BIG Partners Limited - Limited company accounts 23.1

REGISTERED NUMBER: 10004139 (England and Wales)

Strategic Report, Report of the Director and

Financial Statements for the Year Ended 31 December 2022

for

BIG Partners Limited

Page

Company Information

1

Strategic Report

2

Report of the Director

4

Report of the Independent Auditors

6

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Notes to the Financial Statements

13

DIRECTOR:

Director S M S Christiansen

REGISTERED OFFICE:

1 Finsbury Avenue

London

EC2M 2PF

REGISTERED NUMBER:

10004139 (England and Wales)

AUDITORS:

Krogh & Partners Limited, (Statutory Auditor)

823 Salisbury House

29 Finsbury Circus

London

EC2M 5QQ

The director presents her strategic report for the year ended 31 December 2022.

REVIEW OF BUSINESS

BIG Partners Limited had a solid 2022 with an increase in both turnover and employee numbers. Yearly profit has decreased compared to 2021 due to investments in office infrastructures, team and commercial procedures. Management considers the realized 15,8% EBIT margin as satisfying for the year. Primary areas of operation, UK and Middle East, continues with optimistic investment in commercial and high-end residential developments.

Management uses a range of performance measures to monitor and manage the business. The KPI's measure past performance and provide information to allow the Director to manage the business into the future. Turnover and Operating Profit indicate the volume of work carried out and its profitability. KPI's for 2022 are shown in the table below, along with prior year comparatives.

2022

2021

£'000

£'000

%

Turnover

21,694

20,217

7.3%

Profit before tax

3,441

4,639

-25.8%

Given the nature of the Company's activities the Director is satisfied with the performance of the business during the year. Dividends of £5,700,000 was paid out during 2022.

FINANCIAL RISK MANAGEMENT, OBJECTIVES AND POLICIES

The Company's operations expose it to a variety of financial risks that include liquidity risk, interest rate risk and foreign currency risk.

Where applicable, the Company follows BIG Group policies. The company's financial risk management is centralised to capitalise on economies of scale and synergy effects and to minimise operational risks.

Foreign currency risk

The Company is exposed to foreign currency exchange rate fluctuations between its functional currency of sterling and primarily USD. These exchange rate risks are mitigated using a USD bank account and the operating model of buying and selling in the same currency, although no formal hedging activities are undertaken.

PRINCIPAL RISKS AND UNCERTAINTIES

Brexit

In line with the guidance issued by the Financial Reporting Council (FRC), the leadership team continues to assess, on an ongoing basis, the consequential risks and uncertainties in the political and economic environment following the UK officially leaving the EU as of 1 st January 2021, and the impacts of those risks and uncertainties on the Company.

PRINCIPAL RISKS AND UNCERTAINTIES - Continued

Brexit

The Director has considered these regular updates and have monitored the impact on the company since the UK left the EU. Whilst the short and medium-term impact of Brexit remains uncertain, the leadership team continue to believe that Company is not likely to be materially directly impacted by Brexit and that appropriate plans are in place to manage any other impact.

Since the 1 January 2022 the company have not observed any major changes to activities with the company primarily providing services to its customers outside of the EU and in UK. The leadership team will continue to assess the wider impact of Brexit on an ongoing basis.

ON BEHALF OF THE BOARD:

Director S M S Christiansen - Director

10 May 2023

The director presents her report with the financial statements of the company for the year ended 31 December 2022.

PRINCIPAL ACTIVITY

BIG Partners Limited's activity is architectural and design work. The Director is not aware, at the date of this report, of any likely significant changes in the Company's activities in the forthcoming financial year.

DIVIDENDS

Interim dividends per share were paid as follows:

285

- 3 November 2022

285

- 28 December 2022

570

The director recommends that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2022 will be £ 5,700,000 .

DIRECTOR

Director S M S Christiansen held office during the whole of the period from 1 January 2022 to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Strategic Report, the Report of the Director 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 she 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 her to ensure that the financial statements comply with the Companies Act 2006. She 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 she has taken all the steps that she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Krogh & Partners Limited, (Statutory Auditor), will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Director S M S Christiansen - Director

10 May 2023

Opinion

We have audited the financial statements of BIG Partners Limited (the 'company') for the year ended 31 December 2022 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 31 December 2022 and of its profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, 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 Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Director 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 Report of the Director.

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 four, 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:

-

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

-

we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge of the business;

-

we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection, and anti-bribery;

-

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

-

identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

-

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;

-

considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation;

-

enquiring of management as to actual and potential litigation and claims;

-

reviewing correspondence with HMRC and relevant regulators

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or 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.

John Lindegaard (Senior Statutory Auditor)

for and on behalf of Krogh & Partners Limited, (Statutory Auditor)

823 Salisbury House

29 Finsbury Circus

London

EC2M 5QQ

10 May 2023

TURNOVER

21,694,377

20,216,569

Cost of sales

16,100,510

13,497,725

GROSS PROFIT

5,593,867

6,718,844

Administrative expenses

3,198,445

1,961,657

OPERATING PROFIT

4

2,395,422

4,757,187

Interest receivable and similar income

1,045,276

16,580

3,440,698

4,773,767

Interest payable and similar expenses

5

-

134,937

PROFIT BEFORE TAXATION

3,440,698

4,638,830

Tax on profit

6

612,865

932,153

PROFIT FOR THE FINANCIAL YEAR

2,827,833

3,706,677

PROFIT FOR THE YEAR

2,827,833

3,706,677

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

2,827,833

3,706,677

FIXED ASSETS

Tangible assets

8

1,795,320

1,755,072

CURRENT ASSETS

Debtors

9

9,848,888

9,921,266

Cash at bank

1,051,215

3,571,115

10,900,103

13,492,381

CREDITORS

Amounts falling due within one year

10

9,667,415

9,172,278

NET CURRENT ASSETS

1,232,688

4,320,103

TOTAL ASSETS LESS CURRENT LIABILITIES

3,028,008

6,075,175

PROVISIONS FOR LIABILITIES

11

170,000

345,000

NET ASSETS

2,858,008

5,730,175

CAPITAL AND RESERVES

Called up share capital

12

100

100

Retained earnings

2,857,908

5,730,075

SHAREHOLDERS' FUNDS

2,858,008

5,730,175

The financial statements were approved by the director and authorised for issue on 10 May 2023 and were signed by:

Director S M S Christiansen - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2021

100

7,223,398

7,223,498

Changes in equity

Dividends

-

(5,200,000

)

(5,200,000

)

Total comprehensive income

-

3,706,677

3,706,677

Balance at 31 December 2021

100

5,730,075

5,730,175

Changes in equity

Dividends

-

(5,700,000

)

(5,700,000

)

Total comprehensive income

-

2,827,833

2,827,833

Balance at 31 December 2022

100

2,857,908

2,858,008

1.	STATUTORY INFORMATION

BIG Partners 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.

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.

Financial Reporting Standard 102 - reduced disclosure exemptions

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.

Turnover

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

Contract work in progress is recognised at the rate of completion, which means that revenue equals the selling price of the work completed for the year (percentage-of-completion method). This method is applied when total revenues and expenses in respect of the contract and the stage of completion at the balance sheet date can be measured reliably, and it is probable that the economic benefits, including payments, will flow to the Company. The stage of completion is determined on the basis of the ratio between the expenses incurred and the total expected expenses of the contract.

Tangible fixed assets

Tangible assets are stated at cost, net of depreciation and any provision for impairment.

Depreciation on fixed assets is provided at rates estimated to write off the cost amounts, less estimated residual value, of each asset over its expected useful life of 3-5 years.

Debtors

Debtors are valued individually and there are made provisions according to this valuation.

Creditors

Creditors are carried at payment or settlement amounts. Where the time value of money is material, creditors are carried at amortised cost.

Taxation

Taxation for the year 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 year 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.

3.	EMPLOYEES AND DIRECTORS

2022

2021

£

£

Wages and salaries

7,569,282

5,055,751

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

2022

2021

Average number of employees

118

90

2022

2021

£

£

Director's remuneration

-

-

4.	OPERATING PROFIT

2021

2021

The operating profit is stated after charging:

£

£

Audit remuneration:

- Audit services

10,000

10,000

- Tax compliance service

2,000

2,000

- Other services

8,500

8,500

20,500

20,500

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

2022

2021

£

£

Foreign exchange losses

-

134,937

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2022

2021

£

£

Current tax:

UK corporation tax

787,865

627,153

Deferred tax

(175,000

)

305,000

Tax on profit

612,865

932,153

7.

DIVIDENDS

2022

2021

£

£

Ordinary shares of 0.01 each

Interim

5,700,000

5,200,000

8.	TANGIBLE FIXED ASSETS

Fixtures

Leasehold

and

Computer

improvements

fittings

equipment

Totals

£

£

£

£

COST

At 1 January 2022

1,594,208

479,374

93,060

2,166,642

Additions

290,553

393,697

70,573

754,823

At 31 December 2022

1,884,761

873,071

163,633

2,921,465

DEPRECIATION

At 1 January 2022

90,029

262,212

59,329

411,570

Charge for year

555,466

133,195

25,914

714,575

At 31 December 2022

645,495

395,407

85,243

1,126,145

NET BOOK VALUE

At 31 December 2022

1,239,266

477,664

78,390

1,795,320

At 31 December 2021

1,504,179

217,162

33,731

1,755,072

9.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade debtors

7,634,484

8,861,246

Work in progress

653,668

-

Other debtors

2,559

791

Tax

749,555

177,785

VAT

56,050

353,498

Prepayments and accrued income

752,572

527,946

9,848,888

9,921,266

10.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade creditors

780,180

409,114

Work in progress

-

2,141,375

Amounts owed to group undertakings

7,274,352

5,924,908

Social security and other taxes

235,896

455,381

Other creditors

1,376,987

241,500

9,667,415

9,172,278

11.	PROVISIONS FOR LIABILITIES

2022

2021

£

£

Deferred tax

Accelerated capital allowances

170,000

345,000

Deferred

tax

£

Balance at 1 January 2022

345,000

Utilised during year

(175,000

)

Balance at 31 December 2022

170,000

12.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2022

2021

value:

£

£

10,000

Ordinary

0.01

100

100

13.	FUTURE FINANCIAL COMMITMENTS

At 31 December 2022 the company had total commitments under non-cancellable operating leases as follows:

Land and

buildings

Other

£

£

Operating leases which expire:

Within one year

1,238,650

2,830

In the second to fifth year

2,512,340

0

After five year

0

0

3,750,990

2,830

14.	ULTIMATE CONTROLLING PARTY

The director consider BIG Development ApS (incorporated in Denmark) as the ultimate parent company. The director considered Bjarke Bundgaard Ingels to be the ultimate controlling party by virtue of his interest in the share capital of this company's ultimate parent company.

BIG Development ApS is the largest group to consolidate these financial statements and copies can be obtained from:

BIG Development ApS

Kloeverbladsgade 56

2500 Valby

Denmark