Company registration number SC357178 (Scotland)
JUST TRADING SCOTLAND LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
PAGES FOR FILING WITH REGISTRAR
JUST TRADING SCOTLAND LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 JANUARY 2025
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The directors present their annual report and financial statements for the year ended 31 January 2025.
Review of Business
2024/25 was another significant year for JTS, now trading as True Origin, amid ongoing challenges for ethical businesses in the UK and for producers around the world.
Sales and Product Range
Overall sales for the year declined by 6%, falling to £487k from £517k in 2023/24. Key contributors to this reduction included the timing of Kilombero rice sales through Central Coop’s Malawi Partnership and the withdrawal from sale of products Eswatini Kitchen during the final two months of the year.
Despite these challenges, we made notable progress in expanding our product offering. Our “and Friends” range — developed in collaboration with other fair trade businesses — saw a near threefold increase in sales compared to the previous year and accounted for over 25% of total sales revenue. This initiative continues to provide vital market access for our fair trade partners while offering our customers greater choice.
We were particularly proud to work with Transform Trade to relaunch Traidcraft Tea. Sales in the nine months since the World Fair Trade Day launch in May have been very encouraging.
Digital Growth
Online sales grew by over 30% and now represent almost one-third of our total sales revenue. This reflects our strategic focus on strengthening direct-to-consumer (B2C) channels.
Operations and Team
Our small but dedicated staff team continued to develop their roles and demonstrated strong leadership during a period of reduced hours for our Managing Director. A restructuring of the team focussed order fulfilment activities within an expanded Operations team.
The team actively represented True Origin at a range of events, including the World Fair Trade Organization (WFTO) Summit in South Africa. That trip also gave the team an important chance to visit several of our producer partners face-to-face.
Marketing and Events
We exhibited at two major trade shows, in London and Harrogate, and participated in a number of consumer-focused events. While the feedback on our branding and products was positive, the commercial outcomes so far from the trade shows have been limited. As a result, our 2025 marketing strategy will prioritise expanding our online retail customer base.
Governance and Oversight
Governance remains robust, with new Board members recruited during the year to broaden the range of skills and experience. A transition plan is in place for the change of Chair in March 2025. The Board continues to meet quarterly, reviewing performance against our business plan through KPI reports and assessing key risks and financial health.
Partnership and Mission Alignment
We remain deeply committed to our mission as a fair trade business, putting our overseas small-scale producers at the heart of all we do. Closer collaboration with our parent charity, The Balmore Trust (now operating as True Origin Partnerships), continues to strengthen outcomes for producers. Capacity-building projects, particularly in Malawi and Kenya, have continued throughout the year.
JUST TRADING SCOTLAND LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
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Financial Performance
In late November, we identified a potential mould issue in one of our product lines, which led to a product recall involving goods from Eswatini Kitchen. This had a significant impact on sales and profitability in December and January. The staff team responded effectively, managing the recall process and issuing customer credits. To date, no contribution toward the recall costs has been received from the supplier.
The total cost of the recall was £60k, covering testing, credits, and stock write-offs, with an additional loss of profit on the affected stock.
Taking the full £60k recall costs as an exceptional item, gross profit fell slightly to £158k (2023/24: £162k). Gross profit margin was up slightly 32.4% (budget 33.7%, 2023/24: 31.4%).
The ongoing loan support from Social Investment Scotland’s Recovery & Resilience Fund has been vital, enabling us to provide pre-finance to producers well in advance of receiving and selling goods.
In addition, several generous donations from supporters and continued assistance from our parent charity were instrumental in helping us navigate the financial challenges caused by the product recall.
Final Position
Taking all factors into account — including the £60k product recall cost — we ended the year with a net loss of £90k, compared to a £6k loss in 2023/24.
Outlook for 2025/26
Since the end of the financial year, the Board has approved a business plan for 2025/26 focused on recovery following the 2024/25 product recall and progressing towards trading breakeven. The plan sets out key priorities including the growth of online sales and the expansion of our customer base. We will continue to work closely with our parent charity to ensure our activities remain aligned with our core mission—placing our producer partners at the centre of everything we do.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
J Riches
T Lillie
(Resigned 12 March 2024)
M Popple
T Mitchell
K Jarvie
A Menzies
J Davidson
I Clingan
S Remington
(Appointed 1 February 2024)
F Villeneuve and C Tait were appointed as directors after 31st January 2025
Small companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
JUST TRADING SCOTLAND LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
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On behalf of the board
T Mitchell
Director
12 May 2025
JUST TRADING SCOTLAND LIMITED
REPORT TO THE DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY ACCOUNTS OF JUST TRADING SCOTLAND LIMITED
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In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Just Trading Scotland Limited for the year ended 31 January 2025 which comprise the profit and loss account, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the ICAS we are subject to its ethical and other professional requirements which are detailed at https://icas.com/icas-framework-preparation-of-accounts.
Our work has been undertaken solely to prepare for your approval the financial statements of Just Trading Scotland Limited and state those matters that we have agreed to state to the Board of Directors of Just Trading Scotland Limited, as a body, in this report in accordance with the requirements of the ICAS as detailed at https://icas.com/icas-framework-preparation-of-accounts. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Just Trading Scotland Limited and its Board of Directors as a body, for our work or for this report.
It is your duty to ensure that Just Trading Scotland Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and loss of Just Trading Scotland Limited. You consider that Just Trading Scotland Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Just Trading Scotland Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
F L Walker & Company
Chartered Accountants
2 Woodside Place
Glasgow
G3 7QF
12 May 2025
JUST TRADING SCOTLAND LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 JANUARY 2025
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2025
2024
Notes
£
£
Turnover
487,487
517,018
Cost of sales
(354,408)
(354,792)
Gross profit
133,079
162,226
Administrative expenses
(275,197)
(248,618)
Other operating income
55,888
87,321
Operating (loss)/profit
(86,230)
929
Interest payable and similar expenses
(3,691)
(6,706)
Loss before taxation
(89,921)
(5,777)
Tax on loss
Loss for the financial year
(89,921)
(5,777)
The profit and loss account has been prepared on the basis that all operations are continuing operations.
JUST TRADING SCOTLAND LIMITED
BALANCE SHEET
AS AT
31 JANUARY 2025
31 January 2025
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2025
2024
Notes
£
£
£
£
Fixed assets
Tangible assets
4
7,756
12,035
Current assets
Stocks
141,852
147,293
Debtors
5
20
75,643
Cash at bank and in hand
7,764
10,683
149,636
233,619
Creditors: amounts falling due within one year
6
(74,361)
(72,369)
Net current assets
75,275
161,250
Total assets less current liabilities
83,031
173,285
Creditors: amounts falling due after more than one year
7
(236,134)
(236,467)
Net liabilities
(153,103)
(63,182)
Capital and reserves
Called up share capital
1
1
Profit and loss reserves
(153,104)
(63,183)
Total equity
(153,103)
(63,182)
JUST TRADING SCOTLAND LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 JANUARY 2025
31 January 2025
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For the financial year ended 31 January 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
The financial statements were approved by the board of directors and authorised for issue on 12 May 2025 and are signed on its behalf by:
T Mitchell
Director
Company registration number SC357178 (Scotland)
JUST TRADING SCOTLAND LIMITED
BALANCE SHEET (CONTINUED)
AS AT 31 JANUARY 2025
31 January 2025
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1
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
JUST TRADING SCOTLAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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2
Accounting policies
Company information
Just Trading Scotland Limited is a private company limited by shares incorporated in Scotland. The registered office is Unit 4, Greenlaw Industrial Estate, Wallneuk Road, Paisley, UK, PA3 4BT.
2.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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 £.
2.2
Going concern
The company will continue to be supported by the Balmore Trust and the JTS Directors having considered this and made due enquiries, continue to adopt the going concern basis in preparing the financial statements which assumes that the company will continue in operation for the foreseeable future. true
2.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
2.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant and office equipment
25% straight line
Furniture and fittings
25% straight line
JUST TRADING SCOTLAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
2
Accounting policies
(Continued)
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The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
2.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
2.6
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
2.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
JUST TRADING SCOTLAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
2
Accounting policies
(Continued)
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2.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
2.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
2.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2.11
Leases
JUST TRADING SCOTLAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
2
Accounting policies
(Continued)
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Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
JUST TRADING SCOTLAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 13 -
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2025
2024
Number
Number
Total
6
6
4
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 February 2024 and 31 January 2025
21,816
Depreciation and impairment
At 1 February 2024
9,781
Depreciation charged in the year
4,279
At 31 January 2025
14,060
Carrying amount
At 31 January 2025
7,756
At 31 January 2024
12,035
5
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
(16,201)
9,893
Other debtors
16,221
65,750
20
75,643
6
Creditors: amounts falling due within one year
2025
2024
£
£
Bank loans and overdrafts
19,322
10,000
Trade creditors
9,302
10,226
Taxation and social security
2,675
2,459
Other creditors
43,062
49,684
74,361
72,369
JUST TRADING SCOTLAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 14 -
7
Creditors: amounts falling due after more than one year
2025
2024
£
£
Bank loans and overdrafts
112,000
118,333
Other creditors
124,134
118,134
236,134
236,467
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