Hart Brown LLP

Balance Sheet

31 March 2026

For the period ending 31 March 2026 the LLP was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to Limited Liability Partnerships. The designated members acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 (as applied to limited liability partnerships by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008), with respect to accounting records and the preparation of accounts.

These financial statements have been prepared and delivered in accordance with the special provisions within Part 15 of the Companies Act 2006, as applied to small limited liability partnerships by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008, and the option not to file a profit and loss account has been taken.

The members acknowledge their responsibilities for

(a) ensuring that the LLP keeps accounting records which comply with Section 386 and 387 of the Companies Act 2006 as applied by the Limited Liability Partnerships Regulations 2008 as modified by the Limited Liability Partnerships, Partnerships and Groups Regulations 2018.

(b) preparing financial statements which give a true and fair view of the state of affairs of the LLP as at the end of each financial period and of its profit or loss for the financial period in accordance with the requirements of section 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 as applied by the Limited Liability Partnerships Regulations 2008 as modified by the Limited Liability Partnerships, Partnerships and Groups Regulations 2018 relating to financial statement, so far applicable to the LLP.

These financial statements have been prepared in accordance with the special provisions within Part 15 of the Companies Act 2006 as applied to small limited liability partnerships by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008.

The financial statements of Hart Brown LLP (registered number OC425835) were approved by the Board and authorised for issue on 7 August 2026. They were signed on behalf of the limited liability partnership by:

......................................... N Maud Designated member

Registration number: OC425835

Hart Brown LLP

Notes to the Financial Statements

Year Ended 31 March 2026

1	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 - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' including Section 1A and the Companies Act 2006 and in accordance with the Statement of Recommended Practice 'Accounting for Limited Liability Partnerships' issued in May 2024. There are no material departures from FRS102.

General information and basis of accounting

The limited liability partnership is incorporated in England & Wales under the Limited Liability Partnership Act 2000. The address of the registered office is given on the limited liability partnership information page. The nature of the limited liability partnership's operations and its principal activities are given in the members' report.

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, in accordance with the Financial Reporting Standard 102 (FRS 102) issued by the Financial Reporting Council and the requirements of the Statement of Recommended Practice Accounting by Limited Liability Partnerships (issued May 2024).

The functional currency of Hart Brown LLP is considered to be pounds sterling because that is the currency of the primary economic environment in which the limited liability partnership operates.

Reclassification of comparative amounts

A prior period adjustment has been applied to the 2025 balance sheet to more appropriately categorise a liability of uncertain timing and amount previously stated within creditors. On review of this balance, it is more appropriately defined as a provision reported on the balance sheet opposed to creditors and has therefore been reclassfied accordingly.

The profit for the year has not been affected as a result of this balance sheet reclassification. The impact of adjusting for the provision is a decrease in creditors and an increase in provisions.

Hart Brown LLP

Notes to the Financial Statements

Year Ended 31 March 2026

Revenue recognition

Turnover represents the value of services rendered during the year (excluding VAT) and comprises both completed work (gross fees billed) and incomplete unbilled work (accrued income and work in progress).

Gross fees billed represents the amounts (excluding VAT) derived from the provision of completed work for the clients during the period. In addition, the movement in accrued income and work in progress has been shown as turnover for the period.

Accrued income in respect of matters of a non-contingent nature is calculated based upon the value of work done but not billed at the year end. The value represents the time spent on matters in progress at the firm's billing rates, reduced to a realisable value.

Members' interests

Members' capital is repayable on retirement of the member and is therefore classified as a liability. Members may retire with less than one year's notice, however typically have their capital repaid within one year of serving notice, members' capital is shown as being due within one year, and beyond one year. There may be further amounts due to members after more than one year that comprise provisions for annuities to current members and certain loans from members which are not repayable within twelve months of the balance sheet date.

Members' remuneration and division of profits

Profits are automatically allocated to members. They are therefore shown as "Members' remuneration charged as an expense" in the Profit and Loss Account in the relevant year. To the extent that they remain unpaid at the year end, they are included within "loans and other debts due to members" in the Balance Sheet.

Taxation

The taxation payable on the LLP's profits is the personal liability of the members, although payment of such liabilities is administered by the LLP on behalf of its members. Consequently, neither LLP taxation nor related deferred taxation is accounted for in these financial statements. Sums set aside in respect of members' tax obligations are included in the balance sheet within loans and other debts due to members, or are set against amounts due from members as appropriate.

Intangible assets

Intangible assets are stated in the balance sheet at cost less accumulated amortisation and impairment.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment.

Amortisation

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

Hart Brown LLP

Notes to the Financial Statements

Year Ended 31 March 2026

Asset class	Amortisation method and rate
Software	33.3% straight line basis

Depreciation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class	Depreciation method and rate
Leasehold property	20% straight line basis
Plant and machinery	20% straight line basis
Office and computer equipment	25% straight line basis

Provisions

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

Hire purchase and leasing

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Rentals payable under operating leases are charged in the Statement of Financial Activities on a straight line basis over the lease term.

Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the partnership, are capitalised in the balance sheet as tangible fixed assets and are depreciated over the shorter of the lease term and their useful lives. The capital elements of future obligations under the leases are included as liabilities in the balance sheet. The interest element of the rental obligation is charged to the Statement of Financial Activities over the period of the lease and represents a constant proportion of the balance of capital repayments outstanding. Assets held under hire purchase agreements are capitalised as tangible fixed assets and are depreciated over the shorter of the lease term and their useful lives. The capital element of future finance payments is included within creditors. Finance charges are allocated to accounting periods over the length of the contract and represent a constant proportion of the balance of capital repayments outstanding.

Pensions and other post retirement obligations

The business operates a defined contribution pension scheme. Contributions payable for the year are charged in the profit and loss account.

Insurance arrangements
Substantial insurance cover in respect of professional negligence claims is carried. Cover is principally written through the commercial market. Where appropriate, provision is made for the expected outcome of the claims.

Dilapidations
Provision is made for the dilapidations in respect of property leases which contain requirement for the premises to be returned to their original state prior to the conclusion of the lease term.

Hart Brown LLP

Notes to the Financial Statements

Year Ended 31 March 2026

Financial instruments

Classification

Financial instruments are recognised when the LLP becomes party to the contractual provisions of the instrument and derecognised when in the case of assets, the contractual rights to cash flows from the asset expire or substantially all the risks and rewards of ownership are transferred to another party, or in the case of liabilities, when the LLP's obligations are discharged, expire or are cancelled.

Recognition and Measurement

The LLP holds the following financial instruments, all of which meet the conditions to be classified as basic instruments:

Short term debtors and creditors

Such instruments are initially measured at transaction price, including transaction costs, and are subsequently carried at the undiscounted amount of the cash or other consideration expected to be paid or received, after taking account of impairment judgements.

Loans

Loans which meet the criteria under FRS 102 to be classed as 'basic financial instruments' are initially recorded at transaction price and subsequently measured at amortised cost using the effective interest method.

2	Critical accounting judgements and key sources of estimation uncertainty

In applying the LLP's accounting policies, which are described above, the designated members are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. These estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. The following are the critical judgements, estimates and assumptions that the designated members have made in the process of applying the LLP's accounting policies.

Revenue recognition
Revenue in relation to unbilled time, excluding contingent fee matters, is recognised in the accounts based upon the judgement of the designated members in respect of expected ultimate recoverability. In undertaking this assessment the designated members consider a range of factors including historical recovery rates and contractual terms. In undertaking this process an adjustment is made to reduce the unbilled time to average recovery rates.

In respect of contingent work judgement is exercised in determining whether revenue should be recognised in respect of work of a contingent nature. In making this judgement, the designated members have considered the nature of the work undertaken, this historic success rate for that type of work, as well as the specific circumstances of the matters up to the point of signing the accounts. Where the liability has been agreed the unbilled time for the matter is accrued but where the outcome is still uncertain no revenue is recognised in the accounts.

In total the carrying value of accrued income at the balance sheet date was £1,849,274.

Hart Brown LLP

Notes to the Financial Statements

Year Ended 31 March 2026

Claims provision
Judgement is exercised in determining whether a provision for claims is required. In making this judgement, the designated members have considered the historic occurrence of claims against the firm and the level of specific claims notified to them at the balance sheet date. If it is determined that a provision is required, an estimate is made of the eventual value of any uninsured claims. In making this estimate, the designated members have considered the specific circumstances of reported claims, the historic level of un-utilised insurance excesses, as well as the historic level of minor claims settled outside of insurance. The carrying value of the claims provision at the balance sheet date was £24,000.

Bad or doubtful debts provision
A provision for bad or doubtful debts in respect of fees issued and disbursement debts is established by the designated members. In making this judgement, the designated members have considered the historic occurrence of bad debts against the firm and the circumstances of debtors at the balance sheet date. The carrying value of the bad or doubtful debt provision at the balance sheet date was £171,834.

3	Particulars of employees

The average number of persons employed by the limited liability partnership during the year was 87 (2025 - 81).

Hart Brown LLP

Notes to the Financial Statements

Year Ended 31 March 2026

4	Tangible fixed assets

	Leasehold property £	Plant and machinery £	Office and computer equipment £	Total £
Cost
At 1 April 2025	48,740	29,757	726,627	805,124
Additions	-	9,309	911	10,220
At 31 March 2026	48,740	39,066	727,538	815,344
Depreciation
At 1 April 2025	34,586	26,505	717,484	778,575
Charge for the year	3,472	3,390	3,555	10,417
At 31 March 2026	38,058	29,895	721,039	788,992
Net book value
At 31 March 2026	10,682	9,171	6,499	26,352
At 31 March 2025	14,154	3,252	9,143	26,549

5

Debtors

	2026  £	2025  £
Trade debtors	1,052,055	797,516
Other debtors	9,238	8,635
Prepayments and accrued income	2,325,165	2,209,815
	3,386,458	3,015,966

6	Creditors: Amounts falling due within one year

	2026  £	(As restated) 2025  £
Bank loans and overdrafts	316,131	407,478
Trade creditors	175,193	145,725
Taxation and social security	406,113	340,833
Other creditors	72,647	63,866
Accruals and deferred income	294,602	245,376
	1,264,686	1,203,278