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Registration number: 08918820

Affinity Packaging Limited
Unaudited Filleted Abridged Financial Statements
for the Year Ended 28 February 2025

Pages for filing with Registrar

Affinity Packaging Limited

Contents

Company Information | 1
Abridged Balance Sheet | 2 to 3
Notes to the Abridged Financial Statements | 4 to 11

Affinity Packaging Limited

Company Information

Director | Mr G J Davies

Registered office | Leyprint Building Leyland Lane Leyland Lancashire PR25 1UT

Affinity Packaging Limited

(Registration number: 08918820)
Abridged Balance Sheet as at 28 February 2025

| Note | 2025 £ | 2024 £
Fixed assets |  |  |
Tangible assets | 5 | 1,998,506 | 2,204,276
Current assets |  |  |
Stocks |  | 532,776 | 163,591
Debtors |  | 4,850,567 | 4,681,309
Cash at bank and in hand |  | 13,129 | 67,364
|  | 5,396,472 | 4,912,264
Prepayments and accrued income |  | 33,040 | 82,834
Creditors: Amounts falling due within one year | 6.1 | (3,907,828) | (2,035,360)
Net current assets |  | 1,521,684 | 2,959,738
Total assets less current liabilities |  | 3,520,190 | 5,164,014
Creditors: Amounts falling due after more than one year | 6.2 | (1,839,559) | (2,136,747)
Provisions for liabilities |  | (270,930) | (364,897)
Accruals and deferred income |  | (76,861) | (110,701)
Net assets |  | 1,332,840 | 2,551,669
Capital and reserves |  |  |
Called up share capital |  | 60 | 60
Retained earnings |  | 1,332,780 | 2,551,609
Shareholders' funds |  | 1,332,840 | 2,551,669

Affinity Packaging Limited

(Registration number: 08918820)
Abridged Balance Sheet as at 28 February 2025 (continued)

For the financial year ending 28 February 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's responsibilities:

• | The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
• | The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

All of the company’s members have consented to the preparation of an Abridged Balance Sheet in accordance with Section 444(2A) of the Companies Act 2006.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the director has not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the director on 9 January 2026

......................................... Mr G J Davies Director

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025

1 | General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Leyprint Building
Leyland Lane
Leyland
Lancashire
PR25 1UT

These financial statements were authorised for issue by the director on 9 January 2026.

2 | Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These abridged financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These abridged financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

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 £.

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

2 | Accounting policies (continued)

Key sources of estimation uncertainty

Tangible fixed assets, other than investment properties, are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values. The carrying amount is £1,998,506 (2024 -£2,204,276).

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Government grants

The company recognises government grants on the accruals model under FRS102.
Grants that compensate the company for expenses incurred are recognised in profit or loss on a systematic basis in the periods in which the expenses are recognised.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

2 | Accounting policies (continued)

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when 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 and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class | Depreciation method and rate
Computer equipment | Straight line over 3 years
Fixtures and fittings | Straight line over 7 years
Plant and machinery | Straight line over 4 and 11 years
Motor vehicles | 20% reducing balance

Intangible assets

The company recognises development expenditure as an intangible fixed asset only when it can demonstrate all of the following:
(a) The technical feasibility of completing the intangible asset so that it will be available for use or sale.
(b) Its intention to complete the intangible asset and use or sell it.
(c) Its ability to use or sell the intangible asset.
(d) How the intangible asset will generate probable future economic benefits. Among other things, the entity can demonstrate the existence of a market for the output of the intangible asset or the intangible asset itself, or if it is to be used internally, the usefulness of the intangible asset.
(e) The availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset.
(f) Its ability to measure reliably the expenditure attributable to the intangible asset during its development.

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

2 | Accounting policies (continued)

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life. No amortisation is charged in the year of development. The rates used to write off the costs are as follows:

Asset class | Amortisation method and rate
Development costs | 5 years straight line

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
The cost of work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the raw materials to their present location and condition. At each reporting date, stocks are assessed for impairment.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

2 | Accounting policies (continued)

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Provisions

Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

2 | Accounting policies (continued)

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Financial instruments

Classification
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 statement of financial position 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 liability simultaneously.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. As equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

3 | Staff numbers

The average number of persons employed by the company (including the director) during the year, was 64 (2024 - 69).

4 | Intangible assets

| Total £
Cost or valuation
At 1 March 2024 | 49,882
At 28 February 2025 | 49,882
Amortisation
At 1 March 2024 | 49,882
At 28 February 2025 | 49,882
Carrying amount
At 28 February 2025 | -

No amortisation has been provided on development expenditure in the year of capitalisation in-line with the company's accounting policy.

Affinity Packaging Limited

Notes to the Abridged Financial Statements for the Year Ended 28 February 2025 (continued)

5 | Tangible assets

| Total £
Cost or valuation
At 1 March 2024 | 4,259,846
Additions | 325,109
Disposals | (49,000)
At 28 February 2025 | 4,535,955
Depreciation
At 1 March 2024 | 2,055,570
Charge for the year | 502,025
Eliminated on disposal | (20,146)
At 28 February 2025 | 2,537,449
Carrying amount
At 28 February 2025 | 1,998,506
At 29 February 2024 | 2,204,276

Included within the net book value of land and buildings above is £99,889 (2024 - £115,780) in respect of long leasehold land and buildings.

6 | Creditors

Creditors: amounts falling due within one year

Creditors falling due within one year include hire purchase contracts which are secured against the assets in which they relate of £65,216 (2024 - £7,624).
Also included within creditors falling due within one year is a balance for invoice factoring totalling £1,069,491 (2024 - £452,585).This is secured by way of a debenture including a fixed and floating charge over the assets of the company.

Creditors: amounts falling due after more than one year

Creditors falling due after one year include hire purchase contracts which are secured against the assets in which they relate of £211,818 (2024 - £8,458).