REGISTERED NUMBER: |
BENTS GARDEN CENTRE LIMITED |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2024 |
REGISTERED NUMBER: |
BENTS GARDEN CENTRE LIMITED |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2024 |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 5 |
Report of the Independent Auditors | 7 |
Statement of Comprehensive Income | 10 |
Statement of Financial Position | 11 |
Statement of Changes in Equity | 12 |
Notes to the Financial Statements | 13 |
BENTS GARDEN CENTRE LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 JANUARY 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Accountants |
Statutory Auditors |
The Exchange |
5 Bank Street |
Bury |
BL9 0DN |
BANKERS: |
6 Market Place |
Wigan |
Lancashire |
WN1 1QS |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
The directors present their strategic report for the year ended 31 January 2024. |
Fair Review of the Business |
Following a year of sales and margin decline in 2023, 2024 was a year of recovery with the business focussed on driving profitable sales. |
Overall sales were steady at £24.8m (2023: £24.7m) and we were pleased to see sales growth in the majority of product categories across the business. The only notable exception was Garden Furniture which reported a significant decline - not surprising when there has been so much promotional activity in the market given the huge overstocks across the industry. The catering side of the business continued to perform incredibly well with another year of double digit growth. This is an area we will continue to invest into in 2024. |
A key focus for the business this year was margin recovery after seeing significant decline in 2023 due, in the main, to clearance activity in Garden Furniture. This focus paid off and margin increased by +2.4% in the year |
As a result of the above factors, Gross Profit grew by £0.7m in the year however this was offset by a higher cost base (energy and labour costs in particular) resulting in the Profit before Tax figure dropping to £0.08m (2023: £0.17m). |
The statement of financial position remains healthy with net assets of £14.1 million and cash reserves of £5.7 million. |
Matters of Strategic Importance |
The core business strategy is to develop the attractiveness of the site as a leisure destination by investing in the infrastructure and by attracting additional tenants to the site to increase footfall. |
Principal Risks and Uncertainties |
The principal risk and uncertainty facing the business is inflationary pressure and the resulting impact on customer behaviour and spending habits. |
Key Performance Indicators |
The board monitors progress on overall strategy and the individual strategic elements by reference to four key performance indicators. |
Performance during the year together with historical trend data is set out in the table below: |
2024 | 2023 |
Decline/Growth in sales | 0.5% | -2.6% | Year on year sales expressed as a percentage. |
Gross profit margin | 49.3% | 46.9% | Gross profit expressed as a percentage of sales. |
Average basket size | £19.25 | £23.77 | Average spend per customer calculated as total net takings divided by the number of baskets during the year. This dropped by £4.52 in the year due to the lower proportion of garden furniture sales |
Footfall conversion | 49.2% | 49.6% | The total number of baskets during the year expressed as a percentage of the total number of visitors to the site. The conversion rate was broadly similar year on year. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
SECTION 172(1) STATEMENT |
i. Introduction |
Throughout the financial year ending 31 January 2024 the Board has had regard, in its decision making, to broader stakeholder interests in all the areas identified under section 172 of the Companies Act 2006 and listed under Sections 2 and 3 below. |
ii. Stakeholders |
Our stakeholders are our shareholders, employees, customers, suppliers, local communities, the environment and others. |
Throughout the period under review the Board's decision-making process has been driven by sustainability and our long-term business plan, values and aims. |
In the year ending 31 January 2024 the directors engaged with stakeholders in the following ways: |
Shareholders |
The Board regularly reports to the shareholders on the business financial performance and evaluates risk as part of its ongoing decision making process. |
Colleagues |
The company has nearly 61 colleagues who have worked for us for over 10 years. |
The wellness of our colleague's is of paramount importance to us, and we have a variety of wellbeing initiatives for our colleagues to access - from our EAP offering, 12 trained mental health first aiders, financial wellbeing activity including access to 1-2-1 financial advice to on-site health checks for our colleagues, plus lots more. We recently were awarded runner up with the High Sheriffs award for our approach to business health and wellbeing. |
We continue to engage our colleagues feedback through colleague surveys and forums, and this year we have signed up to the Great Places to work to provide us with a global benchmark on our colleague engagement levels and gain more detail insights from our colleagues to continue in our strive to be an exceptional place to work for everyone. Communication has increased using more videos and online ways to engage our teams. |
Training and development remain high on the agenda with continued learning as a day-to-day occurrence, our leadership development opportunities and our apprenticeship schemes. |
Suppliers, Customers and Others |
Our suppliers include local businesses whom we have traded with for many years. |
We seek long term relationships with all our suppliers and aim to be timely in making payment. |
We use multiple methods to engage with our customers including our 'Be Inspired' privilege scheme, regular emails, various social media channels and our three magazines. |
Via the Tillington Group of Garden Centres we seek to achieve economies of scale in our purchasing which is reflected in the prices we charge our customers. |
We are active members of our trade associations - the Garden Centre Association and the Horticultural Trades Association which promote our industry in general. |
iii. Impact of Our Operations on the Community and Environment |
The Company continues to support local charities and each year nominates a Charity of the Year which benefits from several major fund raising events. |
As part of our support to the local community the company has donated a significant parcel of land for use as allotments by local residents. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
We support local suppliers (especially for food) and contractors, wherever possible, in order to minimise transport miles and emissions. |
The business has now invested almost £0.5m in sustainable solar energy which supplies more than 40% of total electricity usage. There was also significant investment in an LED roll-out project during the course of the year further reducing electricity consumption. |
STREAMLINED ENERGY AND CARBON REPORTING |
During the year ended 31 January 2024, the group reported the following in respect of energy use: |
2024 | 2023 |
UK energy use (kWh) | 2,269,400 | 2,233,967 |
Associated greenhouse gas emissions (Tonnes of CO²) | 514.27 | 474.32 |
Intensity ratio (Tonnes of CO² emissions per employee) | 1.52 | 1.28 |
Associated greenhouse gas (GHG) emissions have been calculated using the following rates: |
0.20kg of CO² per kWh of electricity consumption. |
0.20kg of CO² per kWh of Gas consumption. |
2.76kg of CO² per Litre of Gas oil consumption. |
2.51kg of CO² per Litre of fuel consumption. |
The above GHG emission rates have been derived from a 2023 UK government report on carbon emissions. |
Intensity ratio has been calculated using the average number of colleagues across the group for the year ended 31 January 2024. |
The company has implemented a number of measures with the aim of reducing emissions. These include: |
- | During the year the group made further investments in solar energy technology, and has now Invested more than £500,000, which supplied 27% of the total electricity usage of the group. Moving forward with the investments made during the year we expected this saving to become circa 40% of total usage. |
- | During the year the group invested £30,000 in a LED lighting project further improving efficiency |
- | Providing colleagues and management with the option to work from home, where possible, to reduce travel emissions. |
- | Establishing a Sustainability Committee who meet regularly with the aim of identifying opportunities to reduce emissions. |
Future Trading |
The company has substantial cash reserves and the directors are confident that the business is in a strong position to trade through the current risks and uncertainties associated with inflationary pressures and the cost of living squeeze. |
ON BEHALF OF THE BOARD: |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
The directors present their report with the financial statements of the company for the year ended 31 January 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of a retail garden centre. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 January 2024 will be £400,000. |
RESEARCH AND DEVELOPMENT |
The company undertakes research and development relating to horticulture. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 February 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
DISABLED PERSONS |
The company's policy is to give equal consideration to all applicants for employment including disabled people. Career development and training are available to all employees and those who become disabled are afforded every assistance to enable them to continue in their career including training where necessary. |
EMPLOYEE INVOLVEMENT |
The board continually strives to improve and enhance standards of customer care and service at Bents Garden Centre Limited. |
Directors and senior management regularly monitor and discuss with employees matters of current interest and concern. |
Bents Garden Centre Limited is committed to treating both its employees and its customers with dignity and respect, and to value the differences people bring to the business. |
DISCLOSURE IN THE STRATEGIC REPORT |
Identification of the information for which the company has chosen, in accordance with s414C(11) of the Companies Act, to set out in the company's strategic report which would otherwise be required by Schedule 7 of the 'Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008' to be contained in the directors' report. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
DIRECTORS' RESPONSIBILITIES STATEMENT |
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 |
DJH Audit Limited has indicated its willingness to be reappointed for another term and appropriate arrangements are being made for it to be deemed reappointed as auditor in the absence of an Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BENTS GARDEN CENTRE LIMITED |
Opinion |
We have audited the financial statements of Bents Garden Centre Limited (the 'company') for the year ended 31 January 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity 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 January 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 |
BENTS GARDEN CENTRE 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 Directors' Responsibilities Statement set out on page six, 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. |
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: |
As part of our planning process: |
- | We enquired of management the systems and controls the company has in place, the areas of the financial statements that are mostly susceptible to the risk of irregularities and fraud, and whether there was any known, suspected or alleged fraud. The company did not inform us of any known, suspected or alleged fraud. |
- | We obtained an understanding of the legal and regulatory frameworks applicable to the company. We determined that the following were most relevant: FRS 102, Companies Act 2006, Health & Safety at Work 1974, Employment Act 2002, Food Safety Act 1990 and General Data Protection Regulations (GDPR). |
- | We considered the incentives and opportunities that exist in the company, including the extent of management bias, which present a potential for irregularities and fraud to be perpetuated, and tailored our risk assessment accordingly. |
- | Using our knowledge of the company, together with the discussions held with the company at the planning stage, we formed a conclusion on the risk of misstatement due to irregularities including fraud and tailored our procedures according to this risk assessment. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BENTS GARDEN CENTRE LIMITED |
The key procedures we undertook to detect irregularities including fraud during the course of the audit included: |
- | Identifying and testing journal entries, in particular those that were significant and unusual. |
- | Reviewing the financial statement disclosures and determining whether accounting policies have been appropriately applied. |
- | Reviewing and challenging the assumptions and judgements used by management in their significant accounting estimates, in particular in relation to the valuation of stock, and requirement for any provision. |
- | Assessing the extent of compliance, or lack of, with the relevant laws and regulations in particular those that are central to the entity's ability to continue in operation. |
- | Testing key revenue lines, in particular cut-off, for evidence of management bias. |
- | Testing controls surrounding cash sales to ensure the risk of cash misappropriation is minimised. |
- | Testing controls surrounding the authorisation of purchase invoices. |
- | Performing a physical verification of key assets, including inventories. |
- | Obtaining third-party confirmation of material bank and loan balances. |
- | Documenting and verifying all significant related party balances and transactions. |
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. |
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 |
Accountants |
Statutory Auditors |
The Exchange |
5 Bank Street |
Bury |
BL9 0DN |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
STATEMENT OF COMPREHENSIVE |
INCOME |
FOR THE YEAR ENDED 31 JANUARY 2024 |
2024 | 2023 |
Notes | £ | £ |
REVENUE | 3 |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Administrative expenses | ( |
) | ( |
) |
(950,120 | ) | (647,022 | ) |
Other operating income |
OPERATING PROFIT | 5 |
Interest receivable and similar income |
168,193 | 236,738 |
Interest payable and similar expenses | 6 | ( |
) | ( |
) |
PROFIT BEFORE TAXATION |
Tax on profit | 7 | ( |
) | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
STATEMENT OF FINANCIAL POSITION |
31 JANUARY 2024 |
2024 | 2023 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Property, plant and equipment | 10 |
CURRENT ASSETS |
Inventories | 11 |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
14 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 18 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 JANUARY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 February 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 January 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 January 2024 |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
1. | STATUTORY INFORMATION |
Bents Garden Centre Limited is a private company, limited by shares, registered in England and Wales. The company's registered number is 02869245 and the registered office is Bents Garden Centre, Warrington Road, Leigh End, Glazebury, Warrington, WA3 5NT. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Going concern |
The company had net assets of £14,121,643 at the year end (2023: £14,467,586) and cash reserves of £5,697,738. Forecasts for the next 12 months show a positive cash position and continued profitability. |
The UK is currently experiencing a cost of living crisis, which presents various risks to the retail sector. However, due to the strong reserves and cash position, the directors believe that the company can manage the risks at these challenging times and therefore continue to adopt a going concern basis of accounting in preparing these 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 requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); |
• | the requirement of paragraph 33.7. |
Significant judgements and estimates |
In the application of the company's accounting policies, the directors are required to make estimates and judgements. The estimates are based on historical experience and other relevant factors. Actual results may differ from these estimates. |
The estimates are continually evaluated. Revisions to accounting estimates are recognised in the period in which the estimate is revised. |
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below. |
Making judgement based on historical experience on the level of provision required for impairment of inventories. Further information received after the statement of financial position date may impact on the level of provision required. |
Estimating an appropriate absorption rate to allocate to the valuation of the own grown products, based on historical experience. |
Estimating the useful economic life of an asset is considered a key judgement in calculating an appropriate depreciation charge. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
Revenue |
Revenue represents the amount receivable by the company arising from the supply of goods to customers, excluding value added tax. Revenue is recognised at the point of the sale to the customer. |
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. |
Other operating income |
Other operating income represents concessions income on a straight line basis over the period of the lease. Amounts received in advance are deferred and recognised as they fall due. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Website costs are being amortised evenly over their estimated useful life of four years. |
Property, plant and equipment |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
The residual values, estimated useful lives and depreciation method of property, plant and equipment are reviewed, and adjusted as appropriate, at each statement of financial position date. The effects of any revision are recognised in the income statement when the change arises. |
Inventories |
Inventories are valued at the lower of cost and net realisable value. Cost comprises of direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventory to their present location and condition. |
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of inventories over its estimated selling prices 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. |
Financial instruments |
The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties and loans to related parties. |
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the income statement. |
Basic financial liabilities are initially measured at transaction price and subsequently measured at amortised cost. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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. |
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. |
Research and development |
Expenditure on research and development is written off in the year in which it is incurred. |
Foreign currencies |
Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position 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 statement of financial position. 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 the income statement 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. | REVENUE |
The revenue and profit before taxation are attributable to the one principal activity of the company. |
All revenue has been generated within the United Kingdom. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
4. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2024 | 2023 |
Management and administration | 53 | 54 |
Retail/warehouse | 335 | 317 |
2024 | 2023 |
£ | £ |
Directors' remuneration | 230,600 | 336,053 |
Directors' pension contributions | 13,300 | 6,000 |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
£ | £ |
Emoluments etc | 190,000 | 216,500 |
The number of directors for whom retirement benefits are accruing under defined contribution schemes is 1 (2023: 1). |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Website costs amortisation |
Auditors' remuneration |
Operating lease - rent |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank loan interest |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
Overprovision in prior year | - | (27,833 | ) |
Deferred tax: |
Deferred tax |
Overprovision in prior year | - | (85 | ) |
Total deferred tax |
Tax on profit |
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 |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | ( |
) | ( |
) |
Adjustments to tax charge in respect of previous periods | ( |
) |
Effect of change in tax rate | - | 71,747 |
Group relief | 37,537 | 49,230 |
Total tax charge | 29,628 | 100,253 |
8. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary shares shares of £1 each |
Interim |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
9. | INTANGIBLE FIXED ASSETS |
Website |
costs |
£ |
COST |
At 1 February 2023 |
Additions |
At 31 January 2024 |
AMORTISATION |
At 1 February 2023 |
Amortisation for year |
At 31 January 2024 |
NET BOOK VALUE |
At 31 January 2024 |
At 31 January 2023 |
10. | PROPERTY, PLANT AND EQUIPMENT |
Fixtures |
Plant and | and | Motor | Computer |
machinery | fittings | vehicles | equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 February 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 January 2024 |
DEPRECIATION |
At 1 February 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 January 2024 |
NET BOOK VALUE |
At 31 January 2024 |
At 31 January 2023 |
11. | INVENTORIES |
2024 | 2023 |
£ | £ |
Inventories |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Amounts owed by group undertakings |
Other debtors |
S455 tax recoverable | 29,015 | - |
Directors' current accounts | - | 315,991 |
Prepayments and accrued income |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts (see note 15) |
Trade creditors |
Social security and other taxes |
Other creditors |
Directors' current accounts | 72,765 | - |
Accruals and deferred income |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans (see note 15) |
15. | LOANS |
An analysis of the maturity of loans is given below: |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
16. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2024 | 2023 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
17. | SECURED DEBTS |
The following secured debts are included within creditors: |
2024 | 2023 |
£ | £ |
CBILS loan | 1,000,000 | 1,400,000 |
The CBILS loan is secured by way of a fixed and floating charge over the assets of the company. |
18. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Deferred |
tax |
£ |
Balance at 1 February 2023 |
Provided during year |
Balance at 31 January 2024 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary shares | £1 | 500,000 | 500,000 |
20. | PENSION COMMITMENTS |
The company operates defined contribution pension schemes. At the year end unpaid pension contributions totalling £31,270 (2023: £27,312) are included within other creditors. |
BENTS GARDEN CENTRE LIMITED (REGISTERED NUMBER: 02869245) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
21. | FINANCIAL COMMITMENTS |
At 31 January 2024 the company had provided guarantees to third parties of £30,000 (2023: £30,000). |
There is a cross guarantee and debenture with Bents Property Limited, a fellow subsidiary undertaking, and Bents Holdings Limited, the parent company, to secure bank loan facilities with Barclays Bank plc. At 31 January 2024 the respective bank debts totalled £10,500,000 (2023: £11,068,793). |
22. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
Included within other debtors at the prior year end was an amount owed to the company by M Bent of £68,604 and an amount owed to the company by R Bent of £247,386. These amounts are unsecured, interest free and were repaid during the year. |
23. | RELATED PARTY DISCLOSURES |
Amounts due from family members included within other creditors is £317 (2023: £624). |
Consultancy fees | Rental charges |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Close family members or members of key management personnel |
5,122 |
5,651 |
36,793 |
36,936 |
24. | ULTIMATE CONTROLLING PARTY |
The immediate and ultimate parent company to Bents Garden Centre Limited is Bents Holdings Limited, a company incorporated and registered in the United Kingdom. |
Bents Holdings Limited prepare consolidated accounts including Bents Garden Centre Limited and these are available from the registered office Bents Garden Centre, Warrington Road, Leigh End, Glazebury, Warrington, WA3 5NT. |
The ultimate controlling party of Bents Garden Centre Limited is R Bent, a director and shareholder of the company's ultimate parent company, Bents Holdings Limited. |