Caseware UK (AP4) 2023.0.135 2023.0.135 2024-07-312024-07-31falsetruetruetrue332023-08-01Sale of Agricultural machinery, equiptment, and sales0truefalsefalse 14768083 2023-08-01 2024-07-31 14768083 2023-03-30 2023-07-31 14768083 2024-07-31 14768083 2023-07-31 14768083 4 2023-08-01 2024-07-31 14768083 4 2023-03-30 2023-07-31 14768083 6 2023-08-01 2024-07-31 14768083 6 2023-03-30 2023-07-31 14768083 d:Director1 2023-08-01 2024-07-31 14768083 d:Director2 2023-08-01 2024-07-31 14768083 d:Director3 2023-08-01 2024-07-31 14768083 d:Director4 2023-08-01 2024-07-31 14768083 d:RegisteredOffice 2023-08-01 2024-07-31 14768083 e:PlantMachinery 2023-08-01 2024-07-31 14768083 e:PlantMachinery 2024-07-31 14768083 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-08-01 2024-07-31 14768083 e:PlantMachinery e:LeasedAssetsHeldAsLessee 2023-08-01 2024-07-31 14768083 e:MotorVehicles 2023-08-01 2024-07-31 14768083 e:MotorVehicles 2024-07-31 14768083 e:MotorVehicles e:OwnedOrFreeholdAssets 2023-08-01 2024-07-31 14768083 e:MotorVehicles e:LeasedAssetsHeldAsLessee 2023-08-01 2024-07-31 14768083 e:FurnitureFittings 2023-08-01 2024-07-31 14768083 e:FurnitureFittings 2024-07-31 14768083 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-08-01 2024-07-31 14768083 e:FurnitureFittings e:LeasedAssetsHeldAsLessee 2023-08-01 2024-07-31 14768083 e:OtherPropertyPlantEquipment 2023-08-01 2024-07-31 14768083 e:OtherPropertyPlantEquipment 2024-07-31 14768083 e:OtherPropertyPlantEquipment e:OwnedOrFreeholdAssets 2023-08-01 2024-07-31 14768083 e:OtherPropertyPlantEquipment e:LeasedAssetsHeldAsLessee 2023-08-01 2024-07-31 14768083 e:OwnedOrFreeholdAssets 2023-08-01 2024-07-31 14768083 e:LeasedAssetsHeldAsLessee 2023-08-01 2024-07-31 14768083 e:CurrentFinancialInstruments 2024-07-31 14768083 e:CurrentFinancialInstruments 2023-07-31 14768083 e:Non-currentFinancialInstruments 2024-07-31 14768083 e:Non-currentFinancialInstruments 2023-07-31 14768083 e:CurrentFinancialInstruments e:WithinOneYear 2024-07-31 14768083 e:CurrentFinancialInstruments e:WithinOneYear 2023-07-31 14768083 e:Non-currentFinancialInstruments e:AfterOneYear 2024-07-31 14768083 e:Non-currentFinancialInstruments e:AfterOneYear 2023-07-31 14768083 e:UKTax 2023-08-01 2024-07-31 14768083 e:UKTax 2023-03-30 2023-07-31 14768083 e:ShareCapital 2023-08-01 2024-07-31 14768083 e:ShareCapital 2024-07-31 14768083 e:ShareCapital 2023-03-30 2023-07-31 14768083 e:ShareCapital 2023-07-31 14768083 e:RetainedEarningsAccumulatedLosses 2023-08-01 2024-07-31 14768083 e:RetainedEarningsAccumulatedLosses 2024-07-31 14768083 e:RetainedEarningsAccumulatedLosses 2023-03-30 2023-07-31 14768083 e:RetainedEarningsAccumulatedLosses 2023-07-31 14768083 e:AcceleratedTaxDepreciationDeferredTax 2024-07-31 14768083 e:AcceleratedTaxDepreciationDeferredTax 2023-07-31 14768083 e:RetirementBenefitObligationsDeferredTax 2024-07-31 14768083 e:RetirementBenefitObligationsDeferredTax 2023-07-31 14768083 d:OrdinaryShareClass1 2023-08-01 2024-07-31 14768083 d:OrdinaryShareClass1 2024-07-31 14768083 d:OrdinaryShareClass1 2023-07-31 14768083 d:FRS102 2023-08-01 2024-07-31 14768083 d:Audited 2023-08-01 2024-07-31 14768083 d:FullAccounts 2023-08-01 2024-07-31 14768083 d:PrivateLimitedCompanyLtd 2023-08-01 2024-07-31 14768083 e:HirePurchaseContracts e:WithinOneYear 2024-07-31 14768083 e:HirePurchaseContracts e:WithinOneYear 2023-07-31 14768083 e:HirePurchaseContracts e:BetweenOneFiveYears 2024-07-31 14768083 e:HirePurchaseContracts e:BetweenOneFiveYears 2023-07-31 14768083 e:PlantMachinery e:LeasedAssetsHeldAsLessee 2024-07-31 14768083 e:MotorVehicles e:LeasedAssetsHeldAsLessee 2024-07-31 14768083 e:LeasedAssetsHeldAsLessee 2024-07-31 14768083 f:PoundSterling 2023-08-01 2024-07-31 iso4217:GBP xbrli:shares xbrli:pure

Registered number: 14768083










CHARLIES AG & TURF LIMITED










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JULY 2024

 
CHARLIES AG & TURF LIMITED
 
 
COMPANY INFORMATION


Directors
W R Holloway 
C K Lloyd 
R A Lloyd 
R G Watkin 




Registered number
14768083



Registered office
Charlies Ag & Turf
Coed-Y-Dinas

Welshpool

United Kingdom

SY21 8RP





 
CHARLIES AG & TURF LIMITED
 

CONTENTS



Page
Strategic report
 
1 - 2
Directors' report
 
3 - 5
Independent auditors' report
 
6 - 9
Statement of comprehensive income
 
10
Balance sheet
 
11 - 12
Statement of changes in equity
 
13
Notes to the financial statements
 
14 - 27

 
CHARLIES AG & TURF LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 JULY 2024

Introduction
 
Charlies Ag & Turf Limited is principally engaged in the sales, servicing and repair of agricultural and turf machinery.
This is the first year of trading for Charlies Ag & Turf Limited since previously it traded as a profit centre within Charlies Stores Limited.
In October 2022 Charlies Stores took on a full agricultural franchise with John Deere and the business traded as Charlies Ag & Turf within Charlies Stores Limited. This continued until 31st July 2023 but on the 1st August 2023 the business was transferred to a new company called Charlies Ag & Turf Limited. The business was split out into a new company to allow these two companies to expand using different strategies.  As such prior year figures referred to in this strategic report have been taken from the internal management accounts of Charlies Stores Limited.

Business review
 
The results of the Company are set out in the profit and loss account. These show a profit on ordinary activities before tax of £53k (2023 £240k).
The performance of the company during 2024 reflects the results of a full year of trading as an agricultural John Deere franchise which has enabled us to increase sales by 72% from £13m to £23m.

Principal risks and uncertainties
 
In all business operations, risk management and process control are a priority, and the Board of Directors is ultimately responsible for considering major risks.
Financial Risk
The business regularly monitors its financial risk to ensure the success of its short, medium and long-term objectives. This risk management includes the preparation of monthly profit, balance sheet and cash flow forecasts and comparison of these with actual results.
Credit Risk
We have credit policies in place to manage risk and monitor risk on an ongoing basis. A key area of credit risk for the business relates to outstanding debts from customers. The agricultural industry is facing challenging and uncertain market conditions, so all outstanding debts are reviewed monthly using an external debt collection company.
Decline in customer numbers
Charlies Ag & Turf Limited holds a John Deere franchise which is subject to a fluctuation in customer numbers. We endeavour to ensure customer retention by monitoring the service hours on each tractor to prompt customers to book them in for service and by performing expert checks as part of each service to identify areas where we can offer additional service to our customers.

Page 1

 
CHARLIES AG & TURF LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2024

Financial key performance indicators
 
ole6be2.png

Other key performance indicators
 
The Company uses a range of KPIs to monitor and measure performance within the business on a regular basis.
ole0347.png


This report was approved by the board and signed on its behalf.



R A Lloyd
Director

Date: 25 March 2025
Page 2

 
CHARLIES AG & TURF LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 JULY 2024

The directors present their report and the financial statements for the year ended 31 July 2024.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic report, the Directors' report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 for the Company's financial statements and then apply them consistently;

make judgments 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The loss for the year, after taxation, amounted to £78,543 (2023 - profit £NIL).

During the year, no dividends were declared or paid (2023 - £NIL).

Directors

The directors who served during the year were:

W R Holloway 
C K Lloyd 
R A Lloyd 
R G Watkin 

Page 3

 
CHARLIES AG & TURF LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2024

Greenhouse gas emissions, energy consumption and energy efficiency action

The Company's greenhouse gas emissions and energy consumption are as follows:

ole4884.png

We have follows the 2019 HM Government Environmental Reporting Guidelines. We have also used the GHG Reporting Protocol - Corporate Standard and have used the 2024 and 2023 UK Government's conversion factors for company reporting.

Page 4

 
CHARLIES AG & TURF LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2024


Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditorsWR Partnerswill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





R A Lloyd
Director

Date: 25 March 2025
Page 5

 
CHARLIES AG & TURF LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CHARLIES AG & TURF LIMITED
 

Opinion


We have audited the financial statements of Charlies Ag & Turf Limited (the 'Company') for the year ended 31 July 2024, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of changes in equity and the related notes, including a summary of significant accounting policiesThe 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 July 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 United Kingdom, including the Financial Reporting Council'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.


Page 6

 
CHARLIES AG & TURF LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CHARLIES AG & TURF LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Opinion 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 Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic report and the Directors' report 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 Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.


We have nothing to report in respect of the following matters in relation to which 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.
Page 7

 
CHARLIES AG & TURF LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CHARLIES AG & TURF LIMITED (CONTINUED)


Responsibilities of directors
 

As explained more fully in the Directors' responsibilities statement set out on page 3, 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 is 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 an Auditors' report 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.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

The audit team obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant are those that relate to the reporting framework (FRS102 and the Companies Act 2006), the relevant tax compliance regulations, employment law, Health and Safety Regulations and the EU General Data Protection Regulation (GDPR). 
We understood how the Company are complying with these frameworks by making enquiries of management and those responsible for legal and compliance procedures. We also reviewed board minutes to identify any recorded instances of irregularity or non compliance that might have a material impact on the financial statements. 
We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur by meeting with key management to understand where they considered there was susceptibility to fraud. Based on our understanding our procedures involved enquiries of management and those charged with governance, manual journal entry testing, cashbook reviews for large and unusual items and the challenge of significant accounting estimates used in preparing the financial statements.


Page 8

 
CHARLIES AG & TURF LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CHARLIES AG & TURF LIMITED (CONTINUED)


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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 Auditors' report.


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 2006Our 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 an Auditors' report 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.





John Fletcher BA (Hons) FCA (Senior statutory auditor)
  
for and on behalf of
WR Partners
 
Chartered Accountants
Statutory Auditors
  
Belmont House
Shrewsbury Business Park
Shrewsbury
Shropshire
SY2 6LG

 
Date: 
26 March 2025
Page 9

 
CHARLIES AG & TURF LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 JULY 2024

2024
2023
Note
£
£

  

Turnover
 4 
23,099,872
-

Cost of sales
  
(20,888,818)
-

Gross profit
  
2,211,054
-

Administrative expenses
  
(2,155,330)
-

Operating profit
  
55,724
-

Interest payable and similar expenses
 8 
(2,872)
-

Profit before tax
  
52,852
-

Tax on profit
 9 
(131,395)
-

(Loss)/profit for the financial year
  
(78,543)
-

There were no recognised gains and losses for 2024 or 2023 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 14 to 27 form part of these financial statements.
Page 10

 
CHARLIES AG & TURF LIMITED
REGISTERED NUMBER: 14768083

BALANCE SHEET
AS AT 31 JULY 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 10 
453,306
-

  
453,306
-

Current assets
  

Stocks
 11 
10,092,642
-

Debtors: amounts falling due within one year
 12 
2,577,441
-

Cash at bank and in hand
 13 
791,548
100

  
13,461,631
100

Creditors: amounts falling due within one year
 14 
(13,729,217)
-

Net current (liabilities)/assets
  
 
 
(267,586)
 
 
100

Total assets less current liabilities
  
185,720
100

Creditors: amounts falling due after more than one year
  
(151,148)
-

Provisions for liabilities
  

Deferred tax
 17 
(113,015)
-

  
 
 
(113,015)
 
 
-

Net (liabilities)/assets
  
(78,443)
100

Page 11

 
CHARLIES AG & TURF LIMITED
REGISTERED NUMBER: 14768083
    
BALANCE SHEET (CONTINUED)
AS AT 31 JULY 2024

2024
2023
Note
£
£

Capital and reserves
  

Called up share capital 
 18 
100
100

Profit and loss account
 19 
(78,543)
-

  
(78,443)
100


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




R A Lloyd
Director

Date: 25 March 2025

The notes on pages 14 to 27 form part of these financial statements.
Page 12

 
CHARLIES AG & TURF LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JULY 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


Other comprehensive income for the period
-
-
-


Total comprehensive income for the period
-
-
-


Contributions by and distributions to owners

Shares issued during the period
100
-
100


Total transactions with owners
100
-
100



At 1 August 2023
100
-
100


Comprehensive income for the year

Loss for the year
-
(78,543)
(78,543)


Other comprehensive income for the year
-
-
-


Total comprehensive income for the year
-
(78,543)
(78,543)


Total transactions with owners
-
-
-


At 31 July 2024
100
(78,543)
(78,443)


The notes on pages 14 to 27 form part of these financial statements.

Page 13

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

1.


General information

The principal activity of the Company is that of the wholesale of agricultural machinery, equipment and supplies. The Company operates in the UK and is a private limited company by shares and is incorporated and domiciled in the UK. The address of its registered office is Charlies Ag & Turf, Coed-Y-Dinas, Welshpool, United Kingdom, SY21 8RP.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

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 the 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 Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Charlies Stores Holdings Limited as at 31 July 2024 and these financial statements may be obtained from Companies House or its registered office which is located at Unit 7 Offas Dyke Business Park, Buttington, Welshpool, United Kingdom, SY21 8SS.

Page 14

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

2.Accounting policies (continued)

 
2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

 
2.4

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.5

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Company in independently administered funds.

Page 15

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

2.Accounting policies (continued)

 
2.6

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

 
2.7

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Plant and machinery
-
20%
Motor vehicles
-
25%
Fixtures and fittings
-
30%
Other fixed assets
-
25%

The 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.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Page 16

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

2.Accounting policies (continued)

 
2.8

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

  
2.9

Demonstrators

The company has a fleet of machinery which is financed by John Deere valued at £1,400,322 (2023: £Nil). These machines are held in stock and used as demonstrators for a year after which they are sold. These machines are held in stock with a restriction stating that they cannot be sold until the finance liability is settled.
The intention is that these assets do not remain on finance for more than one year after which they are sold as ex demonstrators to customers. 

 
2.10

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.11

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.12

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
Page 17

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

2.Accounting policies (continued)

 
2.13

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Company's Balance sheet when the Company becomes party to the contractual provisions of the instrument.

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

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Page 18

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

2.Accounting policies (continued)


2.13
Financial instruments (continued)

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

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

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historic experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
The Company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. 
The Company provides a provision for slow moving and obsolete stock, which is calculated using market data for machinery in stock at year-end. The total provision for slow moving and obsolete stock at the balance sheet date is £700,326 (2023: £Nil). 


4.


Turnover

The whole of the turnover is attributable to the principal trading activity of the Company.
All turnover arose within the United Kingdom.

Page 19

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

5.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors:


2024
2023
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
11,700
-


6.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
1,237,613
-

Social security costs
118,588
-

Cost of defined contribution scheme
31,653
-

1,387,854
-


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Admin
3
-



Service
19
-



Parts
5
-



Sales
6
-

33
0


7.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
78,892
-

Company contributions to defined contribution pension schemes
2,229
-

81,121
-


Page 20

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

8.


Interest payable and similar expenses

2024
2023
£
£


Bank interest payable
2,872
-

2,872
-


9.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
18,380
-


Total current tax
18,380
-

Deferred tax


Origination and reversal of timing differences
113,015
-

Total deferred tax
113,015
-


Tax on profit
131,395
-
Page 21

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024
 
9.Taxation (continued)


Factors affecting tax charge for the year/period

The tax assessed for the year/period is higher than (2023 - the same as) the standard rate of corporation tax in the UK of 25% (2023 - 19%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
52,852
-


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 19%)
13,213
-

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
893
-

Short-term timing difference leading to an increase (decrease) in taxation
121,776
-

Book profit on chargeable assets
(2,302)
-

Changes in provisions leading to an increase (decrease) in the tax charge
312
-

Marginal relief
(2,497)
-

Total tax charge for the year/period
131,395
-


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 22

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

10.


Tangible fixed assets





Plant and machinery
Motor vehicles
Fixtures and fittings
Other fixed assets
Total

£
£
£
£
£



Cost or valuation


Additions
93,308
590,938
56,746
971
741,963


Disposals
-
(73,349)
-
-
(73,349)



At 31 July 2024

93,308
517,589
56,746
971
668,614



Depreciation


Charge for the year on owned assets
10,766
70,984
20,765
233
102,748


Charge for the year on financed assets
8,375
120,616
-
-
128,991


Disposals
-
(16,431)
-
-
(16,431)



At 31 July 2024

19,141
175,169
20,765
233
215,308



Net book value



At 31 July 2024
74,167
342,420
35,981
738
453,306

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2024
£



Plant and machinery
40,828

Motor vehicles
259,817

300,645

Page 23

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

11.


Stocks

2024
2023
£
£

Finished goods and goods for resale
10,092,642
-

10,092,642
-



12.


Debtors

2024
2023
£
£


Trade debtors
2,427,466
-

Prepayments and accrued income
149,975
-

2,577,441
-



13.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
791,548
100

791,548
100

Page 24

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

14.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
3,646,735
-

Amounts owed to group undertakings
8,343,296
-

Corporation tax
18,380
-

Other taxation and social security
212,495
-

Obligations under finance lease and hire purchase contracts
1,204,773
-

Other creditors
26,870
-

Accruals and deferred income
276,668
-

13,729,217
-


Included within obligations under finance lease and hire purchase contracts are stocking loans from John Deere of £1,096,673 (2023: £Nil) on demonstrator machines. The loans are secured on the assets to which they relate.


15.


Creditors: Amounts falling due after more than one year

2024
2023
£
£

Net obligations under finance leases and hire purchase contracts
151,148
-

151,148
-



16.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

2024
2023
£
£


Within one year
1,204,773
-

Between 1-5 years
151,148
-

1,355,921
-

Included within obligations under finance lease and hire purchase contracts are stocking loans from John Deere of £1,096,673 (2023: £Nil) on demonstrator machines. The loans are secured on the assets to which they relate.
Page 25

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024

17.


Deferred taxation




2024


£






Charged to profit or loss
(113,015)



At end of year
(113,015)

The deferred taxation balance is made up as follows:

2024
2023
£
£


Accelerated capital allowances
(113,327)
-

Short term timing differences
312
-

(113,015)
-


18.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



100 (2023 - 100) Ordinary shares of £1.00 each
100
100



19.


Reserves

Profit and loss account

The profit and loss account represents the total profits of the Company since incorporation less any distributions made.


20.


Contingent liabilities

A contingent liability exists with the parent Company, Charlies Stores Holdings Limited whereby there is a unlimited inter company composite guarantee between Charlies Stores Holdings Limited, Charlies Stores Limited and Charlies Ag & Turf Limited.
Page 26

 
CHARLIES AG & TURF LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2024


21.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £31,653 (2023: £Nil). Contributions totaling £1,247 (2023: £Nil)  were payable to the fund at the balance sheet date and are included in creditors.


22.


Related party transactions

The Company has taken advantage of the exemption within FRS102 to not disclose transactions with wholly owned group members. All such transactions are included in the consolidated accounts of Charlies Stores Holdings Limited.


23.


Controlling party

The ultimate parent undertaking of the Company is Charlies Stores Holdings Limited, a Company incorporated and domiciled in the United Kingdom. The ultimate parent owns 100% of the issued share capital of the Company.
The Company is included within the consolidated financial statements of Charlies Stores Holdings Limited, which can be located at Companies House or its registered office.
The ultimate controlling party is Mr C K Lloyd by virtue of his majority shareholding in Charlies Stores Holdings Limited.
 
Page 27