| J. H. Hammond & Son Ltd |
| Notes to the Accounts |
| for the year ended 31 August 2025 |
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| 1 |
Accounting policies |
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Basis of preparation |
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The accounts 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). |
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Transition to FRS 102 and comparative information |
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These financial statements are the first financial statements of the company prepared 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. The financial statements for the previous year were prepared in accordance with FRS 105, The Financial Reporting Standard applicable to the Micro-entities Regime.
The transition to FRS 102 has not resulted in any adjustments to the amounts previously reported.
The comparative figures have been derived from the financial statements previously prepared and approved for the year ended 31 August 2024. Rental income of £25,757, which was previously included within turnover, has been separately presented as other operating income in the comparative figures. This reclassification has no effect on the previously reported profit or net assets.
During the current year, rental income arising from a property owned by the Estate of James Hammond has not been recognised as income of the company. The directors have been unable to establish, from the information currently available, whether an adjustment to the comparative figures in respect of this rental income is required and, accordingly, the comparative figures have not been restated. |
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Turnover |
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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 and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. |
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Tangible fixed assets |
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Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: |
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Freehold property & improvements |
2-4% Straight Line |
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Plant and machinery, fixtures and fittings etc |
15%-25% Reducing Balance |
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Motor vehicles |
25% Reducing Balance |
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Stocks |
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Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised. |
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Debtors |
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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. |
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Creditors |
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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. |
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Taxation |
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A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. 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. |
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Provisions |
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Provisions (ie liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
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Pensions |
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Contributions to defined contribution plans are expensed in the period to which they relate. |
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| 2 |
Employees |
2025 |
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2024 |
| Number |
Number |
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Average number of persons employed by the company |
1 |
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1 |
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| 3 |
Tangible fixed assets |
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Land and buildings |
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Plant and machinery etc |
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Motor vehicles |
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Total |
| £ |
£ |
£ |
£ |
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Cost |
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At 1 September 2024 |
13,218 |
|
110,857 |
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19,633 |
|
143,708 |
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At 31 August 2025 |
13,218 |
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110,857 |
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19,633 |
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143,708 |
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Depreciation |
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At 1 September 2024 |
3,572 |
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92,045 |
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18,625 |
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114,242 |
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Charge for the year |
418 |
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2,882 |
|
252 |
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3,552 |
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At 31 August 2025 |
3,990 |
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94,927 |
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18,877 |
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117,794 |
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Net book value |
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At 31 August 2025 |
9,228 |
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15,930 |
|
756 |
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25,914 |
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At 31 August 2024 |
9,646 |
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18,812 |
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1,008 |
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29,466 |
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| 4 |
Debtors |
2025 |
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2024 |
| £ |
£ |
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Trade debtors |
8,665 |
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5,800 |
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Directors loan account |
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4,809 |
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- |
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Corporation tax recoverable |
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1,623 |
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- |
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Other debtors |
3,923 |
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6,154 |
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19,020 |
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11,954 |
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Amounts due after more than one year included above |
1,623 |
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- |
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| 5 |
Creditors: amounts falling due within one year |
2025 |
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2024 |
| £ |
£ |
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Bank loans and overdrafts |
- |
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4,857 |
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Trade creditors |
3,136 |
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2,039 |
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Taxation and social security costs |
2,326 |
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2,717 |
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Other creditors |
1,663 |
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3,283 |
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Amounts owed to estate of James Hammond |
23,773 |
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- |
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30,898 |
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12,896 |
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| 6 |
Related party transactions |
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The shares in the company previously held by the late James Hammond are held by the Estate of James Hammond. At the year end, the company owed £23,773 (2024: £nil) to the Estate.
During the year, the company also entered into transactions with K Hammond, a director of the company, through a director's loan account. At the year end, £4,809 (2024: £nil) was due from the director to the company.
The above balances are unsecured, interest free and have no fixed terms of repayment. |
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| 7 |
Other information |
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J. H. Hammond & Son Ltd is a private company limited by shares and incorporated in England. Its registered office is: |
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Ground Floor, Austin House |
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43 Poole Road |
|
Westbourne |
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Bournemouth |
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BH4 9DN |