REGISTERED NUMBER: 02547741 (England and Wales)

Strategic Report, Director's Report and

Financial Statements for the Period 1 April 2024 to 30 March 2025

for

Ant Marketing Limited

Page

Company Information

1

Strategic Report

2

Director's Report

7

Report of the Independent Auditors

9

Income Statement

12

Other Comprehensive Income

13

Balance Sheet

14

Statement of Changes in Equity

15

Notes to the Financial Statements

16

DIRECTOR:

Mr A W Hinchliffe

REGISTERED OFFICE:

The Chambers

14 Church Street

Sheffield

South Yorkshire

S1 2GN

REGISTERED NUMBER:

02547741 (England and Wales)

INDEPENDENT AUDITORS:

Landin Wilcock & Co

Statutory Auditor

68 Queen Street

Sheffield

South Yorkshire

S1 1WR

BANKERS:

HSBC

Sheffield & Rotherham Business Centre

South Yorkshire Commercial Centre

Unit 4 Europa Park

Sheffield

South Yorkshire

S9 1XE

The director presents his strategic report for the period 1 April 2024 to 30 March 2025.

Review of the Business

The year ended 30 March 2025 was a further year of consolidation for Ant Marketing Limited following the significant restructuring and cost reduction measures undertaken in the previous financial year. Trading conditions remained challenging in the contact centre and outsourced sales sectors, with continued pressure on client budgets, competitive pricing and the need to adapt to changing client demand.

Against this backdrop, the company focused on protecting core client relationships, maintaining service quality, controlling costs and preserving liquidity. Turnover reduced during the year; however, the business continued to operate from a materially leaner cost base, maintained positive gross margins and preserved a strong balance sheet. The director considers that the actions taken during FY2024 and FY2025 have created a more resilient and disciplined operating platform.

The company continued to provide telesales and call centre based marketing activities during the year and maintained its focus on UK-based service delivery, operational responsiveness and compliance. Management also continued to invest selectively in infrastructure, technology and operational capability where this supported client service delivery and future growth opportunities.

Financial Performance

Turnover for the year was £6.926 million (2024: £8.489 million), reflecting lower activity levels and continued market pressures. Cost of sales reduced to £5.099 million (2024: £6.213 million), resulting in gross profit of £1.827 million (2024: £2.276 million). The gross profit margin was 26.38% (2024: 26.81%), demonstrating that the company continued to generate positive gross margins despite the lower revenue base.

Administrative expenses increased to £3.153 million (2024: £3.048 million). Other operating income increased to £189k (2024: £146k), including rental and sundry income. The operating loss was £1,102k (2024: £626k). After net finance costs, the company reported a loss before taxation of £1,250k (2024: loss of £746k) and a loss for the financial year of £1,190k (2024: loss of £706k).

The director is disappointed that the company remained loss-making, but notes that the loss before taxation reduced despite the lower turnover when the exceptional item noted below has been accounted for. This reflects the continued benefit of the reduced overhead base and the focus on aligning resources to current trading levels. Management remains focused on returning the business to sustainable profitability through revenue development, disciplined cost control and working capital management.

The balance sheet remained robust at the year end. Fixed assets totalled £4.933 million (2024: £5.123 million), including intangible assets of £694k, tangible assets of £2.349 million and investment property of £1.856 million. Net current assets were £2.489 million (2024: £3.688 million), and net assets were £5.519 million (2024: £6.709 million).

Cost Management

Cost management remained a key priority throughout FY2025. The company continued to benefit from the restructuring and cost reduction measures implemented in the previous year, while also taking further action to ensure that the cost base remained aligned to trading activity.

Employee costs remained the largest cost category. Total wages, social security and pension costs were £5.762 million (2024: £6.979 million), including direct labour within cost of sales and administrative staffing costs. Management continued to balance the need for efficiency with the importance of retaining the experience and capability required to deliver client services.

Several overhead categories reduced materially during the year. Rent reduced to £60k (2024: £144k), insurance reduced to £89k (2024: £143k), computer costs reduced to £142k (2024: £236k), legal fees reduced to £92k (2024: £189k), and advertising reduced to £23k (2024: £40k). These reductions demonstrate the ongoing discipline applied to discretionary expenditure and operating overheads.

The company also incurred charges including amortisation of intangible fixed assets of £103k, depreciation of tangible fixed assets of £259k, impairment losses for tangible fixed assets of £43k, bad debts of £38k and written off connected loans of £871k (which management believe to be exceptional costs)k. Management will continue to scrutinise non-recurring and non-cash charges, while maintaining appropriate accounting treatment and disclosure.

Operational Resilience

Despite the challenging trading environment and reduced turnover, Ant Marketing continued to deliver dependable contact centre and outsourced sales services to its clients. The company retained important client relationships and continued to focus on operational performance, service standards and responsiveness. The director believes that maintaining service quality through the period of consolidation has been central to preserving the company's future growth prospects.

The company continued to use its operational asset base to support client delivery. Tangible fixed assets included freehold property with a net book value of £1.931 million, together with plant, machinery, fixtures, fittings and motor vehicles. Investment property was carried at £1.856 million. These assets continue to provide operational and balance sheet support to the business.

Technology and systems remain important to operational resilience. The company continued to maintain its telecommunications, computer and service delivery infrastructure, while keeping expenditure under review. Management will continue to invest selectively where technology can improve efficiency, reporting, service quality or scalability.

The company also remains dependent on the skills and commitment of its workforce. Recruitment, retention and employee engagement continue to be important as the company seeks to convert new opportunities and support client activity. Management is focused on retaining key experience, developing staff capability and maintaining an efficient operating structure.

Working Capital, Funding and Going Concern

Working capital and liquidity continued to be actively managed throughout the year. At 30 March 2025, the company reported current assets of £4.995 million, comprising principally trade and other debtors, intercompany balances and cash resources. Current liabilities totalled £2.506 million, resulting in net current assets of £2.489 million. Debtors included trade debtors of £1.108 million, amounts owed by group undertakings of £2.597 million, other debtors of £268k and directors' current account balances of £882k.

To support its working capital requirements, the company continued to utilise a range of banking and finance facilities. Amounts due within one year included bank loans and overdrafts of £121k, other loans of £6k, hire purchase obligations of £138k and invoice financing liabilities of £570k. Amounts due after more than one year comprised bank loans of £1.762 million and hire purchase obligations of £89k. Bank loans and overdrafts are secured by fixed and floating charges over the company's assets, whilst hire purchase liabilities are secured against the assets to which the agreements relate.

In assessing the appropriateness of the going concern basis of preparation, the director has considered the company's financial performance, available funding facilities, cash flow forecasts, customer retention, operational requirements, key personnel, new business opportunities and the recoverability of intercompany balances. Detailed cash flow forecasts and profit projections have been prepared covering the period through to June 2027. These forecasts indicate that the company will require additional funding during the forecast period to support its ongoing working capital requirements.

The company continues to benefit from the support of its banking and finance providers and has remained compliant with all funding obligations and financial covenants throughout the year and up to the date of approval of these financial statements. The company is currently engaged in advanced discussions with finance providers regarding a refinancing package and indicative terms have been agreed, subject to the completion of due diligence, valuation work and final credit approval procedures. Based on the progress made to date, the director remains confident that the refinancing process will be successfully concluded and that sufficient funding will be available to support the company's forecast operational and working capital requirements.

The director has also considered the recoverability and liquidity of intercompany loan balances included within current assets. Whilst certain balances are not immediately liquid in nature, management continues to evaluate opportunities to realise value through the refinancing and, where appropriate, the disposal or refinancing of selected assets. The proceeds from such arrangements would be available to support the working capital requirements of the company if required. The director continues to monitor this area carefully due to its importance to the company's liquidity position.

In addition to management's own assessment, the company obtained an independent review of its going concern assessment. The review considered the company's financial information, management accounts, cash flow forecasts and supporting documentation. The independent adviser concluded that there is a credible and supportable basis for preparing the financial statements on a going concern basis and that the company is justified in continuing to adopt the going concern basis of preparation, subject to appropriate oversight, regular review of the underlying assumptions and ongoing monitoring of working capital and funding requirements.

The independent adviser also considered the company's agreed HMRC Time to Pay arrangement in respect of VAT arrears and concluded that this provides additional support to the company's short-term liquidity position, provided that the agreed repayment terms continue to be met. At 30 March 2025, current liabilities included VAT of £254k, social security and other taxation liabilities of £166k and corporation tax liabilities of £114k. Management continues to monitor cash flow forecasting, working capital management, conversion of new business opportunities and ongoing funding requirements.

Whilst the director remains confident that the proposed refinancing will be completed successfully, the transaction had not been formally concluded at the date of approval of these financial statements. Accordingly, a material uncertainty remains in relation to the successful completion of the refinancing process. Nevertheless, having regard to the progress made to date, the support received from finance providers, the company's asset base, the independent review undertaken and the mitigating actions available to management, the director considers it appropriate to prepare the financial statements on the going concern basis.

After reviewing the forecasts, available funding facilities, progress made in relation to the proposed refinancing, operational performance, independent professional advice and the mitigating actions available to management, the director has a reasonable expectation that the company will have adequate resources to continue in operational existence for the foreseeable future and for a period of at least twelve months from the date of approval of the financial statements. Accordingly, the director continues to adopt the going concern basis in preparing the financial statements.

PRINCIPAL RISKS AND UNCERTAINTIES

Operating risk - associated with the delivery of contact centre and outsourced sales services. This is mitigated through clear service definitions, service level criteria, operational reporting, review of key performance indicators and management action where required.

Revenue and client concentration risk - associated with client retention, changes in client demand and the timing of new contract wins. This is mitigated through close client relationship management, pipeline monitoring, service quality, sector diversification and a focus on measurable results for clients.

Financial and working capital risk - maintaining adequate working capital and appropriately structured funding remains fundamental to the operation of the business. Cash flow is reviewed regularly, forecasts are updated, facility limits and covenants are monitored and management maintains dialogue with finance providers.

Credit risk - arising from trade debtors and other receivables. This is mitigated through credit assessment of prospective clients, ongoing credit checks, aged debtor reporting, active credit control and restriction of credit terms where appropriate.

Intercompany and related party balance risk - the company has material amounts owed by group undertakings and other related balances. The director recognises that certain balances are not immediately liquid and continues to monitor recoverability, refinancing and asset realisation plans.

People risk - the company relies on experienced management and operational staff to deliver services and support growth. This risk is mitigated through retention of key personnel, staff engagement, training and maintaining an efficient but capable operating structure.

Tax and compliance risk - the company recognises the importance of maintaining compliance with tax and statutory obligations. Management monitors HMRC liabilities carefully, and remains focused on meeting repayment obligations.

FUTURE DEVELOPMENTS

Looking ahead, Ant Marketing Limited enters FY2026 with a continued focus on stabilisation, disciplined growth, working capital management and cash generation. The company remains cautious given wider economic conditions, inflationary pressures and competitive pricing in the industry, but management believes that the business has a leaner and more efficient cost base from which to pursue sustainable growth.

The strategic priorities for the coming year include protecting existing client relationships, converting new business opportunities, rebuilding revenue momentum and continuing to improve operational efficiency. The company will continue to focus on sectors where it has established expertise and will seek opportunities where its UK-based service delivery, compliance focus and operational experience provide a competitive advantage.

Management will continue to monitor forecasts, funding facilities, covenant compliance, debtor recoverability and expenditure closely. Selective investment in technology, systems and staff capability will continue where this supports productivity, service quality, reporting and scalable delivery.

In conclusion, FY2025 was a year of continued consolidation. Although revenue reduced and the company remained loss-making, the business maintained positive gross margins, and except for the exceptional loan write-off, the loss making position improved. The director remains committed to restoring sustainable profitability and delivering long-term value for clients, employees and stakeholders.

ON BEHALF OF THE BOARD:

Mr A W Hinchliffe - Director

30 July 2026

The director presents his report with the financial statements of the company for the period 1 April 2024 to 30 March 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the period under review was that of the provision of telesales and call centre based marketing activities.

DIVIDENDS

Total dividends distributed for the year will be £nil (2024 - £nil).

DIRECTOR

Mr A W Hinchliffe held office during the whole of the period from 1 April 2024 to the date of this report.

POLITICAL DONATIONS AND EXPENDITURE

During the year the company made no political donations.

EMPLOYMENT OF DISABLED PERSONS

It is the policy of the company that individuals with disabilities, whether registered or not, should receive full and fair consideration for all job vacancies for which they are suitable applicants.

Employees who become disabled during their working life will be retrained in employment wherever possible and will be given help with any necessary rehabilitation or retraining.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Strategic Report, the Director's 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 Financial Reporting Standard 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 he 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 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;

-	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 him to ensure that the financial statements comply with the Companies Act 2006. He 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Landin Wilcock & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr A W Hinchliffe - Director

30 July 2026

Opinion

We have audited the financial statements of Ant Marketing Limited (the 'company') for the period ended 30 March 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 March 2025 and of its loss for the period then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Material uncertainty related to going concern

We draw attention to the Going Concern section within the Directors' Report and Note 2 to the financial statements, which explains that the Company's cash flow forecasts indicate that additional funding will be required during the forecast period to support ongoing working capital requirements. The Company is currently engaged in advanced discussions with finance providers regarding a refinancing package, with indicative terms having been agreed subject to the completion of due diligence, valuation work and final credit approval procedures.

As disclosed in Note 2, whilst the directors remain confident that the refinancing will be successfully concluded, the transaction had not been formally completed at the date of approval of the financial statements. Accordingly, the successful completion of the refinancing process remains subject to factors outside the Company's direct control.

These events and conditions indicate that a material uncertainty exists that may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

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. However, because not all future events or conditions can be predicted, this statement is not a guarantee as to the Company's ability to continue as a going concern.

Key audit matters

Except for the matter described in the Material uncertainty related to going concern section, we have determined that there are no other key audit matters to be communicated in our report.

Other information

The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Director's Report, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the 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 the Director's 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 Director's Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of 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 Statement of Director's Responsibilities set out on page seven, 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 determines 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 intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

- minimal reliance was placed upon the operating effectiveness of internal controls in the design and performance of our substantive procedures;

- discussions were held with management considering known or suspected non-compliance with laws, regulations and fraud;

- journal entries were reviewed for any entries made outside the ordinary reporting processes with particular emphasis on those with unusual account combinations, entries crediting revenue and those without specific descriptions;

- management assumptions in their significant accounting estimates were challenged and scrutinised.

There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Mr Robert Hampstead (Senior Statutory Auditor)

for and on behalf of Landin Wilcock & Co

Statutory Auditor

68 Queen Street

Sheffield

South Yorkshire

S1 1WR

30 July 2026

TURNOVER

4

6,925,970

8,488,885

Cost of sales

(5,099,243

)

(6,212,931

)

GROSS PROFIT

1,826,727

2,275,954

Administrative expenses

(3,152,657

)

(3,047,759

)

(1,325,930

)

(771,805

)

Other operating income

189,083

146,142

Gain/loss on revaluation of investment property

35,000

-

OPERATING LOSS

6

(1,101,847

)

(625,663

)

Interest receivable and similar income

18,540

15,084

(1,083,307

)

(610,579

)

Interest payable and similar expenses

7

(166,562

)

(135,919

)

LOSS BEFORE TAXATION

(1,249,869

)

(746,498

)

Tax on loss

8

59,771

40,547

LOSS FOR THE FINANCIAL PERIOD

(1,190,098

)

(705,951

)

LOSS FOR THE PERIOD

(1,190,098

)

(705,951

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD

(1,190,098

)

(705,951

)

FIXED ASSETS

Intangible assets

9

693,550

663,287

Tangible assets

10

2,349,453

2,609,912

Investments

11

33,375

33,375

Investment property

12

1,856,299

1,815,716

4,932,677

5,122,290

CURRENT ASSETS

Debtors

13

4,992,466

5,982,978

Cash at bank and in hand

2,208

13,473

4,994,674

5,996,451

CREDITORS

Amounts falling due within one year

14

(2,505,685

)

(2,308,192

)

NET CURRENT ASSETS

2,488,989

3,688,259

TOTAL ASSETS LESS CURRENT LIABILITIES

7,421,666

8,810,549

CREDITORS

Amounts falling due after more than one year

15

(1,851,357

)

(1,997,735

)

PROVISIONS FOR LIABILITIES

19

(50,936

)

(103,343

)

NET ASSETS

5,519,373

6,709,471

CAPITAL AND RESERVES

Called up share capital

20

500,000

500,000

Retained earnings

21

5,019,373

6,209,471

SHAREHOLDERS' FUNDS

5,519,373

6,709,471

The financial statements were approved by the director and authorised for issue on 30 July 2026 and were signed by:

Mr A W Hinchliffe - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2023

500,000

6,915,422

7,415,422

Changes in equity

Total comprehensive income

-

(705,951

)

(705,951

)

Balance at 31 March 2024

500,000

6,209,471

6,709,471

Changes in equity

Total comprehensive income

-

(1,190,098

)

(1,190,098

)

Balance at 30 March 2025

500,000

5,019,373

5,519,373

1.	STATUTORY INFORMATION

Ant Marketing Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

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

•

the requirements of Section 7 Statement of Cash Flows.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Turnover

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

Revenue is recognised in the period which the services were rendered.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2007, is being amortised evenly over its estimated useful life of twenty years.

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company's interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period end. Goodwill is amortised over its useful life. Goodwill is subject to annual impairment review by the director and senior management.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Cherished number plates are deemed to have an infinite life. If there is an indication of impairment then the company would carry out an impairment review.

Website development costs are amortised over their estimated useful lives of five years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost

Improvements to property

-

10% on cost and 10% on reducing balance

Plant and machinery

-

20% on cost

Fixtures and fittings

-

10% on cost and 10% on reducing balance

Motor vehicles

-

25% on reducing balance

Tangible fixed assets are initially measured at cost. Subsequently, they are measured at cost less accumulated depreciation and impairment losses.

Financial instruments

Financial assets and financial liabilities are recognised when the company becomes 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 asset of the company after deducting all of its liabilities.

Taxation

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

Current or deferred taxation assets and liabilities are not discounted.

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

Deferred tax

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

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

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

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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

Pension costs and other post-retirement benefits

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

Fixed asset investments

Fixed asset investments are measured at fair value and determined annually by internal valuers. Changes in fair value are recognised in profit or loss.

Going concern

The director has carefully considered the company's financial performance, cash flow forecasts and funding arrangements in assessing the appropriateness of adopting the going concern basis in preparing the financial statements for the year ended 30 March 2025.

During the year ended 30 March 2025, the company reported a loss before taxation of £1,250k (2024: loss of £746k) on turnover of £6.9m (2024: £8.5m). The company maintained positive gross margins of 26.4% and continued to operate with a substantially reduced overhead base compared to prior years.

A significant proportion of the reported loss arose from exceptional write-offs of receivable balances amounting to £871k in 2025 (2024: £444k), as described in note 6 to the financial statements. Excluding these exceptional items, the underlying trading performance of the company showed a significant improvement compared with the reported statutory result.

Despite the continued challenging trading environment, the results reflect the ongoing stabilisation of the business following the significant restructuring and cost reduction measures implemented during the year ended 31 March 2024.

The director has continued to focus on operational efficiency, disciplined cost control and working capital management. Administrative expenses reduced further during the year, supported by lower staffing costs, reduced professional fees and continued rationalisation of discretionary expenditure.

The company also continued to invest selectively in operational infrastructure and technology to support long-term service delivery and future growth opportunities.

Cash flow forecasts

The director has prepared detailed cash flow forecasts and profit projections covering a period through to June 2027. These forecasts have been prepared using prudent assumptions regarding revenue growth, customer retention, staffing levels, operating costs, working capital requirements and the continued availability of funding facilities.

The assumptions applied reflect the company's current trading position, committed and recurring customer revenues, operational cost base, identified new business opportunities and the mitigating actions available to management.

The forecasts indicate that the company is expected to meet its liabilities as they fall due throughout the forecast period, subject to the successful completion of the refinancing process described below and the continued availability of existing funding facilities.

Refinancing arrangements

The director' forecasts indicate that the company will require additional funding during the forecast period to support its forecast working capital requirements. The company is currently engaged in advanced discussions with finance providers regarding a refinancing package and indicative terms have been agreed, subject to completion of due diligence, valuation work and final credit approval processes.

The director has taken these confirmations, together with the advanced stage of the refinancing process, into account when assessing the company's ability to continue as a going concern.

The director remains confident that the refinancing will be successfully completed. However, at the date of approval of these financial statements, the refinancing documentation had not been legally completed and the related funds had not been drawn down.

The company's cash flow forecasts are therefore dependent upon the refinancing completing within the anticipated timeframe.

Consequently, the timing and formal completion of the refinancing represents a material uncertainty that may cast significant doubt upon the company's ability to continue as a going concern. This uncertainty does not relate to the current availability of the proposed funding offers, which the prospective lenders have confirmed remain available subject to the matters described above.

Nevertheless, having considered the confirmations received from the prospective lenders, the advanced stage of the refinancing process, the continued availability of existing funding facilities and the mitigating actions available to management, the director considers that there is a reasonable and supportable basis for preparing the financial statements on a going concern basis.

Independent professional advice

As part of the going concern assessment, the director has obtained appropriate independent professional advice (who is not the independent auditor).

This assessment included consideration of the company's financial information, management accounts, cash flow forecasts, forecast assumptions, funding arrangements and supporting documentation.

The independent professional advice obtained supported the director's conclusion that there is a credible and supportable basis for continuing to adopt the going concern basis of preparation, subject to the continued monitoring of cash flow, working capital requirements, forecast assumptions and funding arrangements.

Existing funding and director support

The company continues to benefit from the support of its banking and finance providers, including existing term loan and invoice financing facilities.

The company remained compliant with all funding obligations and financial covenants during the year and at the date of approval of these financial statements.

In addition, the director has provided personal guarantees in support of certain facilities, reflecting continued shareholder and management commitment to the business.

Intercompany balances and assets

The director has also considered the recoverability and liquidity of intercompany balances included within current assets.

While certain balances are not immediately liquid, plans remain in place to realise value through the refinancing process and, where appropriate, the disposal of selected group assets. Proceeds arising from these actions would be available to support the working capital requirements of Ant Marketing Limited, if required.

The company retains a strong net asset position of £5.5m as at 30 March 2025 (2024: £6.7m), supported by substantial property and operational asset holdings.

Current assets exceeded current liabilities by approximately £3.1m at the year end, providing additional balance sheet strength and liquidity support.

Conclusion

After reviewing the forecasts, available funding facilities, progress made in relation to the proposed refinancing, operational performance, independent professional advice and the mitigating actions available to management, the director have a reasonable expectation that the company will have adequate resources to continue in operational existence for the foreseeable future and for a period of at least twelve months from the date of approval of these financial statements.

Accordingly, notwithstanding the material uncertainty relating to the timing and formal completion of the refinancing described above, the director continues to adopt the going concern basis in preparing the financial statements.

3.	KEY SOURCES OF ESTIMATION UNCERTAINTY

Goodwill is a material balance within the financial statements that is subject to estimation uncertainty. The director and senior management review the goodwill valuation on an annual basis. The basis of the review is to examine future earnings of the company over the amortisation period, discounted to a present value. If the discounted earnings are less than the goodwill valuation, an impairment loss is recognised. Goodwill is not revalued in the event that discounted earnings exceed the original valuation.

Determination of the future earnings of the company is based upon detailed forecasts prepared by senior management. The main underlying assumption is that the earnings in the period between the balance sheet date and the date of approval of the financial statements will continue throughout the amortisation period adjusted for any known temporary peaks or troughs in earnings.

Following the review in the current year, the director believes that the goodwill is not impaired.

The carrying value of the goodwill subject to estimation uncertainty is £200,000 (2024 - £300,000).

4.

TURNOVER

The turnover and loss before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

Period

1/4/24

to

Year Ended

30/3/25

31/3/24

£

£

Rendering of services

6,925,970

8,488,885

6,925,970

8,488,885

5.	EMPLOYEES AND DIRECTORS

Period

1/4/24

to

Year Ended

30/3/25

31/3/24

£

£

Wages and salaries

5,320,384

6,515,078

Social security costs

368,740

387,052

Other pension costs

72,825

76,572

5,761,949

6,978,702

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

Period

1/4/24

to

Year Ended

30/3/25

31/3/24

Operators and administrative staff

197

416

Directors

1

1

198

417

Period

1/4/24

to

Year Ended

30/3/25

31/3/24

£

£

Director's remuneration

123,200

120,000

6.	OPERATING LOSS

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

Period

1/4/24

to

Year Ended

30/3/25

31/3/24

£

£

Hire of plant and machinery

24,412

22,630

Other operating leases

60,000

144,000

Depreciation - owned assets

187,649

215,695

Depreciation - assets on hire purchase contracts and finance leases

71,760

59,028

(Profit)/loss on disposal of fixed assets

(861

)

9,193

Goodwill amortisation

100,000

100,000

Computer software amortisation

3,097

3,097

Auditors' remuneration

35,500

25,000

Foreign exchange differences

3,068

1,683

Written off connected party loans

870,526

444,374