Prestige Holdings (Yorkshire) Limited - Limited company accounts 23.1

REGISTERED NUMBER: 08412146 (England and Wales)

Group Strategic Report,

Report of the Directors and

Consolidated Financial Statements

for the Year Ended 30th September 2022

for

Prestige Holdings (Yorkshire) Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

9

Report of the Independent Auditors

11

Consolidated Income Statement

15

Consolidated Other Comprehensive Income

16

Consolidated Balance Sheet

17

Company Balance Sheet

18

Consolidated Statement of Changes in Equity

19

Company Statement of Changes in Equity

20

Consolidated Cash Flow Statement

21

Notes to the Consolidated Cash Flow Statement

22

Notes to the Consolidated Financial Statements

23

DIRECTORS:

N D Stabler

A M Barnes

REGISTERED OFFICE:

Princes House

Wright Street

Hull

HU2 8HX

REGISTERED NUMBER:

08412146 (England and Wales)

AUDITORS:

Sadofskys

Statutory Auditors

Princes House

Wright Street

Hull

East Yorkshire

HU2 8HX

BANKERS:

National Westminster Bank plc

34 King Edward Street

Hull

East Yorkshire

HU1 3SS

The directors present their strategic report of the company and the group for the year ended 30th September 2022.

REVIEW OF BUSINESS

Business Model

Prestige Holdings Yorkshire Limited is a holding company of Prestige Recruitment Specialists Limited. Prestige Recruitment is an award winning agency that is now in its 31st year of trading within Yorkshire, Lincolnshire and East Anglia, with on-site operations at multiple client sites across the UK which enables them to deliver bespoke solutions for their businesses. The company supplies both temporary and permanent personnel to a wide range of sectors and areas of industry which enables them to adapt, reduces business risk by portfolio theory, and offers value in diversity.

The company prides itself on its customer retention which is only made possible by working closely with its clients, allowing it to provide a bespoke, tailor-fit service. It employs a multitude of nationalities to reach out to all interested candidates, working tirelessly to find the right fit for their abilities and aspirations. By working with a number of clients throughout a range of sectors, it feels confident in its approach to business.

These sectors include but are not limited to; Food Manufacturing and Processing, Business Support, Transport and Warehousing, Construction and Engineering, Industrial and Manufacturing, Public Sector, Healthcare, and Hospitality and Catering.

Business Strategy and Objectives

Prestige aspires to adapt to any market developments, with a desire to continue its growth and find positive opportunities as and where possible in line with its risk appetite. It believes its long-term aspirations will be possible by undertaking the following objectives;

- Expand its physical presence within the local region by opening new branches within selected locations.

- Foster relations with new and former clients and ensure their retention through effective supply.

- Expand on it brand awareness and online presence by developing marketing and digital platforms.

- Improving efficiencies and processes, such as continued investments in CRM systems, to reduce waste where possible.

- Growing its recruitment process and reach by adopting new methods such as video conferencing and online registration to overcome physical limitations.

- Strengthening margins to adapt to the changing demand in current climate.

-Rolling out new packages aimed at keeping employees benefits competitive ensuring retention within our workforce.

Business Environment

The industry environment has been ever challenging over the past twelve months due to a number of continuing factors such as Brexit, National Living Wage increases, the implementation of IR35, globally and the Coronavirus-19 pandemic, with the addition of the energy crisis and the cost of living crisis. These factors have contributed to an imbalance not previously seen between the demand for workers and the availability of candidates.

Despite this, Prestige finds itself in a favourable position due to the portfolio theory of its clients, supplying into an array of different industries helping to mitigate its risk.

2022

2021

2020

1st October 2021 to 30th September 2022

Period 1st January 2021 to 30th September 2021

Period 29th February 2020 to 31st December 2020

Turnover

£31,205,435

£26,969,993

£0

Turnover growth

15.70%

-

-

Gross profit

£2,480,935

£1,795,783

£0

GP%

7.95%

6.66%

-

1. The information presented relates to 52 weeks to 30th September each year

2. Included 2020 due to impact of COVID-19 and Brexit in the 2021 results

The Directors are pleased with the performance of the company during the year. The performance demonstrates the strengths within diversity not in only the sectors but the workforce.

The business has experienced a decline in Turnover of -17.8% during this period mainly as a result of the continued impact of end of the EU transition period on the 30th June 2021 which has affected the wider industry as a whole. The decline as a result of the end of the EU transition period was expected, however at the time of writing the last Strategic Report the true impact of both the pandemic and the end of the EU transition period were not then known.

The company is still feeling the influence of the coronavirus-19 pandemic which is still having a big effect on consumer confidence, in addition to the energy and cost of living crises which have surfaced during the financial period of which its impact is being felt in all business sectors and not isolated to recruitment. This has had a direct impact on the business with both the number of temporary workers searching for career opportunities has declined as well as the number of opportunities being reduced for those that are searching.

However, the business is happy to report that the Gross Profit margin percentage was improved upon throughout this difficult year which has helped offset the reduction in turnover for the business. The Net Profit margin percentage has fallen slightly as a result of unforeseen circumstances directly related to the cost of living crisis and energy crisis, in addition to a greater than normal expenditure in restoring our premises in the aftermath of the coronavirus-19 pandemic.

With this, the company finds itself in a strong financial position at the close of 2022.

PRINCIPAL RISKS AND UNCERTAINTIES

The company Directors are ultimately responsible for risk management and the identification of uncertainties and continue to develop policies and procedures suitable for the business and its intended strategies and operations. It continues to monitor the industry that it operates within to assess and highlight areas of risk as follows;

Competitive Risk

The business operates in a highly competitive market and faces pricing pressures from other businesses within its industry alongside the ever-changing competitive landscape. The business prides itself on the service-orientated model it has adopted and the relational capitals it has gained, whilst maintaining a pricing structure that is both appropriate and competitive in order to reduce its risk as much as possible.

Price Risk

Due to the nature of the industry the business operates in, the main fluctuation is driven through political/legal changes in the form of National Minimum Wage and Employer contributions. These changes are monitored and communicated ahead of time to its clients to ensure all risks are transferred across to them.

Compliance Risk

The company works closely with industry bodies to ensure that all regulatory requirements are met and adhered to. Regular conferences are attended to and training programs undertaken to ensure compliance with internal audits routinely conducted.

Credit Risk

The company takes every care to ensure that credit risk is kept as low as practically possible without causing any hindrance to its ability to win further business from existing and new clients. All clients, both new and those previously traded with, are subject to credit checks through an industry accepted service prior to any engagement with robust Terms and Conditions submitted once credit worthiness has been assessed and a suitable level of credit is agreed upon. Routine checks are conducted to ensure that all clients who are supplied on credit terms continue to be credit worthy with any concerns acted upon in a timely and appropriate manner. All credit exposure is managed and covered by the use of an insurance facility to ensure that the overall level of risk by the business is mitigated as much as possible, in addition to;

- Regular communication with all customers and reconciliation of statements

- Collection of receivables within agreed payment terms

- Regular review of credit status and payment performances of existing customers

Liquidity Risk

The company has arranged an invoice discounting facility through its bank to allow it to accurately and sufficient manage its liquidity. The company has sufficient reserves accumulated through years of trading which provide further protection against any negative cash flow risks.

Foreign Exchange Risk

The company does not directly deal with any foreign clients and therefore does not have any exposure to foreign currency transactions. If any transactions are to occur the nominated currency is that of its home currency as to transfer any forex risk onto the other party. It therefore does not consider currency movements to be a direct risk factor in relation to the business, but monitors the overall part played in the economy and the industry it operates in.

Interest Rate & Cash Flow Risk

The company has limited exposure to any fluctuations in interest rates due to a very low level of borrowing outside of the agreed invoice discounting facility arranged through its bank, of which is drawn at a fixed rate of interest. Therefore the company does not directly experience significant risk due to interest rate fluctuations but appreciates and monitors its impact within its industry.

Cash collection is kept robust to ensure cash flow risk is kept to an absolute minimum, with all cash outflows forecast in advance through means of projections to ensure effective management.

Cyber Security Risk

The company is aware of the amount of PII data that it holds as a result of the nature of its business. Prestige has undertaken and been awarded accreditations such as Cyber Essentials to ensure the protection of this data in addition to the robustness of its systems to mitigate the risk from cyber-crime as much as it possibly can. Ethical hackers have been previously utilised to help identify weak spots, to which improvements were made.

All data is routinely reviewed to ensure nothing is kept any longer than it need necessary be and disposed of in a secure and appropriate manner when suitable to do so.

Significant investment has been made, and is continued to do so, in its IT systems by ensuring that all firewalls and anti-viruses are current and kept up-to-date, systems are patched to the latest update and staff are trained and confident in the usage of the technology to name a few.

Backups of its systems are taken automatically at a number of points during each day to ensure business continuity.

COVID-19

The Coronavirus-19 pandemic has had a large and profound impact both locally and globally and has caused both positive and negative effects on all of Prestige's clients. The company was classified as a key supplier which allowed continued operations right throughout the pandemic with little disruption once necessary adjustments to protect all associated with the business had been made.

In conducting internal analysis, the company was able to strengthen areas of weakness to allow business continuity should further lockdowns or restrictions arise. By working closely with its clients, it was able to strengthen relationships further and it is now seeing growth as a result as well as providing knowledge and security should change in the pandemic be experienced.

Brexit

Business confidence in the UK continues to be impacted by uncertainties and conditions within the private sector as a result of both the COVID-19 pandemic and the circumstances of the withdrawal of the United Kingdom from the European Union. This has resulted with skill shortage and a lack of candidate availability against demand. Prestige Recruitment Specialists has strengthened its recruitment strategy not only expanding its overseas markets working closely with its clients with sponsorships, but driving the UK labour pools in various areas.

SECTION 172(1) STATEMENT

The Directors of Prestige Recruitment Specialists Limited individually and collectively consider the interests of their stakeholders as an ongoing priority. We are committed to, and actively encourage long term relationships and communication with our stakeholders to maximise the value of our company and its continued success. During the year we continually review policies, systems and procedures in line with our responsibilities to our stakeholders.

Consequences of long-term decisions

The Directors are aware of the long term implications on the business from the strategic decisions that they make and closely regard the impact of these decisions on both the business, its employees and stakeholders. During the year the directors reviewed and updated its 3-year plan along with its core vision, mission, and values. In performing this review, the directors balance the need to deliver continued growth in Prestige Recruitment Specialists Limited with the current capabilities and infrastructure the company currently has.

Communities

Prestige appreciates its duty and role in the local community, by engaging with neighbouring businesses, local charities and the citizens of the city, and has recently been recognised as such by being bestowed the "Business in the Community Award" category at the Hull Business Awards.

ENGAGEMENT WITH EMPLOYEES

Prestige Recruitment recognise that their biggest asset is their dedicated workforce and are key to its continued growth. The success of the business is driven primarily by the passion, attitude and focus of their employees and the company recognises this through its rewards and remuneration packages, in addition to supporting apprenticeships, providing development programs and career progression opportunities.

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

Customers

The company recognises its customer's satisfaction and loyalty as a critical success factor and is crucial to its continuing success. The company culture is to provide an excellent customer service to all of our clients, working with them to provide a bespoke solution to their recruitment needs. By implementing key performance indicators agreed upon by its clients, it ensures that these high standards are met ensuring the continued success of the business.

Suppliers and Partners

The company recognises the role of its suppliers to which are a crucial part of its success. Time is taken to build strong relationships to strength the business's supply chain, adding value for all stakeholders.

STREAMLINED ENERGY AND CARBON REPORTING

Prestige Recruitment takes its obligations to reducing its carbon footprint seriously as part of an overall aim to reduce waste and improve efficiencies and has begun working towards the ISO14001 Environmental Management Systems framework, recognising the following as key considerations in reducing its environmental impact.

The business recognises its part in reducing its carbon footprint, with an active culture of reducing energy waste instilled within the business by way of turning off lights when not in use and turning off of computers overnight in addition to the replacement of all bulbs within its offices with energy efficient LEDs. It continues to work towards becoming as energy efficient as possible by preparing to engage with the ISO14001 Management Systems framework.

Transportation

The company appreciates that the nature of its industry means that a complete reduction in fuel consumption and company mileage cannot be entirely achieved, but in attempt to improve upon existing practices it has;

- Vowed to transfer all fleet vehicles across to hybrid vehicles at worst at the end of each lease.

- Encouraged client meetings to be conducted over video-conferencing where possible as opposed to a face-to-face visit.

- Engaged its workforce by the implementation of a cycle-to-work scheme.

Working towards Paperless

In furthering its reduction in wastage, the business has invested heavily in a paperless registration system to allow it to begin to move away from the traditional paper form of introducing candidates to the company. By merging its CRM system with the registration process, the business expects a significant reduction in paper waste to be achieved at the end of its project, with additional efforts such discouraging unnecessary printing where possible assigning in this aim.

FUTURE DEVELOPMENTS

The projections for the next twelve months show that the company will continue to trade as a going concern and should have sufficient cash balances and adequate resources and reserves available to continue operations for the foreseeable future. The business does not anticipate much deviation from its core business model for the majority of the coming financial period.

Business confidence in the UK continues to be impacted by uncertainties and conditions within the private sector as a result of the withdrawal of the United Kingdom from the European Union, in addition to the unprecedented energy and cost of living crises. There is still an increased risk of these factors negatively impacting the trading performance as clients remain cautious in headcount investment. Furthermore, the country as a whole is experiencing a shortage of labour following the end of the EU transition period.

However, the business is forecast to remain cash generative during this period when considering the effectiveness of available measures to assist in mitigating the impact of these events. Scenario planning and further analysis allow the business to anticipate and adapt to both favourable and unfavourable conditions that may arise with confidence as it seeks out opportunities to expand upon its established business strategy and objectives.

ON BEHALF OF THE BOARD:

N D Stabler - Director

29th June 2023

The directors present their report with the financial statements of the company and the group for the year ended 30th September 2022.

DIVIDENDS

An interim dividend of £2000 per share was paid on the Ordinary A £1 shares on 30th September 2022. No dividends were paid on any other classes of shares.

The total distribution of dividends for the year ended 30th September 2022 will be £ 100,000 .

DIRECTORS

The directors shown below have held office during the whole of the period from 1st October 2021 to the date of this report.

N D Stabler

A M Barnes

FINANCIAL INSTRUMENTS

The company's principal financial instruments comprise bank balances, trade debtors and trade creditors. The main purpose of these instruments is to raise funds and finance the company's operations.

Revenue maintenance

The company actively markets its business to focus on building and maintaining effective and profitable relationships with potential businesses in need of their services.

Risks and uncertainties

These details have been provided in the company's strategic report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have 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 directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

-	state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director 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 group's auditors are aware of that information.

AUDITORS

The auditors, Sadofskys, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

N D Stabler - Director

29th June 2023

Opinion

We have audited the financial statements of Prestige Holdings (Yorkshire) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30th September 2022 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 30th September 2022 and of the group's 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 group 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 directors' 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 group's and the parent 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 directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, 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 Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

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

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities, the directors are 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 directors determine 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 directors are responsible for assessing the group's and the parent 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 directors either intend to liquidate the group or the parent company or to cease operations, or have 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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

- 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 the directors and other management, and from our commercial knowledge and experience of the recruitment industry.

-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, UK tax legislation, and data protection, anti-bribery, employment, environmental, health and safety legislation along with industry specific regulations and requirements.

-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; and

-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;

- assessed whether judgements and assumptions made in determining the accounting estimates indicative of potential bias; and

- investigated the rationale behind significant or 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;

- reading the minutes of meetings of those charged with governance;

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

- reviewing correspondence with HMRC, relevant regulators, and the company's legal advisors.

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.

Alan Brocklehurst (Senior Statutory Auditor)

for and on behalf of Sadofskys

Statutory Auditors

Princes House

Wright Street

Hull

East Yorkshire

HU2 8HX

29th June 2023

TURNOVER

31,205,435

26,969,993

Cost of sales

28,724,500

25,174,210

GROSS PROFIT

2,480,935

1,795,783

Administrative expenses

2,041,847

1,466,268

439,088

329,515

Other operating income

5,872

18,649

OPERATING PROFIT

4

444,960

348,164

Interest receivable and similar income

17

17

444,977

348,181

Interest payable and similar expenses

5

219

1,357

PROFIT BEFORE TAXATION

444,758

346,824

Tax on profit

6

124,238

147,411

PROFIT FOR THE FINANCIAL YEAR

320,520

199,413

Profit attributable to:

Owners of the parent

320,520

199,413

PROFIT FOR THE YEAR

320,520

199,413

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

320,520

199,413

Total comprehensive income attributable to:

Owners of the parent

320,520

199,413

FIXED ASSETS

Intangible assets

9

1,698,475

1,904,351

Tangible assets

10

303,906

175,271

Investments

11

-

-

2,002,381

2,079,622

CURRENT ASSETS

Debtors

12

5,068,125

3,590,835

Cash at bank and in hand

158,615

271,684

5,226,740

3,862,519

CREDITORS

Amounts falling due within one year

13

4,348,851

3,287,132

NET CURRENT ASSETS

877,889

575,387

TOTAL ASSETS LESS CURRENT LIABILITIES

2,880,270

2,655,009

CREDITORS

Amounts falling due after more than one year

14

(8,860

)

(11,134

)

PROVISIONS FOR LIABILITIES

16

(51,377

)

(44,362

)

NET ASSETS

2,820,033

2,599,513

CAPITAL AND RESERVES

Called up share capital

17

100

100

Share premium

18

2,500,000

2,500,000

Retained earnings

18

319,933

99,413

SHAREHOLDERS' FUNDS

2,820,033

2,599,513

The financial statements were approved by the Board of Directors and authorised for issue on 29th June 2023 and were signed on its behalf by:

N D Stabler - Director

A M Barnes - Director

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

-

-

Investments

11

5,000,000

5,000,000

5,000,000

5,000,000

CURRENT ASSETS

Cash in hand

100

100

CREDITORS

Amounts falling due within one year

13

2,500,000

2,500,000

NET CURRENT LIABILITIES

(2,499,900

)

(2,499,900

)

TOTAL ASSETS LESS CURRENT LIABILITIES

2,500,100

2,500,100

CAPITAL AND RESERVES

Called up share capital

17

100

100

Share premium

2,500,000

2,500,000

SHAREHOLDERS' FUNDS

2,500,100

2,500,100

Company's profit for the financial year

100,000

100,000

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Board of Directors and authorised for issue on 29th June 2023 and were signed on its behalf by:

N D Stabler - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1st January 2021

100

-

-

100

Changes in equity

Issue of share capital

-

-

2,500,000

2,500,000

Dividends

-

(100,000

)

-

(100,000

)

Total comprehensive income

-

199,413

-

199,413

Balance at 30th September 2021

100

99,413

2,500,000

2,599,513

Changes in equity

Dividends

-

(100,000

)

-

(100,000

)

Total comprehensive income

-

320,520

-

320,520

Balance at 30th September 2022

100

319,933

2,500,000

2,820,033

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1st January 2021

100

-

-

100

Changes in equity

Issue of share capital

-

-

2,500,000

2,500,000

Dividends

-

(100,000

)

-

(100,000

)

Total comprehensive income

-

100,000

-

100,000

Balance at 30th September 2021

100

-

2,500,000

2,500,100

Changes in equity

Dividends

-

(100,000

)

-

(100,000

)

Total comprehensive income

-

100,000

-

100,000

Balance at 30th September 2022

100

-

2,500,000

2,500,100

Cash flows from operating activities

Cash generated from operations

1

288,598

82,657

Interest paid

-

(1,092

)

Interest element of hire purchase payments paid

(219

)

(265

)

Government grants

-

9,455

Tax paid

(129,675

)

-

Net cash from operating activities

158,704

90,755

Cash flows from investing activities

Purchase of tangible fixed assets

(169,255

)

(64,132

)

Sale of fixed asset investments

-

77,500

Purchase of investments, net of cash

-

272,398

Interest received

17

17

Net cash from investing activities

(169,238

)

285,783

Cash flows from financing activities

Capital repayments in year

(2,535

)

(4,954

)

Equity dividends paid

(100,000

)

(100,000

)

Net cash from financing activities

(102,535

)

(104,954

)

(Decrease)/increase in cash and cash equivalents

(113,069

)

271,584

Cash and cash equivalents at beginning of year

2

271,684

100

Cash and cash equivalents at end of year

2

158,615

271,684

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

period

1/1/21

year ended

to

30/9/22

30/9/21

£

£

Profit before taxation

444,758

346,824

Depreciation charges

246,496

179,861

Government grants

-

(9,455

)

Finance costs

219

1,357

Finance income

(17

)

(17

)

691,456

518,570

Increase in trade and other debtors

(1,477,290

)

(3,590,835

)

Increase in trade and other creditors

1,074,432

3,154,922

Cash generated from operations

288,598

82,657

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30th September 2022

30/9/22

1/10/21

£

£

Cash and cash equivalents

158,615

271,684

Period ended 30th September 2021

30/9/21

1/1/21

£

£

Cash and cash equivalents

271,684

100

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1/10/21

Cash flow

At 30/9/22

£

£

£

Net cash

Cash at bank and in hand

271,684

(113,069

)

158,615

271,684

(113,069

)

158,615

Debt

Finance leases

(13,669

)

2,535

(11,134

)

(13,669

)

2,535

(11,134

)

Total

258,015

(110,534

)

147,481