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Registered number: 04021816










ENCONVO UK LIMITED








(PREVIOUSLY ENREACH UK LIMITED)

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
COMPANY INFORMATION


Directors
S Nijhuis 
Enreach Holding B.V. 
C L Smith (appointed 1 January 2025)




Registered number
04021816



Registered office
Communications House
Hadley Park

Telford

Shropshire

TF1 6QJ




Independent auditors
WR Partners
Chartered Accountants & Statutory Auditors

Belmont House

Shrewsbury Business Park

Shrewsbury

Shropshire

SY2 6LG





 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 

CONTENTS



Page
Strategic Report
 
1 - 2
Directors' Report
 
3 - 4
Independent Auditors' Report
 
5 - 8
Statement of Comprehensive Income
 
9
Balance Sheet
 
10 - 11
Statement of Changes in Equity
 
12
Notes to the Financial Statements
 
13 - 28


 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

Business review
 
Enconvo UK Limited (previously Enreach UK Limited) is a company incorporated in England and Wales. The principal activity of the Company is the provision of telecommunications services in the United Kingdom.

The Company is a wholly owned subsidiary of Enreach Holdings Limited and forms part of a wider group ultimately owned by Enreach Holding B.V., a company incorporated in the Netherlands.

The Company’s performance for the year ended 31 December 2024 is set out in the financial statements. The Directors consider the results for the year to be satisfactory in the context of the Company’s activities and operating environment.

Principal risks and uncertainties
 
The risks facing the Company are constantly monitored. Management are of the opinion that the principal risks facing the Company relate to the wider economic conditions which may influence the demand for its products and services.

Information Systems

The Company is reliant upon a number of business systems which, if disrupted for any length of time due to damage or interruption of service could have an adverse effect on the efficient running of the Company’s business. Management regularly assesses the business support systems and has in place several contingency plans to mitigate the impact of such failures. These plans are constantly reviewed.

Supply Chain

The Company is not solely reliant on one manufacturer and has contingency plans for alternative suppliers. 

Competition

The Company competes predominantly in the telecommunications and IT market, where the principal risks are that of changes to technology. The Company continually assesses the latest changes to technology to ensure it retains and develops market share.

Dependence on Key Members of Management and Staff

The Company continues to add to its key people and undertakes significant knowledge share and training to ensure both continuity and coverage.

Regulatory Compliance

The Company is subject to regulatory compliance risk which could arise from failure to comply with relevant law, regulation or codes of practice. Failure to comply could result in fines, cessation of some business activities or a public reprimand. The Company manages risk through close monitoring of regulatory compliance and seeking the latest professional guidance and support if required.

Page 1

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

Financial key performance indicators
 
The Directors monitor the performance of the Company using financial key performance indicators, including revenue, operating profit and cash position. These measures are derived directly from the financial statements.

Other key performance indicators

The Company uses a suite of non-financial KPIs to monitor and measure success monthly which cover the whole business operating spectrum reflecting the changing needs of the business.


This report was approved by the board and signed on its behalf.





................................................
C L Smith
Director

Date: 29 December 2025

Page 2

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

The Directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

The Directors are responsible for preparing the Strategic Report, 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £1,460,491 (2023 - £645,021).

The Company paid no dividends in the year (2023 - £nil).

Directors

The Directors who served during the year were:

S Nijhuis 
Enreach Holding B.V. 

Page 3

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


Future developments and post balance sheet events

There are no post balance sheet events or future developments considered material to the understanding of the financial statements. 

Qualifying third party indemnity provisions

During the year, the Company maintained liability insurance and third-party indemnification provisions for its directors, under which the Company has agreed to indemnify the directors to the extent permitted by law in respect of all liabilities to third parties arising out of, or in connection with, the execution of their powers, duties and responsibilities as directors of the company and any of its associated companies.

Matters covered in the Strategic Report

Business review, principal risks and uncertainties, financial key performance indicators and other key performance indicators are disclosed in the Strategic Report.

Disclosure of information to auditors

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Auditors

The auditorsWR Partnerswill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





C L Smith
Director

Date: 29 December 2025

Page 4

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 

Opinion


We have audited the financial statements of Enconvo UK Limited (Previously Enreach UK Limited) (the 'Company') for the year ended 31 December 2024, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 United Kingdom, including the Financial Reporting Council'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.


Page 5

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED) (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Opinion 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.


Page 6

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED) (CONTINUED)


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 3, 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.


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 an Auditors' 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:

The audit team obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant are those that relate to the reporting framework (FRS102 and the Companies Act 2006), the relevant tax compliance regulations, employment law, Health and Safety Regulations and the EU General Data Protection Regulation (GDPR). 

We understood how the Company is complying with these frameworks by making enquiries of management and those responsible for legal and compliance procedures. We also reviewed board minutes to identify any recorded instances of irregularity or non compliance that might have a material impact on the financial statements. 

We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur by meeting with key management to understand where they considered there was susceptibility to fraud. Based on our understanding our procedures involved enquiries of management and those charged with governance, manual journal entry testing, cashbook reviews for large and unusual items and the challenge of significant accounting estimates used in preparing the financial statements.
 
Page 7

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED) (CONTINUED)




Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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 Auditors' Report.


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 2006Our 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 Auditors' 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.





John Fletcher BA(Hons) FCA (Senior Statutory Auditor)
  
for and on behalf of
WR Partners
 
Chartered Accountants
Statutory Auditors
  
Belmont House
Shrewsbury Business Park
Shrewsbury
Shropshire
SY2 6LG

 
Date: 
29 December 2025
Page 8

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
Note
£
£

  

Turnover
 4 
12,474,213
11,850,162

Cost of sales
  
(4,695,367)
(5,079,659)

Gross profit
  
7,778,846
6,770,503

Administrative expenses
  
(6,337,850)
(6,011,635)

Other operating income
 5 
2,459
-

Operating profit
 6 
1,443,455
758,868

Interest receivable and similar income
 8 
7,450
2,458

Interest payable and similar expenses
 9 
9,586
(107,964)

Profit before tax
  
1,460,491
653,362

Tax on profit
 10 
-
(8,341)

Profit for the financial year
  
1,460,491
645,021

There were no recognised gains and losses for 2024 or 2023 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 13 to 28 form part of these financial statements.

Page 9

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
REGISTERED NUMBER: 04021816

BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 12 
223,473
181,993

  
223,473
181,993

Current assets
  

Stocks
 13 
46,671
89,578

Debtors: amounts falling due within one year
 14 
9,900,026
10,188,639

Cash at bank and in hand
 15 
615,740
600,973

  
10,562,437
10,879,190

Creditors: amounts falling due within one year
 16 
(3,192,987)
(4,928,751)

Net current assets
  
 
 
7,369,450
 
 
5,950,439

Total assets less current liabilities
  
7,592,923
6,132,432

  

Net assets
  
7,592,923
6,132,432

Page 10

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
REGISTERED NUMBER: 04021816
    
BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Capital and reserves
  

Called up share capital 
 17 
94
94

Profit and loss account
 18 
7,592,829
6,132,338

  
7,592,923
6,132,432


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
C L Smith
Director

Date: 29 December 2025

The notes on pages 13 to 28 form part of these financial statements.

Page 11

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 January 2023
94
5,487,317
5,487,411


Comprehensive income for the year

Profit for the year
-
645,021
645,021
Total comprehensive income for the year
-
645,021
645,021



At 1 January 2024
94
6,132,338
6,132,432


Comprehensive income for the year

Profit for the year
-
1,460,491
1,460,491
Total comprehensive income for the year
-
1,460,491
1,460,491


At 31 December 2024
94
7,592,829
7,592,923


The notes on pages 13 to 28 form part of these financial statements.

Page 12

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

Enconvo UK Limited (Previously Enreach UK Limited) is a private limited company, limited by shares, incorporated in England and Wales. The principal activity of the Company is the provision of telecommunications services. The registered office and principal place of business is Communications House, Hadley Park, Telford, Shropshire, TF1 6QJ.

The principal activity of the business is the provision of telecommunication services.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Enreach Holdings Ltd as at 31 December 2024 and these financial statements may be obtained from Companies House or the registered office of Enreach Holdings Ltd which is located at Communications House, Hadley Park, Telford, Shropshire, United Kingdom, TF1 6QJ.

 
2.3

Going concern

After making enquires, the Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. The Company therefore continues to adopt the going concern basis in preparing its financial statements.

Page 13

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

Page 14

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.5

Operating leases: the Company as lessee

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.6

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.

If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.8

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 15

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.9

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

 
2.10

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


 
2.11

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Page 16

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.12

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property
-
10%
Motor vehicles
-
20%
Fixtures & fittings
-
15%
Computer equipment
-
33%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.13

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.14

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Page 17

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.15

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.16

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.17

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

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 trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
 
Page 18

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.17
Financial instruments (continued)


Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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 the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
 
Page 19

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.17
Financial instruments (continued)


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

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The Company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. In the opinion of the Directors there are are no estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.


4.


Turnover

The whole of the turnover is attributable to the provision of telecommunication services. 

All turnover arose within the United Kingdom.


5.


Other operating income

2024
2023
£
£

Other income
2,459
-

2,459
-


Page 20

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

6.


Operating profit

The operating profit is stated after charging/(crediting):

2024
2023
£
£

Exchange differences
(31,317)
(58,289)

Other operating lease rentals
157,459
257,524

Fees payable to the Company's auditors for the audit of the financial statements
11,325
10,800


7.


Employees

Staff costs were as follows:


2024
2023
£
£

Wages and salaries
3,120,103
2,963,752

Social security costs
357,518
333,757

Cost of defined contribution scheme
67,358
47,080

3,544,979
3,344,589


The Key Management Personnel of the Company received remuneration totalling £660,742 (2023: £541,926) during the year.

During the year no directors (2023: 0) received remuneration from the Company.

The average monthly number of employees, including the Directors, during the year was as follows:


        2024
        2023
            No.
            No.







71
67


8.


Interest receivable

2024
2023
£
£


Other interest receivable
7,450
2,458

7,450
2,458

Page 21

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

9.


Interest payable and similar expenses

2024
2023
£
£


Loans from group undertakings
(9,586)
107,964

(9,586)
107,964


10.


Taxation


2024
2023
£
£

Corporation tax


Adjustments in respect of previous periods
-
8,341


-
8,341


Total current tax
-
8,341

Deferred tax

Total deferred tax
-
-


Tax on profit
-
8,341
Page 22

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
10.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 - 23.5%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
1,460,491
653,362


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.5%)
365,123
153,540

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
30,476
39,359

Capital allowances for year in excess of depreciation
(3,726)
36,825

Utilisation of tax losses
(292,424)
(229,724)

Adjustments to tax charge in respect of prior periods
-
8,341

Book profit on chargeable assets
(2,296)
-

Group relief
(97,153)
-

Total tax charge for the year
-
8,341


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 23

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

11.


Intangible assets




Licences

£



Cost


At 1 January 2024
372,444



At 31 December 2024

372,444



Amortisation


At 1 January 2024
372,444



At 31 December 2024

372,444



Net book value



At 31 December 2024
-



At 31 December 2023
-



Page 24

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

12.


Tangible fixed assets





Motor vehicles
Fixtures & fittings
Computer equipment
Total

£
£
£
£



Cost


At 1 January 2024
21,819
655,244
918,794
1,595,857


Additions
-
134,451
84,602
219,053


Disposals
(21,819)
(499,003)
(867,369)
(1,388,191)



At 31 December 2024

-
290,692
136,027
426,719



Depreciation


At 1 January 2024
21,819
605,139
786,906
1,413,864


Charge for the year on owned assets
-
36,637
43,536
80,173


Disposals
(21,819)
(499,003)
(769,969)
(1,290,791)



At 31 December 2024

-
142,773
60,473
203,246



Net book value



At 31 December 2024
-
147,919
75,554
223,473



At 31 December 2023
-
50,105
131,888
181,993


13.


Stocks

2024
2023
£
£

Finished goods and goods for resale
46,671
89,578

46,671
89,578




Page 25

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

14.


Debtors

2024
2023
£
£


Trade debtors
1,523,060
1,928,292

Amounts owed by group undertakings
7,577,593
7,523,026

Other debtors
295,000
-

Prepayments and accrued income
504,373
737,321

9,900,026
10,188,639


Amounts owed by group undertakings are repayable on demand.


15.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
615,740
600,973

615,740
600,973



16.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
327,052
234,423

Amounts owed to group undertakings
2,030,544
3,666,245

Other taxation and social security
454,079
582,856

Other creditors
13,848
17,815

Accruals and deferred income
367,464
427,412

3,192,987
4,928,751


Amounts owed to group undertakings are repayable on demand.

Page 26

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

17.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



90 (2023 - 90) Ordinary Shares of £1 each
90
90
4 (2023 - 4) A Shares of £1 each
4
4

94

94



18.


Reserves

Profit & loss account

The Profit & loss account represents accumulated undistributed profits generated since incorporation.


19.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £67,358 (2023: £47,080). Contributions totaling £13,846 (2023: £10,697) were payable to the fund at the balance sheet date.

Page 27

 
ENCONVO UK LIMITED (PREVIOUSLY ENREACH UK LIMITED)
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024


20.


Commitments under operating leases

At 31 December 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£

Land & Buildings


Not later than 1 year
110,000
95,000

Later than 1 year and not later than 5 years
407,753
356,250

517,753
451,250

2024
2023

£
£

Other


Not later than 1 year
34,019
43,021

Later than 1 year and not later than 5 years
21,032
41,951

55,051
84,972

The total cost of operating leases recognised in the profit and loss account in the year was £157,459 (2023: £257,524).


21.


Related party transactions

As the Company is a wholly owned subsidiary of the Enreach Holdings Limited sub-group, the Company has taken advantage of the exemption contained in FRS102 and has therefore not disclosed transactions or balances with other wholly owned subsidiaries that form part of the group. The financial statements of Enreach Holdings Limited, the parent Company of the sub-group, can be obtained from Companies House.


22.


Controlling party

The ultimate parent undertaking is Waterland Private Equity Investments B.V., a company incorporated in the Netherlands, which does not have any single controlling party. The registered office of the ultimate parent is Brediusweg 16, 1401 AG Bussum, The Netherlands.

 
Page 28