Pembrokeshire Produce Direct – Accounts

21 Dec

I have received a copy of ‘Report and Unaudited Accounts for 30 November 2010 presented by the six directors. The company accountants were not instructed to carry out an audit or a review. The directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.

Turnover/sales in 2010 was £173,712* as against £72,651 in 2009, cost of sales was £156,964 this year and £52,970 in 2009. This year their operating loss was £46,776 compared to £11,808 in 2009. The loss for 2010 was £44,296. I understand that the 2009 accounts are from trading starting in March.

In 2010, sales are listed as £163,980 with an addition of £9,732 for carriage outwards. As there was no carriage outwards shown in the 2009 figures, one can assume that this figure equates to  2,163 parcels at £4.50 each (the cost of carriage that PPD charges). This number of deliveries means over this 18 month period that the average number of deliveries per week was 27.

Also under Cost of Sales, carriage is listed once again as £14,838 for 2010 and £444.00 in 2009. Under Administration, postage is shown at £4,307 for 2010, which is an awful lot of letters sent, more than 11,000 first class letters sent at standard first class postage or over 11,000 magazine type mailings with Royal Mail discounts), but there is no postage shown in 2009. The accounts show a lot of blanks under 2009, bearing in mind the PPD project started in March, including packaging, wages and salaries, NI, staff training, rent, light & heat, stationery & printing, software and postage as a few examples.    

The accounts state that during the year the company suffered trading deficits that were partially supported by revenue grant aid. The directors have reviewed the forecast of trading deficits and believe that these will be supported by ongoing grant support which has been confirmed to them by Welsh Assembly Government. The directors believe that the company will continue to trade for the foreseeable future and that the going concern basis remains appropriate. The company received a grant advance of £93,906 from Welsh Assembly Government in 2009 to be repaid from all future grant aid dependant on continued trading performance.   

Administrative expenses shown for 2010

Employee costs:                £

Wages/salaries               70,435   

Employers NI                    6,647

Staff training & welfare       825

Travel & subsistence       2,208

Motor expenses                   399

Entertaining                      1,330

I’m still unsure of how many staff PPD is employing, or if staff numbers have been reduced since the project started, but £70k on salaries is extra-ordinarily high based against performance. Reading through these accounts again though, it appears that the salaries and NI shown, are from March 2009 as well as 2010.  

I am being told many tales about PPD, what I’m interested in knowing is which people put this initial project together and what they think of PPD performance so far…………………….

Thanks for those of you that have put up your comments on welshfoodbites, and the huge support we have had from our Best Of Welsh & Borders producers.  I’ve said before and shall repeat again, if you wish to put up your comments, no-one will know who you are, unless you wish to put your full name to your views.  The only person that will know is me, and I certainly will not reveal person’s identity. As always, you have my assurance on that.  



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  1. food producer

    December 21, 2011 at 4:15 pm

    It would certainly be easier to read and break down these accounts if we had full figures for 2009 and 2010.
    Not sure that this information is good enough for those of us on the outside of ppd.
    I cannot see any reason at all why full figures were not presented and therefore shown on the accounts you have now got access to.
    Not sure which person commented about pembs council having lots of egg on their face, after this lot of accounts, their face must resemble a flipping ommlette.
    I’m not at all happy with this and will follows others who say they will complain if this dire project gets any more funding. At this point I’d like more details as to just where the funding to date has gone because they have very much under-performed and been propped up by wag and the council.

  2. Interested

    December 21, 2011 at 6:26 pm

    How do their figures stack up against the projections for the project?
    There is no way that this scheme will ever make money. Once again Welsh Government throwing good money away! Surely they should be supporting GOOD businesses with a proven track record in Wales – would this scheme have been started without funding!
    I would be happy to run a business with funding (ensuring i am ok) knowing that i would be ok financially and not worried about whether or not it was succesful.

    It would be interesting to find out how much money in grant funding (especially in the Food Sector) has been sanctioned by Welsh Government in past 5 years and how many of those business are still going and profitable.
    Is nobody accountable when there is grant funding?
    On this particular scheme was there match funding? If so where did the money come from?
    What about the Freedom of Information Act – who put the application together/did Pembrokeshire CC put money or any staff involvement? Are Pembrokeshire CC still supporting? Are the producers supplying likely to get their money? How are the Christmas orders going – we all know what happens in January!??

  3. Listener

    December 21, 2011 at 10:07 pm

    Thank you for publishing these figures which make interesting reading. PPD are exempt from audited accounts, but the accounts should still be full and accurate. That is the law. As a great deal of public money has gone used here, I believe the accounts should be audited and made public

    I have a great deal more than 27 customers a week, or I would be running at a loss, but then I have never had a penny grant for anything. Maybe that is the difference, I HAVE to make a profit, or go to the wall. With figures like PPD, I would have shut up shop long ago, but the cushion of grant money seems to enable this poor company to keep going. So who is benefiting from this? Not the local producers I have spoken to, not the public who pay more, so that just leaves the people employed by the business. How nice.

  4. not proud of Pembs

    December 22, 2011 at 5:03 pm

    as this is public money being spent or wasted why aren’t these accounts in full detail. I know that PPD are exempt from audited accounts but that doesn’t have to allow them to ‘appear’ so devious.
    Pity PCC can’t be open and honest about how much time and money they have put in – especially considering it is OUR money, not yours.
    What has this company projected to do our their 5 year easy time project?
    PPD along with their minders PCC are a very unfunny joke, but are making Pembrokeshire a laughing stock.
    I shall also talk to my AM if I hear of them going ahead with their begging bucket.
    This is disgraceful and I’m ashamed to live in Pembs. with this council in control.

  5. ashamed of PCC

    December 23, 2011 at 11:05 am

    Yes, I ashamed to live in this county as I read and learn more and more of the project with ppd
    I’d like to see full accounts for 2009 and 2010 and like to remind ppd and pcc that they are spending/wasting public money and they should be accountable for it and not give lots of excuses when it finsihes and it’s still in the red.
    If this project hadn’t been funded, would the staff or pcc for that matter have funded it themselves? I don’t think so.
    I’d like pcc to be open and honest of how many man hours and money they have put into ppd and then admit that this situation it is not fair for the rest of struggling businesses in pembrokeshire – in or out of the food sector. ppd like bluestone are two of pcc favourites sons and boy haven’t both of them milked the situation to their advantage. What a farce and what a huge waste of public money especially in these dire times.
    Does anyone know if ppd has had any effect on the farmers market in Haverfordwest? Has their trade dropped of improved as I guess some producers will be doing both
    What were the projections for this project – where do we find them? Is the only way to do a freedom of information question as has been suggested?

  6. egg in face

    December 23, 2011 at 3:45 pm

    pcc have severe egg on their face. Like the other comment I too am ashamed to be trading here in Pembrokeshire.
    full and accurate accounts are needed for 09
    i’d also to know what projections there were for this project. What were ppd ‘supposed’ to achieve in the first two years? How many orders were they supposed to process? What income were they expecting?
    there are so many questions and little hope of getting honest answers unless FOI is an option. Not sure how long that takes but unsure how else we get the true picture ……

  7. oh my word

    January 4, 2012 at 5:29 pm

    Pembs Council just what are you allowing this project to do? Is it because it isn’t your money that you are prepared to let them carry on? Pull the plug and stop this now.
    PPD should have full accounts for each year and with your involvement you should make sure these are produced for us all to see.
    I am ashamed to live in this county. Bluestone and now PPD you have a lot to answer for and if you were all elected we could at some stage get rid of the lot of you and start again.
    Shambolic and unprofessional to allow this to continue.

  8. Interested

    January 12, 2012 at 10:06 am

    How did they do over Xmas – are they still going?
    Strange no response from the Company or Pembrokeshire CC!!
    Are any of the producers getting any orders from them?

  9. admin

    January 12, 2012 at 10:45 am

    I haven’t heard anything otherwise I would have posted.
    This has been a hot and angry topic for many. I’m not sure though whether no news is good or bad.
    It would have been interesting to have an official update from either PCC or PPD but maybe they are all too busy to send comments through. But after all it is only European money…..
    Hopefully one of our Best Of Welsh & Borders producers will give me an update soon and when they do I will of course post.
    Thanks for your comment .

  10. disgusted

    January 23, 2012 at 3:45 pm

    I am not surprised that no-one from PCC or PPD has given any comment or information to this site.
    And please don’t tell me that neither of them know what has been said on here, because it is one of the hot topics at the markets I’ve been to of late.
    There will be quite a few of us that will take matters further if PPD get any more money after they have wasted so much and provided so little.
    Not sure who in PCC approved this as a business idea, and actually what qualified them to have an opinion on this matter, but as a business, it does not stack up.
    I live in the county and see a white PPD van driving about on a regular basis and I don’t believe for a second that they are doing deliveries. Could this be moonlighting?
    Who checks the mileage on the vans?
    I’m most unhappy with this situation but pleased that many more people know what is going on in this county.
    PPD is another Bluestone, another company being favoured by the council with our money.

  11. poor show

    January 25, 2012 at 12:05 pm

    I’m not impressed with this project and also with the amount of effort Pembs Council seems to be putting into PPD.
    It was an ill-thought out scheme and I don’t think it has been well run.
    Comments on here all seem to be much of the same view that they will take action if this gets more funding.
    I certainly will.
    I don’t expect Pembs Council to tell us the truth about what has gone on behind the scheme, but I’d love to know how many people are employed and how much they are paid. More than many of us I bet.
    So many schemes are started on the food side by people who don’t know much about the industry. It’s money wasted, money down the large Welsh drain.
    It’s another poor show by Pembs Council


    January 27, 2012 at 3:12 pm

    After the Bluestone debacle this is yet another time when I’ve felt totally ashamed of my county.
    I’ve been working in food for 15 years, but I could never see the true need that this project might or could achieve – kind of you to prove me right PPD.
    My feeling is that it was PCC’s food team’s idea, showing off or just thinking that they could raise their profile, maybe win another award from wag and let europe fund it. On paper it didn’t work and in practise it hasn’t either.
    More money for this hair-brain scheme, don’t be silly! Although europe must be silly to have given money for this scheme and also for the forktofork £800k fiasco. wag appear to know how to get money out of europe, tick their boxes, but they are clueless to make any of their food plans pay off and actually help us producers.
    Thanks for your effort in finding out about this and airing it. Too much is hidden in wag food.