REGISTERED NUMBER: |
Strategic Report, Report of the Director and |
Financial Statements for the Year Ended 31 October 2023 |
for |
J.A. Townson & Sons Limited |
REGISTERED NUMBER: |
Strategic Report, Report of the Director and |
Financial Statements for the Year Ended 31 October 2023 |
for |
J.A. Townson & Sons Limited |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Contents of the Financial Statements |
for the Year Ended 31 October 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 5 |
Statement of Income and Retained Earnings | 9 |
Statement of Financial Position | 10 |
Notes to the Financial Statements | 12 |
J.A. Townson & Sons Limited |
Company Information |
for the Year Ended 31 October 2023 |
DIRECTOR: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
Chartered Accountants |
Statutory Auditors |
Russell Chambers |
61a North Street |
Keighley |
West Yorkshire |
BD21 3DS |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Strategic Report |
for the Year Ended 31 October 2023 |
REVIEW OF BUSINESS |
The company continues to rent land and property to its subsidiary, Townson Tractors Limited. |
The company performed well during the year with no changes to revenue. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The director regularly reviews the principal risks faced by the company. |
The company has very little risk with it being a holding company for Townson Tractors with only rental income and minor costs running through the business.. |
KEY PERFORMANCE INDICATORS |
Key performance indicators are not used to review the financial statements of J.A.Townson & Sons Limited as it is considered a holding company for Townson Tractors with very little fluctuation of the figures. |
ON BEHALF OF THE BOARD: |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Report of the Director |
for the Year Ended 31 October 2023 |
The director presents his report with the financial statements of the company for the year ended 31 October 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of the receiving of rents from its subsidiary undertaking and land. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 October 2023 will be £ |
DIRECTOR |
The director shown below was in office at 31 October 2023 but did not hold any interest in the following: |
Ordinary shares of £1 each |
Deferred ordinary shares of £1 each |
at 1 November 2022 or 31 October 2023. |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he 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. |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Report of the Director |
for the Year Ended 31 October 2023 |
AUDITORS |
The auditors, Stirk Lambert & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
J.A. Townson & Sons Limited |
Opinion |
We have audited the financial statements of J.A. Townson & Sons Limited (the 'company') for the year ended 31 October 2023 which comprise the Statement of Income and Retained Earnings, Statement of Financial Position 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 October 2023 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 director's 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 director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, 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 Director 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 Director have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
J.A. Townson & Sons Limited |
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 Director. |
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 director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
J.A. Townson & Sons Limited |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
- we identified the laws and regulations applicable to the company through discussions with directors and other |
management, and from our commercial knowledge and experience of the sector; |
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company; |
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of |
management and inspecting legal correspondence; and |
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to |
instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of |
actual, suspected and alleged fraud and |
- considered the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
- performed analytical procedures to identify any unusual or unexpected relationships; |
- tested journal entries to identify unusual transactions; |
- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of |
potential bias; |
- investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- agreeing financial statement disclosures to underlying supporting documentation; |
- enquiring of management as to actual and potential litigation and claims and |
- reviewing correspondence with HMRC and relevant regulators |
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Report of the Independent Auditors to the Members of |
J.A. Townson & Sons Limited |
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. |
for and on behalf of |
Chartered Accountants |
Statutory Auditors |
Russell Chambers |
61a North Street |
Keighley |
West Yorkshire |
BD21 3DS |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Statement of Income and |
Retained Earnings |
for the Year Ended 31 October 2023 |
31.10.23 | 31.10.22 |
Notes | £ | £ |
TURNOVER |
Administrative expenses | ( |
) | ( |
) |
19,715 | 19,657 |
Income from shares in group undertakings |
PROFIT BEFORE TAXATION | 5 |
Tax on profit | 6 | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
Retained earnings at beginning of year | 876,642 | 817,036 |
Dividends | 7 | ( |
) | ( |
) |
RETAINED EARNINGS AT END OF YEAR |
892,475 |
876,642 |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Statement of Financial Position |
31 October 2023 |
31.10.23 | 31.10.22 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 8 |
Investments | 9 |
Investment property | 10 |
CURRENT ASSETS |
Debtors | 11 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 12 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 14 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 15 | 252,500 | 252,500 |
Other reserves | 16 | 83,047 | 83,047 |
Retained earnings | 16 | 892,475 | 876,642 |
SHAREHOLDERS' FUNDS |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Statement of Financial Position - continued |
31 October 2023 |
The financial statements were approved by the director and authorised for issue on |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Notes to the Financial Statements |
for the Year Ended 31 October 2023 |
1. | STATUTORY INFORMATION |
J.A. Townson & Sons Limited is a |
2. | STATEMENT OF COMPLIANCE |
3. | ACCOUNTING POLICIES |
Basis of 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 requirement of paragraph 33.7. |
Preparation of consolidated financial statements |
The financial statements contain information about J.A. Townson & Sons Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Townson Holdings Limited, West End, Hellifield, Skipton, North Yorkshire, BD23 4HE.. |
Turnover |
Turnover represents the net invoice value of services provided from UK tenants. |
Tangible fixed assets |
Depreciation is not provided on freehold land and buildings on the grounds of immateriality as the director is of the opinion that the residual value will be at least equal to book value. |
Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
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 statement of financial position date. |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Notes to the Financial Statements - continued |
for the Year Ended 31 October 2023 |
3. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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. |
4. | EMPLOYEES AND DIRECTORS |
There were no staff costs for the year ended 31 October 2023 nor for the year ended 31 October 2022. |
The average number of employees during the year was NIL (2022 - NIL). |
31.10.23 | 31.10.22 |
£ | £ |
Director's remuneration |
5. | PROFIT BEFORE TAXATION |
The profit is stated after charging: |
31.10.23 | 31.10.22 |
£ | £ |
Auditors' remuneration |
6. | TAXATION |
Analysis of the tax charge/(credit) |
The tax charge/(credit) on the profit for the year was as follows: |
31.10.23 | 31.10.22 |
£ | £ |
Current tax: |
UK corporation tax |
Deferred tax | ( |
) |
Tax on profit | ( |
) |
UK corporation tax has been charged at 22.50% . |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Notes to the Financial Statements - continued |
for the Year Ended 31 October 2023 |
6. | TAXATION - continued |
Reconciliation of total tax charge/(credit) included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
31.10.23 | 31.10.22 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of |
Effects of: |
Income not taxable for tax purposes | ( |
) | ( |
) |
Effects of marginal relief | (554 | ) | - |
Deferred taxation | - | (43,684 | ) |
Total tax charge/(credit) | 3,882 | (39,949 | ) |
7. | DIVIDENDS |
31.10.23 | 31.10.22 |
£ | £ |
Ordinary shares of £1 each |
Interim |
8. | TANGIBLE FIXED ASSETS |
Freehold |
property |
£ |
COST |
At 1 November 2022 |
and 31 October 2023 |
NET BOOK VALUE |
At 31 October 2023 |
At 31 October 2022 |
9. | FIXED ASSET INVESTMENTS |
Unlisted |
investments |
£ |
COST |
At 1 November 2022 |
and 31 October 2023 |
NET BOOK VALUE |
At 31 October 2023 |
At 31 October 2022 |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Notes to the Financial Statements - continued |
for the Year Ended 31 October 2023 |
9. | FIXED ASSET INVESTMENTS - continued |
The company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Registered office: West End, Hellifield, Skipton, North Yorkshire, BD23 4HE |
Nature of business: |
% |
Class of shares: | holding |
The investment is in the subsidiary company Townson Tractors Limited, a company registered in England & Wales. |
10. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 November 2022 |
and 31 October 2023 |
NET BOOK VALUE |
At 31 October 2023 |
At 31 October 2022 |
Deferred tax has been provided within these financial statements on the revaluation surplus. |
Fair value at 31 October 2023 is represented by: |
£ |
Valuation in 2014 | 204,994 |
Cost | 45,006 |
250,000 |
If Hill House Farm had not been revalued it would have been included at the following historical cost: |
31.10.23 | 31.10.22 |
£ | £ |
Cost | 45,006 | 45,006 |
Hill House Farm was valued on an open market basis on 1 November 2014 by the director . |
The director believes the value of £250,000 is the fair value of the property as at 31 October 2023. |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.10.23 | 31.10.22 |
£ | £ |
Amount owed by parent undertaking | 424,735 |
Amount owed by subsidiary undertaking | 277,450 |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Notes to the Financial Statements - continued |
for the Year Ended 31 October 2023 |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.10.23 | 31.10.22 |
£ | £ |
Trade creditors |
Corporate taxation |
Directors' loan accounts | 81 |
Accrued expenses |
13. | SECURED DEBTS |
Cross guarantee and debenture between Townson Tractors Limited dated 16/03/2010. |
Charge over land and buildings at West End, Hellifield, Skipton, BD23 on the banks standard form dated 26/02/1992. |
Charge over Hill House Farm, Newton in Bowland, Clitheroe, BB7 3AB on the banks standard form dated 26/02/1992. |
14. | PROVISIONS FOR LIABILITIES |
31.10.23 | 31.10.22 |
£ | £ |
Deferred tax | 25,632 |
Deferred |
tax |
£ |
Balance at 1 November 2022 |
Balance at 31 October 2023 |
15. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.10.23 | 31.10.22 |
value: | £ | £ |
Ordinary | £1 | 2,500 | 2,500 |
Deferred ordinary | £1 | 250,000 | 250,000 |
252,500 | 252,500 |
The ordinary shares confer on the holders the rights to the first £1,000,000 dividends for the financial year recommended by the directors, and rights to the first £3,000,000 share in the surpluses remaining on winding-up of the company. |
One half of the remaining balance, either in respect of dividends or surplus on winding-up, is required to be distributed to the holders of deferred ordinary shares, and one half of the balance to the holders of ordinary shares. |
Each ordinary share entitles the holder to one vote. Deferred ordinary shares do not confer the right to vote. |
J.A. Townson & Sons Limited (Registered number: 01352919) |
Notes to the Financial Statements - continued |
for the Year Ended 31 October 2023 |
16. | RESERVES |
Retained | Other |
earnings | reserves | Totals |
£ | £ | £ |
At 1 November 2022 | 876,642 | 959,689 |
Profit for the year |
Dividends | ( |
) | ( |
) |
At 31 October 2023 | 892,475 | 975,522 |
17. | ULTIMATE PARENT COMPANY |
In the opinion of the directors, the immediate and ultimate parent undertaking is Townson Holdings Limited. Consequently, J A Townson & Sons Limited is exempt from the preparation of group accounts as it is included in the accounts of Townson Holdings Limited.These financial statements refer only to J A Townson & Sons Limited. |
The most senior entity producing publicly available financial statements is Townson Holdings Limited. These financial statements may be obtained from Companies House. |
18. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is William Townson. |