Company registration number 03998647 (England and Wales)
BROTHER INVESTMENTS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2024
PAGES FOR FILING WITH REGISTRAR
BROTHER INVESTMENTS LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Statement of changes in equity
3
Notes to the financial statements
4 - 13
BROTHER INVESTMENTS LIMITED
BALANCE SHEET
AS AT
30 NOVEMBER 2024
30 November 2024
- 1 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investment properties
5
29,898,326
30,636,690
Investments
6
1,250,000
1,250,000
31,148,326
31,886,690
Current assets
Stocks
1,065,634
1,053,349
Debtors
8
829,690
826,409
Cash at bank and in hand
33,484
31,562
1,928,808
1,911,320
Creditors: amounts falling due within one year
9
(10,865,716)
(13,578,200)
Net current liabilities
(8,936,908)
(11,666,880)
Total assets less current liabilities
22,211,418
20,219,810
Creditors: amounts falling due after more than one year
10
(14,254,610)
(12,551,160)
Provisions for liabilities
(117,732)
(99,517)
Net assets
7,839,076
7,569,133
Capital and reserves
Called up share capital
12
4,350
4,350
Revaluation reserve
1,861,402
1,945,827
Profit and loss reserves
5,973,324
5,618,956
Total equity
7,839,076
7,569,133
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 30 November 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
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.
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.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
BROTHER INVESTMENTS LIMITED
BALANCE SHEET (CONTINUED)
AS AT
30 NOVEMBER 2024
30 November 2024
- 2 -
The financial statements were approved by the board of directors and authorised for issue on 13 May 2025 and are signed on its behalf by:
P H Boys
Director
Company Registration No. 03998647
BROTHER INVESTMENTS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 3 -
Share capital
Revaluation reserve
Profit and loss reserves
Total
£
£
£
£
Balance at 1 December 2022
4,350
2,033,793
5,426,247
7,464,390
Year ended 30 November 2023:
Profit and total comprehensive income for the year
-
-
104,743
104,743
Transfers
-
87,966
87,966
Other movements
-
(87,966)
-
(87,966)
Balance at 30 November 2023
4,350
1,945,827
5,618,956
7,569,133
Year ended 30 November 2024:
Profit and total comprehensive income for the year
-
-
269,943
269,943
Transfer from revaluation reserve
-
84,425
84,425
Transfer to profit and loss account reserves
-
(84,425)
-
(84,425)
Balance at 30 November 2024
4,350
1,861,402
5,973,324
7,839,076
The revaluation reserve is a non-distributable profits reserve.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 4 -
1
Accounting policies
Company information
Brother Investments Limited is a private company limited by shares incorporated in England and Wales. The registered office is Todd Carr Road, Waterfoot, Rossendale, Lancashire, BB4 9SJ.
1.1
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 £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of investment properties at fair value. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group.
1.2
Going concern
The company is dependent upon the ongoing financial support of its bankers and trueconnected companies, B & E Boys Limited and Boys Holdings Plc.
The directors of this company are also the directors of the above two companies.
The directors have indicated that both B & E Boys Limited and Boys Holdings Plc will continue to provide financial support to this company for the foreseeable future.
The company's banking facilities were renewed in May 2023 and the directors are not aware of any reasons why these facilities will be not be maintained at those levels.
The directors consider that in preparing the financial statements they have taken into account all the information that could reasonably be expected to be available.
On this basis, they consider that it is appropriate to prepare the financial statements on the going concern basis.
1.3
Turnover
Turnover represents amounts receivable for goods and services net of VAT and trade discounts, together with rent receivable. Turnover includes the sale of newly constructed residential properties as well as the sale of any part exchange properties.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 5 -
1.4
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.
Tangible fixed assets are stated at cost or valuation less depreciation. Depreciation is provided at rates calculated to write off the cost or valuation less estimated residual value of each asset over its expected useful life, as follows:
Plant and machinery
25% straight line basis
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.
No depreciation is provided in respect of freehold development properties because they are not complete and ready for use. On completion, freehold development properties are transferred to investment properties when the properties are substantially let and income-producing, and are then carried in the balance sheet at market valuation.
1.5
Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.
1.6
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 6 -
1.7
Stocks
Stock and work in progress are valued at the lower of cost and net realisable value.
Cost represents all expenditure incurred in bringing stock and work in progress to its condition and location at the accounting date.
The costs of work in progress includes the cost of materials and direct labour along with attributable overheads based upon normal levels of activity.
Net realisable value is based on estimated selling prices less further costs expected to be incurred to completion and disposal.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stock and work in progress 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.
1.8
Cash at bank and in hand
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.
1.9
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.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 7 -
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.
1.10
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.
1.11
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.
1.12
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.
1.13
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 8 -
1.14
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
1.15
Capitalisation of interest
Included in the value for freehold development properties and investment properties in the balance sheet are certain borrowing costs associated with financing these properties.
2
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.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was 9 (2023 - 4).
4
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 December 2023 and 30 November 2024
214,517
Depreciation and impairment
At 1 December 2023 and 30 November 2024
214,517
Carrying amount
At 30 November 2024
At 30 November 2023
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 9 -
5
Investment property
2024
£
Fair value
At 1 December 2023
30,636,690
Additions
33,244
Disposals
(771,608)
At 30 November 2024
29,898,326
The company's investment properties were revalued at market value at 15 February 2023 by Knight Frank LLP. These are deemed to be representative of the market value of the properties as of 30 November 2022 and have been incorporated into the balance sheet at that date. The directors are of the opinion that these values are a reasonable estimate of the market values at 30 November 2024.
On an historic cost basis the properties would have been included in the financial statements at an original cost of £27,919,192 (2023: £28,591,346).
Cumulative interest capitalised within the cost of the investment properties amounts to £1,548,761
(2022: £1,548,761).
All diminutions in the values of the investment properties held at the balance sheet date, which have resulted in the market value of the property falling below cost, are considered to be temporary in nature.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 10 -
6
Fixed asset investments
2024
2023
£
£
Shares in group undertakings and participating interests
1,250,000
1,250,000
7
Subsidiaries
Details of the company's subsidiaries at 30 November 2024 are as follows:
Name of undertaking
Address
Class of
% Held
shares held
Direct
Pavilions Management (Bury) Limited
*
Ordinary
100.00
Waters Meeting Management Limited
*
Ordinary
100.00
Kingfisher Business Centres Limited
*
Ordinary
100.00
Registered office addresses (all UK unless otherwise indicated):
*
Todd Carr Road, Waterfoot, Rossendale, Lancashire BB4 9SJ
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 11 -
8
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
67,719
69,380
Other debtors
761,971
667,029
829,690
736,409
Deferred tax asset
90,000
829,690
826,409
Included within Other debtors is an amount of £650,000 (2023: £650,000) due from a connected company, Brother Developments (Yorkshire) Limited.
The above debtor is only likely to be repaid if Brother Developments (Yorkshire) Limited obtains planning permission to develop its current investment property for industrial use and subsequently sells the property, with planning permission, for its anticipated enhanced market value. At the present time planning permission is in the process of being applied for, but the timing and amount of the repayment of the outstanding debt is uncertain.
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 12 -
9
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
796,550
1,796,550
Trade creditors
142,494
111,151
Corporation tax
3,349
98,805
Other taxation and social security
93,037
53,621
Other creditors
9,830,286
11,518,073
10,865,716
13,578,200
The company's bank borrowings are secured by:
i) A debenture over all of the assets of the company; and
ii) First legal charges over the company's investment properties, freehold land and buildings and certain development stocks: and
iii) An unlimited inter company cross guarantee by and between Brother Investments Limited and the companies detailed below, supported by debentures over the assets of these companies and first legal charges over various properties held by the same companies:
i) Boys Holdings Plc
ii) B & E Boys (Properties) Limited
iii) Brother Developments Limited
iv) Kingfisher Business Centres Limited
v) Brother Developments (Yorkshire) Limited
vi) B & E Boys Limited
The inter-company loan owed to Boys Holdings Plc is secured by a fixed and floating charge over the assets of the company. The charges held by the bank have priority.
10
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans and overdrafts
14,254,610
12,551,160
11
Government grants
2024
2023
£
£
Arising from government grants
-
4,704
BROTHER INVESTMENTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 13 -
12
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of 10p each
25,500
25,500
2,550
2,550
A Ordinary shares of 10p each
4,500
4,500
450
450
B Ordinary shares of 10p each
4,500
4,500
450
450
C Ordinary shares of 10p each
4,500
4,500
450
450
D Ordinary shares of 10p each
4,500
4,500
450
450
43,500
43,500
4,350
4,350
Only the ordinary shares and the A ordinary shares have voting rights.
13
Financial commitments, guarantees and contingent liabilities
During the financial year the company has given a guarantee, supported by first legal charges over certain freehold and investment properties and a debenture over the company's assets, in respect of a bank overdraft facility of £1,500,000 provided by the company's bankers to B & E Boys Limited and bank loans provided to Brother Developments Limited and Kingfisher Business Centres Limited.
At 30 November 2024 the overdraft facility in B & E Boys Limited amounted to £1,281,987 and the bank loan balances were as follows:-
Brother Developments Limited - £953,600 (facility: £1,043,000); and
Kingfisher Business Centres Limited - £473,600 (facility: £518,000).
2024-11-302023-12-01falsefalsefalse13 May 2025CCH SoftwareCCH Accounts Production 2025.100No description of principal activityB J BoysM A BoysP H Boys9039986472023-12-012024-11-30039986472024-11-30039986472023-11-3003998647core:CurrentFinancialInstrumentscore:WithinOneYear2024-11-3003998647core:CurrentFinancialInstrumentscore:WithinOneYear2023-11-3003998647core:CurrentFinancialInstruments2024-11-3003998647core:CurrentFinancialInstruments2023-11-3003998647core:Non-currentFinancialInstruments2024-11-3003998647core:Non-currentFinancialInstruments2023-11-3003998647core:ShareCapital2024-11-3003998647core:ShareCapital2023-11-3003998647core:RevaluationReserve2024-11-3003998647core:RevaluationReserve2023-11-3003998647core:RetainedEarningsAccumulatedLosses2024-11-3003998647core:RetainedEarningsAccumulatedLosses2023-11-3003998647core:ShareCapitalOrdinaryShareClass12024-11-3003998647core:ShareCapitalOrdinaryShareClass12023-11-3003998647core:ShareCapitalOrdinaryShareClass22024-11-3003998647core:ShareCapitalOrdinaryShareClass22023-11-3003998647core:ShareCapitalOrdinaryShareClass32024-11-3003998647core:ShareCapitalOrdinaryShareClass32023-11-3003998647core:ShareCapitalOrdinaryShareClass42024-11-3003998647core:ShareCapitalOrdinaryShareClass42023-11-3003998647core:ShareCapitalOrdinaryShareClass52024-11-3003998647core:ShareCapitalOrdinaryShareClass52023-11-3003998647core:ShareCapitalOrdinaryShares2024-11-3003998647core:ShareCapitalOrdinaryShares2023-11-3003998647bus:Director32023-12-012024-11-3003998647core:RetainedEarningsAccumulatedLosses2022-12-012023-11-30039986472022-12-012023-11-3003998647core:RetainedEarningsAccumulatedLosses2023-12-012024-11-3003998647core:RevaluationReserve2022-12-012023-11-3003998647core:RevaluationReserve2023-12-012024-11-3003998647core:PlantMachinery2023-12-012024-11-3003998647core:OtherPropertyPlantEquipment2023-11-3003998647core:OtherPropertyPlantEquipment2024-11-3003998647core:OtherPropertyPlantEquipment2023-11-30039986472023-11-3003998647core:Subsidiary12023-12-012024-11-3003998647core:Subsidiary22023-12-012024-11-3003998647core:Subsidiary32023-12-012024-11-3003998647core:Subsidiary112023-12-012024-11-3003998647core:Subsidiary222023-12-012024-11-3003998647core:Subsidiary332023-12-012024-11-3003998647core:WithinOneYear2024-11-3003998647core:WithinOneYear2023-11-3003998647bus:OrdinaryShareClass12023-12-012024-11-3003998647bus:OrdinaryShareClass22023-12-012024-11-3003998647bus:OrdinaryShareClass32023-12-012024-11-3003998647bus:OrdinaryShareClass52023-12-012024-11-3003998647bus:OrdinaryShareClass42023-12-012024-11-3003998647bus:OrdinaryShareClass12024-11-3003998647bus:OrdinaryShareClass12023-11-3003998647bus:OrdinaryShareClass22024-11-3003998647bus:OrdinaryShareClass22023-11-3003998647bus:OrdinaryShareClass32024-11-3003998647bus:OrdinaryShareClass32023-11-3003998647bus:OrdinaryShareClass42024-11-3003998647bus:OrdinaryShareClass42023-11-3003998647bus:OrdinaryShareClass52024-11-3003998647bus:OrdinaryShareClass52023-11-3003998647bus:AllOrdinaryShares2024-11-3003998647bus:AllOrdinaryShares2023-11-3003998647bus:PrivateLimitedCompanyLtd2023-12-012024-11-3003998647bus:SmallCompaniesRegimeForAccounts2023-12-012024-11-3003998647bus:FRS1022023-12-012024-11-3003998647bus:AuditExemptWithAccountantsReport2023-12-012024-11-3003998647bus:Director12023-12-012024-11-3003998647bus:Director22023-12-012024-11-3003998647bus:FullAccounts2023-12-012024-11-30xbrli:purexbrli:sharesiso4217:GBP