Avrenim Consultancy Ltd

	Page
Balance Sheet	1
Notes to the Financial Statements	2—5

1. General Information

Avrenim Consultancy Limited is a private company limited by shares incorporated in England and Wales. The registered office is 16 Vesty Business Park, Vesty Road, Bootle, England, L30 1NY.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

Section 4 ‘Statement of Financial Position’ – Reconciliation of the opening and closing number of shares;

Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash flow and related notes and disclosures;

Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’ – Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;

Section 33 ‘Related Party Disclosures’ – Compensation for key management personnel.

The financial statements of the company are consolidated in the financial statements of Avrenim Group Limited. These consolidated financial statements are available from its registered office at the following address:

16 Vesty Business Park, Vesty Road, Bootle, Merseyside, England, L30 1NY

2.2. Going Concern Disclosure

At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. However the directors are in discussions with regards to the future of the business. At the date of signing the accounts no ultimate decision has been made, but the two considerations are, the business continues trading as it is or the trade and assets are hived up to another group company to save on overall operational costs. As the decision is yet to be decided upon, the financial statements continue at this time to be prepared on the going concern basis. A decision on this is expected within the next twelve months following the signing of the audit report, therefore this situation indicates that a material uncertainty exists that may cast doubt on the company’s ability to continue as a going concern.

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Avrenim Consultancy Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.3. 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 in the company's balance sheet 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

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual

arrangements entered into. An equity instrument is any contract that evidences a residual interest in the

assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

2.4. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

...CONTINUED

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Avrenim Consultancy Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

2.4. Taxation - continued

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

2.5. Cash and cash equivalents

Cash and cash equivalents are basic financial assets and 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.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 2 (2023: 3)

4. Creditors: Amounts Falling Due Within One Year

	2024	2023
	£	£
Other creditors	3,400	1,740

5. Secured Creditors

Lloyds Bank Plc holds a floating charge over the assets of the company, its fellow subsidiaries and parent company in respect of such credit balances of the company held with the lender. This charge relates to a 'Omnibus guarantee & set-off agreement' filed at Companies House with a charge code 1226 9300 0002 dated 29 February 2024.

Lloyds Bank Plc holds a fixed and floating charge over any property held by the company in respect of such credit balances of the company held with the lender. This charge relates to a charge filed at Companies House with a charge code 1226 9393 0001 dated 21 June 2021.

6. Share Capital

	2024	2023
Allotted, called up and fully paid	£	£
1 Ordinary Shares of £ 1.00 each	1	1

7. Ultimate Controlling Party

The company is a wholly owned subsidiary of Avrenim Group Ltd, a company registered in England. Avrenim Group Ltd is the ultimate parent company.

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Avrenim Consultancy Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 December 2024

8. Audit Information

The auditor’s information was unqualified, however we draw your attention to note 2.2 in the financial statements, which indicates that the directors are in discussions with regards to the future of the business. At this stage no ultimate decision has been made, but the two considerations are, the business continues trading as it is for the foreseeable future or the trade and assets are hived up to another group company to save on overall operational costs. As a decision is yet to be decided upon, the financial statements continue at this time to be prepared on the going concern basis. A decision on this is expected within the next twelve months following the signing of the audit report, therefore this situation indicates a material uncertainty exists that may cast doubt on the company’s ability to continue as going concern.

The auditor's report was signed by Michael Buxton (Senior Statutory Auditor) for and on behalf of Mitchell Charlesworth (Audit) Limited , Statutory Auditor.

Mitchell Charlesworth (Audit) Limited

Suites C, D, E & F 14th Floor The Plaza

100 Old Hall Street

Liverpool

L3 9QJ

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		2024		2023
	Notes	£	£	£	£
CURRENT ASSETS
Cash at bank and in hand		3,855		6,219

		3,855		6,219
Creditors: Amounts Falling Due Within One Year	4	(3,400 )		(1,740 )

NET CURRENT ASSETS (LIABILITIES)			455		4,479

TOTAL ASSETS LESS CURRENT LIABILITIES			455		4,479

NET ASSETS			455		4,479

CAPITAL AND RESERVES
Called up share capital	6		1		1
Profit and Loss Account			454		4,478

SHAREHOLDERS' FUNDS			455		4,479