Registration number: 09183897

Harrowells Limited

Contents

Company Information	1
Balance Sheet	2
Notes to the Financial Statements	3 to 9

Harrowells Limited

Company Information

Directors

S R K Black R J Hugill R P Onyett R C Wood M J Hayward M D Rowley E I M Ryder

Registered office

1 St Saviourgate York North Yorkshire YO1 8ZQ

Bankers

HSBC Bank plc 13 Parliament Street York North Yorkshire YO1 8RS

Accountants

Hazlewoods LLP Windsor House Bayshill Road Cheltenham GL50 3AT

Harrowells Limited

(Registration number: 09183897)
Balance Sheet as at 30 November 2025

	Note	2025 £	2024 £
Fixed assets
Intangible assets	4	107,138	-
Tangible assets	5	138,340	82,521
		245,478	82,521
Current assets
Debtors	6	4,273,914	3,412,268
Cash at bank and in hand		175,972	13,636
		4,449,886	3,425,904
Creditors: Amounts falling due within one year	7	(2,291,133)	(1,976,027)
Net current assets		2,158,753	1,449,877
Total assets less current liabilities		2,404,231	1,532,398
Creditors: Amounts falling due after more than one year	7	(209,498)	(20,743)
Provisions for liabilities		(154,245)	(86,960)
Net assets		2,040,488	1,424,695
Capital and reserves
Called up share capital		560	540
Share premium reserve		593,274	504,366
Capital redemption reserve		200	200
Retained earnings		1,446,454	919,589
Shareholders' funds		2,040,488	1,424,695

For the financial year ending 30 November 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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 22 June 2026 and signed on its behalf by:
 

R P Onyett
Director

Harrowells Limited

Notes to the Financial Statements for the Year Ended 30 November 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:
1 St Saviourgate
York
North Yorkshire
YO1 8ZQ

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 smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

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

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Going concern

After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.

Critical accounting judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

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

Key Sources of estimation uncertainty
Amounts recoverable on contracts (AROC) - The process of assessing AROC requires various estimates and judgements to be made. Fee earners are required to record time spent on client assignments and this is used as the basis for the AROC estimate. The fee earners review their work in progress balances regularly to identify likely irrecoverable amounts. Recovery rates are then applied to the balances according to work type. Residential and contingent work in progress is excluded from this.

Residential AROC is valued by removing all work in progress from the calculation and then multiplying the fixed fee by the number of matters post exchange at the year end.

Contingent work in progress is removed from the valuation and is only recognised where the contingent event has occurred. The carrying amount is £1,811,737 (2024 - £1,284,875).

Bad debt provision - Due to the nature of the business, there are high levels of trade receivables at the year end, and therefore a risk that some of these balances may be irrecoverable. A bad debt review is carried out at the year end where debts are assessed and provided against when the recoverability of these balances is considered uncertain. The carrying amount is £16,207 (2024 - £16,608).

Harrowells Limited

Notes to the Financial Statements for the Year Ended 30 November 2025

Provision for client claims - The provision is based on a review of potential claims and an assessment of any potential settlements that are considered likely as a result of these. The carrying amount is £60,000 (2024 - £30,000).

Dilapidations provision - a provision for dilapidations on the offices is being built up each year based on the amount expected to be payable per square foot of office space on termination of the relevant leases. The carrying amount is £72,940 (2024 - £47,932).

Revenue recognition

Income represents the fair value of services provided during the year on client assignments. Fair value reflects the amounts expected to be recoverable from clients based on time spent, skills provided and expenses incurred, and excludes VAT. Fee income is recognised as contract activity progresses and the right to consideration is secured, except where the final outcome cannot be assessed with reasonable certainty.

Fee income in respect of contingent fee assignments is recognised when recoverability of the fee is no longer subject to the contingent event.

Unbilled fee income on individual assignments is included as amounts recoverable on contracts within debtors.

Disbursements
Disbursements are not included in income or expenses, but are netted against each other.

Tax

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

The current corporation 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 on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Intangible assets

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 held in the currency of the acquired entity and revalued to the closing rate at each reporting period date.

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	10 years straight line

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

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

Harrowells Limited

Notes to the Financial Statements for the Year Ended 30 November 2025

Depreciation

Depreciation is charged so as to write off the cost of assets over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Furniture, fittings and equipment	3 - 7 years straight line
Motor vehicles	5 years straight line

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.

Trade debtors

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

Trade debtors are recognised initially at the transaction price. All trade debtors are repayable within one year and hence are included at the undiscounted cost of cash expected to be received. 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 debtors.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable 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 all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Provisions

Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to the profit and loss account on a straight line basis over the lease term.

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.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Harrowells Limited

Notes to the Financial Statements for the Year Ended 30 November 2025

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.

Financial instruments

Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

Harrowells Limited

Notes to the Financial Statements for the Year Ended 30 November 2025

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was 124 (2024 - 122).

4

Intangible assets

	Goodwill  £
Cost
At 1 December 2024	1,575,000
Additions	113,775
At 30 November 2025	1,688,775
Amortisation
At 1 December 2024	1,575,000
Amortisation charge	6,637
At 30 November 2025	1,581,637
Carrying amount
At 30 November 2025	107,138
At 30 November 2024	-

5

Tangible assets

	Furniture, fittings and equipment  £	Motor vehicles  £	Total £
Cost
At 1 December 2024	632,142	6,425	638,567
Additions	91,541	-	91,541
Disposals	(89,446)	-	(89,446)
At 30 November 2025	634,237	6,425	640,662
Depreciation
At 1 December 2024	549,621	6,425	556,046
Charge for the year	35,476	-	35,476
Eliminated on disposal	(89,200)	-	(89,200)
At 30 November 2025	495,897	6,425	502,322
Carrying amount
At 30 November 2025	138,340	-	138,340
At 30 November 2024	82,521	-	82,521

Harrowells Limited

Notes to the Financial Statements for the Year Ended 30 November 2025

6

Debtors

	2025 £	2024 £
Trade debtors	2,089,924	1,702,320
Other debtors	30,641	72,581
Prepayments	341,612	352,492
Amounts recoverable on contracts	1,811,737	1,284,875
	4,273,914	3,412,268

7

Creditors

	Note	2025 £	2024 £
Due within one year
Loans and borrowings	8	617,104	544,807
Trade creditors		79,707	73,127
Social security and other taxes		516,009	460,607
Outstanding defined contribution pension costs		22,778	20,629
Other creditors		118,244	172,599
Accrued expenses		283,097	281,028
Corporation tax liability		275,225	163,385
Directors' loan accounts		378,969	259,845
		2,291,133	1,976,027
Due after one year
Loans and borrowings	8	209,498	20,743

8

Loans and borrowings

Current loans and borrowings

	2025 £	2024 £
Bank borrowings	175,000	-
Bank overdrafts	178,980	212,026
Other borrowings	263,124	332,781
	617,104	544,807