Company No: 03305470 (England and Wales)

Contents

• Balance Sheet
• Notes to the Financial Statements

	Note	2026		2025
		£		£
Fixed assets
Tangible assets	3	1,150,975		964,028
Investment property	4	302,343		302,343
		1,453,318		1,266,371
Current assets
Stocks	5	1,014,486		1,158,933
Debtors	6	127,058		122,710
Cash at bank and in hand		395		395
		1,141,939		1,282,038
Creditors: amounts falling due within one year	7	( 1,141,333)		( 1,012,931)
Net current assets		606		269,107
Total assets less current liabilities		1,453,924		1,535,478
Creditors: amounts falling due after more than one year	8	( 592,297)		( 675,617)
Net assets		861,627		859,861
Capital and reserves
Called-up share capital		9		9
Profit and loss account		861,618		859,852
Total shareholder's funds		861,627		859,861

For the financial year ending 31 January 2026 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of J. Brake & Son Limited (registered number: 03305470) were approved and authorised for issue by the Board of Directors on 26 October 2026. They were signed on its behalf by:

D A Adams Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

J. Brake & Son Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Brakes Motor Company, Station Road, Ilminster, TA19 9BQ, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Interest income

Interest income is recognised when it is probable that the economic benefits will flow to the Company and the amount of revenue can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset's net carrying amount on initial recognition.

Employee benefits

Defined contribution schemes
The Company operates a defined contribution scheme. The amount charged to the Profit and Loss Account in respect of pension costs and other post-retirement benefits is the contributions payable in the financial year. Differences between contributions payable in the financial year and contributions actually paid are included as either accruals or prepayments in the Balance Sheet.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date. Tax is recognised in the profit and loss account, 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
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the tax rates and laws that have been enacted or substantively enacted by the Balance Sheet date that are expected to apply when the timing differences reverse. Deferred tax assets and liabilities are not discounted.

Deferred tax liabilities are presented within provisions for liabilities on the balance sheet.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Land and buildings	10 - 50 years straight line
Plant and machinery	6.67 years straight line
Vehicles	20 % reducing balance
Fixtures and fittings	10 years straight line
Office equipment	10 years straight line
Computer equipment	4 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Profit and Loss Account over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Investment property

Investment property is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at each reporting date with changes in fair value recognised in profit or loss. Deferred taxation is provided on these gains at the rate expected to apply when the property is sold.

The fiar value is determined annually by the directors, on an open market value for existing use basis.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts, except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost. 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.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.

Loans and borrowings
Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. 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.

Ordinary share capital

The ordinary share capital of the Company is presented as equity.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

2. Employees

	2026		2025
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	26		24

3. Tangible assets

	Land and buildings		Plant and machinery		Vehicles		Fixtures and fittings		Office equipment		Computer equipment		Total
	£		£		£		£		£		£		£
Cost
At 01 February 2025	1,080,452		184,048		292,842		75,960		3,695		2,341		1,639,338
Additions	126,926		67,978		43,698		28,360		417		6,406		273,785
Disposals	0		27,190		0		6,802		43		5,686		39,721
At 31 January 2026	1,207,378		279,216		336,540		111,122		4,155		14,433		1,952,844
Accumulated depreciation
At 01 February 2025	357,326		139,240		113,066		64,499		2,943		( 1,764)		675,310
Charge for the financial year	18,034		20,797		40,874		4,326		353		2,454		86,838
Disposals	0		27,190		0		6,802		43		5,686		39,721
At 31 January 2026	375,360		187,227		153,940		75,627		3,339		6,376		801,869
Net book value
At 31 January 2026	832,018		91,989		182,600		35,495		816		8,057		1,150,975
At 31 January 2025	723,126		44,808		179,776		11,461		752		4,105		964,028

4. Investment property

	Investment property
	£
Valuation
As at 01 February 2025	302,343
As at 31 January 2026	302,343

The investment property was transferred from tangible assets on 31 January 2020 on a cost basis. There has been no material change in value since that date.

There has been no valuation of the investment property by an independent valuer.

5. Stocks

	2026		2025
	£		£
Stocks	1,007,379		1,150,785
Work in progress	7,107		8,148
	1,014,486		1,158,933

6. Debtors

	2026		2025
	£		£
Trade debtors	53,163		56,531
Amounts owed by directors	9,518		4,721
Prepayments and accrued income	64,189		61,391
Other debtors	188		67
	127,058		122,710

7. Creditors: amounts falling due within one year

	2026		2025
	£		£
Bank loans and overdrafts (secured £ 454,081)	463,689		333,526
Trade creditors	181,660		161,758
Other taxation and social security	78,091		41,045
Obligations under finance leases and hire purchase contracts (secured)	2,375		9,500
Other creditors	415,518		467,102
	1,141,333		1,012,931

Within other creditors is a balance of £346,369 (2025 - £363,824) relating to the outstanding amount on the business's vehicle stocking facility. This amount is secured upon vehicle stocks and a personal guarantee from the Directors.

8. Creditors: amounts falling due after more than one year

	2026		2025
	£		£
Bank loans (secured)	501,297		547,934
Obligations under finance leases and hire purchase contracts	0		2,376
Other creditors	91,000		125,307
	592,297		675,617

Within bank loans is a balance of £955,378 (2025 - £861,659) which is secured by fixed and floating charges over the company's properties and the Director's personal guarantee of £566,000.

Also within bank loans is a balance of £9,608 (2025 - £19,857) relating to an oustanding amount due from a Coronavirus Bounce Back Loan. The UK Government have guaranteed 100% of the value of this loan.

The obligations under finance leases and hire purchase contracts are secured on the underlying assets which are included within motor vehicles. The net book value of the relevant assets at the balance sheet date is £31,835 (2025 - £39,230).

Amounts repayable after more than 5 years are included in creditors falling due over one year:

	2026		2025
	£		£
Bank loans (secured / repayable by instalments)	336,064		379,860

9. Financial commitments

Commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

	2026		2025
	£		£
Within one year	4,296		4,296
Between one and five years	13,962		17,184
After five years	0		1,074
	18,258		22,554

The commitment shown above is in relation to non-cancellable operating leases over office equipment.

10. Related party transactions

Transactions with the entity's directors

The directors loan accounts are repayable on demand and interest has been charged on overdrawn balances exceeding £10,000 at the official HMRC rates.

At 1 February 2025 the balance owed from the directors was £4,721. During the year, the company made advances to directors amounting to £40,918 and received repayments of £36,121, leaving a balance due from directors of £9,518.

At 1 Febuary 2024 the balance owed from the directors was £12,328. During the year, the company made advances to directors amounting to £21,570 and received repayments of £29,177, leaving a balance due from directors of £4,721.