Registration number: 10245806

RAC Forestry Ltd

(Registration number: 10245806)
Balance Sheet as at 30 June 2026

	Note	2026 £	2025 £
Fixed assets
Tangible assets	4	2,787,982	2,748,916
Current assets
Stocks	5	175,300	77,919
Debtors	6	205,393	266,932
Cash at bank and in hand		77,772	153,370
		458,465	498,221
Creditors: Amounts falling due within one year	7	(938,764)	(842,733)
Net current liabilities		(480,299)	(344,512)
Total assets less current liabilities		2,307,683	2,404,404
Creditors: Amounts falling due after more than one year	7	(1,175,027)	(1,292,707)
Provisions for liabilities		(356,167)	(338,427)
Net assets		776,489	773,270
Capital and reserves
Called up share capital		100	100
Retained earnings		776,389	773,170
Shareholders' funds		776,489	773,270

For the financial year ending 30 June 2026 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.

RAC Forestry Ltd

(Registration number: 10245806)
Balance Sheet as at 30 June 2026

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 6 October 2026 and signed on its behalf by:
 

......................................... Mr R M Smith Director

......................................... Mr C R D Norman Director

RAC Forestry Ltd

Notes to the Unaudited Financial Statements for the Year Ended 30 June 2026

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 Corner House
2 High Street
Aylesford
Kent
ME20 7BG
United Kingdom

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 that as disclosed in the accounting policies certain items are shown at fair value.

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.

RAC Forestry Ltd

Notes to the Unaudited Financial Statements for the Year Ended 30 June 2026

Tax

The tax expense for the period comprises 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.

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.

Tangible assets

Tangible assets are stated in the balance sheet 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.

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
Plant and machinery	15% reducing balance
Computer equipment	25% reducing balance

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 merchandise sold 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.

RAC Forestry Ltd

Notes to the Unaudited Financial Statements for the Year Ended 30 June 2026

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. 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 subsequently measured at amortised cost using the effective interest method.

RAC Forestry Ltd

Notes to the Unaudited Financial Statements for the Year Ended 30 June 2026

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.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

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.

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.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 5 (2025 - 5).

RAC Forestry Ltd

Notes to the Unaudited Financial Statements for the Year Ended 30 June 2026

4	Tangible assets

	Furniture, fittings and equipment  £	Other tangible assets £	Total £
Cost or valuation
At 1 July 2025	3,799	3,412,224	3,416,023
Additions	-	660,220	660,220
Disposals	-	(200,000)	(200,000)
At 30 June 2026	3,799	3,872,444	3,876,243
Depreciation
At 1 July 2025	1,330	665,777	667,107
Charge for the year	617	428,324	428,941
Eliminated on disposal	-	(7,787)	(7,787)
At 30 June 2026	1,947	1,086,314	1,088,261
Carrying amount
At 30 June 2026	1,852	2,786,130	2,787,982
At 30 June 2025	2,469	2,746,447	2,748,916

5

Stocks

	2026 £	2025 £
Other inventories	175,300	77,919

6

Debtors

	2026 £	2025 £
Trade debtors	203,061	264,782
Prepayments	2,332	2,150
	205,393	266,932

RAC Forestry Ltd

Notes to the Unaudited Financial Statements for the Year Ended 30 June 2026

7

Creditors

	Note	2026 £	2025 £
Due within one year
Loans and borrowings	8	562,860	483,408
Trade creditors		170,686	118,771
Taxation and social security		13,909	62,533
Other creditors		191,309	178,021
		938,764	842,733

	Note	2026 £	2025 £
Due after one year
Loans and borrowings	8	1,175,027	1,292,707

8	Loans and borrowings

Non-current loans and borrowings

	2026 £	2025 £
Hire purchase contracts	1,175,027	1,292,707

Current loans and borrowings

	2026 £	2025 £
Bank borrowings	-	16,667
Hire purchase contracts	562,860	466,741
	562,860	483,408