Brockham Motor Company Limited

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—6

1. General Information

Brockham Motor Company Limited is a private company, limited by shares, incorporated in England & Wales, registered number 03224694 . The registered office is Crewsdon Works, Smallfield Road, Horley, Surrey, RH6 9AU.

The principal activity of the company continued to be that of the sale, purchase and servicing of used motor vehicles.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

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

2.2. Turnover

Turnover 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. Turnover is measured at 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 recognnised:

Sale of goods

Turnover 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.

Rendering of services

Turnover 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 Company 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.

2.3. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured 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 or 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 on the following bases:

Freehold	Nil - Residual value exceeds cost
Plant & Machinery	20% reducing balance
Motor Vehicles	25% reducing balance
Fixtures & Fittings	20% reducing balance
Computer Equipment	20% reducing balance

2.4. Stocks and Work in Progress

Stocks are valued 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 to 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 selling price less costs to complete and sell. The impairment loss is recognised immediately to the profit and loss account.

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Brockham Motor Company Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 July 2025

2.5. Financial Instruments

Basic financial assets

Basic financial assets which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transactions 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 the market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Financial liabilities

Financial liabilites and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument contract is any contract that evidences a residual interest in the assets of the Company after the deduction of its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this consitutues a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at the 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 subseqently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

2.6. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current and deferred tax are recognised in profit or loss for the year, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case current and deferred tax are recognised in other comprehensive income or directly in equity respectively.

2.7. Pensions

The Company operates a defined pension 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 obligations.

The contributions are recognised as an expense in the profit and loss account when they fall due. Amounts not paid are shown in accruals as a liabilty in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

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Brockham Motor Company Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 July 2025

2.8. Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the obligation.

Provisions are charged to the profit and loss account in the year that the Company becomes aware of the obligation and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account the relevant risks and uncertainties.

When payments are eventually made, they are charged to the provision carried in the Balance Sheet.

2.9. Dividends

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

3. Average Number of Employees

Average number of employees, including directors, during the year was: 5 (2024: 6)

4. Tangible Assets

	Land & Property
	Freehold	Plant & Machinery	Motor Vehicles	Fixtures & Fittings
	£	£	£	£
Cost
As at 1 August 2024	620,924	97,130	19,702	10,640
Additions	-	699	-	-

As at 31 July 2025	620,924	97,829	19,702	10,640

Depreciation
As at 1 August 2024	-	81,375	11,385	9,291
Provided during the period	-	3,291	2,079	270

As at 31 July 2025	-	84,666	13,464	9,561

Net Book Value
As at 31 July 2025	620,924	13,163	6,238	1,079

As at 1 August 2024	620,924	15,755	8,317	1,349


	Computer Equipment	Total
	£	£
Cost
As at 1 August 2024	8,465	756,861
Additions	515	1,214

As at 31 July 2025	8,980	758,075

Depreciation
As at 1 August 2024	6,808	108,859
Provided during the period	414	6,054

As at 31 July 2025	7,222	114,913

Net Book Value
As at 31 July 2025	1,758	643,162

As at 1 August 2024	1,657	648,002

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Brockham Motor Company Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 July 2025

5. Stocks

	2025	2024
	£	£
Stock	317,580	237,401

6. Debtors

	2025	2024
	£	£
Due within one year
Trade debtors	944	2,058
Other debtors	12,070	6,294

	13,014	8,352

7. Creditors: Amounts Falling Due Within One Year

	2025	2024
	£	£
Trade creditors	37,662	40,115
Other creditors	104,637	99,847
Taxation and social security	50,670	32,423

	192,969	172,385

8. Creditors: Amounts Falling Due After More Than One Year

	2025	2024
	£	£
Other creditors	163,842	246,531

9. Deferred Taxation

The provision for deferred tax is made up of accelerated capital allowances as follows:

	2025	2024
	£	£
Other timing differences	4,105	5,183

10. Share Capital

	2025	2024
	£	£
Allotted, Called up and fully paid	2	2

11. Pension Commitments

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. At the balance sheet date unpaid contributions of £637 (2024: £848) were due to the fund. They are included in Other Creditors.

The pension cost charge represents contributions payable by the Company to the find and amounted to £24,513 (2024: £6,061).

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		2025		2024
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	4		643,162		648,002

			643,162		648,002
CURRENT ASSETS
Stocks	5	317,580		237,401
Debtors	6	13,014		8,352
Cash at bank and in hand		61,492		142,568

		392,086		388,321
Creditors: Amounts Falling Due Within One Year	7	(192,969 )		(172,385 )

NET CURRENT ASSETS (LIABILITIES)			199,117		215,936

TOTAL ASSETS LESS CURRENT LIABILITIES			842,279		863,938

Creditors: Amounts Falling Due After More Than One Year	8		(163,842 )		(246,531 )

PROVISIONS FOR LIABILITIES
Deferred Taxation	9		(4,105 )		(5,183 )

NET ASSETS			674,332		612,224

CAPITAL AND RESERVES
Called up share capital	10		2		2
Profit and Loss Account			674,330		612,222

SHAREHOLDERS' FUNDS			674,332		612,224