Davidson Tractors Limited


Directors	DAVIDSON, Euan Murray
	DAVIDSON, James Graeme
	DAVIDSON, Stuart James


Company Secretary	DAVIDSON, James Graeme


Registered Address	Broompark Garage
	Whauphill
	Newton Stewart
	DG8 9QB


Registered Number	SC234649 (Scotland)

Notes to the Financial Statements
for the year ended 30 November 2025

1.	Accounting policies

	Statutory information
	The company is a private company limited by shares and registered in Scotland. The company's registered number and registered office address can be found on the Company Information page. The principal activity of the company during the year was the sale and repair of agricultural machinery, equipment and supplies.

	Basis of preparation
	The financial statements have been prepared under the historical cost convention and in accordance with FRS 102, the financial reporting standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard).

	Functional and presentation currency
	The financial statements are presented in sterling and this is the functional currency of the company.

	Turnover policy
	Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer.

	Employee benefits
	Contributions to defined contribution plans are expensed in the period to which they relate. Amounts not paid are shown in accruals in the Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

	Foreign currency translation
	Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to the Income Statement

Foreign currency translation

Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to the Income Statement

	Current taxation
	Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

	Deferred tax
	Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that 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, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.

Deferred tax

Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that 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, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.

	Intangible assets
	Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

	Tangible fixed assets and depreciation
	Tangible fixed assets are stated at cost or valuation less depreciation. Land is not depreciated. 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 disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Income. Depreciation is provided on all tangible fixed assets as follows:

Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost or valuation less depreciation. Land is not depreciated.

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 disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Income.

Depreciation is provided on all tangible fixed assets as follows:


	Reducing balance (%)	Straight line (years)
Plant and machinery	15	-
Fixtures and fittings	15	-
Vehicles	25	-
Office Equipment	25	3

	Stocks and work in progress
	Stocks are valued at the lower of cost and estimated selling price (less any associated costs to enable such sales to complete). At each date of Statement of Financial Position, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete the sale. The impairment loss is recognised immediately in the Income Statement.

	Financial instruments
	The company enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.

2.	Average number of employees


		2025		2024
	Average number of employees during the year	6		7

3.	Intangible assets

	Goodwill	Total
	£	£
Cost or valuation
At 01 December 24	127,691	127,691
At 30 November 25	127,691	127,691
Amortisation and impairment
At 01 December 24	127,691	127,691
At 30 November 25	127,691	127,691
Net book value
At 30 November 25	-	-
At 30 November 24	-	-

4.	Useful life of intangible assets
	Intangible assets are not permitted to have an indefinite life and must be amortised over their estimated useful life. The estimated useful life of Goodwill has been set at 20 years and the asset will be amortised on a straight line basis over that period.

5.	Tangible fixed assets

	Land & buildings	Plant & machinery	Vehicles	Fixtures & fittings	Office Equipment	Total
	£	£	£	£	£	£
Cost or valuation
At 01 December 24	25,661	41,537	78,834	12,298	15,057	173,387
Additions	29,777	-	-	-	-	29,777
At 30 November 25	55,438	41,537	78,834	12,298	15,057	203,164
Depreciation and impairment
At 01 December 24	-	27,136	55,567	8,528	10,659	101,890
Charge for year	-	2,160	5,817	565	4,016	12,558
At 30 November 25	-	29,296	61,384	9,093	14,675	114,448
Net book value
At 30 November 25	55,438	12,241	17,450	3,205	382	88,716
At 30 November 24	25,661	14,401	23,267	3,770	4,398	71,497

6.	Stocks

	2025	2024
	£	£
Finished goods	491,895	695,487
Total	491,895	695,487

7.	Debtors: amounts due within one year

	2025	2024
	£	£
Trade debtors / trade receivables	146,154	186,576
Other debtors	55,170	55,169
Total	201,324	241,745


	Short term debtors are measured at transaction price (which is usually the invoice price) less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.

Short term debtors are measured at transaction price (which is usually the invoice price) less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.

8.	Creditors: amounts due within one year

	2025	2024
	£	£
Trade creditors / trade payables	27,137	61,777
Taxation and social security	57,891	63,212
Other creditors	146,820	124,871
Accrued liabilities and deferred income	5,173	10,984
Total	237,021	260,844


	Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.

9.	Provisions for liabilities

	2025	2024
	£	£
Net deferred tax liability (asset)	8,300	11,400
Total	8,300	11,400

10.	Pension commitments
	The pension cost charge represents contributions payable by the company to the fund. There were no amounts prepaid or outstanding at the balance sheet date (2024 - same).

11.	Related party transactions
	The directors own the land and buildings from which the company operates. The use of this is provided rent free to the company. The directors provided interest free loans to the company totalling £146,819 (2024 - £124,871).

12.	Further information regarding the company's financial position
	Other reserves is a capital redemption reserve representing share capital purchased back by the company. The reserve is not distributable. The profit and loss account comprises accumulated profits less dividends and distributions paid and transfers to the capital redemption reserve. This reserve is distributable in full.

	Notes	2025		2024
		£	£	£	£
Fixed assets
Tangible assets	5		88,716		71,497
			88,716		71,497
Current assets
Stocks	6	491,895		695,487
Debtors	7	201,324		241,745
Cash at bank and on hand		394,472		102,479
		1,087,691		1,039,711
Creditors amounts falling due within one year	8	(237,021)		(260,844)
Net current assets (liabilities)			850,670		778,867
Total assets less current liabilities			939,386		850,364
Provisions for liabilities	9		(8,300)		(11,400)
Net assets			931,086		838,964
Capital and reserves
Called up share capital			100		100
Other reserves			1		1
Profit and loss account			930,985		838,863
Shareholders' funds			931,086		838,964