The Cheddar Gorge Cheese Company Limited

(Registration number: 02664797)
Balance Sheet as at 31 March 2025 (continued)

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 16 December 2025 and signed on its behalf by:

.........................................

R A Rhodes

Director

The Cheddar Gorge Cheese Company Limited

Notes to the Financial Statements for the Year Ended 31 March 2025

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
The Cliffs
CHEDDAR
Somerset
BS27 3QA

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Audit report

The Independent Auditor's Report was unqualified. The name of the Senior Statutory Auditor who signed the audit report on 16 December 2025 was Mike Kirsopp, who signed for and on behalf of Dodd & Co Audit Limited.

The Cheddar Gorge Cheese Company Limited

Notes to the Financial Statements for the Year Ended 31 March 2025 (continued)

Prior period errors

Following a review of the stock figure included in the accounts at 31 March 2024 it was identified that stock with a value of £104,465 had been omitted. This is considered to be material to the accounts so a prior period adjustment has been made to amend the comparative figures.

	Relating to the current period disclosed in these financial statements £	Relating to the prior period disclosed in these financial statements £	Relating to periods before the prior period disclosed in these financial statements £
Cost of sales	-	(104,465)	-
Stock	-	104,465	-
Taxation	-	15,988	-
Corporation tax debtor	-	(15,988)	-
Profit and loss reserve	-	88,477	-

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when the amount of revenue can be reliably measured; it is probable that future economic benefits will flow to the entity; and specific criteria have been met for each of the company's activities.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Page 4

The Cheddar Gorge Cheese Company Limited

Notes to the Financial Statements for the Year Ended 31 March 2025 (continued)

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses other than land and buildings which are held at valuation. The valuation is based on open market value.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Freehold property	2% straight line basis
Plant and equipment	20% straight line basis
Motor vehicles	33% straight line basis
Furniture, fittings and office equipment	20% and 33% straight line basis

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by the directors. The directors use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class	Amortisation method and rate
Goodwill	8 years straight line basis
Computer software	3 years straight line basis

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

The Cheddar Gorge Cheese Company Limited

Notes to the Financial Statements for the Year Ended 31 March 2025 (continued)

Trade debtors

Trade debtors are amounts due from customers for the sale of goods or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are 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.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method where due after more than one year.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

The Cheddar Gorge Cheese Company Limited

Notes to the Financial Statements for the Year Ended 31 March 2025 (continued)

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 30 (2024 - 31).

4	Intangible assets

	Goodwill  £	Computer software  £	Total £
Cost or valuation
At 1 April 2024	150,000	3,825	153,825
At 31 March 2025	150,000	3,825	153,825
Amortisation
At 1 April 2024	150,000	3,825	153,825
At 31 March 2025	150,000	3,825	153,825
Carrying amount
At 31 March 2025	-	-	-

The Cheddar Gorge Cheese Company Limited

Notes to the Financial Statements for the Year Ended 31 March 2025 (continued)

5	Tangible assets

	Land and buildings £	Plant and equipment  £	Motor vehicles  £	Furniture, fittings and office equipment  £	Total £
Cost or valuation
At 1 April 2024	798,566	297,172	9,250	87,550	1,192,538
Additions	-	19,428	-	2,663	22,091
At 31 March 2025	798,566	316,600	9,250	90,213	1,214,629
Depreciation
At 1 April 2024	34,473	241,580	9,250	71,314	356,617
Charge for the year	17,973	13,028	-	3,818	34,819
At 31 March 2025	52,446	254,608	9,250	75,132	391,436
Carrying amount
At 31 March 2025	746,120	61,992	-	15,081	823,193
At 31 March 2024	764,093	55,592	-	16,236	835,921

Revaluation

The fair value of the company's land and buildings was revalued on 6 April 2022. An independent valuer was not involved.
Had this class of asset been measured on a historical cost basis, the carrying amount would have been £529,981 (2024 - £542,660).

6	Investment properties

	£
At 1 April 2024	467,643
At 31 March 2025	467,643