or via our trusted service partners, in areas such as access control, alarm installation and maintenance, CCTV monitoring and remote monitoring systems.

Sales have decreased to £16,107,817 from £18,248,558 (2023). Pre-tax profit of £185,896 (2024) has increased from the previous year of £39,343 (2023).

The security industry continues to follow the trend of our competitors being acquired by larger (FM) organisations. This on-going trend has been the norm within the industry for the past 15 years. These mergers and acquisitions create a greater gap in the market for SmartSec Solutions to exploit. Our strategic aim has always been to focus on our security and front of house division. Whilst we may diversify slightly in to some security system offerings, we never see ourselves moving to a full FM provision and will always remain security focused. Our customers often select us solely down to our ability to concentrate in on their security requirements and because we do not dilute our service offering and overstretch our management teams.

2024 was another year of continued strategic investment for SmartSec Solutions with significant success with new product ranges and investment in people, new customers, sales, and marketing channels. This strategy will remain in place for the foreseeable future and will continue to underpin performance for many years to come.

KEY PERFORMANCE INDICATORS

The company's financial performance is assessed primarily by Turnover, Gross Profit, GP as % Turnover, EBITDA and EBITDA % of Turnover for the financial year:

Turnover

Gross Profit

Gross Profit %

EBITDA

EBITDA %

2024

£16,107,817

£3,079,291

19.1%

£381,609

2.3%

2023

£18,248,558

£3,083,332

16.9%

£334,739

1.8%

2022

£13,872,594

£2,544,425

18.3%

£437,614

3.2%

2021

£10,997,037

£1,794,961

16.3%

£424,741

3.9%

2020

£11,483,829

£2,291,214

20.0%

£937,769

8.2%

PRINCIPAL RISKS AND UNCERTAINTIES

The key business risk and uncertainty relates to any potential downturn in the UK economy. Activity in the UK security services sector however remains strong, so the directors believe the company is well placed to continue to trade successfully in 2025.

It is the desire of the owners of SmartSec Solutions to be an organisation built upon solid foundations of Trust, Honesty and Openness. It is our desire to be the best and to continue to keep striving for excellence. SmartSec Solutions has been 100% organically grown. From small acorns grow great oaks. Our desire to grow with our customers has seen us forge some quite outstanding partnerships with many of our customers. It is our belief that once we are tried, we will deliver for you and we will keep being rewarded with new contracts. The journey through 2024 is an exciting one. We have invested heavily in our people, our management team, our senior management team and in the systems division of our business. That investment is now ready to come to fruition and coupled with our label as "security guarding company of the year" we are confident of our most successful year in our company's history.

SOCIAL RESPONSIBILITY

Environmental, Social and Governance criteria are standards upon which we continue to measure our behaviour as an organisation. We are committed to improving our carbon footprint and are constantly looking at initiatives we can implement as a company in order to do so. One example of this has been changing all of our mobile fleet vehicles to 100% electric cars.

We always seek to employ staff locally to the contracts that we are awarded. This has a social and environmental impact. Wherever possible we source supplies such as uniform, mobile phones and other activity related goods from local providers to ensure we support smaller local businesses.

ON BEHALF OF THE BOARD:

F Ahmad - Director

26 September 2025

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

DIVIDENDS

The total distribution of dividends for the period ended 31 December 2024 will be £nil (2023: £287,000).

DIRECTORS

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

F Ahmad

D Nicolaou

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 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, Duncan & Toplis Audit Limited, Statutory Auditor, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

F Ahmad - Director

26 September 2025

Opinion

We have audited the financial statements of Smart Sec Solutions Ltd (the 'company') for the year ended 31 December 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and 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 four, 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:

- Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements.

- Enquiring of management concerning actual and potential litigation and claims.

- Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud.

- Reading minutes of meetings of those charged with governance.

- In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

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.

Hassan Behcet (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Audit Limited, Statutory Auditor

3rd Floor

Marlborough House

298 Regents Park Road

Finchley

London

N3 2SZ

29 September 2025

TURNOVER

16,107,817

18,248,558

Cost of sales

13,028,526

15,165,226

GROSS PROFIT

3,079,291

3,083,332

Administrative expenses

2,708,498

2,751,511

OPERATING PROFIT

4

370,793

331,821

Interest receivable and similar income

-

662

370,793

332,483

Interest payable and similar expenses

5

184,897

293,140

PROFIT BEFORE TAXATION

185,896

39,343

Tax on profit

6

75,508

38,362

PROFIT FOR THE FINANCIAL YEAR

110,388

981

PROFIT FOR THE YEAR

110,388

981

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

110,388

981

Note

Prior year adjustment

8

(141,771

)

TOTAL COMPREHENSIVE INCOME SINCE LAST ANNUAL REPORT

(31,383

)

FIXED ASSETS

Tangible assets

9

1,391,999

1,395,420

Investments

10

3,433

3,433

1,395,432

1,398,853

CURRENT ASSETS

Debtors

11

2,371,767

2,641,420

Cash at bank

593,770

307,262

2,965,537

2,948,682

CREDITORS

Amounts falling due within one year

12

3,297,196

3,203,124

NET CURRENT LIABILITIES

(331,659

)

(254,442

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,063,773

1,144,411

CREDITORS

Amounts falling due after more than one year

13

(985,753

)

(1,174,063

)

PROVISIONS FOR LIABILITIES

16

(2,444

)

(5,160

)

NET ASSETS/(LIABILITIES)

75,576

(34,812

)

CAPITAL AND RESERVES

Called up share capital

17

300

300

Retained earnings

18

75,276

(35,112

)

SHAREHOLDERS' FUNDS

75,576

(34,812

)

The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2025 and were signed on its behalf by:

F Ahmad - Director

D Nicolaou - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 November 2022

300

250,907

251,207

Changes in equity

Dividends

-

(287,000

)

(287,000

)

Total comprehensive income

-

142,752

142,752

Balance at 31 December 2023

300

106,659

106,959

Prior year adjustment

-

(141,771

)

(141,771

)

As restated

300

(35,112

)

(34,812

)

Changes in equity

Total comprehensive income

-

110,388

110,388

Balance at 31 December 2024

300

75,276

75,576

1.	STATUTORY INFORMATION

Smart Sec Solutions Ltd 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.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows.

Preparation of consolidated financial statements

The financial statements contain information about Smart Sec Solutions Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Smart Sec Holdings Ltd, 22 Union Street, Barnet, London, England, EN5 4HZ.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

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

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on reducing balance

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

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

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

£

£

Wages and salaries

10,016,951

11,861,880

Social security costs

1,041,019

1,155,540

Other pension costs

193,852

220,164

11,251,822

13,237,584

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

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

Employees

305

405

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

£

£

Directors' remuneration

276,411

175,070

Information regarding the highest paid director for the year ended 31 December 2024 is as follows:

Year Ended

31.12.24

£

Emoluments etc

138,311

4.	OPERATING PROFIT

The operating profit is stated after charging:

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

£

£

Hire of plant and machinery

50,542

29,493

Depreciation - owned assets

10,816

12,259

Auditors' remuneration

17,134

8,000

Foreign exchange differences

4,808

4,255

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

£

£

Bank interest

-

106,750

Loan interest

154,028

186,390

Interest on late payment of CT

30,869

-

184,897

293,140

6.

TAXATION

Analysis of the tax charge

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

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

£

£

Current tax:

UK corporation tax

78,224

32,880

Deferred tax

(2,716

)

5,482

Tax on profit

75,508

38,362

7.

DIVIDENDS

Period

1.11.22

Year Ended

to

31.12.24

31.12.23

as restated

£

£

Ordinary shares of 1 each

Interim

-

287,000

8.	PRIOR YEAR ADJUSTMENT

As a result of correction to the prior period in the light of additional information in regards to Loan interest, the comparative balances to 31 December 2023 have been restated as follows:

Income Statement

Previously reported

Prior year adjustment

Restated balance

Interest payable

95,854

186,390

282,244

Tax on profit/(loss)

47,418

(44,620

)

2,798

Profit/(loss) for the financial year

37,630

(141,770

)

(104,140

)

Balance sheet

Previously reported

Prior year adjustment

Restated balance

Bank loans < 1 year

(932,957

)

(241,106

)

(1,174,063

)

Corporation Tax

(84,678

)

44,620

(40,058

)

Prepayments and Accrued income

17,730

54,716

72,446

Retained earnings

(256,405

)

141,770

(114,635

)

9.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

and

Motor

Computer

property

fittings

vehicles

equipment

Totals

£

£

£

£

£

COST

At 1 January 2024

1,358,649

79,774

5,100

79,172

1,522,695

Additions

-

850

4,300

2,245

7,395

At 31 December 2024

1,358,649

80,624

9,400

81,417

1,530,090

DEPRECIATION

At 1 January 2024

-

63,466

1,275

62,534

127,275

Charge for year

-

4,130

2,031

4,655

10,816

At 31 December 2024

-

67,596

3,306

67,189

138,091

NET BOOK VALUE

At 31 December 2024

1,358,649

13,028

6,094

14,228

1,391,999

At 31 December 2023

1,358,649

16,308

3,825

16,638

1,395,420

10.	FIXED ASSET INVESTMENTS

Unlisted

investments

£

COST

At 1 January 2024

and 31 December 2024

3,433

NET BOOK VALUE

At 31 December 2024

3,433

At 31 December 2023

3,433

11.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

as restated

£

£

Trade debtors

634,872

1,793,904

BIBBY Factoring

560,390

-

Other debtors

394,497

394,497

Directors' current accounts

543,871

380,573

Tax

128,443

-

Prepayments and accrued income

109,694

72,446

2,371,767

2,641,420

12.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

as restated

£

£

Bank loans and overdrafts (see note 14)

471,419

333,996

Trade creditors

1,018,209

876,947

Tax

169,858

40,058

Social security and other taxes

274,703

447,274

VAT

572,882

753,615

Other creditors

35,847

77,946

Pensions

39,043

35,547

BIBBY Factoring

105,437

-

Net wages

589,710

617,653

Accrued expenses

20,088

20,088

3,297,196

3,203,124

13.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2024

2023

as restated

£

£

Bank loans (see note 14)

985,753

1,174,063

14.

LOANS

An analysis of the maturity of loans is given below:

2024

2023

as restated

£

£

Amounts falling due within one year or on demand:

Bank loans

471,419

333,996

Amounts falling due between one and two years:

Bank loans - 1-2 years

389,986

328,240

Amounts falling due between two and five years:

Bank loans - 2-5 years

534,799

397,592

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

60,968

448,231

15.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2024

2023

as restated

£

£

Within one year

33,324

53,530

Between one and five years

2,518

34,934

35,842

88,464