IRIS Accounts Production v24.2.0.383 05750852 Board of Directors 1.4.23 31.3.24 31.3.24 true false true true false false false true false Ordinary 1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh057508522023-03-31057508522024-03-31057508522023-04-012024-03-31057508522022-03-31057508522022-04-012023-03-31057508522023-03-3105750852ns15:EnglandWales2023-04-012024-03-3105750852ns14:PoundSterling2023-04-012024-03-3105750852ns10:Director12023-04-012024-03-3105750852ns10:PrivateLimitedCompanyLtd2023-04-012024-03-3105750852ns10:FRS1022023-04-012024-03-3105750852ns10:Audited2023-04-012024-03-3105750852ns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2023-04-012024-03-3105750852ns10:LargeMedium-sizedCompaniesRegimeForAccounts2023-04-012024-03-3105750852ns10:FullAccounts2023-04-012024-03-310575085212023-04-012024-03-3105750852ns10:OrdinaryShareClass12023-04-012024-03-3105750852ns10:Director22023-04-012024-03-3105750852ns10:Director32023-04-012024-03-3105750852ns10:CompanySecretary12023-04-012024-03-3105750852ns10:RegisteredOffice2023-04-012024-03-3105750852ns5:CurrentFinancialInstruments2024-03-3105750852ns5:CurrentFinancialInstruments2023-03-3105750852ns5:Non-currentFinancialInstruments2024-03-3105750852ns5:Non-currentFinancialInstruments2023-03-3105750852ns5:ShareCapital2024-03-3105750852ns5:ShareCapital2023-03-3105750852ns5:RetainedEarningsAccumulatedLosses2024-03-3105750852ns5:RetainedEarningsAccumulatedLosses2023-03-3105750852ns5:ShareCapital2022-03-3105750852ns5:RetainedEarningsAccumulatedLosses2022-03-3105750852ns5:RetainedEarningsAccumulatedLosses2022-04-012023-03-3105750852ns5:RetainedEarningsAccumulatedLosses2023-04-012024-03-3105750852ns5:ReportableOperatingSegment12023-04-012024-03-3105750852ns5:ReportableOperatingSegment12022-04-012023-03-3105750852ns5:ReportableOperatingSegment22023-04-012024-03-3105750852ns5:ReportableOperatingSegment22022-04-012023-03-3105750852ns5:ReportableOperatingSegment32023-04-012024-03-3105750852ns5:ReportableOperatingSegment32022-04-012023-03-3105750852ns5:TotalReportableOperatingSegmentsIncludingAnyUnallocatedAmount2023-04-012024-03-3105750852ns5:TotalReportableOperatingSegmentsIncludingAnyUnallocatedAmount2022-04-012023-03-3105750852ns5:OwnedAssets2023-04-012024-03-3105750852ns5:OwnedAssets2022-04-012023-03-310575085212023-04-012024-03-310575085212022-04-012023-03-3105750852ns10:OrdinaryShareClass12022-04-012023-03-3105750852ns5:NetGoodwill2023-03-3105750852ns5:NetGoodwill2024-03-3105750852ns5:NetGoodwill2023-03-3105750852ns5:FurnitureFittings2023-03-3105750852ns5:MotorVehicles2023-03-3105750852ns5:FurnitureFittings2023-04-012024-03-3105750852ns5:MotorVehicles2023-04-012024-03-3105750852ns5:FurnitureFittings2024-03-3105750852ns5:MotorVehicles2024-03-3105750852ns5:FurnitureFittings2023-03-3105750852ns5:MotorVehicles2023-03-3105750852ns5:CurrentFinancialInstrumentsns5:WithinOneYear2024-03-3105750852ns5:CurrentFinancialInstrumentsns5:WithinOneYear2023-03-3105750852ns5:Non-currentFinancialInstrumentsns5:BetweenOneTwoYears2024-03-3105750852ns5:Non-currentFinancialInstrumentsns5:BetweenOneTwoYears2023-03-3105750852ns5:Non-currentFinancialInstrumentsns5:BetweenTwoFiveYears2024-03-3105750852ns5:Non-currentFinancialInstrumentsns5:BetweenTwoFiveYears2023-03-3105750852ns5:WithinOneYear2024-03-3105750852ns5:WithinOneYear2023-03-3105750852ns5:BetweenOneFiveYears2024-03-3105750852ns5:BetweenOneFiveYears2023-03-3105750852ns5:AllPeriods2024-03-3105750852ns5:AllPeriods2023-03-3105750852ns5:Secured2024-03-3105750852ns5:Secured2023-03-3105750852ns5:DeferredTaxation2023-03-3105750852ns5:DeferredTaxation2023-04-012024-03-3105750852ns5:DeferredTaxation2024-03-3105750852ns10:OrdinaryShareClass12024-03-3105750852ns5:RetainedEarningsAccumulatedLosses2023-03-31
REGISTERED NUMBER: 05750852 (England and Wales)










BROWNS FAMILY JEWELLERS LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST MARCH 2024






BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST MARCH 2024










Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 4 to 7

Income Statement 8

Other Comprehensive Income 9

Balance Sheet 10

Statement of Changes in Equity 11

Cash Flow Statement 12

Notes to the Cash Flow Statement 13

Notes to the Financial Statements 14 to 21


BROWNS FAMILY JEWELLERS LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31ST MARCH 2024







DIRECTORS: S H Brown
A Pugh
A E Brown





SECRETARY: S H Brown





REGISTERED OFFICE: 2-8 Peel Street
Barnsley
South Yorkshire
S70 2QX





REGISTERED NUMBER: 05750852 (England and Wales)





AUDITORS: Thomas Coombs Limited
Statutory Auditor
Chartered Accountants
3365 The Pentagon
Century Way
Thorpe Park
Leeds
West Yorkshire
LS15 8ZB

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

STRATEGIC REPORT
FOR THE YEAR ENDED 31ST MARCH 2024


The directors present their strategic report for the year ended 31st March 2024.

REVIEW OF BUSINESS
Overall turnover was down 3% in 2023/24 compared to 2022/23. The gross profit margin was 45% 2023/24 compared to 46% in 2022/23. Net operating costs were 11% higher than the prior year. The company made an operating profit of £655,741 in 2023/24 compared to £1,122,010 in 2022/23. The company has successfully repaid all outstanding bank debt.

Growth in retail sales continued to be subdued in 2023/23, reflecting the increasingly challenging economic climate experienced by consumers, however, their corresponding need for short-term cash to fund higher living costs is likely to have contributed to the growth in private treaty income during the year.

The company continued to review its operating costs with a view to ensuring the ongoing profitability of the business, particularly given the economic headwinds and outlook. It has also continued to invest in staff training, digital marketing activity and the expansion of its in-house repair and manufacturing capability. We expect this significant investment to increase future profitability.

The Directors have reviewed the company's profit and cashflow forecasts for the next 12 months and confidently expect that the business will have sufficient resources to meet its obligations.

PRINCIPAL RISKS AND UNCERTAINTIES
In line with previous years, the principal risks and uncertainties are the effects of a downturn in trade associated with the economic climate, fluctuations in supply and price of gold. The company continues to focus on providing customers with exceptional service and value for money.

In addition to the risks and uncertainties mentioned above, management continues to monitor the economic implications of the Ukraine and Middle East wars and the changing rates of inflation.

KEY PERFORMANCE INDICATORS
The company uses key performance indicators to monitor performance. These includes sales, gross profit and profit/(loss) before tax as key measures of financial performance (as detailed on page 8, profit and loss account) and stock and cash at bank as key measures of financial position (as detailed on page 10, balance sheet).

ON BEHALF OF THE BOARD:





S H Brown - Director


23rd July 2024

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MARCH 2024


The directors present their report with the financial statements of the company for the year ended 31st March 2024.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of jewellery sales and pawnbroking.

DIVIDENDS
The total distribution of dividends for the year ended 31st March 2024 will be £nil (2023: £2,000)

DIRECTORS
The directors shown below have held office during the whole of the period from 1st April 2023 to the date of this report.

S H Brown
A Pugh
A E Brown

FINANCIAL INSTRUMENTS
The company's financial statements comprise of cash and liquid resources, pledge debtors, bank loans and various other items such as trade debtors and trade creditors that also arise directly from its operations.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
The auditors, Thomas Coombs Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





S H Brown - Director


23rd July 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
BROWNS FAMILY JEWELLERS LIMITED


Opinion
We have audited the financial statements of Browns Family Jewellers Limited (the 'company') for the year ended 31st March 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 31st March 2024 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
BROWNS FAMILY JEWELLERS 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 Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
BROWNS FAMILY JEWELLERS 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:

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:

Based on our understanding of the entity and industries in which it operates, we identified the principal risks of non-compliance with laws and regulations related to the National Pawnbroking Association, FCA, employment law and data protection. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, tax legislation and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

We assessed the susceptibility of the company's financial statements to material misstatement and how fraud might occur, including through discussions with the directors, discussions within our audit team planning meeting, updating our record of internal controls, and ensuring these controls operated as intended. We determined the principal risks were related to posting journal entries to manipulate profits, and management bias in accounting estimates, especially accruals, prepayments, accrued interest and depreciation.

To address the risk of fraud through management bias and override of controls, we:
-Performed analytical procedures to identify any unusual or unexpected relationships.
-Identified and tested journal entries and identified any significant transactions that were unusual or outside the normal course of business.
-Investigated the rationale behind significant or unusual transactions.
-Challenged assumptions and judgements made by management in determining significant accounting estimates, in particular in relation to accruals, prepayments, accrued interest and depreciation.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed audit procedures which included, but were not limited to:
-Agreeing financial statements disclosures to underlying supporting documentation.
-Discussions with management of known or suspected instances of non-compliance with laws and regulations.
-Reviewing correspondence with HMRC, relevant regulators including the National Pawnbroking Association, FCA and the company's legal advisors.

At the completion stage of the audit, the engagement partner's review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

There are inherent limitations in the audit procedures described above and the further removed non-compliance of laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement relating to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment.

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
BROWNS FAMILY JEWELLERS 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.




Christopher Darwin (Senior Statutory Auditor)
for and on behalf of Thomas Coombs Limited
Statutory Auditor
Chartered Accountants
3365 The Pentagon
Century Way
Thorpe Park
Leeds
West Yorkshire
LS15 8ZB

23rd July 2024

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

INCOME STATEMENT
FOR THE YEAR ENDED 31ST MARCH 2024

2024 2023
Notes £    £   

TURNOVER 3 7,195,997 7,404,045

Cost of sales 3,960,878 3,968,157
GROSS PROFIT 3,235,119 3,435,888

Administrative expenses 2,594,378 2,339,878
640,741 1,096,010

Other operating income 15,000 26,000
OPERATING PROFIT 6 655,741 1,122,010


Interest payable and similar expenses 7 17,457 15,054
PROFIT BEFORE TAXATION 638,284 1,106,956

Tax on profit 8 159,903 135,731
PROFIT FOR THE FINANCIAL YEAR 478,381 971,225

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31ST MARCH 2024

2024 2023
Notes £    £   

PROFIT FOR THE YEAR 478,381 971,225


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 478,381 971,225

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

BALANCE SHEET
31ST MARCH 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 10 - -
Tangible assets 11 71,940 75,491
71,940 75,491

CURRENT ASSETS
Stocks 12 5,533,713 5,408,080
Debtors 13 1,424,586 1,472,205
Cash at bank and in hand 769,025 681,460
7,727,324 7,561,745
CREDITORS
Amounts falling due within one year 14 2,995,202 3,036,891
NET CURRENT ASSETS 4,732,122 4,524,854
TOTAL ASSETS LESS CURRENT LIABILITIES 4,804,062 4,600,345

CREDITORS
Amounts falling due after more than one year 15 - (270,833 )

PROVISIONS FOR LIABILITIES 19 (9,080 ) (12,911 )
NET ASSETS 4,794,982 4,316,601

CAPITAL AND RESERVES
Called up share capital 20 100,000 100,000
Retained earnings 21 4,694,982 4,216,601
SHAREHOLDERS' FUNDS 4,794,982 4,316,601

The financial statements were approved by the Board of Directors and authorised for issue on 23rd July 2024 and were signed on its behalf by:





S H Brown - Director


BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31ST MARCH 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1st April 2022 100,000 3,247,376 3,347,376

Changes in equity
Dividends - (2,000 ) (2,000 )
Total comprehensive income - 971,225 971,225
Balance at 31st March 2023 100,000 4,216,601 4,316,601

Changes in equity
Total comprehensive income - 478,381 478,381
Balance at 31st March 2024 100,000 4,694,982 4,794,982

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

CASH FLOW STATEMENT
FOR THE YEAR ENDED 31ST MARCH 2024

2024 2023
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 619,208 286,968
Tax paid (141,097 ) (116,689 )
Net cash from operating activities 478,111 170,279

Cash flows from investing activities
Purchase of tangible fixed assets (47,454 ) (13,086 )
Sale of tangible fixed assets 650 -
Net cash from investing activities (46,804 ) (13,086 )

Cash flows from financing activities
Loan repayments in year (354,166 ) (83,334 )
Interest paid in year (17,457 ) (15,054 )
Amount introduced by directors 95,298 673,284
Amount withdrawn by directors (67,417 ) (745,163 )
Equity dividends paid - (2,000 )
Net cash from financing activities (343,742 ) (172,267 )

Increase/(decrease) in cash and cash equivalents 87,565 (15,074 )
Cash and cash equivalents at beginning of year 2 681,460 696,534

Cash and cash equivalents at end of year 2 769,025 681,460

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE CASH FLOW STATEMENT
FOR THE YEAR ENDED 31ST MARCH 2024


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS
2024 2023
£    £   
Profit before taxation 638,284 1,106,956
Depreciation charges 51,005 48,903
Profit on disposal of fixed assets (650 ) -
Finance costs 17,457 15,054
706,096 1,170,913
Increase in stocks (125,633 ) (559,658 )
Decrease/(increase) in trade and other debtors 47,619 (337,227 )
(Decrease)/increase in trade and other creditors (8,874 ) 12,940
Cash generated from operations 619,208 286,968

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31st March 2024
31/3/24 1/4/23
£    £   
Cash and cash equivalents 769,025 681,460
Year ended 31st March 2023
31/3/23 1/4/22
£    £   
Cash and cash equivalents 681,460 696,534


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1/4/23 Cash flow At 31/3/24
£    £    £   
Net cash
Cash at bank and in hand 681,460 87,565 769,025
681,460 87,565 769,025
Debt
Debts falling due within 1 year (83,333 ) 83,333 -
Debts falling due after 1 year (270,833 ) 270,833 -
(354,166 ) 354,166 -
Total 327,294 441,731 769,025

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST MARCH 2024


1. STATUTORY INFORMATION

Browns Family Jewellers Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

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.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue generated from interest charged on loans is recognised over time to the extent that there is a right to consideration.

Tangible fixed assets
Tangible fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Fixtures and fittings25% straight line
Computers25% straight line
Motor vehicles25% straight line

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.

Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash generating unit to which the asset belongs.

Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to net realisable value.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


2. ACCOUNTING POLICIES - continued

Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company’s balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets
Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2024 2023
£    £   
Sales of goods 6,583,543 6,887,053
Pledge income 612,327 516,910
Other income 127 82
7,195,997 7,404,045

4. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 1,478,665 1,319,305
Social security costs 112,828 97,880
Other pension costs 54,968 46,908
1,646,461 1,464,093

The average number of employees during the year was as follows:
2024 2023

Directors 3 3
Employees 58 57
61 60

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


5. DIRECTORS' EMOLUMENTS
2024 2023
£    £   
Directors' remuneration 115,679 86,600

6. OPERATING PROFIT

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

2024 2023
£    £   
Other operating leases 213,650 211,511
Depreciation - owned assets 51,005 48,903
Profit on disposal of fixed assets (650 ) -
Auditors' remuneration 6,900 8,000
Foreign exchange differences - (3 )

7. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Interest payable 17,457 15,054

8. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax 163,734 141,097
Prior year tax over provision - (1,286 )
Total current tax 163,734 139,811

Deferred tax (3,831 ) (4,080 )
Tax on profit 159,903 135,731

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


8. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2024 2023
£    £   
Profit before tax 638,284 1,106,956
Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 -
19%)

159,571

210,322

Effects of:
Expenses not deductible for tax purposes 332 (70 )
Adjustments to tax charge in respect of previous periods - (2,537 )
Change in deferred tax rate - 3,099
R&D additional deduction - (73,019 )
Enhanced relief - (2,064 )
Total tax charge 159,903 135,731

9. DIVIDENDS
2024 2023
£    £   
Ordinary shares of £1 each
Interim - 2,000

10. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1st April 2023
and 31st March 2024 19,000
AMORTISATION
At 1st April 2023
and 31st March 2024 19,000
NET BOOK VALUE
At 31st March 2024 -
At 31st March 2023 -

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


11. TANGIBLE FIXED ASSETS
Fixtures
and Motor
fittings vehicles Totals
£    £    £   
COST
At 1st April 2023 619,399 - 619,399
Additions 30,302 17,152 47,454
At 31st March 2024 649,701 17,152 666,853
DEPRECIATION
At 1st April 2023 543,908 - 543,908
Charge for year 47,074 3,931 51,005
At 31st March 2024 590,982 3,931 594,913
NET BOOK VALUE
At 31st March 2024 58,719 13,221 71,940
At 31st March 2023 75,491 - 75,491

12. STOCKS
2024 2023
£    £   
Stock 5,533,713 5,408,080

13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade debtors 121,300 125,585
Other debtors 55,125 56,284
Pledge debtors 1,228,071 1,253,897
Prepayments and accrued income 20,090 36,439
1,424,586 1,472,205

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Bank loans and overdrafts (see note 16) - 83,333
Trade creditors 378,711 391,733
Corporation Tax 163,734 141,097
Social security and other taxes 27,589 21,472
VAT 78,845 74,589
Other creditors 9,004 7,675
Directors' current accounts 2,314,191 2,286,310
Accruals and deferred income 23,128 30,682
2,995,202 3,036,891

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2024 2023
£    £   
Bank loans (see note 16) - 270,833

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


16. LOANS

An analysis of the maturity of loans is given below:

2024 2023
£    £   
Amounts falling due within one year or on demand:
Bank loans - 83,333

Amounts falling due between one and two years:
Bank loans - 1-2 years - 83,333

Amounts falling due between two and five years:
Bank loans - 2-5 years - 187,500

17. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2024 2023
£    £   
Within one year 186,400 188,200
Between one and five years 239,725 267,533
426,125 455,733

Of these commitments £395,625 (2023: £405,733) related to properties held by the S H Brown SIPP (note 23).

18. SECURED DEBTS

The following secured debts are included within creditors:

2024 2023
£    £   
Bank loans - 354,166

Security on the bank loan was in the form of a fixed and floating charge over the assets of the company.

19. PROVISIONS FOR LIABILITIES
2024 2023
£    £   
Deferred tax 9,080 12,911

Deferred
tax
£   
Balance at 1st April 2023 12,911
Provided during year (3,831 )
Balance at 31st March 2024 9,080

BROWNS FAMILY JEWELLERS LIMITED (REGISTERED NUMBER: 05750852)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


20. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
100,000 Ordinary £1 100,000 100,000

21. RESERVES
Retained
earnings
£   

At 1st April 2023 4,216,601
Profit for the year 478,381
At 31st March 2024 4,694,982

22. RELATED PARTY DISCLOSURES

Simon Brown, Director, has a loan account with the company which is interest free. The amount due to the Director at 31st March 2024 was £2,314,191 (2023: £2,286,310).

S H Brown SIPP is a pension scheme connected to the directors, which has Hornbuckle Mitchell as a professional trustee. During the year the company rented property from the pension scheme at a total cost of £182,400 (2023: £182,400).

The Simon Brown 2008 Discretionary Trust, a trust fund for the benefit of the director's children. During the year the company provided management services at a total income of £7,500 (2023: £13,000).

The Anne Brown 2008 Discretionary Trust, a trust fund for the benefit of the director's children. During
the year the company provided management services at a total income of £7,500 (2022: £13,000).

23. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is S H Brown.

24. PENSIONS AND OTHER POST-RETIREMENT BENEFITS

The company operates a defined contribution pension plan for its employees. The amount recognised as an expense in the period was £57,308 (2023: £49,108).