Allpack Packaging Limited Company accounts

ALLPACK PACKAGING LIMITED - Company Information

81 false false false false true false false false false false false true false false false false false false No description of principal activity 2023-01-01 Sage Accounts Production Advanced 2023 - FRS102_2023 1,297,725 1,025,442 3,265,007 510,160 3,775,167 3,265,007 156,884 156,884 xbrli:pure xbrli:shares iso4217:GBP 08431220 2023-01-01 2023-12-31 08431220 2023-12-31 08431220 2022-12-31 08431220 2022-01-01 2022-12-31 08431220 2022-12-31 08431220 2021-12-31 08431220 core:PatentsTrademarksLicencesConcessionsSimilar 2023-01-01 2023-12-31 08431220 core:PlantMachinery 2023-01-01 2023-12-31 08431220 core:FurnitureFittings 2023-01-01 2023-12-31 08431220 core:MotorVehicles 2023-01-01 2023-12-31 08431220 core:NetGoodwill 2023-01-01 2023-12-31 08431220 bus:RegisteredOffice 2023-01-01 2023-12-31 08431220 bus:OrdinaryShareClass1 2023-01-01 2023-12-31 08431220 bus:OrdinaryShareClass2 2023-01-01 2023-12-31 08431220 bus:LeadAgentIfApplicable 2023-01-01 2023-12-31 08431220 bus:Director1 2023-01-01 2023-12-31 08431220 bus:Director3 2023-01-01 2023-12-31 08431220 bus:Director4 2023-01-01 2023-12-31 08431220 bus:CompanySecretary1 2023-01-01 2023-12-31 08431220 bus:Director2 2023-01-01 2023-12-31 08431220 bus:Director2 2023-12-31 08431220 bus:Director3 2023-12-31 08431220 bus:Director4 2023-12-31 08431220 core:WithinOneYear 2023-12-31 08431220 core:WithinOneYear 2022-12-31 08431220 core:NetGoodwill 2022-12-31 08431220 core:NetGoodwill 2023-12-31 08431220 core:PatentsTrademarksLicencesConcessionsSimilar 2023-12-31 08431220 core:LandBuildings core:OwnedOrFreeholdAssets 2023-12-31 08431220 core:PlantMachinery 2023-12-31 08431220 core:FurnitureFittings 2023-12-31 08431220 core:MotorVehicles 2023-12-31 08431220 core:DeferredTaxation 2023-01-01 2023-12-31 08431220 core:LandBuildings core:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 08431220 core:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 08431220 core:ShareCapital 2023-01-01 2023-12-31 08431220 core:SharePremium 2023-01-01 2023-12-31 08431220 core:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 08431220 core:AfterOneYear 2023-12-31 08431220 core:UKTax 2023-01-01 2023-12-31 08431220 core:UKTax 2022-01-01 2022-12-31 08431220 bus:AllOrdinaryShares 2023-01-01 2023-12-31 08431220 bus:AllOrdinaryShares 2022-01-01 2022-12-31 08431220 core:ShareCapital 2023-12-31 08431220 core:ShareCapital 2022-12-31 08431220 core:SharePremium 2023-12-31 08431220 core:RetainedEarningsAccumulatedLosses 2023-12-31 08431220 core:RetainedEarningsAccumulatedLosses 2022-12-31 08431220 core:ShareCapital 2021-12-31 08431220 core:RetainedEarningsAccumulatedLosses 2021-12-31 08431220 core:BetweenOneFiveYears 2023-12-31 08431220 core:BetweenOneFiveYears 2022-12-31 08431220 core:CostValuation core:Non-currentFinancialInstruments 2022-12-31 08431220 core:AdditionsToInvestments core:Non-currentFinancialInstruments 2023-12-31 08431220 core:DisposalsRepaymentsInvestments core:Non-currentFinancialInstruments 2023-12-31 08431220 core:Non-currentFinancialInstruments 2022-12-31 08431220 core:LeasedAssetsHeldAsLessee core:PlantMachinery 2023-12-31 08431220 core:LeasedAssetsHeldAsLessee core:MotorVehicles 2023-12-31 08431220 core:LeasedAssetsHeldAsLessee 2023-12-31 08431220 core:DeferredTaxation 2023-12-31 08431220 bus:SmallEntities 2023-01-01 2023-12-31 08431220 bus:Audited 2023-01-01 2023-12-31 08431220 bus:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 08431220 bus:FullAccounts 2023-01-01 2023-12-31 08431220 bus:OrdinaryShareClass1 2023-12-31 08431220 bus:OrdinaryShareClass1 2022-12-31 08431220 bus:OrdinaryShareClass2 2023-12-31 08431220 bus:AllOrdinaryShares 2023-12-31 08431220 bus:AllOrdinaryShares 2022-12-31

COMPANY REGISTRATION NUMBER: 08431220

Allpack Packaging Limited

Financial Statements

31 December 2023

Allpack Packaging Limited

Financial Statements

Year ended 31 December 2023

Contents	Page

Officers and professional advisers	1

Strategic report	2

Directors' report	4

Independent auditor's report to the members	6

Statement of comprehensive income	10

Statement of financial position	11

Statement of changes in equity	12

Statement of cash flows	13

Notes to the financial statements	15

Allpack Packaging Limited

Officers and Professional Advisers

The board of directors	Mr G Clarke
	Mr M Clarke
	Mr R Clarke

Company secretary	Mrs Pollyanna Clarke

Registered office	Somerville House Blakeney Way
	Kingswood Lakeside
	Cannock
	England
	Engald
	WS11 8LD

Auditor	Riverside Accountancy Lancaster Limited
	Chartered accountants & statutory auditor
	Second Floor, Riverside Offices
	26 St George's Quay
	Lancaster
	LA1 1RD

Allpack Packaging Limited

Strategic Report

Year ended 31 December 2023

History and Family Value We have traded since 1994 with successful growth year on year. We're still family owned and run and have a strong sense of our core values running through the entire organisation but are also now large enough to be a strong player in the National, European and Global packaging markets.

Principal Risks Key risks facing the business are external factors such as global supply chains and shipping lanes. We mitigate these risks by strong stock control, high stock levels, and bringing a sourcing and manufacturing closer to our headquarters. Another risk is the global economy and our customer base struggling financially. We mitigate this risk by very strong financial controls, credit insurance, continuous debt management. Our strong financial balance sheet and ratios put these risks to a very low level for our company.

Corporate Social Responsibility The directors believe that the long-term interests of the company, it's employees, its customers, and all of the stakeholders are best served by acting in a corporate social manner. Therefore, the company ensures that high standards are maintained in everything that we do. Allpack's continuous drive to 'not cost the earth' and to be sustainable in all products and services is borne out by our recent 'carbon neutral certification' achievement. Research and Development Allpack is continually striving to create products and services that add real value to our partners and to the planet. Our in-house R&D team are continually investing in the future of Allpack's sphere of influence.

Environment and Quality The directors of Allpack continue to believe in the company's core founding principles. Quality products, quality service, and quality people are what make a true difference to how we serve our customers. Similarly, and in line with our CSR commitments, we challenge everything we do through the lens of how it impacts on the environment around us. From manufacturing processes, to transport, to efficient infrastructures including a focus on switching to electric vehicles as our fleet is renewed. Financial Our strong balance sheet and financial ratios are testament to a well-run and established company. We're continually building on this for future generations that will rely on Allpack.

Our People The ongoing success of Allpack is due to our greatest asset; our people. We continue to build a strong team of dedicated professionals who live by our core values and commit to serving our customers' needs to the highest level. Ongoing training is continuous, and we strive to upskill and cross train in as many areas as possible. A structured organisational chart and a strong senior leadership team enable the company to run effectively even when directors are not present. We remain committed to equality and offer equal opportunities without reference to age, ethnicity, gender, sexual orientation, religion, or disability and we are opposed to all forms of discrimination. We have company policies to support these undertakings. I use this opportunity to extend my sincere thanks to all of our staff for their continued dedication and commitment to the company. The directors acknowledge that it is our employees that always have and continue to significantly contribute to the continued success of our business.

Other Stakeholders We also recognise there are other important stakeholders beyond the immediate owners, staff, and customers. We strive to be a company of choice for supply partners, manufacturing partners, local and regional communities, and even charities that we support to have enjoyable interactions with. Going Concern and The Future The board of directors is required to consider the company's ability to continue trading. The board are more than confident that the company can continue to trade successfully for many more years to come. Our strong order book, strong balance sheet, strong liquidity, and consistent profits enable the company to have a bright future.

This report was approved by the board of directors on 17 May 2024 and signed on behalf of the board by:

Mr G Clarke

Director

Registered office:

Somerville House Blakeney Way

Kingswood Lakeside

Cannock

England

Engald

WS11 8LD

Allpack Packaging Limited

Directors' Report

Year ended 31 December 2023

The directors present their report and the financial statements of the company for the year ended 31 December 2023 .

Directors

The directors who served the company during the year were as follows:

Mr G Clarke
Mr J A Clarke	(Appointed 16 August 2023)
Mr M Clarke	(Appointed 16 August 2023)
Mr R Clarke	(Appointed 16 August 2023)

Dividends

Particulars of recommended dividends are detailed in note 14 to the financial statements.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, directors' report 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 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 judgments 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. Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board of directors on 17 May 2024 and signed on behalf of the board by:

Mr G Clarke

Director

Registered office:

Somerville House Blakeney Way

Kingswood Lakeside

Cannock

England

Engald

WS11 8LD

Allpack Packaging Limited

Independent Auditor's Report to the Members of Allpack Packaging Limited

Year ended 31 December 2023

Opinion

We have audited the financial statements of Allpack Packaging Limited (the 'company') for the year ended 31 December 2023 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity, statement of cash flows and the related notes, 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 FRS 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 2023 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report. We have nothing to report in respect of the following matters in relation to which 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 directors' responsibilities statement, 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 is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the 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.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: - Review of directors minutes and review of nominal postings for legal and professional fees ensured we identified any regulatory compliance issues and laws that company must follow in the year and to the date of signing the financial statements - The assessment of fraud was consider as low due to the segregation of duties seen, the low levels of cash handled and the regular reporting requirements to the members. A review of journal entries and consideration of their appropriateness was carried out through the audit - During the audit we speak to management, test the systems and speak to various members of the finance function to understand the entity its processes and the nature of trade to assist in determining if the financial statements are true and fair. - Challenging assumptions made by management in making their significant accounting estimates. - Reviewing financial statement disclosure and testing to supporting documentation to assess compliance with applicable laws and regulations - Tangible assets are reviewed for impairment and recoverability in line with policy. Ownership details are obtained for verification. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

The prior year accounts have not been audited as their was no requirement to at the time of the preparation of the accounts.

Use of our report

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

Penelope Bowden ACA

(Senior Statutory Auditor)

For and on behalf of

Riverside Accountancy Lancaster Limited

Chartered accountants & statutory auditor

Second Floor, Riverside Offices

26 St George's Quay

Lancaster

LA1 1RD

17 May 2024

Allpack Packaging Limited

Statement of Comprehensive Income

Year ended 31 December 2023

		2023	2022
Note		£	£
Turnover	4	17,116,469	1,294,660

Cost of sales	10,564,194	–
	-------------	------------
Gross profit	6,552,275	1,294,660

Distribution costs		9,960	–
Administrative expenses		3,825,631	45,394
Other operating income	5	7,784	–
		------------	------------
Operating profit	6	2,724,468	1,249,266

Income from other fixed asset investments	10	( 133,843)	–
Other interest receivable and similar income	11	33,337	3,650
Interest payable and similar expenses	12	438,455	–
		------------	------------
Profit before taxation		2,185,507	1,252,916

Tax on profit	13	887,782	227,474
		------------	------------
Profit for the financial year and total comprehensive income		1,297,725	1,025,442
		------------	------------

All the activities of the company are from continuing operations.

Allpack Packaging Limited

Statement of Financial Position

31 December 2023

	2023	2022
Note	£	£

Fixed assets

Intangible assets	15	1,968,721	–
Tangible assets	16	1,577,537	–
Investments	17	–	3,265,007
		------------	------------
		3,546,258	3,265,007

Current assets

Stocks	18	3,258,779	–
Debtors	19	11,750,844	240,479
Cash at bank and in hand		2,215,781	–
		-------------	---------
		17,225,404	240,479

Creditors: amounts falling due within one year	20	18,969,583	238,128
		-------------	---------
Net current (liabilities)/assets		( 1,744,179)	2,351
		------------	------------
Total assets less current liabilities		1,802,079	3,267,358

Creditors: amounts falling due after more than one year	21	141,839	–

Provisions	23	156,884	–
		------------	------------
Net assets		1,503,356	3,267,358
		------------	------------

Capital and reserves

Called up share capital	25	110	100
Share premium account	26	599,990	–
Profit and loss account	26	903,256	3,267,258
		------------	------------
Shareholders funds		1,503,356	3,267,358
		------------	------------

These financial statements were approved by the board of directors and authorised for issue on 17 May 2024 , and are signed on behalf of the board by:

Mr G Clarke

Director

Company registration number: 08431220

Allpack Packaging Limited

Statement of Changes in Equity

Year ended 31 December 2023

		Called up share capital	Share premium account	Profit and loss account	Total
		£	£	£	£
At 1 January 2022		100	–	2,324,054	2,324,154

Profit for the year				1,025,442	1,025,442
		----	----	------------	------------
Total comprehensive income for the year		–	–	1,025,442	1,025,442

Dividends paid and payable	14	–	–	( 82,238)	( 82,238)
		----	----	------------	------------
Total investments by and distributions to owners		–	–	( 82,238)	( 82,238)

At 31 December 2022		100	–	3,267,258	3,267,358

Profit for the year				1,297,725	1,297,725
		----	----	------------	------------
Total comprehensive income for the year		–	–	1,297,725	1,297,725

Issue of shares		10	599,990	–	600,000
Dividends paid and payable	14	–	–	( 3,661,727)	( 3,661,727)
		----	---------	------------	------------
Total investments by and distributions to owners		10	599,990	( 3,661,727)	( 3,061,727)

		----	---------	------------	------------
At 31 December 2023		110	599,990	903,256	1,503,356
		----	---------	------------	------------

Allpack Packaging Limited

Statement of Cash Flows

Year ended 31 December 2023

	2023	2022
	£	£

Cash flows from operating activities

Profit for the financial year	1,297,725	1,025,442

Adjustments for:
Depreciation of tangible assets	102,793	–
Amortisation of intangible assets	247,886	–
Impairment of intangible assets	432,349	–
Income from shares in group undertakings	14,701	–
Income from other fixed asset investments	267,686	–
Other interest receivable and similar income	(48,038)	(3,650)
Interest payable and similar expenses	438,455	–
Loss on disposal of tangible assets	1,733	–
Tax on profit	887,782	237,388
Accrued expenses	385,078	64

Changes in:
Stocks	( 3,258,779)	–
Trade and other debtors	( 11,510,365)	( 31,033)
Trade and other creditors	3,268,149	–
	-------------	------------
Cash generated from operations	( 7,472,845)	1,228,211

Interest paid	( 453,157)	–
Interest received	48,038	3,650
Tax paid	( 227,474)	( 163,714)
	------------	------------
Net cash (used in)/from operating activities	( 8,105,438)	1,068,147
	------------	------------

Cash flows from investing activities

Purchase of tangible assets	( 4,866)	–
Proceeds from sale of tangible assets	( 1,069)	–
Purchase of intangible assets	( 1,604,700)	–
Purchases of other investments	( 510,160)	( 1,250,910)
Proceeds from sale of other investments	3,507,481	265,001
	------------	------------
Net cash from/(used in) investing activities	1,386,686	( 985,909)
	------------	------------

Cash flows from financing activities

Proceeds from borrowings	100,438	–
Repayments of borrowings	( 18,200)	–
Proceeds from loans from group undertakings	14,863,954	–
Payments of finance lease liabilities	( 57,030)	–
Dividends paid	( 3,661,727)	( 82,238)
Assets Transferred from LLP	(2,292,902)	–
	-------------	------------
Net cash from/(used in) financing activities	8,934,533	( 82,238)
	-------------	------------

Allpack Packaging Limited

Statement of Cash Flows (continued)

Year ended 31 December 2023

	2023	2022
Note	£	£
Net increase in cash and cash equivalents	2,215,781	–
Cash and cash equivalents at beginning of year	–	–
	------------	----
Cash and cash equivalents at end of year	2,215,781	–
	------------	----

Allpack Packaging Limited

Notes to the Financial Statements

Year ended 31 December 2023

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Somerville House Blakeney Way, Kingswood Lakeside, Cannock, England, WS11 8LD, Engald.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss. The financial statements are prepared in sterling, which is the functional currency of the entity. The financial statements have been rounded to the nearest pound.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant judgements The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: Useful economic life of tangible assets: the annual depreciation charge is sensitive to changes in the estimated economic lives and residual value of tangible fixed assets. Management re-assess these annually and amend them where necessary to reflect current estimates. Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows: Impairment of debtors: When assessing the recoverability of debtors, management consider the type of business and past recoverability Stock provisions are determined as and when required, this can be related to slow moving and also reduced pricing of goods sold post the year end.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably. Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that it is probable the expenses recognised will be recovered.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Foreign currencies

Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the profit and loss account.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Goodwill

Goodwill arises on business acquisitions and represents the excess of the cost of the acquisition over the company's interest in the net amount of the identifiable assets, liabilities and contingent liabilities of the acquired business. Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is amortised on a straight-line basis over its useful life. Where a reliable estimate of the useful life of goodwill or intangible assets cannot be made, the life is presumed not to exceed ten years.

Intangible assets

Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses. Any intangible assets carried at revalued amounts, are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses. Intangible assets acquired as part of a business combination are only recognised separately from goodwill when they arise from contractual or other legal rights, are separable, the expected future economic benefits are probable and the cost or value can be measured reliably.

Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

Goodwill	-	Over the economic life of the asset
Patents, trademarks and licences	-	20% straight line

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Plant and machinery	-	25% reducing balance
Fixtures and fittings	-	25% reducing balance
Motor vehicles	-	25% reducing balance

Investments

Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.

Listed investments are measured at fair value with changes in fair value being recognised in profit or loss.

Investments in associates

Investments in associates accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in associates accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in other comprehensive income/profit or loss. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the associate arising before or after the date of acquisition.

Investments in joint ventures

Investments in jointly controlled entities accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in jointly controlled entities accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in other comprehensive income/profit or loss. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the joint venture arising before or after the date of acquisition.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

Finance leases and hire purchase contracts

Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

4. Turnover

Turnover arises from:

	2023	2022
	£	£
Sale of goods	16,606,309	43,750
Rendering of services	510,160	1,250,910
	-------------	------------
	17,116,469	1,294,660
	-------------	------------

The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.

5. Other operating income

	2023	2022
	£	£
Other operating income	7,784	–
	-------	----

6. Operating profit

Operating profit or loss is stated after charging:

	2023	2022
	£	£
Amortisation of intangible assets	247,886	–
Depreciation of tangible assets	102,793	–
Loss on disposal of tangible assets	1,733	–
Impairment of trade debtors	79,273	–
Foreign exchange differences	41,460	–
	---------	----

7. Auditor's remuneration

	2023	2022
	£	£
Fees payable for the audit of the financial statements	10,400	–
	--------	----

8. Staff costs

The average number of persons employed by the company during the year, including the directors, amounted to:

	2023	2022
	No.	No.
Number of staff	81	2
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2023	2022
	£	£
Wages and salaries	1,658,309	17,680
Social security costs	169,373	–
	------------	--------
	1,827,682	17,680
	------------	--------

9. Directors' remuneration

The directors' aggregate remuneration in respect of qualifying services was:

	2023	2022
	£	£
Remuneration	18,200	17,680
	--------	--------

10. Income from other fixed asset investments

	2023	2022
	£	£
Gain/(loss) on disposal of other fixed asset investments	(133,843)	–
	---------	----

11. Other interest receivable and similar income

	2023	2022
	£	£
Interest on cash and cash equivalents	33,337	3,650
	--------	-------

12. Interest payable and similar expenses

	2023	2022
	£	£
Interest on obligations under finance leases and hire purchase contracts	10,404	–
Loss on fair value adjustment of financial assets at fair value through profit or loss	432,349	–
Other interest payable and similar charges	( 4,298)	–
	---------	----
	438,455	–
	---------	----

13. Tax on profit

Major components of tax expense

	2023	2022
	£	£

Current tax:

UK current tax expense	730,898	237,388
Adjustments in respect of prior periods	–	( 9,914)
	---------	---------
Total current tax	730,898	227,474
	---------	---------

Deferred tax:

Origination and reversal of timing differences	156,884	–
	---------	---------
Tax on profit	887,782	227,474
	---------	---------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is higher than (2022: lower than) the standard rate of corporation tax in the UK of 23.50 % (2022: 19 %).

	2023	2022
	£	£
Profit on ordinary activities before taxation	2,185,507	1,252,916
	------------	------------
Profit on ordinary activities by rate of tax	513,594	238,054
Adjustment to tax charge in respect of prior periods	–	( 9,914)
Effect of expenses not deductible for tax purposes	61,110	( 666)
Effect of capital allowances and depreciation	60,754	–
Effect of different UK tax rates on some earnings	95,440	–
	------------	------------
Tax on profit	730,898	227,474
	------------	------------

14. Dividends

	2023	2022
	£	£
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year )	3,661,727	82,238
	------------	--------

15. Intangible assets

	Goodwill	Patents, trademarks and licences	Total
	£	£	£
Cost
At 1 January 2023	20,000	–	20,000
Additions	–	1,604,700	1,604,700
Acquisitions through business combinations	432,349	–	432,349
Transfers	–	874,153	874,153
	---------	------------	------------
At 31 December 2023	452,349	2,478,853	2,931,202
	---------	------------	------------
Amortisation
At 1 January 2023	20,000	–	20,000
Charge for the year	–	247,886	247,886
Transfers	–	262,246	262,246
Impairment losses	432,349	–	432,349
	---------	------------	------------
At 31 December 2023	452,349	510,132	962,481
	---------	------------	------------
Carrying amount
At 31 December 2023	–	1,968,721	1,968,721
	---------	------------	------------
At 31 December 2022	–	–	–
	---------	------------	------------

16. Tangible assets

	Freehold property	Plant and machinery	Fixtures and fittings	Motor vehicles	Total
	£	£	£	£	£
Cost
At 1 January 2023	–	–	–	–	–
Additions	–	–	4,866	–	4,866
Disposals	–	( 5,600)	–	–	( 5,600)
Transfers	950,000	101,668	727,162	391,332	2,170,162
	---------	---------	---------	---------	------------
At 31 December 2023	950,000	96,068	732,028	391,332	2,169,428
	---------	---------	---------	---------	------------
Depreciation
At 1 January 2023	–	–	–	–	–
Charge for the year	–	10,709	66,252	25,832	102,793
Disposals	–	( 4,936)	–	–	( 4,936)
Transfers	–	25,598	259,139	209,297	494,034
	---------	---------	---------	---------	------------
At 31 December 2023	–	31,371	325,391	235,129	591,891
	---------	---------	---------	---------	------------
Carrying amount
At 31 December 2023	950,000	64,697	406,637	156,203	1,577,537
	---------	---------	---------	---------	------------
At 31 December 2022	–	–	–	–	–
	---------	---------	---------	---------	------------

Finance leases and hire purchase contracts

Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:

	Plant and machinery	Motor vehicles	Total
	£	£	£
At 31 December 2023	185,174	202,599	387,773
	---------	---------	---------
At 31 December 2022	–	–	–
	---------	---------	---------

17. Investments

	Other investments other than loans
	£
Cost
At 1 January 2023	3,265,007
Additions	510,160
Disposals	( 3,775,167)
	------------
At 31 December 2023	–
	------------
Impairment
At 1 January 2023 and 31 December 2023	–
	------------

Carrying amount
At 31 December 2023	–
	------------
At 31 December 2022	3,265,007
	------------

18. Stocks

	2023	2022
	£	£
Raw materials and consumables	3,258,779	–
	------------	----

19. Debtors

	2023	2022
	£	£
Trade debtors	6,388,558	43,750
Prepayments and accrued income	368,705	–
Directors loan account	–	196,729
Other debtors	4,993,581	–
	-------------	---------
	11,750,844	240,479
	-------------	---------

20. Creditors: amounts falling due within one year

	2023	2022
	£	£
Trade creditors	2,125,859	–
Amounts owed to group undertakings	14,863,954	–
Accruals and deferred income	385,793	715
Corporation tax	730,898	237,388
Social security and other taxes	583,174	–
Obligations under finance leases and hire purchase contracts	116,529	–
Director loan accounts	113,734	–
Other creditors	49,642	25
	-------------	---------
	18,969,583	238,128
	-------------	---------

21. Creditors: amounts falling due after more than one year

	2023	2022
	£	£
Obligations under finance leases and hire purchase contracts	141,839	–
	---------	----

22. Finance leases and hire purchase contracts

The total future minimum lease payments under finance leases and hire purchase contracts are as follows:

	2023	2022
	£	£
Not later than 1 year	116,529	–
Later than 1 year and not later than 5 years	141,839	–
	---------	----
	258,368	–
	---------	----

23. Provisions

	Deferred tax (note 24)
	£
At 1 January 2023	–
Additions	156,884
	---------
At 31 December 2023	156,884
	---------

24. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2023	2022
	£	£
Included in provisions (note 23)	156,884	–
	---------	----

25. Called up share capital

Issued, called up and fully paid

	2023		2022
	No.	£	No.	£
Ordinary A shares of £ 1 each	100	100	100	100
Ordinary B shares of £ 1 each	10	10	–	–
	----	----	----	----
	110	110	100	100
	----	----	----	----

26. Reserves

Profit and loss account - This reserve records retained earnings and accumulated losses.

27. Analysis of changes in net debt

	At 1 Jan 2023	Cash flows	At 31 Dec 2023
	£	£	£
Cash at bank and in hand	–	2,215,781	2,215,781
Debt due within one year	–	(15,094,217)	(15,094,217)
Debt due after one year	–	(141,839)	(141,839)
	----	-------------	-------------
	–	( 13,020,275)	( 13,020,275)
	----	-------------	-------------

28. Operating leases

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2023	2022
	£	£
Not later than 1 year	440,674	50,674
Later than 1 year and not later than 5 years	551,274	63,774
	---------	---------
	991,948	114,448
	---------	---------

29. Directors' advances, credit and guarantees

Included within creditors are the following loans to directors: George Clarke £31,496 The above loan is unsecured, interest has been calculated at the official rate and repayable on demand.

30. Related party transactions

Included in creditor is amounts owed to connected parties see note 21. The company rents its premises off another connected party at full market rate.

Allpack Packaging Limited

Notes to the Financial Statements (continued)

Year ended 31 December 2023

31. Controlling party

The parent company is Allgroup Holdings Limited owning 91% of the company shares. The company is controlled by its directors.