Lawrence Fine Art Auctioneers Limited - Accounts to registrar (filleted)

REGISTERED NUMBER: 02734034 (England and Wales)

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

LAWRENCE FINE ART AUCTIONEERS LIMITED

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

DIRECTORS:

N P B Soderholm

T B Osterman

A J Sagar

REGISTERED OFFICE:

The Linen Yard

South Street

Crewkerne

Somerset

TA18 8AB

REGISTERED NUMBER:

02734034 (England and Wales)

SENIOR STATUTORY AUDITOR:

Brian Melville Leighton

AUDITORS:

Accura Accountants Ltd (Statutory Auditor)

Langley House

Park Road

East Finchley

London

N2 8EY

FIXED ASSETS

Tangible assets

5

448,356

385,690

CURRENT ASSETS

Debtors

6

155,152

487,489

Cash at bank

407,287

185,961

562,439

673,450

CREDITORS

Amounts falling due within one year

7

423,189

357,052

NET CURRENT ASSETS

139,250

316,398

TOTAL ASSETS LESS CURRENT
LIABILITIES

587,606

702,088

CAPITAL AND RESERVES

Called up share capital

9

189,750

Capital redemption reserve

155,250

Retained earnings

242,606

357,088

SHAREHOLDERS' FUNDS

587,606

702,088

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 25 September 2025 and were signed on its behalf by:

A J Sagar - Director

1.	STATUTORY INFORMATION

Lawrence Fine Art Auctioneers Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Functional and presentation currency

The company's functional and presentation currency is £ sterling. Monetary amounts in these financial statements are rounded to the nearest £.

Going concern

The directors have reviewed the company's current trading position and believe it has sufficient resources and is well placed to manage its business risks successfully despite the current economic outlook and general uncertainty in the auctioneer sales and retail sector. After making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the accounts.

Disclosure exemptions

This company is a qualifying entity for the purposes of FRS 102. It is a member of a group where the parent prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the group’s assets, liabilities, financial position, and profit or loss.

The company has therefore taken advantage of exemptions from the following disclosure requirements:

•Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flows and related notes and disclosures.

The financial statements of the company are consolidated into the financial statements of Auction Network Sweden AB. These consolidated financial statements are available from its registered office at Grev Turegatan 44, tr 2, 114 38, Stockholm, Sweden.

Critical accounting judgements and key sources of estimation uncertainty

In applying the company's accounting policies, described in note 2, the Directors are required to make judgements, other than those involving estimates, that have a significant impact on the amounts recognised in the financial statements. They are also required to make estimates and assumptions regarding the carrying amounts of assets and liabilities that are not readily apparent from other sources. These estimates and assumptions are based on historical experience and other factors considered relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of revision and future periods if the revision affects both current and future periods.

The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities are as follows:

Trade debtors

Trade debtors are reviewed individually and assessed for recoverability. Where a debt is considered irrecoverable, or only partly recoverable, a provision is made against the amount not expected to be recovered.

Tangible fixed assets

Judgement is applied in determining appropriate depreciation policies for tangible fixed assets, including estimated useful lives and residual values. These judgements affect both the carrying amounts of assets and the depreciation charge recognised in the income statement.

At the date of approval of these financial statements, the Directors do not consider there to be any other critical judgements or key sources of estimation uncertainty likely to result in a material adjustment to the carrying amounts of assets or liabilities within the next financial year.

Turnover

Turnover represents the total amount receivable by the company, excluding Value Added Tax (VAT), in respect of commissions and fees charged in relation to auctions. Turnover is recognised at the point of sale.

Tangible fixed assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Long leasehold land and buildings - Over the period of the lease (99 years)

Fixtures, fittings and equipment - 20% straight line

Motor vehicles - 25% straight line

Computer equipment - 25% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs.The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

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 accruals, 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.

Taxation

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively.

Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other 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 measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Foreign currencies

Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the profit and loss account.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Pension costs and other post-retirement benefits

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 payments obligations.

The contributions are recognised as an expense in the profit and loss account 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.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, and other short-term liquid investments with original maturities of three months or less. Bank overdrafts are included within borrowings under current liabilities.

Leases

Assets held under finance leases are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset.

Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases.Payments made under operating leases are charged to profit and loss on straight-line basis over the period of the lease. Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.

Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 31 (2023 - 33 ) .

4.	AUDITORS' REMUNERATION

31.12.24

31.12.23

as restated

£

Fees payable to the company's auditors for the audit of the company's
financial statements

6,500

5.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

COST

At 1 January 2024

366,671

439,932

806,603

Additions

86,484

29,472

115,956

At 31 December 2024

453,155

469,404

922,559

DEPRECIATION

At 1 January 2024

86,398

334,515

420,913

Charge for year

10,094

43,196

53,290

At 31 December 2024

96,492

377,711

474,203

NET BOOK VALUE

At 31 December 2024

356,663

91,693

448,356

At 31 December 2023

280,273

105,417

385,690

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

as restated

£

Trade debtors

47,072

31,333

Amounts owed by group undertakings

407

345,584

Other debtors

73,756

76,655

Tax recoverable

33,917

155,152

487,489

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

as restated

£

Bank loans and overdrafts

3,781

Trade creditors

180,959

158,213

Amounts owed to group undertakings

21,744

-

Social security and other taxes

165,438

109,135

Other creditors

51,267

85,923

423,189

357,052

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

31.12.24

31.12.23

as restated

£

Within one year

4,896

Between one and five years

17,135

22,031

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.24

31.12.23

value:

as restated

£

189,750

Ordinary shares

£1

189,750

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Brian Melville Leighton (Senior Statutory Auditor)

for and on behalf of Accura Accountants Ltd (Statutory Auditor)

11.	OTHER FINANCIAL COMMITMENTS

The total off-balance sheet lease financial commitments for business premises amount to £2,796,667 (2023: £2,806,667). These are payable as follows: £10,000 (2023: £10,000) within one year, £40,000 (2023: £40,000) between two and five years, and £2,746,667 (2023: £2,756,667) after five years.

12.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31 December 2024 and 31 December 2023:

31.12.24

31.12.23

as restated

£

Mrs H I Carless

Balance outstanding at start of year

-

263

Amounts advanced

-

485

Amounts repaid

-

(748

)

Amounts written off

-

Amounts waived

-

Balance outstanding at end of year

-

C J Flower

Balance outstanding at start of year

-

2,000

Amounts repaid

-

(2,000

)

Amounts written off

-

Amounts waived

-

Balance outstanding at end of year

-

At 31 December 2024, a balance of £747 (2023: £747) was due from Mrs Carless, a former director who resigned on 8 March 2023. The loan is interest-free, unsecured, and repayable on demand. The amount is included within other debtors and is considered recoverable.

13.	RELATED PARTY DISCLOSURES

Auction Network Sweden AB (Parent Company)

During the accounting period, the company contracted services from its parent company, Auction Network Sweden AB, on normal market terms. The total payments to the parent company amounted to £576,507 (2023: £616,384). The company also recovered costs and received grants from the parent company totalling £65,913 (2023: £Nil).

The net balance outstanding owed to Auction Network Sweden AB at 31 December 2024 was £21,744 payable (2023: £20,225 payable), made up of the following:

•Receivable of £8,167 (2023: £Nil)

•Payable of £29,911 (2023: £20,225)

During the year, a loan was outstanding from the parent company. The total amount due at 31 December 2024 was £Nil (2023: £351,750). This balance is presented within Debtors: Amounts falling due within one year. Interest was charged at a market rate of 6%, resulting in total interest of £9,855 for the period (2023: £27,900).

Comparative information: In the prior year, the payable balance of £20,225 with Auction Network Sweden AB was presented within Other creditors. This amount has been reclassified to Debtors: Amounts falling due within one year to ensure consistent presentation of related party balances. As a result, comparative Other creditors decreased by £20,225 and comparative amounts owed by group undertakings decreased by the same amount, from £365,809 to £345,584.

Auctionet UK Limited (Fellow Subsidiary)

The company also contracted services with a fellow subsidiary, Auctionet UK Limited, on normal market terms. Services contracted from this company amounted to £3,342 (net of VAT), while services contracted to this company amounted to £27,547 (2023: £14,059). At 31 December 2024, the balance outstanding to this company was £Nil (2023: £Nil), and the balance due from this company was £407 (2023: £14,059).This balance is presented within Debtors: Amounts falling due within one year.

14.	ULTIMATE CONTROLLING PARTY

The controlling party is Auction Network Sweden AB.

The immediate and ultimate parent undertaking of Lawrence Fine Art Auctioneers Limited is Auction Network Sweden AB. Auction Network Sweden AB is incorporated in Sweden and prepares consolidated financial statements which include Lawrence Fine Art Auctioneers Limited. These financial statements are publicly available at Auction Network Sweden, Grev Turegatan 44, tr 2, 114 38, Stockholm.