REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2024 |
FOR |
RAYBURN TRADING COMPANY LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2024 |
FOR |
RAYBURN TRADING COMPANY LIMITED |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
CONTENTS OF THE FINANCIAL STATEMENTS |
for the Year Ended 31st August 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Profit and Loss Account | 10 |
Balance Sheet | 11 |
Statement of Changes in Equity | 12 |
Notes to the Financial Statements | 13 |
RAYBURN TRADING COMPANY LIMITED |
COMPANY INFORMATION |
for the Year Ended 31st August 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
100 Barbirolli Square |
Manchester |
M2 3BD |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
STRATEGIC REPORT |
for the Year Ended 31st August 2024 |
The directors present their strategic report for the year ended 31st August 2024. |
ABOUT RAYBURN |
Rayburn Trading Limited is a large U.K. based wholesaler which operates from 2 sites and has been in existence now for over 60 years. Its principal activity is to wholesale and distribute stock ranging from food, drink, medicines, household goods and toiletries. Our diverse product range and ability to carry large stock-holdings enables us to continue to compete and deliver product at the right price with a keen eye on margin. We have a large and diverse customer base here in the UK as well as developing relationships with customers outside of the U.K. |
SECTION 172(1) STATEMENT |
As directors of Rayburn they must act in the way he considers, in good faith, would be most likely to promote the success of the company for the benefit of its members as a whole. The directors do so by way of the following: |
Our Board and Management team ensures that all decisions are taken for the long term, and collectively and individually aims to always uphold the highest standard of conduct. Similarly it acknowledges that the business will only grow and prosper over the long term if it understands and respects the views and needs of the company's stakeholders, customers, employees and suppliers to whom we are accountable, as well as the environment we operate within. |
We are a businesses which is family owned, the directors are also the total shareholders and therefore of the board comprising in 5 in number, 3 are family and therefore own 100% of the business. |
With this in mind the company decision making and plans etc are made from the work of the senior management team and regular monthly meetings are held and fully minuted. The meeting is made up of the 5 directors and the senior member from I.T, Human Resource and Operations. |
As stated we meet once a month and have a full agreed agenda that looks at and updates the operations in Sales, Buying, Finance, Operations, H.R and I.T. |
The company also has in place an employee council made up of elected members and they are also reported back to after monthly management meetings and are also then part of the decision making process and they hold regular meetings themselves and put forward suggestions and plans to the main management meetings. |
All minutes from both are regularly reviewed and distributed among members of the relevant team. |
FINANCIAL KEY PERFORMANCE INDICATORS |
2024 | 2023 |
£ 's | £ 's |
Turnover | 105,785 | 104,195 |
Gross Profit | 15,533 | 15,324 |
Gross Margin % | 14.7% | 14.7% |
Equity-Shareholders Funds | 29,052 | 27,333 |
NON FINANCIAL KEY PERFORMANCE INDICATORS |
2024 | 2023 |
£ 's | £ 's |
Average Number of employees | 175 | 169 |
Cash at bank and equivalents | 9,923 | 11,780 |
Trade debtor days | 23 days | 25 days |
Trade creditor days | 37 days | 46 days |
REVIEW OF BUSINESS |
It's been a difficult year with the impacts of the cost of living crisis and pressures on prices but despite that the business has continued to achieve over £100 million in turnover. The trading restrictions post Brexit are now starting to ease so we are able to explore non-domestic markets again that we had been forced to leave alone for a prolonged period of time. The home market remains strong and this continues to be the case. Overheads have been impacted, in particular transport costs but again we are making strides in the current year to limit the impact as is the case with most of the overheads. |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
STRATEGIC REPORT |
for the Year Ended 31st August 2024 |
OUR PEOPLE |
Rayburn believes its people are a real asset to the company and the key to existing and long-term success. We value the involvement of all its employees and continue to develop a works council within the business comprising of members from all departments and this meets regularly to discuss all aspects of the business including suggestions that enhance the social and well-being of all staff. |
REVIEW OF BUSINESS RISKS |
Financial Risks |
The company's operation exposes it to a limited number of risks, primarily credit and liquidity risk. |
Credit Risk |
Appropriate credit checks are undertaken on all potential new customers and strict credit control procedures tried and tested remain in place, a credit insurance policy remains in place which further reduces exposure. |
Liquidity Risk |
Rayburns success is built on strong cash flow and the ability to carry large stocks across a diverse range. The company regularly reviews turnover, margin and overheads which all impact on cash flow. |
Non-Financial Risks |
These are monitored on a regular basis by the board. The main are outlined below: |
Loss of business due to a fall in demand or price - the directors continually review sales forecast and prospects, exchange rate fluctuations are regularly reviewed. |
Loss of Suppliers - the board prides itself on building strong relationships with a large number of its suppliers and actively manages its supplier base. |
POLICY ON PAYMENT TO SUPPLIERS |
The Company's supplier payment policy is to agree terms and conditions for business transactions with suppliers. Suppliers are made aware of the Company's payment terms and payments are made according to those terms. |
RESEARCH AND DEVELOPMENT |
Throughout 2024 the I.T. department continued to look at and develop in house technology that will assist the warehouse and distribution side of the business. Systems have been developed to assist both the sales and buying teams with a view to increasing efficiency in these areas by reducing cost and helping to generate income. |
DISABLED EMPLOYEES. |
Disabled persons are employed and trained whenever aptitude and abilities allow, and suitable vacancies are available. Where an employee becomes disabled, an attempt is made to arrange appropriate retraining or transfer to other areas. |
ON BEHALF OF THE BOARD: |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
REPORT OF THE DIRECTORS |
for the Year Ended 31st August 2024 |
The directors present their report with the financial statements of the company for the year ended 31st August 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of wholesalers of toiletries and general merchandise. |
DIVIDENDS |
During the year the company paid interim dividends totalling £Nil (2023 - £Nil). |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1st September 2023 to the date of this report. |
POLITICAL DONATIONS AND EXPENDITURE |
Charitable donations of £53,795 (2023: £20,981) were made during the year. |
EMPLOYEE INVOLVEMENT |
The company places considerable value on the involvement of its employees and has continued to keep them informed on matters affecting them as employees and on the various factors affecting the performance of the the company. This is achieved through formal and informal meetings with employee representatives. Employee representatives are consulted regularly on a wide range of matters affecting their current and future interests. |
GREENHOUSE GAS EMISSIONS, ENERGY CONSUMPTION & ENERGY EFFICIENCY REPORTING |
1) The UK annual quantity of emissions in tonnes of carbon dioxide equivalent resulting from activities for which the company is responsible involving: |
i) combustion of gas - 68,642 kg co2e, |
ii) consumption of fuel for the purposes of transport - 710,257 kg co2e, |
2) The UK Annual quantity of emissions in tonnes of carbon dioxide equivalent resulting from the purchase of electricity for its own use, including for the purposes of transport - 97,254 kg co2e, |
3) The aggregated figure in kWh of: |
i) the UK annual quantity of energy consumed from activities for which the company is responsible involving |
a) combustion of gas - 343,980 kWh, |
b) consumption of fuel for the purposes of transport - 277,444 Ltrs, |
ii) the UK annual quantity of energy consumed resulting from the purchase of electricity by the company for its own use, including for the purposes of transport - 469,656 kWh, |
The methodologies used to calculate the information disclosed under 7 Sch. 20D (1-3), was the instruction of a third party service organisation, called Utility SwopShop Limited. |
The company has calculated an intensity ratio for the year of 0.006257%. |
This ratio has been calculated by dividing the aggregated total kg co2e emission for the year by the total turnover for the year. |
4) The company has taken the following measures for the purpose of increasing the company's energy efficiency: |
i. Install PIR movement sensors in rarely used corridors/Toilets to reduce electricity usage, |
ii. Replace all old lights to LED, |
iii. Introduce driver telematics for HGV vehicles, This will allow us to monitor driving performance and trends, so we can target ways to improve driving efficiency to reduce fuel usage, |
iv. Review our consumable use of plastic i.e Shrink wrap and move to more energy efficient or different quality to reduce the usage, |
v. Educate and communicate with staff to ensure they understand the benefits of being more energy efficient, |
vi. Move a number of company cars across from diesel/unleaded to either fully electric or hybrid. |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
REPORT OF THE DIRECTORS |
for the Year Ended 31st August 2024 |
DISCLOSURE IN THE STRATEGIC REPORT |
The company has chosen, in accordance with Section 414C(ii) of the Companies Act 2006, and as noted in this directors report, to include certain matters in its Strategic Report that would otherwise be required to be disclosed in this directors report, specifically in respect of the principal activity, review of the business, proposed future developments and key risks to the business. |
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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | 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 ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
In accordance with section 485 of the Companies Act 2006, Xeinadin Audit Limited will be proposed for reappointment. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RAYBURN TRADING COMPANY LIMITED |
Opinion |
We have audited the financial statements of Rayburn Trading Company Limited (the 'company') for the year ended 31st August 2024 which comprise the Profit and Loss Account, Balance Sheet, 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 31st August 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 |
RAYBURN TRADING COMPANY 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 five, 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 |
RAYBURN TRADING COMPANY 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: |
Identifying and assessing potential risks related to irregularities |
In identifying and assessing risks of material misstatement in respect of irregularities including fraud and non-compliance with laws and regulations we have considered the following: |
- | The nature of the industry and sector, control environment and business performance including the company's remuneration policies, key drivers for directors remuneration, bonus levels and performance targets; |
- | Results of the enquiries of management about their own identification and assessment of the risks of irregularities; |
- | Any matters we have identified having obtained and reviewed the company's documentation of their policies and procedures relating to: |
- | identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of noncompliance; |
- | detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; |
- | the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; |
- | the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. |
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: revenue recognition. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. |
We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included UK Companies Act, environmental laws, employment law, health and safety, pensions legislation and tax legislation & The Customs (Import Duty) (EU Exit) Regulations 2018. |
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. |
Audit response to risks identified |
Our procedures to respond to risks identified included the following: |
- | reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements; |
- | enquiring of management concerning actual and potential litigation and claims; |
- | performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; |
- | reading minutes of meetings of those charged with governance and reviewing correspondence with HMRC; and |
- | in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. |
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members including internal specialists, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RAYBURN TRADING COMPANY LIMITED |
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK). |
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 |
100 Barbirolli Square |
Manchester |
M2 3BD |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
PROFIT AND LOSS ACCOUNT |
for the Year Ended 31st August 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 4 |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Distribution costs | ( |
) | ( |
) |
Administrative expenses | ( |
) | ( |
) |
1,927,166 | 2,288,818 |
Gain/loss on revaluation of investments | 233,268 | 17,515 |
OPERATING PROFIT | 7 |
Interest receivable and similar income |
2,622,155 | 2,536,403 |
Interest payable and similar expenses | 8 | ( |
) | ( |
) |
PROFIT BEFORE TAXATION |
Tax on profit | 9 | ( |
) | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
BALANCE SHEET |
31st August 2024 |
2024 | 2023 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Stocks | 12 |
Debtors | 13 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 14 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Other reserves | 19 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
STATEMENT OF CHANGES IN EQUITY |
for the Year Ended 31st August 2024 |
Called up |
share | Retained | Other | Total |
capital | earnings | reserves | equity |
£ | £ | £ | £ |
Balance at 1st September 2022 |
Profit for the year | - | 1,724,254 | - | 1,724,254 |
Total comprehensive income | - |
Balance at 31st August 2023 |
Profit for the year | - | 1,719,468 | - | 1,719,468 |
Total comprehensive income | - |
Balance at 31st August 2024 |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS |
for the Year Ended 31st August 2024 |
1. | GENERAL INFORMATION |
Rayburn Trading Company Limited is a private company limited by share capital, incorporated in England and Wales registration number 00588569. The address of its registered office is 100 Barbirolli Square, Manchester, United Kingdom, M2 3BD and the principal place of business is 90 North Street, Manchester, M8 8RA. |
The financial statements are prepared in sterling which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
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 and paragraph 3.17(d) 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) Financial instruments; |
- | the requirement of paragraph 33.7 Key Management Personnel. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable and represents the amount receivable for goods supplied, net of discounts and rebates allowed by the Company and value added taxes. |
The Company recognises revenue when: (a) the significant risks and rewards of ownership have been transferred to the buyer; (b) the Company retains no continuing involvement or control over the goods; (c) the amount of revenue can be measured reliably; and (d) it is probable that future economic benefits will flow to the entity. |
Tangible fixed assets |
Tangible fixed assets are stated at historical cost less accumulated depreciation and any provisions for impairment. Tangible fixed assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. |
Land is not depreciated. Depreciation on other tangible fixed assets is charged to the profit or loss so as to write off their value, over their estimated useful lives, using the following methods: |
Short leasehold property | - | 2% on cost |
Plant and machinery | - | 15% reducing balance |
Motor vehicles | - | 25% on cost |
Computer equipment | - | 25% on cost |
Fixture and fittings | - | 15% reducing balance |
At each reporting date, the Company reviews the carrying amounts of its tangible fixed assets to determine whether there is any indication that any items have suffered an impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss, if any. |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
Stocks are stated at the lower of invoiced cost and net realisable value on an individual asset basis. Net realisable value is the price at which stocks can be sold in the normal course of business after allowing for the costs of realisation. Where necessary, provisions are made for impairments arising from obsolete, slow moving and defective stocks. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the profit and loss account, 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 taxation |
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. |
Leasing commitments |
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease term and their useful lives. The capital element of future lease obligations are recorded as liabilities, while the interest elements are charged to the profit and loss account over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability. |
Rentals under operating leases are charged on a straight line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight line basis over the lease term. |
Pension costs and other post-retirement benefits |
For defined contribution schemes the amount charged to the profit and loss account in respect of pension costs and other retirement benefits is the contributions payable in the year. Differences between the contributions payable in the year and the contributions actually paid are shown as either accruals or prepayments in the balance sheet. |
Investments |
Investments are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment. Investments compromise of a portfolio of listed shares. |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
2. | ACCOUNTING POLICIES - continued |
Trade and other debtors |
Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less impairment losses for bad and doubtful debts. |
Trade and other creditors |
Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method unless the effect of discounting would be immaterial, in which case they are stated at cost. |
Cash and cash equivalents |
Cash and cash equivalents comprise cash at bank and in hand. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In the application of the Company's accounting policies above, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
Provisions |
The company accounts for provisions in accordance with FRS 102. There are currently the following types of provisions: |
Stock provision |
The company provides for obsolete and slow moving stock as and when required. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by geographical market is given below: |
2024 | 2023 |
£ | £ |
United Kingdom |
Europe |
Rest of the world | 17,189,495 | 19,802,067 |
5. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
5. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2024 | 2023 |
Sales and distribution | 130 | 130 |
Administration | 45 | 39 |
6. | DIRECTORS' EMOLUMENTS |
2024 | 2023 |
£ | £ |
Directors' remuneration | 655,149 | 659,427 |
Directors' pension contributions to money purchase schemes | 75,541 | 72,303 |
Highest paid director pension contributions | 9,544 | 8,996 |
Highest paid director accrued pension at Year end | 818 | 779 |
Highest paid director | 205,997 | 197,102 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 5 | 5 |
7. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Profit on disposal of fixed assets | ( |
) |
Auditors' remuneration |
Auditors' remuneration for non audit work |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Other interest paid |
9. | 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 |
Deferred tax | ( |
) | ( |
) |
Tax on profit |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
9. | 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 |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Permanent timing differences | 1,634 | (764 | ) |
Unrealised capital gains | (24,536 | ) | - |
Utilisation of capital losses brought forward | (25,354 | ) | - |
Total tax charge | 851,185 | 760,647 |
10. | TANGIBLE FIXED ASSETS |
Fixtures |
Short | Plant and | and |
leasehold | machinery | fittings |
£ | £ | £ |
COST |
At 1st September 2023 |
Additions |
Disposals |
At 31st August 2024 |
DEPRECIATION |
At 1st September 2023 |
Charge for year |
Eliminated on disposal |
At 31st August 2024 |
NET BOOK VALUE |
At 31st August 2024 |
At 31st August 2023 |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
10. | TANGIBLE FIXED ASSETS - continued |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1st September 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31st August 2024 |
DEPRECIATION |
At 1st September 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31st August 2024 |
NET BOOK VALUE |
At 31st August 2024 |
At 31st August 2023 |
11. | FIXED ASSET INVESTMENTS |
Listed |
investment |
£ |
COST OR VALUATION |
At 1st September 2023 |
Revaluations |
Charges | ( |
) |
Dividends received | 4,642 |
At 31st August 2024 |
NET BOOK VALUE |
At 31st August 2024 |
At 31st August 2023 |
12. | STOCKS |
2024 | 2023 |
£ | £ |
Finished goods |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
13. | DEBTORS |
2024 | 2023 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Directors' current accounts | 286,109 | 1,999,222 |
VAT |
Prepayments and accrued income |
Amounts falling due after more than one year: |
Other debtors |
Aggregate amounts |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade creditors |
Tax |
Social security and other taxes |
Other creditors |
Directors' current accounts | 8,307 | - |
Accrued expenses |
15. | LEASING AGREEMENTS |
At 31 August 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods: |
Land and Buildings |
2024 | 2023 |
£ | £ |
Within one year | 590,000 | 590,000 |
Between one and five years | 245,833 | 835,833 |
835,833 | 1,425,833 |
Other |
2024 | 2023 |
£ | £ |
Within one year | 553,749 | 375,817 |
Between one and five years | 1,168,516 | 633,470 |
1,722,265 | 1,009,287 |
16. | SECURED DEBTS |
There is a debenture which is secured against the company which contains and fixed and floating charge over the undertaking of the business. |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
17. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax | 49,068 | 56,596 |
Deferred |
tax |
£ |
Balance at 1st September 2023 |
Accelerated capital allowances | (7,528 | ) |
Balance at 31st August 2024 |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1.00 | 4,165 | 4,165 |
19. | RESERVES |
Retained | Other |
earnings | reserves | Totals |
£ | £ | £ |
At 1st September 2023 | 27,328,519 |
Profit for the year |
At 31st August 2024 | 29,047,987 |
Included in Other reserves is a Capital redemption reserve amounting to £2,719 (2023: £2,719). |
20. | PENSION COMMITMENTS |
The company makes contributions to defined contribution pension arrangements to secure retirement benefits for employees. The assets of the scheme are held separately from those of the company. |
2024 | 2023 |
£ | £ |
Total pension cost charges | 240,521 | 189,992 |
Contributions payable at balance sheet date | 47,797 | 39,618 |
21. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
Included in debtors is an amount owed from the directors amounting to £286,109 (2023: £1,999,222). This balance represents an interest free loan, repayable on demand. |
RAYBURN TRADING COMPANY LIMITED (REGISTERED NUMBER: 00588569) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the Year Ended 31st August 2024 |
22. | RELATED PARTY DISCLOSURES |
Included in creditors is a balance owed to one of the directors, amounting to £8,307 (2023: £Nil). |
Included in other debtors is a loan owed from a company under common control amounting to £2,135,433 (2023: £Nil). This loan is unsecured and subject to interest at 2% per anum. Also included in other debtors are amounts owed from companies under common control amounting to £4,604,422 (2023: £2,476,349). These balances represent interest free loans that are repayable on demand. |
Included in creditors is a loan of £543,156 (2023: £555,778) owed to the Rayburn Trading Company Limited Funded Unapproved Retirement Benefit scheme. During the year interest of £52,502 (2023: £52,502) was paid on this loan. |
During the year, the company also made transactions with companies under common control, as below: |
2024 | 2023 |
£ | £ |
Sales | 2,892,907 | 2,468,894 |
Purchases | Nil | 11,909 |
Rent paid | 590,000 | 590,001 |
Interest received |
37,203 |
- |
23. | ULTIMATE CONTROLLING PARTY |
The company's immediate parent entity is Jesem Holdings Limited. The Jesem Group Limited is the parent of the smallest and largest group for which consolidated financial statements are prepared, The parent company's registered office is 100 Barbirolli Square, Manchester, M2 3BD. The consolidated financial statements can be obtained from Companies House. |
The ultimate controlling party are the shareholders of the ultimate parent entity, The Jesem Group Limited. |