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Registered number: SC200277














GILLANDERS MOTORS LIMITED





ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

 
GILLANDERS MOTORS LIMITED
 

COMPANY INFORMATION


Directors
R Anderson (resigned 4 June 2025)
C Antczak 
K Antczak 
M Nicol 




Company secretary
LC Secretaries Limited



Registered number
SC200277



Registered office
Ker-An House Wellington Circle
Altens

Aberdeen

United Kingdom

AB12 3JG




Independent auditors
AAB Audit & Accountancy Limited

Kingshill View

Prime Four Business Park

Kingswells

Aberdeen

AB15 8PU





 
GILLANDERS MOTORS LIMITED
 

CONTENTS



Page
Group strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditors' report
4 - 7
Consolidated statement of comprehensive income
8
Consolidated balance sheet
9
Company balance sheet
10
Consolidated statement of changes in equity
11
Company statement of changes in equity
12
Consolidated statement of cash flows
13
Consolidated analysis of net debt
14
Notes to the financial statements
15 - 32


 
GILLANDERS MOTORS LIMITED
 

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

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

Business review
 
{The principal activities of the Group during the year were the sales, servicing and supply of parts and clothing for cars and motorcycles.
The results for the year are set out in the profit and loss account 
The strategy of the Group is to focus on the growth and development of the motorcycle business and this has been achieved with the award of the Honda franchise in March 2024 and the disposal of the Kia car dealership which was completed during the year.  The Group is now fully focusing on the motorcycle business going forward.

Principal risks and uncertainties
 
The management of the business and the performance of the Group are subject to a number of risks. The key business risks and uncertainties affecting the Group are considered to relate to economic factors together with the availability of stock.
The Directors believe that the Group remains well placed to manage its business risks successfully. The directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

Financial key performance indicators
 
In monitoring the Group’s financial performance the directors review the numbers of units sold and gross profit margins as the primary KPIs and are satisfied with the margins achieved in the year

Other key performance indicators
 
No other matters noted.


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



C Antczak
Director

Date: 25 September 2025

Page 1

 
GILLANDERS MOTORS LIMITED
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

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

Results and dividends

The loss for the year, after taxation, amounted to £540,942 (2023 - loss £80,314).

Directors

The directors who served during the year were:

R Anderson (resigned 4 June 2025)
C Antczak 
K Antczak 
M Nicol 

Future developments

The Group intends to continue to drive growth to meet the strategic objectives of the business. 

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 and the Group'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 and the Group's auditors are aware of that information.

Post balance sheet events

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

Auditors

The auditorsAAB Audit & Accountancy Limitedwill 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.
 





C Antczak
Director

Date: 25 September 2025

Page 2

 
GILLANDERS MOTORS LIMITED
 

DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated 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 the Group and of the profit or loss of the Group for that period.

 In preparing these financial statements, the directors are required to:

select suitable accounting policies for the Group'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 Group 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 the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 3

 
GILLANDERS MOTORS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GILLANDERS MOTORS LIMITED
 

Opinion


We have audited the financial statements of Gillanders Motors Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated statement of comprehensive income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company 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 Group's and of the parent Company's affairs as at 31 December 2024 and of the Group's loss 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 Group 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 Group's or the parent 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 4

 
GILLANDERS MOTORS LIMITED
 

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GILLANDERS MOTORS 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 Group 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 Group 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 Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent Company 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.


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 Group's and the parent 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 Group or the parent Company or to cease operations, or have no realistic alternative but to do so.


Page 5

 
GILLANDERS MOTORS LIMITED
 

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GILLANDERS MOTORS LIMITED (CONTINUED)

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 Group 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:

We obtained an understanding of the legal and regulatory frameworks within which the company operates,
focusing on those laws and regulations that have a direct effect on the determination of material amounts and
disclosures in the financial statements.
The laws and regulations we considered in this context were the Companies Act 2006 and Taxation legislation.
We identified the greatest risk of material impact on the financial statement from irregularities including fraud to
be:

Management override of controls to manipulate the company's key performance indicators to meet targets
Timing and completeness of revenue recognition
Management judgement applied in calculating provisions
Compliance with relevant laws and regulations which directly impact the financial statements and those that the company needs to comply with for the purpose of trading

Our audit procedures to respond to these risks included:

Testing of journal entries and other adjustments for appropriateness
Reviewing a sample of sales transactions to confirm recognition appropriate
Evaluating the business rationale of significant transactions outside the normal course of business
Reviewing judgements made by management in their calculations of accounting estimates for potential management bias
Enquiries of management about litigation and claims and inspection of relevant correspondence
Reviewing legal and professional fees to identify indications of actual or potential litigation, claims and any non-compliance with laws and regulations
Reviewing minutes of meeting of those charged with governance to identify any matters indicating actual or potential fraud

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.


Page 6

 
GILLANDERS MOTORS LIMITED
 

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GILLANDERS MOTORS LIMITED (CONTINUED)

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.





Derek Mair (Senior statutory auditor)
  
for and on behalf of
AAB Audit & Accountancy Limited
 
Statutory Auditor
  
Kingshill View
Prime Four Business Park
Kingswells
Aberdeen
AB15 8PU

25 September 2025
Page 7

 
GILLANDERS MOTORS LIMITED
 

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024

Continuing operations
Discontin'd operations
Total
Continuing operations
Discontinued operations
Total
2024
2024
2024
2023
2023
2023
Note
£
£
£
£
£
£

  

Turnover
 4 
8,953,338
8,760,865
17,714,203
8,846,089
13,128,195
21,974,284

Cost of sales
  
(7,409,560)
(7,880,984)
(15,290,544)
(7,398,942)
(11,719,864)
(19,118,806)

Gross profit
  
1,543,778
879,881
2,423,659
1,447,147
1,408,331
2,855,478

Administrative expenses
  
(1,751,171)
(1,211,473)
(2,962,644)
(1,528,476)
(1,449,708)
(2,978,184)

Operating loss
 5 
(207,393)
(331,592)
(538,985)
(81,329)
(41,377)
(122,706)

Interest receivable and similar income
 9 
372
8,597
8,969
-
2,779
2,779

Interest payable and expenses
 10 
(49,720)
-
(49,720)
(17,834)
(1,972)
(19,806)

Loss before taxation
  
(256,741)
(322,995)
(579,736)
(99,163)
(40,570)
(139,733)

Tax on loss
 11 
-
38,794
38,794
59,419
-
59,419

Loss for the financial year
  
(256,741)
(284,201)
(540,942)
(39,744)
(40,570)
(80,314)

Loss for the year attributable to:
  

Owners of the parent Company
  
(256,741)
(284,201)
(540,942)
(39,744)
(40,570)
(80,314)

  
(256,741)
(284,201)
(540,942)
(39,744)
(40,570)
(80,314)

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

The notes on pages 15 to 32 form part of these financial statements.

Page 8

 
GILLANDERS MOTORS LIMITED
REGISTERED NUMBER:SC200277

CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 13 
436,062
356,770

  
436,062
356,770

Current assets
  

Stocks
 15 
3,030,580
4,052,740

Debtors: amounts falling due within one year
 16 
587,695
360,961

Cash at bank and in hand
 17 
934,651
849,161

  
4,552,926
5,262,862

Creditors: amounts falling due within one year
 18 
(3,890,881)
(3,965,583)

Net current assets
  
 
 
662,045
 
 
1,297,279

Total assets less current liabilities
  
1,098,107
1,654,049

Provisions for liabilities
  

Net assets
  
1,098,107
1,654,049


Capital and reserves
  

Called up share capital 
 21 
1,501,292
1,501,292

Profit and loss account
  
(403,185)
152,757

  
1,098,107
1,654,049


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




C Antczak
Director

Date: 25 September 2025

The notes on pages 15 to 32 form part of these financial statements.

Page 9

 
GILLANDERS MOTORS LIMITED
REGISTERED NUMBER:SC200277

COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 13 
-
266,289

Investments
 14 
395,309
395,309

  
395,309
661,598

Current assets
  

Stocks
 15 
-
1,719,987

Debtors: amounts falling due within one year
 16 
489,352
159,189

Cash at bank and in hand
 17 
869,665
617,726

  
1,359,017
2,496,902

Creditors: amounts falling due within one year
 18 
(291,818)
(1,357,997)

Net current assets
  
 
 
1,067,199
 
 
1,138,905

Total assets less current liabilities
  
1,462,508
1,800,503

  

Provisions for liabilities
  

Deferred taxation
 20 
-
(38,794)

  
 
 
-
 
 
(38,794)

Net assets
  
1,462,508
1,761,709


Capital and reserves
  

Called up share capital 
 21 
1,501,292
1,501,292

Profit and loss account brought forward
  
260,417
309,236

Loss for the year
  
(284,201)
(33,819)

Other changes in the profit and loss account

  

(15,000)
(15,000)

Profit and loss account carried forward
  
(38,784)
260,417

  
1,462,508
1,761,709


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


C Antczak
Director

Date: 25 September 2025

The notes on pages 15 to 32 form part of these financial statements.

Page 10

 
GILLANDERS MOTORS LIMITED
 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024


Called up share capital
Profit and loss account
Equity attributable to owners of parent Company
Total equity

£
£
£
£


At 1 January 2023
1,501,292
248,071
1,749,363
1,749,363



Loss for the year
-
(80,314)
(80,314)
(80,314)

Dividend
-
(15,000)
(15,000)
(15,000)



At 1 January 2024
1,501,292
152,757
1,654,049
1,654,049



Loss for the year
-
(540,942)
(540,942)
(540,942)

Dividends
-
(15,000)
(15,000)
(15,000)


At 31 December 2024
1,501,292
(403,185)
1,098,107
1,098,107


The notes on pages 15 to 32 form part of these financial statements.

Page 11

 
GILLANDERS MOTORS LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 January 2023
1,501,292
309,236
1,810,528



Loss for the year
-
(33,819)
(33,819)

Transfer to/from profit and loss account
-
(15,000)
(15,000)



At 1 January 2024
1,501,292
260,417
1,761,709



Loss for the year
-
(284,201)
(284,201)

Dividends
-
(15,000)
(15,000)


At 31 December 2024
1,501,292
(38,784)
1,462,508


The notes on pages 15 to 32 form part of these financial statements.

Page 12

 
GILLANDERS MOTORS LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
£
£

Cash flows from operating activities

Loss for the financial year
(540,942)
(80,314)

Adjustments for:

Depreciation of tangible assets
97,378
87,890

Loss on disposal of tangible assets
158,741
(69,158)

Interest paid
49,720
19,806

Interest received
(8,969)
(2,779)

Taxation charge
(38,794)
(59,419)

Decrease in stocks
1,022,160
823,880

(Increase)/decrease in debtors
(208,277)
387,930

Decrease in creditors
(846,650)
(1,094,038)

Increase in amounts owed to related parties
777,285
198,217

Net cash generated from operating activities

461,652
212,015


Cash flows from investing activities

Purchase of tangible fixed assets
(400,640)
(65,471)

Sale of tangible fixed assets
65,229
322,517

Interest received
8,969
2,779

Net cash from investing activities

(326,442)
259,825

Cash flows from financing activities

Interest paid
(49,720)
(19,808)

Net cash used in financing activities
(49,720)
(19,808)

Net increase in cash and cash equivalents
85,490
452,032

Cash and cash equivalents at beginning of year
849,161
397,129

Cash and cash equivalents at the end of year
934,651
849,161


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
934,651
849,161

934,651
849,161


The notes on pages 15 to 32 form part of these financial statements.

Page 13

 
GILLANDERS MOTORS LIMITED
 

CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2024




At 1 January 2024
Cash flows
At 31 December 2024
£

£

£

Cash at bank and in hand

849,161

85,490

934,651


849,161
85,490
934,651

The notes on pages 15 to 32 form part of these financial statements.

Page 14

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

Gillanders Motors Limited is a limited company incorporated in Scotland. The registered office is Ker-An House Wellington Circle, Altens, Aberdeen, United Kingdom, AB12 3JG

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 Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
In accordance with the transitional exemption available in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102, being 31 December 2024.

 
2.3

Going concern

The directors, having made due and careful enquiry, are of the opinion that the group has adequate working capital to execute its operations over the next 12 months.  As at 31 December 2024 the group has net current assets of £662,045  Included in this balance are amounts due to a company with common directors of £2,346,604.  This related company has confirmed it will not seek repayment of the liability to the detriment of the group. 
The directors, therefore, have made an informed judgement, at the time of approving the financial statements, that there is a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. 
  
As a result, the directors have continued to adopt the going concern basis of accounting in preparing the annual financial statements. 

Page 15

 
GILLANDERS MOTORS LIMITED
 

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group 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 Group has transferred the significant risks and rewards of ownership to the buyer;
the Group 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 Group 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.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Group will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.6

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Consolidated statement of comprehensive income in the same period as the related expenditure.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

Page 16

 
GILLANDERS MOTORS LIMITED
 

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.8

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.

 
2.9

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group 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 Group in independently administered funds.

 
2.10

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 and the Group operate and generate 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;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

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.

 
2.11

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.

Page 17

 
GILLANDERS MOTORS LIMITED
 

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.11
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Improvements to property
-
2%
straight line
Freehold property
-
10%
straight line
Plant and machinery
-
10%
straight line or straight line over 3 year
Motor vehicles
-
25%
straight line
Fixtures and fittings
-
10%
straight line or straight line over 3 year
Office equipment
-
10%
straight line or straight line over 3 year

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.

 
2.12

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted Group shares, whose market value can be reliably determined, are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Consolidated statement of comprehensive income for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

Investments in listed company shares are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in profit or loss for the period.

 
2.13

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.

 
2.14

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.

Page 18

 
GILLANDERS MOTORS LIMITED
 

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.15

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.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.16

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.

 
2.17

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

Page 19

 
GILLANDERS MOTORS LIMITED
 

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.18

Financial instruments

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

Financial instruments are recognised in the Group's Balance sheet when the Group 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 Group'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.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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 Group after the deduction of all its liabilities.



 
Page 20

 
GILLANDERS MOTORS LIMITED
 

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.18
Financial instruments (continued)

Basic financial liabilities, which include trade and other payables, bank loans, other loans and loans due to fellow group companies 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.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

 
2.19

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 21

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial  statements.
Impairment of debtors
The company makes an assessment of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management consider various factors including the ageing profile of debtors and historical experience.
Valuation of stock
The company makes an assessment of any provision necessary for slow-moving and obsolete stock. When assessing impairment of stock, management consider various factors including the ageing of the stock and the physical condition of the stock.
Taxation
The company establishes reasonable provisions based on reasonable estimates, for possible consequences of audits by the tax authorities of the respective countries in which it operates. The amount of such provisions is based on various factors, such as experience with previous tax audits and differing interpretations of tax regulations by the taxable entity and the responsible tax authority. 


4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Sales
17,714,203
21,974,284


2024
2023
£
£

United Kingdom
17,714,203
21,974,284

17,714,203
21,974,284



5.


Operating loss

The operating loss is stated after charging:

2024
2023
£
£

Other operating lease rentals
5,322
3,833

Page 22

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

6.


Auditors' remuneration

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


2024
2023
£
£

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements
28,500
29,150


7.


Employees

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


Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£


Wages and salaries
1,500,944
1,508,945
615,068
899,002

Social security costs
143,767
163,400
60,778
88,766

Cost of defined contribution scheme
39,145
44,341
20,095
28,184

1,683,856
1,716,686
695,941
1,015,952


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



Group
Group
Company
Company
        2024
        2023
        2024
        2023
            No.
            No.
            No.
            No.









Directors
4
4
4
4



Operations
42
49
19
26

46
53
23
30


8.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
25,100
56,044

Group contributions to defined contribution pension schemes
173
4,502

25,273
60,546


During the year retirement benefits were accruing to 2 directors (2023 - 2) in respect of defined contribution pension schemes.

Page 23

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

9.


Interest receivable

2024
2023
£
£


Other interest receivable
8,969
2,779

8,969
2,779


10.


Interest payable and similar expenses

2024
2023
£
£


Other loan interest payable
49,720
19,806

49,720
19,806


11.


Taxation


2024
2023
£
£



Total current tax
-
-

Deferred tax


Origination and reversal of timing differences
(38,794)
(58,668)

Adjustments in respect of prior periods
-
(751)

Total deferred tax
(38,794)
(59,419)


Tax on loss
(38,794)
(59,419)
Page 24

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
11.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - lower than) the standard rate of corporation tax in the UK of 23.52% (2023 - 23.52%). The differences are explained below:

2024
2023
£
£


Loss on ordinary activities before tax
(579,736)
(139,733)


Loss on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.52%)
(144,934)
(32,865)

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
1,378
2,433

Fixed asset differences
22,301
(24,785)

Losses eliminated
20,435
-

Deferred tax rate changes
-
(3,451)

Prior year adjustments
62,026
(751)

Total tax charge for the year
(38,794)
(59,419)


Factors that may affect future tax charges

There were no factors that may affect future tax charges.


12.


Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. The loss after tax of the parent Company for the year was £284,201 (2023 - loss £33,819).

Page 25

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

13.


Tangible fixed assets

Group






Freehold property
Improvement to property
Plant and machinery
Motor vehicles
Fixtures & fittings
Office equipment
Total

£
£
£
£
£
£
£



Cost or valuation


At 1 January 2024
10,060
189,696
238,995
44,825
91,305
98,286
673,167


Additions
36,790
-
56,460
307,390
-
-
400,640


Transfers intra group
-
-
27,356
-
(6,810)
(20,546)
-


Disposals
-
(189,696)
(116,628)
(23,269)
(84,495)
(77,740)
(491,828)



At 31 December 2024

46,850
-
206,183
328,946
-
-
581,979



Depreciation


At 1 January 2024
251
32,837
113,224
40,512
56,825
72,748
316,397


Charge for the year on owned assets
5,037
4,012
50,086
17,794
10,160
10,289
97,378


Transfers intra group
-
-
20,346
-
(2,361)
(17,423)
562


Disposals
-
(36,849)
(78,065)
(23,268)
(64,624)
(65,614)
(268,420)



At 31 December 2024

5,288
-
105,591
35,038
-
-
145,917



Net book value



At 31 December 2024
41,562
-
100,592
293,908
-
-
436,062



At 31 December 2023
9,809
156,859
125,771
4,313
34,480
25,538
356,770




The net book value of land and buildings may be further analysed as follows:


2024
2023
£
£

Freehold
41,562
9,809

Long leasehold
-
156,859

41,562
166,668


Page 26

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

           13.Tangible fixed assets (continued)


Company






Improvement to property
Plant and machinery
Motor vehicles
Fixtures & fittings
Office equipment
Total

£
£
£
£
£
£


At 1 January 2024
189,696
119,714
23,269
91,305
98,286
522,270


Additions
-
3,904
-
-
-
3,904


Transfers intra group
-
(6,990)
-
(6,810)
(20,546)
(34,346)


Disposals
(189,696)
(116,628)
(23,269)
(84,495)
(77,740)
(491,828)



At 31 December 2024

-
-
-
-
-
-





At 1 January 2024
32,837
70,570
23,001
56,825
72,748
255,981


Charge for the year on owned assets
4,012
8,827
267
10,160
10,289
33,555


Transfers intra group
-
(1,332)
-
(2,361)
(17,423)
(21,116)


Disposals
(36,849)
(78,065)
(23,268)
(64,624)
(65,614)
(268,420)



At 31 December 2024

-
-
-
-
-
-



Net book value



At 31 December 2024
-
-
-
-
-
-



At 31 December 2023
156,859
49,144
268
34,480
25,538
266,289





The net book value of land and buildings may be further analysed as follows:


2024
2023
£
£

Long leasehold
-
156,859

-
156,859


Page 27

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

14.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2024
395,309



At 31 December 2024
395,309





Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Class of shares

Holding

Shirlaws Limited
Ker-An House Wellington Circle, Altens, Aberdeen, United Kingdom, AB12 3JG
Ordinary
100%


15.


Stocks

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Finished goods and goods for resale
3,030,580
4,052,740
-
1,719,987

3,030,580
4,052,740
-
1,719,987


Page 28

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

16.


Debtors

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£


Trade debtors
199,413
55,281
184,085
36,640

Amounts owed by group undertakings
4,875
25,212
254,000
72,392

Other debtors
303,946
196,424
48,732
1,993

Prepayments and accrued income
35,339
78,716
2,535
48,164

Deferred taxation
44,122
5,328
-
-

587,695
360,961
489,352
159,189



17.


Cash and cash equivalents

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Cash at bank and in hand
934,651
849,161
869,665
617,726

934,651
849,161
869,665
617,726



18.


Creditors: Amounts falling due within one year

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Trade creditors
1,128,538
2,020,633
1,550
988,777

Amounts owed to other participating interests
2,348,841
1,591,893
4,571
129,400

Other taxation and social security
236,742
75,321
207,787
49,414

Other creditors
98,482
106,661
42,569
55,151

Accruals and deferred income
78,278
171,075
35,341
135,255

3,890,881
3,965,583
291,818
1,357,997


Page 29

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

19.


Financial instruments

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Financial assets

Financial assets measured at fair value through profit or loss
934,651
849,161
869,665
617,726




Financial assets measured at amortised cost comprise of cash balance held at bank. 


20.


Deferred taxation


Group



2024


£






At beginning of year
5,328


Charged to profit or loss
38,794



At end of year
44,122

Company


2024


£






At beginning of year
(38,794)


Charged to profit or loss
38,794



At end of year
-
Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Accelerated capital allowances
(71,815)
(62,724)
-
(40,103)

Tax losses carried forward
115,937
67,008
-
265

Short term timing differences
-
1,044
-
1,044

44,122
5,328
-
(38,794)

Page 30

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

21.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



880 (2023 - 880) Ordinary A shares of £1.00 each
880
880
292 (2023 - 292) Ordinary B shares of £1.00 each
292
292
120 (2023 - 120) Ordinary C shares of £1.00 each
120
120
1,500,000 (2023 - 1,500,000) Preference shares of £1.00 each
1,500,000
1,500,000

1,501,292

1,501,292

The Preference Shares are classified as equity. Holders will receive a fixed cumulative Preference dividend of 1% per annum. The dividends are payable at the discretion of the company.  The Preference Share are redeemable at the option of the company at any time following the third anniversary from the date of the issue of the shares. Any accrued or unpaid dividends will be paid at the time the Preference Shares are redeemed.
The A and B Ordinary Shares have voting rights.  The C Ordinary Shares and Preference Shares do not entitle the holders to vote.



22.


Discontinued operations

During the year the Group ceased its motor car sales and service operations following the disposal of the Kia car dealership.  The Group is now fully focusing on the motorcycle business going forward.


23.


Pension commitments

The company contributes to a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to the profit and loss account in the period which they relate. Contributions payable for the year totaled £38,972 (2023 - £44,341). There were contributions due to be paid over to the pension scheme at year end of £nil (2023 - £nil)


24.


Commitments under operating leases

At 31 December 2024 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
2024
2023
£
£

Not later than 1 year
7,174
7,882

Later than 1 year and not later than 5 years
9,408
12,917

16,582
20,799
Page 31

 
GILLANDERS MOTORS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

25.


Related party transactions

The company has taken advantage of the exemption contained in section 33 of FRS 102 not to disclose transactions or balances with entities which form part of the group.
During the year the group has received loans of £600,000, repaid loans of £nil, incurred expenses of £355,480, recharged expenses of £13,445 and incurred interest charges of £49,720 from a company with common directors. The amount owed to this company at the year end was £2,348,841.
During the year the group has made sales of £19,133 and purchases totalling £64,114 from a company with common directors. The amount owed by this company at the year end was £4,875.

26.


Controlling party

The Group is ultimately controlled by M Nicol.
Page 32