First Choice Fruit and Produce Ltd

Strategic Report for the Year Ended 31 October 2024

The director presents his strategic report for the year ended 31 October 2024.

Principal activity

The principal activity of the company is wholesale of fruit and vegetables.

Fair review of the business

The results for the year and financial position of the company are shown in the annexed financial statements.

The results for the year were impacted by the closure of the Slough centre whilst at the same time remodelling and upgrading the capacity of the London distribution centre. This will result in cost savings and efficiencies in distribution.The director is confident of returning to the usual profitability in the forthcoming year.

Principal risks and uncertainties

The principal risk of uncertainties are:

Management risks

The management of the company is tightly controlled by the director. Strategic matters and future development decisions are carried out by the director.

Credit risks

The company is exposed to credit given to its customers. This is managed by regular reviews and controls of outstanding amounts.

Liquidity risks

The Company 's view is that any exposure to liquidity risk is small. The Company has committed facilities which management believes are adequate for operational requirements and any planned expansion & business development. The cash flow and working capital requirement of the business is strictly monitored by the management team on a regular basis.

Supply risks

The Company has a broad supplier base to ensure orderly continuity of the supply of the fruits and vegetables.

Commercial risks

The marketplace is competitive, hence there is a risk of business loss. To mitigate against this risk we have established a wide portfolio of customers, and continually focus on value, service & quality to ensure we retain those customers.

Regulatory risks

The Company's activities are subject to certain regulations around health and safety. The Company has detailed policies and training plans in place for employees to ensure compliance with regulations.

Cyber security risks
The Company 's priority is the security of its technology platform and data. It continuously updates and adapts its defences against potential cyber security threats. First Choice has in place very robust processes, technology and protections to counter the evolving cyber-security risks and to mitigate their impact if they materialise.

First Choice Fruit and Produce Ltd

Strategic Report for the Year Ended 31 October 2024

Financial risks

See Financial Instruments under director's report.

The company's key financial and other performance indicators during the year were as follows:

Financial KPIs	Unit	2024	2023
Gross Profit to turnover	%	28.24	35.18
Net profit/(loss) before tax to turnover	%	(1.54)	6.35
Trade debtors to sales	days	51	61
Trade creditors to cos	days	68	61
Current assets: current liabilities	times	1.42	1.65
Cash and cash equivalents	£	815,610	1,375,832

Supplier confidence
The company maintains an excellent relationship with all its suppliers.

Customer satisfaction
The company aims to maintain good relationship with all its customers.

Employee relationship
The company operates non discriminatory policies on the employment and welfare of staff. Health and safety policies are strictly adhered to by ensuring staff are properly trained in handling goods & heavy packaging and operating machinery. The employee/manager relationship and complaint procedures are regularly reviewed by management. The company also maintains a healthy and productive relationship with its employees.

Approved and authorised by the director on 14 November 2025
 

......................................... Mr Daniel McCullough Director

First Choice Fruit and Produce Ltd

Director's Report for the Year Ended 31 October 2024

The director presents his report and the financial statements for the year ended 31 October 2024.

Director of the company

The director who held office during the year was as follows:

Mr Daniel McCullough

Results and dividends

Turnover of the business for the year ended 31 October 2024 was £19,028,353 (2023: £19,242,359). Profit/(loss) for the financial year before taxation amounted to (£294,046) (2023: profit £1,223,317).

The total distribution of dividends for the year ended 31 October 2024 is £225,500 (2023: £254,000).

Financial instruments

Objectives and policies

Management regularly monitor foreign currency exchange rates.Management also keep an eye on the interest rates. The company’s objectives is to minimise exchange losses and reduce the debtors days in order to reduce interest costs.

Price risk, credit risk and liquidity risk

Price risk

Price variability in the supply chain caused by variable weather conditions in any year affecting levels of available supply and hence price.

Interest rate risk

The company finances its operations a mixture of retained profits, hire purchases, bank loans and inter company loans.

Credit risk

The company monitors credit risk closely and considers that its current policies of credit checks meet its objective of managing exposure to credit risk.

Future developments

The company expects to maintain its relationship with its suppliers and the loyalty of its customers and hopes to continue exploring new markets.

Related Party Transaction

The Director had no material interest at any time during the year in any contracts of significance in relation to the business of the Company other then that stated in notes 22 & 23 to the financial statements.

Taxation Status

The company is a close company within the provision of the Income and Corporation Taxes Act 2010.

Post balance sheet events

No events of note has taken place since balance sheet date.

Fixed assets

Changes in fixed assets are shown in notes 12 & 13 to the financial statement.

First Choice Fruit and Produce Ltd

Director's Report for the Year Ended 31 October 2024

Disclosure of information to the auditors

The director has taken 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. The director confirms that there is no relevant information that he knows of and of which he knows the auditors are unaware.

Reappointment of auditors

In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Mehta & Tengra as auditors of the company is to be proposed at the forthcoming Annual General Meeting.

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.

Approved and authorised by the director on 14 November 2025
 

......................................... Mr Daniel McCullough Director

First Choice Fruit and Produce Ltd

Statement of Director's Responsibilities

The director acknowledges his responsibilities 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). 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 apply them consistently;

•	make judgements and accounting estimates that are reasonable and prudent;

•	state whether applicable United Kingdom 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.

First Choice Fruit and Produce Ltd

Independent Auditor's Report to the Members of First Choice Fruit and Produce Ltd

Opinion

We have audited the financial statements of First Choice Fruit and Produce Ltd (the 'company') for the year ended 31 October 2024, which comprise the Profit and Loss Account, Statement of 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 31 October 2024 and of its loss for the year then ended;
•	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
•	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor 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.

However, with respects to the opening balances and comparative information shown on the financial statements, we have not sought to obtain further audit evidence as the financial statements for the previous year were not audited. In forming our opinion, we have used other audit evidence to evaluate the overall adequacy of the information shown on the financial statements. We believe that the audit evidence that we have obtained, is sufficient and appropriate to provide a basis of 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 original financial statements were 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 director are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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.

First Choice Fruit and Produce Ltd

Independent Auditor's Report to the Members of First Choice Fruit and Produce Ltd

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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matter 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 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 have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our 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 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 the director

As explained more fully in the Statement of Director's Responsibilities [set out on page 6], 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 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 intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor Responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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.

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

First Choice Fruit and Produce Ltd

Independent Auditor's Report to the Members of First Choice Fruit and Produce Ltd

In identifying and assessing risks of material misstatements in respect of irregularities, including fraud and
non-compliance and regulations, we considered the following:

- the nature of the industry and sector, control environment and business performance including the design of company's remuneration policies, key drivers for directors' remuneration, bonus levels and performance targets.
- results of our enquiries of management about their own identification and assessment of the risks and
irregularities;
- any matters we identified having obtained and reviewed the company's documentation of their policies and
procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances
of non-compliance;
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or
alleged fraud;
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;

As a result of these procedures, we considered the opportunities and incentives that may exist within the
organisation for fraud and identified that greatest potential for fraud is revenue recognition. In common with all
audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of
management override.

We also obtained an understanding of the legal and regulatory framework that the company operates in,
focusing on provisions of those laws and regulations that had a direct effect on the determination of material
amounts and disclosures in the financial statements. The key laws and regulations we considered in this context
include the UK Companies Act, pension legislation and tax legislation.

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

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 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.

First Choice Fruit and Produce Ltd

Independent Auditor's Report to the Members of First Choice Fruit and Produce Ltd

........................................................................
J J Mehta (Senior Statutory Auditor)
For and on behalf of Mehta & Tengra,
Chartered Accountants
Statutory Auditors
9 Berners Place
London
W1T 3AD

14 November 2025

First Choice Fruit and Produce Ltd

Profit and Loss Account for the Year Ended 31 October 2024

	Note	2024 £	2023 £
Turnover	3	19,028,353	19,242,359
Cost of sales		(13,654,689)	(12,473,779)
Gross profit		5,373,664	6,768,580
Administrative expenses		(5,713,638)	(5,563,878)
Other operating income	4	31,333	-
Operating (loss)/profit	5	(308,641)	1,204,702
Other interest receivable and similar income	6	46,333	19,134
Interest payable and similar expenses	7	(31,738)	(519)
		14,595	18,615
(Loss)/profit before tax		(294,046)	1,223,317
Tax on (loss)/profit	11	(242,739)	(351)
(Loss)/profit for the financial year		(536,785)	1,222,966

The above results were derived from continuing operations.

The company has no recognised gains or losses for the year other than the results above.

First Choice Fruit and Produce Ltd

Statement of Comprehensive Income for the Year Ended 31 October 2024

	2024 £	2023 £
(Loss)/profit for the year	(536,785)	1,222,966
Total comprehensive income for the year	(536,785)	1,222,966

First Choice Fruit and Produce Ltd

(Registration number: 04565179)
Balance Sheet as at 31 October 2024

	Note	2024 £	2023 £
Fixed assets
Intangible assets	12	2	2
Tangible assets	13	2,198,841	1,467,548
		2,198,843	1,467,550
Current assets
Stocks	14	323,291	345,538
Debtors	15	3,530,881	3,776,093
Cash at bank and in hand		815,610	1,375,832
		4,669,782	5,497,463
Creditors: Amounts falling due within one year	17	(3,274,448)	(3,328,082)
Net current assets		1,395,334	2,169,381
Total assets less current liabilities		3,594,177	3,636,931
Creditors: Amounts falling due after more than one year	17	(1,161,685)	(684,894)
Provisions for liabilities	18	(392,922)	(150,182)
Net assets		2,039,570	2,801,855
Capital and reserves
Called up share capital		1	1
Retained earnings		2,039,569	2,801,854
Shareholders' funds		2,039,570	2,801,855

Approved and authorised by the director on 14 November 2025
 

......................................... Mr Daniel McCullough Director

First Choice Fruit and Produce Ltd

Statement of Changes in Equity for the Year Ended 31 October 2024

	Share capital £	Retained earnings £	Total £
At 1 November 2023	1	2,801,854	2,801,855
Loss for the year	-	(536,785)	(536,785)
Dividends	-	(225,500)	(225,500)
At 31 October 2024	1	2,039,569	2,039,570