Company No:
Contents
| DIRECTOR | Edwin De Grey Allingham |
| SECRETARY | Tessa Rachel Allingham |
| REGISTERED OFFICE | Forge House |
| Little Cressingham | |
| Thetford | |
| Norfolk | |
| IP25 6ND | |
| United Kingdom |
| COMPANY NUMBER | 02925277 (England and Wales) |
| AUDITOR | Annatrice Limited |
| Statutory Auditor | |
| 10, The Thoroughfare | |
| Harleston | |
| Norfolk | |
| IP20 9AX |
| BANKERS | HSBC |
| 18 London Street | |
| Norwich | |
| Norfolk | |
| NR2 1LG |
The director presents their Strategic Report for the financial year ended 31 August 2025.
REVIEW OF THE BUSINESS
The results of the company for the year as set out on pages 7 to 10 show a profit on ordinary activities before tax of £1,221,199 (2024 - £1,296,523). The shareholders’ funds total £3,408,087 (2024 - £5,636,751). The directors are satisfied with the turnover and profit for the year and expect no significant changes in the new year and the company is well placed to take advantage of any future opportunities which may arise.
The directors consider that the company's key performance indicators are level of turnover, which has decreased in the year from £22,244,431, to £20,186,945 and cash generated.
PRINCIPAL RISKS AND UNCERTAINTIES
As with any business, the company can be affected by a number of risks and uncertainties, some of which are beyond its control. The directors consider the principal risk is around freight rates and delays and the exposure to foreign currency fluctuations.
Current world events have resulted in supply chain issues for the company, lengthening lead times, we have managed this proactively and have mitigated much of the potential risks. Inflationary increases in costs have been dealt with by passing on price increases to customers where possible and negotiating with suppliers to mitigate increases.
The company aims to minimise financial risk in its operations by the identification and mitigation of key risk areas.
The other keys risks are interest rate risk, price risk and credit risk. The measures used by the directors to manage risks include the preparation of budgets and the regular monitoring of actual performance against these budgets.
Credit risk is significant with large value owed to the company at any one time. Debtors are therefore monitored on a regular basis and, if necessary, action taken as appropriate.
DEVELOPMENT AND PERFORMANCE
The key financial performance indicators are considered to be turnover, gross margins and cashflow. Given the straightforward nature of the business, the company's directors are of the opinion that further analysis of key performance indicators is not necessary for an understanding of the development, performance or position of the business.
Approved by the Board of Directors and signed on its behalf by:
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Edwin De Grey Allingham
Director |
The director presents this annual report on the affairs of the Company, together with the financial statements and auditors’ report, for the financial year ended 31 August 2025.
PRINCIPAL ACTIVITIES
REVIEW OF THE BUSINESS
The results for the year are set out on page 11.
DIVIDENDS
No ordinary dividends were paid. The director does not recommend payment of a final dividend.
DIRECTOR
The director, who served during the financial year and to the date of this report except as noted, was as follows:
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Auditor
The auditor, Annatrice Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
Strategic report
The company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect the review of the business and principal risks.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
Medium-sized companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium sized companies exemption.
AUDITOR
Each of the persons who is a director at the date of approval of this report confirms that:
* So far as the director is aware, there is no relevant audit information of which the Company's auditor is unaware; and
* The director has taken all the steps that they ought to have taken as a director in order to make himself/herself aware of any relevant audit information and to establish that the Company's auditor is aware of that information.
This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006.
Annatrice Limited have expressed their willingness to continue in office as auditor and appropriate arrangements have been put in place for them to be deemed reappointed as auditors in the absence of an Annual General Meeting.
Approved by and signed by the director:
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Edwin De Grey Allingham
Director |
The director is responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. Under company law the director must not approve the financial statements unless the director is 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 financial period.
In preparing these financial statements, the director is required to:
* Select suitable accounting policies and then apply them consistently;
* Make judgements and accounting estimates that are reasonable and prudent;
* State whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
* Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The director is 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. The director is 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.
We have audited the financial statements of STV International Limited for the financial year ended 31 August 2025, which comprise the Statement of Income and Retained Earnings, the Balance Sheet, the Statement of Changes in Equity, the Statement of Cash Flows, the accounting policies, and the related notes 1 to 21, including 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 of STV International Limited (the ‘Company’):
* Give a true and fair view of the state of the Company's affairs as at 31 August 2025 and of its profit for the financial year then ended;
* Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"; and
* Have been prepared in accordance with the requirements of the Companies Act 2006.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)). Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report.
We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's 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 director with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The director is responsible for the other information contained within the annual report. 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.
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.
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 Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
* The Strategic Report and Director's Report has been prepared in accordance with applicable legal requirements.
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 and the Director's 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 director's remuneration specified by law are not made; or
* We have not received all the information and explanations we require for our audit;
Responsibilities of director
As explained more fully in the Director's Responsibilities Statement, the director is 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 director 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 director is 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 director either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Extent to which the audit was considered capable of detecting irregularities, including fraud
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.
Our audit procedures included third party confirmation of balances and verification of transactions on a sample basis to provide sufficient appropriate evidence that the accounts show a true and fair view and are free from material irregularities including fraud, error and non-compliance with applicable laws and regulations. In designing these procedures and in particular we considered the risk of fraud over completeness of income, existence and valuation of assets, occurrence and measurement of expenditure and completeness of liabilities.
We considered the nature of the Company’s industry and its control environment, and reviewed the Company’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.
We obtained an understanding of the legal and regulatory framework(s) that the Company operates in, and identified the key laws and regulations that:
* had a direct effect on the determination of material amounts and disclosures in the financial statements. These included [insert relevant laws and regulations applicable to the Company (including its components) and the sector it operates in e.g. UK Companies Act, pensions legislation, tax legislation etc]; and
* do not have a direct effect on the financial statements but compliance with which may be fundamental to the Company’s ability to operate or to avoid a material penalty. (These included the Company’s operating licence / regulatory solvency requirements / environmental regulations.)
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. 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.
In addition to the above, our procedures to respond to the risks identified included the following:
* identify and assess the risks of material misstatement of the financial statements, whether due to fraud error, design and perform audit procedures responsive to those risks, and obtain audit evidence that sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
* obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control.
* conclude on the appropriateness of the directors use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the company to cease to continue as a going concern; and
* evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Use of our report
This report is made solely to the Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
For and on behalf of
Statutory Auditor
Harleston
Norfolk
IP20 9AX
| Note | 2025 | 2024 | ||
| £ | £ | |||
| Turnover | 2 |
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| Cost of sales | (
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| Gross profit |
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| Distribution costs | (
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| Administrative expenses | (
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| Operating profit |
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| Interest receivable and similar income | 3 |
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| Interest payable and similar expenses | 3 | (
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| Profit before taxation | 4 |
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| Tax on profit | 7 | (
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| Profit for the financial year |
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| Retained earnings at the beginning of financial year |
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| Profit for the financial year |
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| Movement in retained earnings | (
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| Retained earnings at the end of financial year |
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| £ | £ | |||
| Fixed assets | ||||
| Intangible assets | 8 |
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| Tangible assets | 9 |
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| 468,890 | 747,774 | |||
| Current assets | ||||
| Stocks | 10 |
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| Debtors | 11 |
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| Cash at bank and in hand |
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| 12,243,496 | 11,348,508 | |||
| Creditors: amounts falling due within one year | 12 | (
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| Net current assets | 4,057,715 | 5,601,727 | ||
| Total assets less current liabilities | 4,526,605 | 6,349,501 | ||
| Creditors: amounts falling due after more than one year | 13 | (
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| Provision for liabilities | 14 | (
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| Net assets | 3,408,907 | 5,636,751 | ||
| Capital and reserves | 16 | |||
| Called-up share capital |
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| Share premium account |
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| Capital redemption reserve |
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| Profit and loss account |
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| Total shareholders' funds | 3,408,907 | 5,636,751 |
The financial statements of STV International Limited (registered number:
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Edwin De Grey Allingham
Director |
| Called-up share capital | Share premium account | Capital redemption reserve | Profit and loss account | Total | |||||
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| Consideration of cancellation of own shares |
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| At 31 August 2025 |
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| £ | £ | ||
| Net cash flows from operating activities (note 18) |
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| Cash flows from investing activities | |||
| Proceeds from sale of plant and machinery |
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| Purchase of plant and machinery | (
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| Interest received |
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| Purchase of intangible assets | (
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| Net cash flows from investing activities |
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| Cash flows from financing activities | |||
| Repayments of borrowings | (
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| Increase / (decrease) in amounts due to trade facility and factors | 1,185,617 | (1,313,260) | |
| Payment of finance leases obligations | (86,862) | (64,690) | |
| Buy back of shares | (3,185,548) | 0 | |
| Net cash flows from financing activities | (
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| Cash and cash equivalents at beginning of year |
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| Cash and cash equivalents at end of year |
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| Reconciliation to cash at bank and in hand: | |||
| Cash at bank and in hand at end of year |
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The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.
STV International Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Forge House, Little Cressingham, , Thetford, Norfolk, IP25 6ND, United Kingdom.
The principal activities are set out in the Strategic Report.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain items at fair value, and in accordance with Financial Reporting Standard 102 (FRS 102) applicable in the UK and Republic of Ireland issued by the Financial Reporting Council and the requirements of the Companies Act 2006.
The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.
The Company’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Director's Report. The Director's Report describes the financial position of the Company; its cash flows, liquidity position and borrowing facilities; the Company’s objectives, policies and processes for managing its capital; its financial risk management objectives; details of its financial instruments and hedging activities; and its exposure to credit risk and liquidity risk.
Exchange differences are recognised in the Statement of Income and Retained Earnings in the period in which they arise except for:
* exchange differences on transactions entered into to hedge certain foreign currency risks (see above); and
* exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably
Short term benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised as an expense when the Company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the Balance Sheet date where transactions or events that result in an obligation to pay more tax in the future or a right to pay less tax in the future have occurred at the Balance Sheet date. Timing differences are differences between the Company's taxable profits and its results as stated in the financial statements that arise from the inclusion of gains and losses in tax assessments in periods different from those in which they are recognised in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that, on the basis of all available evidence, it can be regarded as more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.
When the amount that can be deducted for tax for an asset that is recognised in a business combination is less (more) than the value at which it is recognised, a deferred tax liability (asset) is recognised for the additional tax that will be paid (avoided) in respect of that difference. Similarly, a deferred tax asset (liability) is recognised for the additional tax that will be avoided (paid) because of a difference between the value at which a liability is recognised and the amount that will be assessed for tax.
Deferred tax liabilities are recognised for timing differences arising from investments in subsidiaries and associates, except where the Company is able to control the reversal of the timing difference and it is probable that it will not reverse in the foreseeable future.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the Balance Sheet date that are expected to apply to the reversal of the timing difference. Deferred tax relating to property, plant and equipment is measured using the revaluation model and investment property is measured using the tax rates and allowances that apply to the sale of the asset.
Where items recognised in the Statement of Comprehensive Income or equity are chargeable to or deductible for tax purposes, the resulting current or deferred tax expense or income is presented in the same component of comprehensive income or equity as the transaction or other event that resulted in the tax expense or income.
Current tax assets and liabilities are offset only when there is a legally enforceable right to set off the amounts and the Company intends either to settle on a net basis or to realise the asset and settle the liability simultaneously. Deferred tax assets and liabilities are offset only if: a) the Company has a legally enforceable right to set off current tax assets against current tax liabilities; and b) the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same taxation authority on the Company and the Company intends either to settle current tax liabilities and assets on a net basis, or to realise the assets and settle the liabilities simultaneously, in each future period in which significant amounts of deferred tax liabilities or assets are expected to be settled or recovered.
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| Land and buildings | not depreciated |
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| Leasehold improvements | depreciated over the life of the lease |
| Plant and machinery |
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| Computer equipment |
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The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
The Company as lessee
Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.
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.
Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either 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.
Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
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.
Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
Other financial liabilities
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Balance Sheet date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).
When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.
The company has arrangements whereby it factors its debts on a recourse basis. Accordingly, the gross amount of debts factored is included within trade debtors, and the cash advanced thereon is shown within other creditors. Interest and administration charges arising from factoring are charged to the profit the loss account when incurred.
In the application of the company’s accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that
are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
The company sells products which are subject to changing consumer demands. As a result it is necessary to consider the recoverability of the cost of the stock and the associated provisioning required. When calculating the provision, management considers the nature and age of the stock as well as applying assumptions around anticipated saleability of stock. Using these factors, a slow-moving provision of £262,478 (2024 - £328,931) has been made in these accounts.
Turnover represents the fair value of goods/services provided to customers during the financial year excluding value added tax.
Breakdown by business class
An analysis of the Company's turnover by class of business is set out below.
| 2025 | 2024 | ||
| £ | £ | ||
| Sale of goods | 20,186,945 | 22,244,431 |
Breakdown by geographical market:
An analysis of the Company's turnover by geographical market is set out below.
| 2025 | 2024 | ||
| £ | £ | ||
| United Kingdom | 15,014,028 | 15,643,680 | |
| Export EU | 711,469 | 579,941 | |
| Export Non EU | 4,461,448 | 6,020,810 | |
| 20,186,945 | 22,244,431 |
| 2025 | 2024 | ||
| £ | £ | ||
| Interest receivable and similar income |
|
|
|
| Interest payable and similar expenses | (
|
(
|
|
| (293,141) | (220,368) |
Interest receivable and similar income
| 2025 | 2024 | ||
| £ | £ | ||
| Bank interest |
|
|
Interest payable and similar expenses
| 2025 | 2024 | ||
| £ | £ | ||
| Bank loans and overdrafts | (
|
(
|
|
| Finance leases and hire purchase contracts | (
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(
|
|
| Other interest payable and similar expense | (
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(
|
|
| (
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(
|
Profit before taxation is stated after charging/(crediting):
| 2025 | 2024 | ||
| £ | £ | ||
| Depreciation of tangible fixed assets (note 9) |
|
|
|
| Research and development |
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|
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| Foreign exchange losses/(gains) |
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(
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|
| Gain on disposal of fixed assets | (
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|
| Fees payable to the company's auditor for the audit of the company's financial statements |
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| Depreciation of tangible fixed assets held under finance leases |
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| Operating lease charges |
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| 2025 | 2024 | ||
| Number | Number | ||
| The average monthly number of employees (including directors) was: | |||
| Sales and distribution |
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| Administration |
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Their aggregate remuneration comprised:
| 2025 | 2024 | ||
| £ | £ | ||
| Wages and salaries |
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| Social security costs |
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| Other retirement benefit costs |
|
|
|
| 2,360,969 | 2,458,124 |
| 2025 | 2024 | ||
| £ | £ | ||
| Director's emoluments |
|
|
Remuneration of the highest paid director
| 2025 | 2024 | ||
| £ | £ | ||
| Director's emoluments | 301,119 | 323,823 |
The director is considered to be key management.
| 2025 | 2024 | ||
| £ | £ | ||
| Current tax on profit | |||
| UK corporation tax |
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| Adjustments in respect of prior years | |||
| UK corporation tax | (
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| Total current tax |
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| Deferred tax | |||
| Origination and reversal of timing differences | (
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| Total deferred tax | (
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| Total tax on profit |
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The tax assessed for the year is higher than the standard rate of corporation tax in the UK:
| 2025 | 2024 | ||
| £ | £ | ||
| Profit before taxation | 1,221,199 | 1,296,523 | |
| Tax on profit at standard UK corporation tax rate of 25% (2024: 25%) |
|
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| Effects of: | |||
| Expenses not deductible for tax purposes |
|
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| Income not taxable in determining taxable profit | (
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| Utilisation of tax losses not previously recognised | (
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| Change in unrecognised deferred tax assets |
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| Other adjustments | 0 | 1,652 | |
| Chargeable gain | 27,506 | 0 | |
| Total tax charge for year | 188,689 | 345,000 |
The UK Corporation tax rates was 19% until 31st March 2023, from 1 April 2023 the corporation tax rate increased to 25%. Deferred taxes for both the previous and current year have been calculated using the rates enacted at the date, being 25%.
| Computer software | Total | ||
| £ | £ | ||
| Cost | |||
| At 01 September 2024 |
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| Additions |
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| At 31 August 2025 |
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| Accumulated amortisation | |||
| At 01 September 2024 |
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| At 31 August 2025 |
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| Net book value | |||
| At 31 August 2025 |
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| At 31 August 2024 |
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| Land and buildings |
Leasehold improve- ments |
Plant and machinery | Vehicles | Computer equipment | Total | ||||||
| £ | £ | £ | £ | £ | £ | ||||||
| Cost | |||||||||||
| At 01 September 2024 |
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| Additions |
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| Disposals | (
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(
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(
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| At 31 August 2025 |
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| Accumulated depreciation | |||||||||||
| At 01 September 2024 |
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| Charge for the financial year |
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| Disposals | (
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(
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(
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| At 31 August 2025 |
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| Net book value | |||||||||||
| At 31 August 2025 | 0 | 90,399 | 196,131 | 103,100 | 23,276 | 412,906 | |||||
| At 31 August 2024 | 131,514 | 120,808 | 330,162 | 136,115 | 29,175 | 747,774 | |||||
| Leased assets included above: | |||||||||||
| Net book value | |||||||||||
| At 31 August 2025 | 0 | 0 | 91,560 | 77,495 | 0 | 169,055 | |||||
| At 31 August 2024 | 0 | 0 | 186,691 | 121,921 | 0 | 308,612 |
| 2025 | 2024 | ||
| £ | £ | ||
| Stocks |
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|
| 2025 | 2024 | ||
| £ | £ | ||
| Trade debtors |
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| Corporation tax |
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| Other debtors |
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| Prepayments |
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| Amounts owed by director (note 19) |
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| 2025 | 2024 | ||
| £ | £ | ||
| Bank loans |
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| Obligations under finance leases and hire purchase contracts |
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| Trade creditors |
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| Payroll taxes payable |
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| Taxation and social security |
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| VAT |
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| Accruals |
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| Defined contribution pension scheme accrual |
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| Other creditors |
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Included within other creditors is a import trade loan facility with an outstanding balance at the year end of £3,215,111 (2024 - £2,029,493), which is secured against trade debtors.
| 2025 | 2024 | ||
| £ | £ | ||
| Bank loans and overdrafts |
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| Obligations under finance leases and hire purchase contracts |
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The bank loan is secured by a fixed and floating charge over the assets of the company.
Within the bank loans and overdrafts balance is an amount of £375,000 (2024 - £875,000). Interest is payable at 3.99% above base rate. The UK government guarantees 80% of the finance to the lender and has agreed to pay interest and any fees in the first 12 months.
| Bank loans | |||
| 2025 | 2024 | ||
| £ | £ | ||
| Between one and two years |
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| Between two and five years |
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| After five years |
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| On demand or within one year |
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| 1,551,850 | 875,000 |
| Finance leases | |||
| 2025 | 2024 | ||
| £ | £ | ||
| Between one and two years |
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| Between two and five years |
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| After five years |
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| On demand or within one year |
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| 221,750 | 308,612 |
| Total borrowings including finance leases | |||
| 2025 | 2024 | ||
| £ | £ | ||
| Between one and two years |
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| Between two and five years |
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| On demand or within one year |
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| 1,773,600 | 1,183,612 |
| 2025 | 2024 | ||
| £ | £ | ||
| Deferred tax |
|
|
| Deferred taxation | Total | ||
| £ | £ | ||
| At 01 September 2024 |
|
116,000 | |
| Credited to the Statement of Income and Retained Earnings | (
|
( 45,992) | |
| At 31 August 2025 |
|
70,008 | |
Deferred tax
| 2025 | 2024 | ||
| £ | £ | ||
| Accelerated capital allowances |
|
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| Other timing differences | (
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| Provision for deferred tax |
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The deferred tax liability set out above is expected to reverse within 12 months and relates to accelerated capital allowances and interest accrual that are expected to mature within the same period.
The carrying values of the Company’s financial assets and liabilities are summarised by category below:
| 2025 | 2024 | ||
| £ | £ | ||
| Financial assets | |||
| Measured at undiscounted amount receivable | |||
| Trade debtors (note 11) |
|
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| Other debtors (note 11) |
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| Amounts owed by director (note 11) |
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|
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| 7,714,153 | 6,704,238 | ||
| Financial liabilities | |||
| Measured at amortised cost | |||
| Bank loans and other loans | (
|
(
|
|
| Measured at undiscounted amount payable | |||
| Trade creditors (note 12) | (
|
(
|
|
| Other payables (note 12) | (
|
(
|
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| (7,091,296) | (4,196,867) |
| 2025 | 2024 | ||
| £ | £ | ||
| Allotted, called-up and fully-paid | |||
|
|
|
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| Presented as follows: | |||
| Called-up share capital presented as equity | 60 | 100 |
The share premium reserve contains the premium arising on issue of equity shares, net of issue expenses.
The profit and loss reserve represents cumulative profits or losses, net of dividends paid and other adjustments.
The capital redemption reserve represents amounts arising from the purchase of own share capital.
Commitments
Capital commitments are as follows:
| 2025 | 2024 | ||
| £ | £ | ||
| Contracted for but not provided for: | |||
| Finance leases entered into | 1,225,000 | 1,400,000 |
Total future minimum lease payments under non-cancellable operating leases are as follows:
| 2025 | 2024 | ||
| £ | £ | ||
| within one year |
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| between one and five years |
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| after five years |
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| Total future minimum lease payments under non-cancellable operating leases |
|
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| 2025 | 2024 | ||
| £ | £ | ||
| Operating profit |
|
|
|
| Adjustment for: | |||
| Depreciation and amortisation |
|
|
|
| Profit on sale of plant and equipment | (
|
|
|
| Operating cash flows before movement in working capital |
|
|
|
| Decrease in stocks |
|
|
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| Increase in debtors | (
|
(
|
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| Increase/(decrease) in creditors |
|
(
|
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| Cash generated by operations |
|
|
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| Income taxes paid | (
|
|
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| Interest paid | (
|
(
|
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| Net cash flows from operating activities |
|
|
Net debt reconciliation
| Balance at 01 September 2024 | Cash flows | Balance at 31 August 2025 | |||
| £ | £ | £ | |||
| Cash at bank and in hand | 134,110 | 316,288 | 450,398 | ||
| Borrowings excluding overdrafts | ( 2,904,493) | ( 1,862,467) | ( 4,766,960) | ||
| Obligations under finance lease | ( 308,612) | 86,862 | ( 221,750) | ||
| ( 3,078,995) | ( 1,459,317) | ( 4,538,312) | |||
| Net debt | (
|
( 1,459,317) | (
|
During the year, trading sales with related parties amounted to £269,983 (2024 - £281,880) and purchases amounted to £0 (£2024 - £322,798).
During the year, land and buildings were sold to a an entity previously with control, joint control or significant influence over the company for £300,000.
All transactions were conducted at an arms-length value.
Transactions with related parties or connected persons
Amounts due to related parties
| 2025 | 2024 | ||
| £ | £ | ||
| Entities with control, joint control or significant influence over the company | 0 | 3,442 |
Amounts due from related parties
| 2025 | 2024 | ||
| £ | £ | ||
| Entities with control, joint control or significant influence over the company | 0 | 237,245 | |
| Other related parties | 9,455 | 21,303 | |
| 9,455 | 258,548 |
Amounts due from related parties are interest free and are repayable on demand.
Transactions with the entity’s director (or members of its governing body)
Amounts owed by director
| 2025 | 2024 | ||
| £ | £ | ||
| Directors' current accounts |
|
|
The company was under the control of Mr E Allingham through the current and previous year. Mr E Allingham is the sole director and shareholder.