Company registration number 00703194 (England and Wales)
L. E. BARNES AND SONS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
PAGES FOR FILING WITH REGISTRAR
L. E. BARNES AND SONS LIMITED
COMPANY INFORMATION
Directors
Mr R J Barnes
Mrs C M Barnes
Secretary
Mrs C M Barnes
Company number
00703194
Registered office
Roxhill Manor Farm
Roxhill Road
Marston Moreteyne
Bedford
Bedfordshire
MK43 0QG
Accountants
Ellacotts LLP
Vantage House
2700 Kettering Parkway
Kettering Venture Park
Kettering
Northamptonshire
NN15 6XR
L. E. BARNES AND SONS LIMITED
CONTENTS
Page
Accountants' report
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 8
L. E. BARNES AND SONS LIMITED
ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF L. E. BARNES AND SONS LIMITED FOR THE YEAR ENDED 31 MARCH 2023
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of L. E. Barnes and Sons Limited for the year ended 31 March 2023 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.
This report is made solely to the Board of Directors of L. E. Barnes and Sons Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the financial statements of L. E. Barnes and Sons Limited and state those matters that we have agreed to state to the Board of Directors of L. E. Barnes and Sons Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than L. E. Barnes and Sons Limited and its Board of Directors as a body, for our work or for this report.
It is your duty to ensure that L. E. Barnes and Sons Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of L. E. Barnes and Sons Limited. You consider that L. E. Barnes and Sons Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of L. E. Barnes and Sons Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Ellacotts LLP
Chartered Accountants
Vantage House
2700 Kettering Parkway
Kettering Venture Park
Kettering
Northamptonshire
NN15 6XR
Date:
31 October 2023
L. E. BARNES AND SONS LIMITED
BALANCE SHEET
AS AT 31 MARCH 2023
31 March 2023
- 2 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
4,942,426
4,275,683
Current assets
Stocks
323,350
279,277
Debtors
5
442,929
361,184
766,279
640,461
Creditors: amounts falling due within one year
6
(1,165,182)
(971,615)
Net current liabilities
(398,903)
(331,154)
Total assets less current liabilities
4,543,523
3,944,529
Creditors: amounts falling due after more than one year
7
(2,523,575)
(2,369,192)
Provisions for liabilities
(415,454)
(488,164)
Net assets
1,604,494
1,087,173
Capital and reserves
Called up share capital
8
3,600
3,600
Share premium account
687,700
687,700
Capital redemption reserve
600
600
Profit and loss reserves
912,594
395,273
Total equity
1,604,494
1,087,173
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and the option not to file the profit and loss account has been taken.
L. E. BARNES AND SONS LIMITED
BALANCE SHEET (CONTINUED)
AS AT 31 MARCH 2023
31 March 2023
- 3 -
The financial statements were approved by the board of directors and authorised for issue on 30 October 2023 and are signed on its behalf by:
Mr R J Barnes
Director
Company registration number 00703194 (England and Wales)
L. E. BARNES AND SONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
- 4 -
1
Accounting policies
Company information
L. E. Barnes and Sons Limited is a private company limited by shares incorporated in England and Wales. The registered office is Roxhill Manor Farm, Roxhill Road, Marston Moreteyne, Bedford, Bedfordshire, MK43 0QG.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
The company's forecasts show that it can continue to operate within the level of its current debt facilitiestrue and the directors believe that these facilities will continue to be renewed by the company's bankers on acceptable terms. The directors are also committed to continuing the financial support they have provided to the company to date. The directors therefore believe that the company has sufficient resources to continue its activities for the foreseeable future and, as such, the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Tenant's improvements
10 - 30 years
Plant and equipment
10 - 20% reducing balance
Office equipment
20 - 50% reducing balance
Motor vehicles
20 - 25% reducing balance
Tractors and combines
10 - 20% reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
L. E. BARNES AND SONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 5 -
1.5
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
1.6
Cash at bank and in hand
Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.8
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
L. E. BARNES AND SONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 6 -
1.9
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
10
10
3
Intangible fixed assets
Basic Payment entitlements
£
Cost
At 1 April 2022 and 31 March 2023
10,260
Amortisation and impairment
At 1 April 2022 and 31 March 2023
10,260
Carrying amount
At 31 March 2023
At 31 March 2022
L. E. BARNES AND SONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 7 -
4
Tangible fixed assets
Tenant's improvements
Plant and equipment
Office equipment
Motor vehicles
Tractors and combines
Total
£
£
£
£
£
£
Cost
At 1 April 2022
3,667,706
1,275,900
12,894
50,428
2,270,851
7,277,779
Additions
283,912
424,801
4,142
688,000
1,400,855
Disposals
(5,500)
(452,730)
(458,230)
At 31 March 2023
3,951,618
1,695,201
17,036
50,428
2,506,121
8,220,404
Depreciation and impairment
At 1 April 2022
1,270,073
719,653
9,380
23,824
979,166
3,002,096
Depreciation charged in the year
126,178
117,608
1,873
5,356
187,198
438,213
Eliminated in respect of disposals
(2,914)
(159,417)
(162,331)
At 31 March 2023
1,396,251
834,347
11,253
29,180
1,006,947
3,277,978
Carrying amount
At 31 March 2023
2,555,367
860,854
5,783
21,248
1,499,174
4,942,426
At 31 March 2022
2,397,633
556,247
3,514
26,604
1,291,685
4,275,683
5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
274,610
68,804
Other debtors
12,928
Prepayments and accrued income
168,319
279,452
442,929
361,184
L. E. BARNES AND SONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 8 -
6
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
286,000
416,209
Obligations under hire purchase contracts
263,251
186,850
Trade creditors
433,847
233,980
Other taxation and social security
14,793
4,973
Other creditors
84,475
53,841
Accruals and deferred income
82,816
75,762
1,165,182
971,615
Obligations under hire purchase contracts are secured against the assets to which they relate.
The directors have provided Barclays Bank Plc with personal guarantees of £3,500,000 with respect to the company's bank loans and overdraft.
7
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
1,245,141
1,335,203
Obligations under hire purchase contracts
543,763
363,874
Other borrowings
734,671
670,115
2,523,575
2,369,192
Obligations under hire purchase contracts are secured against the assets to which they relate.
The directors have provided Barclays Bank Plc with personal guarantees of £3,500,000 with respect to the company's bank loans and overdraft.
During the year ended 31 March 2021 the company took out a £50,000 Bounce Back loan, which is fully guaranteed by the Government.
8
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary A of £1 each
1,900
1,900
1,900
1,900
Ordinary B of £1 each
1,000
1,000
1,000
1,000
Ordinary C of £1 each
500
500
500
500
Ordinary D of £1 each
200
200
200
200
3,600
3,600
3,600
3,600