REGISTERED NUMBER: 04331554 (England and Wales) |
BELL BROTHERS NURSERIES LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
REGISTERED NUMBER: 04331554 (England and Wales) |
BELL BROTHERS NURSERIES LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 18 |
BELL BROTHERS NURSERIES LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Certified Accountants |
& Registered Auditors |
The Old Vicarage |
Church Close |
Boston |
Lincolnshire |
PE21 6NA |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their strategic report of the company and the group for the year ended 31 December 2023. |
The principal activity of the group in the year under review was that of nursery men and farming. |
REVIEW OF BUSINESS |
Turnover decreased by 4.5% compared with the prior year reflecting the directors decision to concentrate on the higher margin products. |
The business environment remains highly competitive with pressure on selling prices influencing the margin achieved. |
The company will continue to concentrate on the higher margin products and continue its efficiency plans. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The Group operates in a challenging economic climate. As such management of the group's business and the execution of the group's strategies are subject to a number of risks: |
- Impact of weather on production and supply costs and on customer demand; |
- The strength local, national and international competition; |
- The risks associated with needing to hold a wide range of stock lines to satisfy customer requirements. |
The controllable risks are being addressed by continued focus on stock management processes and production efficiencies. |
The group uses various financial instruments including cash, overdraft facilities, loans, HP finance and such items such as trade creditors that arise directly from its operations, the main purpose of which is to ensure liquidity of the group's activities. |
The main risks arising from the Group's financial instruments and the management of these risks are summarised below: |
- Credit risk. Credit checks and credit limits and follow up of overdue debts; |
- Liquidity risks. The group manages its financial risks by ensuring that there is enough liquidity to meet its short and long term requirements, principally through bank loans and overdraft facilities: |
- Interest rate risk. The company is exposed to a rise in interest rates. However, management anticipate that its operating result would cover any likely interest increase; |
- Currency risks. The company is exposed to the Euro and US $. Forward contracts are taken out from time to time to manage these risks. |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
KEY PERFORMANCE INDICATORS |
We consider the key performance indicators to be measured by turnover, operating profit as a percentage of turnover and operating cash inflow. |
ON BEHALF OF THE BOARD: |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2023. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group'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 group's auditors are aware of that information. |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
AUDITORS |
The auditors, Dexter & Sharpe, 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 |
BELL BROTHERS NURSERIES LIMITED |
Opinion |
We have audited the financial statements of Bell Brothers Nurseries Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 December 2023 and of the group's 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 group 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 group's and the parent 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 Group 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BELL BROTHERS NURSERIES LIMITED |
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 Group 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 Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company 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 four, 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
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: |
We have enquired of those charged with governance around actual and potential litigation and claims. |
We have reviewed financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations. |
Enquired of staff engaged in the completion of VAT, tax and compliance work to identify any instances of non compliance with laws and regulations. |
Audited the risk of management override of controls including review of journal entries and large or unusual transaction, evaluating the business rationale of any significant transactions outside the course of business. |
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 |
BELL BROTHERS NURSERIES LIMITED |
for and on behalf of |
Chartered Certified Accountants |
& Registered Auditors |
The Old Vicarage |
Church Close |
Boston |
Lincolnshire |
PE21 6NA |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
CONSOLIDATED |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 9,603,737 | 10,066,234 |
Cost of sales | (6,714,699 | ) | (6,421,975 | ) |
GROSS PROFIT | 2,889,038 | 3,644,259 |
Distribution costs | (613,789 | ) | (581,175 | ) |
Administrative expenses | (2,996,224 | ) | (3,137,019 | ) |
(720,975 | ) | (73,935 | ) |
Other operating income | 1,164,154 | 413,589 |
OPERATING PROFIT | 3 | 443,179 | 339,654 |
Interest receivable and similar income | 2,699 | 877 |
445,878 | 340,531 |
Interest payable and similar expenses | 4 | (249,396 | ) | (122,410 | ) |
PROFIT BEFORE TAXATION | 196,482 | 218,121 |
Tax on profit | 5 | (105,503 | ) | 161,295 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 95,713 | 379,160 |
Non-controlling interests | (4,734 | ) | 256 |
90,979 | 379,416 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
CONSOLIDATED |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 90,979 | 379,416 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
90,979 |
379,416 |
Total comprehensive income attributable to: |
Owners of the parent | 95,712 | 379,160 |
Non-controlling interests | (4,733 | ) | 256 |
90,979 | 379,416 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
CONSOLIDATED BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 7 | 2,365,833 | 2,174,195 |
Investments | 8 | 3,001 | 3,001 |
2,368,834 | 2,177,196 |
CURRENT ASSETS |
Stocks | 9 | 2,505,528 | 3,091,453 |
Debtors: amounts falling due within one year | 10 | 2,704,953 | 1,642,215 |
Cash at bank and in hand | 35,809 | 21,741 |
5,246,290 | 4,755,409 |
CREDITORS |
Amounts falling due within one year | 11 | 2,633,461 | 2,312,670 |
NET CURRENT ASSETS | 2,612,829 | 2,442,739 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
4,981,663 |
4,619,935 |
CREDITORS |
Amounts falling due after more than one year | 12 | (2,365,057 | ) | (2,199,812 | ) |
PROVISIONS FOR LIABILITIES | 16 | (105,503 | ) | - |
NET ASSETS | 2,511,103 | 2,420,123 |
CAPITAL AND RESERVES |
Called up share capital | 17 | 1,000 | 1,000 |
Retained earnings | 18 | 2,510,084 | 2,414,371 |
SHAREHOLDERS' FUNDS | 2,511,084 | 2,415,371 |
NON-CONTROLLING INTERESTS | 19 | 19 | 4,752 |
TOTAL EQUITY | 2,511,103 | 2,420,123 |
The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2024 and were signed on its behalf by: |
R A Bell - Director |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
COMPANY BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 7 |
Investments | 8 |
CURRENT ASSETS |
Stocks | 9 |
Debtors: amounts falling due within one year | 10 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 11 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 12 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 16 | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 17 |
Retained earnings | 18 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 138,315 | 376,857 |
The financial statements were approved by the Board of Directors and authorised for issue on |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Non-controlling | Total |
capital | earnings | Total | interests | equity |
£ | £ | £ | £ | £ |
Balance at 1 January 2022 | 1,000 | 2,035,211 | 2,036,211 | 4,496 | 2,040,707 |
Changes in equity |
Total comprehensive income | - | 379,160 | 379,160 | 256 | 379,416 |
Balance at 31 December 2022 | 1,000 | 2,414,371 | 2,415,371 | 4,752 | 2,420,123 |
Changes in equity |
Total comprehensive income | - | 95,713 | 95,713 | (4,733 | ) | 90,980 |
Balance at 31 December 2023 | 1,000 | 2,510,084 | 2,511,084 | 19 | 2,511,103 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2023 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 219,566 | 628,136 |
Interest paid | (236,870 | ) | (110,823 | ) |
Interest element of hire purchase payments paid |
(12,526 |
) |
(11,587 |
) |
Tax paid | 126,689 | 61,607 |
Net cash from operating activities | 96,859 | 567,333 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (438,463 | ) | (428,042 | ) |
Sale of tangible fixed assets | 53,624 | - |
Interest received | 2,699 | 877 |
Net cash from investing activities | (382,140 | ) | (427,165 | ) |
Cash flows from financing activities |
New loans in year | (220,390 | ) | - |
Loan repayments in year | 408,970 | (171,183 | ) |
Capital repayments in year | 83,090 | 165,807 |
Amount introduced by directors | 300,294 | 148,747 |
Amount withdrawn by directors | (223,592 | ) | (135,422 | ) |
Net cash from financing activities | 348,372 | 7,949 |
Increase in cash and cash equivalents | 63,091 | 148,117 |
Cash and cash equivalents at beginning of year |
2 |
(582,471 |
) |
(730,588 |
) |
Cash and cash equivalents at end of year | 2 | (519,380 | ) | (582,471 | ) |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 196,482 | 218,121 |
Depreciation charges | 216,173 | 193,687 |
Profit on disposal of fixed assets | (22,972 | ) | - |
Finance costs | 249,396 | 122,410 |
Finance income | (2,699 | ) | (877 | ) |
636,380 | 533,341 |
Decrease/(increase) in stocks | 585,925 | (375,808 | ) |
(Increase)/decrease in trade and other debtors | (1,214,957 | ) | 58,045 |
Increase in trade and other creditors | 212,218 | 412,558 |
Cash generated from operations | 219,566 | 628,136 |
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 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 35,809 | 21,741 |
Bank overdrafts | (555,189 | ) | (604,212 | ) |
(519,380 | ) | (582,471 | ) |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 21,741 | 70,664 |
Bank overdrafts | (604,212 | ) | (801,252 | ) |
(582,471 | ) | (730,588 | ) |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 21,741 | 14,068 | 35,809 |
Bank overdrafts | (604,212 | ) | 49,023 | (555,189 | ) |
(582,471 | ) | 63,091 | (519,380 | ) |
Debt |
Finance leases | (228,704 | ) | (83,090 | ) | (311,794 | ) |
Debts falling due within 1 year | (177,932 | ) | (81,004 | ) | (258,936 | ) |
Debts falling due after 1 year | (2,046,314 | ) | (107,575 | ) | (2,153,889 | ) |
(2,452,950 | ) | (271,669 | ) | (2,724,619 | ) |
Total | (3,035,421 | ) | (208,578 | ) | (3,243,999 | ) |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The Group consolidated financial statements include the financial statements of the Company and of its subsidiary undertaking made up to 31 December 2023. |
Significant judgements and estimates |
Estimates and judgements are continually evaluated and are based on historical experience and other factors including expectations of future events that are believed to be reasonable under the circumstances. |
Stock valuation |
The stock valuation is based on costing data. At the direct cost level little judgement is involved. The inclusion and apportionment of production overheads is based on reasonable criteria, but requires an element of judgement. |
Useful economic lives of tangible assets |
Plant and Machinery, Fixtures and Fittings, and Motor Vehicles are depreciated on a reducing balance method at rates which historically have resulted in a reasonable residual value of the assets. Farm buildings and glasshouses are individually assessed and a straight line or reducing balance method at a rate judged suitable for the particular asset applied. The useful economic lives and residual values are re-assessed annually. |
Deferred taxation |
Deferred taxation is calculated at the enacted tax rates when the taxation timing differences are expected to reverse. Estimates and judgements are required in making these forecasts. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated 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. |
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 |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
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 group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Financial instruments |
Derivatives are initially recognised at fair value on the date the derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of the derivatives are recognised in profit or loss in finance costs or income as appropriate. |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 3,593,777 | 3,415,467 |
Social security costs | 171,304 | 161,506 |
Other pension costs | 46,687 | 46,413 |
3,811,768 | 3,623,386 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Directors | 4 | 4 |
Managers | 6 | 6 |
Administration | 4 | 4 |
Operatives | 53 | 55 |
2023 | 2022 |
£ | £ |
Directors' remuneration | 82,160 | 62,972 |
3. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Other operating leases | 193,304 | 212,963 |
Depreciation - owned assets | 159,255 | 154,928 |
Depreciation - assets on hire purchase contracts | 56,918 | 38,759 |
Profit on disposal of fixed assets | (22,972 | ) | - |
Auditors' remuneration | 7,150 | 6,600 |
Foreign exchange differences | 11,048 | 12,085 |
4. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank interest payable | 66,518 | 30,994 |
Corporation tax interest | 199 | - |
Loan and mortgage interest |
payable | 170,153 | 79,829 |
Hire purchase and finance lease charges | 12,526 | 11,587 |
249,396 | 122,410 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
5. | TAXATION |
Analysis of the tax charge/(credit) |
The tax charge/(credit) on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | - | 1,100 |
Under / (Overprovision) in |
previous year | - | (162,395 | ) |
Total current tax | - | (161,295 | ) |
Deferred tax | 105,503 | - |
Tax on profit | 105,503 | (161,295 | ) |
6. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
7. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 January 2023 | 3,232,585 | 2,194,894 | 340,633 |
Additions | 88,010 | 336,492 | 7,961 |
Disposals | - | (33,250 | ) | - |
At 31 December 2023 | 3,320,595 | 2,498,136 | 348,594 |
DEPRECIATION |
At 1 January 2023 | 2,350,247 | 1,313,414 | 283,678 |
Charge for year | 56,750 | 140,632 | 8,743 |
Eliminated on disposal | - | (9,108 | ) | - |
At 31 December 2023 | 2,406,997 | 1,444,938 | 292,421 |
NET BOOK VALUE |
At 31 December 2023 | 913,598 | 1,053,198 | 56,173 |
At 31 December 2022 | 882,338 | 881,480 | 56,955 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
7. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor |
vehicles | Land | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 291,190 | 311,035 | 6,370,337 |
Additions | 6,000 | - | 438,463 |
Disposals | (26,339 | ) | - | (59,589 | ) |
At 31 December 2023 | 270,851 | 311,035 | 6,749,211 |
DEPRECIATION |
At 1 January 2023 | 248,803 | - | 4,196,142 |
Charge for year | 10,048 | - | 216,173 |
Eliminated on disposal | (19,829 | ) | - | (28,937 | ) |
At 31 December 2023 | 239,022 | - | 4,383,378 |
NET BOOK VALUE |
At 31 December 2023 | 31,829 | 311,035 | 2,365,833 |
At 31 December 2022 | 42,387 | 311,035 | 2,174,195 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and |
machinery |
£ |
COST |
At 1 January 2023 | 398,365 |
Additions | 157,445 |
At 31 December 2023 | 555,810 |
DEPRECIATION |
At 1 January 2023 | 51,075 |
Charge for year | 56,918 |
At 31 December 2023 | 107,993 |
NET BOOK VALUE |
At 31 December 2023 | 447,817 |
At 31 December 2022 | 347,290 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
7. | TANGIBLE FIXED ASSETS - continued |
Company |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 January 2023 |
Additions |
Disposals | ( |
) |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Motor |
vehicles | Land | Totals |
£ | £ | £ |
COST |
At 1 January 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
7. | TANGIBLE FIXED ASSETS - continued |
Company |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and |
machinery |
£ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
8. | FIXED ASSET INVESTMENTS |
Group |
Unlisted |
investments |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 | 3,001 |
NET BOOK VALUE |
At 31 December 2023 | 3,001 |
At 31 December 2022 | 3,001 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
8. | FIXED ASSET INVESTMENTS - continued |
Company |
Shares in |
group | Unlisted |
undertakings | investments | Totals |
£ | £ | £ |
COST |
At 1 January 2023 |
and 31 December 2023 | 3,901 |
NET BOOK VALUE |
At 31 December 2023 | 3,901 |
At 31 December 2022 | 3,901 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiary |
Registered office: The Old Vicarage, Church Close, Boston, PE21 6NA |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
(Loss)/profit for the year | ( |
) |
9. | STOCKS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Plant stocks | 2,505,528 | 3,091,453 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
10. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 792,259 | 988,949 |
Amounts owed by group undertakings | - | - |
Other debtors | 225,265 | 97,461 |
Directors' current accounts | 70,216 | 94,646 | 60,216 | 84,646 |
Tax | 34,606 | 162,395 |
VAT | 15,192 | - |
Called up share capital not paid | 100 | 100 |
Prepayments and accrued income | 1,567,315 | 298,664 |
2,704,953 | 1,642,215 |
11. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 13) | 674,350 | 684,309 |
Other loans (see note 13) | 139,775 | 97,835 |
Hire purchase contracts (see note 14) | 100,626 | 75,206 |
Trade creditors | 1,487,836 | 1,003,074 |
Corporation Tax | - | 1,100 |
Social security and other taxes | 32,945 | 49,821 |
VAT | - | 115,880 | - | 116,122 |
Other creditors | 68,702 | 68,117 |
Euro forward | - | 113,439 | - | 113,439 |
Directors' current accounts | 71,323 | 19,051 | 71,323 | 19,051 |
Accruals and deferred income | 57,904 | 84,838 |
2,633,461 | 2,312,670 |
12. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans (see note 13) | 1,887,084 | 1,835,372 |
Other loans (see note 13) | 266,805 | 210,942 |
Hire purchase contracts (see note 14) | 211,168 | 153,498 |
2,365,057 | 2,199,812 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
13. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank overdrafts | 555,189 | 604,212 |
HSBC Loan | 119,161 | 80,097 | 119,161 | 80,097 |
Other loans | 139,775 | 97,835 |
814,125 | 782,144 |
Amounts falling due between one and two | years: |
HSBC Loan | 123,652 | 82,135 | 123,652 | 82,135 |
Other loans - 1-2 years | 150,094 | 102,840 | 150,094 |
273,746 | 184,975 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 360,170 | 259,157 |
Other loans - 2-5 years | 116,711 | 108,102 |
476,881 | 367,259 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans more 5 yr by instal | 1,403,262 | 1,494,080 | 1,403,262 | 1,494,080 |
14. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 100,626 | 75,206 |
Between one and five years | 211,168 | 153,498 |
311,794 | 228,704 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
14. | LEASING AGREEMENTS - continued |
Company |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Company |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
15. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank overdrafts | 555,189 | 604,212 |
Bank loans | 2,006,245 | 1,915,469 |
Hire purchase contracts | 311,794 | 228,704 | 311,794 | 228,704 |
2,873,228 | 2,748,385 |
16. | PROVISIONS FOR LIABILITIES |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Deferred tax | 105,503 | - | 105,503 | - |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
16. | PROVISIONS FOR LIABILITIES - continued |
Group |
Deferred |
tax |
£ |
Charge to Income Statement during year | 105,503 |
Balance at 31 December 2023 | 105,503 |
Company |
Deferred |
tax |
£ |
Charge to Income Statement during year |
Balance at 31 December 2023 |
17. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 1,000 | 1,000 |
18. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 January 2023 | 2,414,371 |
Profit for the year | 95,713 |
At 31 December 2023 | 2,510,084 |
Company |
Retained |
earnings |
£ |
At 1 January 2023 |
Profit for the year |
At 31 December 2023 |
BELL BROTHERS NURSERIES LIMITED (REGISTERED NUMBER: 04331554) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
19. | NON-CONTROLLING INTERESTS |
The minority interest represents a 10% minority holding in Bell Brothers Farms Limited. |
20. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to directors subsisted during the years ended 31 December 2023 and 31 December 2022: |
2023 | 2022 |
£ | £ |
R A Bell |
Balance outstanding at start of year | 73,888 | 64,334 |
Amounts advanced | - | 73,888 |
Amounts repaid | (9,489 | ) | (64,334 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 64,399 | 73,888 |
Mr J D Bell |
Balance outstanding at start of year | 20,758 | 24,586 |
Amounts advanced | - | 20,758 |
Amounts repaid | (20,758 | ) | (24,586 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | 20,758 |
B D Bell |
Balance outstanding at start of year | - | - |
Amounts advanced | 3,506 | - |
Amounts repaid | - | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 3,506 | - |
Mrs M A Bell |
Balance outstanding at start of year | - | - |
Amounts advanced | 2,312 | - |
Amounts repaid | - | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 2,312 | - |
21. | SUBSIDIARY |
The following subsidiary has taken audit exemption under Section 479A |
Bell Brothers Farms Limited Registered Number 07087314. |