For the financial year ended 30 September 2024 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 director acknowledges his 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 director of the company has elected not to include a copy of the profit and loss account within the financial statements.true

Richard Lawson (Autoecosse) Limited is a private company limited by shares incorporated in Scotland. The registered office is High Street, Burrelton, Perthshire, Scotland, PH13 9NX.

The financial statements have been prepared on the historical cost basis.

The financial statements are prepared in sterling, which is the functional currency of the entity.

The truecompany made a profit for the year of £75,980 (2023 - £62,904) and had accumulated losses of £649,212 2023 - £725,192) at the year end. The accounts have been prepared on the going concern basis on the understanding that the directors will continue to financially support the company.

The director is satisfied that, in the year to 30 September 2024, the company performed satisfactorily by focusing on marketing pre owned cars and light commercial and pick-ups. The new car franchise structure in the UK is now clearly under the control of the large multi brand dealer groups so any opportunity for smaller dealer operators is very limited. The benefits of a used vehicle sales operation result in lower operating costs and the ability to establish a stock mix that reflects consumer and business demand. The marketing of used vehicles can now be undertaken on a pan UK basis by online interaction with a prospective customer whereby the sales transaction can be progressed to a conclusion as they have received sufficient information to reach a balanced decision to purchase the vehicle of their choice. Equally we welcome customers to our dealership to view our extensive stock and the quality of our preparation standards where they can inspect vehicles at their leisure.

The used car market continues to develop and is more robust and stable than the new car market where supply and offers are now very much manufacturer led due to the various change in the dealer contracts. The marketing of used cars continues to develop with even more internet interaction with consumers who are now prepared to search across the UK for the car of their choice – the dealer network continues to dominate the used car market as the majority of consumers still want to advance their enquiry as a personal transaction with a dealer and not with a faceless online only sales organisation. However consumers are now much more knowledgeable about what they wish to buy and how to fund it so dealers must be very progressive and professional in providing at the outset a great deal of information visually and factually about cars they have for sale. Creating not just information but confidence is paramount in establishing a relationship with a potential client to meet their requirements. Many customers will still wish to visit a dealership to conclude a transaction but there is a growing trend to confirm an order remotely and have the car delivered to their home.

The company continues to respond to these market dynamics with regular upgrades of their web-site that provides significant vehicle data including 40 plus photographs and a video on each vehicle that is on offer. The web-site information is complemented with a wide range of social media marketing campaigns with our main marketing done on on-line platforms. The company's website facilitates various additional features that included Part Exchange valuations and appraisals, and Finance options. All of these features allow prospective customers to progress their interest in the comfort of their home or office. In relation to the sourcing of used vehicles, there has been significant management focus and activity using up to date market analysis information to secure stock vehicles that best reflect the current trends in consumer demand for specific brands and models.

The Director is satisfied that the decision to rationalise the operations from Dundee has resulted in reduced property costs going forward but in the financial year there were various overlaps on property and operating costs that were incurred whilst the Dundee site was vacated and closed down and the lease terminated. The trading activities in pre-owned Pickups and Light commercial vans has developed well and has good growth potential across a wide geographical area as very few dealerships in the UK focus on this sector. The company now can offer a wide range of these vehicles and enquires are generated from all over Scotland and other parts of the UK especially from business operators.

The director is assured that the benefits of the changes made and described above will allow the company to continue trading in a profitable manner and establish positive cash flows from trading activities. The director considers that, after making appropriate enquiries, he has reasonable expectation that the company will have adequate financial resources from its trading operations, as well as from the continuation of bank lending and trade facilities from the company's main bank and its main trade finance funders, to meet its financial obligations as they fall due for the foreseeable future. For this reason, the director considers that the going concern basis continues to be an appropriate basis for preparing the financial statements.

The turnover represents the invoiced amounts for the sale and servicing of motor vehicles, stated net of

value added tax.

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:

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.

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.

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.

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.

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, 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.

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, 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.

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.

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.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

In the application of the company’s accounting policies, the director is 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.

The average monthly number of persons (including directors) employed by the company during the year was:

Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:

Motor Vehicles At 30 Sept 2024 £29,556

Motor Vehicles At 30 Sept 2023 £106,807

Included in Other creditors above are amounts due to funders in respect of new and used car funding amounting to £827,807 (2023 - £812,476). This funding is secured against the corresponding stock units.

Funding amounts received from vehicle stock funding providers reflect the full invoice value of the vehicles purchased for stock, including the VAT element of the invoice, while the vehicles are held in stock at their cost excluding VAT. The vehicle funding is mainly settled on the sale of the corresponding stock vehicle or after 6 months, whichever event comes first, with part settlements made of 5% after 90, 120 and 150 days to certain funders.

Bank loans and the bank overdraft are secured by way of a floating charge over the assets of the company.

In addition, the director, Mr R. H. Lawson, has provided a personal guarantee amounting to £200,000 (2023 - £200,000)

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

The company was under the control of Mr R.H. Lawson throughout the current and previous period. Mr R.H. Lawson is the company's managing director and sole shareholder.

During the year, the company provided and obtained goods and services, and recharged costs to other business entities in which Mr R.H. Lawson has an interest. All transactions were done at arms length and on commercial terms.

Mr R H Lawson has a loan account with a balance due from the company (2022 - due to the company). During the year, Mr R. H. Lawson made cash advances to the company, paid company liabilities on behalf of the company and transferred personally owned assets to the company all at market value. Additionally, during the year, the company made cash repayments to the director, paid amounts on his behalf and provided goods and services to Mr R. H. Lawson or businesses operated by him personally on commercial terms. The value of these transactions with Mr R H Lawson has been adjusted against the loan account. Following all of these transactions, at the year end, the company was due to pay Mr R. H. Lawson £107,294 (2023 - £85,559).