Far Logistics (Felixstowe) Ltd - Limited company accounts 23.2

REGISTERED NUMBER: 09845844 (England and Wales)

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

FOR

FAR LOGISTICS (FELIXSTOWE) LTD

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

to

4

Report of the Independent Auditors

5

to

8

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Notes to the Financial Statements

13

to

20

DIRECTORS:

Mr B P Hay

Mr L A McGonagle

Mr S P Boucher

Mr L Phillips

SECRETARY:

Mr L A McGonagle

REGISTERED OFFICE:

Leestone Road

Sharston Industrial Estate

Sharston

Manchester

M22 4RB

REGISTERED NUMBER:

09845844 (England and Wales)

INDEPENDENT AUDITORS:

Allens Accountants Limited

Registered Auditors and

Chartered Accountants

123 Wellington Road South

Stockport

Cheshire

SK1 3TH

The directors present their strategic report for the year ended 31 December 2022.

REVIEW OF BUSINESS

Far Logistics (Felixstowe) Ltd is principally engaged in international freight forwarding covering ocean, road and air freight.

FUTURE DEVELOPMENTS

Key targets for 2023 are to grow volume through a combination of existing customers and new clients.

Future developments are further considered at group level. Details can be found in the consolidated financial statements of the ultimate parent company, The Cardinal Partnership Ltd.

PRINCIPAL RISKS AND UNCERTAINTIES

Principle risks and uncertainties are considered at group level. Details can be found in the consolidated financial statements of the ultimate parent company, The Cardinal Partnership Ltd.

QUALIFYING THIRD PARTY INDEMNITY PROVISIONS

All directors benefited from a qualifying indemnity insurance policy in place during the financial year.

ON BEHALF OF THE BOARD:

Mr B P Hay - Director

26 September 2023

The directors present their report with the financial statements of the Company for the year ended 31 December 2022.

PRINCIPAL ACTIVITY

The principal activity of the Company in the year under review was that of freight forwarding services.

DIVIDENDS

An interim dividend of £10,855 per share was paid on 4 May 2022. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2022 will be £ 1,812,757 .

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2022 to the date of this report.

Mr B P Hay

Mr L A McGonagle

Mr S P Boucher

Mr L Phillips

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the 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 of the profit or loss of the Company 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;

-	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 transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are 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 directors are 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 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 Company's auditors are aware of that information.

AUDITORS

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

ON BEHALF OF THE BOARD:

Mr B P Hay - Director

26 September 2023

Opinion

We have audited the financial statements of Far Logistics (Felixstowe) Ltd (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 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 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 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 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 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 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 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, 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 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 set out on page three, 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 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 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:

Extent to which the audit was considered capable of detecting irregularities, including fraud

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

Identifying and assessing potential risks related to irregularities

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

-

the nature of the industry and sector, control environment and business performance including the design of the company's remuneration policies, key drivers for the directors' remuneration, bonus levels and performance targets;

-

results of our enquiries of management and the board of directors about their own identification and assessment of the risks of 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;

-

the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud. 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 included the UK Companies Act and tax legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty.

Audit response to risks identified

Our procedure to respond to risks identified included the following:

-

reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

-

enquiring of management and the board of directors concerning actual and potential litigation and claims;

-

performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

-

in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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.

Paul Wright (Senior Statutory Auditor)

for and on behalf of Allens Accountants Limited

Registered Auditors and

Chartered Accountants

123 Wellington Road South

Stockport

Cheshire

SK1 3TH

26 September 2023

TURNOVER

50,022,960

44,909,108

Cost of sales

39,919,205

34,862,286

GROSS PROFIT

10,103,755

10,046,822

Administrative expenses

2,375,284

2,513,338

7,728,471

7,533,484

Other operating income

-

19,312

OPERATING PROFIT

5

7,728,471

7,552,796

Interest payable and similar expenses

7

11,405

-

PROFIT BEFORE TAXATION

7,717,066

7,552,796

Tax on profit

8

1,468,837

1,438,936

PROFIT FOR THE FINANCIAL YEAR

6,248,229

6,113,860

PROFIT FOR THE YEAR

6,248,229

6,113,860

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

6,248,229

6,113,860

FIXED ASSETS

Tangible assets

10

3,816

11,582

CURRENT ASSETS

Debtors

11

17,424,185

13,845,221

Cash at bank

1,054,856

1,231,379

18,479,041

15,076,600

CREDITORS

Amounts falling due within one year

12

7,009,636

8,049,627

NET CURRENT ASSETS

11,469,405

7,026,973

TOTAL ASSETS LESS CURRENT LIABILITIES

11,473,221

7,038,555

PROVISIONS FOR LIABILITIES

15

-

806

NET ASSETS

11,473,221

7,037,749

CAPITAL AND RESERVES

Called up share capital

16

167

167

Retained earnings

17

11,473,054

7,037,582

SHAREHOLDERS' FUNDS

11,473,221

7,037,749

The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2023 and were signed on its behalf by:

Mr B P Hay - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2021

167

1,243,747

1,243,914

Changes in equity

Dividends

-

(320,025

)

(320,025

)

Total comprehensive income

-

6,113,860

6,113,860

Balance at 31 December 2021

167

7,037,582

7,037,749

Changes in equity

Dividends

-

(1,812,757

)

(1,812,757

)

Total comprehensive income

-

6,248,229

6,248,229

Balance at 31 December 2022

167

11,473,054

11,473,221

1.	STATUTORY INFORMATION

Far Logistics (Felixstowe) Ltd 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.

Going concern

After reviewing the Company's financial position, the directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future being a period of not less than 12 months from the date of approval of these financial statements. The Company therefore continues to adopt the going concern basis in preparing the financial statements.

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions 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;

•

the requirement of paragraph 3.17(d);

•

the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

•

the requirement of paragraph 33.7.

Significant judgements and estimates

Preparation of the financial statements requires management to make significant judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses for the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if revision only affects that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following judgements have had the most significant effect on amounts recognised in the financial statements;

Purchase estimates - Freight costs are estimated during the year. Many costs are fixed under agreements with shipping lines/agents, but frequently it can take several months to agree freight costs. Estimated costs are reviewed on an ongoing basis by management by age, value and volume to identify any potential issues with estimated costs.

Turnover

Turnover represents the value of services supplied to customers during the year less returns and net of Value Added Tax. Income is recognised in the period for imports and exports as detailed below;

Imports - income is recognised on imports on the date goods arrive at the Port of Entry

Exports - income is recognised on exports on the date goods leave the Port of Lading

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property

-

over period of lease to residual value

Fixtures & fittings

-

33% on cost

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses.

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in the Income Statement.

If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in the Income Statement.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest rate method, less any impairment.

Cash and cash equivalents

Cash and cash equivalents comprise of cash at bank and on hand, demand deposits deposits with banks and other short term highly liquid investments with original maturities of three months or less and bank overdrafts. In the Balance Sheet, bank overdrafts are shown within borrowings or current liabilities.

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, together with loans to and from related parties.

Debt instruments (other than those wholly repayable or receivable in one year), including loans and other debtors and creditors are initially measured at present value of future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable in one year, typically trade debtors or creditors, are measured, initially and subsequently, at the undiscounted amount of cash or other consideration, expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transactions, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Income Statement.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

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.

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

Rentals paid under operating leases are charged to the Income Statement 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 the Income Statement in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

31/12/22

31/12/21

£

£

Wages and salaries

2,172,403

1,574,776

Social security costs

240,038

172,359

Other pension costs

16,080

12,769

2,428,521

1,759,904

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

31/12/22

31/12/21

Management, office and warehouse

17

16

4.	DIRECTORS' EMOLUMENTS

31/12/22

31/12/21

£

£

Directors' remuneration

559,406

412,586

Directors' pension contributions to money purchase schemes

-

2,700

Information regarding the highest paid director is as follows:

31/12/22

31/12/21

£

£

Emoluments etc

559,406

412,586

Pension contributions to money purchase schemes

-

2,700

5.	OPERATING PROFIT

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

31/12/22

31/12/21

£

£

Other operating leases

27,940

25,441

Depreciation - owned assets

10,806

8,648

Profit on disposal of fixed assets

-

(1,310

)

Foreign exchange differences

(312,373

)

118,448

6.	AUDITORS' REMUNERATION

Fees payable to the Company's auditors for the audit of the Company's financial statements were £8,500 (2021 - £6,000).

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

31/12/22

31/12/21

£

£

HMRC interest and penalties

11,405

-

8.

TAXATION

Analysis of the tax charge

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

31/12/22

31/12/21

£

£

Current tax:

UK corporation tax

1,469,939

1,437,156

Deferred tax

(1,102

)

1,780

Tax on profit

1,468,837

1,438,936

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

31/12/22

31/12/21

£

£

Profit before tax

7,717,066

7,552,796

Profit multiplied by the standard rate of corporation tax in the UK of 19% (2021 - 19%)

1,466,243

1,435,031

Effects of:

Expenses not deductible for tax purposes

3,946

4,433

Adjustments to tax charge in respect of previous periods

(1,178

)

-

Other

(174

)

(528

)

Total tax charge

1,468,837

1,438,936

9.

DIVIDENDS

31/12/22

31/12/21

£

£

Ordinary shares of £1 each

Interim

1,812,757

320,025

10.	TANGIBLE FIXED ASSETS

Improvements

to

Fixtures

property

& fittings

Totals

£

£

£

COST

At 1 January 2022

10,290

17,899

28,189

Additions

-

3,040

3,040

At 31 December 2022

10,290

20,939

31,229

DEPRECIATION

At 1 January 2022

2,614

13,993

16,607

Charge for year

7,676

3,130

10,806

At 31 December 2022

10,290

17,123

27,413

NET BOOK VALUE

At 31 December 2022

-

3,816

3,816

At 31 December 2021

7,676

3,906

11,582

11.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/12/22

31/12/21

£

£

Trade debtors

4,444,341

8,752,113

Amounts owed by group undertakings

12,692,947

2,517,406

Other debtors

47,963

122,980

VAT

46,990

182,160

Deferred tax asset

296

-

Prepayments and accrued income

191,648

2,270,562

17,424,185

13,845,221

12.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31/12/22

31/12/21

£

£

Trade creditors

1,736,772

3,251,495

Amounts owed to group undertakings

1,381,495

987,540

Corporation tax

607,157

1,237,079

Social security and other taxes

20,219

16,562

Other creditors

36,856

330,293

Accruals and deferred income

3,227,137

2,226,658

7,009,636

8,049,627

13.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

31/12/22

31/12/21

£

£

Within one year

26,750

18,750

Between one and five years

102,542

-

129,292

18,750

14.	SECURED DEBTS

The following secured debts are included within creditors:

31/12/22

31/12/21

£

£

HSBC purchasing card

27,567

330,802

Included within other creditors are amounts due to HSBC Bank Plc in respect of purchasing cards. These debts are secured against the assets of the company.

15.	PROVISIONS FOR LIABILITIES

31/12/21

£

Deferred tax

806

Deferred

tax

£

Balance at 1 January 2022

806

Credit to Income Statement during year

(1,102

)

Balance at 31 December 2022

(296

)

16.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31/12/22

31/12/21

value:

£

£

167

Ordinary

£1

167

167

17.

RESERVES

Retained

earnings

£

At 1 January 2022

7,037,582

Profit for the year

6,248,229

Dividends

(1,812,757

)

At 31 December 2022

11,473,054

18.	CONTINGENT LIABILITIES

The Company is a member of a group registration for Value Added Tax purposes. Under the terms of the registration, each member is jointly and severally liable for the Value Added Tax liability for all members. The group asset at the year end was £1,762,526 (2021: £325,956 asset).

The Company has cross-guaranteed the HSBC bank loans and purchasing cards of group companies by way of fixed and floating charge over the assets of the Company. As at the balance sheet date the total balances were as follows:

2022

2021

Bank Loans

£

£

Total group company balances

5,557,937

8,573,774

2022

2021

Purchasing Cards

£

£

Total group company balances

1,128,903

927,034