Caseware UK (AP4) 2024.0.164 2024.0.164 2024-12-312024-12-3110540537falsetruetrue2024-01-01C. Brewer & Sons LimitedtruetruetruetrueSale of Painttruefalse22496The Paint Shed Holdings Limited94false SC031414 2024-01-01 2024-12-31 SC031414 2023-01-01 2023-12-31 SC031414 2024-12-31 SC031414 2023-12-31 SC031414 2023-01-01 SC031414 1 2024-01-01 2024-12-31 SC031414 1 2023-01-01 2023-12-31 SC031414 5 2024-01-01 2024-12-31 SC031414 5 2023-01-01 2023-12-31 SC031414 d:Director2 2024-01-01 2024-12-31 SC031414 d:Director3 2024-01-01 2024-12-31 SC031414 d:Director4 2024-01-01 2024-12-31 SC031414 d:RegisteredOffice 2024-01-01 2024-12-31 SC031414 e:PlantMachinery 2024-01-01 2024-12-31 SC031414 e:PlantMachinery 2024-12-31 SC031414 e:PlantMachinery 2023-12-31 SC031414 e:PlantMachinery e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 SC031414 e:MotorVehicles 2024-01-01 2024-12-31 SC031414 e:MotorVehicles 2024-12-31 SC031414 e:MotorVehicles 2023-12-31 SC031414 e:MotorVehicles e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 SC031414 e:FurnitureFittings 2024-01-01 2024-12-31 SC031414 e:FurnitureFittings 2024-12-31 SC031414 e:FurnitureFittings 2023-12-31 SC031414 e:FurnitureFittings e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 SC031414 e:ComputerEquipment 2024-01-01 2024-12-31 SC031414 e:ComputerEquipment 2024-12-31 SC031414 e:ComputerEquipment 2023-12-31 SC031414 e:ComputerEquipment e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 SC031414 e:OtherPropertyPlantEquipment 2024-01-01 2024-12-31 SC031414 e:OtherPropertyPlantEquipment 2024-12-31 SC031414 e:OtherPropertyPlantEquipment 2023-12-31 SC031414 e:OtherPropertyPlantEquipment e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 SC031414 e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 SC031414 e:PatentsTrademarksLicencesConcessionsSimilar 2024-12-31 SC031414 e:PatentsTrademarksLicencesConcessionsSimilar 2023-12-31 SC031414 e:CurrentFinancialInstruments 2024-12-31 SC031414 e:CurrentFinancialInstruments 2023-12-31 SC031414 e:CurrentFinancialInstruments e:WithinOneYear 2024-12-31 SC031414 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 SC031414 e:UKTax 2024-01-01 2024-12-31 SC031414 e:UKTax 2023-01-01 2023-12-31 SC031414 e:ShareCapital 2024-12-31 SC031414 e:ShareCapital 2023-12-31 SC031414 e:ShareCapital 2023-01-01 SC031414 e:OtherMiscellaneousReserve 2024-12-31 SC031414 e:OtherMiscellaneousReserve 2023-12-31 SC031414 e:OtherMiscellaneousReserve 2023-01-01 SC031414 e:RetainedEarningsAccumulatedLosses 2024-01-01 2024-12-31 SC031414 e:RetainedEarningsAccumulatedLosses 2024-12-31 SC031414 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 SC031414 e:RetainedEarningsAccumulatedLosses 2023-12-31 SC031414 e:RetainedEarningsAccumulatedLosses 2023-01-01 SC031414 e:AcceleratedTaxDepreciationDeferredTax 2024-12-31 SC031414 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 SC031414 e:TaxLossesCarry-forwardsDeferredTax 2024-12-31 SC031414 e:TaxLossesCarry-forwardsDeferredTax 2023-12-31 SC031414 d:OrdinaryShareClass1 2024-01-01 2024-12-31 SC031414 d:OrdinaryShareClass1 2024-12-31 SC031414 d:OrdinaryShareClass1 2023-12-31 SC031414 d:FRS102 2024-01-01 2024-12-31 SC031414 d:Audited 2024-01-01 2024-12-31 SC031414 d:FullAccounts 2024-01-01 2024-12-31 SC031414 d:PrivateLimitedCompanyLtd 2024-01-01 2024-12-31 SC031414 e:WithinOneYear 2024-12-31 SC031414 e:WithinOneYear 2023-12-31 SC031414 e:BetweenOneFiveYears 2024-12-31 SC031414 e:BetweenOneFiveYears 2023-12-31 SC031414 e:MoreThanFiveYears 2024-12-31 SC031414 e:MoreThanFiveYears 2023-12-31 SC031414 e:PatentsTrademarksLicencesConcessionsSimilar e:ExternallyAcquiredIntangibleAssets 2024-01-01 2024-12-31 SC031414 2 2024-01-01 2024-12-31 SC031414 e:PatentsTrademarksLicencesConcessionsSimilar e:OwnedIntangibleAssets 2024-01-01 2024-12-31 SC031414 f:PoundSterling 2024-01-01 2024-12-31 xbrli:shares iso4217:GBP xbrli:pure
Registered number: SC031414














THE PAINT SHED LIMITED





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

 
THE PAINT SHED LIMITED
 

COMPANY INFORMATION


Directors
C Brewer 
S Brewer 
A Lawfield 




Registered number
SC031414



Registered office
Unit 8 & 9
20 Munro Road

Springkerse Industrial Estate

Stirling

Scotland

FK7 7UU




Independent auditor
Anderson Anderson & Brown Audit LLP

81 George Street

Edinburgh

EH2 3ES





 
THE PAINT SHED LIMITED
 

CONTENTS



Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Notes to the financial statements
12 - 25


 
THE PAINT SHED LIMITED
 

STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction
 
The directors present the strategic report on the company for the year ended 31 December 2024.

Business review
 
The principal activity of the business and the group is the provision of paint and related products to the trade and retail market. Both markets are serviced by the network of stores across Scotland and the wider market via the ecommerce platform.
The business continued to expand with all recent store openings continuing to be ahead of expected growth. The business opened 1 new store in 2024 and acquired the trade, assets, liabilities of Ian Russell (Paints) Limited on 1 May 2024.
Store revenues were up against 2023, due to increased volume and part price inflation.  
Ecommerce grew significantly during 2024, increasing revenue by 14.9%. The business continued to develop the ecommerce platform and continues to change the buying habits for paint and related products across the retail and trade market.
Turnover increased by 14.1% in 2024 to £23,041,826 (2023 26.8% increase to £20,199,445).
Profit before tax for the year ended 31 December 2024 of £2,191,182 compares with a profit of £833,432 for the prior year.  
During the year the business invested in its store estate, its people and ecommerce platform.
The business continues to roll out its strategy of store growth and consolidating the ecommerce opportunity.  Trading in 2025 has been on budget and despite uncertainty over the general economic outlook the business remains in a good position to grow.
The directors do not expect any change to the nature of the business.

Principal risks and uncertainties
 
The business operates within a trade and retail market and the general economic conditions faced by consumers has always been a risk coupled with competitive pressures.  
The senior management team and the wider board review the risks on a regular basis. Adjustments are made to products, pricing, and delivery where appropriate.  The overall strategy and market positioning is understood by the business, and this allows focus on the correct customers and provide the correct product mix.  The business works closely with suppliers to understand and mitigate supply issues. 
Credit risk
Policies have been implemented to ensure appropriate credit checks on trade customers.
Liquidity risk
The business has adequate debt finance and working capital to support the current strategy.

Page 1

 
THE PAINT SHED LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

Financial key performance indicators
 
The business measures financial performance by revenue and profitability. Several KPIs are used within the business on a weekly and monthly basis to measure performance.
All KPIs measured drive the following key metrics:

Turnover – increased by 14.1% in 2024 (2023 26.8%)
PBT % Revenue – 9.5% (2023 4.1%)
EBITDA (after adjusting for exceptional employee costs and parent company policy changes) - £2,562,473        (2023: £1,714,537)

Other key performance indicators
 
Other key performance indicators include staff turnover, staff costs as a % of revenue and various Ecommerce metrics.  All indicators are reviewed on a weekly or monthly basis.


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



C Brewer
Director

Date: 29 September 2025

Page 2

 
THE PAINT SHED 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 profit for the year, after taxation, amounted to £1,712,372 (2023 - £635,568). During the year the company
paid dividends of £3,421,681 (2023 - £Nil). No further dividends have been proposed in respect of the year ended 31 December 2024.

Political Donations

There were no political donations made in the year (2023 - nil).

Directors

The directors who served during the year were:

C Brewer 
S Brewer 
A Lawfield 

Directors' Indemnities
As permitted by the Articles of Association, the directors have the benefit of an indemnity which is a qualifying third party indemnity provision as defined by Section 234 of the Companies Act 2006. The indemnity was in force throughout the last financial year and is currently in force. The company also purchased and maintained throughout the financial year directors' and officers' liability insurance in respect of itself and its directors.

Disclosure of information to auditor

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's auditor is 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's auditor is aware of that information.

Auditor

A resolution to appoint AAB Audit & Accountancy Limited as auditor of the Company will be proposed at the next general meeting. 

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





C Brewer
Director

Date: 29 September 2025

Page 3

 
THE PAINT SHED LIMITED
 

DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024

The directors are responsible for preparing the Strategic report, the Directors' report and the 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 of the profit or loss of the Company for that period.

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

select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgements 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 Company 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 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 4

 
THE PAINT SHED LIMITED
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE PAINT SHED LIMITED
 

Opinion


We have audited the financial statements of The Paint Shed Limited (the 'Company') for the year ended 31 December 2024, which comprise the Statement of comprehensive income, the Balance sheet, the 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 Company's affairs as at 31 December 2024 and of its profit 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Company 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 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.


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's 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.


Page 5

 
THE PAINT SHED LIMITED
 

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE PAINT SHED LIMITED (CONTINUED)

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 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 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 Company and its environment obtained in the course of the audit, we have not identified material misstatements in the 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, or returns adequate for our audit have not been received from branches not visited by us; or
the 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 4, 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 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 Company or to cease operations, or have no realistic alternative but to do so.


Page 6

 
THE PAINT SHED LIMITED
 

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE PAINT SHED LIMITED (CONTINUED)

Auditor's 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 Auditor's 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 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 have identified the greatest risk of material impact on the financial statements from irregularities including fraud to be:
 
Management override of controls to manipulate the company’s key performance indicators to meet targets
Timing of revenue recognition
Existence and valuation of stock
Management judgement applied in calculating provisions against the carrying value of stock
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
Evaluating the business rationale of significant transactions outside the normal course of business
Reviewing judgements made by management in their calculation of accounting estimates for potential management bias
Reviewing a sample of stock items to latest purchase invoice and attend year end stock count
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 a sample of December 2024 & January 2025 sales and purchases to ensure relevant income and costs have been recorded accurately in the correct period.



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 Auditor's report.


Page 7

 
THE PAINT SHED LIMITED
 

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE PAINT SHED 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 Auditor's 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.





Stuart Rose (Senior statutory auditor)
  
for and on behalf of
Anderson Anderson & Brown Audit LLP
 
Statutory Auditor
  
81 George Street
Edinburgh
EH2 3ES

29 September 2025
Page 8

 
THE PAINT SHED LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
Note
£
£

  

Turnover
  
23,041,826
20,199,445

Cost of sales
  
(20,023,387)
(18,632,064)

Gross profit
  
3,018,439
1,567,381

Administrative expenses
  
(827,454)
(715,065)

Operating profit
 5 
2,190,985
852,316

Interest receivable and similar income
 8 
197
765

Interest payable and similar expenses
 9 
-
(19,649)

Profit before tax
  
2,191,182
833,432

Tax on profit
 10 
(478,810)
(197,864)

Profit for the financial year
  
1,712,372
635,568

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

The notes on pages 12 to 25 form part of these financial statements.
Page 9

 
THE PAINT SHED LIMITED
REGISTERED NUMBER:SC031414

BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Intangible assets
 12 
84,485
81,735

Tangible assets
 13 
1,063,225
1,086,288

  
1,147,710
1,168,023

Current assets
  

Stock
 14 
3,236,676
2,662,727

Debtors: amounts falling due within one year
 15 
2,561,848
4,474,451

Cash at bank and in hand
 16 
86,767
258,932

  
5,885,291
7,396,110

Creditors: amounts falling due within one year
 17 
(3,718,896)
(3,530,810)

Net current assets
  
 
 
2,166,395
 
 
3,865,300

Total assets less current liabilities
  
3,314,105
5,033,323

Provisions for liabilities
  

Deferred tax
 18 
(160,095)
(170,004)

  
 
 
(160,095)
 
 
(170,004)

Net assets
  
3,154,010
4,863,319


Capital and reserves
  

Called up share capital 
 19 
3,160
3,160

Other reserves
  
70
70

Profit and loss account
  
3,150,780
4,860,089

  
3,154,010
4,863,319


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




C Brewer
A Lawfield
Director
Director


Date: 29 September 2025
Date:29 September 2025

The notes on pages 12 to 25 form part of these financial statements.
Page 10

 
THE PAINT SHED LIMITED
 

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


Called up share capital
Other reserves
Profit and loss account
Total equity

£
£
£
£


At 1 January 2023
3,160
70
4,224,521
4,227,751



Profit for the year
-
-
635,568
635,568



At 1 January 2024
3,160
70
4,860,089
4,863,319



Profit for the year
-
-
1,712,372
1,712,372

Dividends: Equity capital
-
-
(3,421,681)
(3,421,681)


At 31 December 2024
3,160
70
3,150,780
3,154,010


The notes on pages 12 to 25 form part of these financial statements.

Page 11

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

The Paint Shed Limited is a private company limited by shares incorporated in Scotland. The registered
office is Unit 8 & 9, 20 Munro Road, Springkerse Industrial Estate, Stirling, United Kingdom, FK7 7UU.

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

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A.

This information is included in the consolidated financial statements of C. Brewer & Sons Limited as at 31 December 2024 and these financial statements may be obtained from the registered office at 123/127 Ashford Road, Eastbourne, Sussex, BN21 3TR.

 
2.3

Going concern

The directors have prepared financial projections based on anticipated future trading. The forecasts have also taken account of potential risks arising from the market and wider economic conditions and considered sensitivities arising from plausible downside scenarios. The financial projections demonstrate the Company is forecast to generate profits and cash in the year ending 31 December 2024 and beyond and that the Company has sufficient cash reserves to meet its obligations as they fall due for a period of at least 12 months from the date of signing of these financial statements.
As such, the directors are satisfied that the Company has adequate resources to continue to operate for the foreseeable future and therefore continue to adopt the going concern basis for preparing these financial statements.

Page 12

 
THE PAINT SHED 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 Company 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 Company has transferred the significant risks and rewards of ownership to the buyer;
the Company 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 Company 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.

 
2.5

Operating leases: the Company 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

Interest income

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

 
2.7

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.

 
2.8

Pensions

Defined contribution pension plan

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 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 Company in independently administered funds.

Page 13

 
THE PAINT SHED LIMITED
 

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

2.Accounting policies (continued)

 
2.9

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 operates and generates 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; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

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.


Page 14

 
THE PAINT SHED LIMITED
 

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

2.Accounting policies (continued)

 
2.10

Intangible assets

Intangible assets are stated at cost less accumulated amortisation and accumulated impairment losses. Amortisation is calculated, using the straight-line method, to allocate the depreciable amount of-the assets to their residual values over their estimated useful lives as follows:
Software - three to ten years, as appropriate.
Amortisation is charged to administrative expenses in the income statement.
Where factors, such as technological advancement or changes in market price indicate that the residual value or useful life have changed, these circumstances are incorporated on a prospective basis to adjust the amortisation rate.
Assets are reviewed for impairment if the above factors indicate that the carrying amount may be impaired and a provision for impairment is made if appropriate.
Costs associated with maintaining computer software are recognised as an expense as incurred.
The company capitalises development costs that are directly attributable to the design and testing of unique software products such as the website. These are recognised as intangibles when the following criteria are met:
 
it is technically and economically feasible to complete the software so it is available for use;
management intends to complete the software and use it;
it can be demonstrated that the software will generate future economic benefits
the exependiture attributable to the software during development can be reliably measured.
 
Development expenditure that does not meet these criteria is expensed as incurred.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Page 15

 
THE PAINT SHED LIMITED
 

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

2.Accounting policies (continued)

 
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.

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:

Plant and machinery
-
25%
Motor vehicles
-
25%
Fixtures and fittings
-
10% - 25%
Computer equipment
-
25%
Tenants Improvements
-
10% - 25%

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

Stock

Stock is 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 stock to their present location and condition.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

 
2.13

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.

 
2.14

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.

 
2.15

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.

Page 16

 
THE PAINT SHED LIMITED
 

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

2.Accounting policies (continued)

 
2.16

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.

 
2.17

Financial instruments

The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.
The company's financial instruments comprise cash, trade debtors and trade creditors. A financial asset or a financial liability is recognised when the company becomes a party to the contractual provisions of the instrument. The de-recognition of a financial instrument takes place when the company no longer controls substantially all such risks and rewards.
Such assets and liabilities are initially recognised at cost and subsequently carried at amortised cost using the effective interest rate method.

 
2.18

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.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

The preparation of 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 during the year for revenue and costs. However, the nature of estimation means that actual outcomes could differ from those estimates. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The following judgements and estimates have had the most significant impact on amounts recognised in the financial statements.
Impairment of stock
At the Balance sheet date management considers the recoverabilty of stock and the associated provisioning required. When calculating the stock provision, management considers the nature and condition of the stock, as well as applying assumptions around anticipated future usage of the finished goods. The provision has been incorporated against the stock included at Note 14.


4.


Turnover

All turnover is attributable to the provision of paint and related products. All turnover was generated in the United Kingdom. 

Page 17

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

5.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Depreciation of tangible fixed assets
329,601
308,364

Amortisation of intangible assets
41,410
36,668

(Gain) / Loss on sale of fixed assets
(2,333)
(11,473)

Operating lease rentals
473,448
427,620

Auditor's remuneration
32,200
26,000


6.


Employees

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


2024
2023
£
£

Wages and salaries
3,268,234
2,711,716

Social security costs
304,639
228,215

Cost of defined contribution scheme
71,503
64,496

3,644,376
3,004,427


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


        2024
        2023
            No.
            No.







Employees
105
94


7.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
-
42,917

Company contributions to defined contribution pension schemes
-
1,373

-
44,290


During the year retirement benefits were accruing to Nil directors (2023 - 1) in respect of defined contribution pension schemes.

Directors received no remuneration in respect of services provided to the Company. Directors remuneration is met by the parent company. 

Page 18

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

8.


Interest receivable

2024
2023
£
£


Other interest receivable
197
765

197
765


9.


Interest payable and similar expenses

2024
2023
£
£


Other interest payable
-
19,649

-
19,649


10.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
579,528
234,127

Adjustments in respect of previous periods
(90,809)
(3,325)


488,719
230,802


Total current tax
488,719
230,802

Deferred tax


Origination and reversal of timing differences
(13,155)
(32,938)

Adjustments to prior periods
3,246
-

Total deferred tax
(9,909)
(32,938)


Taxation on profit on ordinary activities
478,810
197,864
Page 19

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
10.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2023 - higher than) the standard rate of corporation tax in the UK of 25% (2023 - 23.52%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
2,191,182
833,432


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.52%)
547,796
196,023

Effects of:


Fixed asset differences
8,431
6,123

Expenses not deductible for tax purposes
5,725
993

Adjustments to tax charge in respect of prior periods
(90,809)
(3,325)

Adjustment in relation to prior periods - deferred tax
3,246
-

Remeasurement of deferred tax for changes in tax rates
-
(1,950)

Other adjustments
4,421
-

Total tax charge for the year
478,810
197,864


11.


Dividends

2024
2023
£
£


Dividend paid
3,421,681
-

3,421,681
-

Dividends of £1,082.81 were paid per share. 

Page 20

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

12.


Intangible assets




Website

£



Cost


At 1 January 2024
159,467


Additions
44,160



At 31 December 2024

203,627



Amortisation


At 1 January 2024
77,732


Charge for the year on owned assets
41,410



At 31 December 2024

119,142



Net book value



At 31 December 2024
84,485



At 31 December 2023
81,735



Page 21

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

13.


Tangible fixed assets





Plant and machinery
Motor vehicles
Fixtures and fittings
Computer equipment
Tenants Improvements
Total

£
£
£
£
£
£



Cost or valuation


At 1 January 2024
345,164
362,570
480,716
396,568
1,002,807
2,587,825


Additions
13,355
58,936
29,833
82,394
122,020
306,538


Disposals
-
(19,653)
-
-
-
(19,653)



At 31 December 2024

358,519
401,853
510,549
478,962
1,124,827
2,874,710



Depreciation


At 1 January 2024
218,728
203,367
321,782
270,697
486,963
1,501,537


Charge for the year on owned assets
60,669
67,225
36,533
62,770
102,404
329,601


Disposals
-
(19,653)
-
-
-
(19,653)



At 31 December 2024

279,397
250,939
358,315
333,467
589,367
1,811,485



Net book value



At 31 December 2024
79,122
150,914
152,234
145,495
535,460
1,063,225



At 31 December 2023
126,436
159,203
158,934
125,871
515,844
1,086,288

Page 22

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

14.


Stock

2024
2023
£
£

Finished goods and goods for resale
3,236,676
2,662,727

3,236,676
2,662,727



15.


Debtors

2024
2023
£
£


Trade debtors
562,816
526,593

Amounts owed by group undertakings
213,521
2,341,568

Other debtors
21,230
89,381

Prepayments and accrued income
1,764,281
1,516,909

2,561,848
4,474,451


Amounts owed by group undertakings are unsecured, repayable on demand and interest free.


16.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
86,767
258,932

86,767
258,932



17.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
2,472,603
2,571,621

Amounts owed to group undertakings
270,998
243,667

Corporation tax
278,590
234,079

Other taxation and social security
288,668
234,304

Other creditors
44,442
25,400

Accruals and deferred income
363,595
221,739

3,718,896
3,530,810


Amounts owed to group undertakings are unsecured, repayable on demand and interest free. 

Page 23

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

18.


Deferred taxation




2024


£






At beginning of year
(170,004)


Credited to profit or loss
9,909



At end of year
(160,095)

The provision for deferred taxation is made up as follows:

2024
2023
£
£


Fixed asset timing differences
179,343
200,199

Short term timing differences
(19,248)
(30,195)

160,095
170,004


19.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



3,160 (2023 - 3,160) Ordinary shares of £1.00 each
3,160
3,160



20.


Pension commitments

Contributions totalling £40,537 (2023 - £22,496) were payable to a defined contribution pension scheme at the balance sheet date and are included in creditors.


21.


Commitments under operating leases

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

2024
2023
£
£


Within one year
464,402
429,826

Between two and five years
1,294,244
1,404,016

In over five years
436,001
453,339

2,194,647
2,287,181

Page 24

 
THE PAINT SHED LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

22.


Related party transactions

The Company has taken advantage of the exemptions within FRS 102 section 1AC.35 (Related Party Disclosures) which allow exemption from the disclosure of related party transactions with other group companies..


23.


Controlling party

The immediate parent of the Company is The Paint Shed Holdings Limited. The ultimate parent undertaking is C. Brewer & Sons Limited. The Company is included in the group's financial statements prepared to 31 December 2024, copies of which are available from its registered office 123/127 Ashford Road, Eastbourne, Sussex, BN21 3TR.
Page 25